Saudi Arabia calls for more Arab cooperation in oil industry:
Arab oil producing countries should cooperate to continue playing a positive role in the stability of the oil market and industry, Saudi Arabia’s energy minister said on Monday.
In a speech delivered on his behalf at the Arab Energy Conference in Morocco, Khalid Al-Falih said country’s across the region could work together to support the continuation of oil as a source of energy and make it “more efficient and widely beneficial.”
He said Arab countries would benefit from cooperating on research and technology to develop the sector, Saudi Press Agency reported.
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Monday, 1 October 2018
StanChart Said to Brace for New Iran Fine of $1.5 Billion - Bloomberg
StanChart Said to Brace for New Iran Fine of $1.5 Billion - Bloomberg:
Standard Chartered Plc is bracing for a potential penalty of around $1.5 billion from U.S. authorities for allowing customers to violate Iran sanctions, people familiar with the matter said.
That amount is a preliminary assessment based on some of the communications between the bank and the regulators, the people said. Final discussions to resolve the matter have not yet begun, they said. The allegations relate to breaches dating from at least five years ago.
The shares sank after the potential fine exceeded some analysts’ expectations. American authorities have been keeping an eye on Standard Chartered since 2012, when the lender entered into a deferred prosecution agreement to resolve U.S. allegations that the bank facilitated business with Iranian parties. The U.S. extended the DPA in 2014.
Standard Chartered Plc is bracing for a potential penalty of around $1.5 billion from U.S. authorities for allowing customers to violate Iran sanctions, people familiar with the matter said.
That amount is a preliminary assessment based on some of the communications between the bank and the regulators, the people said. Final discussions to resolve the matter have not yet begun, they said. The allegations relate to breaches dating from at least five years ago.
The shares sank after the potential fine exceeded some analysts’ expectations. American authorities have been keeping an eye on Standard Chartered since 2012, when the lender entered into a deferred prosecution agreement to resolve U.S. allegations that the bank facilitated business with Iranian parties. The U.S. extended the DPA in 2014.
Fate of Shared Oil Fields Unclear After Saudi-Kuwait Royal Talks - Bloomberg
Fate of Shared Oil Fields Unclear After Saudi-Kuwait Royal Talks - Bloomberg:
The Saudi crown prince held talks with Kuwait’s ruler about increasing cooperation on oil policies. In the shadows of their discussions lies the fate of two jointly owned fields that can produce half a million barrels a day of crude and help OPEC fill a possible supply gap.
Khafji and Wafra, the fields located in the shared Neutral Zone between Saudi Arabia and Kuwait, are crucial for the kingdom to meet its official production ceiling of 12.5 million barrels a day of oil. State-owned Saudi Arabian Oil Co., the world’s biggest exporter known also as Aramco, directly controls 12 million barrels of daily Saudi output.
Crown Prince Mohammed Bin Salman Al Saud met with Kuwait’s Emir Sheikh Sabah Al-Ahmed Al-Sabah on Sunday, according to the official Saudi Press Association. The visit is expected to increase the convergence of Saudi and Kuwaiti oil policies and bring more stability to global oil markets, according to a Saudi government statement. The Saudi prince left Kuwait early on Monday, SPA reported, without giving details of the talks.
The Saudi crown prince held talks with Kuwait’s ruler about increasing cooperation on oil policies. In the shadows of their discussions lies the fate of two jointly owned fields that can produce half a million barrels a day of crude and help OPEC fill a possible supply gap.
Khafji and Wafra, the fields located in the shared Neutral Zone between Saudi Arabia and Kuwait, are crucial for the kingdom to meet its official production ceiling of 12.5 million barrels a day of oil. State-owned Saudi Arabian Oil Co., the world’s biggest exporter known also as Aramco, directly controls 12 million barrels of daily Saudi output.
Crown Prince Mohammed Bin Salman Al Saud met with Kuwait’s Emir Sheikh Sabah Al-Ahmed Al-Sabah on Sunday, according to the official Saudi Press Association. The visit is expected to increase the convergence of Saudi and Kuwaiti oil policies and bring more stability to global oil markets, according to a Saudi government statement. The Saudi prince left Kuwait early on Monday, SPA reported, without giving details of the talks.
Iran to offer oil via stock exchange as soon as next week- senior oil official | ZAWYA MENA Edition
Iran to offer oil via stock exchange as soon as next week- senior oil official | ZAWYA MENA Edition:
Iran has no plans to cut oil production, the head of the state-run National Iranian Oil Company (NIOC), Ali Kardor, said on Monday, according to the Tasnim news agency.
The United States aims to reduce Tehran's oil revenue to zero in an effort to force Iran's leadership to change its behaviour in the region. U.S. officials have said new sanctions will be imposed on Iran's oil sector from Nov. 4.
However Iran is experiencing no issues with receiving income from its oil sales, Tasnim reported Kardor as saying.
Iran has no plans to cut oil production, the head of the state-run National Iranian Oil Company (NIOC), Ali Kardor, said on Monday, according to the Tasnim news agency.
The United States aims to reduce Tehran's oil revenue to zero in an effort to force Iran's leadership to change its behaviour in the region. U.S. officials have said new sanctions will be imposed on Iran's oil sector from Nov. 4.
However Iran is experiencing no issues with receiving income from its oil sales, Tasnim reported Kardor as saying.
Oman Oil to raise $850 million revolving loan – sources | Reuters
Oman Oil to raise $850 million revolving loan – sources | Reuters:
State-run Oman Oil Co is set to raise an $850 million (£652 million) revolving credit facility, sources familiar with the matter said.
The unsecured loan will be provided by a consortium of more than 10 banks and will be finalised over the next few weeks, the sources said.
Oman Oil has been a regular borrower of U.S. dollar-denominated loans over the past few years, in line with a wider push by the Omani government to raise external funding to reduce pressure on its finances, strained by a slump in oil prices.
State-run Oman Oil Co is set to raise an $850 million (£652 million) revolving credit facility, sources familiar with the matter said.
The unsecured loan will be provided by a consortium of more than 10 banks and will be finalised over the next few weeks, the sources said.
Oman Oil has been a regular borrower of U.S. dollar-denominated loans over the past few years, in line with a wider push by the Omani government to raise external funding to reduce pressure on its finances, strained by a slump in oil prices.
MIDEAST DEBT-Saudi Aramco may borrow up to $50 bln from banks for SABIC -sources | Reuters
MIDEAST DEBT-Saudi Aramco may borrow up to $50 bln from banks for SABIC -sources | Reuters:
National oil giant Saudi Aramco could borrow as much as $50 billion from international banks to fund its acquisition of a stake in Saudi Arabian Basic Industries Corp, banking sources familiar with the matter said.
Over the past several weeks, bankers have met with Aramco to present proposals for financing the purchase of a major stake in the world’s fourth-biggest petrochemicals producer, which has a stock market value of about $100 billion.
The deal is expected to involve the purchase of all or nearly all of the 70 percent stake in SABIC held by the Public Investment Fund (PIF), the kingdom’s top sovereign wealth fund. That implies a deal value of roughly $70 billion, though talks on the acquisition price are still at an early stage.
National oil giant Saudi Aramco could borrow as much as $50 billion from international banks to fund its acquisition of a stake in Saudi Arabian Basic Industries Corp, banking sources familiar with the matter said.
Over the past several weeks, bankers have met with Aramco to present proposals for financing the purchase of a major stake in the world’s fourth-biggest petrochemicals producer, which has a stock market value of about $100 billion.
The deal is expected to involve the purchase of all or nearly all of the 70 percent stake in SABIC held by the Public Investment Fund (PIF), the kingdom’s top sovereign wealth fund. That implies a deal value of roughly $70 billion, though talks on the acquisition price are still at an early stage.
Qatar Airways upgrades part of A350 order to biggest model | Reuters
Qatar Airways upgrades part of A350 order to biggest model | Reuters:
Qatar Airways said on Monday it was upgrading five of its Airbus (AIR.PA) A350 jets on order to the largest model, in a boost for the European planemaker’s largest twin-engined jet.
The Gulf airline was the launch customer for both A350 models and said in February it could switch some of its existing order of A350-900s to the bigger A350-1000.
“Since taking delivery of the world’s first A350-1000 in February 2018, we have been extremely pleased with the aircraft’s performance, which has prompted us to update our original order,” Qatar Airways Chief Executive Akbar al-Baker said in a statement.
Qatar Airways said on Monday it was upgrading five of its Airbus (AIR.PA) A350 jets on order to the largest model, in a boost for the European planemaker’s largest twin-engined jet.
The Gulf airline was the launch customer for both A350 models and said in February it could switch some of its existing order of A350-900s to the bigger A350-1000.
“Since taking delivery of the world’s first A350-1000 in February 2018, we have been extremely pleased with the aircraft’s performance, which has prompted us to update our original order,” Qatar Airways Chief Executive Akbar al-Baker said in a statement.
Abu Dhabi's Mubadala plans $6 bln debt reorganisation | Reuters
Abu Dhabi's Mubadala plans $6 bln debt reorganisation | Reuters:
Abu Dhabi’s state investor International Petroleum Investment Company (IPIC) is to reorganise about $6 billion of debt following its merger with state investment fund Mubadala Development Company (MDC) last year.
IPIC has asked bondholders to agree to Mubadala Investment Company - the merged entity - becoming guarantor and MDC the issuer of over $6 billion of IPIC’s existing debt.
“The end result will be a more efficient single, rated entity within the group responsible for our capital market funding activities,” Mubadala said in a statement.
Abu Dhabi’s state investor International Petroleum Investment Company (IPIC) is to reorganise about $6 billion of debt following its merger with state investment fund Mubadala Development Company (MDC) last year.
IPIC has asked bondholders to agree to Mubadala Investment Company - the merged entity - becoming guarantor and MDC the issuer of over $6 billion of IPIC’s existing debt.
“The end result will be a more efficient single, rated entity within the group responsible for our capital market funding activities,” Mubadala said in a statement.
UAE's GEM working with Perella Weinberg Partners on debt restructuring - sources | Reuters
UAE's GEM working with Perella Weinberg Partners on debt restructuring - sources | Reuters:
Gulf Energy Maritime (GEM) is working with Perella Weinberg Partners to try to restructure its roughly $350 million in debt as it seeks to stave off a default, sources familiar with the matter said.
The Dubai-based product and chemical tanker company, which counts Emirates National Oil Company (ENOC), Mubadala Investment Co and Oman Oil Co as its three main shareholders, has been asking its creditor banks to amend and extend its debt, the sources said.
GEM, which has struggled with depressed demand in the tanker market, is currently in technical default as the estimated $270 million value of its assets, in the form of its fleet, has dipped below that of its debt, two of the sources said.
Gulf Energy Maritime (GEM) is working with Perella Weinberg Partners to try to restructure its roughly $350 million in debt as it seeks to stave off a default, sources familiar with the matter said.
The Dubai-based product and chemical tanker company, which counts Emirates National Oil Company (ENOC), Mubadala Investment Co and Oman Oil Co as its three main shareholders, has been asking its creditor banks to amend and extend its debt, the sources said.
GEM, which has struggled with depressed demand in the tanker market, is currently in technical default as the estimated $270 million value of its assets, in the form of its fleet, has dipped below that of its debt, two of the sources said.
Oil rises to 2014 highs on Iran Sanctions, NAFTA deal | Reuters
Oil rises to 2014 highs on Iran Sanctions, NAFTA deal | Reuters:
Oil futures jumped on Monday, reaching the highest levels since November 2014, as U.S. sanctions on Iran come into force and a North American trade deal fosters growth.
The United States and Canada forged a deal on Sunday to salvage the North American Free Trade Agreement (NAFTA), a trilateral pact with Mexico.
Phil Flynn, an analyst at Price Futures Group in Chicago, said the NAFTA deal would boost oil prices because it “increases the growth prospects not only for Canada and the U.S., but for North America as a whole.”
Oil futures jumped on Monday, reaching the highest levels since November 2014, as U.S. sanctions on Iran come into force and a North American trade deal fosters growth.
The United States and Canada forged a deal on Sunday to salvage the North American Free Trade Agreement (NAFTA), a trilateral pact with Mexico.
Phil Flynn, an analyst at Price Futures Group in Chicago, said the NAFTA deal would boost oil prices because it “increases the growth prospects not only for Canada and the U.S., but for North America as a whole.”
Graphic: Boom, bust or both? The challenge of predicting 2019's oil market balance | Reuters
Graphic: Boom, bust or both? The challenge of predicting 2019's oil market balance | Reuters:
In the oil market, balance is a difficult game. Calculating whether the 100 million barrel per day world market is likely in the months ahead to have a surplus or deficit of supply, or be balanced, where supply equals demand, is never simple.
Projections must take into account a host of factors — from world economic growth, refinery operations and changing fuel use patterns on the demand side, to investment patterns, rates of mature oilfield decline, weather, politics, war and OPEC on the supply side.
Working out what the oil balance will look like next year is proving particularly difficult.
In the oil market, balance is a difficult game. Calculating whether the 100 million barrel per day world market is likely in the months ahead to have a surplus or deficit of supply, or be balanced, where supply equals demand, is never simple.
Projections must take into account a host of factors — from world economic growth, refinery operations and changing fuel use patterns on the demand side, to investment patterns, rates of mature oilfield decline, weather, politics, war and OPEC on the supply side.
Working out what the oil balance will look like next year is proving particularly difficult.
MIDEAST STOCKS-Egypt falls on currency worries, Saudi and UAE rise | Reuters
MIDEAST STOCKS-Egypt falls on currency worries, Saudi and UAE rise | Reuters:
Egypt’s stock index fell 1.2 percent on Monday because of concerns that its currency could be vulnerable, while Saudi Arabia and United Arab Emirates markets rose, buoyed in part by high oil prices.
Twenty-five of the 30 stocks in Egypt’s blue-chip index fell, as Egypt underperformed MSCI’s emerging markets index, which was almost flat.
Middle East fund managers have turned negative towards Egyptian equities because of concern that the currency could weaken as global interest rates rise and foreign investors cut holdings of Egyptian Treasury bills, a Reuters poll showed on Sunday.
Egypt’s stock index fell 1.2 percent on Monday because of concerns that its currency could be vulnerable, while Saudi Arabia and United Arab Emirates markets rose, buoyed in part by high oil prices.
Twenty-five of the 30 stocks in Egypt’s blue-chip index fell, as Egypt underperformed MSCI’s emerging markets index, which was almost flat.
Middle East fund managers have turned negative towards Egyptian equities because of concern that the currency could weaken as global interest rates rise and foreign investors cut holdings of Egyptian Treasury bills, a Reuters poll showed on Sunday.
Qatar launches WTO proceedings against Saudi Arabia over intellectual property rights violations - The Peninsula Qatar
Qatar launches WTO proceedings against Saudi Arabia over intellectual property rights violations - The Peninsula Qatar:
Qatar has started proceedings against Saudi Arabia at the World Trade Organisation (WTO), accusing it of intellectual property rights violations, Economy Ministry said on Monday.
Part of Qatar's concerns involve the blocking of Qatari broadcaster beIN in Saudi Arabia, the ministry said on its website, and accused Riyadh of refusing to take effective action against the piracy of beIN content in the kingdom.
The Qatar Ministry of Economy and Commerce has announced today the initiation of new proceedings against Saudi Arabia before the World Trade Organization's Dispute Settlement Body, accusing the Kingdom of violating the intellectual property rights of Qatari citizens and entities under international conventions.
Qatar has started proceedings against Saudi Arabia at the World Trade Organisation (WTO), accusing it of intellectual property rights violations, Economy Ministry said on Monday.
Part of Qatar's concerns involve the blocking of Qatari broadcaster beIN in Saudi Arabia, the ministry said on its website, and accused Riyadh of refusing to take effective action against the piracy of beIN content in the kingdom.
The Qatar Ministry of Economy and Commerce has announced today the initiation of new proceedings against Saudi Arabia before the World Trade Organization's Dispute Settlement Body, accusing the Kingdom of violating the intellectual property rights of Qatari citizens and entities under international conventions.
Aston Martin cuts maximum share price for IPO | Financial Times
Aston Martin cuts maximum share price for IPO | Financial Times:
Aston Martin could miss out on a spot in the FTSE 100 after the carmaker cut the maximum valuation it is seeking in its initial public offering this week.
The carmaker cut the top of its price range from £22.50 a share to £20. It also lifted the bottom end of the range from £17.50 to £18.50. All of the books are covered within the new range.
The new range gives the luxury carmaker an expected valuation of £4.2bn — £4.5bn, compared to its prior expected valuation of between £4-5.1bn. That value could see Aston Martin miss out on a place in the FTSE 100 at the next reshuffle in December, if its value and the value of the other constituents of the index remain broadly the same.
Aston Martin could miss out on a spot in the FTSE 100 after the carmaker cut the maximum valuation it is seeking in its initial public offering this week.
The carmaker cut the top of its price range from £22.50 a share to £20. It also lifted the bottom end of the range from £17.50 to £18.50. All of the books are covered within the new range.
The new range gives the luxury carmaker an expected valuation of £4.2bn — £4.5bn, compared to its prior expected valuation of between £4-5.1bn. That value could see Aston Martin miss out on a place in the FTSE 100 at the next reshuffle in December, if its value and the value of the other constituents of the index remain broadly the same.
Pirated TV sport emerges as new Gulf battleground | Financial Times
Pirated TV sport emerges as new Gulf battleground | Financial Times:
A pirate television network that is illegally screening the world’s most popular sporting events to viewers in Saudi Arabia has become the latest flashpoint in a clash between Riyadh and Qatar that is roiling the Gulf.
For the past year, an Arabic-language network beoutQ has been showing Saudi subscribers football matches from the World Cup, Europe’s Champions League and the English Premier League, as well as Formula One Grand Prix races and the Wimbledon tennis championships.
But beoutQ’s operations are based on streaming content rightfully owned by beIN Sports, a Qatar-based television network that has spent billions of dollars on exclusive rights to show sporting events across the region.
A pirate television network that is illegally screening the world’s most popular sporting events to viewers in Saudi Arabia has become the latest flashpoint in a clash between Riyadh and Qatar that is roiling the Gulf.
For the past year, an Arabic-language network beoutQ has been showing Saudi subscribers football matches from the World Cup, Europe’s Champions League and the English Premier League, as well as Formula One Grand Prix races and the Wimbledon tennis championships.
But beoutQ’s operations are based on streaming content rightfully owned by beIN Sports, a Qatar-based television network that has spent billions of dollars on exclusive rights to show sporting events across the region.
Brent crude touches highest since 2014 on Iran concerns | Financial Times
Brent crude touches highest since 2014 on Iran concerns | Financial Times:
Oil prices rose to the highest level since November 2014 in Asia-Pacific trading on Monday amid continued uncertainty over how the market would respond to supply constraints from Donald Trump’s sanctions on Iran.
Brent crude, the international benchmark, rose as much as 0.71 per cent to $83.32 a barrel. By the London morning, it had eased its gain to 0.24 per cent.
The main US marker, West Texas Intermediate, rose more than 0.5 per cent to a peak of $73.65 — near its highest intraday level since July.
Oil prices rose to the highest level since November 2014 in Asia-Pacific trading on Monday amid continued uncertainty over how the market would respond to supply constraints from Donald Trump’s sanctions on Iran.
Brent crude, the international benchmark, rose as much as 0.71 per cent to $83.32 a barrel. By the London morning, it had eased its gain to 0.24 per cent.
The main US marker, West Texas Intermediate, rose more than 0.5 per cent to a peak of $73.65 — near its highest intraday level since July.
IMF Expects Dubai's Economy to `Gradually Recover' Ahead of Expo - Bloomberg
IMF Expects Dubai's Economy to `Gradually Recover' Ahead of Expo - Bloomberg:
The International Monetary Fund expects Dubai’s economy to gradually recover as the government accelerates spending in preparation for the Expo 2020 event.
Dubai’s gross domestic product will likely expand 3.3 percent this year and 4.1 percent in 2019, Natalia Tamirisa, the IMF mission chief to the United Arab Emirates, said in a phone interview late on Sunday. Dubai’s GDP grew 2.8 percent in 2017, she said.
“The gradual recovery is progressing and we see a similar pattern in Abu Dhabi,” Tamirisa said at the end of a two-week visit to the U.A.E. The IMF expects Abu Dhabi’s non-oil economy to grow 2.3 percent in 2018 and 3.6 percent the following year, as the government ramps up spending.
The International Monetary Fund expects Dubai’s economy to gradually recover as the government accelerates spending in preparation for the Expo 2020 event.
Dubai’s gross domestic product will likely expand 3.3 percent this year and 4.1 percent in 2019, Natalia Tamirisa, the IMF mission chief to the United Arab Emirates, said in a phone interview late on Sunday. Dubai’s GDP grew 2.8 percent in 2017, she said.
“The gradual recovery is progressing and we see a similar pattern in Abu Dhabi,” Tamirisa said at the end of a two-week visit to the U.A.E. The IMF expects Abu Dhabi’s non-oil economy to grow 2.3 percent in 2018 and 3.6 percent the following year, as the government ramps up spending.
What's Left of Abraaj and How It Collapsed So Quickly: QuickTake - Bloomberg
What's Left of Abraaj and How It Collapsed So Quickly: QuickTake - Bloomberg:
It took almost 16 years to build Abraaj Group into one of the most influential emerging-market investors and the Middle East’s biggest private equity dealmaker. The Dubai-based firm’s dramatic collapse took just four months. Suitors are now circling the company’s funds as liquidators seek to settle about $1 billion in debt.
1. What went wrong?
The problems for the buyout firm and its founder, Arif Naqvi, began in February with allegations that money in the company’s health fund had been misused. Naqvi and the company have denied wrongdoing and blamed unforeseen political and regulatory hurdles for a delay in deploying the money. Kuwait’s Public Institution for Social Security and a fund backed by Sharjah-based Crescent Group’s Hamid Jafar filed a petition in the Cayman Islands to liquidate the company after Abraaj defaulted on loans.
2. Where do things stand?
Abraaj Investment Management Ltd., which manages the private equity funds, and its parent, Abraaj Holdings Ltd., filed for provisional liquidation in the Cayman Islands, where they are registered, in June after lenders turned off the taps. Deloitte LLP and PricewaterhouseCoopers LLP were appointed by the court to oversee Abr
It took almost 16 years to build Abraaj Group into one of the most influential emerging-market investors and the Middle East’s biggest private equity dealmaker. The Dubai-based firm’s dramatic collapse took just four months. Suitors are now circling the company’s funds as liquidators seek to settle about $1 billion in debt.
1. What went wrong?
The problems for the buyout firm and its founder, Arif Naqvi, began in February with allegations that money in the company’s health fund had been misused. Naqvi and the company have denied wrongdoing and blamed unforeseen political and regulatory hurdles for a delay in deploying the money. Kuwait’s Public Institution for Social Security and a fund backed by Sharjah-based Crescent Group’s Hamid Jafar filed a petition in the Cayman Islands to liquidate the company after Abraaj defaulted on loans.
2. Where do things stand?
Abraaj Investment Management Ltd., which manages the private equity funds, and its parent, Abraaj Holdings Ltd., filed for provisional liquidation in the Cayman Islands, where they are registered, in June after lenders turned off the taps. Deloitte LLP and PricewaterhouseCoopers LLP were appointed by the court to oversee Abr
Bahrain Credit Risk Falls to Five-Month Low on Relief Over Aid - Bloomberg
Bahrain Credit Risk Falls to Five-Month Low on Relief Over Aid - Bloomberg:
Bahrain’s credit risk declined to the lowest level in five months on optimism the nation’s neighbors will soon come to the island-state’s rescue with an aid package.
The cost of insuring Bahrain’s debt against default fell 34 basis points last week on relief that Saudi Arabia, the United Arab Emirates and Kuwait were said to be considering a $10 billion plan. The contracts closed at 307 basis points on Friday, the lowest since May and about half the level in June, when concern over the country’s finances spurred a sell-off of Bahraini assets.
Unlike its neighbors, Bahrain, the smallest economy in the oil-rich Gulf Cooperation Council, has been slow to implement fiscal reforms to cope with oil prices that are well below what the nation needs to balance its budget. The government had been relying on bond offerings to boost its foreign-currency reserves before sentiment turned against risky assets earlier this year.
Bahrain’s credit risk declined to the lowest level in five months on optimism the nation’s neighbors will soon come to the island-state’s rescue with an aid package.
The cost of insuring Bahrain’s debt against default fell 34 basis points last week on relief that Saudi Arabia, the United Arab Emirates and Kuwait were said to be considering a $10 billion plan. The contracts closed at 307 basis points on Friday, the lowest since May and about half the level in June, when concern over the country’s finances spurred a sell-off of Bahraini assets.
Unlike its neighbors, Bahrain, the smallest economy in the oil-rich Gulf Cooperation Council, has been slow to implement fiscal reforms to cope with oil prices that are well below what the nation needs to balance its budget. The government had been relying on bond offerings to boost its foreign-currency reserves before sentiment turned against risky assets earlier this year.
IMF lifts UAE growth forecasts on oil, state spending | Reuters
IMF lifts UAE growth forecasts on oil, state spending | Reuters:
The International Monetary Fund lifted its forecasts for economic growth in the United Arab Emirates because of expectations that oil production and state spending will rise.
The Arab world’s second biggest economy is now likely to expand 2.9 percent this year and 3.7 percent next year, Natalia Tamirisa, IMF mission chief to the country, said late on Sunday. Gross domestic product grew 0.8 percent in 2017, preliminary UAE data shows.
In April, the IMF had predicted GDP would expand 2.0 percent this year and 3.0 percent next year.
The International Monetary Fund lifted its forecasts for economic growth in the United Arab Emirates because of expectations that oil production and state spending will rise.
The Arab world’s second biggest economy is now likely to expand 2.9 percent this year and 3.7 percent next year, Natalia Tamirisa, IMF mission chief to the country, said late on Sunday. Gross domestic product grew 0.8 percent in 2017, preliminary UAE data shows.
In April, the IMF had predicted GDP would expand 2.0 percent this year and 3.0 percent next year.
Brent oil hits four-year high ahead of Iran sanctions, but demand may stutter | Reuters
Brent oil hits four-year high ahead of Iran sanctions, but demand may stutter | Reuters:
Brent crude oil prices rose to their highest since November 2014 on Monday ahead of U.S. sanctions against Iran, the third-largest producer in the Organization of the Petroleum Exporting Countries (OPEC), that kick in next month.
Benchmark Brent crude oil futures LCOc1 rose to as much as $83.32 a barrel on Wednesday and were at $83.09 at 0335 GMT, still 36 cents, or 0.4 percent above their last close.
U.S. West Texas Intermediate (WTI) crude futures CLc1 were up 19 cents, or 0.3 percent, at $73.44 a barrel.
Brent crude oil prices rose to their highest since November 2014 on Monday ahead of U.S. sanctions against Iran, the third-largest producer in the Organization of the Petroleum Exporting Countries (OPEC), that kick in next month.
Benchmark Brent crude oil futures LCOc1 rose to as much as $83.32 a barrel on Wednesday and were at $83.09 at 0335 GMT, still 36 cents, or 0.4 percent above their last close.
U.S. West Texas Intermediate (WTI) crude futures CLc1 were up 19 cents, or 0.3 percent, at $73.44 a barrel.
COLUMN-Oman crude surges at just the wrong time for Saudi Arabia: Russell | Reuters
COLUMN-Oman crude surges at just the wrong time for Saudi Arabia: Russell | Reuters:
Talk about inconvenient timing. Just as Saudi Arabia is about to switch the way it prices its oil exports, the new benchmark throws a spanner in the works by surging inexplicably.
Oman crude futures traded on the Dubai Mercantile Exchange (DME) rushed to their highest level in four years last week, trading as high as $90.90 a barrel on Sept. 26.
While the sharp rise in prices isn’t without precedent, especially given market concern over the imminent loss of much of Iran’s exports, what was unusual was that Oman swept past Brent futures, the global benchmark.
Talk about inconvenient timing. Just as Saudi Arabia is about to switch the way it prices its oil exports, the new benchmark throws a spanner in the works by surging inexplicably.
Oman crude futures traded on the Dubai Mercantile Exchange (DME) rushed to their highest level in four years last week, trading as high as $90.90 a barrel on Sept. 26.
While the sharp rise in prices isn’t without precedent, especially given market concern over the imminent loss of much of Iran’s exports, what was unusual was that Oman swept past Brent futures, the global benchmark.
MIDEAST STOCKS-Oil prices continue to support Saudi, most of Gulf inches up | Reuters
MIDEAST STOCKS-Oil prices continue to support Saudi, most of Gulf inches up | Reuters:
Most Gulf markets rose slightly in quiet morning trade on Monday with oil prices hovering near their highest levels in nearly four years ahead of U.S. sanctions against Iran that will go into effect next month.
The Saudi Arabian index was up 0.2 percent after an hour of trade, boosted by petrochemical and bank stocks. Saudi Basic Industries rose 0.2 percent while Alinma Bank was up 1.5 percent.
Alinma Investment Co, a unit of Alinma Bank, signed an agreement with Saudi Real Estate Co to establish a real estate fund that will develop three sites in Riyadh with a value of 1.5 billion riyals ($409 million). Saudi Real Estate jumped 3.3 percent.
Most Gulf markets rose slightly in quiet morning trade on Monday with oil prices hovering near their highest levels in nearly four years ahead of U.S. sanctions against Iran that will go into effect next month.
The Saudi Arabian index was up 0.2 percent after an hour of trade, boosted by petrochemical and bank stocks. Saudi Basic Industries rose 0.2 percent while Alinma Bank was up 1.5 percent.
Alinma Investment Co, a unit of Alinma Bank, signed an agreement with Saudi Real Estate Co to establish a real estate fund that will develop three sites in Riyadh with a value of 1.5 billion riyals ($409 million). Saudi Real Estate jumped 3.3 percent.