Oil hits multi-year highs as OPEC+ sticks to output plan | Reuters
Oil prices jumped on Tuesday, with U.S. crude hitting its highest since 2014 and Brent futures climbing to a three-year high, after the OPEC+ group of producers stuck to its planned output increase rather than raising it further.
On Monday, OPEC+ agreed to adhere to its July pact to boost output by 400,000 barrels per day (bpd) each month until at least April 2022, phasing out 5.8 million bpd of existing production cuts. read more
U.S. West Texas Intermediate (WTI) oil closed up $1.31, or 1.7%, at $78.93 a barrel. During the session it surged more than 2% to as high as $79.48, the most in nearly seven years. Brent crude settled up $1.30, or 1.6%, at $82.56. Earlier, Brent hit a three-year high of $83.13.
Both contracts extended gains made on Monday, when they each rose more than 2%.
Tuesday 5 October 2021
Column: How high are oil prices really? Kemp | Reuters
Column: How high are oil prices really? Kemp | Reuters
How high are oil prices really and what signal are they currently sending to producers and consumers about the need for more output and lower fuel use?
The strength of a price signal depends on both the real level of prices adjusted for inflation and the rate of change compared with recent years.
In terms of the rate of change, prices are already sending a strong signal about the need to increase production and reduce consumption, as the recovery in demand has outstripped supply after last year’s coronavirus-induced slump.
Front-month Brent futures are currently trading at more than $82 per barrel, up from less than $38 at the end of the same month last year, one of the fastest price increases in percentage terms for three decades.
How high are oil prices really and what signal are they currently sending to producers and consumers about the need for more output and lower fuel use?
The strength of a price signal depends on both the real level of prices adjusted for inflation and the rate of change compared with recent years.
In terms of the rate of change, prices are already sending a strong signal about the need to increase production and reduce consumption, as the recovery in demand has outstripped supply after last year’s coronavirus-induced slump.
Front-month Brent futures are currently trading at more than $82 per barrel, up from less than $38 at the end of the same month last year, one of the fastest price increases in percentage terms for three decades.
Apollo, Brookfield Said Among Bidders for Aramco Pipeline Stake - Bloomberg
Apollo, Brookfield Said Among Bidders for Aramco Pipeline Stake - Bloomberg
Apollo Global Management Inc. and Brookfield Asset Management Inc. are among parties that made first-round bids for a potential multibillion-dollar stake in Saudi Aramco’s natural gas pipeline network, according to people familiar with the matter.
BlackRock Inc., EIG Global Energy Partners LLC and Global Infrastructure Partners also submitted non-binding offers for the asset late last week, the people said, asking not to be identified as the matter is private.
Aramco is seeking more than $15 billion for the gas pipeline stake in one of the largest divestments by the energy giant, the people said. The state-owned company will inform suitors whether they made it to the next round of bidding in the coming days, according to the people.
No final decisions have been made and Aramco could still decide to retain the asset, the people said. Other contenders could also emerge for the stake, with some of the bidders likely to join forces given the size of the asset, the people said.
Apollo Global Management Inc. and Brookfield Asset Management Inc. are among parties that made first-round bids for a potential multibillion-dollar stake in Saudi Aramco’s natural gas pipeline network, according to people familiar with the matter.
BlackRock Inc., EIG Global Energy Partners LLC and Global Infrastructure Partners also submitted non-binding offers for the asset late last week, the people said, asking not to be identified as the matter is private.
Aramco is seeking more than $15 billion for the gas pipeline stake in one of the largest divestments by the energy giant, the people said. The state-owned company will inform suitors whether they made it to the next round of bidding in the coming days, according to the people.
No final decisions have been made and Aramco could still decide to retain the asset, the people said. Other contenders could also emerge for the stake, with some of the bidders likely to join forces given the size of the asset, the people said.
Oil jumps 2%, hits 3-year high as OPEC+ sticks to output plan | Reuters
Oil jumps 2%, hits 3-year high as OPEC+ sticks to output plan | Reuters
Oil prices jumped 2% on Tuesday, with Brent futures hitting a three-year high while U.S. crude hit its highest since 2014 after the OPEC+ group of producers stuck to its planned output increase rather than pumping even more crude.
OPEC+ agreed in July to boost output by 400,000 barrels per day (bpd) each month until at least April 2022 to phase out 5.8 million bpd of existing production cuts.
Brent crude was up $1.60, or 2%, at $82.86 a barrel by 11:05 a.m. ET (1506 GMT), having risen 2.5% on Monday. U.S. West Texas Intermediate (WTI) oil rose $1.56, or 2%, to $79.18, after gaining 2.3% in the previous session.
"There is definitely a shortage in the market," said Robert Yawger, director of the futures division at Mizuho Americas.
Oil prices jumped 2% on Tuesday, with Brent futures hitting a three-year high while U.S. crude hit its highest since 2014 after the OPEC+ group of producers stuck to its planned output increase rather than pumping even more crude.
OPEC+ agreed in July to boost output by 400,000 barrels per day (bpd) each month until at least April 2022 to phase out 5.8 million bpd of existing production cuts.
Brent crude was up $1.60, or 2%, at $82.86 a barrel by 11:05 a.m. ET (1506 GMT), having risen 2.5% on Monday. U.S. West Texas Intermediate (WTI) oil rose $1.56, or 2%, to $79.18, after gaining 2.3% in the previous session.
"There is definitely a shortage in the market," said Robert Yawger, director of the futures division at Mizuho Americas.
MIDEAST STOCKS #Saudi index leads mixed markets with 14-year high | Reuters
MIDEAST STOCKS Saudi index leads mixed markets with 14-year high | Reuters
Stock markets in the Gulf region ended mixed on Tuesday, though the Saudi bourse rose to its highest in nearly 14 years on the back of stronger oil prices.
"The cautious atmosphere among investors has pushed the GCC stock markets in different directions. The economic slowdown and the strong inflation remain the main points of concern," said Wael Makarem, senior market strategist at Exness.
Saudi Arabia's benchmark index (.TASI) finished 0.8% higher, with Al Rajhi Bank (1120.SE) rising 2.2%, while oil giant Saudi Aramco (2222.SE) gained 1.8%, reaching its highest since Dec. 17, 2019.
Aramco will complete its 1 million barrel per day (bpd) oil output expansion project by 2027 to bring its total production to 13 million bpd, its CEO said on Monday.
Brent crude oil futures hit a fresh three-year high, after the OPEC+ group of producers decided to stick to its planned output rises rather pumping even more.
Energy index (.TENI) in the kingdom was up 1.6%.
In Abu Dhabi, the index (.ADI) fell 0.1%, hit by a 1.1% fall in the United Arab Emirates' largest lender, First Abu Dhabi Bank (FAB.AD).
Elsewhere, ADNOC Drilling (ADNOCDRILL.AD) slid 4.4%, ending two sessions of gains. It had surged over 28% in its debut on Sunday following a $1.1 billion initial public offering, the largest ever on the Abu Dhabi stock market. read more
The United Arab Emirates' non-oil private sector continued to expand in September as recovery from the COVID-19 pandemic in the Middle East trade and tourism hub was strong, although job creation slowed, a business survey showed on Tuesday. read more
Dubai's main share index (.DFMGI) dropped 1%, weighed down by a 3.9% decline in Emirates NBD Bank (ENBD.DU) and a 1.3% fall in Emirates Integrated Telecommunications (DU.DU).
The market remained weighed down by concerns around the global economic slowdown and its impact on the economic activity in the Emirates. The main index could fall further tracking soft performance globally before finding a floor, added Makarem.
The Qatari benchmark (.QSI) added 0.1%, with Mesaieed Petrochemical (MPHC.QA) advancing 1.6%.
Outside the Gulf, Egypt's blue-chip index (.EGX30) edged up 0.1%, helped by a 3.9% rise in Fawry for Banking Technology and Electronic (FWRY.CA).
Stock markets in the Gulf region ended mixed on Tuesday, though the Saudi bourse rose to its highest in nearly 14 years on the back of stronger oil prices.
"The cautious atmosphere among investors has pushed the GCC stock markets in different directions. The economic slowdown and the strong inflation remain the main points of concern," said Wael Makarem, senior market strategist at Exness.
Saudi Arabia's benchmark index (.TASI) finished 0.8% higher, with Al Rajhi Bank (1120.SE) rising 2.2%, while oil giant Saudi Aramco (2222.SE) gained 1.8%, reaching its highest since Dec. 17, 2019.
Aramco will complete its 1 million barrel per day (bpd) oil output expansion project by 2027 to bring its total production to 13 million bpd, its CEO said on Monday.
Brent crude oil futures hit a fresh three-year high, after the OPEC+ group of producers decided to stick to its planned output rises rather pumping even more.
Energy index (.TENI) in the kingdom was up 1.6%.
In Abu Dhabi, the index (.ADI) fell 0.1%, hit by a 1.1% fall in the United Arab Emirates' largest lender, First Abu Dhabi Bank (FAB.AD).
Elsewhere, ADNOC Drilling (ADNOCDRILL.AD) slid 4.4%, ending two sessions of gains. It had surged over 28% in its debut on Sunday following a $1.1 billion initial public offering, the largest ever on the Abu Dhabi stock market. read more
The United Arab Emirates' non-oil private sector continued to expand in September as recovery from the COVID-19 pandemic in the Middle East trade and tourism hub was strong, although job creation slowed, a business survey showed on Tuesday. read more
Dubai's main share index (.DFMGI) dropped 1%, weighed down by a 3.9% decline in Emirates NBD Bank (ENBD.DU) and a 1.3% fall in Emirates Integrated Telecommunications (DU.DU).
The market remained weighed down by concerns around the global economic slowdown and its impact on the economic activity in the Emirates. The main index could fall further tracking soft performance globally before finding a floor, added Makarem.
The Qatari benchmark (.QSI) added 0.1%, with Mesaieed Petrochemical (MPHC.QA) advancing 1.6%.
Outside the Gulf, Egypt's blue-chip index (.EGX30) edged up 0.1%, helped by a 3.9% rise in Fawry for Banking Technology and Electronic (FWRY.CA).
#Qatar energy minister says current gas market conditions unhealthy | Reuters
Qatar energy minister says current gas market conditions unhealthy | Reuters
Qatar’s energy minister said on Tuesday that the current gas market condition is not a healthy one to be in and called on joint efforts towards energy transition.
"The current market situation is not healthy to be in," Saad al-Kaabi said on the sidelines of a virtual LNG conference in Japan, noting a lack of supply, disruptions, and weather conditions which has led to a spike in prices while demand continues to increase.
Kaabi said it was time to "set aside emotions" and realise that a successful energy transition cannot be achieved by producers alone and that it must be a joint effort including end- users.
The minister, who is also the chief executive of state-owned Qatar Petroleum (QATPE.UL), the world’s top liquefied natural gas (LNG) supplier, said in September that current high gas prices reflect a lack of investment as well as a shortage of supply but he did not regard the situation as a crisis.
Qatar’s energy minister said on Tuesday that the current gas market condition is not a healthy one to be in and called on joint efforts towards energy transition.
"The current market situation is not healthy to be in," Saad al-Kaabi said on the sidelines of a virtual LNG conference in Japan, noting a lack of supply, disruptions, and weather conditions which has led to a spike in prices while demand continues to increase.
Kaabi said it was time to "set aside emotions" and realise that a successful energy transition cannot be achieved by producers alone and that it must be a joint effort including end- users.
The minister, who is also the chief executive of state-owned Qatar Petroleum (QATPE.UL), the world’s top liquefied natural gas (LNG) supplier, said in September that current high gas prices reflect a lack of investment as well as a shortage of supply but he did not regard the situation as a crisis.
Emirates airline signs $750 million sales-backed loan | Reuters
Emirates airline signs $750 million sales-backed loan | Reuters
Emirates, the world's largest long-haul airline before the pandemic, has signed a $750 million five-year dual-tranche financing facility with Emirates NBD, the bank said on Tuesday.
"The landmark transaction remains competitively priced and marks a first for Emirates Airline as a sales-receivable backed financing structure, aimed to diversify their liquidity pool," said Emirates NBD, Dubai's biggest lender.
Emirates has received $3.1 billion in state support from Dubai since the start of the pandemic. That includes $1.1 billion in June, when it reported a $5.5 billion loss for the year ended March - its first annual loss in more than three decades.
It was the airline's biggest annual loss, and only its third ever following losses in 1987-88 and 1985-86, its first year in operation, an Emirates representative has said.
Emirates, the world's largest long-haul airline before the pandemic, has signed a $750 million five-year dual-tranche financing facility with Emirates NBD, the bank said on Tuesday.
"The landmark transaction remains competitively priced and marks a first for Emirates Airline as a sales-receivable backed financing structure, aimed to diversify their liquidity pool," said Emirates NBD, Dubai's biggest lender.
Emirates has received $3.1 billion in state support from Dubai since the start of the pandemic. That includes $1.1 billion in June, when it reported a $5.5 billion loss for the year ended March - its first annual loss in more than three decades.
It was the airline's biggest annual loss, and only its third ever following losses in 1987-88 and 1985-86, its first year in operation, an Emirates representative has said.
#AbuDhabi’s IHC May Miss Out on Inflows Over Lack of Free Float - Bloomberg
Abu Dhabi’s IHC May Miss Out on Inflows Over Lack of Free Float - Bloomberg
The second-largest listed company in the United Arab Emirates may miss out on inflows worth millions due to lack of clarity over its free float.
International Holding Co. is eligible for inclusion in the UAE standard Index, potentially triggering $900 million of passive inflows, CI Capital said on Monday. Earlier this year, Arqaam Capital said it sees a low probability of the company joining the MSCI and FTSE emerging markets benchmarks, which could trigger $670 million of flows.
IHC’s opaque ownership structure makes it hard to define free float, reducing the stock’s probability of being included in the MSCI gauge. Its second-biggest shareholder is Royal Group, a company led by the UAE’s national security adviser, Sheikh Tahnoon Bin Zayed Al Nahyan -- who is also IHC’s chairman. The biggest individual shareholder, Pal Group of Companies LLC, is a subsidiary of Royal Group. Together, they own more than 70% of IHC.
The index compilers don’t consider IHC’s free float to be high enough to merit inclusion, Ahmed El Difrawy, head of EFG’s data and index research said. The implied free float was 2% according to their financial statements from two years ago, and they haven’t disclosed a change since, he said.
Morgan Stanley said in August it expects $770 million to flow in if the stock is included in MSCI’s EEMEA Standard Index, but that would depend on the company providing more disclosure on its ownership. “We continue to see its inclusion with a low probability for now,” they said at the time.
Still, history shows that expected flows don’t always materialize after MSCI upgrades. From Pakistan to UAE, MSCI’s upgrades have often been followed by sell-on-fact moves.
The second-largest listed company in the United Arab Emirates may miss out on inflows worth millions due to lack of clarity over its free float.
International Holding Co. is eligible for inclusion in the UAE standard Index, potentially triggering $900 million of passive inflows, CI Capital said on Monday. Earlier this year, Arqaam Capital said it sees a low probability of the company joining the MSCI and FTSE emerging markets benchmarks, which could trigger $670 million of flows.
IHC’s opaque ownership structure makes it hard to define free float, reducing the stock’s probability of being included in the MSCI gauge. Its second-biggest shareholder is Royal Group, a company led by the UAE’s national security adviser, Sheikh Tahnoon Bin Zayed Al Nahyan -- who is also IHC’s chairman. The biggest individual shareholder, Pal Group of Companies LLC, is a subsidiary of Royal Group. Together, they own more than 70% of IHC.
The index compilers don’t consider IHC’s free float to be high enough to merit inclusion, Ahmed El Difrawy, head of EFG’s data and index research said. The implied free float was 2% according to their financial statements from two years ago, and they haven’t disclosed a change since, he said.
Morgan Stanley said in August it expects $770 million to flow in if the stock is included in MSCI’s EEMEA Standard Index, but that would depend on the company providing more disclosure on its ownership. “We continue to see its inclusion with a low probability for now,” they said at the time.
Still, history shows that expected flows don’t always materialize after MSCI upgrades. From Pakistan to UAE, MSCI’s upgrades have often been followed by sell-on-fact moves.
Oil hits fresh 3-year high after OPEC+ stays course on output plan | Reuters
Oil hits fresh 3-year high after OPEC+ stays course on output plan | Reuters
Brent crude oil futures hit a fresh three-year high on Tuesday, with U.S. benchmark crude close to 2014 peaks, after the OPEC+ group of producers decided to stick to its planned output rises rather pumping even more.
OPEC+ agreed in July to boost output by 400,000 barrels per day (bpd) each month until at least April 2022 to phase out 5.8 million bpd of existing production cuts.
Brent crude was up $1.07 or 1.3% at $82.33 a barrel by 1128 GMT, having rising 2.5% on Monday. U.S. West Texas Intermediate (WTI) oil rose 89 cents or 1.2% to $78.51, after gaining 2.3% the previous session.
Oil prices have already surged more than 50% this year, a rise that has added to inflationary pressures that crude-consuming nations such as the United States and India are concerned will derail recovery from the pandemic. read more
Brent crude oil futures hit a fresh three-year high on Tuesday, with U.S. benchmark crude close to 2014 peaks, after the OPEC+ group of producers decided to stick to its planned output rises rather pumping even more.
OPEC+ agreed in July to boost output by 400,000 barrels per day (bpd) each month until at least April 2022 to phase out 5.8 million bpd of existing production cuts.
Brent crude was up $1.07 or 1.3% at $82.33 a barrel by 1128 GMT, having rising 2.5% on Monday. U.S. West Texas Intermediate (WTI) oil rose 89 cents or 1.2% to $78.51, after gaining 2.3% the previous session.
Oil prices have already surged more than 50% this year, a rise that has added to inflationary pressures that crude-consuming nations such as the United States and India are concerned will derail recovery from the pandemic. read more
Fertiglobe joint venture of OCI-ADNOC plans IPO of 13.8% stake | Reuters
Fertiglobe joint venture of OCI-ADNOC plans IPO of 13.8% stake | Reuters
Abu Dhabi National Oil Company (ADNOC) and chemical producer OCI N.V. plan an initial public offering of 13.8% of the shares in fertiliser joint venture Fertiglobe on the Abu Dhabi Securities Exchange (ADX), the joint venture said on Tuesday.
The deal will be the first onshore listing of a free zone company in the UAE, it added.
Euronext-listed OCI, which is backed by Egyptian billionaire businessman Nassef Sawiris, is expected to retain a majority of the company, while ADNOC is seen indirectly owning 36.2% after the IPO, Fertiglobe said in a statement.
Fertiglobe was founded in 2019 after OCI and ADNOC combined their ammonia and urea assets, with OCI holding 58% and ADNOC the remaining 42%.
In April, sources told Reuters the two companies were weighing an IPO of Fertiglobe, which they said could raise at least $1 billion.
Abu Dhabi National Oil Company (ADNOC) and chemical producer OCI N.V. plan an initial public offering of 13.8% of the shares in fertiliser joint venture Fertiglobe on the Abu Dhabi Securities Exchange (ADX), the joint venture said on Tuesday.
The deal will be the first onshore listing of a free zone company in the UAE, it added.
Euronext-listed OCI, which is backed by Egyptian billionaire businessman Nassef Sawiris, is expected to retain a majority of the company, while ADNOC is seen indirectly owning 36.2% after the IPO, Fertiglobe said in a statement.
Fertiglobe was founded in 2019 after OCI and ADNOC combined their ammonia and urea assets, with OCI holding 58% and ADNOC the remaining 42%.
In April, sources told Reuters the two companies were weighing an IPO of Fertiglobe, which they said could raise at least $1 billion.
MIDEAST STOCKS Major Gulf bourses mixed in early trade | Reuters
MIDEAST STOCKS Major Gulf bourses mixed in early trade | Reuters
Major stock markets in the Gulf delivered a mixed performance early on Tuesday, with the Saudi index outperforming the region as oil prices rose.
Saudi Arabia's benchmark index (.TASI) gained 0.4%, with Al Rajhi Bank (1120.SE) gaining 1.3% and Saudi Aramco (2222.SE), the world's largest oil exporter, up 1.2%.
Aramco will complete its 1 million barrel per day (bpd) oil output expansion project by 2027 to bring its total production to 13 million bpd, its CEO said on Monday.
Aramco also aims to expand its oil trading business to 8 million bpd over the next 5 years from its current 5.5 million bpd, he added.
Saudi Arabia's non-oil exports were 255 billion riyals ($67.99 billion) from June 2020 to June 2021, the highest in the kingdom's history, the information minister designate told a news conference on Monday.
The Qatari index (.QSI) added 0.2%, helped by a 0.5% increase in petrochemical maker Industries Qatar (IQCD.QA).
Oil prices rose to their highest in at least three years as they extended gains triggered the previous session by the world's major oil producers' decision to maintain a cap on crude supplies.
Asian shares fell for a third straight session as investors feared higher oil prices would stoke inflationary pressures caused by supply chain disruptions.
In Abu Dhabi, the index (.ADI) eased 0.2%, weighed down by a 1.1% fall in the country's largest lender First Abu Dhabi Bank (FAB.AD).
Dubai's main share index (.DFMGI) dropped 0.9%, extending losses for a second session, dragged down by a 3.9% slide in Emirates NBD Bank (ENBD.DU).
The United Arab Emirates' non-oil private sector continued to expand in September as recovery from the COVID-19 pandemic in the Middle East trade and tourism hub was strong, although job creation slowed, a business survey showed on Tuesday. read more
UAE firms hired for the fourth consecutive month but the rate of job creation slowed and was marginal.
Major stock markets in the Gulf delivered a mixed performance early on Tuesday, with the Saudi index outperforming the region as oil prices rose.
Saudi Arabia's benchmark index (.TASI) gained 0.4%, with Al Rajhi Bank (1120.SE) gaining 1.3% and Saudi Aramco (2222.SE), the world's largest oil exporter, up 1.2%.
Aramco will complete its 1 million barrel per day (bpd) oil output expansion project by 2027 to bring its total production to 13 million bpd, its CEO said on Monday.
Aramco also aims to expand its oil trading business to 8 million bpd over the next 5 years from its current 5.5 million bpd, he added.
Saudi Arabia's non-oil exports were 255 billion riyals ($67.99 billion) from June 2020 to June 2021, the highest in the kingdom's history, the information minister designate told a news conference on Monday.
The Qatari index (.QSI) added 0.2%, helped by a 0.5% increase in petrochemical maker Industries Qatar (IQCD.QA).
Oil prices rose to their highest in at least three years as they extended gains triggered the previous session by the world's major oil producers' decision to maintain a cap on crude supplies.
Asian shares fell for a third straight session as investors feared higher oil prices would stoke inflationary pressures caused by supply chain disruptions.
In Abu Dhabi, the index (.ADI) eased 0.2%, weighed down by a 1.1% fall in the country's largest lender First Abu Dhabi Bank (FAB.AD).
Dubai's main share index (.DFMGI) dropped 0.9%, extending losses for a second session, dragged down by a 3.9% slide in Emirates NBD Bank (ENBD.DU).
The United Arab Emirates' non-oil private sector continued to expand in September as recovery from the COVID-19 pandemic in the Middle East trade and tourism hub was strong, although job creation slowed, a business survey showed on Tuesday. read more
UAE firms hired for the fourth consecutive month but the rate of job creation slowed and was marginal.
#Saudi non-oil new business growth at seven-year high in Sept -PMI | Reuters
Saudi non-oil new business growth at seven-year high in Sept -PMI | Reuters
Saudi Arabia's non-oil private sector grew in September, with new orders rising at the fastest rate in seven years, a business survey showed, as a relaxation of COVID-19 restrictions on activity and travel boosted customer demand.
The seasonally adjusted IHS Markit Saudi Arabia Purchasing Managers' Index (PMI) surged to 58.6 in September from 54.1 in August, well above the 50 mark that separates growth from contraction.
The 4.5 point gain signalled the strongest improvement in non-oil business conditions since August 2015.
Firms expanded output at the sharpest rate since May and new orders received by non-oil companies jumped, with the respective sub-index rising by almost 10 points month on month.
Saudi Arabia's non-oil private sector grew in September, with new orders rising at the fastest rate in seven years, a business survey showed, as a relaxation of COVID-19 restrictions on activity and travel boosted customer demand.
The seasonally adjusted IHS Markit Saudi Arabia Purchasing Managers' Index (PMI) surged to 58.6 in September from 54.1 in August, well above the 50 mark that separates growth from contraction.
The 4.5 point gain signalled the strongest improvement in non-oil business conditions since August 2015.
Firms expanded output at the sharpest rate since May and new orders received by non-oil companies jumped, with the respective sub-index rising by almost 10 points month on month.
#UAE non-oil private sector grows but employment slows down in Sept -PMI | Reuters
UAE non-oil private sector grows but employment slows down in Sept -PMI | Reuters
The United Arab Emirates' non-oil private sector continued to expand in September as recovery from the COVID-19 pandemic in the Middle East trade and tourism hub remained strong, although job creation slowed, a business survey showed on Tuesday.
The seasonally adjusted IHS Markit UAE Purchasing Managers' Index (PMI), which covers manufacturing and services, dipped slightly to 53.3 in September from 53.8 in August, remaining well above the 50.0 mark that separates growth from contraction.
Coronavirus-related restrictions last year hurt vital sectors such as tourism, retail trading and transportation.
But the non-oil economy has been expanding since December on the back of a pick up in demand and a loosening of travel restrictions. The Gulf state is also set to get a boost from the Dubai Expo world fair, which began on Oct. 1.
The United Arab Emirates' non-oil private sector continued to expand in September as recovery from the COVID-19 pandemic in the Middle East trade and tourism hub remained strong, although job creation slowed, a business survey showed on Tuesday.
The seasonally adjusted IHS Markit UAE Purchasing Managers' Index (PMI), which covers manufacturing and services, dipped slightly to 53.3 in September from 53.8 in August, remaining well above the 50.0 mark that separates growth from contraction.
Coronavirus-related restrictions last year hurt vital sectors such as tourism, retail trading and transportation.
But the non-oil economy has been expanding since December on the back of a pick up in demand and a loosening of travel restrictions. The Gulf state is also set to get a boost from the Dubai Expo world fair, which began on Oct. 1.
Oil gains after OPEC+ holds firm on supply restraint | Reuters
Oil gains after OPEC+ holds firm on supply restraint | Reuters
Oil prices climbed on Tuesday, hitting their highest levels in at least three years, extending gains triggered during the previous session after the world's major oil producers announced they had decided to keep a cap on crude supplies.
Brent crude was up by 23 cents or 0.3% at $81.49 a barrel by 0341 GMT, having rising 2.5% on Monday. U.S. West Texas Intermediate (WTI) oil rose 12 cents or 0.2% to $77.74, after gaining 2.3% the previous session.
The Organization of the Petroleum Exporting Countries (OPEC) and its allies including Russia, collectively known as OPEC+, said on Monday it would maintain an agreement to increase oil production only gradually, ignoring calls from the United States and India to boost output as the world economy recovers, if patchily, from the coronavirus pandemic.
Oil prices have already surged more than 50% this year, a rise that has added to inflationary pressures that crude-consuming nations are concerned will derail recovery from the pandemic. read more
Oil prices climbed on Tuesday, hitting their highest levels in at least three years, extending gains triggered during the previous session after the world's major oil producers announced they had decided to keep a cap on crude supplies.
Brent crude was up by 23 cents or 0.3% at $81.49 a barrel by 0341 GMT, having rising 2.5% on Monday. U.S. West Texas Intermediate (WTI) oil rose 12 cents or 0.2% to $77.74, after gaining 2.3% the previous session.
The Organization of the Petroleum Exporting Countries (OPEC) and its allies including Russia, collectively known as OPEC+, said on Monday it would maintain an agreement to increase oil production only gradually, ignoring calls from the United States and India to boost output as the world economy recovers, if patchily, from the coronavirus pandemic.
Oil prices have already surged more than 50% this year, a rise that has added to inflationary pressures that crude-consuming nations are concerned will derail recovery from the pandemic. read more
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