Qatar's budget may return to healthy surplus in 2019: QNB:
Helped by higher hydrocarbon prices, government finances are expected to steadily improve with Qatar’s budget seen in “broad balance” this year, before returning to a “healthy surplus” in 2019, according to QNB.
“Higher hydrocarbon prices and spending restraint will see the budget steadily improving,” QNB said in its ‘Qatar Economic Insight- September’ released here on Wednesday.
The fiscal deficit "narrowed" to 1.6% of GDP in 2017 from 4.7% in 2016. The "fall" reflected government expenditure "restraints" in the face of "slowing" revenue growth, it said.
Wednesday, 19 September 2018
U.S. Gas Still a No-Go for Chinese Buyers Despite Weaker Tariff - Bloomberg
U.S. Gas Still a No-Go for Chinese Buyers Despite Weaker Tariff - Bloomberg:
Even with China’s smaller-than-threatened tariff on U.S. natural gas, American cargoes may still be kryptonite for Chinese traders trying to navigate the ongoing trade war.
Chinese buyers will seek to avoid purchasing U.S. liquefied natural gas as long as any tariffs are in place because of the risk that duties may rise further and possibly without warning, according to officials from four importers. While they said they would prioritize cargoes from other suppliers, they couldn’t entirely rule out buying U.S. shipments. The officials asked not to be identified discussing procurement strategy.
Even with China’s smaller-than-threatened tariff on U.S. natural gas, American cargoes may still be kryptonite for Chinese traders trying to navigate the ongoing trade war.
Chinese buyers will seek to avoid purchasing U.S. liquefied natural gas as long as any tariffs are in place because of the risk that duties may rise further and possibly without warning, according to officials from four importers. While they said they would prioritize cargoes from other suppliers, they couldn’t entirely rule out buying U.S. shipments. The officials asked not to be identified discussing procurement strategy.
RPT-UPDATE 1-Abu Dhabi studies restructuring options for $1.2 bln Etihad-linked bonds -sources | Reuters
RPT-UPDATE 1-Abu Dhabi studies restructuring options for $1.2 bln Etihad-linked bonds -sources | Reuters:
The government of Abu Dhabi is looking at proposals to restructure some $1.2 billion of troubled bonds that were issued by Abu Dhabi state-owned carrier Etihad Airways in partnership with other airlines, sources familiar with the matter said.
Etihad issued $700 million of bonds through a special purpose vehicle (SPV) called Equity Alliance Partners (EAP) in 2015, and $500 million in 2016. Proceeds of the paper went to Etihad and other airlines it partially owned at the time, including Alitalia and Air Berlin, which are now both insolvent.
The notes were seen as strengthening Etihad’s partnerships with those airlines after it spent billions of dollars in acquisitions.
The government of Abu Dhabi is looking at proposals to restructure some $1.2 billion of troubled bonds that were issued by Abu Dhabi state-owned carrier Etihad Airways in partnership with other airlines, sources familiar with the matter said.
Etihad issued $700 million of bonds through a special purpose vehicle (SPV) called Equity Alliance Partners (EAP) in 2015, and $500 million in 2016. Proceeds of the paper went to Etihad and other airlines it partially owned at the time, including Alitalia and Air Berlin, which are now both insolvent.
The notes were seen as strengthening Etihad’s partnerships with those airlines after it spent billions of dollars in acquisitions.
Emerging-market debt issuance on ice after turbulent summer | Reuters
Emerging-market debt issuance on ice after turbulent summer | Reuters:
Emerging-market debt issuance is on hold after a summer of volatility, with the market effectively closed for borrowers like Turkey and Russia, although Asian and Middle East issuers can still get their bonds to market.
Bond sales usually rebound in September after a quiet August, but this year currency crises in Turkey and Argentina and worries about rising U.S. sanctions risk for Russia have kept volumes dramatically lower.
“Emerging markets had a rough time, and we have seen the effects of that when it comes to debt issuance - the pipeline is pretty empty,” said one senior debt capital markets banker, who declined to be named.
Emerging-market debt issuance is on hold after a summer of volatility, with the market effectively closed for borrowers like Turkey and Russia, although Asian and Middle East issuers can still get their bonds to market.
Bond sales usually rebound in September after a quiet August, but this year currency crises in Turkey and Argentina and worries about rising U.S. sanctions risk for Russia have kept volumes dramatically lower.
“Emerging markets had a rough time, and we have seen the effects of that when it comes to debt issuance - the pipeline is pretty empty,” said one senior debt capital markets banker, who declined to be named.
U.S. oil prices surge as inventory draw adds to supply concerns | Reuters
U.S. oil prices surge as inventory draw adds to supply concerns | Reuters:
U.S. oil futures surged nearly 2 percent on Wednesday as they were bolstered by a fifth weekly crude inventory drawdown and strong domestic gasoline demand amid ongoing global supply concerns over U.S. sanctions on Iran that come into force in November.
U.S. crude inventories fell 2.1 million barrels last week to 394.1 million barrels, the lowest level since February 2015, government data showed. Gasoline stocks fell 1.7 million barrels versus forecasts for a 100,000-barrel drop. [EIA/S]
“It was a squarely bullish report,” said John Kilduff, a partner at Again Capital Management in New York. “The summer-like demand from drivers is proving unrelenting.”
U.S. oil futures surged nearly 2 percent on Wednesday as they were bolstered by a fifth weekly crude inventory drawdown and strong domestic gasoline demand amid ongoing global supply concerns over U.S. sanctions on Iran that come into force in November.
U.S. crude inventories fell 2.1 million barrels last week to 394.1 million barrels, the lowest level since February 2015, government data showed. Gasoline stocks fell 1.7 million barrels versus forecasts for a 100,000-barrel drop. [EIA/S]
“It was a squarely bullish report,” said John Kilduff, a partner at Again Capital Management in New York. “The summer-like demand from drivers is proving unrelenting.”
MIDEAST STOCKS-Egypt plunges as liqudity tightens, Saudi climbs | Reuters
MIDEAST STOCKS-Egypt plunges as liqudity tightens, Saudi climbs | Reuters:
Egypt’s stock market plunged to its lowest close this year on Wednesday as liquidity tightened, while most Gulf markets were little changed and Saudi Arabia continued to rebound from six-month lows.
The Egyptian stock index tumbled 3.8 percent, its biggest drop since mid-2016. On Sunday it had plunged 3.6 percent after an Egyptian criminal court ordered the arrest of ousted president Hosni Mubarak’s two sons on charges of stock market manipulation.
Fund managers said Egypt’s slide was at least partly due to jitters in emerging markets globally, although MSCI’s emerging market equity index rose on Wednesday, and credit default swaps and currency forwards do not so far show heavy pressure on the Eguptian pound. “Our channel checks suggest the sell-off in the Egyptian market is local retail and institutions driven, on currency fears and speculation over a further round of devaluation,” said Vrajesh Bhandari, portfolio manager at Al Mal in Dubai.
Egypt’s stock market plunged to its lowest close this year on Wednesday as liquidity tightened, while most Gulf markets were little changed and Saudi Arabia continued to rebound from six-month lows.
The Egyptian stock index tumbled 3.8 percent, its biggest drop since mid-2016. On Sunday it had plunged 3.6 percent after an Egyptian criminal court ordered the arrest of ousted president Hosni Mubarak’s two sons on charges of stock market manipulation.
Fund managers said Egypt’s slide was at least partly due to jitters in emerging markets globally, although MSCI’s emerging market equity index rose on Wednesday, and credit default swaps and currency forwards do not so far show heavy pressure on the Eguptian pound. “Our channel checks suggest the sell-off in the Egyptian market is local retail and institutions driven, on currency fears and speculation over a further round of devaluation,” said Vrajesh Bhandari, portfolio manager at Al Mal in Dubai.
Looking for Cheap Real Estate in Dubai? Check The Stock Market - Bloomberg
Looking for Cheap Real Estate in Dubai? Check The Stock Market - Bloomberg:
Dubai is famous for its high skyscrapers and lavish lifestyle, and owning real estate in the sunny Gulf city may sound like a non-affordable dream for many people. By contrast, stocks of its biggest property owners and developers are becoming increasingly within reach.
Shares of Emaar Properties PJSC, the developer of the world’s tallest building and an icon of Dubai, can be bought at the lowest valuation since 2010. Competitor Damac Properties Dubai Co PJSC, known for its business ties with U.S. President Donald Trump’s family company, traded earlier this year at the cheapest price-to-earnings ratio in more than 17 months.
Both stocks have tumbled more than 30 percent this year as real-estate prices in Dubai have dropped and domestic demand has faltered, prompting the government to announce a series of measures to stimulate the economy. Earlier this month, S&P Global Ratings cut the credit worthiness of two local companies, including one that owns properties in Dubai’s financial center, citing deteriorating credit conditions.
Dubai is famous for its high skyscrapers and lavish lifestyle, and owning real estate in the sunny Gulf city may sound like a non-affordable dream for many people. By contrast, stocks of its biggest property owners and developers are becoming increasingly within reach.
Shares of Emaar Properties PJSC, the developer of the world’s tallest building and an icon of Dubai, can be bought at the lowest valuation since 2010. Competitor Damac Properties Dubai Co PJSC, known for its business ties with U.S. President Donald Trump’s family company, traded earlier this year at the cheapest price-to-earnings ratio in more than 17 months.
Both stocks have tumbled more than 30 percent this year as real-estate prices in Dubai have dropped and domestic demand has faltered, prompting the government to announce a series of measures to stimulate the economy. Earlier this month, S&P Global Ratings cut the credit worthiness of two local companies, including one that owns properties in Dubai’s financial center, citing deteriorating credit conditions.
Qatar Names Mansoor Al Mahmoud CEO of $320 Billion Wealth Fund - Bloomberg
Qatar Names Mansoor Al Mahmoud CEO of $320 Billion Wealth Fund - Bloomberg:
Qatar appointed Mansoor bin Ebrahim Al Mahmoud as the chief executive officer of the Qatar Investment Authority, one of the world’s largest sovereign funds.
He replaces Qatari royal Sheikh Abdullah Bin Mohammed Al Thani, who becomes a minister of state, according to a royal decree published by state-run Qatar News Agency. It didn’t provide more details.
Al Mahmoud, who is currently the CEO of Qatar Museums, has worked as the head of risk management at the QIA, according to information on Qatar Museums’ website.
Qatar appointed Mansoor bin Ebrahim Al Mahmoud as the chief executive officer of the Qatar Investment Authority, one of the world’s largest sovereign funds.
He replaces Qatari royal Sheikh Abdullah Bin Mohammed Al Thani, who becomes a minister of state, according to a royal decree published by state-run Qatar News Agency. It didn’t provide more details.
Al Mahmoud, who is currently the CEO of Qatar Museums, has worked as the head of risk management at the QIA, according to information on Qatar Museums’ website.
From Lucid to Tesla, Saudi Wealth Fund Goes on Spending Spree - Bloomberg
From Lucid to Tesla, Saudi Wealth Fund Goes on Spending Spree - Bloomberg:
Saudi Arabia’s sovereign wealth fund is set to have its busiest year for deals since the world’s biggest crude exporter ago embarked on plans to future-proof itself against oil four years ago.
In recent months, the Public Investment Fund has agreed to invest more than $1 billion in electric car startup Lucid, built a roughly $2 billion stake in Elon Musk’s Tesla Inc. and is in talks to sell its stake in chemical producer Saudi Basic Industries Corp. that could bring in about $70 billion. It also raised an $11 billion loan this week.
The investments are part of plans -- unveiled after the collapse in crude prices in mid-2014 -- to turn the PIF into the world’s biggest sovereign fund with more than $2 trillion in assets by 2030. Those plans also included the initial public offering of oil giant Saudi Aramco to provide the PIF with funds for investments, which has since been put on ice.
Saudi Arabia’s sovereign wealth fund is set to have its busiest year for deals since the world’s biggest crude exporter ago embarked on plans to future-proof itself against oil four years ago.
In recent months, the Public Investment Fund has agreed to invest more than $1 billion in electric car startup Lucid, built a roughly $2 billion stake in Elon Musk’s Tesla Inc. and is in talks to sell its stake in chemical producer Saudi Basic Industries Corp. that could bring in about $70 billion. It also raised an $11 billion loan this week.
The investments are part of plans -- unveiled after the collapse in crude prices in mid-2014 -- to turn the PIF into the world’s biggest sovereign fund with more than $2 trillion in assets by 2030. Those plans also included the initial public offering of oil giant Saudi Aramco to provide the PIF with funds for investments, which has since been put on ice.
Abu Dhabi studies restructuring options for $1.2 bln Etihad-linked bonds -sources | Reuters
Abu Dhabi studies restructuring options for $1.2 bln Etihad-linked bonds -sources | Reuters:
The government of Abu Dhabi is looking at proposals to restructure some $1.2 billion of troubled bonds that were issued by Abu Dhabi state-owned carrier Etihad Airways in partnership with other airlines, sources familiar with the matter said.
Etihad issued $700 million of bonds through a special purpose vehicle called Equity Alliance Partners (EAP) in 2015, and a further $500 million in 2016. Proceeds of the paper went to Etihad and other airlines it partially owned at the time, including Alitalia and Air Berlin, which are now both insolvent.
The notes were seen as strengthening Etihad’s partnerships with those airlines after it spent billions of dollars in acquisitions.
The government of Abu Dhabi is looking at proposals to restructure some $1.2 billion of troubled bonds that were issued by Abu Dhabi state-owned carrier Etihad Airways in partnership with other airlines, sources familiar with the matter said.
Etihad issued $700 million of bonds through a special purpose vehicle called Equity Alliance Partners (EAP) in 2015, and a further $500 million in 2016. Proceeds of the paper went to Etihad and other airlines it partially owned at the time, including Alitalia and Air Berlin, which are now both insolvent.
The notes were seen as strengthening Etihad’s partnerships with those airlines after it spent billions of dollars in acquisitions.
COLUMN-LNG industry is super bullish, but in no rush to benefit: Russell | Reuters
COLUMN-LNG industry is super bullish, but in no rush to benefit: Russell | Reuters:
Bullish, as a word, doesn’t quite capture the stampede of optimism that was gushing out from the natural gas industry at its biggest annual event this week in Barcelona.
“The demand is there,” stated Saad Sherida Al-Kaabi, the chief executive of Qatar Petroleum, the world’s largest producer of liquefied natural gas (LNG), in confirming that his country was on track to lift its output to 100 million tonnes of the super-chilled fuel by 2023.
Al-Kaabi’s remarks were among the more measured at the GasTech conference, with some executives making predictions that the market for LNG, currently around 300 million tonnes a year, will more than double by 2025.
Bullish, as a word, doesn’t quite capture the stampede of optimism that was gushing out from the natural gas industry at its biggest annual event this week in Barcelona.
“The demand is there,” stated Saad Sherida Al-Kaabi, the chief executive of Qatar Petroleum, the world’s largest producer of liquefied natural gas (LNG), in confirming that his country was on track to lift its output to 100 million tonnes of the super-chilled fuel by 2023.
Al-Kaabi’s remarks were among the more measured at the GasTech conference, with some executives making predictions that the market for LNG, currently around 300 million tonnes a year, will more than double by 2025.
UPDATE 1-UAE central bank trims 2018 GDP growth forecast to 2.3 pct | Reuters
UPDATE 1-UAE central bank trims 2018 GDP growth forecast to 2.3 pct | Reuters:
The United Arab Emirates central bank has cut its forecast for economic growth this year after non-oil growth slowed slightly in the second quarter, according to a report released by the bank on Wednesday.
The central bank now expects the UAE’s inflation-adjusted gross domestic product to expand 2.3 percent in 2018, instead of the 2.7 percent which it had projected in its last report three months ago.
The non-oil part of the economy grew 3.6 percent year-on-year in the second quarter, compared to a revised 3.8 percent in the first quarter, which was the fastest rate since the beginning of 2016.
The United Arab Emirates central bank has cut its forecast for economic growth this year after non-oil growth slowed slightly in the second quarter, according to a report released by the bank on Wednesday.
The central bank now expects the UAE’s inflation-adjusted gross domestic product to expand 2.3 percent in 2018, instead of the 2.7 percent which it had projected in its last report three months ago.
The non-oil part of the economy grew 3.6 percent year-on-year in the second quarter, compared to a revised 3.8 percent in the first quarter, which was the fastest rate since the beginning of 2016.
Oil prices edge up as supply concerns outweigh U.S. stockpile gains | Reuters
Oil prices edge up as supply concerns outweigh U.S. stockpile gains | Reuters:
Oil prices inched up on Wednesday as concerns that producers may not be able to cover a shortfall in supply once U.S. sanctions on Iran kick in outweighed a gain in U.S. stockpiles.
Brent crude futures were up 16 cents at $79.19 per barrel at 0658 GMT, after rising 1.3 percent in the previous session.
U.S. West Texas Intermediate (WTI) crude futures were up 20 cents, or 0.29 percent, at $70.05 a barrel, having climbed 1.4 percent the day before.
Oil prices inched up on Wednesday as concerns that producers may not be able to cover a shortfall in supply once U.S. sanctions on Iran kick in outweighed a gain in U.S. stockpiles.
Brent crude futures were up 16 cents at $79.19 per barrel at 0658 GMT, after rising 1.3 percent in the previous session.
U.S. West Texas Intermediate (WTI) crude futures were up 20 cents, or 0.29 percent, at $70.05 a barrel, having climbed 1.4 percent the day before.
MIDEAST STOCKS-Most Gulf markets weak as Saudi opens higher on oil price rise | Reuters
MIDEAST STOCKS-Most Gulf markets weak as Saudi opens higher on oil price rise | Reuters:
Saudi Arabia’s stock market opened higher on Wednesday as oil prices rose and the global reaction to the latest escalation in the United States-China trade dispute remained relatively limited.
Oil edged up on concerns that producers may not be able to cover a shortfall in supply once U.S. sanctions on Iran come into effect, despite gains in U.S. stockpiles.
Saudi Arabia’s main index was up 0.7 in morning trade as petrochemical company Saudi Kayan jumped 4.0 percent and Al-Rajhi Bank added 0.7 percent.
Saudi Arabia’s stock market opened higher on Wednesday as oil prices rose and the global reaction to the latest escalation in the United States-China trade dispute remained relatively limited.
Oil edged up on concerns that producers may not be able to cover a shortfall in supply once U.S. sanctions on Iran come into effect, despite gains in U.S. stockpiles.
Saudi Arabia’s main index was up 0.7 in morning trade as petrochemical company Saudi Kayan jumped 4.0 percent and Al-Rajhi Bank added 0.7 percent.
Subscribe to:
Posts (Atom)