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Impact on oil of Iran-Saudi tensions to be brief

Bahrain frequently accuses Tehran of backing the unrest.

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“Was it reasonable for Saudi Arabia to execute a major Shiite preacher at the very moment when politicians in Iran – a sworn enemy of Riyadh – are competing in the election campaign for the title of the most ardent defender of the Shiites?”

With Iran and Saudi Arabia on opposite sides of the conflicts in Iraq, Yemen, Lebanon and elsewhere – as well as Syria – there are plentiful opportunities for additional confrontation.

Kuwait’s move comes a day after UAE, Bahrain and Sudan took steps to downgrade or close down their diplomatic representation in Iran.

The President then called on Saudi Arabia to compensate for its past mistakes and return from its wrong and futile path, adding “stability, security, serious fight against terrorism and maintaining friendly ties with all regional countries are the main objectives of the Islamic Republic”.

Iran has accused the Sunni Muslim monarchy of Saudi Arabia of using the attack on the embassy as an “excuse” to sever ties and further increase sectarian tensions.

Late yesterday, Qatar recalled its ambassador to Iran.

President Hassan Rouhani’s comments came as Kuwait announced it had recalled its ambassador to Iran over attacks on Saudi diplomatic missions in the Islamic Republic.

The staff of the Iranian embassy in Riyadh and those of the consulate in Jeddah left “on board a private Iranian plane”, state news agency SPA reported.

Iran’s official state broadcaster IRIB said the diplomats have arrived in Tehran, showing pictures of their plane after it landed at Tehran’s Mehrabad Airport.

Calling the breakdown in relations between Iran and Saudi Arabia “deeply concerning”, U.N. Secretary-General Ban Ki-moon talked to foreign ministers for both nations Sunday to push for peace.

Instead, the tensions – fuelled by Saudi Arabia’s execution of Shia cleric Sheikh Nimr al-Nimr – have curbed speculation that Opec members will agree to production cuts to boost prices. It also rejected Iranian statements it said represented “interference in internal Saudi affairs”. “This trend of creating tension must stop”.

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Europe was a traditional market for Iranian oil before global sanctions were slapped on the Islamic republic in 2012 over its nuclear programme. “I have spoken to the foreign ministers of some of the Arab countries to reduce the consequences of this issue and prevent enemies from dragging the region into a war that can have no winners”, Jaafari said.

Tehran demonstration