Dubai and Abu Dhabi indexes close at lowest points of the year due to drop in oil prices

EnergyAssociated Press

Dubai's main stock market and Abu Dhabi's index have closed at their lowest points of the year amid mounting anxiety over plunging oil prices.

Dubai's stock market lost 7.3 percent on Tuesday, while Abu Dhabi's slid 6.9 percent.

Continue Reading Below

Gulf equities have been falling since late November, while oil prices have shed nearly half their value since late June. Benchmark U.S. oil prices closed below $56 a barrel on Monday, their lowest level since May 2009, when the U.S. was still in recession.

Also Tuesday, Saudi Arabia's stock market dropped 7.6 percent.

Investors are concerned that the drop in the price of oil, which is the backbone of Gulf economies, could lead to less government spending and reduced economic growth.