A series of coordinated strikes attributed to Iran disrupted air traffic across the Middle East, grounding over 1,200 flights and stranding more than 200,000 passengers, with Dubai International Airport (DXB) completely shut down for 18 hours. The outage triggered immediate volatility across global markets.
- 1,240 flights canceled across 38 airlines due to strikes on Feb. 28
- Dubai International Airport (DXB) shut down for 18 hours
- Over 208,000 passengers stranded, with Beirut airport reporting 96% operation reduction
- TASI dropped 3.4%, Gulf airline shares down 5.2% on average
- USD/JPY rose 0.8%, DJIA and SPX fell 0.9% and 1.1%
- Brent crude rose 1.3% to $94.60/barrel amid shipping concerns
Intense military strikes targeting regional infrastructure on February 28 caused widespread flight cancellations across the Gulf and Levant, with Rafik Hariri International Airport in Beirut reporting a 96% drop in operations. Dubai International Airport (DXB), a critical global aviation nexus, suspended all inbound and outbound flights starting at 14:30 GMT, remaining closed for 18 hours. This led to the cancellation of 1,240 flights across 38 airlines, including Emirates, Qatar Airways, and Turkish Airlines, affecting an estimated 208,000 travelers. The disruption underscores the fragility of global air transport networks amid escalating regional tensions. Dubai's central role in international connectivity—handling 77 million passengers annually—meant the outage had cascading impacts on global supply chains and travel demand. Aviation stocks across the region declined sharply, with the TASI index dropping 3.4% and Gulf airline shares averaging a 5.2% drop. Insurance providers, particularly those covering cargo and passenger liability, began assessing potential claims exceeding $180 million. Currency markets reacted with heightened volatility, as the USD/JPY spiked 0.8% to 152.32, reflecting risk-off sentiment. The DJIA and SPX both declined 0.9% and 1.1% respectively, while safe-haven assets like gold rose 1.7%. Energy markets saw limited immediate impact, but Brent crude futures rose 1.3% to $94.60/barrel amid concerns over potential disruptions to shipping lanes through the Strait of Hormuz. The situation remains fluid, with regional air traffic control authorities coordinating recovery efforts. Passengers and logistics firms are now facing delayed cargo shipments and revised travel plans, while insurers and airlines brace for operational and financial fallout. The full economic toll will depend on the duration and scope of future disruptions.