Saudi Arabia Appears To Be Trying To Tank Canadian Asset Prices

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However, Saudi Arabia's Foreign Ministry called Canada's plea a "grave and unacceptable violation of the kingdom's laws and procedures". Saudi central bank and state pension funds told their overseas asset managers to unload Canadian bonds, stocks, and cash holdings "no matter the cost", the report said.

The report comes a day after the Toronto Stock Market saw a major selloff from an unknown worldwide dealer, in contrast to gains in other global markets.

Adel al-Jubeir, Saudi foreign minister, said on Wednesday that there would be no new Saudi investment in Canada until the crisis was resolved.

Jeddah - Custodian of the Two Holy Mosques King Salman and Crown Prince Muhammad Bin Salman, deputy premier and minister of defense, have directed the Foreign Ministry to follow up on the affairs of Saudi citizens in Canada. Saudia Airlines has also announced it will suspend flights to and from Canada starting August 13.

Responding to a question about the reason for the activists' arrests, Jubeir said that charges against them would be made public once their cases reach the courts, repeating earlier allegations that they had been in touch with foreign entities.

Meanwhile, Saudi Arabia's main state wheat-buying agency, Saudi Grains Organization (SAGO), issued a notice to exporters that it will no longer buy Canadian wheat and barley.

The Saudi Arabian regime triggered a sell off of Canadian assets on Tuesday morning, amid an escalating row between the two nations over human rights.

The fallout is from a call last week from Canadian to Saudi officials demanding the release of imprisoned women's rights activists Samar Badawi and Nassima al-Sadah.

The Saudi government announced Sunday it is withdrawing its ambassador to Canada and freezing all new trade and investment.

The divestment came after Canada's foreign ministry condemned the kingdom's arrest of a prominent women's rights activist.

The students will reportedly be put in programs in other countries, such as the USA and United Kingdom.

So far this year, Canada has exported $1.4 billion in merchandise goods to Saudi Arabia and imported $2 billion, according to Statistics Canada data.

The dispute may hurt what is a modest bilateral trade worth almost $4 billion (£3.1 billion) a year.

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