Oil prices reach multi-year highs on tight supply | Reuters
Oil prices reached multi-year highs on Monday before steadying, as tight global supply and strengthening fuel demand in the United States and beyond supported prices.
Brent crude futures gained 46 cents to settle at $85.99 a barrel. The contract reached a session high of $86.70 a barrel, its highest level since October 2018.
U.S. West Texas Intermediate (WTI) crude futures were unchanged at $83.76 a barrel after reaching $85.41 a barrel, the highest since October 2014.
Both benchmarks have climbed by around 20% since the start of September. U.S. crude has risen for nine straight weeks, while Brent has risen for seven.
Monday, 25 October 2021
Saudi Arabia outlines plans under Mideast Green Initiative | Reuters
Saudi Arabia outlines plans under Mideast Green Initiative | Reuters
Saudi Arabia's crown prince launched a Middle East Green Initiative on Monday which he said aimed to secure 39 billion riyals ($10.4 billion) for an investment fund and clean energy project as part of efforts to reduce regional carbon emissions.
Crown Prince Mohammed bin Salman said the kingdom, which is the world's top oil exporter, would contribute 15% of the funds and would work with other states and development funds on the funding and execution of the initiatives.
"As part of the kingdom's leading role in developing energy markets, it will work to establish an investment fund for carbon circular economy solutions in the region and an initiative to offer clean energy solutions to help feed more than 750 million people worldwide," he said.
When plans for the Middle East Green Initiative were first announced in March, the prince had said it aimed to reduce carbon emissions in the region by 60% and reverse desertification in one of world's most water stressed regions by planting billions of trees.
Delegates pose for a photo during the Summit of the Green Middle East Initiative in Riyadh, Saudi Arabia,
October 25, 2021. Saudi Green Initiative Media Office/Handout via REUTERS
Crown Prince Mohammed bin Salman said the kingdom, which is the world's top oil exporter, would contribute 15% of the funds and would work with other states and development funds on the funding and execution of the initiatives.
"As part of the kingdom's leading role in developing energy markets, it will work to establish an investment fund for carbon circular economy solutions in the region and an initiative to offer clean energy solutions to help feed more than 750 million people worldwide," he said.
When plans for the Middle East Green Initiative were first announced in March, the prince had said it aimed to reduce carbon emissions in the region by 60% and reverse desertification in one of world's most water stressed regions by planting billions of trees.
Column: Oil prices soar, bullish hedge funds hold their nerve | Reuters
Column: Oil prices soar, bullish hedge funds hold their nerve | Reuters
Petroleum futures and options saw another influx of hedge fund inflows last week as renewed bullishness about output restrictions overcame concerns about the already-high level of prices.
Hedge funds and other money managers purchased the equivalent of 10 million barrels in the six most important futures and options contracts in the week to Oct. 19.
Funds have been net buyers in seven of the last eight weeks, adding a total of 188 million barrels to their positions since Aug. 24, according to records compiled by exchanges and regulators.
The most recent week saw buying in NYMEX and ICE WTI (+23 million barrels), U.S. gasoline (+8 million) and European gas oil (+9 million), but sales of Brent (-24 million) and U.S. heating oil (-7 million).
Petroleum futures and options saw another influx of hedge fund inflows last week as renewed bullishness about output restrictions overcame concerns about the already-high level of prices.
Hedge funds and other money managers purchased the equivalent of 10 million barrels in the six most important futures and options contracts in the week to Oct. 19.
Funds have been net buyers in seven of the last eight weeks, adding a total of 188 million barrels to their positions since Aug. 24, according to records compiled by exchanges and regulators.
The most recent week saw buying in NYMEX and ICE WTI (+23 million barrels), U.S. gasoline (+8 million) and European gas oil (+9 million), but sales of Brent (-24 million) and U.S. heating oil (-7 million).
Mideast Stocks: #AbuDhabi falls, #Saudi gains as major Gulf bourses end mixed | ZAWYA MENA Edition
Mideast Stocks: Abu Dhabi falls, Saudi gains as major Gulf bourses end mixed | ZAWYA MENA Edition
Abu Dhabi's stock index ended lower on Monday following record highs in the previous session, while Saudi Arabian shares reversed course to close in the green as major Gulf bourses marked a mixed note.
The Abu Dhabi index eased 0.2%, with Alpha Dhabi Holding shedding 2.5%, despite a sharp rise in its quarterly earnings.
Aldar Properties lost 1%, a day after the company said it would create job opportunities for 1,000 UAE nationals over the next five years.
Saudi Arabia's benchmark index .TASI added 0.4%, led by a 1.6% rise in Al Rajhi Bank1120.SE after it reported a rise in quarterly net profit.
Investors jumped in after a light correction, supported by strong oil prices and demand, said Wael Makarem, senior market strategist at Exness. He, however, added that the index remained exposed to possible corrections over the short term.
Oil prices extended gains to hit multi-year highs on Monday, lifted by tight global supply and strengthening fuel demand in the United States and beyond. O/R
Dubai's main share index closed 0.5% lower, weighed down by a 1.4% drop in Emirates NBD Bank and a 1.5% decrease in logistic firm Aramex, snapping a four-day winning streak.
In the previous two sessions, Aramex rose about 24%, following a direct deal worth 1.41 billion dirhams ($383.90 million) for its 295 million shares.
The Qatari index inched 0.1% higher, with petrochemical maker Industries Qatar advancing 2.1% ahead of its earnings announcement.
Commercial Bank gained 0.9% after it posted strong earnings for the first nine months of 2021.
Outside the Gulf, Egypt's blue-chip index fell 0.1%, with most stocks ending in the red.
"The market has been trading sideways for a couple of trading sessions as investors search for drivers after a tremendous rally at the beginning of the month," said Makarem.
Abu Dhabi's stock index ended lower on Monday following record highs in the previous session, while Saudi Arabian shares reversed course to close in the green as major Gulf bourses marked a mixed note.
The Abu Dhabi index eased 0.2%, with Alpha Dhabi Holding shedding 2.5%, despite a sharp rise in its quarterly earnings.
Aldar Properties lost 1%, a day after the company said it would create job opportunities for 1,000 UAE nationals over the next five years.
Saudi Arabia's benchmark index .TASI added 0.4%, led by a 1.6% rise in Al Rajhi Bank1120.SE after it reported a rise in quarterly net profit.
Investors jumped in after a light correction, supported by strong oil prices and demand, said Wael Makarem, senior market strategist at Exness. He, however, added that the index remained exposed to possible corrections over the short term.
Oil prices extended gains to hit multi-year highs on Monday, lifted by tight global supply and strengthening fuel demand in the United States and beyond. O/R
Dubai's main share index closed 0.5% lower, weighed down by a 1.4% drop in Emirates NBD Bank and a 1.5% decrease in logistic firm Aramex, snapping a four-day winning streak.
In the previous two sessions, Aramex rose about 24%, following a direct deal worth 1.41 billion dirhams ($383.90 million) for its 295 million shares.
The Qatari index inched 0.1% higher, with petrochemical maker Industries Qatar advancing 2.1% ahead of its earnings announcement.
Commercial Bank gained 0.9% after it posted strong earnings for the first nine months of 2021.
Outside the Gulf, Egypt's blue-chip index fell 0.1%, with most stocks ending in the red.
"The market has been trading sideways for a couple of trading sessions as investors search for drivers after a tremendous rally at the beginning of the month," said Makarem.
Fitch places credit ratings of 4 Qatari banks on negative watch | Reuters
Fitch places credit ratings of 4 Qatari banks on negative watch | Reuters
Credit ratings agency Fitch Ratings indicated on Monday it could cut the ratings of four banks in Qatar, saying it was concerned over the sector's increasing reliance on external funding and a recent rapid growth in assets.
Fitch placed Doha Bank (DOBK.QA), Al Khalij Commercial Bank (KCBK.QA) Qatar Islamic Bank (QISB.QA) and Dukhan Bank on "ratings watch negative", meaning it sees a greater potential for a downgrade in their ratings.
All four banks have an A credit rating from Fitch.
The Qatari banks' reliance on "external funding, coupled with the large size of the banking system, could have moderately weakened the authorities' ability to support the banking sector," the ratings agency said in a statement.
Foreign funding was $193 billion at the end of August, Fitch said, representing 48% of the Qatari banking sector's liabilities compared with $121 billion and 38% at the end of 2018.
Foreign assets were "broadly stable" and the banking sector's net external debt was $133 billion, representing 82% of expected gross domestic product (GDP) this year, it said.
Credit ratings agency Fitch Ratings indicated on Monday it could cut the ratings of four banks in Qatar, saying it was concerned over the sector's increasing reliance on external funding and a recent rapid growth in assets.
Fitch placed Doha Bank (DOBK.QA), Al Khalij Commercial Bank (KCBK.QA) Qatar Islamic Bank (QISB.QA) and Dukhan Bank on "ratings watch negative", meaning it sees a greater potential for a downgrade in their ratings.
All four banks have an A credit rating from Fitch.
The Qatari banks' reliance on "external funding, coupled with the large size of the banking system, could have moderately weakened the authorities' ability to support the banking sector," the ratings agency said in a statement.
Foreign funding was $193 billion at the end of August, Fitch said, representing 48% of the Qatari banking sector's liabilities compared with $121 billion and 38% at the end of 2018.
Foreign assets were "broadly stable" and the banking sector's net external debt was $133 billion, representing 82% of expected gross domestic product (GDP) this year, it said.
BlackRock Gets New #Saudi Mandate for Infrastructure Fund - Bloomberg
BlackRock Gets New Saudi Mandate for Infrastructure Fund - Bloomberg
BlackRock Inc. has been hired by Saudi Arabia to advise a new investment fund established to help finance a drive to upgrade infrastructure across the world’s biggest oil exporter.
The U.S. asset manager will help Saudi Arabia create and oversee the National Infrastructure Fund, which expects to be involved in financing around $53 billion worth on projects over the next decade in industries from power and water to health care, according to a statement on Monday.
The size of the fund hasn’t been determined yet, but it will be backed entirely by the National Development Fund, a Saudi government entity chaired by Crown Prince Mohammed Bin Salman. BlackRock’s deal with Saudi Arabia will be through its Financial Markets Advisory unit and won’t affect the firm’s assets under management, which reached $9.46 trillion last quarter.
“There is huge interest from investors around the world in infrastructure and our role with NIF is to help institutionalize the infrastructure market in Saudi Arabia in order to attract more foreign capital,” said Yazeed Almubarak, chief executive officer and director of BlackRock Saudi Arabia.
BlackRock Inc. has been hired by Saudi Arabia to advise a new investment fund established to help finance a drive to upgrade infrastructure across the world’s biggest oil exporter.
The U.S. asset manager will help Saudi Arabia create and oversee the National Infrastructure Fund, which expects to be involved in financing around $53 billion worth on projects over the next decade in industries from power and water to health care, according to a statement on Monday.
The size of the fund hasn’t been determined yet, but it will be backed entirely by the National Development Fund, a Saudi government entity chaired by Crown Prince Mohammed Bin Salman. BlackRock’s deal with Saudi Arabia will be through its Financial Markets Advisory unit and won’t affect the firm’s assets under management, which reached $9.46 trillion last quarter.
“There is huge interest from investors around the world in infrastructure and our role with NIF is to help institutionalize the infrastructure market in Saudi Arabia in order to attract more foreign capital,” said Yazeed Almubarak, chief executive officer and director of BlackRock Saudi Arabia.
Oil prices extend gains to multi-year highs on tight supply | Reuters
Oil prices extend gains to multi-year highs on tight supply | Reuters
Oil prices extended pre-weekend gains on Monday to hit multi-year highs, lifted by tight global supply and strengthening fuel demand in the United States and beyond as economies recover from pandemic-induced slumps.
Brent crude futures rose by 64 cents, or 0.8%, to $86.17 a barrel by 1105 GMT, following on from last Friday's 1.1% gain. Earlier on Monday they touched $86.43, the highest price since October 2018.
U.S. West Texas Intermediate (WTI) crude futures rose 75 cents, or 0.9%, to $84.51 a barrel after gaining 1.5% on Friday. They hit their highest since October 2014 at $84.76 earlier on Monday.
Both benchmarks closed last week with slight gains despite rising numbers of coronavirus cases in the United Kingdom and Eastern Europe, signalling a potentially difficult winter ahead.
Oil prices extended pre-weekend gains on Monday to hit multi-year highs, lifted by tight global supply and strengthening fuel demand in the United States and beyond as economies recover from pandemic-induced slumps.
Brent crude futures rose by 64 cents, or 0.8%, to $86.17 a barrel by 1105 GMT, following on from last Friday's 1.1% gain. Earlier on Monday they touched $86.43, the highest price since October 2018.
U.S. West Texas Intermediate (WTI) crude futures rose 75 cents, or 0.9%, to $84.51 a barrel after gaining 1.5% on Friday. They hit their highest since October 2014 at $84.76 earlier on Monday.
Both benchmarks closed last week with slight gains despite rising numbers of coronavirus cases in the United Kingdom and Eastern Europe, signalling a potentially difficult winter ahead.
Most Gulf markets fall in early trade; #Qatar gains | Reuters
Most Gulf markets fall in early trade; Qatar gains | Reuters
Most stock markets in the Gulf fell in early trade on Monday, with the Abu Dhabi index retreating from a record high, while the Qatari index bucked the trend to trade higher.
In Abu Dhabi, the index (.ADI) dropped 0.4%, a day after it reached an all-time high, pressured by a 1.1% fall in the country's largest lender First Abu Dhabi Bank (FAB.AD) and a 1.8% decline in Alpha Dhabi Holding (ALPHADHABI.AD).
Aldar Properties (ALDAR.AD) on Sunday said it would create employment opportunities for 1,000 UAE nationals over the next five years. However, Aldar shares were down 0.8%.
Saudi Arabia's benchmark index (.TASI) lost 0.2%, on course to extend losses from the previous session, with Al Rajhi Bank (1120.SE) declining 1.2%, while Saudi Arabian Mining Company (1211.SE) slid 2.8%, despite reporting a strong quarterly earnings.
Meanwhile, the kingdom wants to be the biggest supplier of hydrogen, Energy Minister Prince Abdulaziz bin Salman al-Saud said on Sunday. read more
This comes at a time calls for reductions in fossil-fuel investment and a shift towards renewable energy sources have been growing worldwide.
Dubai's main share index (.DFMGI) declined 0.8%, dragged down by a 1.1% drop in Emirates NBD Bank (ENBD.DU) and a 4% decrease in logistic firm Aramex (ARMX.DU), to end a four-day winning streak.
In the previous two sessions Aramex rose about 24%, following a direct deal worth 1.41 billion dirhams ($383.90 million) for its 295 million shares.
Union Properties (UPRO.DU) extended losses to trade 0.4% lower. The United Arab Emirates attorney general has announced an investigation into allegations of financial violations by the chairman and other officials of Union Properties, Reuters reported on Sunday, citing state-news agency WAM. read more
The Qatari index (.QSI) gained 0.2%, with petrochemical maker Industries Qatar (IQCD.QA) advancing 1.4% ahead of its earnings announcement.
Among other gainers, Commercial Bank (COMB.QA) added 0.9% after it posted strong earnings for the first nine months of 2021.
Most stock markets in the Gulf fell in early trade on Monday, with the Abu Dhabi index retreating from a record high, while the Qatari index bucked the trend to trade higher.
In Abu Dhabi, the index (.ADI) dropped 0.4%, a day after it reached an all-time high, pressured by a 1.1% fall in the country's largest lender First Abu Dhabi Bank (FAB.AD) and a 1.8% decline in Alpha Dhabi Holding (ALPHADHABI.AD).
Aldar Properties (ALDAR.AD) on Sunday said it would create employment opportunities for 1,000 UAE nationals over the next five years. However, Aldar shares were down 0.8%.
Saudi Arabia's benchmark index (.TASI) lost 0.2%, on course to extend losses from the previous session, with Al Rajhi Bank (1120.SE) declining 1.2%, while Saudi Arabian Mining Company (1211.SE) slid 2.8%, despite reporting a strong quarterly earnings.
Meanwhile, the kingdom wants to be the biggest supplier of hydrogen, Energy Minister Prince Abdulaziz bin Salman al-Saud said on Sunday. read more
This comes at a time calls for reductions in fossil-fuel investment and a shift towards renewable energy sources have been growing worldwide.
Dubai's main share index (.DFMGI) declined 0.8%, dragged down by a 1.1% drop in Emirates NBD Bank (ENBD.DU) and a 4% decrease in logistic firm Aramex (ARMX.DU), to end a four-day winning streak.
In the previous two sessions Aramex rose about 24%, following a direct deal worth 1.41 billion dirhams ($383.90 million) for its 295 million shares.
Union Properties (UPRO.DU) extended losses to trade 0.4% lower. The United Arab Emirates attorney general has announced an investigation into allegations of financial violations by the chairman and other officials of Union Properties, Reuters reported on Sunday, citing state-news agency WAM. read more
The Qatari index (.QSI) gained 0.2%, with petrochemical maker Industries Qatar (IQCD.QA) advancing 1.4% ahead of its earnings announcement.
Among other gainers, Commercial Bank (COMB.QA) added 0.9% after it posted strong earnings for the first nine months of 2021.
#UAE banking industry is in recovery mode: UBF Chief | ZAWYA MENA Edition
UAE banking industry is in recovery mode: UBF Chief | ZAWYA MENA Edition
Chairman of UAE Banks Federation (UBF), Abdul Aziz Al Ghurair, today held a press conference – his first since the UAE eased COVID-19 restrictions – during which he addressed a number of topics related to the post-pandemic recovery and growth of the UAE banking sector.
Topics of discussion included the banking sector’s achievements during and post-COVID 19, progress made by UAE banks on the Emiratisation process, collective efforts by UBF members to achieve the goals set out in the government’s "Projects of the 50" initiative, impact of Expo 2020 Dubai on the banking industry, and the expectations for UAE banking sector’s performance in the second half of 2021.
Also on the agenda were efforts made by UBF and the Central Bank of the UAE (CBUAE) to tackle financial crime compliance, the effect of UAE’s new residency guidelines on the banking sector, as well as the latest updates on key UBF initiatives.
Commenting on CBUAE's proactive efforts to mitigate the impact of COVID-19 on retail and corporate customers, Al Ghurair said, "CBUAE’s timely and integrated measures to support the financial system helped shield the UAE economy from the pandemic’s impact and accelerated post-COVID recovery. In total, the UAE dedicated a support package reaching AED 400 billion, of which the CBUAE gave banks total relief package that exceeded AED 250 billion. In particular, the AED 100 billion Zero Cost Facility benefited both individuals and businesses and facilitated liquidity management for banks through collateralised funding at zero cost. To date, the TESS loan deferral program made by CBUAE benefited hundreds of thousands of retail customers, tens of thousands of SMEs, and thousands of private sector companies."
Chairman of UAE Banks Federation (UBF), Abdul Aziz Al Ghurair, today held a press conference – his first since the UAE eased COVID-19 restrictions – during which he addressed a number of topics related to the post-pandemic recovery and growth of the UAE banking sector.
Topics of discussion included the banking sector’s achievements during and post-COVID 19, progress made by UAE banks on the Emiratisation process, collective efforts by UBF members to achieve the goals set out in the government’s "Projects of the 50" initiative, impact of Expo 2020 Dubai on the banking industry, and the expectations for UAE banking sector’s performance in the second half of 2021.
Also on the agenda were efforts made by UBF and the Central Bank of the UAE (CBUAE) to tackle financial crime compliance, the effect of UAE’s new residency guidelines on the banking sector, as well as the latest updates on key UBF initiatives.
Commenting on CBUAE's proactive efforts to mitigate the impact of COVID-19 on retail and corporate customers, Al Ghurair said, "CBUAE’s timely and integrated measures to support the financial system helped shield the UAE economy from the pandemic’s impact and accelerated post-COVID recovery. In total, the UAE dedicated a support package reaching AED 400 billion, of which the CBUAE gave banks total relief package that exceeded AED 250 billion. In particular, the AED 100 billion Zero Cost Facility benefited both individuals and businesses and facilitated liquidity management for banks through collateralised funding at zero cost. To date, the TESS loan deferral program made by CBUAE benefited hundreds of thousands of retail customers, tens of thousands of SMEs, and thousands of private sector companies."
Brent Oil Takes Out $86 as #SaudiArabia Vows Caution on Supplies - Bloomberg
Brent Oil Takes Out $86 as Saudi Arabia Vows Caution on Supplies - Bloomberg
Oil rallied above $86 a barrel after Saudi Arabia said that the OPEC+ alliance should maintain its cautious approach to managing global crude supplies given the threat to demand still posed by the pandemic.
Global benchmark Brent advanced 0.8%, building on a run of seven consecutive weekly gains, while West Texas Intermediate hit the highest since 2014. Saudi Arabia’s Energy Minister Prince Abdulaziz bin Salman told Bloomberg Television at the weekend that producers shouldn’t take the rise in prices for granted. That conservative stance was echoed by both Nigeria and Azerbaijan.
Oil has more than doubled over the past 12 months, fanning inflationary concerns, as the global economy rebounded from the dislocation caused by the coronavirus pandemic. While consumption has surged, the Organization of Petroleum Exporting Countries and its allies have been restrained in easing the draconian supply cuts imposed in 2020 to salvage prices. That’s driven Brent to the highest since 2018 as stockpiles fall and key timespreads balloon.
“Saudi comments reinforce the view that OPEC+ will stick to its cautious approach, and with demand looking better, this does mean that the market will continue to tighten for the remainder of the year,” said Warren Patterson, head of commodities strategy at ING Groep NV in Singapore. “So further tightening certainly does leave the potential for further volatility.”
Oil rallied above $86 a barrel after Saudi Arabia said that the OPEC+ alliance should maintain its cautious approach to managing global crude supplies given the threat to demand still posed by the pandemic.
Global benchmark Brent advanced 0.8%, building on a run of seven consecutive weekly gains, while West Texas Intermediate hit the highest since 2014. Saudi Arabia’s Energy Minister Prince Abdulaziz bin Salman told Bloomberg Television at the weekend that producers shouldn’t take the rise in prices for granted. That conservative stance was echoed by both Nigeria and Azerbaijan.
Oil has more than doubled over the past 12 months, fanning inflationary concerns, as the global economy rebounded from the dislocation caused by the coronavirus pandemic. While consumption has surged, the Organization of Petroleum Exporting Countries and its allies have been restrained in easing the draconian supply cuts imposed in 2020 to salvage prices. That’s driven Brent to the highest since 2018 as stockpiles fall and key timespreads balloon.
“Saudi comments reinforce the view that OPEC+ will stick to its cautious approach, and with demand looking better, this does mean that the market will continue to tighten for the remainder of the year,” said Warren Patterson, head of commodities strategy at ING Groep NV in Singapore. “So further tightening certainly does leave the potential for further volatility.”
Twin peaks: Whether it's supply or demand, oil era heads for crunch time | Reuters
Twin peaks: Whether it's supply or demand, oil era heads for crunch time | Reuters
Energy transition and peak demand predictions have spooked investors in oil, putting the prospect of peak production sooner than anticipated accompanied by wild price spikes.
Key climate talks are set to begin at the end of this month in Glasgow, Scotland to tackle global warming under the 2015 Paris Agreement, with fossil fuel in policy-makers' crosshairs.
But as it stands now, mobility curbs which hollowed out both spending on upstream oil projects and oil end use may already be set to permanently rein in the growth of both supply and demand.
"On current trends, global oil supply is likely to peak even earlier than demand," the research department of bank Morgan Stanley said in a note this week.
Energy transition and peak demand predictions have spooked investors in oil, putting the prospect of peak production sooner than anticipated accompanied by wild price spikes.
Key climate talks are set to begin at the end of this month in Glasgow, Scotland to tackle global warming under the 2015 Paris Agreement, with fossil fuel in policy-makers' crosshairs.
But as it stands now, mobility curbs which hollowed out both spending on upstream oil projects and oil end use may already be set to permanently rein in the growth of both supply and demand.
"On current trends, global oil supply is likely to peak even earlier than demand," the research department of bank Morgan Stanley said in a note this week.
#Saudi imports from #UAE jump back up in August | Reuters
Saudi imports from UAE jump back up in August | Reuters
The value of Saudi Arabia's imports from the United Arab Emirates (UAE) in August increased by about 31% month on month, official data showed on Monday, jumping back from a steep decline in July after the kingdom imposed new rules on imports from other Gulf countries.
Imports from neighbouring UAE rose to 4.1 billion riyals ($1.09 billion) from 3.1 billion riyals in July, according to data from the General Authority for Statistics. On an annual basis, Saudi imports from the UAE increased by about 47%.
The monthly increase follows a 33% decline in July, when Saudi Arabia amended rules on imports from other Gulf Cooperation Council (GCC) countries to exclude goods made in free zones or using Israeli input from preferential tariff concessions, a move seen as a challenge to the UAE's status as the region's trade and business hub. read more
"The July data would have shown the disruption of the new regulation as companies took time to get the paperwork in place, but this really shows it takes time for import substitutions, and goods are continuing to go into Saudi", said Monica Malik, chief economist at Abu Dhabi Commercial Bank.
The value of Saudi Arabia's imports from the United Arab Emirates (UAE) in August increased by about 31% month on month, official data showed on Monday, jumping back from a steep decline in July after the kingdom imposed new rules on imports from other Gulf countries.
Imports from neighbouring UAE rose to 4.1 billion riyals ($1.09 billion) from 3.1 billion riyals in July, according to data from the General Authority for Statistics. On an annual basis, Saudi imports from the UAE increased by about 47%.
The monthly increase follows a 33% decline in July, when Saudi Arabia amended rules on imports from other Gulf Cooperation Council (GCC) countries to exclude goods made in free zones or using Israeli input from preferential tariff concessions, a move seen as a challenge to the UAE's status as the region's trade and business hub. read more
"The July data would have shown the disruption of the new regulation as companies took time to get the paperwork in place, but this really shows it takes time for import substitutions, and goods are continuing to go into Saudi", said Monica Malik, chief economist at Abu Dhabi Commercial Bank.
Oil prices extend gains to multi-year highs on tight supply | Reuters
Oil prices extend gains to multi-year highs on tight supply | Reuters
Oil prices climbed on Monday, extending pre-weekend gains to hit multi-year highs as global supply remained tight amid solid fuel demand in the United States and elsewhere in the world as economies pick up from coronavirus pandemic-induced slumps.
U.S. West Texas Intermediate (WTI) crude futures rose 62 cents, or 0.7%, to $84.38 a barrel at 0646 GMT, after gaining 1.5% on Friday. They touched their highest since October 2014 - $84.76 - earlier in the session.
Brent crude futures increased 56 cents, or 0.7%, to $86.09 a barrel, following on from last Friday's 1.1% gain. The contract earlier hit its highest since October 2018 of $86.43.
"With firm fuel demand in the United States amid tight supply, oil market's tone stayed fairly strong, which prompted some speculators to unwind short positions," said Tetsu Emori, CEO of Emori Fund Management Inc.
Oil prices climbed on Monday, extending pre-weekend gains to hit multi-year highs as global supply remained tight amid solid fuel demand in the United States and elsewhere in the world as economies pick up from coronavirus pandemic-induced slumps.
U.S. West Texas Intermediate (WTI) crude futures rose 62 cents, or 0.7%, to $84.38 a barrel at 0646 GMT, after gaining 1.5% on Friday. They touched their highest since October 2014 - $84.76 - earlier in the session.
Brent crude futures increased 56 cents, or 0.7%, to $86.09 a barrel, following on from last Friday's 1.1% gain. The contract earlier hit its highest since October 2018 of $86.43.
"With firm fuel demand in the United States amid tight supply, oil market's tone stayed fairly strong, which prompted some speculators to unwind short positions," said Tetsu Emori, CEO of Emori Fund Management Inc.
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