Moody's raises rating of Dubai Aerospace Enterprise to investment grade - Arabianbusiness:
Dubai Aerospace Enterprise (DAE) on Wednesday announced that Moody’s Investors Service has upgraded its corporate family rating to investment grade.
The ratings agency said the rating of the aircraft leasing company had been changed from Baa3 from Ba1, and the senior unsecured rating of subsidiary DAE Funding to Baa3 from Ba2. This action concludes the review for upgrade initiated in November, the agency said, adding that the outlook is stable.
Firoz Tarapore, CEO of DAE said: “We have worked assiduously over the last two years to position our franchise to be rated as an investment grade company. We are delighted with this rating upgrade from Moody’s.
"DAE's senior unsecured debt is now rated investment grade by three major US credit rating agencies. This will enable us to further solidify our Top 10 franchise, accelerate our growth ambitions and strengthen our liquidity and capital position."
Wednesday 29 January 2020
Yemen's Houthis say they fired at Aramco, other #Saudi targets - Reuters
Yemen's Houthis say they fired at Aramco, other Saudi targets - Reuters:
Yemen’s Iran-aligned Houthi movement said on Wednesday it had fired rocket and drone strikes at Saudi targets including Aramco oil facilities, the group’s first claim of such attacks since it offered to halt them four months ago.
Few details were given of the precise nature and timing of the attacks, and there was no immediate confirmation from the Saudi authorities of any strikes.
In comments reported by Houthi-run Al Masirah TV, Houthi military spokesman Yahya Saria said more than 15 “operations” had been carried out in the past week inside Saudi Arabia in retaliation for an escalation in air strikes.
Saudi Aramco facilities in Jizan on the Red Sea were targeted, along with other targets near the border with Yemen, including Abha and Jizan airports and Khamis Mushait military base, “with a large number of rockets and drones”, he said in a separate statement.
Yemen’s Iran-aligned Houthi movement said on Wednesday it had fired rocket and drone strikes at Saudi targets including Aramco oil facilities, the group’s first claim of such attacks since it offered to halt them four months ago.
Few details were given of the precise nature and timing of the attacks, and there was no immediate confirmation from the Saudi authorities of any strikes.
In comments reported by Houthi-run Al Masirah TV, Houthi military spokesman Yahya Saria said more than 15 “operations” had been carried out in the past week inside Saudi Arabia in retaliation for an escalation in air strikes.
Saudi Aramco facilities in Jizan on the Red Sea were targeted, along with other targets near the border with Yemen, including Abha and Jizan airports and Khamis Mushait military base, “with a large number of rockets and drones”, he said in a separate statement.
Oil mixed as virus fears, U.S. stock build face talk of further OPEC cuts - Reuters
Oil mixed as virus fears, U.S. stock build face talk of further OPEC cuts - Reuters:
Oil prices were mixed on Wednesday as worries about the coronavirus outbreak and swelling U.S. crude inventories weighed on prices, counter-balanced by talk that OPEC could extend oil output cuts.
Brent crude LCOc1 rose 30 cents, or 0.5%, to settle at $59.81 per barrel. U.S. crude Clc1 ended at $53.33, down 15 cents or 0.3%.
Financial markets are trying to assess economic fallout as the virus spreads out of China where the death toll continues to rise, while airlines cut flights to China.
“Following the outbreak of coronavirus, commodities markets suffered from a technical selloff,” said Michel Salden, senior portfolio manager of Vontobel Asset Management. But oil prices would likely rebound soon after a 14% drop so far, far more than the fall in stock markets.
Oil prices were mixed on Wednesday as worries about the coronavirus outbreak and swelling U.S. crude inventories weighed on prices, counter-balanced by talk that OPEC could extend oil output cuts.
Brent crude LCOc1 rose 30 cents, or 0.5%, to settle at $59.81 per barrel. U.S. crude Clc1 ended at $53.33, down 15 cents or 0.3%.
Financial markets are trying to assess economic fallout as the virus spreads out of China where the death toll continues to rise, while airlines cut flights to China.
“Following the outbreak of coronavirus, commodities markets suffered from a technical selloff,” said Michel Salden, senior portfolio manager of Vontobel Asset Management. But oil prices would likely rebound soon after a 14% drop so far, far more than the fall in stock markets.
Oil Slides On Rising Crude Inventories | OilPrice.com
Oil Slides On Rising Crude Inventories | OilPrice.com:
Crude oil headed lower today, reversing a rally after the Energy Information Administration reported a build in oil inventories of 3.5 million barrels for the week to January 24.
Analysts had expected a draw of 460,000 bpd, after last week the EIA reported a draw of 400,000 bpd for the seven days to January 17.
At 431.7 million barrels, crude oil inventories in the United States are a little below the five-year average for this time of the year.
The EIA also reported a 1.2-million-barrel build in gasoline inventories as well, versus a build of 1.7 million barrels for the previous week. Gasoline production averaged 9.2 million bpd, down from 9.5 million bpd a week earlier.
Distillate fuel inventories fell by 1.3 million barrels last week. This compared with a 1.2-million-barrel decline a week earlier. Distillate fuel production averaged 5 million bpd in the week to January 24, unchanged from the previous week.
At the time of writing, Brent crude was trading at $58.75 a barrel and West Texas Intermediate was at $53.24 a barrel.
Crude oil headed lower today, reversing a rally after the Energy Information Administration reported a build in oil inventories of 3.5 million barrels for the week to January 24.
Analysts had expected a draw of 460,000 bpd, after last week the EIA reported a draw of 400,000 bpd for the seven days to January 17.
At 431.7 million barrels, crude oil inventories in the United States are a little below the five-year average for this time of the year.
The EIA also reported a 1.2-million-barrel build in gasoline inventories as well, versus a build of 1.7 million barrels for the previous week. Gasoline production averaged 9.2 million bpd, down from 9.5 million bpd a week earlier.
Distillate fuel inventories fell by 1.3 million barrels last week. This compared with a 1.2-million-barrel decline a week earlier. Distillate fuel production averaged 5 million bpd in the week to January 24, unchanged from the previous week.
At the time of writing, Brent crude was trading at $58.75 a barrel and West Texas Intermediate was at $53.24 a barrel.
Credit Suisse Ignored Warning on $2 Billion Deal With Tycoon - Bloomberg
Credit Suisse Ignored Warning on $2 Billion Deal With Tycoon - Bloomberg:
Credit Suisse Group AG ignored warnings from its outgoing regional chief executive officer on the risks of lending $2 billion to Mozambique in a scandal that has landed the Swiss bank in a lawsuit and opened up questions about its due diligence.
A legal filing from Credit Suisse published last week has revealed that Fawzi Kyriakos-Saad, at the time the chief of the bank’s EMEA business, warned a group of dealmakers not to proceed with the initial stage of the multi-billion dollar financing.
It’s the first time the lender has confirmed that its managers had misgivings about the transaction, which ultimately generated a number of deals for the bank.
The money was meant to provide for a new coastal patrol force and develop a tuna fishing fleet for one of the world’s poorest countries. But the fundraisings would ultimately come to the attention of U.S. prosecutors who alleged that the contracts were a front for government officials and Credit Suisse’s own bankers to enrich themselves by as much as $200 million.
Credit Suisse Group AG ignored warnings from its outgoing regional chief executive officer on the risks of lending $2 billion to Mozambique in a scandal that has landed the Swiss bank in a lawsuit and opened up questions about its due diligence.
A legal filing from Credit Suisse published last week has revealed that Fawzi Kyriakos-Saad, at the time the chief of the bank’s EMEA business, warned a group of dealmakers not to proceed with the initial stage of the multi-billion dollar financing.
It’s the first time the lender has confirmed that its managers had misgivings about the transaction, which ultimately generated a number of deals for the bank.
The money was meant to provide for a new coastal patrol force and develop a tuna fishing fleet for one of the world’s poorest countries. But the fundraisings would ultimately come to the attention of U.S. prosecutors who alleged that the contracts were a front for government officials and Credit Suisse’s own bankers to enrich themselves by as much as $200 million.
Sabic Sees Chemicals Glut Hit Profit as Aramco Buyout Looms - Bloomberg
Sabic Sees Chemicals Glut Hit Profit as Aramco Buyout Looms - Bloomberg:
Saudi Basic Industries Inc. expects earnings to come under further pressure this year from sluggish economic growth and an oversupply of petrochemicals. The shares fell.
The Middle East’s biggest chemicals maker reported its first quarterly loss in a decade last quarter due to lower sales prices and writedowns at a joint venture. The same factors that squeezed prices and profit margins last year are likely to persist in 2020, the state-run company said Wednesday.
“We see there is a slowdown in growth globally, specifically in China and Europe,” Chief Executive Officer Yousef Al Benyan told reporters in Riyadh. “These are very important regions that are going to impact the overall demand of our chemicals industry.” Additional production capacity in the U.S. and China “has really put pressure on margins,” he said.
Sabic is an important part of Crown Prince Mohammed bin Salman’s ambition to overhaul the kingdom’s economy by developing new industries and manufacturing. Saudi Aramco is preparing to buy the sovereign wealth fund’s majority stake in Sabic as the oil producer seeks to become a global chemicals powerhouse.
Saudi Basic Industries Inc. expects earnings to come under further pressure this year from sluggish economic growth and an oversupply of petrochemicals. The shares fell.
The Middle East’s biggest chemicals maker reported its first quarterly loss in a decade last quarter due to lower sales prices and writedowns at a joint venture. The same factors that squeezed prices and profit margins last year are likely to persist in 2020, the state-run company said Wednesday.
“We see there is a slowdown in growth globally, specifically in China and Europe,” Chief Executive Officer Yousef Al Benyan told reporters in Riyadh. “These are very important regions that are going to impact the overall demand of our chemicals industry.” Additional production capacity in the U.S. and China “has really put pressure on margins,” he said.
Sabic is an important part of Crown Prince Mohammed bin Salman’s ambition to overhaul the kingdom’s economy by developing new industries and manufacturing. Saudi Aramco is preparing to buy the sovereign wealth fund’s majority stake in Sabic as the oil producer seeks to become a global chemicals powerhouse.
Dubai's Drake & Scull files new criminal complaints against former CEO - Arabianbusiness
Dubai's Drake & Scull files new criminal complaints against former CEO - Arabianbusiness:
Drake & Scull International (DSI) said on Wednesday it has filed new criminal complaints with the Abu Dhabi public funds prosecutor against its former CEO and vice chairman Khaldoun Tabari, family members and other former executive managers.
Responding to 15 prior criminal complaints filed by Dubai-based DSI, the prosecutor has charged Tabari for misappropriation, fraud, embezzlement, intentional damage to public funds, profiteering others and forgery, DSI said, without giving details of the new complaints.
The company added in a statement that it has been pursuing legal action against Tabari to get him extradited to the UAE following his arrest by Jordanian authorities at Queen Alia International Airport in Amman.
The arrest followed an International arrest warrant filed by UAE authorities against Tabari that resulted in an Interpol red notice issued January 7. DSI recently confirmed media reports regarding the arrest.
Drake & Scull International (DSI) said on Wednesday it has filed new criminal complaints with the Abu Dhabi public funds prosecutor against its former CEO and vice chairman Khaldoun Tabari, family members and other former executive managers.
Responding to 15 prior criminal complaints filed by Dubai-based DSI, the prosecutor has charged Tabari for misappropriation, fraud, embezzlement, intentional damage to public funds, profiteering others and forgery, DSI said, without giving details of the new complaints.
The company added in a statement that it has been pursuing legal action against Tabari to get him extradited to the UAE following his arrest by Jordanian authorities at Queen Alia International Airport in Amman.
The arrest followed an International arrest warrant filed by UAE authorities against Tabari that resulted in an Interpol red notice issued January 7. DSI recently confirmed media reports regarding the arrest.
Banks to provide $650 mln loan for #Kuwait wastewater plant - Reuters
Banks to provide $650 mln loan for Kuwait wastewater plant - Reuters:
A group of six local and international banks has agreed to provide a $650 million 26-year loan to finance the construction and operation of Kuwait’s Umm al-Hayman Company for Waste Water Treatment project, three of the lenders said in a joint statement.
The consortium of banks is led by Al Ahli Bank of Kuwait , Commercial Bank of Kuwait and KfW IPEX-Bank. It also includes DZ Bank, the Korea Development Bank and Siemens Bank.
Kuwait’s Ministry of Public Works signed a public-private partnership with the project company last week to develop the plant, the statement from the lenders said.
Umm al-Hayman Company for Waste Water Treatment is 40% owned by its developers WTE Wassertechnik GmbH and Kuwait’s International Financial Advisors, 10% by the Kuwait Investment Authority and 50% by Kuwait Authority for Partnership Projects (KAPP), the statement said.
A group of six local and international banks has agreed to provide a $650 million 26-year loan to finance the construction and operation of Kuwait’s Umm al-Hayman Company for Waste Water Treatment project, three of the lenders said in a joint statement.
The consortium of banks is led by Al Ahli Bank of Kuwait , Commercial Bank of Kuwait and KfW IPEX-Bank. It also includes DZ Bank, the Korea Development Bank and Siemens Bank.
Kuwait’s Ministry of Public Works signed a public-private partnership with the project company last week to develop the plant, the statement from the lenders said.
Umm al-Hayman Company for Waste Water Treatment is 40% owned by its developers WTE Wassertechnik GmbH and Kuwait’s International Financial Advisors, 10% by the Kuwait Investment Authority and 50% by Kuwait Authority for Partnership Projects (KAPP), the statement said.
Oil rises as markets wait on virus impact and U.S. stockpiles fall - Reuters
Oil rises as markets wait on virus impact and U.S. stockpiles fall - Reuters:
Oil prices rose for a second day on Wednesday, recouping some losses after a five-day rout, on talk that OPEC could extend oil output cuts if a new coronavirus hurts demand and data showing a decline in U.S. stockpiles.
Brent crude LCOc1 rose 47 cents, or 0.8%, to $59.98 a barrel by 1350 GMT. U.S. crude was up 36 cents, or 0.7%, at $53.84.
Financial markets that have been hit by the spread of the virus out of China are trying to assess the economic fallout, with the death toll rising to 132 and airlines reducing flights to China.
“While the coronavirus continues to spread both in and outside China the market is trying to adjust positions across all asset classes,” said Saxo Bank analyst Ole Hansen.
Oil prices rose for a second day on Wednesday, recouping some losses after a five-day rout, on talk that OPEC could extend oil output cuts if a new coronavirus hurts demand and data showing a decline in U.S. stockpiles.
Brent crude LCOc1 rose 47 cents, or 0.8%, to $59.98 a barrel by 1350 GMT. U.S. crude was up 36 cents, or 0.7%, at $53.84.
Financial markets that have been hit by the spread of the virus out of China are trying to assess the economic fallout, with the death toll rising to 132 and airlines reducing flights to China.
“While the coronavirus continues to spread both in and outside China the market is trying to adjust positions across all asset classes,” said Saxo Bank analyst Ole Hansen.
MIDEAST STOCKS-Most Middle Eastern stocks rise; Egypt outperforms - Reuters
MIDEAST STOCKS-Most Middle Eastern stocks rise; Egypt outperforms - Reuters:
Most Middle Eastern stock markets rose on
Wednesday, supported by gains in banking shares and recovering
oil prices, while Egypt ended a four-day losing streak.
Oil prices rose for a second day, recouping some losses
after a five-day rout, on talk that OPEC would extend oil output
cuts if a new coronavirus hurts demand and on data showing a
decline in U.S. stockpiles.
Egypt's blue-chip index advanced 1% as Telecom
Egypt soared 10% following Vodafone Group's
agreement to sell its stake in Egyptian unit, Vodafone Egypt
.
Telecom Egypt said on Sunday it had no intention of selling
its 45% stake in Vodafone Egypt.
Stock exchange data showed that Egyptian investors were net
buyers of stocks.
Most Middle Eastern stock markets rose on
Wednesday, supported by gains in banking shares and recovering
oil prices, while Egypt ended a four-day losing streak.
Oil prices rose for a second day, recouping some losses
after a five-day rout, on talk that OPEC would extend oil output
cuts if a new coronavirus hurts demand and on data showing a
decline in U.S. stockpiles.
Egypt's blue-chip index advanced 1% as Telecom
Egypt soared 10% following Vodafone Group's
agreement to sell its stake in Egyptian unit, Vodafone Egypt
.
Telecom Egypt said on Sunday it had no intention of selling
its 45% stake in Vodafone Egypt.
Stock exchange data showed that Egyptian investors were net
buyers of stocks.
Oil Claws Back Some Virus Losses After U.S. Stockpiles Report - Bloomberg
Oil Claws Back Some Virus Losses After U.S. Stockpiles Report - Bloomberg:
Oil extended its recovery from a virus-induced slump as a report showing a drop in U.S. crude inventories, a rebound on Wall Street and speculation OPEC+ will step in to prop up prices reassured investors.
The American Petroleum Institute reported stockpiles fell by 4.27 million barrels last week, which would be the biggest drop this year if confirmed by government data due later on Wednesday. That took some attention away from the novel coronavirus, which kept spreading as confirmed cases in China overtook the official number of infections during the SARS epidemic.
Oil has rebounded 1.5% after closing at a three-month low on Monday amid concern over the potential impact of the outbreak on travel and economic activity in China, the world’s biggest energy consumer. The Organization of Petroleum Exporting Countries and its allies could deepen output cuts at its next meeting in March to take account of lower demand due to the virus, according to Ed Morse, head of commodities research at Citigroup Inc.
Oil extended its recovery from a virus-induced slump as a report showing a drop in U.S. crude inventories, a rebound on Wall Street and speculation OPEC+ will step in to prop up prices reassured investors.
The American Petroleum Institute reported stockpiles fell by 4.27 million barrels last week, which would be the biggest drop this year if confirmed by government data due later on Wednesday. That took some attention away from the novel coronavirus, which kept spreading as confirmed cases in China overtook the official number of infections during the SARS epidemic.
Oil has rebounded 1.5% after closing at a three-month low on Monday amid concern over the potential impact of the outbreak on travel and economic activity in China, the world’s biggest energy consumer. The Organization of Petroleum Exporting Countries and its allies could deepen output cuts at its next meeting in March to take account of lower demand due to the virus, according to Ed Morse, head of commodities research at Citigroup Inc.
#Sharjah's 'significant' gas discovery to boost emirate's economy | ZAWYA MENA Edition
Sharjah's 'significant' gas discovery to boost emirate's economy | ZAWYA MENA Edition:
Sharjah, the third-largest emirate of the Unites Arab Emirates, is set to see positive domestic energy and economic development with its new gas discovery.
The Northern emirate announced a successful new discovery of natural gas and condensate onshore earlier this week, with flow rates of up to 50 million standard cubic feet per day.
“That is considered a significant flow of a new discovery well,” Cyril Widdershoven, global energy markets expert and founder of consultancy Verocy told Zawya.
Sharjah National Oil Corporation (SNOC) and its Italian partner ENI both hold a 50 percent stake in the discovery as part of a concession agreement signed early last year. It is considered the first onshore gas discovery in the emirate in 37 years.
Sharjah, the third-largest emirate of the Unites Arab Emirates, is set to see positive domestic energy and economic development with its new gas discovery.
The Northern emirate announced a successful new discovery of natural gas and condensate onshore earlier this week, with flow rates of up to 50 million standard cubic feet per day.
“That is considered a significant flow of a new discovery well,” Cyril Widdershoven, global energy markets expert and founder of consultancy Verocy told Zawya.
Sharjah National Oil Corporation (SNOC) and its Italian partner ENI both hold a 50 percent stake in the discovery as part of a concession agreement signed early last year. It is considered the first onshore gas discovery in the emirate in 37 years.
COLUMN-LNG, the champagne of fuels, should enjoy its beer moment: Russell - Reuters
COLUMN-LNG, the champagne of fuels, should enjoy its beer moment: Russell - Reuters:
It’s been an extremely weak start to the new decade for liquefied natural gas (LNG) with spot prices in Asia falling to more than 10-year lows, but it’s not all doom and gloom for an industry that sees itself as part of the solution to climate change.
The average spot price for LNG LNG-AS delivered to north Asia for March dropped to $4 per million British thermal units in the week to Jan. 24, with some cargoes trading at just $3.95.
At below $4 per mmBtu, the spot price is at the weakest level in Asia since summer of 2009, according to data from S&P Global Platts, the price reporting agency that assesses the benchmark Japan-Korea-Marker (JKM) price.
The price is down 41% from its winter peak of $6.80 per mmBtu, hit in the week to Oct. 11, meaning that the super-chilled fuel has effectively missed out on the usual boost to prices from demand in north Asia in the colder months.
It’s been an extremely weak start to the new decade for liquefied natural gas (LNG) with spot prices in Asia falling to more than 10-year lows, but it’s not all doom and gloom for an industry that sees itself as part of the solution to climate change.
The average spot price for LNG LNG-AS delivered to north Asia for March dropped to $4 per million British thermal units in the week to Jan. 24, with some cargoes trading at just $3.95.
At below $4 per mmBtu, the spot price is at the weakest level in Asia since summer of 2009, according to data from S&P Global Platts, the price reporting agency that assesses the benchmark Japan-Korea-Marker (JKM) price.
The price is down 41% from its winter peak of $6.80 per mmBtu, hit in the week to Oct. 11, meaning that the super-chilled fuel has effectively missed out on the usual boost to prices from demand in north Asia in the colder months.
UPDATE 1- #Saudi lender NCB reports 18.8% rise in 2019 net profit - Reuters
UPDATE 1-Saudi lender NCB reports 18.8% rise in 2019 net profit - Reuters:
Saudi Arabia’s National Commercial Bank (NCB), saw a 13.2% rise in fourth-quarter net profit, according to Reuters calculations, helped by increased revenue from commissions and financing, and lower operating costs.
The country’ largest lender made a net profit of 3 billion riyals ($799.8 million)in the three months to Dec. 31, up from 2.65 billion riyals in the same period of 2018, Reuters calculated from financial statements in the absence of a quarterly breakdown.
NCB’s 2019 net profit was 11.4 billion riyals, up from 9.59 billion riyals in the same period a year earlier.
The profit was above the 10.3 billion riyals average net profit forecast of analysts polled by Refintiv.
Saudi Arabia’s National Commercial Bank (NCB), saw a 13.2% rise in fourth-quarter net profit, according to Reuters calculations, helped by increased revenue from commissions and financing, and lower operating costs.
The country’ largest lender made a net profit of 3 billion riyals ($799.8 million)in the three months to Dec. 31, up from 2.65 billion riyals in the same period of 2018, Reuters calculated from financial statements in the absence of a quarterly breakdown.
NCB’s 2019 net profit was 11.4 billion riyals, up from 9.59 billion riyals in the same period a year earlier.
The profit was above the 10.3 billion riyals average net profit forecast of analysts polled by Refintiv.
Vodafone to sell stake in Egyptian unit to Saudi Telecom for $2.4 billion - Reuters
Vodafone to sell stake in Egyptian unit to Saudi Telecom for $2.4 billion - Reuters:
Vodafone Group (VOD.L) has struck a preliminary deal to sell its 55% stake in its Egyptian unit to Saudi Arabia’s largest telecoms operator STC (7010.SE) for $2.4 billion, the companies said on Wednesday.
The non-binding deal values Vodafone Egypt at $4.4 billion and the two companies have agreed a arrangement over the long-term use of the Vodafone brand and other services in Egypt.
Selling the stake is in line with Vodafone’s efforts to streamline its operations to focus on Europe and sub-Saharan Africa, Vodafone Chief Executive Nick Read said.
“It will reduce our net debt and unlock value for our shareholders,” he said.
Vodafone Group (VOD.L) has struck a preliminary deal to sell its 55% stake in its Egyptian unit to Saudi Arabia’s largest telecoms operator STC (7010.SE) for $2.4 billion, the companies said on Wednesday.
The non-binding deal values Vodafone Egypt at $4.4 billion and the two companies have agreed a arrangement over the long-term use of the Vodafone brand and other services in Egypt.
Selling the stake is in line with Vodafone’s efforts to streamline its operations to focus on Europe and sub-Saharan Africa, Vodafone Chief Executive Nick Read said.
“It will reduce our net debt and unlock value for our shareholders,” he said.
Oil rises as markets wait on virus impact; U.S. stocks fall - Reuters
Oil rises as markets wait on virus impact; U.S. stocks fall - Reuters:
Oil prices rose for a second day on Wednesday, recouping some losses after a five-day rout on talk that OPEC could extend oil output cuts if a new coronavirus hurts demand, while data showing a decline in U.S. stockpiles helped steady prices.
Brent crude LCOc1 rose 58 cents, or 1%, to $60.09 a barrel by 0730 GMT. U.S. crude was up 55 cents, or 1%, at $54.03 a barrel.
Financial markets that have been hit by the spread of the virus out of China are trying to assess the economic fallout, with the death toll rising to 132 and airlines reducing flights to China.
“Price action since last Tuesday does suggest that the market is pricing in a fairly sizeable demand impact,” ING Research said in a note.
Oil prices rose for a second day on Wednesday, recouping some losses after a five-day rout on talk that OPEC could extend oil output cuts if a new coronavirus hurts demand, while data showing a decline in U.S. stockpiles helped steady prices.
Brent crude LCOc1 rose 58 cents, or 1%, to $60.09 a barrel by 0730 GMT. U.S. crude was up 55 cents, or 1%, at $54.03 a barrel.
Financial markets that have been hit by the spread of the virus out of China are trying to assess the economic fallout, with the death toll rising to 132 and airlines reducing flights to China.
“Price action since last Tuesday does suggest that the market is pricing in a fairly sizeable demand impact,” ING Research said in a note.
MIDEAST STOCKS-Major Gulf stocks up, #Saudi's NCB jumps on strong FY earnings | Nasdaq
MIDEAST STOCKS-Major Gulf stocks up, Saudi's NCB jumps on strong FY earnings | Nasdaq:
Major stock markets in the Middle East rose on Wednesday, largely on the back of gains in financial shares and a recovery in oil prices, while Saudi was cheered by a host of corporate announcements.
Oil prices climbed for a second day, recouping some losses after a five-day rout, on talk that OPEC could extend output cuts if China's outbreak of coronavirus hurts demand.
Saudi Arabia's benchmark index .TASI was up 0.5%, driven by a 3.1% increase in National Commercial Bank (NCB) 1180.SE.
The country's largest lender reported a higher net profit of 11.4 billion riyals ($3.04 billion) in 2019, compared to 9.59 billion riyals year before.
Saudi Telecom 7010.SE advanced 0.9% following its preliminary agreement to buy Vodafone's VOD.L 55% stake in Vodafone Egypt VODE.CA for $2.4 billion.
Major stock markets in the Middle East rose on Wednesday, largely on the back of gains in financial shares and a recovery in oil prices, while Saudi was cheered by a host of corporate announcements.
Oil prices climbed for a second day, recouping some losses after a five-day rout, on talk that OPEC could extend output cuts if China's outbreak of coronavirus hurts demand.
Saudi Arabia's benchmark index .TASI was up 0.5%, driven by a 3.1% increase in National Commercial Bank (NCB) 1180.SE.
The country's largest lender reported a higher net profit of 11.4 billion riyals ($3.04 billion) in 2019, compared to 9.59 billion riyals year before.
Saudi Telecom 7010.SE advanced 0.9% following its preliminary agreement to buy Vodafone's VOD.L 55% stake in Vodafone Egypt VODE.CA for $2.4 billion.
UPDATE 1-SABIC posts Q4 loss of $192 mln on writedown at affiliate, lower selling prices - Agricultural Commodities - Reuters
UPDATE 1-SABIC posts Q4 loss of $192 mln on writedown at affiliate, lower selling prices - Agricultural Commodities - Reuters:
Saudi Basic Industries Corp (SABIC), the world’s fourth-biggest petrochemicals firm, posted a fourth-quarter net loss, the first quarterly loss in over a decade, due to lower average selling prices and a writedown at an affiliate.
SABIC swung to the loss of 720 million riyals ($192 million), compared to a profit of 3.22 billion riyals during the same quarter a year earlier, the company said in a bourse filing on Wednesday.
“Despite an uptick in Brent oil prices in the fourth quarter, the results were negatively impacted by a further decline in petrochemical prices driven by oversupply in the key products and slowing global growth coupled with seasonal impacts,” SABIC said.
Yousef Husseini, an analyst at EFG Hermes, said the last time SABIC suffered a quarterly loss was in the first quarter of 2009, and he predicted 2020 will be a tough year.
Saudi Basic Industries Corp (SABIC), the world’s fourth-biggest petrochemicals firm, posted a fourth-quarter net loss, the first quarterly loss in over a decade, due to lower average selling prices and a writedown at an affiliate.
SABIC swung to the loss of 720 million riyals ($192 million), compared to a profit of 3.22 billion riyals during the same quarter a year earlier, the company said in a bourse filing on Wednesday.
“Despite an uptick in Brent oil prices in the fourth quarter, the results were negatively impacted by a further decline in petrochemical prices driven by oversupply in the key products and slowing global growth coupled with seasonal impacts,” SABIC said.
Yousef Husseini, an analyst at EFG Hermes, said the last time SABIC suffered a quarterly loss was in the first quarter of 2009, and he predicted 2020 will be a tough year.
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