Deutsche Bank CEO Targets Investment Bank for `Tough' Cuts - Bloomberg:
Deutsche Bank AG Chief Executive Officer Christian Sewing is targeting the investment bank for “tough cutbacks,” notably in equity trading, in a campaign to restore market confidence following the breakdown of takeover talks with Commerzbank AG.
“I can assure you: we are prepared to make tough cutbacks” to the securities unit, Sewing said Thursday at the bank’s annual shareholders’ meeting in Frankfurt. The CEO said he’s “rigorously focusing” on building up profitable and growing businesses.
Sewing didn’t say where the cuts would be, but he highlighted businesses where they’re unlikely to happen, such as origination and advisory as well as as foreign exchange, global credit trading and U.S. commercial real estate. He didn’t mention equities trading, an omission that was intentional, according to a person familiar with the matter.
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Thursday 23 May 2019
Stake in World's Biggest Airport Said on Sale Weeks After Open - Bloomberg
Stake in World's Biggest Airport Said on Sale Weeks After Open - Bloomberg:
Some of the owners of the joint venture that operates Istanbul’s giant new airport hired Lazard Ltd. to sell their stake in the $11 billion hub, according to people with knowledge of the matter.
The U.S. investment bank is working with some members of the IGA consortium to provide a valuation of the airport and manage discussions with potential buyers, the people said, asking not to be identified because the process is confidential.
Vinci SA, Aeroports de Paris and its Turkish unit TAV Havaliamanlari Holding AS, and Ferrovial SA are among interested parties, two of the people said.
Some of the owners of the joint venture that operates Istanbul’s giant new airport hired Lazard Ltd. to sell their stake in the $11 billion hub, according to people with knowledge of the matter.
The U.S. investment bank is working with some members of the IGA consortium to provide a valuation of the airport and manage discussions with potential buyers, the people said, asking not to be identified because the process is confidential.
Vinci SA, Aeroports de Paris and its Turkish unit TAV Havaliamanlari Holding AS, and Ferrovial SA are among interested parties, two of the people said.
Oil Suffers Worst Day of 2019 as Trade Dispute Swamps Confidence - Bloomberg
Oil Suffers Worst Day of 2019 as Trade Dispute Swamps Confidence - Bloomberg:
Oil spiraled to its worst daily performance of the year as mounting trade tensions between the world’s biggest economies sent investors fleeing from risky assets.
Futures in New York fell as much as 5.7% on Thursday for the steepest intraday decline since Dec. 24. Equity markets also slumped: the Dow Jones Industrial Average dropped more than 400 points after the Chinese Communist Party’s flagship newspaper published two commentaries warning of a “technology cold war” with the U.S.
West Texas Intermediate crude for July delivery fell 5.2% to $58.21 a barrel at 10:29 a.m. on the New York Mercantile Exchange. Brent, the international crude benchmark, fell as much as 4.9% to $67.53.
Oil spiraled to its worst daily performance of the year as mounting trade tensions between the world’s biggest economies sent investors fleeing from risky assets.
Futures in New York fell as much as 5.7% on Thursday for the steepest intraday decline since Dec. 24. Equity markets also slumped: the Dow Jones Industrial Average dropped more than 400 points after the Chinese Communist Party’s flagship newspaper published two commentaries warning of a “technology cold war” with the U.S.
West Texas Intermediate crude for July delivery fell 5.2% to $58.21 a barrel at 10:29 a.m. on the New York Mercantile Exchange. Brent, the international crude benchmark, fell as much as 4.9% to $67.53.
MENA fund managers increase investments in Egypt,# UAE: Poll | ZAWYA MENA Edition
MENA fund managers increase investments in Egypt, UAE: Poll | ZAWYA MENA Edition:
Middle Eastern funds plan to increase their investments in Egypt and the United Arab Emirates over the next three months, while largely keeping their exposure to other countries in the region at current levels, according to a Reuters poll.
Six of the 11 fund managers polled said they would increase their investments in Egypt.
"We see UAE and Egypt being structurally the most attractive markets in MENA," said Vrajesh Bhandari, senior portfolio manager at Al Mal Capital.
Middle Eastern funds plan to increase their investments in Egypt and the United Arab Emirates over the next three months, while largely keeping their exposure to other countries in the region at current levels, according to a Reuters poll.
Six of the 11 fund managers polled said they would increase their investments in Egypt.
"We see UAE and Egypt being structurally the most attractive markets in MENA," said Vrajesh Bhandari, senior portfolio manager at Al Mal Capital.
Higher capital adequacy requirements weigh on Omani banks' profitability | ZAWYA MENA Edition
Higher capital adequacy requirements weigh on Omani banks' profitability | ZAWYA MENA Edition:
Omani banks reported uninspiring first quarter (Q1) earnings for the current year, with profitability eroded by higher capital adequacy requirements, an analyst told Zawya.
“Earnings have been somewhat lacklustre,” Ayisha Zia Hassan Naseer, research analyst at Ubhar Capital, told Zawya by email on Thursday.
“Bank Muscat, NBO (National Bank of Oman), HSBC, and Ahli Bank met our Q1’19 forecasts for net profit. BKDB (Bank Dhofar) missed our estimate by about 7 percent. Sohar International beat our estimate by a whopping 24 percent on lower provisions,” she added.
Omani banks reported uninspiring first quarter (Q1) earnings for the current year, with profitability eroded by higher capital adequacy requirements, an analyst told Zawya.
“Earnings have been somewhat lacklustre,” Ayisha Zia Hassan Naseer, research analyst at Ubhar Capital, told Zawya by email on Thursday.
“Bank Muscat, NBO (National Bank of Oman), HSBC, and Ahli Bank met our Q1’19 forecasts for net profit. BKDB (Bank Dhofar) missed our estimate by about 7 percent. Sohar International beat our estimate by a whopping 24 percent on lower provisions,” she added.
MIDEAST STOCKS-Oil price fall weighs on #Saudi while blue chips gain in Egypt - Agricultural Commodities - Reuters
MIDEAST STOCKS-Oil price fall weighs on Saudi while blue chips gain in Egypt - Agricultural Commodities - Reuters:
Saudi Arabia's stock market fell sharply
on Thursday as banks and petrochemical shares dropped amid
falling oil prices, while Egypt's blue-chip index closed higher.
Saudi's index dropped 1.4% with 10 of its 11 banks
trading lower. Al Rajhi Bank shed 1.7% and Saudi Basic
Industries fell 2.5%.
Oil prices dropped on Thursday, extending falls from the
previous session amid growing U.S. crude inventories as low
refinery runs and trade standoffs weigh on the demand outlook.
Saudi Arabia's stock market fell sharply
on Thursday as banks and petrochemical shares dropped amid
falling oil prices, while Egypt's blue-chip index closed higher.
Saudi's index dropped 1.4% with 10 of its 11 banks
trading lower. Al Rajhi Bank shed 1.7% and Saudi Basic
Industries fell 2.5%.
Oil prices dropped on Thursday, extending falls from the
previous session amid growing U.S. crude inventories as low
refinery runs and trade standoffs weigh on the demand outlook.
Analysis: #Iran supreme leader comments signal strategy shift
Analysis: Iran supreme leader comments signal strategy shift:
For years, Iran’s supreme leader only criticized the West over Tehran’s nuclear deal with world powers. Now, Ayatollah Ali Khamenei is publicly chastising the country’s elected president and his foreign minister as the accord unravels amid heightened tensions with the U.S.
By naming President Hassan Rouhani and Foreign Minister Mohammad Javad Zarif as failing to implement his orders over the deal, Khamenei is signaling a hard-line tilt in how the Islamic Republic will react going forward.
That will include how Iran handles the ongoing maximalist pressure campaign of President Donald Trump, who has piled on new sanctions and dispatched an aircraft carrier strike group and B-52 bombers to the region over still-unspecified threats the White House perceives to be coming from Tehran. Now U.S. officials say the Pentagon will present a plan to the White House on Thursday calling for sending as many as an additional 10,000 troops to the Middle East over Iran.
For years, Iran’s supreme leader only criticized the West over Tehran’s nuclear deal with world powers. Now, Ayatollah Ali Khamenei is publicly chastising the country’s elected president and his foreign minister as the accord unravels amid heightened tensions with the U.S.
By naming President Hassan Rouhani and Foreign Minister Mohammad Javad Zarif as failing to implement his orders over the deal, Khamenei is signaling a hard-line tilt in how the Islamic Republic will react going forward.
That will include how Iran handles the ongoing maximalist pressure campaign of President Donald Trump, who has piled on new sanctions and dispatched an aircraft carrier strike group and B-52 bombers to the region over still-unspecified threats the White House perceives to be coming from Tehran. Now U.S. officials say the Pentagon will present a plan to the White House on Thursday calling for sending as many as an additional 10,000 troops to the Middle East over Iran.
Oil losses accelerate, Brent crude oil drops below $70 a barrel | Financial Times
Oil losses accelerate, Brent crude oil drops below $70 a barrel | Financial Times:
Brent crude oil dropped below $70 a barrel on Thursday, taking losses over the last two sessions to more than 3 per cent as traders weighed the risks from a US-China trade war and rising inventories in the US.
Brent was down 1.7 per cent in late-morning trading in London to $69.77 a barrel, while US marker West Texas Intermediate lost a similar amount to trade at $60.35 a barrel.
The sell-off weighed on oil companies traded in London, with BP and Royal Dutch Shell both losing 2.2 per cent, while midsized oil and gas explorers were some of the biggest fallers on the FTSE All-Share index.
Brent crude oil dropped below $70 a barrel on Thursday, taking losses over the last two sessions to more than 3 per cent as traders weighed the risks from a US-China trade war and rising inventories in the US.
Brent was down 1.7 per cent in late-morning trading in London to $69.77 a barrel, while US marker West Texas Intermediate lost a similar amount to trade at $60.35 a barrel.
The sell-off weighed on oil companies traded in London, with BP and Royal Dutch Shell both losing 2.2 per cent, while midsized oil and gas explorers were some of the biggest fallers on the FTSE All-Share index.
Aramco Starts Fuel Trading From #UAE With Ex-BP, Pemex Hires - Bloomberg
Aramco Starts Fuel Trading From U.A.E. With Ex-BP, Pemex Hires - Bloomberg:
Saudi Aramco hired two Singapore-based traders and began dealing in fuel at the Middle East’s main bunkering port as the world’s biggest oil exporter expands further into the trading business.
Aramco’s trading unit started doing deals earlier this month at its new office in the United Arab Emirates port of Fujairah, according to people with knowledge of the situation. It hired five people, including Avyay Saxena who formerly worked at BP Plc and Trafigura Group and Max Moran who worked at the trading unit of Mexico’s Pemex, they said.
The company also hired a specialist in blending different products, according to the people, who asked not to be identified because they’re not authorized to speak to the media. Aramco Trading media officials didn’t immediately respond to a request for comment.
Saudi Aramco hired two Singapore-based traders and began dealing in fuel at the Middle East’s main bunkering port as the world’s biggest oil exporter expands further into the trading business.
Aramco’s trading unit started doing deals earlier this month at its new office in the United Arab Emirates port of Fujairah, according to people with knowledge of the situation. It hired five people, including Avyay Saxena who formerly worked at BP Plc and Trafigura Group and Max Moran who worked at the trading unit of Mexico’s Pemex, they said.
The company also hired a specialist in blending different products, according to the people, who asked not to be identified because they’re not authorized to speak to the media. Aramco Trading media officials didn’t immediately respond to a request for comment.
'Very Bullish' on GCC Bond Market, Shuaa Capital Says – Bloomberg
'Very Bullish' on GCC Bond Market, Shuaa Capital Says – Bloomberg:
Aarthi Chandrasekaran, portfolio manager at Shuaa Capital Asset Management at talks about Saudi Arabian banks and the stock market, oil, and the bond markets in the six-nation Gulf Cooperation Council. She speaks "Bloomberg Daybreak: Middle East." (Source: Bloomberg)
Aarthi Chandrasekaran, portfolio manager at Shuaa Capital Asset Management at talks about Saudi Arabian banks and the stock market, oil, and the bond markets in the six-nation Gulf Cooperation Council. She speaks "Bloomberg Daybreak: Middle East." (Source: Bloomberg)
#Saudi Gas Deal Signals Commitment to Oil Cuts, Brookfield Says - Bloomberg
Saudi Gas Deal Signals Commitment to Oil Cuts, Brookfield Says - Bloomberg:
Saudi Aramco's deal to buy a stake in a U.S. gas export project is a sign the kingdom may be willing to support crude production cuts for longer as it seeks to reduce economic reliance on oil, according to Brookfield Asset Management Inc.
The state-owned company announced that it’s taking a 25% stake in Sempra Energy’s Port Arthur liquefied natural gas terminal in Texas. The investments are consistent with Saudi Arabia’s 2030 vision to diversify away from oil and has spurred the country’s willingness to cede crude market share to the U.S. and others through production cuts, said Jeff Jorgensen, portfolio manager and director of research at Brookfield’s Public Securities Group.
“To the extent that they make downstream investments, I think it’s a good sign on their willingness on the crude side to continue to support the production cuts and extend them,” Jorgensen said in an interview in New York.
Saudi Aramco's deal to buy a stake in a U.S. gas export project is a sign the kingdom may be willing to support crude production cuts for longer as it seeks to reduce economic reliance on oil, according to Brookfield Asset Management Inc.
The state-owned company announced that it’s taking a 25% stake in Sempra Energy’s Port Arthur liquefied natural gas terminal in Texas. The investments are consistent with Saudi Arabia’s 2030 vision to diversify away from oil and has spurred the country’s willingness to cede crude market share to the U.S. and others through production cuts, said Jeff Jorgensen, portfolio manager and director of research at Brookfield’s Public Securities Group.
“To the extent that they make downstream investments, I think it’s a good sign on their willingness on the crude side to continue to support the production cuts and extend them,” Jorgensen said in an interview in New York.
Oil set for worst week in 6 months as crude stockpiles surge | ZAWYA MENA Edition
Oil set for worst week in 6 months as crude stockpiles surge | ZAWYA MENA Edition:
Oil prices dropped on Thursday, extending falls from the previous session amid surging U.S. crude inventories as low refinery runs and ongoing trade tensions weighed on the demand outlook.
World shares made it four days in the red in the last five as concerns grew the China-U.S. trade conflict was fast turning into a technology cold war between the world's two largest economies.
Brent crude futures , the international benchmark for oil prices, were at $69.77 per barrel at 1016 GMT, down $1.22 from their last close.
U.S. West Texas Intermediate (WTI) crude futures were down by $1.09 cents at $60.33 per barrel, after falling 2.5% the previous day.
Oil prices dropped on Thursday, extending falls from the previous session amid surging U.S. crude inventories as low refinery runs and ongoing trade tensions weighed on the demand outlook.
World shares made it four days in the red in the last five as concerns grew the China-U.S. trade conflict was fast turning into a technology cold war between the world's two largest economies.
Brent crude futures , the international benchmark for oil prices, were at $69.77 per barrel at 1016 GMT, down $1.22 from their last close.
U.S. West Texas Intermediate (WTI) crude futures were down by $1.09 cents at $60.33 per barrel, after falling 2.5% the previous day.
#Saudi court accepts AHAB's bankruptcy filing, rejects liquidation: sources - Reuters
Saudi court accepts AHAB's bankruptcy filing, rejects liquidation: sources - Reuters:
A Saudi commercial court has accepted a filing by conglomerate AHAB to have its decade-long dispute with creditors resolved under the kingdom’s new bankruptcy law, and rejected a demand to liquidate the company filed by two of its creditors, sources familiar with the matter said.
The bankruptcy filing was seen as a key test of Saudi Arabia’s new law for handling insolvency disputes, which became effective last year as part of reforms aimed at making the country more investor friendly.
Following an appeal, the Dammam Commercial Court earlier this week reconsidered its previous rejection of AHAB’s (Ahmad Hamad Algosaibi and Brothers) filing for a financial restructuring procedure and approved it, the sources said.
A Saudi commercial court has accepted a filing by conglomerate AHAB to have its decade-long dispute with creditors resolved under the kingdom’s new bankruptcy law, and rejected a demand to liquidate the company filed by two of its creditors, sources familiar with the matter said.
The bankruptcy filing was seen as a key test of Saudi Arabia’s new law for handling insolvency disputes, which became effective last year as part of reforms aimed at making the country more investor friendly.
Following an appeal, the Dammam Commercial Court earlier this week reconsidered its previous rejection of AHAB’s (Ahmad Hamad Algosaibi and Brothers) filing for a financial restructuring procedure and approved it, the sources said.
Sovereign wealth funds hike investments in venture capital -report - Reuters
Sovereign wealth funds hike investments in venture capital -report - Reuters:
Sovereign wealth funds invested more equity in unlisted technology companies in 2018 than in any year since 2015, new research showed on Thursday, as public markets shrank due to fewer initial public offerings and large share repurchases.
The commitment of wealth funds to early-stage firms doubled from the previous year, while the number of transactions at the growth-capital stage rose by over 40%, according to the 2018 International Forum of Sovereign Wealth Funds (IFSWF) Annual Report.
Sovereign wealth funds invested more equity in unlisted technology companies in 2018 than in any year since 2015, new research showed on Thursday, as public markets shrank due to fewer initial public offerings and large share repurchases.
The commitment of wealth funds to early-stage firms doubled from the previous year, while the number of transactions at the growth-capital stage rose by over 40%, according to the 2018 International Forum of Sovereign Wealth Funds (IFSWF) Annual Report.
Oil continues slide on U.S. crude stockpiles surge - Reuters
Oil continues slide on U.S. crude stockpiles surge - Reuters:
Oil prices dropped on Thursday, extending falls from the previous session amid surging U.S. crude inventories as ample supply and weak refinery data weighed on demand.
Brent crude futures, the international benchmark for oil prices, were at $70.40 per barrel at 0857 GMT, down 59 cents from their last close.
U.S. West Texas Intermediate (WTI) crude futures were down by 43 cents at $60.99 per barrel, after falling 2.5% the previous day.
Oil prices dropped on Thursday, extending falls from the previous session amid surging U.S. crude inventories as ample supply and weak refinery data weighed on demand.
Brent crude futures, the international benchmark for oil prices, were at $70.40 per barrel at 0857 GMT, down 59 cents from their last close.
U.S. West Texas Intermediate (WTI) crude futures were down by 43 cents at $60.99 per barrel, after falling 2.5% the previous day.
#Brazil Senate clears runway for foreign airlines on domestic routes - Reuters
Brazil Senate clears runway for foreign airlines on domestic routes - Reuters:
Brazil’s Senate on Wednesday passed legislation allowing foreign-controlled airlines to operate domestic flights, opening up Latin America’s largest air travel market after years of debate.
The measure passed Brazil’s Senate on Wednesday following approval by the lower chamber on Tuesday. Because Congress added a provision barring airlines from charging passengers for their first checked bag, the bill will require the signature of President Jair Bolsonaro before becoming law.
The new rules could soon boost competition in Brazil’s increasingly concentrated airline market. But the change in baggage fees will face pushback from airlines, including industry group Latin American and Caribbean Air Transport Association.
Brazil’s Senate on Wednesday passed legislation allowing foreign-controlled airlines to operate domestic flights, opening up Latin America’s largest air travel market after years of debate.
The measure passed Brazil’s Senate on Wednesday following approval by the lower chamber on Tuesday. Because Congress added a provision barring airlines from charging passengers for their first checked bag, the bill will require the signature of President Jair Bolsonaro before becoming law.
The new rules could soon boost competition in Brazil’s increasingly concentrated airline market. But the change in baggage fees will face pushback from airlines, including industry group Latin American and Caribbean Air Transport Association.
#Qatar stock exchange looks to new ETFs to attract more foreign cash - Reuters
Qatar stock exchange looks to new ETFs to attract more foreign cash - Reuters:
Qatar’s stock exchange is developing two new Exchange Traded Funds, part of efforts by the Middle East’s strongest performing stock market in 2018 to boost foreign investment, CEO Rashid al-Mansoori said.
Qatar has been on a drive to attract capital from new sources since Saudi Arabia, the United Emirates, Bahrain, and Egypt imposed an economic boycott over what they allege is Qatar’s support of terrorism, which Doha denies.
Companies on Qatar’s exchange have since increased foreign ownership limits to 49%, most of which had previously been set at 25%, drawing a flood of cash that helped to boost the main index by more than 20% last year.
Qatar’s stock exchange is developing two new Exchange Traded Funds, part of efforts by the Middle East’s strongest performing stock market in 2018 to boost foreign investment, CEO Rashid al-Mansoori said.
Qatar has been on a drive to attract capital from new sources since Saudi Arabia, the United Emirates, Bahrain, and Egypt imposed an economic boycott over what they allege is Qatar’s support of terrorism, which Doha denies.
Companies on Qatar’s exchange have since increased foreign ownership limits to 49%, most of which had previously been set at 25%, drawing a flood of cash that helped to boost the main index by more than 20% last year.
MIDEAST STOCKS-Financials weigh on most of Gulf, FAB lifts #AbuDhabi - Agricultural Commodities - Reuters
MIDEAST STOCKS-Financials weigh on most of Gulf, FAB lifts Abu Dhabi - Agricultural Commodities - Reuters:
Most major Gulf markets fell on Thursday weighed down by banking shares, mirroring wider Asian slump amid U.S.-China trade conflict. But the top lender lifted Abu Dhabi.
Dubai’s index lost 0.9% with all financial and real estate shares sliding.
Emirates NBD, its largest lender, dropped 1.8% and blue-chip developer Emaar Properties was down 0.5%.
Most major Gulf markets fell on Thursday weighed down by banking shares, mirroring wider Asian slump amid U.S.-China trade conflict. But the top lender lifted Abu Dhabi.
Dubai’s index lost 0.9% with all financial and real estate shares sliding.
Emirates NBD, its largest lender, dropped 1.8% and blue-chip developer Emaar Properties was down 0.5%.