Oil drops from one-mth highs on demand fears as virus surges in India | Reuters
Crude futures settled lower on Tuesday, pulling back from one-month highs, on fears that India, the world's third-biggest oil importer, may impose restrictions as coronavirus infections and deaths surge to record highs.
Oil prices have risen steadily this year on anticipation that demand would recover, but while the United States and China are rebounding, numerous other countries are not. read more
"Unless major progress is seen beyond the key industrialized nations such as the U.S., the pandemic factor could require some downward adjustments in global oil demand expectations for this year," said Jim Ritterbusch, president of Ritterbusch and Associates in Galena, Illinois.
India, the world's second most populous country and currently the hardest hit by COVID-19, reported its worst daily death toll on Tuesday, with large parts of the country now under lockdown amid a fast-rising second surge of contagion.[nL1N2MD06P]
India's Prime Minister Narendra Modi urged citizens to take precautions to halt the spread of COVID-19, but stopped short of imposing lockdowns.
Restrictions continue to hamper travel worldwide. Hong Kong will suspend flights from India, Pakistan and the Philippines from April 20 for two weeks. read more
Brent crude settled down 48 cents, or 0.7%, at $66.57 a barrel. During the session it reached its highest since March 18 at $68.08. U.S. West Texas Intermediate (WTI) crude fell 94 cents, or 1.5%, to $62.44.
Crude prices rallied earlier in the session after Libya declared force majeure on exports from the port of Hariga and said it could extend the measure to other facilities, citing a budget dispute.
Tuesday 20 April 2021
#UAE News: Case For Renewables Never Stronger, #AbuDhabi National Oil Chief Says - Bloomberg
UAE News: Case For Renewables Never Stronger, Abu Dhabi National Oil Chief Says - Bloomberg
The United Arab Emirates, one of the world’s biggest oil producers, said the commercial case for renewable energy has never been stronger.
The Middle Eastern country plans to be at the forefront of the transition to greener energy and the fight against climate change even as it boosts oil-production capacity, according to Sultan Al Jaber, head of state firm Abu Dhabi National Oil Co. and the UAE’s climate envoy.
The nation aims to be a “global leader in producing the maximum amount of hydrocarbons with the least emissions,” Al Jaber said during a webinar hosted by the Atlantic Council on Tuesday. “The world will still rely on oil and gas for decades to come, so that oil and gas has to be very low carbon. We are working to make our barrels the least carbon intensive in world.”
The UAE, of which Abu Dhabi is the capital, plans to boost hydrogen output and increase its ability to capture carbon emitted during the production of hydrocarbons, he said. The UAE see hydrogen developing as a major energy source over the next 20 years.
Abu Dhabi, which holds most of the oil in the UAE, wants to boost output capacity by about a fifth to 5 million barrels a day by 2030.
Al Jaber’s comments came as U.S. President Joe Biden prepares to host 40 global leaders this week during an online forum to discuss climate change.
The United Arab Emirates, one of the world’s biggest oil producers, said the commercial case for renewable energy has never been stronger.
The Middle Eastern country plans to be at the forefront of the transition to greener energy and the fight against climate change even as it boosts oil-production capacity, according to Sultan Al Jaber, head of state firm Abu Dhabi National Oil Co. and the UAE’s climate envoy.
The nation aims to be a “global leader in producing the maximum amount of hydrocarbons with the least emissions,” Al Jaber said during a webinar hosted by the Atlantic Council on Tuesday. “The world will still rely on oil and gas for decades to come, so that oil and gas has to be very low carbon. We are working to make our barrels the least carbon intensive in world.”
The UAE, of which Abu Dhabi is the capital, plans to boost hydrogen output and increase its ability to capture carbon emitted during the production of hydrocarbons, he said. The UAE see hydrogen developing as a major energy source over the next 20 years.
Abu Dhabi, which holds most of the oil in the UAE, wants to boost output capacity by about a fifth to 5 million barrels a day by 2030.
Al Jaber’s comments came as U.S. President Joe Biden prepares to host 40 global leaders this week during an online forum to discuss climate change.
U.S. House panel advances bill allowing anti-trust suits against OPEC | Reuters
U.S. House panel advances bill allowing anti-trust suits against OPEC | Reuters
A U.S. House panel on Tuesday passed a bill to open the OPEC oil production group and countries working with it to lawsuits for collusion in boosting petroleum prices, but it was uncertain whether the full chamber would consider the legislation.
The so-called NOPEC bill, introduced by Representative Steve Chabot, a Republican, passed on a voice vote in the House Judiciary Committee. It would allow the U.S. Justice Department to bring anti-trust lawsuits against oil-producing countries in the Organization of the Petroleum Exporting Countries.
Similar bills to pressure OPEC when oil prices are on the rise have appeared in Congress without success for more than 20 years.
A U.S. House panel on Tuesday passed a bill to open the OPEC oil production group and countries working with it to lawsuits for collusion in boosting petroleum prices, but it was uncertain whether the full chamber would consider the legislation.
The so-called NOPEC bill, introduced by Representative Steve Chabot, a Republican, passed on a voice vote in the House Judiciary Committee. It would allow the U.S. Justice Department to bring anti-trust lawsuits against oil-producing countries in the Organization of the Petroleum Exporting Countries.
Similar bills to pressure OPEC when oil prices are on the rise have appeared in Congress without success for more than 20 years.
Even #SaudiArabia and #Iran may be thinking peace now | Financial Times
Even Saudi Arabia and Iran may be thinking peace now | Financial Times
The measured presence of Joe Biden in the White House, vacated gracelessly by the geopolitical arsonist Donald Trump, may be having a mildly calming effect on the Middle East, the most reliably combustible region in the world and perennial provider of what the US has come to think of as “forever wars”.
A US delegation, headed by Robert Malley, the special envoy for Iran, is trying to resurrect the 2015 nuclear accord that Iran signed with Barack Obama’s administration and five other world powers, but from which Trump unilaterally withdrew in 2018. Indirect talks in Vienna — where other signatories to the accord shuttle between Americans and Iranians — have sparked hope of at least an interim deal.
Meanwhile, as the Financial Times revealed last weekend, Iran and Saudi Arabia, arch-rivals for hegemony in the Gulf and the region, have been holding talks in Baghdad to try to patch up what is also a Sunni-Shia schism poisoning the Muslim world. These talks may be exploratory. But they reach across a sectarian divide between rival theocracies that lie on opposite sides of a chain of ruinous proxy wars: the Wahhabi fundamentalist Sunni kingdom of the Saudis, and the Shia supremacist Islamic Republic of Iran.
Taken together, this dancing with detente by the US, Saudi Arabia and Iran would be almost balletic — except it is not clear there is a master choreographer.
Oil Trades Above $63 a Barrel One Year After Plunge Below Zero - Bloomberg
Oil Trades Above $63 a Barrel One Year After Plunge Below Zero - Bloomberg
West Texas Intermediate chopped around Monday’s closing price after gaining as much as 1.4% earlier in the session. Libyan production fell below 1 million barrels a day amid a budget dispute. Meanwhile, the forward curve suggests growing confidence -- particularly as U.S. demand recovers -- with some market gauges surging in recent days. Several so-called timespreads are in their strongest backwardation in a month, indicating tight supply.
“There’s plenty of signs of a strong recovery, especially in the U.S.,” said John Kilduff, a partner at Again Capital LLC. But the uneven recovery worldwide is “keeping a lid on prices.”
- WTI for May delivery, which expires Tuesday, fell 4 cents to $63.34 a barrel at 10:20 a.m. in New York
- The more active June contract slid 6 cents to $63.37
- Brent for June climbed 21 cents at $67.26 a barrel
West Texas Intermediate chopped around Monday’s closing price after gaining as much as 1.4% earlier in the session. Libyan production fell below 1 million barrels a day amid a budget dispute. Meanwhile, the forward curve suggests growing confidence -- particularly as U.S. demand recovers -- with some market gauges surging in recent days. Several so-called timespreads are in their strongest backwardation in a month, indicating tight supply.
“There’s plenty of signs of a strong recovery, especially in the U.S.,” said John Kilduff, a partner at Again Capital LLC. But the uneven recovery worldwide is “keeping a lid on prices.”
#AbuDhabi's TAQA sells $1.5 billion in bonds | Reuters
Abu Dhabi's TAQA sells $1.5 billion in bonds | Reuters
Abu Dhabi National Energy Company (TAQA), owned by Abu Dhabi state-owned holding company ADQ, sold on Tuesday $1.5 billion in dual-tranche bonds comprising a seven-year tranche and 30-year Formosa notes, a document showed.
It sold $750 million of each tranche, with the seven-year paper at 80 basis points over U.S. Treasuries and the 30-year notes at 3.4%, the document from one of the banks on the deal showed.
Initial guidance was around 110 basis points over U.S. Treasuries for the seven-year tranche and around 3.75% for the 30-year Formosa portion.
TAQA received over $6.5 billion in orders for the debt sale, with a skew towards the conventional seven-year tranche. Formosa bonds are sold in Taiwan by foreign borrowers and are denominated in currencies other than the Taiwanese dollar.
Citi and HSBC were global coordinators and Bank of China, First Abu Dhabi Bank, Mashreq, Mizuho and MUFG were also on the deal.
Abu Dhabi National Energy Company (TAQA), owned by Abu Dhabi state-owned holding company ADQ, sold on Tuesday $1.5 billion in dual-tranche bonds comprising a seven-year tranche and 30-year Formosa notes, a document showed.
It sold $750 million of each tranche, with the seven-year paper at 80 basis points over U.S. Treasuries and the 30-year notes at 3.4%, the document from one of the banks on the deal showed.
Initial guidance was around 110 basis points over U.S. Treasuries for the seven-year tranche and around 3.75% for the 30-year Formosa portion.
TAQA received over $6.5 billion in orders for the debt sale, with a skew towards the conventional seven-year tranche. Formosa bonds are sold in Taiwan by foreign borrowers and are denominated in currencies other than the Taiwanese dollar.
Citi and HSBC were global coordinators and Bank of China, First Abu Dhabi Bank, Mashreq, Mizuho and MUFG were also on the deal.
MIDEAST STOCKS Ex-dividend stocks hit #Dubai as Gulf markets mixed | Reuters
MIDEAST STOCKS Ex-dividend stocks hit Dubai as Gulf markets mixed | Reuters
Share markets in the Gulf were mixed on Tuesday, with the Dubai index hit by stocks trading ex-dividend.
Dubai's main share index (.DFMGI) fell 0.7%, weighed down by a 3.1% drop in blue-chip developer Emaar Properties (EMAR.DU) and a 3.7% decline in Dubai Investments (DINV.DU) as both traded ex-dividend.
However, Emirates NBD (ENBD) (ENBD.DU) rose 0.4%, on track to extend gains from the previous session.
ENBD, Dubai's biggest lender, reported on Tuesday a 12% rise in first-quarter net profit, citing improving economic conditions after the fallout from the COVID-19 pandemic and a sharp drop in impairments.
The bank said expansion into Turkey, where it acquired DenizBank in 2019, has helped diversify its earnings, with DenizBank contributing 642 million dirhams ($174.80 million) or 28% of the group's net profit.
In Abu Dhabi, the index (.ADI) gained 0.7%, with aquaculture firm International Holding (IHC.AD) jumping about 6%.
Recently, International Holding has been the main driving force for the index as the firm has expanded rapidly across major business sectors, boosting profit and positioning it for long-term growth.
The United Arab Emirates' central bank said on Tuesday it has extended until mid-2022 stimulus measures launched last year to mitigate the impact of the coronavirus crisis on the economy. read more
The Qatari index (.QSI) slipped 0.4%, hit by a 1.2% fall in petrochemical maker Industries Qatar (IQCD.QA).
Saudi Arabia's benchmark index (.TASI) was flat as gains in financial shares were offset by losses at energy firms.
The kingdom's crude oil exports fell to their lowest in eight months in February, the Joint Organisations Data Initiative (JODI) said on Monday, as the world's biggest oil exporter voluntarily capped output to support oil prices.
Share markets in the Gulf were mixed on Tuesday, with the Dubai index hit by stocks trading ex-dividend.
Dubai's main share index (.DFMGI) fell 0.7%, weighed down by a 3.1% drop in blue-chip developer Emaar Properties (EMAR.DU) and a 3.7% decline in Dubai Investments (DINV.DU) as both traded ex-dividend.
However, Emirates NBD (ENBD) (ENBD.DU) rose 0.4%, on track to extend gains from the previous session.
ENBD, Dubai's biggest lender, reported on Tuesday a 12% rise in first-quarter net profit, citing improving economic conditions after the fallout from the COVID-19 pandemic and a sharp drop in impairments.
The bank said expansion into Turkey, where it acquired DenizBank in 2019, has helped diversify its earnings, with DenizBank contributing 642 million dirhams ($174.80 million) or 28% of the group's net profit.
In Abu Dhabi, the index (.ADI) gained 0.7%, with aquaculture firm International Holding (IHC.AD) jumping about 6%.
Recently, International Holding has been the main driving force for the index as the firm has expanded rapidly across major business sectors, boosting profit and positioning it for long-term growth.
The United Arab Emirates' central bank said on Tuesday it has extended until mid-2022 stimulus measures launched last year to mitigate the impact of the coronavirus crisis on the economy. read more
The Qatari index (.QSI) slipped 0.4%, hit by a 1.2% fall in petrochemical maker Industries Qatar (IQCD.QA).
Saudi Arabia's benchmark index (.TASI) was flat as gains in financial shares were offset by losses at energy firms.
The kingdom's crude oil exports fell to their lowest in eight months in February, the Joint Organisations Data Initiative (JODI) said on Monday, as the world's biggest oil exporter voluntarily capped output to support oil prices.
MIDEAST STOCKS Ex-dividend stocks hit #Dubai as Gulf markets mixed | Reuters
MIDEAST STOCKS Ex-dividend stocks hit Dubai as Gulf markets mixed | Reuters
Share markets in the Gulf were mixed on Tuesday, with the Dubai index hit by stocks trading ex-dividend.
Dubai's main share index (.DFMGI) fell 0.7%, weighed down by a 3.1% drop in blue-chip developer Emaar Properties (EMAR.DU) and a 3.7% decline in Dubai Investments (DINV.DU) as both traded ex-dividend.
However, Emirates NBD (ENBD) (ENBD.DU) rose 0.4%, on track to extend gains from the previous session.
ENBD, Dubai's biggest lender, reported on Tuesday a 12% rise in first-quarter net profit, citing improving economic conditions after the fallout from the COVID-19 pandemic and a sharp drop in impairments.
The bank said expansion into Turkey, where it acquired DenizBank in 2019, has helped diversify its earnings, with DenizBank contributing 642 million dirhams ($174.80 million) or 28% of the group's net profit.
In Abu Dhabi, the index (.ADI) gained 0.7%, with aquaculture firm International Holding (IHC.AD) jumping about 6%.
Recently, International Holding has been the main driving force for the index as the firm has expanded rapidly across major business sectors, boosting profit and positioning it for long-term growth.
The United Arab Emirates' central bank said on Tuesday it has extended until mid-2022 stimulus measures launched last year to mitigate the impact of the coronavirus crisis on the economy. read more
The Qatari index (.QSI) slipped 0.4%, hit by a 1.2% fall in petrochemical maker Industries Qatar (IQCD.QA).
Saudi Arabia's benchmark index (.TASI) was flat as gains in financial shares were offset by losses at energy firms.
The kingdom's crude oil exports fell to their lowest in eight months in February, the Joint Organisations Data Initiative (JODI) said on Monday, as the world's biggest oil exporter voluntarily capped output to support oil prices.
Share markets in the Gulf were mixed on Tuesday, with the Dubai index hit by stocks trading ex-dividend.
Dubai's main share index (.DFMGI) fell 0.7%, weighed down by a 3.1% drop in blue-chip developer Emaar Properties (EMAR.DU) and a 3.7% decline in Dubai Investments (DINV.DU) as both traded ex-dividend.
However, Emirates NBD (ENBD) (ENBD.DU) rose 0.4%, on track to extend gains from the previous session.
ENBD, Dubai's biggest lender, reported on Tuesday a 12% rise in first-quarter net profit, citing improving economic conditions after the fallout from the COVID-19 pandemic and a sharp drop in impairments.
The bank said expansion into Turkey, where it acquired DenizBank in 2019, has helped diversify its earnings, with DenizBank contributing 642 million dirhams ($174.80 million) or 28% of the group's net profit.
In Abu Dhabi, the index (.ADI) gained 0.7%, with aquaculture firm International Holding (IHC.AD) jumping about 6%.
Recently, International Holding has been the main driving force for the index as the firm has expanded rapidly across major business sectors, boosting profit and positioning it for long-term growth.
The United Arab Emirates' central bank said on Tuesday it has extended until mid-2022 stimulus measures launched last year to mitigate the impact of the coronavirus crisis on the economy. read more
The Qatari index (.QSI) slipped 0.4%, hit by a 1.2% fall in petrochemical maker Industries Qatar (IQCD.QA).
Saudi Arabia's benchmark index (.TASI) was flat as gains in financial shares were offset by losses at energy firms.
The kingdom's crude oil exports fell to their lowest in eight months in February, the Joint Organisations Data Initiative (JODI) said on Monday, as the world's biggest oil exporter voluntarily capped output to support oil prices.
COLUMN-The stampede to exit coal is a worrying harbinger for LNG: Russell | Reuters
COLUMN-The stampede to exit coal is a worrying harbinger for LNG: Russell | Reuters
A global diversified miner paying to exit its coal assets, and a multi-bil-lion dollar investment by Qatar to reclaim its status as the world’s largest producer of liquefied natural gas have more in common than might be visible at first glance.
South32, the Australian commodity producer spun out of BHP Group, is effectively handing over up to $250 million to Seriti Resources to take South African thermal coal operations off its hands.
While it’s not unusual for sellers of mining assets to cover rehabilitation costs, the sizeable amount involved shows just how much South32 wanted out of thermal coal - and in effect, just how little the assets are worth.
South32 is one of several major coal miners seeking to exit a business that has become increasingly problematic amid action by environmental activists, concern among shareholders and the withdrawal of financing and insurance for mines viewed as contributing to climate change.
In short, coal mines, particularly those producing thermal coal for use in power plants, are increasingly seen as a millstone around the neck of diversified miners. The latter would prefer to focus on producing commodities seen as essential to decarbonising the world’s energy systems.
A global diversified miner paying to exit its coal assets, and a multi-bil-lion dollar investment by Qatar to reclaim its status as the world’s largest producer of liquefied natural gas have more in common than might be visible at first glance.
South32, the Australian commodity producer spun out of BHP Group, is effectively handing over up to $250 million to Seriti Resources to take South African thermal coal operations off its hands.
While it’s not unusual for sellers of mining assets to cover rehabilitation costs, the sizeable amount involved shows just how much South32 wanted out of thermal coal - and in effect, just how little the assets are worth.
South32 is one of several major coal miners seeking to exit a business that has become increasingly problematic amid action by environmental activists, concern among shareholders and the withdrawal of financing and insurance for mines viewed as contributing to climate change.
In short, coal mines, particularly those producing thermal coal for use in power plants, are increasingly seen as a millstone around the neck of diversified miners. The latter would prefer to focus on producing commodities seen as essential to decarbonising the world’s energy systems.
#UAE central bank extends some stimulus measures until mid-2022 | Reuters
UAE central bank extends some stimulus measures until mid-2022 | Reuters
The United Arab Emirates central bank said on Tuesday it has extended until mid-2022 some stimulus measures introduced last year to mitigate the impact of the coronavirus crisis on the economy.
The Targeted Economic Support Scheme (TESS) helps banks provide temporary relief to companies and individuals affected by the COVID-19 pandemic and facilitates additional lending capacity through the relief of existing capital and liquidity buffers.
Banks will continue to be eligible to access a collateralised 50 billion dirham ($13.61 billion) zero-cost liquidity facility until June 30 next year, the central bank (CBUAE) said in a statement on Tuesday.
Financing provided by the bank for loan deferrals under the TESS scheme will be extended until the end of this year.
The United Arab Emirates central bank said on Tuesday it has extended until mid-2022 some stimulus measures introduced last year to mitigate the impact of the coronavirus crisis on the economy.
The Targeted Economic Support Scheme (TESS) helps banks provide temporary relief to companies and individuals affected by the COVID-19 pandemic and facilitates additional lending capacity through the relief of existing capital and liquidity buffers.
Banks will continue to be eligible to access a collateralised 50 billion dirham ($13.61 billion) zero-cost liquidity facility until June 30 next year, the central bank (CBUAE) said in a statement on Tuesday.
Financing provided by the bank for loan deferrals under the TESS scheme will be extended until the end of this year.
Oil Marks Anniversary of Crash Below Zero With Rally Above $64 - Bloomberg
Oil Marks Anniversary of Crash Below Zero With Rally Above $64 - Bloomberg
West Texas Intermediate surged 1.1%, extending Monday’s modest climb, and last week’s significant jump. In the U.S., refinery runs have climbed to the highest in over a year as activity picks up, with that optimism overshadowing concerns that demand in India is suffering amid a fresh wave of infections. An additional boost for crude came from the drop in the dollar, which fell for a seventh session, boosting the appeal of commodities priced in the currency.
Crude is up more than 30% in 2021 as investors bet the reopening of economies will stoke consumption and keep draining global inventories. As demand picks up, the Organization of Petroleum Exporting Countries and its allies are planning a cautious return of some supply from next month. The OPEC+ grouping may skip a full-scale ministerial meeting planned for next week, possibly indicating members don’t see much need to revise current strategy.
“If prices sustain in the current band, they wouldn’t want to make any changes to what’s been agreed for May-July,” said Vandana Hari, founder of Vanda Insights in Singapore. Still, “crude appears to be under-pricing the risk of a demand slowdown in India and Europe countering gains in the U.S.,” she said.
- WTI for May delivery rose 1.1% to $64.08 a barrel on the New York Mercantile Exchange at 7:28 a.m. in London.
- Brent for June settlement was up 1.1% at $67.77 a barrel on the ICE Futures Europe exchange.
- The Bloomberg Dollar Spot Index was 0.1% lower; its run of seven daily declines is the longest losing streak since June.
West Texas Intermediate surged 1.1%, extending Monday’s modest climb, and last week’s significant jump. In the U.S., refinery runs have climbed to the highest in over a year as activity picks up, with that optimism overshadowing concerns that demand in India is suffering amid a fresh wave of infections. An additional boost for crude came from the drop in the dollar, which fell for a seventh session, boosting the appeal of commodities priced in the currency.
Crude is up more than 30% in 2021 as investors bet the reopening of economies will stoke consumption and keep draining global inventories. As demand picks up, the Organization of Petroleum Exporting Countries and its allies are planning a cautious return of some supply from next month. The OPEC+ grouping may skip a full-scale ministerial meeting planned for next week, possibly indicating members don’t see much need to revise current strategy.
“If prices sustain in the current band, they wouldn’t want to make any changes to what’s been agreed for May-July,” said Vandana Hari, founder of Vanda Insights in Singapore. Still, “crude appears to be under-pricing the risk of a demand slowdown in India and Europe countering gains in the U.S.,” she said.
#Dubai apartment rents down 18.4% in the first quarter of 2021 | ZAWYA MENA Edition
Dubai apartment rents down 18.4% in the first quarter of 2021 | ZAWYA MENA Edition
Housing costs in Dubai continued their downtrend in the first three months of the year, with overall residential rents falling by an average of 11 percent compared to last year, data from real estate consultancy ValuStrat showed.
From January to March 2021, flats registered the sharpest fall in listed rents at 18.4 percent, although the cost of renting villas, which have gained popularity during the coronavirus pandemic, jumped by 3.9 percent.
Dubai’s property market had been subdued prior to the COVID-19 outbreak mainly due to a huge supply glut. Demand hit a further slump during the coronavirus lockdown, although sales transactions, primarily for ready-to-occupy units, have picked up since COVID-19 restrictions eased in the middle of last year.
Some analysts have forecast continued pressure on the residential market this year as more housing supply comes on to the market and the population growth still faces some hiccups. For this year, estimated upcoming supply currently stands at 46,316 apartments and 10,563 villas and townhouses.
Housing costs in Dubai continued their downtrend in the first three months of the year, with overall residential rents falling by an average of 11 percent compared to last year, data from real estate consultancy ValuStrat showed.
From January to March 2021, flats registered the sharpest fall in listed rents at 18.4 percent, although the cost of renting villas, which have gained popularity during the coronavirus pandemic, jumped by 3.9 percent.
Dubai’s property market had been subdued prior to the COVID-19 outbreak mainly due to a huge supply glut. Demand hit a further slump during the coronavirus lockdown, although sales transactions, primarily for ready-to-occupy units, have picked up since COVID-19 restrictions eased in the middle of last year.
Some analysts have forecast continued pressure on the residential market this year as more housing supply comes on to the market and the population growth still faces some hiccups. For this year, estimated upcoming supply currently stands at 46,316 apartments and 10,563 villas and townhouses.
#Dubai's Emirates NBD quarterly profit rises as economy rebounds | Reuters
Dubai's Emirates NBD quarterly profit rises as economy rebounds | Reuters
Emirates NBD, Dubai’s biggest lender, on Tuesday posted a 12% rise in first-quarter net profit, citing improving economic conditions from the COVID-19 pandemic fallout and a sharp drop in impairments.
The International Monetary Fund expects most Gulf economies to recover this year at a faster pace than previously estimated, as it raised its 2021 global growth forecast earlier this month.
The bank reported a net profit of 2.32 billion dirhams ($599 million) in the reported quarter ended March 31, versus 2.081 billion dirhams in the year-ago period, Emirates NBD said in a statement, adding that net profit surged 76% on-quarter.
Broker EFG Hermes had projected a net profit of 1.795 billion dirhams for the quarter.
Hesham Abdulla al-Qassim, the bank’s vice-chairman, said in a statement that the strong result “reflects the resilience and gradual economic recovery following the global disruption in 2020.”
The Dubai lender said impairments dropped 31% in the first quarter from a year earlier, citing proactive provisioning in previous quarters.
Non-funded income was up 6% from a year earlier on improved fee and investment securities income.
The bank said expansion into Turkey, where it acquired DenizBank in 2019, has helped diversify its earnings, with DenizBank contributing 642 million dirhams or 28% of the group’s net profit.
“The global economy is showing signs of recovery as vaccination programmes against COVID-19 are rolled out,” it said in a statement.
The UAE, the Gulf’s second-largest economy, will see growth of 3.1% this year, rebounding from a 5.9% contraction in 2020, the IMF said.
Emirates NBD said it expanded its network in the Saudi Arabia in the first quarter with new branches in the holy cities of Mecca and Medina.
Emirates NBD, Dubai’s biggest lender, on Tuesday posted a 12% rise in first-quarter net profit, citing improving economic conditions from the COVID-19 pandemic fallout and a sharp drop in impairments.
The International Monetary Fund expects most Gulf economies to recover this year at a faster pace than previously estimated, as it raised its 2021 global growth forecast earlier this month.
The bank reported a net profit of 2.32 billion dirhams ($599 million) in the reported quarter ended March 31, versus 2.081 billion dirhams in the year-ago period, Emirates NBD said in a statement, adding that net profit surged 76% on-quarter.
Broker EFG Hermes had projected a net profit of 1.795 billion dirhams for the quarter.
Hesham Abdulla al-Qassim, the bank’s vice-chairman, said in a statement that the strong result “reflects the resilience and gradual economic recovery following the global disruption in 2020.”
The Dubai lender said impairments dropped 31% in the first quarter from a year earlier, citing proactive provisioning in previous quarters.
Non-funded income was up 6% from a year earlier on improved fee and investment securities income.
The bank said expansion into Turkey, where it acquired DenizBank in 2019, has helped diversify its earnings, with DenizBank contributing 642 million dirhams or 28% of the group’s net profit.
“The global economy is showing signs of recovery as vaccination programmes against COVID-19 are rolled out,” it said in a statement.
The UAE, the Gulf’s second-largest economy, will see growth of 3.1% this year, rebounding from a 5.9% contraction in 2020, the IMF said.
Emirates NBD said it expanded its network in the Saudi Arabia in the first quarter with new branches in the holy cities of Mecca and Medina.
Oil prices rise to over one-month highs on weak dollar | Reuters
Oil prices rise to over one-month highs on weak dollar | Reuters
Oil prices rose to over one-month highs on Tuesday as a weaker U.S. dollar supported commodities and on expectations that crude inventories fell in the United States, the world's biggest oil user, though rising coronavirus cases in Asia capped gains.
Brent crude futures for June delivery had risen by 66 cents, or 1%, to $67.71 a barrel as at 0642 GMT after earlier hitting a session high of $67.97.
U.S. West Texas Intermediate (WTI) crude futures for May delivery, which expire on Tuesday, were up 70 cents, or 1.1%, at $64.08 barrel. The more-active June contract was at $64.02, up 0.9%, or 59 cents.
Buyers using other currencies pay less for dollar-denominated oil when the greenback weakens.
Oil prices rose to over one-month highs on Tuesday as a weaker U.S. dollar supported commodities and on expectations that crude inventories fell in the United States, the world's biggest oil user, though rising coronavirus cases in Asia capped gains.
Brent crude futures for June delivery had risen by 66 cents, or 1%, to $67.71 a barrel as at 0642 GMT after earlier hitting a session high of $67.97.
U.S. West Texas Intermediate (WTI) crude futures for May delivery, which expire on Tuesday, were up 70 cents, or 1.1%, at $64.08 barrel. The more-active June contract was at $64.02, up 0.9%, or 59 cents.
Buyers using other currencies pay less for dollar-denominated oil when the greenback weakens.
Canada's 3iQ to bring Middle East's first listed crypto fund to Nasdaq #Dubai | Reuters
Canada's 3iQ to bring Middle East's first listed crypto fund to Nasdaq Dubai | Reuters
Canadian digital asset management firm 3iQ has received regulatory clearance for a dual listing of the Bitcoin Fund on Nasdaq Dubai, making it the Middle East’s first indexed cryptocurrency digital asset-based fund, 3iQ’s chief executive said.
The Bitcoin Fund, which was listed on the Toronto Stock Exchange last year, has roughly $1.5 billion in assets under management and plans to manage double that next year, Frederick Pye, chairman and CEO of 3iQ, told Reuters in an interview.
“The idea is bitcoin trades 24 hours a day ... so our interest is to bring a regulated product to the Dubai market in their time hours,” Pye said.
Canadian digital asset management firm 3iQ has received regulatory clearance for a dual listing of the Bitcoin Fund on Nasdaq Dubai, making it the Middle East’s first indexed cryptocurrency digital asset-based fund, 3iQ’s chief executive said.
The Bitcoin Fund, which was listed on the Toronto Stock Exchange last year, has roughly $1.5 billion in assets under management and plans to manage double that next year, Frederick Pye, chairman and CEO of 3iQ, told Reuters in an interview.
“The idea is bitcoin trades 24 hours a day ... so our interest is to bring a regulated product to the Dubai market in their time hours,” Pye said.
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