Surprise Crude Build Disappoints Oil Bulls | OilPrice.com

Surprise Crude Build Disappoints Oil Bulls | OilPrice.com:

The American Petroleum Institute (API) has estimated a crude oil inventory build of 3.639 million barrels for the week ending November 21, compared to analyst expectations of a 418,000-barrel draw in inventory.

Last week saw a build in crude oil inventories of 5.954 million barrels, according to API data. The EIA’s estimates, however, reported a build of 1.4-million barrels for that week.

After today’s inventory move, the net draw has swung into build territory for the year, standing at 830,000 barrels for the 48-week reporting period so far, using API data.

Oil gains, bolstered again by U.S.-China trade talks - Reuters

Oil gains, bolstered again by U.S.-China trade talks - Reuters:

Oil prices rose on Tuesday after news that U.S. and Chinese officials discussed trade, while predictions for a weekly draw on U.S. crude stockpiles lent some support as well.

Brent crude futures LCOc1 gained 62 cents to settle at $64.27 a barrel, while West Texas Intermediate crude CLc1 rose 40 cents to settle at $58.41 a barrel.

The United States and China are close to agreement on the first phase of a trade deal, U.S. President Donald Trump said on Tuesday, after top negotiators from the two countries spoke by telephone and agreed to keep working on remaining issues.

In the last few months, markets have swung back and forth, rallying on headlines suggesting the barest progress, even as an agreement has yet to be nailed down.

#Saudi Aramco turns to Gulf funds to prop up IPO | Financial Times

Saudi Aramco turns to Gulf funds to prop up IPO | Financial Times:

Abu Dhabi is expected to invest about $1.5bn in Saudi Aramco, as Riyadh asks the region’s state-backed funds for billions of dollars to backstop the long-awaited flotation. 


Two people briefed on the move said Abu Dhabi’s decision to invest had come from the top, with the leadership keen to support its allies in Riyadh.

Saudi Aramco executives met with investors in the emirate this week following a decision by Riyadh not to market shares outside Saudi Arabia and its Gulf neighbours.

The company several weeks ago made an initial pitch to Abu Dhabi officials, including representatives from the emirate’s sovereign funds and government-related entities, seeking to persuade the oil-rich capital of the UAE to become a major investor in the IPO, according to one person briefed on the meeting.

Why foreign investors questioned Aramco's IPO valuation | FT

#Iran to Replace $11 Billion of Imports as Economic Crisis Bites - Bloomberg

Iran to Replace $11 Billion of Imports as Economic Crisis Bites - Bloomberg:

Iran plans to manufacture $11 billion worth of products in the next two years to replace some imports and help contend with crippling U.S.-led sanctions.

The Islamic Republic aims to produce electrical, automobile and telecommunications goods and double exports to 15 neighboring countries in order to reach a target value of $48 billion, Reza Rahmani, minister for industry, mining and trade, was cited as saying by state-run Islamic Republic News Agency.

Iran started to ban some 1,400 non-essential goods and commodities within weeks of a sharp decline in the value of the rial against the dollar last year, after the U.S. abandoned the 2015 nuclear deal and reimposed sanctions. The policy is designed to support local manufacturers and shore up foreign exchange supplies.

Qatar Broadcaster Reviews $500 Million Italian Football Deal - Bloomberg

Qatar Broadcaster Reviews $500 Million Italian Football Deal - Bloomberg:

Plans for a soccer match between Turin’s Juventus and Rome’s Lazio in Saudi Arabia next month have sparked a financial threat from a Qatari broadcaster, one of the Italian league’s main partners, which says the event endorses a country that has been pirating its premium sports broadcasts since before the last World Cup.

Over the past year, Qatar’s BeIN Media has been pressing Italy’s elite soccer league, Serie A, to scrap the matches in Saudi, with whom the league has a $22.5 million contract for three games over five seasons. The first match was held last January.

BeIN now says it will reconsider all its financial agreements with Italian soccer, worth around $500 million over a three-year cycle. The Qatari broadcaster accounts for some 55% of Serie A revenue from overseas rights -- bought via the league’s sports rights agency IMG -- with contracts to show matches in the Middle East, Asia and parts of Europe. The President of the Saudi Arabian Football Federation, Yasser Almisehal, said the government had no involvement in any piracy.

Aramco IPO retail subscription at $7.21 billion: lead manager - Reuters

Aramco IPO retail subscription at $7.21 billion: lead manager - Reuters:

Retail subscription for Saudi Aramco’s initial public offering (IPO) reached 27.04 billion Saudi riyals ($7.21 billion) on Tuesday, lead manager Samba Capital said.

The retail element of the sale so far amounts to a total of 845,101,020 shares, Samba Capital said in a statement.

The last day of subscription for the retail tranche of the share sale is Nov. 28, it said. Aramco launched the IPO on Nov. 3.

The oil giant said it plans to sell 1.5% of the company, or about 3 billion shares, at an indicative price range of 30 riyals to 32 riyals, valuing the IPO at as much as 96 billion riyals ($25.6 billion) and giving the company a potential market value of between $1.6 trillion and $1.7 trillion.

Expo 2020 unlikely to stop #Dubai's real estate downward trajectory: S&P - Reuters

Expo 2020 unlikely to stop Dubai's real estate downward trajectory: S&P - Reuters:

Expo 2020 is unlikely to improve the dire conditions of Dubai’s real estate market, S&P Global Ratings said, where residential property prices have fallen by over a quarter since 2014.

Dubai could attract 11 million foreign visitors to the Expo 2020 world fair, which starts in October next year, organizers have previously said.

But while this may give a boost to tourism and improve conditions for the retail sector, the emirate’s real estate market – crucial to Dubai’s economy – is unlikely to be impacted.

“We believe Expo 2020, just on the back of potential visitor flows to the emirate, will ease temporary pressures on hotels and retailers. However, it is unlikely to materially improve long-term conditions in the real estate sector,” S&P Global Ratings credit analyst Sapna Jagtiani said in a statement.

Ex-Barclays banker taken aback by fees #Qatar demanded, court hears - Reuters

Ex-Barclays banker taken aback by fees Qatar demanded, court hears - Reuters:

Roger Jenkins, a former senior Barclays banker tasked with securing a financial lifeline from Qatar at the height of the credit crisis, told a London fraud trial on Tuesday he had been taken aback at the fees demanded by the Gulf state.

Jenkins, 64, told a jury at the Old Bailey criminal court that he had expected Hussain Al-Abdullah, the negotiator for Qatar’s former prime minister Sheikh Hamad bin Jassim bin Jabr al-Thani, to play hardball when he and colleagues met him in his suite at London’s luxury Claridges Hotel on June 3, 2008.

But he said he was surprised when Al-Abdulla, known as Dr Hussain, demanded a fee of 3.75 percent for participating in the first part of what would become an 11 billion pound ($14 billion), two part capital raising over 2008.

Outgoing Lebanese PM withdraws candidacy for post

Outgoing Lebanese PM withdraws candidacy for post:

Outgoing Lebanese Prime Minister Saad Hariri on Tuesday withdrew his candidacy for the premiership, saying he hoped to clear the way for a solution to the political impasse amid weeks of anti-government protests.

Hariri resigned nearly a month ago in response to mass protests ignited by a severe financial crisis. His resignation met a key demand of the protesters but plunged the country into uncertainty, with no clear path to resolving its economic and political problems.

Politicians have failed to agree on the shape and form of a new government. Hariri had insisted on heading a government of technocrats, while his opponents, including the militant group Hezbollah, want a Cabinet made up of both experts and politicians.

The frustrated protesters have resorted to road closures and other tactics in an effort to pressure politicians into responding to their demands for a new government.

IEA Warns Of A Looming Oil Glut Ahead Of OPEC Meeting | OilPrice.com

IEA Warns Of A Looming Oil Glut Ahead Of OPEC Meeting | OilPrice.com:

Strong oil supply growth from non-OPEC countries puts a lot of pressure on OPEC and its Russia-led partners to act, and they will hopefully make the right decision for themselves and for the still ‘very fragile’ global economy, Fatih Birol, the Executive Director of the International Energy Agency (IEA), told Reuters in an interview on Tuesday.

OPEC and its non-OPEC allies are meeting in Vienna next week to discuss the state of the global oil market and the fate of their production cut deal. The meeting comes as global oil demand growth has slowed down this year amid weakening economic growth and the continued trade spat between the two biggest economies in the world, the United States and China.

The meeting is expected to decide how the OPEC+ group of partners will proceed with the production cuts that are currently in place until March 2020. The market expects the group to come up with a decision next week—either to roll over the cuts, or to deepen them, otherwise analysts expect a sell-off in oil.

MIDEAST STOCKS-Gulf stocks slide as MSCI rebalancing prompts passive fund outflows - Reuters

MIDEAST STOCKS-Gulf stocks slide as MSCI rebalancing prompts passive fund outflows - Reuters:

Gulf stock markets fell on Tuesday, with
the Saudi index leading the losses after MSCI rebalancing that
triggered passive fund outflows, while Egyptian stocks also came
under pressure.

Saudi Arabia's benchmark index slid 1.7%, dragged
down by a 3.3% drop in Al Rajhi Bank and a 4% plunge
in National Commercial Bank.

Among other stocks, Saudi Basic Industries and
Savola Group eased 3% and 5.6% respectively.

Global index provider MSCI on Tuesday implemented the final
step of the weight increase of mainland Chinese stocks, or A
shares, in its widely followed emerging markets benchmark

Why the Gulf states are betting on sport | Financial Times

Why the Gulf states are betting on sport | Financial Times:

Eddie Hearn was feeling emotional. Flanked by boxers Anthony Joshua, a former heavyweight champion, and Andy Ruiz Jnr, a Mexican-American fighter who shocked the sport by winning their bout in June, the British sports promoter was in Diriyah, a historical site in the conservative heartland of Saudi Arabia, talking up the next championship bout.

In comparison to the usual pre-fight press conference, it was a polite affair. The fighters avoided trading insults and praised their hosts. Interviews were conducted after prayers.

“Sometimes our sport is very narrow minded,” said Mr Hearn, the mud-brick remains of the ruling al-Saud family’s ancestral home providing the backdrop to the setting. “There’s Las Vegas, there’s New York, there’s London. [But] there’s a whole world out there and now there’s Saudi Arabia for boxing.”

#Turkey Expands Crisis-Era Swap Deal With #Qatar to $5 Billion - Bloomberg

Turkey Expands Crisis-Era Swap Deal With Qatar to $5 Billion - Bloomberg:

Turkish and Qatari central banks are boosting the size of a currency-swap deal that dates back to last year’s lira crisis, extending the gas-rich Gulf nation’s support for its ally by adding to its foreign-exchange reserves.

Clinched during President Recep Tayyip Erdogan’s visit to Doha, the agreement will raise the limit on the existing arrangement to $5 billion from $3 billion. The goal is to boost “bilateral trade in respective local currencies and to support financial stability of the two countries,” Turkey’s central bank said in a statement on Tuesday.

Drawn closer by a succession of crises in both countries, the latest commitment cements an alliance that began to deepen after a failed 2016 coup against Erdogan, when he received backing from Qatar’s rulers. Turkey returned the favor a year later by siding with Qatar after it came under an economic boycott from a group of countries led by Saudi Arabia, Turkey’s rival in the Middle East.

#SaudiArabia Aramco IPO News: #AbuDhabi Plans $1.5 Billion Stake - Bloomberg

Saudi Arabia Aramco IPO News: Abu Dhabi Plans $1.5 Billion Stake - Bloomberg:

Abu Dhabi is planning to put as much as $1.5 billion into Saudi Aramco’s initial public offering, as the oil giant taps friendly neighbors to prop up a deal that’s so far failed to draw foreign investors, people with knowledge of the matter said.

The emirate is seeking to make the investment through one or more state-linked entities, according to the people, who asked not to be identified because the information is private. Aramco representatives are meeting officials of some top Abu Dhabi funds and companies this week to discuss the potential commitments, the people said.

Bringing in a major investor from outside the kingdom would be a relief for Saudi Arabia after plans to market the IPO globally were abandoned. Aramco had high hopes of drawing in sovereign investors, including a big commitment from China, but has yet announce any firm commitments.

Revealed: #AbuDhabi's plan to become global air cargo hub - Arabianbusiness

Revealed: Abu Dhabi's plan to become global air cargo hub - Arabianbusiness:

The program will culminate with the inauguration of Etihad Cargo’s future home, a new air cargo terminal in the East Midfield section of the airport.

Abu Dhabi Airports and Etihad Cargo on Tuesday announced a major project to enhance Abu Dhabi International Airport into a global air cargo centre of excellence.

The two entities said they will implement a multi-phased cargo infrastructure development strategy, starting with the imminent upgrade of Etihad’s existing air cargo terminal facilities on the Southside airport perimeters.

The program will culminate with the inauguration of Etihad Cargo’s future home, a new air cargo terminal in the East Midfield section of the airport, an area designated by Abu Dhabi Airports for future integrated cargo, logistics and integrator activities, a statement said.

Singapore's Hyflux strikes $300 million rescue deal with #UAE's Utico - Reuters

Singapore's Hyflux strikes $300 million rescue deal with UAE's Utico - Reuters:

Embattled Singapore water firm Hyflux (HYFL.SI) said on Tuesday it had entered a restructuring deal worth S$400 million ($293 million) with United Arab Emirates-based utility Utico FZC.

The deal will see Utico subscribe to S$300 million in Hyflux shares, giving it a 95% stake, and inject working capital of S$100 million, the Singapore company said in a statement.

The agreement comes after debt-laden Hyflux - once lauded as a national champion running a strategically important water source for the city-state - entered a court-supervised restructuring process this year that threatened to wipe out the holdings of tens of thousands of retail investors.

Oil firms as optimism returns to U.S.-China trade talks - Reuters

Oil firms as optimism returns to U.S.-China trade talks - Reuters:

Oil prices rose on Tuesday on hopes of progress toward a trade agreement between the United States and China, the world’s biggest oil users, and predictions of a draw in U.S. crude inventories.

Brent crude LCOc1, the international benchmark for oil prices, was up 20 cents at $63.85 at 0958 GMT. West Texas Intermediate crude CLc1 rose 19 cents to $58.20.

Top U.S. and Chinese trade negotiators held a phone call on Tuesday morning, China’s Commerce Ministry said, as the two sides try to hammer out a preliminary “phase one” deal in a trade war that has dragged on for 16 months.

MIDEAST STOCKS-DIB aids #Dubai; most major Gulf markets fall - Reuters

MIDEAST STOCKS-DIB aids Dubai; most major Gulf markets fall - Reuters:

Most major Gulf stock markets fell on Tuesday, with Abu Dhabi leading the losses, though Dubai bucked the trend supported by Dubai Islamic Bank (DIB).

In Dubai, the index rose 0.2% with Dubai Islamic Bank adding 0.8%. The United Arab Emirates’ largest sharia-compliant lender called a shareholders meeting on Dec. 17 to approve acquisition of the unlisted Noor Bank.

Elsewhere, budget airline Air Arabia advanced 2.1% and Emaar Development gained 2.7%.

However, the gains were capped by losses in Emirates NBD , the lender traded down 0.8%.