Tuesday, 19 April 2011
Egypt's index .EGX30 gained 2.5 percent with EFG-Hermes (HRHO.CA: Quote) and Egyptian Resorts (EGTS.CA: Quote) up 8.8 and 7.5 percent respectively.
"This is a natural market reaction after sharp losses in the past period," said Mohamed Swefy of Osool Brokerage.
“Our production in February was 9,125,100 barrels per day,” Mr Naimi said. “In March, it was 8,292,100 b/d. It will probably go a little higher in April. The reason I mention these numbers is to show you the market is oversupplied,” he said in Kuwait City ahead of an industry conference.
The disclosure – extremely rare because of its level of detail – has been largely overshadowed by other events, notably Standard & Poor’s announcement that it was cutting its outlook on US sovereign debt for the first time. But it matters, because it suggests that the Opec oil cartel is producing at its lowest level since two years ago, when the global economy was still emerging from its worst economic recession since the 1930s.
The ratings agency said it expected a decline in tourism, foreign direct investment, incoming fund flows and private consumption in the wake of political unrest would reduce Egypt's economic growth to around 2 percent in the next 12 to 18 months.
"These adverse economic conditions are likely to challenge the banking system's asset quality and business prospects as well as its profitability and internal capital-generation capacity," Moody's wrote.
SMN Power is a joint venture between Mubadala, UAE firm Kahrabel FZE and Oman's National Trading Co. The firm owns two major power projects and has a combined output of 1,343 megawatts (MW).
Kahrabel and Mubadala each have 47.5 percent of SMN Power Holding with the rest held by National Trading Company. They are required to dispose of their shareholding via an IPO, the IPO prospectus said.
|TASI (Saudi Stock Market)||6525.07||-0.13%|
|DFM (Dubai Financial Market)||1654.5||0.11%|
|ADX (Abudhabi Securities Exchange)||2703.57||-0.21%|
|KSE (Kuwait Stock Exchange)||6396.5||0.34%|
|BSE (Bahrain Stock Exchange)||1393.82||-0.67%|
|MSM (Muscat Securities Market)||6369.9||-0.42%|
|QE (Qatar Exchange)||8633.4||-0.14%|
|LSE (Beirut Stock Exchange)||1388.04||-0.35%|
|EGX 30 (Egypt Exchange)||5080.95||2.52%|
|ASE (Amman Stock Exchange)||2206.44||-0.20%|
|TUNINDEX (Tunisia Stock Exchange)||4199.52||0.90%|
|CB (Casablanca Stock Exchange)||11872.7||-0.32%|
|PSE (Palestine Securities Exchange)||491.96||0.52%|
While the overall retail banking sector may continue to face challenges in 2011, Mashreq's non-performing loans ratio is set to improve, Douglas Beckett told reporters at an event to launch a new loyalty rewards programme in Dubai.
"The retail banking sector will remain extremely difficult," said Beckett, adding that some signs of improvement, such as increased credit card spending, were visible.
"We continue to look to invest in this region," Faisal Khan said on a panel at the Cityscape conference in Abu Dhabi. "We've been looking to invest since the beginning of last year."
Abraaj late last year bought a commercial office building in Cairo, Egypt, through its Shariah-compliant real estate fund Asas. The investment was the fund's first deal. It invests in long-term, income-generating assets in the real estate market in the Gulf and the Middle East and North Africa region.
The loss fell to 532 million riyals ($141.9 million), or 0.38 riyal per share, from 662 million riyals, or 0.47 riyal, a year earlier, the Riyadh-based company said in a statement on the Saudi bourse website today. First-quarter revenue rose 36 percent to 1.48 billion riyals.
Saudi telecom companies, including Saudi Telecom Co. (STC), are competing for mobile-phone and Internet customers with advertising campaigns and pricing promotions. Mobile-phone users rose 15 percent to 51.6 million by the end of 2010 from a year earlier and Internet users increased 11 percent to 11.4 million, the Saudi Communication and Information Technology Commission said on its Web site.
The Jebel Ali Free Zone, which was founded in 1985 and operates the commercial hub around the emirate's main Jebel Ali port, said it made Dh139.7 million (US$38m) last year, down 51 per cent from the Dh286.7m of profit it reported in 2009.
The decline, revealed in documents posted on the website of Nasdaq Dubai, came as impairments on investment properties last year rose to Dh198.3m from just Dh28.4m the year before.
The Egyptian Exchanges benchmark EGX30 was off 3.2 percent by 1:15 PM. Cairo time, building on the previous days 3.43 percent decline.
The drop pushed the indexs year to date losses to over 30 percent – a clear reflection of the crisis of investor confidence confronting the Arab worlds most populous nation in the wake of the uprising that ousted former President Hosni Mubarak.
Revolt has reinforced a sense of malaise and a feeling the country should be doing better, says Michael Peel
While other Gulf thrones may totter, Kuwait’s has lasted for 259 years, says David Blair
Simeon Kerr reports on the rollercoaster ride that comes with dependence on oil
David Blair reports on a deep-seated suspicion of outside help with reserves
Michael Peel on the strengths and weaknesses of the Kuwaiti model
The atmosphere on the corniche is a sign of a protest movement that has not yet caught fire, but has begun to gather interest, writes Michael Peel
Robin Wigglesworth reports on a sector that may be over the worst, but is still not back to its pre-crisis health
The bank’s robust profits are mainly thanks to the relatively healthy loan portfolio, writes Robin Wigglesworth
Kuwaitis are pinning hopes on enforcement of new rules, writes Robin Wigglesworth
Michael Peel talks to foreigners who are making a living outside the system
A colourful reception marked the opening of the smelter, which was attended among others by senior Emal representatives and dignitaries. Emal's phase 1 commenced operation on December 2, 2009.
Addressing guests at the event, Saeed Fadl Al Mazroui, Emal's president and chief executive, said: "As the UAE's largest industrial mega-project outside of oil and gas, Emal is leading the way in diversification. Emal is producing reliable, high quality aluminium for customers around the globe from one of the world's largest, most sustainable and technologically advanced smelters."
The ruling on Sunday was one of the Tribunal's most significant so far in favour of Nakheel, Dubai's biggest government-owned developer.
Nakheel had previously suffered a series of setbacks in the Tribunal, a judicial body set up to handle claims against its parent, Dubai World, as the larger company underwent a sweeping restructuring.
Varun Sood, the acting chief executive of Tamweel, said the company's mandate was "to get long-term funding" to avoid the problems the company had in the wake of the global financial crisis.
Dubai Islamic Bank (DIB) revived Tamweel last year when it acquired a 58.3 per cent stake in the company and provided new funds so it could begin issuing mortgages again. The bank paid almost Dh375 million (US$1.2m) for the stake, according to financial statements.
The kingdom's second-largest mobile operator reported a first-quarter net profit of 998 million Saudi riyals in the three months to the end of last month, up 40 per cent from 714m riyals in the same period last year, it said.
The company's shares have gained almost 23 per cent since hitting a 15-month low last month and yesterday the stock closed up 0.5 per cent to 52.75 riyals on the Saudi Tadawul All-Share Index.
The composite index for the hydrocarbon sector retreated due to the expected fall in net profits and employment and that for the non-hydrocarbon segment declined mainly due to a pulldown by uncertainty in the region, said the BOI, a joint product of Qatar Financial Centre Authority (QFCA) and Dun and Bradstreet (D&B).
The report was released yesterday by Yousef al-Jaida, head of asset management and banking, QFCA.
Stock exchanges in the country have been working towards inclusion in MSCI's emerging markets index to try to raise the profile of locally traded stocks.
"In reality it won't increase investments. It might actually decrease investments because you become a small fish in a big pond," said Mr Mobius, who oversees more than US$54 billion (Dh198.33bn) as the executive chairman of Templeton Emerging Markets Group.
Net income for the period was well short of analysts' expectations, falling to Dh1.82 billion (US$495.5 million) from Dh1.99bn during the same period last year.
The group had Dh1.11bn of capital expenditure during the quarter, and said net earnings had been hit by its investment in new networks in the UAE.
Sources close to Dubai Group said the company, a unit of Dubai Holding, aimed to restructure $6bn of bank debt alongside $4bn owed to other investors. That is $4bn more than previously announced.
Dubai Group declined to comment.
That was one of the factors that undermined the price of crude today, albeit by no means the only one. The cut in the US credit rating outlook and further tightening in China also contributed. By the close of trade in Moscow the price of one-month Brent was off $2.1 p/bbl at $121.3 p/bbl (WTI at $107.1 p/bbl). OPEC producers are very well aware of the danger that a rising oil price may lead to slower global economic growth and then to oil demand destruction. The nightmare how quickly oil collapsed in the 2nd half of 2008 is still very fresh.
On the other hand, Saudi Arabia, in particular, now needs a higher oil price having pushed up domestic social spending as a result of the civil unrest across North Africa and the Middle East. With one of the fastest growing populations in the world and approximately 5-% youth unemployment, the ruling royals are desperate to try and buy off any trouble. Several estimates shows that the Kingdom now needs oil (Brent) to average approximately $100 p/bbl to balance its budget. That is also approximately where Russia’s federal budget balances.