Oil Inches Higher as Investors Await Pivotal Trade, OPEC+ Talks - Bloomberg

Oil Inches Higher as Investors Await Pivotal Trade, OPEC+ Talks - Bloomberg: Oil closed Thursday in a holding pattern as traders awaited gatherings that could be decisive for the U.S.-China trade feud and the OPEC+ coalition’s commitment to supply curbs.

Futures edged up 0.1% in New York, with the outcome of both parleys uncertain. U.S. President Donald Trump, in fact, threatened more levies on China if there’s no progress at his meeting with Chinese leader Xi Jinping on the sidelines of the G-20 summit on Saturday.

West Texas Intermediate for August delivery rose 5 cents to $59.43 a barrel on the New York Mercantile Exchange, its highest closing price since May 22.

Brent for August settlement was 6 cents higher at $66.55 on London’s ICE Futures Europe Exchange. The global benchmark crude traded at a premium of $7.10 to WTI.

#Dubai's Biggest Bank Gets Key Approval for Turkey Denizbank Deal - Bloomberg

Dubai's Biggest Bank Gets Key Approval for Turkey Denizbank Deal - Bloomberg:

Emirates NBD PJSC received a key regulatory approval taking Dubai’s biggest lender a step closer to completing its purchase of Turkey’s Denizbank AS, two people with knowledge of the matter said.

Emirates NBD got approval from the United Arab Emirates central bank, but still needs Turkey’s banking regulator to approve before the acquisition from Russia’s Sberbank PJSC can be completed, said the people, asking not to be identified because the information isn’t public.

Denizbank declined to comment. Sberbank’s press office didn’t respond to requests for comment. The U.A.E.’s central bank didn’t immediately respond to an email and calls seeking comment.

European trio prepare to launch delayed #Iran payments channel | Financial Times

European trio prepare to launch delayed Iran payments channel | Financial Times:

Germany, the UK and France will announce that a payments channel designed to boost trade with Iran is finally operational at a crunch meeting on Friday as European governments battle to save the 2015 nuclear deal.

But the initiative, known as Instex, is expected to have initial capital of only several million euros, raising questions about whether it will be enough to convince Tehran to stick with the accord that Donald Trump abandoned last year.

Officials from the remaining signatories to the accord — the three European states, China, Russia and Iran — will meet in Vienna to discuss its status as Tehran threatens to increase its nuclear activity above limits in the agreement.

MIDEAST STOCKS-Global rally propels Gulf markets; Saudis lead - Reuters

MIDEAST STOCKS-Global rally propels Gulf markets; Saudis lead - Reuters:

All major Gulf markets gained on
Thursday, reflecting a global equity rally, amid hopes for a
U.S.-China trade truce, with Saudi shares getting a further
boost from after limits were lowered on foreign share ownership.

Saudi's stock index was up 1.3%, with Arab National
Bank rising 7% and Al Rajhi Bank up 1.9%.

Saudi Arabia has relaxed a 49% limit for foreign strategic
investors in a company's shares, aiming to attract foreign funds
as the Kingdom opens up the region's largest market.

#Dubai's DAE signs new $440mln unsecured revolving credit facility | ZAWYA MENA Edition

Dubai's DAE signs new $440mln unsecured revolving credit facility | ZAWYA MENA Edition:

Dubai Aerospace Enterprise, DAE, announced Thursday that it has signed a new long-term unsecured revolving credit facility with First Abu Dhabi Bank PJSC and HSBC Bank Middle East Limited as bookrunners and mandated lead arrangers.

Following an oversubscription in syndication the Facility was closed at an amount of US$440 million with a group of 12 lenders. The Facility will support the future financing needs of the business.

Firoz Tarapore, Chief Executive Officer of DAE, said, "We are pleased to sign this facility with First Abu Dhabi Bank and HSBC. This facility reinforces the strong availability of liquidity in the market and the confidence in DAE’s strategy and reputation. DAE has raised US$2.8 billion of new, long-term unsecured revolving credit facilities in the last year.

Deal agreed for #UAE and Qatari assets of collapsed contractor | ZAWYA MENA Edition

Deal agreed for UAE and Qatari assets of collapsed contractor | ZAWYA MENA Edition:

The liquidator of collapsed contracting business Joannou & Paraskevaides (Overseas), which owned stakes in a range of contracting businesses across the Middle East, has agreed sales of interests in companies in the UAE and Qatar, but its beleaguered Saudi Arabian arm which owed hundreds of millions of riyals to its workers is now being wound up.

Joannou & Paraskevaides (J&P) (Overseas) was placed into liquidation in November after the business “faced significant liquidity issues and was cash flow insolvent”, liquidators Alvarez & Marsal told Zawya in November.

The company's operations were hampered due to a dispute between the founding Joannou and Paraskevaides families, according to a Forbes story in November last year. J&P (Overseas) employed 957 people directly, all of whom were laid off, but its subsidiaries employed more 16,000, the liquidators said.

OPEC set for rollover, may discuss deeper oil curbs: Iraq - Reuters

OPEC set for rollover, may discuss deeper oil curbs: Iraq - Reuters:

OPEC is expected to roll over a deal on cutting supplies at a meeting next week and discuss deepening the curbs that have been in place since Jan. 1, Iraq’s oil minister on Thursday.

A deal between the Organization of Petroleum Exporting Countries and allies including Russia to curb output by 1.2 million barrels runs out at the end of June. Meetings on July 1-2 in Vienna will discuss the next steps.

“The rollover at least would be at the same level because it has not been very effective, it has been effective to a certain level to minimize the glut in the market, but there are now ideas or calls for agreeing (on) even more,” Oil Minister Thamer Ghadhban said.

Flow of cheap gas hits coal prices | Financial Times

Flow of cheap gas hits coal prices | Financial Times:

Ahead of the G20 summit in Osaka later this week the anti-coal lobby has been out in force, calling on governments to phase out subsidies for the fossil fuel. Activists are preparing to inflate a blimp with a likeness of Shinzo Abe, Japan’s prime minister, standing in a bucket of coal, as they urge the country to stop building new coal-fired power plants.

For the moment, however, the coal industry has more pressing concerns, in particular competition from cheap natural gas, which has caused a steep drop in prices.

A year ago thermal coal, which is burnt in power stations to generate electricity, was trading at more than $100 a tonne. Today it sits at $70 a tonne and lower in some parts of the world.

MIDEAST STOCKS-Saudi stocks lead Gulf higher as it eases foreign ownership limit - Reuters

MIDEAST STOCKS- #Saudi stocks lead Gulf higher as it eases foreign ownership limit - Reuters:

Saudi stocks rose on Thursday after the kingdom relaxed its limit on foreign share ownership, and other Gulf markets gained after falling in recent sessions amid political concerns.

Saudi’s stock index was up 0.6% in early trade with banks leading the gains. Arab National Bank rose 7% and Al Rajhi Bank added 0.7%.

Saudi Arabia has relaxed a 49% limit for foreign strategic investors in a company’s shares, aiming to attract foreign funds as the Kingdom opens up the region’s largest market.

Which Oil Buyers Have Most at Stake as Mideast Tensions Rise - Bloomberg

Which Oil Buyers Have Most at Stake as Mideast Tensions Rise - Bloomberg:

Tensions in the Middle East are rising to the point where U.S. President Donald Trump has even started talking about who pays for the protection of the Strait of Hormuz, a shipping corridor through which one third of all seaborne petroleum passes.

This article takes a look at which nations get their oil supplies from the Persian Gulf – and from exactly where in the region they load those barrels. 

Trump made the point that Asian buyers rely on shipments through Hormuz far more than the U.S. does. And on that point, he’s right (albeit some of his figures were off the mark). Only a small proportion of the crude and condensate, a form of light oil extracted from gas fields, that leaves the region now heads for American ports. In the past three months, it accounted for about 800,000 barrels a day, or just 6% of the total shipments from the Persian Gulf ports in Saudi Arabia, Iraq, Kuwait, the United Arab Emirates and Qatar.

Oil Retreats From Five-Week High as Trump Damps Trade Optimism - Bloomberg

Oil Retreats From Five-Week High as Trump Damps Trade Optimism - Bloomberg:

Oil retreated from a five-week high as concern over the trade war came back to the fore after President Donald Trump warned he might impose substantial additional tariffs on Chinese imports.

Futures in New York fell as much as 1.1% after closing up 2.7% Wednesday as the Energy Information Administration reported U.S. crude stockpiles dropped the most in almost a year. Trump warned in an interview with Fox Business Network of more levies if there’s no progress at his meeting with Chinese President Xi Jinping on the sidelines of the G-20 Summit on Saturday.

Oil jumped more than 10% in the week through Wednesday on tensions in the Persian Gulf as well as the American stockpiles draw. Trump’s latest tariff threat is reminding investors that an already fragile demand outlook could worsen if the world’s two biggest economies don’t return to the negotiating table. Meanwhile, the Organization of Petroleum Exporting Countries and its allies are set to decide on production levels at a meeting in Vienna next week.

DIFC set to appoint service providers for new gratuity scheme next month | ZAWYA MENA Edition

DIFC set to appoint service providers for new gratuity scheme next month | ZAWYA MENA Edition:

The Dubai International Financial Centre (DIFC) is looking to appoint services providers for its reformed end-of-service gratuity scheme by the end of July as it pushes ahead to put measures into effect by the first quarter of next year.

The planned DIFC Employee Workplace Savings (DEWS) Trust is a funded, trust-based savings scheme set to replace the existing end-of-service gratuity system. 


“We have initiated competitive bidding (RFP) process to appoint the services providers to the scheme, such as the Master Trustee, the Administrator and Investment Advisor,” Jacques Visser, chief legal officer at DIFC Authority, told Zawya in a telephone interview.

COLUMN-Unlike crude oil, LNG takes Gulf tensions in its stride: Russell - Reuters

COLUMN-Unlike crude oil, LNG takes Gulf tensions in its stride: Russell - Reuters:

The subdued reaction of global liquefied natural gas (LNG) prices to the latest tensions around the Persian Gulf not only stands in contrast to the excitable crude oil market, but perhaps offers a more reasonable assessment of the risks. 


While spot prices for LNG did move somewhat higher in the wake of the attacks on two tankers in the nearby Gulf of Oman on June 13, the reaction wasn’t as pronounced as the spike in global oil benchmark Brent.

In some ways this could be viewed as surprising as LNG is actually more exposed to the threat of closure of the Strait of Hormuz, the narrow sea lane that links the Persian and Oman gulfs.