Oil ends March with biggest monthly and quarterly losses ever - Reuters:
Crude oil benchmarks ended a volatile quarter with their biggest losses in history, as both U.S. and Brent futures were hammered throughout March on the global economic freeze due to the coronavirus pandemic and the eruption of a price war between Russia and Saudi Arabia.
Both benchmarks lost roughly two-thirds of their value in the quarter, with March’s declines of about 55% accounting for the lion’s share of the losses.
U.S. West Texas Intermediate crude salvaged the end of the month with a modest 2% gain on Tuesday, while Brent ended slightly lower.
Global fuel demand has been destroyed by travel restrictions due to the coronavirus pandemic. Forecasters at major merchants and banks see demand slumping by 20% to 30% in April, and for weak consumption to linger as economic activity is severely curtailed for the next several months.
WTI CLc1 settled 39 cents higher at $20.48 per barrel. The U.S. benchmark plunged 54% during March and 66% for the first quarter, the worst declines since the contract’s inception in 1983.
May Brent crude futures LCOc1 ended the session 2 cents lower at $22.74 a barrel ahead of expiration. The international benchmark fell 66% in the first quarter and 55% in March, the worst quarterly and monthly percentage declines on record.
The more-active June contract LCOM0 settled 7 cents lower at $26.35 a barrel.
Tuesday, 31 March 2020
U.S.- #Saudi oil alliance idea born at White House, put on back burner for now - Reuters
U.S.-Saudi oil alliance idea born at White House, put on back burner for now - Reuters:
Top U.S. officials have for now put aside a proposal for an alliance with Saudi Arabia to manage the global oil market, according to three sources with knowledge of the matter, an idea one of them said came from White House national security advisers.
That the concept was even considered at high levels reflects both the depth of the crisis facing the global oil industry as well as its growing importance to the U.S. economy. A few weeks ago, proposals for Washington to work together with oil producers to curb supply to the global market would have been dismissed for violating U.S. antitrust laws.
But prices for oil LCOc1 have slumped to an 18-year low because of the twin hits of the coronavirus pandemic slashing energy demand and a price war between top producers Saudi Arabia and Russia, threatening higher-cost U.S. and global drillers with bankruptcy.
The idea of a U.S.-Saudi alternative to the Organization of the Petroleum Exporting Countries, of which Saudi Arabia is the de facto leader, “has been floated but not at the stage of something that is being seriously considered,” said one of the sources, who all spoke on condition of anonymity.
Top U.S. officials have for now put aside a proposal for an alliance with Saudi Arabia to manage the global oil market, according to three sources with knowledge of the matter, an idea one of them said came from White House national security advisers.
That the concept was even considered at high levels reflects both the depth of the crisis facing the global oil industry as well as its growing importance to the U.S. economy. A few weeks ago, proposals for Washington to work together with oil producers to curb supply to the global market would have been dismissed for violating U.S. antitrust laws.
But prices for oil LCOc1 have slumped to an 18-year low because of the twin hits of the coronavirus pandemic slashing energy demand and a price war between top producers Saudi Arabia and Russia, threatening higher-cost U.S. and global drillers with bankruptcy.
The idea of a U.S.-Saudi alternative to the Organization of the Petroleum Exporting Countries, of which Saudi Arabia is the de facto leader, “has been floated but not at the stage of something that is being seriously considered,” said one of the sources, who all spoke on condition of anonymity.
OPEC rift widens as group fails to set date for emergency talks - Reuters
OPEC rift widens as group fails to set date for emergency talks - Reuters:
A rift in the Organization of the Petroleum Exporting Countries (OPEC) has widened after members failed to agree unanimously on an emergency low-level meeting to discuss a market collapse that has seen global oil prices hit 18-year lows.
OPEC president Algeria, which has been instrumental in organizing the producer group’s efforts to support the market, had been among the members pushing for a gathering of OPEC’s Economic Commission Board (ECB) in April.
But at least four members, including OPEC’s de facto leader Saudi Arabia, the United Arab Emirates, Kuwait and Nigeria, have made clear they see no need for such a meeting, four sources with knowledge of the matter said on condition of anonymity.
One OPEC source said Kuwait had not received an official invitation to join the meeting, and does not consider a meeting necessary.
A rift in the Organization of the Petroleum Exporting Countries (OPEC) has widened after members failed to agree unanimously on an emergency low-level meeting to discuss a market collapse that has seen global oil prices hit 18-year lows.
OPEC president Algeria, which has been instrumental in organizing the producer group’s efforts to support the market, had been among the members pushing for a gathering of OPEC’s Economic Commission Board (ECB) in April.
But at least four members, including OPEC’s de facto leader Saudi Arabia, the United Arab Emirates, Kuwait and Nigeria, have made clear they see no need for such a meeting, four sources with knowledge of the matter said on condition of anonymity.
One OPEC source said Kuwait had not received an official invitation to join the meeting, and does not consider a meeting necessary.
Oil Price War: Saudis Start to Unleash Wave of Crude - Bloomberg
Oil Price War: Saudis Start to Unleash Wave of Crude - Bloomberg:
Saudi Arabia has made good on its pledge to ramp up oil exports in April, with a first wave of crude already on its way toward Europe and the U.S., a clear sign the price war remains in full swing.
The kingdom has loaded several of the supertankers it hired earlier this month to boost its ability to increase exports, according to ship-tracking data. In addition, Riyadh has used the last few weeks to shuttle large amounts of crude into storage in Egypt, a stepping stone to the European market.
The movements suggest that Riyadh is ramping up its oil production toward its target of supplying a record 12.3 million barrels a day in April, up from about 9.7 million in February, despite American pressure to end the price war.
Saudi Arabia earlier this month slashed its official selling prices and announced the output hike after Russia refused to join other nations inside the OPEC+ alliance to cut output. The announcement, interpreted in the market as an oil price war, sent Brent and West Texas Intermediate crudes tumbling. Since then, the collapse in oil demand due to lockdowns to stop the spread of the coronavirus has depressed prices even more.
Saudi Arabia has made good on its pledge to ramp up oil exports in April, with a first wave of crude already on its way toward Europe and the U.S., a clear sign the price war remains in full swing.
The kingdom has loaded several of the supertankers it hired earlier this month to boost its ability to increase exports, according to ship-tracking data. In addition, Riyadh has used the last few weeks to shuttle large amounts of crude into storage in Egypt, a stepping stone to the European market.
The movements suggest that Riyadh is ramping up its oil production toward its target of supplying a record 12.3 million barrels a day in April, up from about 9.7 million in February, despite American pressure to end the price war.
Saudi Arabia earlier this month slashed its official selling prices and announced the output hike after Russia refused to join other nations inside the OPEC+ alliance to cut output. The announcement, interpreted in the market as an oil price war, sent Brent and West Texas Intermediate crudes tumbling. Since then, the collapse in oil demand due to lockdowns to stop the spread of the coronavirus has depressed prices even more.
#UAE News: NMC Health Owes #AbuDhabi Commercial Bank $1 Billion - Bloomberg
UAE News: NMC Health Owes Abu Dhabi Commercial Bank $1 Billion - Bloomberg:
Abu Dhabi Commercial Bank PJSC has more than $1 billion of exposure to troubled hospital operator NMC Health Plc, potentially putting one of the Middle East’s biggest financial institutions on the hook for losses on the debt, people familiar with the matter said.
The state-owned lender is currently seen as one of the biggest creditors to NMC, according to the people, who asked not to be identified because the information is private. HSBC Holdings Plc, JPMorgan Chase & Co. and Standard Chartered Plc also have large outstanding loans to the Abu Dhabi-based company, the people said.
Some of the lenders are in talks to set up a committee to discuss ways to recover funds from NMC, according to the people. The company’s known debt pile has more than tripled in recent weeks to $6.6 billion, up from the $2.1 billion reported at the end of June, after it successively uncovered borrowings that hadn’t been disclosed to the board.
Shares of Abu Dhabi Commercial Bank fell 4.9% at 1:24 p.m. Tuesday local time, giving the lender a market value of about $8.8 billion. The benchmark ADX General Index fell 0.3%.
Abu Dhabi Commercial Bank PJSC has more than $1 billion of exposure to troubled hospital operator NMC Health Plc, potentially putting one of the Middle East’s biggest financial institutions on the hook for losses on the debt, people familiar with the matter said.
The state-owned lender is currently seen as one of the biggest creditors to NMC, according to the people, who asked not to be identified because the information is private. HSBC Holdings Plc, JPMorgan Chase & Co. and Standard Chartered Plc also have large outstanding loans to the Abu Dhabi-based company, the people said.
Some of the lenders are in talks to set up a committee to discuss ways to recover funds from NMC, according to the people. The company’s known debt pile has more than tripled in recent weeks to $6.6 billion, up from the $2.1 billion reported at the end of June, after it successively uncovered borrowings that hadn’t been disclosed to the board.
Shares of Abu Dhabi Commercial Bank fell 4.9% at 1:24 p.m. Tuesday local time, giving the lender a market value of about $8.8 billion. The benchmark ADX General Index fell 0.3%.
European, Middle Eastern & African Stocks - Bloomberg #UAE #SaudiArabia #Qatar
European, Middle Eastern & African Stocks - Bloomberg:
Updated stock indexes in Europe, Middle East & Africa. Get an overview of major indexes, current values and stock market data in Europe, UK, Germany, Russia & more.
Updated stock indexes in Europe, Middle East & Africa. Get an overview of major indexes, current values and stock market data in Europe, UK, Germany, Russia & more.
#Oman bonds weaken on Moody's review as other Gulf debt gains - Reuters
Oman bonds weaken on Moody's review as other Gulf debt gains - Reuters:
Oman’s debt weakened on Tuesday after Moody’s placed its rating under review for a downgrade, while other Gulf bonds gained.
The sultanate’s 30-year dollar bonds due in 2048 lost 1 cent to trade at around 65.3 cents on the dollar, Refinitiv data showed. Oman’s 10-year bonds maturing in 2028 lost 0.3 cents to trade at 71.7 cents on the dollar.
Oman’s bonds suffered sharper losses than other Gulf states on Monday after it was downgraded deeper into junk status by S&P.
Its Gulf neighbours posted gains on Tuesday, with Saudi Arabia’s 30-year bonds due in 2049 gaining 0.4 cents to trade at 107.3 cents on the dollar. Oil giant Saudi Aramco’s similar bonds gained 0.9 cents to trade at 98.9 cents.
Oman’s debt weakened on Tuesday after Moody’s placed its rating under review for a downgrade, while other Gulf bonds gained.
The sultanate’s 30-year dollar bonds due in 2048 lost 1 cent to trade at around 65.3 cents on the dollar, Refinitiv data showed. Oman’s 10-year bonds maturing in 2028 lost 0.3 cents to trade at 71.7 cents on the dollar.
Oman’s bonds suffered sharper losses than other Gulf states on Monday after it was downgraded deeper into junk status by S&P.
Its Gulf neighbours posted gains on Tuesday, with Saudi Arabia’s 30-year bonds due in 2049 gaining 0.4 cents to trade at 107.3 cents on the dollar. Oil giant Saudi Aramco’s similar bonds gained 0.9 cents to trade at 98.9 cents.
Mideast Stocks: Most Gulf stocks extend losses; #Saudi bucks the trend | ZAWYA MENA Edition
Mideast Stocks: Most Gulf stocks extend losses; Saudi bucks the trend | ZAWYA MENA Edition:
Most Gulf stock markets declined on Tuesday, as investors remained worried by the chronic weakness of oil prices and lockdowns across much of the world, while Saudi Arabia bucked the trend.
Brent crude was up 3.1% at $23.46 a barrel by 1206 GMT after closing on Monday at $22.76, its lowest finish since November 2002.
Global oil refiners, meanwhile, have cut their throughput because of the slump in demand for transportation fuel, with European refineries slashing output by at least 1.3 million barrels per day, sources told Reuters.
Dubai's main share index dropped 1%, with blue-chip developer Emaar Properties losing 4.7%, while sharia-compliant lender Dubai Islamic Bank was down 1.1%.
In Abu Dhbai, the index slipped 0.3%, hurt by a 4.9% fall in Abu Dhabi Commercial Bank .
Most Gulf stock markets declined on Tuesday, as investors remained worried by the chronic weakness of oil prices and lockdowns across much of the world, while Saudi Arabia bucked the trend.
Brent crude was up 3.1% at $23.46 a barrel by 1206 GMT after closing on Monday at $22.76, its lowest finish since November 2002.
Global oil refiners, meanwhile, have cut their throughput because of the slump in demand for transportation fuel, with European refineries slashing output by at least 1.3 million barrels per day, sources told Reuters.
Dubai's main share index dropped 1%, with blue-chip developer Emaar Properties losing 4.7%, while sharia-compliant lender Dubai Islamic Bank was down 1.1%.
In Abu Dhbai, the index slipped 0.3%, hurt by a 4.9% fall in Abu Dhabi Commercial Bank .
Azerbaijan says no plans to change 2020 oil output: RIA cites energy ministry - Reuters
Azerbaijan says no plans to change 2020 oil output: RIA cites energy ministry - Reuters:
Azerbaijan is not planning to change its oil production plans for 2020, despite the collapse of an OPEC+ output deal earlier this month, the RIA news agency cited the country’s energy ministry as saying on Tuesday.
Cooperation with OPEC+ oil producers will continue, the ministry said.
Azerbaijan is not planning to change its oil production plans for 2020, despite the collapse of an OPEC+ output deal earlier this month, the RIA news agency cited the country’s energy ministry as saying on Tuesday.
Cooperation with OPEC+ oil producers will continue, the ministry said.
Oil to stay below $40 in 2020 on virus shock, OPEC+ deal collapse: Reuters poll - Reuters
Oil to stay below $40 in 2020 on virus shock, OPEC+ deal collapse: Reuters poll - Reuters:
Oil prices will stay below $40 a barrel this year, as measures aimed at halting the rapid global spread of the coronavirus cripple demand and the collapse of an OPEC+ deal adds to a mounting supply glut, a Reuters poll showed on Tuesday.
The survey of 40 analysts forecast Brent crude prices would average $38.76 a barrel in 2020, 36% lower than the $60.63 forecast in a survey in February.
The 2020 outlook for West Texas Intermediate crude was slashed to $35.29 a barrel from last month’s forecast for $55.75.
Both Brent and WTI crude prices are now trading in the low $20s. Global benchmark Brent slumped nearly 70% from January highs as global virus-led lockdowns hammered demand and a Saudi-Russian price war flooded the market.
Oil prices will stay below $40 a barrel this year, as measures aimed at halting the rapid global spread of the coronavirus cripple demand and the collapse of an OPEC+ deal adds to a mounting supply glut, a Reuters poll showed on Tuesday.
The survey of 40 analysts forecast Brent crude prices would average $38.76 a barrel in 2020, 36% lower than the $60.63 forecast in a survey in February.
The 2020 outlook for West Texas Intermediate crude was slashed to $35.29 a barrel from last month’s forecast for $55.75.
Both Brent and WTI crude prices are now trading in the low $20s. Global benchmark Brent slumped nearly 70% from January highs as global virus-led lockdowns hammered demand and a Saudi-Russian price war flooded the market.
#UAE News: #Dubai Gets Flashback to Falling Property Prices - Bloomberg
UAE News: Dubai Gets Flashback to Falling Property Prices - Bloomberg:
A decade after the global financial crisis pushed Dubai’s real estate sector -- known for its outlandish projects such as man-made palm-shaped islands -- to the brink of collapse, the deadly coronavirus pandemic threatens to send it back there again.
S&P Global Ratings is warning that home prices could slump to 2010 levels as unemployment across key sectors such as tourism and retail eviscerates demand. Prices are currently about 5% to 10% above what they reached a year after the debt crisis in 2009, according to data from real estate services firm Asteco.
Developers are still wrestling with debt repayments that have already gone through a number of restructurings, while earnings for some companies linked to property have fallen through the floor. Emaar Properties PJSC on Monday said three of its listed companies will not pay dividends for 2019 in “view of the current circumstances.”
The Middle Eastern business and travel hub -- like many other cities around the world -- is in lockdown, with Emirates passenger flights grounded, the city’s cavernous malls and luxurious hotels shuttered. Dubai is especially vulnerable to the measures as it relies heavily on tourism and trade -- both of which are also essential to keep up demand for properties.
A decade after the global financial crisis pushed Dubai’s real estate sector -- known for its outlandish projects such as man-made palm-shaped islands -- to the brink of collapse, the deadly coronavirus pandemic threatens to send it back there again.
S&P Global Ratings is warning that home prices could slump to 2010 levels as unemployment across key sectors such as tourism and retail eviscerates demand. Prices are currently about 5% to 10% above what they reached a year after the debt crisis in 2009, according to data from real estate services firm Asteco.
Developers are still wrestling with debt repayments that have already gone through a number of restructurings, while earnings for some companies linked to property have fallen through the floor. Emaar Properties PJSC on Monday said three of its listed companies will not pay dividends for 2019 in “view of the current circumstances.”
The Middle Eastern business and travel hub -- like many other cities around the world -- is in lockdown, with Emirates passenger flights grounded, the city’s cavernous malls and luxurious hotels shuttered. Dubai is especially vulnerable to the measures as it relies heavily on tourism and trade -- both of which are also essential to keep up demand for properties.
Shareholders of #AbuDhabi-listed CBI decline board proposal for capital hike - Reuters
Shareholders of Abu Dhabi-listed CBI decline board proposal for capital hike - Reuters:
Shareholders of Abu Dhabi-listed Commercial Bank International, which is part owned by Qatar National Bank, have declined a proposed by the board to increase the capital of the company, according to a regulatory filing on Tuesday.
The filing did not state the reasons for the shareholders decision.
The shareholder meeting took place on Monday after CBI’s board on March 5 had invited shareholders to a meeting to approve a number of recommendations including a capital increase through an issuance of 430 million new shares, at one dirham ($0.2723) per share.
Shareholders of Abu Dhabi-listed Commercial Bank International, which is part owned by Qatar National Bank, have declined a proposed by the board to increase the capital of the company, according to a regulatory filing on Tuesday.
The filing did not state the reasons for the shareholders decision.
The shareholder meeting took place on Monday after CBI’s board on March 5 had invited shareholders to a meeting to approve a number of recommendations including a capital increase through an issuance of 430 million new shares, at one dirham ($0.2723) per share.
Oil Heads for Worst Quarter Ever as Real Crude Prices Plunge - Bloomberg
Oil Heads for Worst Quarter Ever as Real Crude Prices Plunge - Bloomberg:
Oil clawed back some losses as Chinese manufacturing data beat expectations, but futures were still heading for the worst quarter on record as the physical market showed further signs of collapse.
Futures in New York were higher on Tuesday but crude is still down 65% since the end of December. While Brent and West Texas Intermediate futures are holding up above $20 a barrel, in the world of physical crude, where traders buy and sell actual barrels, prices continue to be in freefall. The price difference between where the paper market trades and the physical market has widened to reach multi-decade highs in some cases, suggesting that financial flows are supporting the futures market.
With demand weakening by the day and producers refusing to cut output, Dated Brent, the benchmark to price about two-thirds of the world’s actual barrels in the physical market, was assessed at $17.79 a barrel on Monday, well below where Brent futures traded. In North America, WTI in Midland, the capital of the Permian region, traded at just $10.50 a barrel, and multiple key grades, including Canadian crude and Bakken crude from North Dakota, traded below $5 a barrel.
The broad market weakness come comes as refineries from South Africa to Canada have shuttered while others in major consuming countries, such as India, are cutting back. At the same time, Saudi Arabia is directing huge amounts of crude toward Egypt as the producer prepares to flood Europe with its barrels. The huge oversupply is collapsing the oil market’s structure, and there may be more weakness to come as the world quickly runs out of storage capacity.
Oil clawed back some losses as Chinese manufacturing data beat expectations, but futures were still heading for the worst quarter on record as the physical market showed further signs of collapse.
Futures in New York were higher on Tuesday but crude is still down 65% since the end of December. While Brent and West Texas Intermediate futures are holding up above $20 a barrel, in the world of physical crude, where traders buy and sell actual barrels, prices continue to be in freefall. The price difference between where the paper market trades and the physical market has widened to reach multi-decade highs in some cases, suggesting that financial flows are supporting the futures market.
With demand weakening by the day and producers refusing to cut output, Dated Brent, the benchmark to price about two-thirds of the world’s actual barrels in the physical market, was assessed at $17.79 a barrel on Monday, well below where Brent futures traded. In North America, WTI in Midland, the capital of the Permian region, traded at just $10.50 a barrel, and multiple key grades, including Canadian crude and Bakken crude from North Dakota, traded below $5 a barrel.
The broad market weakness come comes as refineries from South Africa to Canada have shuttered while others in major consuming countries, such as India, are cutting back. At the same time, Saudi Arabia is directing huge amounts of crude toward Egypt as the producer prepares to flood Europe with its barrels. The huge oversupply is collapsing the oil market’s structure, and there may be more weakness to come as the world quickly runs out of storage capacity.
Aramco Missing From Line Up of Star #Saudi First-Quarter Stocks - Bloomberg
Aramco Missing From Line Up of Star Saudi First-Quarter Stocks - Bloomberg:
Saudi Arabian equity investors reviewing outperformers in the market’s worst quarter since 2008 are left with a mixed bag of star stocks -- and the national oil champion isn’t even close to cracking the list.
The top five gainers in Riyadh this year include a small insurer, a supermarkets owner, a plastic producer, an education company and a hospital operator. They don’t exactly boast a track record of consistent success between them: the first four haven’t broken into the top five in any quarter since 2016, while the last has just made its market debut.
The diverse group of market leaders underscores how hard investors have had to look for bright spots among equities trading in the world’s biggest oil exporter. The local market has been battered by the global stocks slump caused by the coronavirus crisis, and a price war over crude between the kingdom and Russia that has weighed on Saudi Aramco, which accounts for 11% of the main index.
Saudi Arabian equity investors reviewing outperformers in the market’s worst quarter since 2008 are left with a mixed bag of star stocks -- and the national oil champion isn’t even close to cracking the list.
The top five gainers in Riyadh this year include a small insurer, a supermarkets owner, a plastic producer, an education company and a hospital operator. They don’t exactly boast a track record of consistent success between them: the first four haven’t broken into the top five in any quarter since 2016, while the last has just made its market debut.
The diverse group of market leaders underscores how hard investors have had to look for bright spots among equities trading in the world’s biggest oil exporter. The local market has been battered by the global stocks slump caused by the coronavirus crisis, and a price war over crude between the kingdom and Russia that has weighed on Saudi Aramco, which accounts for 11% of the main index.
#Oman State Companies Told to Pause Capital Outlays, Cut Expenses - Bloomberg
Oman State Companies Told to Pause Capital Outlays, Cut Expenses - Bloomberg:
Oman is extending austerity measures by telling government-owned companies to cut expenditure after the plunge in oil prices.
All state-run companies will reduce their operational and administrative expenses in 2020 by 10%, the Finance Ministry said in a statement. It also asked government-owned firms to stop the implementation of any new projects or capital spending for this year.
Oman, the Gulf country most exposed to the fallout from the oil-price war, already announced plans to reduce budget spending by 5% as the health emergency and much lower crude prices hammer revenue. Facing its seventh straight year in the red, Oman’s fiscal deficit is expected to average almost 8% of gross domestic product over 2021-2023, according to S&P Global Ratings.
“The sharp drop in oil prices in 2020 will intensify Oman’s fiscal and external pressures, leading to a faster deterioration in the government’s balance sheet, which has considerably weaker buffers than during the 2014-2015 oil price shock,” S&P said last week when it downgraded the government’s long-term credit rating one step to BB-.
Oman is extending austerity measures by telling government-owned companies to cut expenditure after the plunge in oil prices.
All state-run companies will reduce their operational and administrative expenses in 2020 by 10%, the Finance Ministry said in a statement. It also asked government-owned firms to stop the implementation of any new projects or capital spending for this year.
Oman, the Gulf country most exposed to the fallout from the oil-price war, already announced plans to reduce budget spending by 5% as the health emergency and much lower crude prices hammer revenue. Facing its seventh straight year in the red, Oman’s fiscal deficit is expected to average almost 8% of gross domestic product over 2021-2023, according to S&P Global Ratings.
“The sharp drop in oil prices in 2020 will intensify Oman’s fiscal and external pressures, leading to a faster deterioration in the government’s balance sheet, which has considerably weaker buffers than during the 2014-2015 oil price shock,” S&P said last week when it downgraded the government’s long-term credit rating one step to BB-.
Coronavirus: Flydubai staff to take three-month pay cut - Arabianbusiness
Coronavirus: Flydubai staff to take three-month pay cut - Arabianbusiness:
Staff at Flydubai are set to take a three-month pay cut from April.
The Dubai-based low-cost carrier grounded all passenger flights earlier this month following orders from the UAE Government aimed at preventing the spread of the deadly coronavirus.
The ban, enforced from March 24, is in place for 14 days, although it could be extended further.
A spokesperson for the airline said the impact of Covid-19 has had a “significant impact” on the company.
Staff at Flydubai are set to take a three-month pay cut from April.
The Dubai-based low-cost carrier grounded all passenger flights earlier this month following orders from the UAE Government aimed at preventing the spread of the deadly coronavirus.
The ban, enforced from March 24, is in place for 14 days, although it could be extended further.
A spokesperson for the airline said the impact of Covid-19 has had a “significant impact” on the company.
#UAE's Dana Gas explores spin-off and listing of upstream business - Reuters
UAE's Dana Gas explores spin-off and listing of upstream business - Reuters:
United Arab Emirates’ Dana Gas is considering spinning off its upstream business and listing the unit on the Abu Dhabi Securities Exchange, the Sharjah-based energy company said on Tuesday.
Dana Gas, which operates concessions Iraq’s Kurdish region and Egypt, said it was studying a potential demerger of the business into a new company, according to a statement to the stock exchange.
Should the transaction succeed, shareholders in Dana Gas will own shares in the two companies, the company said.
Spinning off businesses typically allows the parent company and the spin-off alike to focus better on their respective strategies, while investors tend to value both more highly due to greater transparency.
United Arab Emirates’ Dana Gas is considering spinning off its upstream business and listing the unit on the Abu Dhabi Securities Exchange, the Sharjah-based energy company said on Tuesday.
Dana Gas, which operates concessions Iraq’s Kurdish region and Egypt, said it was studying a potential demerger of the business into a new company, according to a statement to the stock exchange.
Should the transaction succeed, shareholders in Dana Gas will own shares in the two companies, the company said.
Spinning off businesses typically allows the parent company and the spin-off alike to focus better on their respective strategies, while investors tend to value both more highly due to greater transparency.
#Dubai to inject fresh capital in Emirates airline: crown prince - Reuters
Dubai to inject fresh capital in Emirates airline: crown prince - Reuters:
Dubai’s Crown Prince Sheikh Hamdan bin Mohammed said on Tuesday the emirate’s government was committed to fully support Emirates airline and will inject fresh equity into the company to help it overcome the coronavirus crisis.
Emirates has a “strategic importance to the Dubai and UAE economy and the airlines (have a) key role in positioning Dubai as a major international aviation hub”, Sheikh Hamdan said in a Twitter post.
“Further details in this regard will be announced at a later stage,” he added.
Dubai’s Crown Prince Sheikh Hamdan bin Mohammed said on Tuesday the emirate’s government was committed to fully support Emirates airline and will inject fresh equity into the company to help it overcome the coronavirus crisis.
Emirates has a “strategic importance to the Dubai and UAE economy and the airlines (have a) key role in positioning Dubai as a major international aviation hub”, Sheikh Hamdan said in a Twitter post.
“Further details in this regard will be announced at a later stage,” he added.
Oil rises after 18-year lows prompt U.S.-Russia talks plan - Reuters
Oil rises after 18-year lows prompt U.S.-Russia talks plan - Reuters:
Oil prices firmed on Tuesday after U.S. President Donald Trump and Russian President Vladimir Putin agreed to talks aimed at stabilising energy markets, with benchmarks climbing off 18-year lows hit as the coronavirus outbreak cut fuel demand worldwide.
Brent crude LCOc1 was up by 61 cents, or 2.7%, at $23.37 a barrel by 0833 GMT, after closing on Monday at $22.76, its lowest finish since November 2002.
U.S. crude Clc1 was up by $1.04, or 5.2%, at $21.13 a barrel, after settling in the previous session at $20.09, its lowest since February 2002.
Oil markets have faced a double whammy from the coronavirus outbreak and a race to win market share between Saudi Arabia and Russia after OPEC and other producers failed to agree on deeper cuts to support oil prices in early March.
Oil prices firmed on Tuesday after U.S. President Donald Trump and Russian President Vladimir Putin agreed to talks aimed at stabilising energy markets, with benchmarks climbing off 18-year lows hit as the coronavirus outbreak cut fuel demand worldwide.
Brent crude LCOc1 was up by 61 cents, or 2.7%, at $23.37 a barrel by 0833 GMT, after closing on Monday at $22.76, its lowest finish since November 2002.
U.S. crude Clc1 was up by $1.04, or 5.2%, at $21.13 a barrel, after settling in the previous session at $20.09, its lowest since February 2002.
Oil markets have faced a double whammy from the coronavirus outbreak and a race to win market share between Saudi Arabia and Russia after OPEC and other producers failed to agree on deeper cuts to support oil prices in early March.
European, Middle Eastern & African Stocks - Bloomberg #UAE #SaudiArabia #Qatar
European, Middle Eastern & African Stocks - Bloomberg:
Updated stock indexes in Europe, Middle East & Africa. Get an overview of major indexes, current values and stock market data in Europe, UK, Germany, Russia & more.
Updated stock indexes in Europe, Middle East & Africa. Get an overview of major indexes, current values and stock market data in Europe, UK, Germany, Russia & more.
StanChart widens oil demand loss forecasts citing lockdowns - Reuters
StanChart widens oil demand loss forecasts citing lockdowns - Reuters:
Standard Chartered expects oil demand in April to fall by 18.5 million barrels per day (bpd) year on year, deepening its previous forecast of a 10.5 million bpd fall, citing global lockdowns prompted by the coronavirus.
It now sees demand for 2020 falling by a record 5.43 million bpd on average.
“Tighter mobility restrictions as part of government coronavirus responses have worsened our outlook on the oil demand shock,” the bank’s analysts said in a note.
It expects a market surplus of 21.8 million bpd in April, one of 19.5 million bpd in May, and one of 13.7 million bpd in June.
Standard Chartered expects oil demand in April to fall by 18.5 million barrels per day (bpd) year on year, deepening its previous forecast of a 10.5 million bpd fall, citing global lockdowns prompted by the coronavirus.
It now sees demand for 2020 falling by a record 5.43 million bpd on average.
“Tighter mobility restrictions as part of government coronavirus responses have worsened our outlook on the oil demand shock,” the bank’s analysts said in a note.
It expects a market surplus of 21.8 million bpd in April, one of 19.5 million bpd in May, and one of 13.7 million bpd in June.
MIDEAST STOCKS-Most major Gulf markets extend losses; banks boost Saudi | Nasdaq
MIDEAST STOCKS-Most major Gulf markets extend losses; banks boost Saudi | Nasdaq:
Most major Gulf stocks indexes fell on Tuesday, extending losses from the previous session, as nervous investors continued to sell due to weak oil prices, while bargain buying supported Saudi equities.
Brent crude LCOc1 was up 42 cents, or 1.9%, at $23.18 a barrel at 0750 G5MT, after closing on Monday at $22.76, its lowest finish since November 2002.
Meanwhile, global oil refiners have cut their throughput because of the slump in demand for transportation fuel, with European refineries slashing output by at least 1.3 million barrels per day (bpd), sources told Reuters.
In Abu Dhabi, the index .ADI declined 1%. First Abu Dhabi Bank FAB.AD, the country's largest lender, traded 2.8% lower, while Abu Dhabi Commercial Bank ADCB.AD was down 2.5%.
Dubai's main share index .DFMGI retreated 0.8%, pressured by a 4.3% fall in blue-chip developer Emaar Properties EMAR.DU and a 4.8% drop in its unit Emaar Development EMAARDEV.DU.
Most major Gulf stocks indexes fell on Tuesday, extending losses from the previous session, as nervous investors continued to sell due to weak oil prices, while bargain buying supported Saudi equities.
Brent crude LCOc1 was up 42 cents, or 1.9%, at $23.18 a barrel at 0750 G5MT, after closing on Monday at $22.76, its lowest finish since November 2002.
Meanwhile, global oil refiners have cut their throughput because of the slump in demand for transportation fuel, with European refineries slashing output by at least 1.3 million barrels per day (bpd), sources told Reuters.
In Abu Dhabi, the index .ADI declined 1%. First Abu Dhabi Bank FAB.AD, the country's largest lender, traded 2.8% lower, while Abu Dhabi Commercial Bank ADCB.AD was down 2.5%.
Dubai's main share index .DFMGI retreated 0.8%, pressured by a 4.3% fall in blue-chip developer Emaar Properties EMAR.DU and a 4.8% drop in its unit Emaar Development EMAARDEV.DU.
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