Oil edges up to fresh 4-week highs as demand outlook improves | Reuters
Oil prices edged up to fresh four-week highs on Thursday on positive U.S. economic data and higher demand forecasts from the International Energy Agency (IEA) and OPEC as countries start to recover from the COVID-19 pandemic.
After rising almost 5% on Wednesday, Brent futures rose 36 cents, or 0.5%, on Thursday to settle at $66.94 a barrel, while U.S. West Texas Intermediate (WTI) crude rose 31 cents, or 0.5%, to settle at $63.46.
That was the highest closes for both benchmarks since March 17 for a second day in a row and put both contracts up for a fourth straight day for the first time since February.
"Oil is beginning to reconnect with strong equities with further assistance from a weakening dollar," said Jim Ritterbusch, president of Ritterbusch and Associates in Galena, Illinois.
Thursday, 15 April 2021
IMF calls for "strong" fiscal consolidation in #Kuwait | Reuters
IMF calls for "strong" fiscal consolidation in Kuwait | Reuters
The International Monetary Fund said on Thursday Kuwait would need strong fiscal consolidation to support growth after its finances were battered last year.
The Gulf state's economy shrank by 8% last year, the Fund said in a statement on Thursday, adding that the country's fiscal balance worsened significantly year-on-year.
Kuwait, like other oil exporters in the region, was hurt by the double shock of low oil prices and the COVID-19 pandemic, but a standoff between government and parliament has added pressure as reforms needed to refill state coffers have stalled.
The IMF expects a gradual recovery and said that, as the recovery firms up, "strong fiscal consolidation and structural reforms would be needed to preserve fiscal buffers and strengthen growth."
The International Monetary Fund said on Thursday Kuwait would need strong fiscal consolidation to support growth after its finances were battered last year.
The Gulf state's economy shrank by 8% last year, the Fund said in a statement on Thursday, adding that the country's fiscal balance worsened significantly year-on-year.
Kuwait, like other oil exporters in the region, was hurt by the double shock of low oil prices and the COVID-19 pandemic, but a standoff between government and parliament has added pressure as reforms needed to refill state coffers have stalled.
The IMF expects a gradual recovery and said that, as the recovery firms up, "strong fiscal consolidation and structural reforms would be needed to preserve fiscal buffers and strengthen growth."
#AbuDhabi's Mubadala starts Australia logistics venture with LOGOS, KKR | ZAWYA MENA Edition
Abu Dhabi's Mubadala starts Australia logistics venture with LOGOS, KKR | ZAWYA MENA Edition
Abu Dhabi state fund Mubadala Investment Company has launched a new venture with Australian logistics property group LOGOS and US global investment firm KKR & Co to develop logistics facilities across Australia.
The venture is seeded with an 18.2-hectare development site in Brisbane that will be redeveloped into a master-planned logistics estate, the state investor said on its Twitter account Thursday.
The project is expected to have an estimated value of A$200 million ($155 million) upon completion.
“This will meet the ever-growing demand from global, multi-national and domestic logistics customers,” Mubadala said.
The tweet did not disclose the size of either Mubadala’s or KKR’s investment.
Abu Dhabi state fund Mubadala Investment Company has launched a new venture with Australian logistics property group LOGOS and US global investment firm KKR & Co to develop logistics facilities across Australia.
The venture is seeded with an 18.2-hectare development site in Brisbane that will be redeveloped into a master-planned logistics estate, the state investor said on its Twitter account Thursday.
The project is expected to have an estimated value of A$200 million ($155 million) upon completion.
“This will meet the ever-growing demand from global, multi-national and domestic logistics customers,” Mubadala said.
The tweet did not disclose the size of either Mubadala’s or KKR’s investment.
#Qatar shares outperform as cap on foreign ownership removed | Reuters
Qatar shares outperform as cap on foreign ownership removed | Reuters
Major Gulf stock markets registered sharp gains on Thursday, boosted by financials, with Qatar outperforming the region after it approved a bill to allow non-Qatari investors to own up to 100% of listed companies’ capital.
In Qatar, the benchmark closed 2.8% higher, its biggest intraday gain since last April, with banks leading the gains.
Qatar Islamic Bank leapt 8.3%, and Commercial Bank surged 10%, to become the top gainer on the index.
The cabinet also decided to keep central bank liquidity support for local banks based on need as the country faces a second wave of coronavirus infections.
Saudi Arabia’s benchmark index gained 1.4%, reflecting the sentiment seen in the U.S. stock exchanges on Wednesday.
Al Rajhi Bank advanced 2.6%, and Saudi National Bank, the kingdom’s largest lender, leapt 3.6%.
“U.S. banks are currently in the midst of earnings season with Goldman Sachs and JP Morgan leading the way. Both banks reported a massive jump in first-quarter profits, bolstering financials sector and boosting global investors’ confidence about strong rebound in corporate America,” said Kaia Parv, head of investment research at FXPrimus.
In Dubai, the main share index finished 2.5% higher, with blue-chip developer Emaar Properties jumping 6%, while Emirates NBD Bank added 2.1%.
Elsewhere, budget airliner Air Arabia climbed 6.4%.
The Abu Dhabi index rose 1.5%, led by a 2.1% rise in the United Arab Emirates’ largest lender First Abu Dhabi Bank.
The UAE stock market seems poised for a rebound, driven mainly by Saudi stocks. Saudi Arabia’s benchmark index gained on Wednesday, snapping a four-day losing streak, said Parv.
“Banking shares are leading the charge, causing a ripple effect that reverberated across GCC markets.”
Major Gulf stock markets registered sharp gains on Thursday, boosted by financials, with Qatar outperforming the region after it approved a bill to allow non-Qatari investors to own up to 100% of listed companies’ capital.
In Qatar, the benchmark closed 2.8% higher, its biggest intraday gain since last April, with banks leading the gains.
Qatar Islamic Bank leapt 8.3%, and Commercial Bank surged 10%, to become the top gainer on the index.
The cabinet also decided to keep central bank liquidity support for local banks based on need as the country faces a second wave of coronavirus infections.
Saudi Arabia’s benchmark index gained 1.4%, reflecting the sentiment seen in the U.S. stock exchanges on Wednesday.
Al Rajhi Bank advanced 2.6%, and Saudi National Bank, the kingdom’s largest lender, leapt 3.6%.
“U.S. banks are currently in the midst of earnings season with Goldman Sachs and JP Morgan leading the way. Both banks reported a massive jump in first-quarter profits, bolstering financials sector and boosting global investors’ confidence about strong rebound in corporate America,” said Kaia Parv, head of investment research at FXPrimus.
In Dubai, the main share index finished 2.5% higher, with blue-chip developer Emaar Properties jumping 6%, while Emirates NBD Bank added 2.1%.
Elsewhere, budget airliner Air Arabia climbed 6.4%.
The Abu Dhabi index rose 1.5%, led by a 2.1% rise in the United Arab Emirates’ largest lender First Abu Dhabi Bank.
The UAE stock market seems poised for a rebound, driven mainly by Saudi stocks. Saudi Arabia’s benchmark index gained on Wednesday, snapping a four-day losing streak, said Parv.
“Banking shares are leading the charge, causing a ripple effect that reverberated across GCC markets.”
Updated #Qatar Stocks Surge on Plans to Allow Full Foreign Ownership - Bloomberg
Qatar Stocks Surge on Plans to Allow Full Foreign Ownership - Bloomberg
Qatari stocks rose the most in a year after the country said it may allow foreign investors to fully own listed companies, a move that could trigger more than $1 billion of overseas inflows.
The cabinet approved a draft law that will allow overseas investors to own up to 100% of listed companies, according to the state-run Qatar News Agency. If the law is implemented, companies would have to individually approve the increased limit.
While implementation is yet to be confirmed, the decision could trigger inflows of about $1.5 billion into listed companies that would earn bigger representation in global benchmarks, according to estimates by investment bank EFG-Hermes. The QE Index gained 2.8% Thursday, the most in more than a year, to close at the highest level since Jan. 14.
Stocks that could benefit the most include Qatar Islamic Bank SAQ, Masraf Al Rayan QSC and the Commercial Bank of Qatar, the investment bank said. Their shares climbed 8.3%, 5.5% and 10% on Thursday, respectively, leading gains among members of the main gauge.
The gas-rich nation is following similar decisions by other Gulf countries as they seek to attract inflows from abroad. In 2019, the United Arab Emirates said it would allow foreigners to own 100% of businesses across industries and Saudi Arabia removed a cap on ownership of publicly traded companies for foreign strategic investors.
The proposal is “another milestone on the path to liberalising the economy, with Qatar setting the foreign ownership standard for the region,” said Akber Khan, senior director of asset management at Al Rayan Investment in Doha.
The ministers also announced the extension of pandemic-prompted financial support for private businesses, particularly the extension of a guarantee program that allowed some companies to borrow money interest-free to pay salaries and rent through the end of September. Restaurants, salons and other recreational venues closed earlier this month as the country tightened restrictions to combat a second wave of the coronavirus.
“With the loan-deferral program extending further, businesses will have more time to improve cash flow before lenders assess the ability of customers to pay down deferred dues and it allows for more loan restructuring,” said Bloomberg Intelligence analyst Edmond Christou. Qatari banks have relatively low ratios of non-performing loans, but data on first-quarter earnings suggests they’ve edged higher, he added.
Qatari stocks rose the most in a year after the country said it may allow foreign investors to fully own listed companies, a move that could trigger more than $1 billion of overseas inflows.
The cabinet approved a draft law that will allow overseas investors to own up to 100% of listed companies, according to the state-run Qatar News Agency. If the law is implemented, companies would have to individually approve the increased limit.
While implementation is yet to be confirmed, the decision could trigger inflows of about $1.5 billion into listed companies that would earn bigger representation in global benchmarks, according to estimates by investment bank EFG-Hermes. The QE Index gained 2.8% Thursday, the most in more than a year, to close at the highest level since Jan. 14.
Stocks that could benefit the most include Qatar Islamic Bank SAQ, Masraf Al Rayan QSC and the Commercial Bank of Qatar, the investment bank said. Their shares climbed 8.3%, 5.5% and 10% on Thursday, respectively, leading gains among members of the main gauge.
The gas-rich nation is following similar decisions by other Gulf countries as they seek to attract inflows from abroad. In 2019, the United Arab Emirates said it would allow foreigners to own 100% of businesses across industries and Saudi Arabia removed a cap on ownership of publicly traded companies for foreign strategic investors.
The proposal is “another milestone on the path to liberalising the economy, with Qatar setting the foreign ownership standard for the region,” said Akber Khan, senior director of asset management at Al Rayan Investment in Doha.
The ministers also announced the extension of pandemic-prompted financial support for private businesses, particularly the extension of a guarantee program that allowed some companies to borrow money interest-free to pay salaries and rent through the end of September. Restaurants, salons and other recreational venues closed earlier this month as the country tightened restrictions to combat a second wave of the coronavirus.
“With the loan-deferral program extending further, businesses will have more time to improve cash flow before lenders assess the ability of customers to pay down deferred dues and it allows for more loan restructuring,” said Bloomberg Intelligence analyst Edmond Christou. Qatari banks have relatively low ratios of non-performing loans, but data on first-quarter earnings suggests they’ve edged higher, he added.
Sukuk Sales Hit Record as Issuers and Investors Shun Volatility - Bloomberg
Sukuk Sales Hit Record as Issuers and Investors Shun Volatility - Bloomberg
Sukuk issuers are flocking to the market at a record rate, and volatile Treasury rates may drive even more borrowers toward the asset class this year.
Global borrowers have issued more than $23 billion of Sharia-compliant debt in 2021, the fastest start to a year on record, according to data compiled by Bloomberg. Financial institutions sold more than two-thirds of the debt, Malayan Banking Berhad managed the most deals and the Saudi-based Islamic Development Bank was the biggest issuer.
The global bond-market selloff in early 2021 prompted some corporate and sovereign issuers to tap the Islamic finance market, where most of the buyers are long-term investors, according to Sergey Dergachev, senior portfolio manager for emerging-market debt at Union Investment in Frankfurt.
“Some refinancing of 2022-maturing debt and general financing of budget expenditures on sovereign sides could lead to some diversification of funding sources,” Dergachev said via email. “Overall lower sensitivity to U.S. rates, which will remain a concern this year, will make” sukuk “very attractive investments in emerging-market portfolios,” he said.
There are $31.8 billion worth of Sharia-compliant debt securities due next year, 17% more than in 2021, according to data compiled by Bloomberg.
The amount issued by sukuk borrowers is still dwarfed by the $2.8 trillion of conventional bonds sold during the same period, implying the sukuk market may have room to grow.
“The pick-up in sukuk issuance in 2021 is certainly welcome, but the number and value of outstanding sukuk is paltry compared to demand,” Akber Khan, senior director of asset management at Al Rayan Investment in Doha, said in an email. Islamic banks and insurance companies and investors seeking lower-volatility securities are driving demand for sukuk, he said. “Unfortunately, issuance has been virtually stagnant.”
Sukuk issuers are flocking to the market at a record rate, and volatile Treasury rates may drive even more borrowers toward the asset class this year.
Global borrowers have issued more than $23 billion of Sharia-compliant debt in 2021, the fastest start to a year on record, according to data compiled by Bloomberg. Financial institutions sold more than two-thirds of the debt, Malayan Banking Berhad managed the most deals and the Saudi-based Islamic Development Bank was the biggest issuer.
The global bond-market selloff in early 2021 prompted some corporate and sovereign issuers to tap the Islamic finance market, where most of the buyers are long-term investors, according to Sergey Dergachev, senior portfolio manager for emerging-market debt at Union Investment in Frankfurt.
“Some refinancing of 2022-maturing debt and general financing of budget expenditures on sovereign sides could lead to some diversification of funding sources,” Dergachev said via email. “Overall lower sensitivity to U.S. rates, which will remain a concern this year, will make” sukuk “very attractive investments in emerging-market portfolios,” he said.
There are $31.8 billion worth of Sharia-compliant debt securities due next year, 17% more than in 2021, according to data compiled by Bloomberg.
The amount issued by sukuk borrowers is still dwarfed by the $2.8 trillion of conventional bonds sold during the same period, implying the sukuk market may have room to grow.
“The pick-up in sukuk issuance in 2021 is certainly welcome, but the number and value of outstanding sukuk is paltry compared to demand,” Akber Khan, senior director of asset management at Al Rayan Investment in Doha, said in an email. Islamic banks and insurance companies and investors seeking lower-volatility securities are driving demand for sukuk, he said. “Unfortunately, issuance has been virtually stagnant.”
European, Middle Eastern & African Stocks - Bloomberg #UAE #Kuwait #SaudiArabia #Qatar close
European, Middle Eastern & African Stocks - Bloomberg #UAE #Kuwait #SaudiArabia #Qatar close
Binladin expects agreement on debt restructuring by Q4 - Al Arabiya | Reuters
Binladin expects agreement on debt restructuring by Q4 - Al Arabiya | Reuters
Saudi Arabia’s Binladin Group expects to reach an agreement to restructure its debt by the fourth quarter of 2021, Al-Arabiya TV channel reported on Thursday citing CEO Khalid al-Gwaiz.
Saudi banks own 70 percent to 80 percent of the construction group’s debt, he said.
BinLadin’s debt could range between $20 and $30 billion, sources familiar with the matter told Reuters in 2019.
Saudi Arabia’s Binladin Group expects to reach an agreement to restructure its debt by the fourth quarter of 2021, Al-Arabiya TV channel reported on Thursday citing CEO Khalid al-Gwaiz.
Saudi banks own 70 percent to 80 percent of the construction group’s debt, he said.
BinLadin’s debt could range between $20 and $30 billion, sources familiar with the matter told Reuters in 2019.
#Saudi Al-Khodari executives to be investigated for insider trading | ZAWYA MENA Edition
Saudi Al-Khodari executives to be investigated for insider trading | ZAWYA MENA Edition
The Saudi stock market regulator, the Capital Market Authority (CMA) has referred several executives at Abdullah A. M. Al-Khodari Sons Co. and their relatives to the public prosecution on suspicions of insider trading between May 30, 2017 and January 13, 2020.
In a statement on the Saudi stock exchange Tadawul, the CMA said: “The suspicions are related to violations of Articles (49) and (50) of the Capital Market Law and Articles (5), (6) and (7) of the Market Conduct Regulations, due to the disclosure of insider information and trading on the company’s shares based on this information.”
Earlier this month, the entire board of directors of the construction engineering company, including its chairman, Sultan bin Mohammed Al-Hajri, had resigned, according to a previous disclosure.
The CMA said executives also failed to disclose material developments regarding the withdrawal of several projects that were awarded to the company. They made “an untrue statement about a material fact to influence the security’s price or induce third parties to buy the company’s shares.”
In December last year, Al-Khodari had said that 10 government projects, worth a total of $265 million, had been withdrawn when in various stages of execution.
Also, earlier this month, the regulator decided to form an interim committee to supervise the management of Al-Khodari and to elect a new board of directors within three months.
The Saudi stock market regulator, the Capital Market Authority (CMA) has referred several executives at Abdullah A. M. Al-Khodari Sons Co. and their relatives to the public prosecution on suspicions of insider trading between May 30, 2017 and January 13, 2020.
In a statement on the Saudi stock exchange Tadawul, the CMA said: “The suspicions are related to violations of Articles (49) and (50) of the Capital Market Law and Articles (5), (6) and (7) of the Market Conduct Regulations, due to the disclosure of insider information and trading on the company’s shares based on this information.”
Earlier this month, the entire board of directors of the construction engineering company, including its chairman, Sultan bin Mohammed Al-Hajri, had resigned, according to a previous disclosure.
The CMA said executives also failed to disclose material developments regarding the withdrawal of several projects that were awarded to the company. They made “an untrue statement about a material fact to influence the security’s price or induce third parties to buy the company’s shares.”
In December last year, Al-Khodari had said that 10 government projects, worth a total of $265 million, had been withdrawn when in various stages of execution.
Also, earlier this month, the regulator decided to form an interim committee to supervise the management of Al-Khodari and to elect a new board of directors within three months.
Oil Drops Below $63 After Jumping on Stellar U.S. Demand Data - Bloomberg
Oil Drops Below $63 After Jumping on Stellar U.S. Demand Data - Bloomberg
Futures in New York traded near $63 a barrel on the back of the longest run of gains in more than a month.
Signs of a stronger U.S. market are abounding. The number of miles driven on U.S. interstates rose versus the same period in 2019 for the first time since the pandemic began. U.S. crude inventories dropped the most in almost two months last week, while a gauge of gasoline demand ticked higher for a seventh straight week.
- West Texas Intermediate slipped 33 cents to $62.82 at 10:19 a.m. London time
- Brent for June settlement fell 31 cents to $66.27
Futures in New York traded near $63 a barrel on the back of the longest run of gains in more than a month.
Signs of a stronger U.S. market are abounding. The number of miles driven on U.S. interstates rose versus the same period in 2019 for the first time since the pandemic began. U.S. crude inventories dropped the most in almost two months last week, while a gauge of gasoline demand ticked higher for a seventh straight week.
#Qatar Stocks Rise on Plans to Allow Full Foreign Ownership - Bloomberg
Qatar Stocks Rise on Plans to Allow Full Foreign Ownership - Bloomberg
Qatari stocks advanced the most in the Gulf after the country said it may allow foreign investors to fully own listed companies, a move that could trigger more than $1 billion of overseas inflows.
The cabinet approved a draft law that will allow overseas investors to own up to 100% of listed companies, according to the state-run Qatar News Agency. If the law is implemented, companies would have to individually approve the increased limit.
While implementation in Qatar is yet to be confirmed, the decision could trigger inflows of about $1.5 billion into listed companies that would earn bigger representation in global benchmarks, according to estimates by investment bank EFG-Hermes.
Some of the stocks that could benefit the most include Qatar Islamic Bank SAQ, Masraf Al Rayan QSC and the Commercial Bank of Qatar, the investment bank said.
Qatar’s QE Index advanced as much as 2.3% on Thursday, leading gains in the Gulf. It extended gains this year to 4%, lagging most peers in the region.
The gas-rich nation is following similar decisions by other Gulf countries as they seek to attract inflows from abroad. In 2019, the United Arab Emirates said it would allow foreigners to own 100% of businesses across industries and Saudi Arabia removed a cap on ownership of publicly traded companies for foreign strategic investors.
Qatari stocks advanced the most in the Gulf after the country said it may allow foreign investors to fully own listed companies, a move that could trigger more than $1 billion of overseas inflows.
The cabinet approved a draft law that will allow overseas investors to own up to 100% of listed companies, according to the state-run Qatar News Agency. If the law is implemented, companies would have to individually approve the increased limit.
While implementation in Qatar is yet to be confirmed, the decision could trigger inflows of about $1.5 billion into listed companies that would earn bigger representation in global benchmarks, according to estimates by investment bank EFG-Hermes.
Some of the stocks that could benefit the most include Qatar Islamic Bank SAQ, Masraf Al Rayan QSC and the Commercial Bank of Qatar, the investment bank said.
Qatar’s QE Index advanced as much as 2.3% on Thursday, leading gains in the Gulf. It extended gains this year to 4%, lagging most peers in the region.
The gas-rich nation is following similar decisions by other Gulf countries as they seek to attract inflows from abroad. In 2019, the United Arab Emirates said it would allow foreigners to own 100% of businesses across industries and Saudi Arabia removed a cap on ownership of publicly traded companies for foreign strategic investors.
Exclusive: Aramco pipeline investors to refinance loans with bonds next year - sources | Reuters
Exclusive: Aramco pipeline investors to refinance loans with bonds next year - sources | Reuters
EIG Global Energy Partners will lead a yet-unnamed consortium to issue billions of dollars in bonds across two or three transactions to replace bank debt backing an investment in Saudi Aramco’s oil pipeline assets, two sources said.
The Washington, D.C.-based firm’s consortium will issue bonds to replace $10.5 billion in so-called staple financing that was arranged by Aramco for potential suitors to take the 49% stake, the sources said.
The $12.4 billion deal, announced last Friday, gives the EIG-led group a stake in Aramco Oil Pipelines, which has the rights to 25 years of tariff payments for oil transported through Aramco’s oil pipeline network that traverses the world’s largest crude exporter.
The staple financing backing the deal had a five-year maturity and one-year extension option, the sources said.
EIG will replace the full amount with long-tenor bonds across two or three bond deals, they said.
EIG Global Energy Partners will lead a yet-unnamed consortium to issue billions of dollars in bonds across two or three transactions to replace bank debt backing an investment in Saudi Aramco’s oil pipeline assets, two sources said.
The Washington, D.C.-based firm’s consortium will issue bonds to replace $10.5 billion in so-called staple financing that was arranged by Aramco for potential suitors to take the 49% stake, the sources said.
The $12.4 billion deal, announced last Friday, gives the EIG-led group a stake in Aramco Oil Pipelines, which has the rights to 25 years of tariff payments for oil transported through Aramco’s oil pipeline network that traverses the world’s largest crude exporter.
The staple financing backing the deal had a five-year maturity and one-year extension option, the sources said.
EIG will replace the full amount with long-tenor bonds across two or three bond deals, they said.
Oil hits one-month highs as IEA, OPEC raise forecasts | Reuters
Oil hits one-month highs as IEA, OPEC raise forecasts | Reuters
Oil prices rose on Thursday to the highest level in nearly a month, after jumping 5% in the previous session, driven by increased demand forecasts from the International Energy Agency (IEA) and OPEC as major economies recover from the pandemic.
Brent crude was up by 16 cents at $66.74 a barrel by 0659 GMT, after reaching $66.94 earlier, the highest since March 18, and gaining 4.6% on Wednesday.
U.S. West Texas Intermediate futures rose 12 cents to $63.27 a barrel, earlier rising to $63.48, also the highest since March 18. The contract rose 4.9% in the previous session.
Supply discipline and rebounding economies are set to give oil a chance to break out of the recent range, Goldman Sachs analysts said in a report.
“We remain positive on Brent oil forecasting US$80/bbl in 3Q21 on a near-term demand recovery and supply discipline,” Goldman analysts said.
Oil prices rose on Thursday to the highest level in nearly a month, after jumping 5% in the previous session, driven by increased demand forecasts from the International Energy Agency (IEA) and OPEC as major economies recover from the pandemic.
Brent crude was up by 16 cents at $66.74 a barrel by 0659 GMT, after reaching $66.94 earlier, the highest since March 18, and gaining 4.6% on Wednesday.
U.S. West Texas Intermediate futures rose 12 cents to $63.27 a barrel, earlier rising to $63.48, also the highest since March 18. The contract rose 4.9% in the previous session.
Supply discipline and rebounding economies are set to give oil a chance to break out of the recent range, Goldman Sachs analysts said in a report.
“We remain positive on Brent oil forecasting US$80/bbl in 3Q21 on a near-term demand recovery and supply discipline,” Goldman analysts said.
#Qatar stocks outperform as cap on foreign ownership removed | Reuters
Qatar stocks outperform as cap on foreign ownership removed | Reuters
Qatari shares rose sharply early on Thursday, following approval of a bill by the Gulf state’s cabinet that will allow non-Qatari investors to own up to 100% of listed companies’ capital.
In Qatar, the benchmark advanced 2.5%, its biggest intraday gain since April last year, with banks leading the gains.
Qatar Islamic Bank gained 6%, while Commercial Bank surged 10%, to become the top gainer on the index.
The cabinet also decided to keep central bank liquidity support for local banks based on need as the country faces a second wave of coronavirus infections.
Dubai’s main share index rose 1%, with blue-chip developer Emaar Properties gaining 1.9%, while budget airliner Air Arabia, which took delivery of One New Airbus, climbed 5.6%.
Saudi Arabia’s benchmark index gained 0.6%, with Al Rajhi Bank rising 2.1% and Saudi National Bank up 1.9%.
However, oil behemoth Saudi Aramco eased 0.3%.
Yemen’s Iran-aligned Houthi group used drones and missiles to attack targets in the southern Saudi city of Jazan, it said on Thursday, including one belonging to state oil giant Aramco which caused a fire.
There was no Saudi confirmation of a fire or of a hit on a Patriot anti-missile structure which the Houthi military spokesman said was also struck.
In Abu Dhabi, the index added 0.1%, supported by a 0.4% increase in the United Arab Emirates’ largest lender First Abu Dhabi Bank.
Qatari shares rose sharply early on Thursday, following approval of a bill by the Gulf state’s cabinet that will allow non-Qatari investors to own up to 100% of listed companies’ capital.
In Qatar, the benchmark advanced 2.5%, its biggest intraday gain since April last year, with banks leading the gains.
Qatar Islamic Bank gained 6%, while Commercial Bank surged 10%, to become the top gainer on the index.
The cabinet also decided to keep central bank liquidity support for local banks based on need as the country faces a second wave of coronavirus infections.
Dubai’s main share index rose 1%, with blue-chip developer Emaar Properties gaining 1.9%, while budget airliner Air Arabia, which took delivery of One New Airbus, climbed 5.6%.
Saudi Arabia’s benchmark index gained 0.6%, with Al Rajhi Bank rising 2.1% and Saudi National Bank up 1.9%.
However, oil behemoth Saudi Aramco eased 0.3%.
Yemen’s Iran-aligned Houthi group used drones and missiles to attack targets in the southern Saudi city of Jazan, it said on Thursday, including one belonging to state oil giant Aramco which caused a fire.
There was no Saudi confirmation of a fire or of a hit on a Patriot anti-missile structure which the Houthi military spokesman said was also struck.
In Abu Dhabi, the index added 0.1%, supported by a 0.4% increase in the United Arab Emirates’ largest lender First Abu Dhabi Bank.
#Qatar stock market rallies as cabinet approves full foreign ownership draft law | ZAWYA MENA Edition
Qatar stock market rallies as cabinet approves full foreign ownership draft law | ZAWYA MENA Edition
Qatar stock market jumped shortly after opening on Thursday on positive news that the country’s cabinet has approved a draft law to allow foreign investors to fully own companies listed on the exchange.
The move, if approved into law, is expected to bring in overseas funds.
The country's stock market jumped on the news and the index was last trading 1.8 percent higher at 10,800.87 points at 11 am local time. Commercial Bank of Qatar surged over 9 percent, while Qatar Islamic Bank rose 6 percent.
Qatar stock market jumped shortly after opening on Thursday on positive news that the country’s cabinet has approved a draft law to allow foreign investors to fully own companies listed on the exchange.
The move, if approved into law, is expected to bring in overseas funds.
The country's stock market jumped on the news and the index was last trading 1.8 percent higher at 10,800.87 points at 11 am local time. Commercial Bank of Qatar surged over 9 percent, while Qatar Islamic Bank rose 6 percent.
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