Closing prices for crude oil, gold and other commodities - The San Diego Union-Tribune:
Benchmark U.S. crude oil for August delivery fell 43 cents to settle at $39.27 a barrel Tuesday. Brent crude oil for August delivery fell 56 cents to $41.15 a barrel.
Wholesale gasoline for July delivery rose 2 cents to $1.20 a gallon. July heating oil rose 1 cent to $1.18 a gallon. August natural gas rose 4 cents to $1.75 per 1,000 cubic feet.
Gold for August delivery rose $19.30 to $1,800.50 an ounce, silver for September delivery rose 57 cents to $18.64 an ounce and September copper rose 4 cents to $2.73 a pound.
Tuesday 30 June 2020
#Dubai World ends historic restructuring with final payment | Financial Times
Dubai World ends historic restructuring with final payment | Financial Times:
Dubai World has made a final $8.2bn payment to creditors, ending the most complicated and highest-profile restructuring to stem from the debt crisis that almost overwhelmed the Gulf emirate a decade ago.
Dubai was forced to raise $20bn in emergency loans in 2009 to cope with the credit crunch and to prevent a default by Dubai World’s main real estate arm that was heavily exposed to the then collapsing property market.
The final repayment, made two years early, is to 47 creditors, including asset managers Pimco and Ashmore, as well as Abu Dhabi Commercial Bank and Dubai’s department of finance, according to people familiar with the matter.
Dubai World has made a final $8.2bn payment to creditors, ending the most complicated and highest-profile restructuring to stem from the debt crisis that almost overwhelmed the Gulf emirate a decade ago.
Dubai was forced to raise $20bn in emergency loans in 2009 to cope with the credit crunch and to prevent a default by Dubai World’s main real estate arm that was heavily exposed to the then collapsing property market.
The final repayment, made two years early, is to 47 creditors, including asset managers Pimco and Ashmore, as well as Abu Dhabi Commercial Bank and Dubai’s department of finance, according to people familiar with the matter.
Oil’s Rebound From Historic Crash Brings Best Quarter Since 1990 - Bloomberg
Oil’s Rebound From Historic Crash Brings Best Quarter Since 1990 - Bloomberg:
After posting its worst quarter on record, oil’s now headed for its best three months in 30 years as it bounces back from this year’s historic crash. Yet the rebound remains tenuous.
Futures in New York have almost doubled in value this quarter, buoyed by OPEC+ production cuts and rebounding oil consumption in post-lockdown China. The market’s climb from negative territory in April has been swift but bumpy, with the U.S. benchmark struggling to hold above $40 a barrel amid a stubborn supply glut and a resurgence of Covid-19 cases that’s darkened the demand outlook.
“It’s not going to jump back up to $60 overnight, but to get to where we are now from where we were at is an incredible story,” said Phil Flynn, an analyst at Price Futures Group Inc. How quickly the market can complete its recovery is an open question. “Coming out of the rut will have to happen one day at a time,” he said.
After posting its worst quarter on record, oil’s now headed for its best three months in 30 years as it bounces back from this year’s historic crash. Yet the rebound remains tenuous.
Futures in New York have almost doubled in value this quarter, buoyed by OPEC+ production cuts and rebounding oil consumption in post-lockdown China. The market’s climb from negative territory in April has been swift but bumpy, with the U.S. benchmark struggling to hold above $40 a barrel amid a stubborn supply glut and a resurgence of Covid-19 cases that’s darkened the demand outlook.
“It’s not going to jump back up to $60 overnight, but to get to where we are now from where we were at is an incredible story,” said Phil Flynn, an analyst at Price Futures Group Inc. How quickly the market can complete its recovery is an open question. “Coming out of the rut will have to happen one day at a time,” he said.
Exclusive: DAMAC's chairman considers taking company private - sources - Reuters
Exclusive: DAMAC's chairman considers taking company private - sources - Reuters:
The chairman of DAMAC Properties DAMAC.DU, owner of the only Trump-branded golf club in the Middle East, is weighing buying out minority shareholders and taking the $1.1 billion Dubai-listed company private, three sources familiar with the talks said.
Hussain Sajwani, who founded the company nearly two decades ago, has been exploring the deal since late 2019 after DAMAC’s share price plunged over the past two years, one of the sources told Reuters on Tuesday.
Sajwani, who through his private investment company bought Italian fashion house Roberto Cavalli last year, currently owns 72.2% of DAMAC, according to Refinitiv data.
He is in talks with banks to finance the deal, the same source added.
The chairman of DAMAC Properties DAMAC.DU, owner of the only Trump-branded golf club in the Middle East, is weighing buying out minority shareholders and taking the $1.1 billion Dubai-listed company private, three sources familiar with the talks said.
Hussain Sajwani, who founded the company nearly two decades ago, has been exploring the deal since late 2019 after DAMAC’s share price plunged over the past two years, one of the sources told Reuters on Tuesday.
Sajwani, who through his private investment company bought Italian fashion house Roberto Cavalli last year, currently owns 72.2% of DAMAC, according to Refinitiv data.
He is in talks with banks to finance the deal, the same source added.
#Qatar banks Al Khaliji and Masraf Al Rayan begin merger talks - Reuters
Qatar banks Al Khaliji and Masraf Al Rayan begin merger talks - Reuters:
Qatari lenders al Khaliji KCBK.QA and Masraf Al Rayan MARK.QA said on Tuesday they had started negotiating a potential merger that could create a combined entity with more than 164 billion riyals ($45.04 billion) in total assets.
The merger is subject to regulatory approval from authorities including the Qatar Central Bank, the Qatar Financial Markets Authority, and the Ministry of Commerce, and the approval of the two banks’ shareholders, the banks said in a filing.
Masraf Al Rayan, an Islamic lender, was previously in merger talks with Qatari lenders Barwa Bank and IBQ in 2016. The bank broke away from the talks, leading to a tie up between Barwa and IBQ in 2018.
Qatari lenders al Khaliji KCBK.QA and Masraf Al Rayan MARK.QA said on Tuesday they had started negotiating a potential merger that could create a combined entity with more than 164 billion riyals ($45.04 billion) in total assets.
The merger is subject to regulatory approval from authorities including the Qatar Central Bank, the Qatar Financial Markets Authority, and the Ministry of Commerce, and the approval of the two banks’ shareholders, the banks said in a filing.
Masraf Al Rayan, an Islamic lender, was previously in merger talks with Qatari lenders Barwa Bank and IBQ in 2016. The bank broke away from the talks, leading to a tie up between Barwa and IBQ in 2018.
Curtailed hajj compounds #Saudi economic woes - Arabianbusiness
Curtailed hajj compounds Saudi economic woes - Arabianbusiness:
Vacant religious sites. Abandoned pilgrim tents. Lifeless hotels. A stunning emptiness - and fears of economic ruin - haunt the usually bustling city of Makkah after Saudi authorities curtailed the hajj pilgrimage over coronavirus.
Islam's holiest city usually hosts millions of pilgrims for the annual rite, but the kingdom has barred overseas visitors from this year's event, scheduled for late July.
The hajj and the lesser umrah pilgrimage together rake in some $12 billion, keeping the economy humming in Makkah, home to two million people and marble-bedecked skyscrapers towering over Islam's most sacred sites.
Vacant religious sites. Abandoned pilgrim tents. Lifeless hotels. A stunning emptiness - and fears of economic ruin - haunt the usually bustling city of Makkah after Saudi authorities curtailed the hajj pilgrimage over coronavirus.
Islam's holiest city usually hosts millions of pilgrims for the annual rite, but the kingdom has barred overseas visitors from this year's event, scheduled for late July.
The hajj and the lesser umrah pilgrimage together rake in some $12 billion, keeping the economy humming in Makkah, home to two million people and marble-bedecked skyscrapers towering over Islam's most sacred sites.
UPDATE 1-Perella Weinberg to advise on NMC's fertility unit sale -sources - Reuters
UPDATE 1-Perella Weinberg to advise on NMC's fertility unit sale -sources - Reuters:
The administrators of hospital operator NMC Health have selected Perella Weinberg Partners to advise on the sale of its international fertility business, two sources familiar with the matter said on Monday.
NMC bought a controlling stake in Spain-based fertility business Clínica Eugin in 2015 for an enterprise value of 143 million euros ($161 million). It also has operations in Italy, Portugal, Sweden, Brazil and Columbia.
NMC administrators Alvarez & Marsal have hired Perella Weinberg Partners, said the two sources, who declining to be identified as the matter is not public, in a deal that could be worth more that $500 million.
The administrators of hospital operator NMC Health have selected Perella Weinberg Partners to advise on the sale of its international fertility business, two sources familiar with the matter said on Monday.
NMC bought a controlling stake in Spain-based fertility business Clínica Eugin in 2015 for an enterprise value of 143 million euros ($161 million). It also has operations in Italy, Portugal, Sweden, Brazil and Columbia.
NMC administrators Alvarez & Marsal have hired Perella Weinberg Partners, said the two sources, who declining to be identified as the matter is not public, in a deal that could be worth more that $500 million.
#Dubai's economy shrank by 3.5% year-on-year in first-quarter amid coronavirus crisis - Reuters
Dubai's economy shrank by 3.5% year-on-year in first-quarter amid coronavirus crisis - Reuters:
Dubai’s real gross domestic product shrank by 3.5% year-on-year in the first quarter, the government’s media office said in a statement on Tuesday, as the Middle East’s business and tourism hub feels the impact of the coronavirus crisis.
Citing data from the emirate’s statistics centre, the government said some sectors such as real estate and finance had however kept momentum despite the pandemic.
“Dubai’s economy witnessed healthy levels of growth in 2019. It was expected that in the first quarter of 2020, the economy will experience a decline due to the global impact of the COVID-19 pandemic,” said Arif Al Muhairi, executive director of Dubai Statistics Center.
Dubai’s real gross domestic product shrank by 3.5% year-on-year in the first quarter, the government’s media office said in a statement on Tuesday, as the Middle East’s business and tourism hub feels the impact of the coronavirus crisis.
Citing data from the emirate’s statistics centre, the government said some sectors such as real estate and finance had however kept momentum despite the pandemic.
“Dubai’s economy witnessed healthy levels of growth in 2019. It was expected that in the first quarter of 2020, the economy will experience a decline due to the global impact of the COVID-19 pandemic,” said Arif Al Muhairi, executive director of Dubai Statistics Center.
Gulf economies to shrink by 7.6% this year, IMF says - Reuters
Gulf economies to shrink by 7.6% this year, IMF says - Reuters:
Gulf Cooperation Council (GCC) countries will see their economies shrink by 7.6% this year, an International Monetary Fund official said on Tuesday, revising downwards April forecasts of nearly 3%.
The six GCC nations are, with varying degrees, facing steep economic declines as the slowdown in business activity due to the coronavirus pandemic is amplified by a price drop in hydrocarbons, which are their main source of revenue.
The IMF last week said Saudi Arabia’s economy - the largest in the Arab world - faces a 6.8% contraction this year, sharper than the 2.3% the Washington-based lender had forecast in April.
“We expect the GCC economies to contract by 7.6% this year, the contraction will be across all sectors, oil and non-oil,” Jihad Azour, director of the IMF’s Middle East and Central Asia Department, said on Tuesday at a virtual economic forum.
Gulf Cooperation Council (GCC) countries will see their economies shrink by 7.6% this year, an International Monetary Fund official said on Tuesday, revising downwards April forecasts of nearly 3%.
The six GCC nations are, with varying degrees, facing steep economic declines as the slowdown in business activity due to the coronavirus pandemic is amplified by a price drop in hydrocarbons, which are their main source of revenue.
The IMF last week said Saudi Arabia’s economy - the largest in the Arab world - faces a 6.8% contraction this year, sharper than the 2.3% the Washington-based lender had forecast in April.
“We expect the GCC economies to contract by 7.6% this year, the contraction will be across all sectors, oil and non-oil,” Jihad Azour, director of the IMF’s Middle East and Central Asia Department, said on Tuesday at a virtual economic forum.
MIDEAST STOCKS-Banks weigh on #Saudi as most major Gulf markets ease - Agricultural Commodities - Reuters
MIDEAST STOCKS-Banks weigh on Saudi as most major Gulf markets ease - Agricultural Commodities - Reuters:
Most major Gulf stock markets fell on
Tuesday, with Saudi leading losses on the back of declines in
financial shares.
Saudi Arabia's benchmark index dropped 0.9%, with Al
Rajhi Bank down 1.1% while Samba Financial Group
fell 2.7%, ending three sessions of gains spurred by
an initial merger agreement with National Commercial Bank (NCB)
.
NCB, the kingdom's biggest lender, was down 0.3%.
A senior International Monetary Fund official said on
Tuesday that Gulf Cooperation Council (GCC) countries will see
their economies shrink by 7.6% this year amid low oil prices and
the new coronavirus crisis.
Dubai's main share index fell 0.7%, with most of
its constituents lower. Blue-chip developer Emaar Properties
declined 2.2%, while sharia-compliant lender Dubai
Islamic Bank was down 1%.
Most major Gulf stock markets fell on
Tuesday, with Saudi leading losses on the back of declines in
financial shares.
Saudi Arabia's benchmark index dropped 0.9%, with Al
Rajhi Bank down 1.1% while Samba Financial Group
fell 2.7%, ending three sessions of gains spurred by
an initial merger agreement with National Commercial Bank (NCB)
.
NCB, the kingdom's biggest lender, was down 0.3%.
A senior International Monetary Fund official said on
Tuesday that Gulf Cooperation Council (GCC) countries will see
their economies shrink by 7.6% this year amid low oil prices and
the new coronavirus crisis.
Dubai's main share index fell 0.7%, with most of
its constituents lower. Blue-chip developer Emaar Properties
declined 2.2%, while sharia-compliant lender Dubai
Islamic Bank was down 1%.
Oil slips slightly on rising coronavirus cases, returning Libyan supplies - Reuters
Oil slips slightly on rising coronavirus cases, returning Libyan supplies - Reuters:
Oil prices slipped on Tuesday as investors worried that rising COVID-19 cases would hurt demand while supply could rise with a potential resurgence of Libyan oil production, which has slowed to a trickle since the start of the year.
The more-active September contract for Brent LCOc2 was down 5 cents at $41.80 a barrel by 1:31 p.m. EST (1731 GMT), after gaining 92 cents in the previous session. The August contract LCOc1, which expires on Tuesday, fell 52 cents, or 1.2%, to $41.19. The contract has gained 16.5% this month so far, and 81% on the quarter.
U.S. crude CLc1 was up 25 cents, or 0.6%, at $39.95 a barrel. U.S. crude has risen 12.4% in the past month, up about 95% in the quarter, reflecting its recovery from late March.
Oil prices slipped on Tuesday as investors worried that rising COVID-19 cases would hurt demand while supply could rise with a potential resurgence of Libyan oil production, which has slowed to a trickle since the start of the year.
The more-active September contract for Brent LCOc2 was down 5 cents at $41.80 a barrel by 1:31 p.m. EST (1731 GMT), after gaining 92 cents in the previous session. The August contract LCOc1, which expires on Tuesday, fell 52 cents, or 1.2%, to $41.19. The contract has gained 16.5% this month so far, and 81% on the quarter.
U.S. crude CLc1 was up 25 cents, or 0.6%, at $39.95 a barrel. U.S. crude has risen 12.4% in the past month, up about 95% in the quarter, reflecting its recovery from late March.
#Dubai World makes final repayment to creditors of $8.2 billion - Reuters
Dubai World makes final repayment to creditors of $8.2 billion - Reuters:
State conglomerate Dubai World, at the centre of Dubai’s debt crisis a decade ago, said on Tuesday it had made a final payment of $8.2 billion to creditors.
The payment, made ahead of its September 2022 maturity, was an “important milestone” for the company and Dubai, Dubai World Chairman Sheikh Ahmed bin Saeed al-Maktoum said in a statement.
“Once more ... our action underscores Dubai’s commitment to always meet its obligations,” said Sheikh Ahmed, who is also a member of Dubai’s ruling family.
The company made the payment using funds from a new $3 billion loan from Dubai Islamic Bank (DISB.DU), asset sales and dividend payments, it said.
State conglomerate Dubai World, at the centre of Dubai’s debt crisis a decade ago, said on Tuesday it had made a final payment of $8.2 billion to creditors.
The payment, made ahead of its September 2022 maturity, was an “important milestone” for the company and Dubai, Dubai World Chairman Sheikh Ahmed bin Saeed al-Maktoum said in a statement.
“Once more ... our action underscores Dubai’s commitment to always meet its obligations,” said Sheikh Ahmed, who is also a member of Dubai’s ruling family.
The company made the payment using funds from a new $3 billion loan from Dubai Islamic Bank (DISB.DU), asset sales and dividend payments, it said.
European, Middle Eastern & African Stocks - Bloomberg #UAE - close #SaudiArabia #Qatar mid-session
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.
Oil prices drop on prospect of returning Libyan supplies - Reuters
Oil prices drop on prospect of returning Libyan supplies - Reuters:
Oil prices slipped on Tuesday amid rising COVID-19 cases and a possible return of Libyan oil production, which has been down to a trickle since the start of the year.
The more-active September contract for Brent LCOc2 fell 22 cents, or 0.5%, to $41.63 a barrel by 0832 GMT, paring Monday’s 92 cent gain. The August contract LCOc1, which expires on Tuesday, fell 26 cents to $41.45.
U.S. crude CLc1 was down 27 cents, or 0.7%, at $39.43 a barrel.
“Attempts to push prices higher are capped by growing concerns about the second cycle of the coronavirus or the inability to contain the current one,” Tamas Varga of oil brokerage PVM said.
Oil prices slipped on Tuesday amid rising COVID-19 cases and a possible return of Libyan oil production, which has been down to a trickle since the start of the year.
The more-active September contract for Brent LCOc2 fell 22 cents, or 0.5%, to $41.63 a barrel by 0832 GMT, paring Monday’s 92 cent gain. The August contract LCOc1, which expires on Tuesday, fell 26 cents to $41.45.
U.S. crude CLc1 was down 27 cents, or 0.7%, at $39.43 a barrel.
“Attempts to push prices higher are capped by growing concerns about the second cycle of the coronavirus or the inability to contain the current one,” Tamas Varga of oil brokerage PVM said.
MIDEAST STOCKS-Banks aid #Saudi index; other major markets mixed - Agricultural Commodities - Reuters
MIDEAST STOCKS-Banks aid Saudi index; other major markets mixed - Agricultural Commodities - Reuters:
Saudi Arabia’s stock market rose on Tuesday led by banking shares, as the kingdom is set to triple value-added tax (VAT) starting from July 1, while other major regional markets were mixed.
Saudi Arabia’s benchmark index gained 0.5%, with Al Rajhi Bank rising 0.5% and petrochemical firm Saudi Basic Industries adding 0.8%.
The kingdom will triple value-added tax to 15% from 5% as of July 1, seeking to shore up finances hit by low oil prices as the coronavirus outbreak pummels global demand for its lifeline export.
Samba Financial Group, however, slipped 0.4%, after three straight sessions of gains spurred by an initial merger agreement with National Commercial Bank (NCB), the kingdom’s biggest lender, to create a combined entity with almost $214 billion in assets.
Saudi Arabia’s stock market rose on Tuesday led by banking shares, as the kingdom is set to triple value-added tax (VAT) starting from July 1, while other major regional markets were mixed.
Saudi Arabia’s benchmark index gained 0.5%, with Al Rajhi Bank rising 0.5% and petrochemical firm Saudi Basic Industries adding 0.8%.
The kingdom will triple value-added tax to 15% from 5% as of July 1, seeking to shore up finances hit by low oil prices as the coronavirus outbreak pummels global demand for its lifeline export.
Samba Financial Group, however, slipped 0.4%, after three straight sessions of gains spurred by an initial merger agreement with National Commercial Bank (NCB), the kingdom’s biggest lender, to create a combined entity with almost $214 billion in assets.