Oil settles higher on Russian supply disruption | Reuters
Oil prices jumped on Monday as Western allies imposed more sanctions on Russia and blocked some Russian banks from a global payments system, which could cause severe disruption to its oil exports.
Brent crude settled up $3.06, or 3.1%, at $100.99 a barrel after touching a high of $105.07 in early trade.
The Brent contract for April delivery expires on Monday. The most active contract, for May delivery, was up $3.14 at $97.26.
U.S. West Texas Intermediate (WTI) crude settled up $4.13, or 4.5%, at $95.72 after hitting $99.10 in early trade.
"The tight global oil market could become even tighter following last week’s Russian invasion of Ukraine," said Jim Ritterbusch, president of Ritterbusch and Associates in Galena, Illinois.
Monday, 28 February 2022
Salik Road-Toll System Lines Up BofA, Emirates NBD, Goldman for #Dubai IPO - Bloomberg
Salik Road-Toll System Lines Up BofA, Emirates NBD, Goldman for Dubai IPO - Bloomberg
Dubai’s road-toll collection system has picked Bank of America Corp., Emirates NBD Bank PJSC and Goldman Sachs Group Inc. to arrange its local stock exchange listing, according to people familiar with the matter.
The banks will work alongside Moelis & Co., the financial adviser on the potential listing, the people said, asking not to be identified as the information is private. It wasn’t clear yet what valuation Salik will seek.
The emirate’s deputy ruler in November announced plans for the initial public offering of the Salik toll system as part of a broader plan to list 10 state entities. The goal is to revive Dubai’s stock market and close the gap with exchanges in rival financial centers Abu Dhabi and Riyadh.
Representatives for Emirates NBD, Goldman Sachs and Bank of America declined to comment, while Salik didn’t immediately respond to an email seeking comments.
The listing is expected to follow that of state-owned Dubai Electricity & Water Authority this year. DEWA is considering tripling its annual dividend target to 6.2 billion dirhams ($1.69 billion) after listing in the first half of the year, people familiar with the matter told Bloomberg last week.
Dubai’s road-toll collection system has picked Bank of America Corp., Emirates NBD Bank PJSC and Goldman Sachs Group Inc. to arrange its local stock exchange listing, according to people familiar with the matter.
The banks will work alongside Moelis & Co., the financial adviser on the potential listing, the people said, asking not to be identified as the information is private. It wasn’t clear yet what valuation Salik will seek.
The emirate’s deputy ruler in November announced plans for the initial public offering of the Salik toll system as part of a broader plan to list 10 state entities. The goal is to revive Dubai’s stock market and close the gap with exchanges in rival financial centers Abu Dhabi and Riyadh.
Representatives for Emirates NBD, Goldman Sachs and Bank of America declined to comment, while Salik didn’t immediately respond to an email seeking comments.
The listing is expected to follow that of state-owned Dubai Electricity & Water Authority this year. DEWA is considering tripling its annual dividend target to 6.2 billion dirhams ($1.69 billion) after listing in the first half of the year, people familiar with the matter told Bloomberg last week.
#SaudiArabia’s Net Foreign Assets Hit Lowest Level Since 2010 - Bloomberg
Saudi Arabia’s Net Foreign Assets Hit Lowest Level Since 2010 - Bloomberg
Saudi Arabia’s net foreign assets dropped by 1.9% in January to the lowest level since 2010, central bank data showed.
The stockpile fell by around 32 billion riyals ($8.5 billion) to over $429 billion, according to the bank’s monthly report. The drop in January was comparable with the scale of declines in previous months after the state oil company began paying dividends on a quarterly basis.
Saudi Arabia’s net foreign assets dropped by 1.9% in January to the lowest level since 2010, central bank data showed.
The stockpile fell by around 32 billion riyals ($8.5 billion) to over $429 billion, according to the bank’s monthly report. The drop in January was comparable with the scale of declines in previous months after the state oil company began paying dividends on a quarterly basis.
Oil soars as Russian energy supply fears intensify | Reuters
Oil soars as Russian energy supply fears intensify | Reuters
Oil prices jumped on Monday as Western allies imposed more sanctions on Russia and blocked some Russian banks from a global payments system, which could cause severe disruption to its oil exports.
Brent crude rose $2.89, or 3%, to $100.82 by 12:08 p.m. EDT (1708 GMT) after touching a high of $105.07 a barrel in early trade.
The Brent contract for April delivery expires on Monday. The most active contract, for May delivery, was up $3.14 at $97.26.
U.S. West Texas Intermediate (WTI) crude was up $3.79, or 4.1%, at $95.38 after hitting $99.10 in early trade.
"Growing concerns about disruptions to Russian energy supplies are pushing oil and gas prices up sharply," Commerzbank analyst Carsten Fritsch said.
Oil prices jumped on Monday as Western allies imposed more sanctions on Russia and blocked some Russian banks from a global payments system, which could cause severe disruption to its oil exports.
Brent crude rose $2.89, or 3%, to $100.82 by 12:08 p.m. EDT (1708 GMT) after touching a high of $105.07 a barrel in early trade.
The Brent contract for April delivery expires on Monday. The most active contract, for May delivery, was up $3.14 at $97.26.
U.S. West Texas Intermediate (WTI) crude was up $3.79, or 4.1%, at $95.38 after hitting $99.10 in early trade.
"Growing concerns about disruptions to Russian energy supplies are pushing oil and gas prices up sharply," Commerzbank analyst Carsten Fritsch said.
Mubadala, #Qatar Fund Holding On to Russian Assets for Now - Bloomberg
Mubadala, Qatar Fund Holding On to Russian Assets for Now - Bloomberg
Two influential Middle Eastern wealth funds are for now planning to hold on to Russian assets worth billions of dollars, seen as strategic and long-term investments, people familiar with the matter said.
Abu Dhabi’s Mubadala Investment Co. and Qatar Investment Authority are taking a different approach to Norway’s $1.3 trillion sovereign wealth fund, which is starting a process to remove Russian assets from its portfolio.
The QIA, which has a roughly 19% stake in Rosneft PJSC, sees that investment as key to supporting Doha’s relationship with Moscow, the people said. Unlike BP Plc, which has said it will offload its stake in the Russian firm, the Qatari fund is under no pressure to sell, they said.
Mubadala has at least $3 billion worth of exposure to Russia, two of the people said, declining to be identified as the matter is private. Mubadala is unlikely to unwind its partnership with the Kremlin-run Russian Direct Investment Fund, or take steps that might hamper the relationship, despite the slump in Russian markets, the people said.
Two influential Middle Eastern wealth funds are for now planning to hold on to Russian assets worth billions of dollars, seen as strategic and long-term investments, people familiar with the matter said.
Abu Dhabi’s Mubadala Investment Co. and Qatar Investment Authority are taking a different approach to Norway’s $1.3 trillion sovereign wealth fund, which is starting a process to remove Russian assets from its portfolio.
The QIA, which has a roughly 19% stake in Rosneft PJSC, sees that investment as key to supporting Doha’s relationship with Moscow, the people said. Unlike BP Plc, which has said it will offload its stake in the Russian firm, the Qatari fund is under no pressure to sell, they said.
Mubadala has at least $3 billion worth of exposure to Russia, two of the people said, declining to be identified as the matter is private. Mubadala is unlikely to unwind its partnership with the Kremlin-run Russian Direct Investment Fund, or take steps that might hamper the relationship, despite the slump in Russian markets, the people said.
FAB board approves up to $1 billion AT1 bonds issuance | Reuters
FAB board approves up to $1 billion AT1 bonds issuance | Reuters
The board of First Abu Dhabi Bank (FAB.AD), the United Arab Emirates' largest lender, approved on Monday issuance of up to $1 billion in Additional Tier 1 (ATI) bonds, designed to be perpetual.
Chaos in world markets following Russia's invasion of Ukraine have further exacerbated a slow year for bond sales out of the Gulf, already wary over a more hawkish U.S. Federal Reserve expected to begin an aggressive tightening cycle in March.
AT1 bonds are used to boost banks' core capital to comply with international banking standards and can be redeemed after a specified period.
The FAB board approved the new issuance at a general meeting on Monday but did not give details on the timeline.
The board of First Abu Dhabi Bank (FAB.AD), the United Arab Emirates' largest lender, approved on Monday issuance of up to $1 billion in Additional Tier 1 (ATI) bonds, designed to be perpetual.
Chaos in world markets following Russia's invasion of Ukraine have further exacerbated a slow year for bond sales out of the Gulf, already wary over a more hawkish U.S. Federal Reserve expected to begin an aggressive tightening cycle in March.
AT1 bonds are used to boost banks' core capital to comply with international banking standards and can be redeemed after a specified period.
The FAB board approved the new issuance at a general meeting on Monday but did not give details on the timeline.
Looming FATF decision on dirty money list poses risks for #UAE | Reuters
Looming FATF decision on dirty money list poses risks for UAE | Reuters
A global financial crime watchdog will decide this week whether the United Arab Emirates has made enough progress to avoid landing on a 'grey' watchlist, a designation which risks reputational damage to the Middle East's business hub.
The Financial Action Task Force (FATF) in 2020 called for "fundamental and major improvements" by the UAE, the region's financial capital and a gold trading hub that has tightened regulations to overcome an image as a hotspot for illicit money.
Countries on the 'grey list' face increased FATF monitoring and risk reputational damage, ratings adjustments, trouble obtaining global finance and higher transaction costs, experts say.
UAE Minister of State Ahmed al-Sayegh told Reuters the risk from a potential greylisting to sectors such as banking, real estate and credit ratings was "generally low".
A global financial crime watchdog will decide this week whether the United Arab Emirates has made enough progress to avoid landing on a 'grey' watchlist, a designation which risks reputational damage to the Middle East's business hub.
The Financial Action Task Force (FATF) in 2020 called for "fundamental and major improvements" by the UAE, the region's financial capital and a gold trading hub that has tightened regulations to overcome an image as a hotspot for illicit money.
Countries on the 'grey list' face increased FATF monitoring and risk reputational damage, ratings adjustments, trouble obtaining global finance and higher transaction costs, experts say.
UAE Minister of State Ahmed al-Sayegh told Reuters the risk from a potential greylisting to sectors such as banking, real estate and credit ratings was "generally low".
Gulf markets rebound, #Saudi gains 1.4% | Reuters
Gulf markets rebound, Saudi gains 1.4% | Reuters
Major Gulf markets reversed course to end higher on Monday, boosted by strength in commodities, with oil prices soaring to $105 as Western allies imposed more sanctions on Russia and blocked some of the country's banks from a global payments system.
As an economic crisis loomed in Russia, the fallout of tougher sanctions from the West imposed over the weekend rippled out across financial markets. World stocks slid and the Russian rouble tanked to fresh lows.
Bucking the trend, Saudi Arabia's benchmark index (.TASI) ended 1.4% higher in its biggest daily percentage gain since Feb. 14. The index has risen 2.6% for the month.
"The Saudi stock market found support in the expectations of rising oil prices as Russian crude remains under threat. Saudi petroleum is seeing rising demand from Asian buyers that are moving to secure their supplies," said Wael Makarem, Senior Market Strategist – MENA at Exness.
Oil giant Saudi Aramco (2222.SE) lifted sentiment, rising 1.5%.
Food and retail company Savola Group (2050.SE) ended up 2.7%.
Scientific and Medical Equipment House (4014.SE) rose 30% to 67.6 riyals in its market debut, compared with the final IPO price of 52 riyals.
Dubai's main index (.DFMGI) gained 1.3% to mark its best month since November, rising 4.7% for the month.
In Abu Dhabi, the index (.FTFADGI) ended up 2.2%, rising the most in a single session since Dec. 6.
The index gained 7% on a monthly basis.
The Qatari index (.QSI) rose 2.3%, boosted by heavyweights Qatar National Bank (QNBK.QA) and Industries Qatar (IQCD.QA).
The index, which saw its best day since April 15, rose 3.6% this month.
Outside the Gulf, Egypt's blue-chip index (.EGX30) ended 0.3% lower.
Major Gulf markets reversed course to end higher on Monday, boosted by strength in commodities, with oil prices soaring to $105 as Western allies imposed more sanctions on Russia and blocked some of the country's banks from a global payments system.
As an economic crisis loomed in Russia, the fallout of tougher sanctions from the West imposed over the weekend rippled out across financial markets. World stocks slid and the Russian rouble tanked to fresh lows.
Bucking the trend, Saudi Arabia's benchmark index (.TASI) ended 1.4% higher in its biggest daily percentage gain since Feb. 14. The index has risen 2.6% for the month.
"The Saudi stock market found support in the expectations of rising oil prices as Russian crude remains under threat. Saudi petroleum is seeing rising demand from Asian buyers that are moving to secure their supplies," said Wael Makarem, Senior Market Strategist – MENA at Exness.
Oil giant Saudi Aramco (2222.SE) lifted sentiment, rising 1.5%.
Food and retail company Savola Group (2050.SE) ended up 2.7%.
Scientific and Medical Equipment House (4014.SE) rose 30% to 67.6 riyals in its market debut, compared with the final IPO price of 52 riyals.
Dubai's main index (.DFMGI) gained 1.3% to mark its best month since November, rising 4.7% for the month.
In Abu Dhabi, the index (.FTFADGI) ended up 2.2%, rising the most in a single session since Dec. 6.
The index gained 7% on a monthly basis.
The Qatari index (.QSI) rose 2.3%, boosted by heavyweights Qatar National Bank (QNBK.QA) and Industries Qatar (IQCD.QA).
The index, which saw its best day since April 15, rose 3.6% this month.
Outside the Gulf, Egypt's blue-chip index (.EGX30) ended 0.3% lower.
Airbus hits back at #Qatar with $220 million A350 claim | Reuters
Airbus hits back at Qatar with $220 million A350 claim | Reuters
Airbus (AIR.PA) hit back in an escalating dispute with Qatar Airways over A350 jets on Monday, asking a British judge to award $220 million in damages over two undelivered airliners.
The court claim for damages, in connection with two A350s that Qatar's national carrier has rejected, came after Qatar Airways sued the planemaker for $600 million over the erosion to the surface of more than 20 previously delivered jets.
Airbus also wants to recover millions of dollars of credits awarded to the airline, a filing showed, offering a rare glimpse of negotiating details in the secretive global jet industry.
The counter-offensive is the latest salvo in a months-old contractual and safety dispute that has brought relations between two aviation industry titans to an all-time low.
Airbus (AIR.PA) hit back in an escalating dispute with Qatar Airways over A350 jets on Monday, asking a British judge to award $220 million in damages over two undelivered airliners.
The court claim for damages, in connection with two A350s that Qatar's national carrier has rejected, came after Qatar Airways sued the planemaker for $600 million over the erosion to the surface of more than 20 previously delivered jets.
Airbus also wants to recover millions of dollars of credits awarded to the airline, a filing showed, offering a rare glimpse of negotiating details in the secretive global jet industry.
The counter-offensive is the latest salvo in a months-old contractual and safety dispute that has brought relations between two aviation industry titans to an all-time low.
#UAE bank's bid for Egypt's 'national champion' EFG may be too low | Reuters
UAE bank's bid for Egypt's 'national champion' EFG may be too low | Reuters
The United Arab Emirates' biggest lender may have to raise its bid to take a controlling stake in Egypt's top investment bank EFG Hermes (HRHO.CA) given the latter's outsized influence over Egypt's financial markets and supercharged growth of its fintech businesses, industry players say.
FAB (FAB.AD) this month made a non-binding offer to buy at least 51% of EFG Hermes for 19 Egyptian pounds ($1.21) per share, which valued the Egyptian bank at nearly $1.2 billion, but most analysts value EFG in the 25-28 pounds range, as much as 47% above the current offer. read more
EFG controls roughly a third of traded volumes on Egypt's stock exchange. Its size almost guarantees it a leading role on top deals in the country, including a planned pipeline of initial public offerings in state or military-owned companies.
Besides being by far the biggest investment bank, EFG also has unrivalled scale in Egypt's non-banking financial services (NBFS) sector, as Egypt's 100 million people are estimated to be among the world's least banked.
"The opportunity for Egypt is significant," said Basil Moftah, general partner at Global Ventures, which is pouring money into fintech.
The United Arab Emirates' biggest lender may have to raise its bid to take a controlling stake in Egypt's top investment bank EFG Hermes (HRHO.CA) given the latter's outsized influence over Egypt's financial markets and supercharged growth of its fintech businesses, industry players say.
FAB (FAB.AD) this month made a non-binding offer to buy at least 51% of EFG Hermes for 19 Egyptian pounds ($1.21) per share, which valued the Egyptian bank at nearly $1.2 billion, but most analysts value EFG in the 25-28 pounds range, as much as 47% above the current offer. read more
EFG controls roughly a third of traded volumes on Egypt's stock exchange. Its size almost guarantees it a leading role on top deals in the country, including a planned pipeline of initial public offerings in state or military-owned companies.
Besides being by far the biggest investment bank, EFG also has unrivalled scale in Egypt's non-banking financial services (NBFS) sector, as Egypt's 100 million people are estimated to be among the world's least banked.
"The opportunity for Egypt is significant," said Basil Moftah, general partner at Global Ventures, which is pouring money into fintech.
Oil soars as Russian energy supply fears intensify | Reuters
Oil soars as Russian energy supply fears intensify | Reuters
Oil prices jumped on Monday as Western allies imposed more sanctions on Russia and blocked some Russian banks from a global payments system, which could cause severe disruption to its oil exports.
Brent crude rose $4.82, or 4.9%, to $102.75 by 1028 GMT after touching a high of $105.07 a barrel in early trade.
The Brent contract for April delivery expires on Monday. The most active contract, for May delivery, was up $4.74 at $98.86.
U.S. West Texas Intermediate (WTI) crude was up $4.62, or 5%, at $96.21 after hitting $99.10 in early trade.
"Growing concerns about disruptions to Russian energy supplies are pushing oil and gas prices up sharply," said Commerzbank analyst Carsten Fritsch.
Oil prices jumped on Monday as Western allies imposed more sanctions on Russia and blocked some Russian banks from a global payments system, which could cause severe disruption to its oil exports.
Brent crude rose $4.82, or 4.9%, to $102.75 by 1028 GMT after touching a high of $105.07 a barrel in early trade.
The Brent contract for April delivery expires on Monday. The most active contract, for May delivery, was up $4.74 at $98.86.
U.S. West Texas Intermediate (WTI) crude was up $4.62, or 5%, at $96.21 after hitting $99.10 in early trade.
"Growing concerns about disruptions to Russian energy supplies are pushing oil and gas prices up sharply," said Commerzbank analyst Carsten Fritsch.
Oil soars as sanctions and pressures on Russia mount | Reuters
Oil soars as sanctions and pressures on Russia mount | Reuters
Oil prices jumped on Monday as Western allies imposed more sanctions on Russia and blocked some Russian banks from a global payments system, which could cause severe disruption to its oil exports.
Brent crude rose $4.16, or 4.3%, to $102.09, at 0915 after hitting a high of $105.07 a barrel in early trade.
The Brent contract, for April delivery, expires on Monday. The most active contract, for May delivery, was up $4.16 at $98.28.
U.S. West Texas Intermediate (WTI) crude was up $4.19, or 4.6%, at $95.78 a barrel after hitting $99.10 in early trade.
"Moves by the U.S. and Europe to remove certain Russian banks from the SWIFT system have raised fears of a disruption to supply of some sort in the near term," said ANZ commodity strategist Daniel Hynes.
Oil prices jumped on Monday as Western allies imposed more sanctions on Russia and blocked some Russian banks from a global payments system, which could cause severe disruption to its oil exports.
Brent crude rose $4.16, or 4.3%, to $102.09, at 0915 after hitting a high of $105.07 a barrel in early trade.
The Brent contract, for April delivery, expires on Monday. The most active contract, for May delivery, was up $4.16 at $98.28.
U.S. West Texas Intermediate (WTI) crude was up $4.19, or 4.6%, at $95.78 a barrel after hitting $99.10 in early trade.
"Moves by the U.S. and Europe to remove certain Russian banks from the SWIFT system have raised fears of a disruption to supply of some sort in the near term," said ANZ commodity strategist Daniel Hynes.
#UAE industrial giant Emirates Global Aluminium delivers record net profit of $1.5b for '21 | Markets – Gulf News
UAE industrial giant Emirates Global Aluminium delivers record net profit of $1.5b for '21 | Markets – Gulf News
The UAE’s biggest non-oil manufacturing entity, EGA (Emirates Global Aluminium) recorded a whopping 1,140 per cent increase in net profits for 2021 to $1.5 billion. The bottom-line number shows the company make a swift return to form after the disruptions brought on by the COVID-19 in 2020.
EGA shareholders received Dh735 million ($200 million) in dividends during 2021. Additionally, the H-block was acquired from the shareholders for AED 1.6 billion ($438 million) in December 2021.
“EGA can still do better,” said Abdulnasser Bin Kalban, CEO of EGA. “We will focus on maximising the value of our existing assets by de-bottlenecking and through Industry 4.0.”
“There was a strong market for our metal last year - and this continues,” said the CEO. “The demand is there, and we have had clients dealing with us for 40-43 years. There are no issues with exports - in fact, they are demanding more.”
The UAE’s biggest non-oil manufacturing entity, EGA (Emirates Global Aluminium) recorded a whopping 1,140 per cent increase in net profits for 2021 to $1.5 billion. The bottom-line number shows the company make a swift return to form after the disruptions brought on by the COVID-19 in 2020.
EGA shareholders received Dh735 million ($200 million) in dividends during 2021. Additionally, the H-block was acquired from the shareholders for AED 1.6 billion ($438 million) in December 2021.
“EGA can still do better,” said Abdulnasser Bin Kalban, CEO of EGA. “We will focus on maximising the value of our existing assets by de-bottlenecking and through Industry 4.0.”
“There was a strong market for our metal last year - and this continues,” said the CEO. “The demand is there, and we have had clients dealing with us for 40-43 years. There are no issues with exports - in fact, they are demanding more.”
Top #UAE banks set to see profitability return to pre-pandemic levels | ZAWYA MENA Edition
Top UAE banks set to see profitability return to pre-pandemic levels | ZAWYA MENA Edition
Growth in net interest income will drive profitability to pre-pandemic levels at the largest UAE banks in the next 12-18 months, according to a report by Moody's Investors Service.
The growth in net interest income will be underpinned by rising interest rates expectations and strong business momentum supporting non-interest income, even as provisioning efforts ease, said the report published on Monday.
"The four largest banks' profitability rebounded to near pre-pandemic levels in 2021, largely reflecting robust non-interest income and softening loan loss provisions," said Nitish Bhojnagarwala, a VP-Senior Credit Officer at Moody's and the author of the report.
"We expect a full return to pre-pandemic levels of profitability in the next 12-18 months."
Growth in net interest income will drive profitability to pre-pandemic levels at the largest UAE banks in the next 12-18 months, according to a report by Moody's Investors Service.
The growth in net interest income will be underpinned by rising interest rates expectations and strong business momentum supporting non-interest income, even as provisioning efforts ease, said the report published on Monday.
"The four largest banks' profitability rebounded to near pre-pandemic levels in 2021, largely reflecting robust non-interest income and softening loan loss provisions," said Nitish Bhojnagarwala, a VP-Senior Credit Officer at Moody's and the author of the report.
"We expect a full return to pre-pandemic levels of profitability in the next 12-18 months."
Brookfield to Buy 60% of First #AbuDhabi Bank’s Payment Arm - Bloomberg
Brookfield to Buy 60% of First Abu Dhabi Bank’s Payment Arm - Bloomberg
Brookfield Asset Management Inc. signed an agreement to buy 60% of the payments business of First Abu Dhabi Bank PJSC at a $1.15 billion valuation.
FAB, which completed the carve-out of its Magnati payments business into a fully-owned subsidiary in April, will retain a 40% stake. The sale adds to a flurry of dealmaking in the payments industry, with banks seeking to offload operations as they struggle to compete with specialist providers.
Dubai-based Mashreqbank PSC is also exploring a sale of its payments business in a deal that could value the division at around $500 million, people familiar with the matter told Bloomberg last week.
Brookfield is an active investor in the Middle East and is among parties that made first-round bids for a minority stake in Kuwaiti conglomerate Alshaya Group’s Starbucks Corp. franchise. The Canadian investor was the frontrunner to acquire Magnati, Bloomberg reported this month.
FAB, the UAE’s largest lender, has a market value of about $60 billion. It’s separately bid for a majority stake in EFG-Hermes, valuing the firm at $1.2 billion, in what’s likely to be the biggest acquisition yet in Egypt by the lender.
Brookfield Asset Management Inc. signed an agreement to buy 60% of the payments business of First Abu Dhabi Bank PJSC at a $1.15 billion valuation.
FAB, which completed the carve-out of its Magnati payments business into a fully-owned subsidiary in April, will retain a 40% stake. The sale adds to a flurry of dealmaking in the payments industry, with banks seeking to offload operations as they struggle to compete with specialist providers.
Dubai-based Mashreqbank PSC is also exploring a sale of its payments business in a deal that could value the division at around $500 million, people familiar with the matter told Bloomberg last week.
Brookfield is an active investor in the Middle East and is among parties that made first-round bids for a minority stake in Kuwaiti conglomerate Alshaya Group’s Starbucks Corp. franchise. The Canadian investor was the frontrunner to acquire Magnati, Bloomberg reported this month.
FAB, the UAE’s largest lender, has a market value of about $60 billion. It’s separately bid for a majority stake in EFG-Hermes, valuing the firm at $1.2 billion, in what’s likely to be the biggest acquisition yet in Egypt by the lender.
Middle East markets fall as Russia-Ukraine tensions escalate | Reuters
Middle East markets fall as Russia-Ukraine tensions escalate | Reuters
Major Gulf bourses fell on Monday as global markets reacted to imposition of more sanctions on Russia, while crude oil prices soared above $100 a barrel again.
The rouble plunged nearly 30% to a record low after Western nations imposed tough new sanctions on Russia for its invasion of Ukraine, including blocking some banks from the SWIFT global payments system.
In a bid to manage the fallout from these actions, Russia's central bank sharply raised its key policy rate to 20%, a day after announcing a slew of measures to support domestic markets. read more
President Vladimir Putin also put Russia's nuclear deterrent on high alert on Sunday.
In the Middle East, Dubai's main index (.DFMGI) fell 0.4%, dragged by financial and real estate stocks.
In Abu Dhabi, the index (.FTFADGI) was down 0.3%.
Saudi Arabia's benchmark index (.TASI) was trading flat, after rising as much as 2.2% in the previous session.
Shares of Saudi Cement (3030.SE) fell marginally after the company posted lower annual profit.
Scientific and Medical Equipment House (4014.SE) opened up 17% on its debut on the stock exchanges, higher than the final IPO price of 52 riyals. Shares rose as much as 30%.
Tourism Enterprises Company (4170.SE) said on Sunday it signed a MoU with Shuaa Capital to buy three hotels in a deal valued at 735 million riyals ($195.92 million).
Tourism Enterprises shares gained 2% a day while shares of Shuaa dropped 2.3%.
The Qatari index (.QSI) edged up marginally in its second straight day of gains.
Qatar Electricity and Water Company was up 0.2% after the company said on Sunday its fiscal profit rose.
Major Gulf bourses fell on Monday as global markets reacted to imposition of more sanctions on Russia, while crude oil prices soared above $100 a barrel again.
The rouble plunged nearly 30% to a record low after Western nations imposed tough new sanctions on Russia for its invasion of Ukraine, including blocking some banks from the SWIFT global payments system.
In a bid to manage the fallout from these actions, Russia's central bank sharply raised its key policy rate to 20%, a day after announcing a slew of measures to support domestic markets. read more
President Vladimir Putin also put Russia's nuclear deterrent on high alert on Sunday.
In the Middle East, Dubai's main index (.DFMGI) fell 0.4%, dragged by financial and real estate stocks.
In Abu Dhabi, the index (.FTFADGI) was down 0.3%.
Saudi Arabia's benchmark index (.TASI) was trading flat, after rising as much as 2.2% in the previous session.
Shares of Saudi Cement (3030.SE) fell marginally after the company posted lower annual profit.
Scientific and Medical Equipment House (4014.SE) opened up 17% on its debut on the stock exchanges, higher than the final IPO price of 52 riyals. Shares rose as much as 30%.
Tourism Enterprises Company (4170.SE) said on Sunday it signed a MoU with Shuaa Capital to buy three hotels in a deal valued at 735 million riyals ($195.92 million).
Tourism Enterprises shares gained 2% a day while shares of Shuaa dropped 2.3%.
The Qatari index (.QSI) edged up marginally in its second straight day of gains.
Qatar Electricity and Water Company was up 0.2% after the company said on Sunday its fiscal profit rose.
Oil soars as Russia puts nuclear forces on alert, bank sanctions bite | Reuters
Oil soars as Russia puts nuclear forces on alert, bank sanctions bite | Reuters
Oil prices jumped on Monday on escalating sanctions against Russia over its invasion of Ukraine, which in turn led President Vladimir Putin to put his country's nuclear deterrent on high alert.
Brent jumped back above $100 a barrel, initially surging more than $7, as the nuclear alert and bank payment constraints heightened fears that oil shipments from the world's second-largest producer could be disrupted. Russia accounts for about 10% of global oil supply.
At 0643 GMT Brent crude futures were up $4.69, or 4.8%, at $102.62, after hitting a high of $105.07 a barrel in early trade. Last week the benchmark hit a more than seven-year high of $105.79 after Russia's invasion of Ukraine began.
The April Brent contract expires on Monday. The May contract was up $5.28 at $99.40.
U.S. West Texas Intermediate (WTI) crude futures were up $5.34, or 5.8%, at $96.93 a barrel, after hitting a high of $99.10 early in the day. WTI climbed to as much as $100.54 last week.
Oil prices jumped on Monday on escalating sanctions against Russia over its invasion of Ukraine, which in turn led President Vladimir Putin to put his country's nuclear deterrent on high alert.
Brent jumped back above $100 a barrel, initially surging more than $7, as the nuclear alert and bank payment constraints heightened fears that oil shipments from the world's second-largest producer could be disrupted. Russia accounts for about 10% of global oil supply.
At 0643 GMT Brent crude futures were up $4.69, or 4.8%, at $102.62, after hitting a high of $105.07 a barrel in early trade. Last week the benchmark hit a more than seven-year high of $105.79 after Russia's invasion of Ukraine began.
The April Brent contract expires on Monday. The May contract was up $5.28 at $99.40.
U.S. West Texas Intermediate (WTI) crude futures were up $5.34, or 5.8%, at $96.93 a barrel, after hitting a high of $99.10 early in the day. WTI climbed to as much as $100.54 last week.
Oil Jumps Over 7% as Russia Isolation Triggers Shortfall Fears - Bloomberg
Oil Jumps Over 7% as Russia Isolation Triggers Shortfall Fears - Bloomberg
Oil soared at the open as energy and commodity markets were thrown into a state of disarray after Western nations unleashed more sanctions to isolate Russia following its invasion of Ukraine.
West Texas Intermediate and Brent rose more than 7% in early Asian trading. The U.S. and its European allies agreed over the weekend to exclude some Russian banks from the SWIFT messaging system and target the central bank’s international reserves. BP Plc also moved to dump its shares in Rosneft PJSC, taking a financial hit of as much as $25 billion.
Commodity and financial markets are bracing for further turmoil from the growing fallout from Russia’s invasion of Ukraine and the West’s response via sanctions. Both WTI and Brent topped $100 a barrel last week before retreating after the U.S. reiterated its decision not to sanction Russian energy exports.
Worldwide oil output is already struggling to meet the rebound in consumption fueled by the reopening of economies, and any disruptions to Russian flows will only exacerbate this. Separately, production outages in Iraq added to concerns of already-tight supplies, with OPEC+ expected to stick to its plan of only gradually increasing supply when it meets this week.
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West Texas Intermediate and Brent rose more than 7% in early Asian trading. The U.S. and its European allies agreed over the weekend to exclude some Russian banks from the SWIFT messaging system and target the central bank’s international reserves. BP Plc also moved to dump its shares in Rosneft PJSC, taking a financial hit of as much as $25 billion.
Commodity and financial markets are bracing for further turmoil from the growing fallout from Russia’s invasion of Ukraine and the West’s response via sanctions. Both WTI and Brent topped $100 a barrel last week before retreating after the U.S. reiterated its decision not to sanction Russian energy exports.
Worldwide oil output is already struggling to meet the rebound in consumption fueled by the reopening of economies, and any disruptions to Russian flows will only exacerbate this. Separately, production outages in Iraq added to concerns of already-tight supplies, with OPEC+ expected to stick to its plan of only gradually increasing supply when it meets this week.
Sunday, 27 February 2022
SWIFT Ban Means the Fed May Need to Be Ready With Dollars - Bloomberg
SWIFT Ban Means the Fed May Need to Be Ready With Dollars - Bloomberg
The decision to exclude various Russian lenders from the SWIFT messaging system could result in missed payments and giant overdrafts within the international banking system and spur monetary authorities to reactivate daily operations to supply the market with dollars.
That’s the view of prominent Credit Suisse Group AG strategist Zoltan Pozsar, who published a note Sunday examining the consequences for money markets of the decision to take some lenders off SWIFT, a system that facilitates international payments between institutions.
Drawing comparisons with the 2008 Lehman Brothers Holdings Inc. failure and the pandemic-related market seizures of March 2020, Pozsar warns that “central banks should stand ready to make markets on Monday again.”
“Exclusions from SWIFT will lead to missed payments and giant overdrafts similar to the missed payments and giant overdrafts that we saw in March 2020,” Pozsar wrote. “Banks’ inability to make payments due to their exclusion from SWIFT is the same as Lehman’s inability to make payments due to its clearing bank’s unwillingness to send payments on its behalf. History does not repeat itself, but it rhymes.”
In Pozsar’s view, current excess reserves and reverse repurchase agreement facilities won’t be enough, and monetary authorities will need to act. And the upshot from that is that the Federal Reserve, which has been paving the way to start shrinking its balance sheet through so-called quantitative tightening, might actually expand it again first, according to Pozsar.
The decision to exclude various Russian lenders from the SWIFT messaging system could result in missed payments and giant overdrafts within the international banking system and spur monetary authorities to reactivate daily operations to supply the market with dollars.
That’s the view of prominent Credit Suisse Group AG strategist Zoltan Pozsar, who published a note Sunday examining the consequences for money markets of the decision to take some lenders off SWIFT, a system that facilitates international payments between institutions.
Drawing comparisons with the 2008 Lehman Brothers Holdings Inc. failure and the pandemic-related market seizures of March 2020, Pozsar warns that “central banks should stand ready to make markets on Monday again.”
“Exclusions from SWIFT will lead to missed payments and giant overdrafts similar to the missed payments and giant overdrafts that we saw in March 2020,” Pozsar wrote. “Banks’ inability to make payments due to their exclusion from SWIFT is the same as Lehman’s inability to make payments due to its clearing bank’s unwillingness to send payments on its behalf. History does not repeat itself, but it rhymes.”
In Pozsar’s view, current excess reserves and reverse repurchase agreement facilities won’t be enough, and monetary authorities will need to act. And the upshot from that is that the Federal Reserve, which has been paving the way to start shrinking its balance sheet through so-called quantitative tightening, might actually expand it again first, according to Pozsar.
#Saudi crown prince, France's Macron discuss energy market impact of Ukraine crisis | Reuters
Saudi crown prince, France's Macron discuss energy market impact of Ukraine crisis | Reuters
The Saudi crown prince and French President Emmanuel Macron discussed on Sunday the impact of the Ukraine crisis on energy markets, Ekhbariya TV reported on Sunday.
Crown Prince Mohammed bin Salman Al Saud stressed in a phone call with Macron the kingdom's keenness on the stability and balance of oil markets and its commitment to the OPEC+ agreement, the state-owned TV channel added.
The Saudi crown prince and French President Emmanuel Macron discussed on Sunday the impact of the Ukraine crisis on energy markets, Ekhbariya TV reported on Sunday.
Crown Prince Mohammed bin Salman Al Saud stressed in a phone call with Macron the kingdom's keenness on the stability and balance of oil markets and its commitment to the OPEC+ agreement, the state-owned TV channel added.
BP to divest stake in Russian state-oil company Rosneft | Financial Times
BP to divest stake in Russian state-oil company Rosneft | Financial Times
BP is seeking to divest the near 20 per cent stake in Russian state-oil company Rosneft it has held since 2013 in the starkest sign yet of the corporate backlash against Moscow’s invasion of Ukraine.
The UK-listed oil group said in a statement on Sunday that it would no longer report reserves, production or profits from Rosneft, and its chief executive, Bernard Looney, would resign from the Rosneft board “with immediate effect”.
BP did not specify how and when it might divest the Rosneft stake. It could write off the shareholding, sell it back to Rosneft or find another buyer. Analysts have speculated that a state-backed Chinese or Middle Eastern group might be interested in the shareholding, but it is thought that BP could struggle to find a bidder. The Qatar Investment Authority is already a major Rosneft shareholder.
BP said the changes in the accounting treatment of the Rosneft stake would lead to two “material non-cash” charges in its first-quarter results that could amount to as much as $25bn: an $11bn charge related to foreign exchange losses, and the difference at that time between the “fair value” and the “carrying value” of the stake, which is currently $14bn.
#Saudi Aramco finds new gas fields in four regions - news agency | Reuters
Saudi Aramco finds new gas fields in four regions - news agency | Reuters
Saudi Aramco has discovered natural gas fields in four regions of the kingdom, the Saudi Press Agency reported on Sunday, citing Energy Minister Prince Abdulaziz bin Salman.
The fields were found in the central area of the kingdom, in the Empty Quarter desert, near its northern border and in the eastern region, he said, according to the state news agency.
Saudi Arabia wants to increase gas production and boost the share of natural gas in its energy mix, replacing crude and fuel oil, to meet growing electricity consumption and to make more crude available for export.
The minister said an unspecified number of fields were discovered and he mentioned five by name, without indicating in the SPA report if these were all the reservoirs that has been found.
The fields he mentioned are Shadoon, in the central region, Shehab and Shurfa, in the Empty Quarter, in the southeastern region, Umm Khansar, near the northern border with Iraq, and Samna, in the eastern region.
Two of the gas fields, Samna and Umm Khansar, are "non-conventional," he said. Non-conventional deposits, also known as shale, are usually trapped in tight pore spaces, requiring special extraction techniques.
Saudi Aramco has discovered natural gas fields in four regions of the kingdom, the Saudi Press Agency reported on Sunday, citing Energy Minister Prince Abdulaziz bin Salman.
The fields were found in the central area of the kingdom, in the Empty Quarter desert, near its northern border and in the eastern region, he said, according to the state news agency.
Saudi Arabia wants to increase gas production and boost the share of natural gas in its energy mix, replacing crude and fuel oil, to meet growing electricity consumption and to make more crude available for export.
The minister said an unspecified number of fields were discovered and he mentioned five by name, without indicating in the SPA report if these were all the reservoirs that has been found.
The fields he mentioned are Shadoon, in the central region, Shehab and Shurfa, in the Empty Quarter, in the southeastern region, Umm Khansar, near the northern border with Iraq, and Samna, in the eastern region.
Two of the gas fields, Samna and Umm Khansar, are "non-conventional," he said. Non-conventional deposits, also known as shale, are usually trapped in tight pore spaces, requiring special extraction techniques.
Major Middle East stocks track global rally | Reuters
Major Middle East stocks track global rally | Reuters
Major stock markets in the Middle East closed higher on Sunday, tracking Friday's rally in global equities as investors welcomed talk of renewed diplomacy after Russia's invasion of Ukraine, while strong corporate earnings added a further boost to Saudi shares.
EU countries agreed to freeze European assets of Russia President Vladimir Putin and his foreign minister Sergei Lavrov, and the White House announced plans for U.S. sanctions.
Saudi Arabia's benchmark index (.TASI) rose as much as 2.2% during the day before closing at about 1%.
Sahara International Petrochemical Company and Saudi Arabian Mining (Ma'aden)(1211.SE) supported the Saudi index most, rising 6.7% and 4.7% respectively after they reported robust profits for the last year.
Ma'aden also announced an issue of one bonus share for each share, taking share capital of the miner to 24.61 billion riyals ($6.56 billion).
Egyptian blue-chip index (.EGX30) surged 2.6% after three consecutive days of declines as all but one index closed in green.
The country's largest lender Commercial International Bank Egypt (COMI.CA) and Cleopatra Hospitals (CLHO.CA) were the biggest boost to the index, adding 3% and 11.4%, respectively.
Egypt, often the world's top wheat importer, is working on a plan to buy wheat from other regions rather than Russia and Ukraine. Around 50% and 30% of Egypt's wheat imports in 2021 were from those two countries respectively.
The Qatari index was up 0.2% as Qatar Gas Transport (QGTS.QA) gained 2.2% and Qatar National Bank (QNBK.QA) lost 1.2%.
Major stock markets in the Middle East closed higher on Sunday, tracking Friday's rally in global equities as investors welcomed talk of renewed diplomacy after Russia's invasion of Ukraine, while strong corporate earnings added a further boost to Saudi shares.
EU countries agreed to freeze European assets of Russia President Vladimir Putin and his foreign minister Sergei Lavrov, and the White House announced plans for U.S. sanctions.
Saudi Arabia's benchmark index (.TASI) rose as much as 2.2% during the day before closing at about 1%.
Sahara International Petrochemical Company and Saudi Arabian Mining (Ma'aden)(1211.SE) supported the Saudi index most, rising 6.7% and 4.7% respectively after they reported robust profits for the last year.
Ma'aden also announced an issue of one bonus share for each share, taking share capital of the miner to 24.61 billion riyals ($6.56 billion).
Egyptian blue-chip index (.EGX30) surged 2.6% after three consecutive days of declines as all but one index closed in green.
The country's largest lender Commercial International Bank Egypt (COMI.CA) and Cleopatra Hospitals (CLHO.CA) were the biggest boost to the index, adding 3% and 11.4%, respectively.
Egypt, often the world's top wheat importer, is working on a plan to buy wheat from other regions rather than Russia and Ukraine. Around 50% and 30% of Egypt's wheat imports in 2021 were from those two countries respectively.
The Qatari index was up 0.2% as Qatar Gas Transport (QGTS.QA) gained 2.2% and Qatar National Bank (QNBK.QA) lost 1.2%.
#Saudi Miner Soars As it Returns to Profit Amid Commodity Boom - Bloomberg
Saudi Miner Soars As it Returns to Profit Amid Commodity Boom - Bloomberg
The shares of Saudi Arabia’s state miner rose as much as 8.3% on Sunday after it announced a profit and plans to boost its capital by $3.3 billion amid a surge in commodity prices.
Maaden, as Saudi Arabian Mining Co. is known, will offer 1 bonus share for each held, according to a statement. That will double its capital to 24.6 billion riyals ($6.6 billion) and will “boost the future growth plans,” the company said.
Commodity prices have climbed in the past year on booming demand, fueled by trillions of dollars in government stimulus and the global economic rebound from the coronavirus pandemic.
The increase in prices helped Maaden return to profit after two years of losses. It made net income of 5.23 billion riyals ($1.4 billion) in 2021, up from a loss of 209 million riyals a year earlier. It opted against a cash dividend for 2021 “based on the company’s need to continue funding its current and future projects.”
The shares of Saudi Arabia’s state miner rose as much as 8.3% on Sunday after it announced a profit and plans to boost its capital by $3.3 billion amid a surge in commodity prices.
Maaden, as Saudi Arabian Mining Co. is known, will offer 1 bonus share for each held, according to a statement. That will double its capital to 24.6 billion riyals ($6.6 billion) and will “boost the future growth plans,” the company said.
Commodity prices have climbed in the past year on booming demand, fueled by trillions of dollars in government stimulus and the global economic rebound from the coronavirus pandemic.
The increase in prices helped Maaden return to profit after two years of losses. It made net income of 5.23 billion riyals ($1.4 billion) in 2021, up from a loss of 209 million riyals a year earlier. It opted against a cash dividend for 2021 “based on the company’s need to continue funding its current and future projects.”
OPEC+ trims forecast for 2022 oil market surplus in latest data | Reuters
OPEC+ trims forecast for 2022 oil market surplus in latest data | Reuters
OPEC+ revised down its forecast for the 2022 oil market surplus by about 200,000 barrels per day (bpd) to 1.1 million bpd, according to a base scenario in a technical committee report seen by Reuters on Sunday.
The data - part of a report the Joint Technical Committee (JTC) prepares for OPEC+ ministers - also shows stocks in the developed world standing at 62 million barrels below the 2015 to 2019 average by the end of the year.
In a previous forecast it had predicted the stocks would reach 20 million barrels above the same average by that point.
Ministers from the Organization of the Petroleum Exporting Countries (OPEC) and allies led by Russia, a grouping known as OPEC+, meet on March 2 to decide whether to increase output by 400,000 bpd in April.
OPEC+ revised down its forecast for the 2022 oil market surplus by about 200,000 barrels per day (bpd) to 1.1 million bpd, according to a base scenario in a technical committee report seen by Reuters on Sunday.
The data - part of a report the Joint Technical Committee (JTC) prepares for OPEC+ ministers - also shows stocks in the developed world standing at 62 million barrels below the 2015 to 2019 average by the end of the year.
In a previous forecast it had predicted the stocks would reach 20 million barrels above the same average by that point.
Ministers from the Organization of the Petroleum Exporting Countries (OPEC) and allies led by Russia, a grouping known as OPEC+, meet on March 2 to decide whether to increase output by 400,000 bpd in April.
#UAE's non-oil foreign trade up 27% in 2021 - Dubai ruler | Reuters
UAE's non-oil foreign trade up 27% in 2021 - Dubai ruler | Reuters
The United Arab Emirates has recorded a 27% year-on-year jump in its non-oil foreign trade amounting to 1.9 trillion dirham ($517 billion) in 2021, Dubai's ruler Sheikh Mohammed bin Rashid al-Maktoum said on Twitter on Sunday.
Saturday, 26 February 2022
Brookfield Venture Scores #Dubai’s Biggest Office Deal Since 2019 - Bloomberg
Brookfield Venture Scores Dubai’s Biggest Office Deal Since 2019 - Bloomberg
A Brookfield Asset Management Inc. joint venture in Dubai scored the city’s largest office deal since 2019 after a Middle Eastern food-delivery firm decided to relocate its regional headquarters.
Merex Investment Group, jointly owned by Canada’s Brookfield and Dubai Holdings, signed a seven-year lease with talabat for its new headquarters to service operations in nine countries across the region.
Talabat, owned by Germany’s Delivery Hero SE, will take up 150,000 square feet (14,000 square meters) in two buildings in Dubai’s City Walk, an upscale shopping district. It’s the largest prime office space leased in Dubai since the pandemic upended traditional work, according to Merex Chief Executive Officer Shahram Shamsaee.
Prospects for commercial real estate are in flux as many employees still choose to work from home and take advantage of the flexibility afforded by policies instituted since the pandemic. Companies are responding by trying to lure them back with offers of a more attractive work space packed with amenities that allow for a more relaxed environment.
Talabat is tripling the amount of office space and will move nearly 1,000 employees from its current offices, across eight floors in the Business Bay area of Dubai, to a building that used to be a department store. The move for Talabat will be in two stages starting in November and ending in the first quarter of next year.
A Brookfield Asset Management Inc. joint venture in Dubai scored the city’s largest office deal since 2019 after a Middle Eastern food-delivery firm decided to relocate its regional headquarters.
Merex Investment Group, jointly owned by Canada’s Brookfield and Dubai Holdings, signed a seven-year lease with talabat for its new headquarters to service operations in nine countries across the region.
Talabat, owned by Germany’s Delivery Hero SE, will take up 150,000 square feet (14,000 square meters) in two buildings in Dubai’s City Walk, an upscale shopping district. It’s the largest prime office space leased in Dubai since the pandemic upended traditional work, according to Merex Chief Executive Officer Shahram Shamsaee.
Prospects for commercial real estate are in flux as many employees still choose to work from home and take advantage of the flexibility afforded by policies instituted since the pandemic. Companies are responding by trying to lure them back with offers of a more attractive work space packed with amenities that allow for a more relaxed environment.
Talabat is tripling the amount of office space and will move nearly 1,000 employees from its current offices, across eight floors in the Business Bay area of Dubai, to a building that used to be a department store. The move for Talabat will be in two stages starting in November and ending in the first quarter of next year.
#Qatar tells UK judge it wants Airbus A321 jets or damages | Reuters
Qatar tells UK judge it wants Airbus A321 jets or damages | Reuters
Qatar Airways has asked a UK court to reinstate an order for 50 Airbus (AIR.PA) A321neo passenger jets that the European planemaker revoked as part of a bitter dispute over the partial grounding of larger A350s, a court filing showed on Friday.
Failing that, the Gulf carrier is asking a UK judge to award the airline unquantified damages over the planemaker's decision to withdraw what it described as a "unique" plane as it prepares to receive the 220-seat A321neo from February next year.
Airbus declined comment on the filing.
The claim is the latest salvo in a months-old contractual and safety dispute that has brought relations between two of the industry's largest players to an all-time low.
Qatar Airways has asked a UK court to reinstate an order for 50 Airbus (AIR.PA) A321neo passenger jets that the European planemaker revoked as part of a bitter dispute over the partial grounding of larger A350s, a court filing showed on Friday.
Failing that, the Gulf carrier is asking a UK judge to award the airline unquantified damages over the planemaker's decision to withdraw what it described as a "unique" plane as it prepares to receive the 220-seat A321neo from February next year.
Airbus declined comment on the filing.
The claim is the latest salvo in a months-old contractual and safety dispute that has brought relations between two of the industry's largest players to an all-time low.
#UAE's e& looks to expand in telecoms and other areas, including via M&A | Reuters
UAE's e& looks to expand in telecoms and other areas, including via M&A | Reuters
E& (ETISALAT.AD), the UAE telecoms group formerly called Etisalat, is looking to expand into new markets in Africa, Europe and Asia and in areas outside telecoms such as financial technology as its seeks to drive growth, its CEO told Reuters.
The company is exploring a range of possibilities, including potential joint ventures, acquisitions and listings of subsidiaries, though it would want to retain control of all its units, Group CEO Hatem Dowidar said in an interview.
"While telco is a good business, and we're still focusing on telco - as for us it is the money-generating cash cow - the long-term growth needs to be through expansion," Dowidar said.
"In the telco space, we are looking at geographic expansion," he said, exploring markets in Africa, Europe and Asia with room for growth, political stability and strong regulations. He did not name any specific target markets.
E& (ETISALAT.AD), the UAE telecoms group formerly called Etisalat, is looking to expand into new markets in Africa, Europe and Asia and in areas outside telecoms such as financial technology as its seeks to drive growth, its CEO told Reuters.
The company is exploring a range of possibilities, including potential joint ventures, acquisitions and listings of subsidiaries, though it would want to retain control of all its units, Group CEO Hatem Dowidar said in an interview.
"While telco is a good business, and we're still focusing on telco - as for us it is the money-generating cash cow - the long-term growth needs to be through expansion," Dowidar said.
"In the telco space, we are looking at geographic expansion," he said, exploring markets in Africa, Europe and Asia with room for growth, political stability and strong regulations. He did not name any specific target markets.
Friday, 25 February 2022
Emirates may cancel Boeing 777X if delays extend beyond 2023 -report | Reuters
Emirates may cancel Boeing 777X if delays extend beyond 2023 -report | Reuters
Dubai's Emirates could cancel an order for Boeing (BA.N) 777X passenger jets if the model's entry into service slips beyond the end of 2023, the airline's president was reported saying.
"Honestly, if it goes beyond 2023, and it goes on for another year, we probably cancel the program," Tim Clark told industry publication AirlineRatings.
"What else can we do? We can’t continue the way we are. Boeing really needs to get their act together and get this aircraft sorted."
Emirates is the world's largest international carrier, according to industry data, and largest user of wide-body jets.
"Don’t forget the aircraft was originally designed for delivery in April 2020; it’s now 2024 if we are lucky. You’ve now got a four-year delay with the programme. If they got another year on it, we are going to question if this is fit for purpose or not, what’s the problem with it?"
Dubai's Emirates could cancel an order for Boeing (BA.N) 777X passenger jets if the model's entry into service slips beyond the end of 2023, the airline's president was reported saying.
"Honestly, if it goes beyond 2023, and it goes on for another year, we probably cancel the program," Tim Clark told industry publication AirlineRatings.
"What else can we do? We can’t continue the way we are. Boeing really needs to get their act together and get this aircraft sorted."
Emirates is the world's largest international carrier, according to industry data, and largest user of wide-body jets.
"Don’t forget the aircraft was originally designed for delivery in April 2020; it’s now 2024 if we are lucky. You’ve now got a four-year delay with the programme. If they got another year on it, we are going to question if this is fit for purpose or not, what’s the problem with it?"
Oil prices dip after soaring on Russia's invasion of Ukraine | Reuters
Oil prices dip after soaring on Russia's invasion of Ukraine | Reuters
Oil prices slipped Friday after sharp rises early in the session on concern over potential global supply disruptions from sanctions on major crude exporter Russia.
The April Brent crude futures contract was down $2.29, or 2.3%, to $96.79 a barrel by 1:15 p.m. EST (1815 GMT), after climbing as high as $101.99. The more active May contract shed $1.72, or 1.8%, to $93.70.
U.S. West Texas Intermediate (WTI) crude fell $1.81, or 2%, to $91.00 a barrel, after hitting a session high of $95.64.
For the week, Brent was set to rise about 3.5%, while WTI was on track to fall around 2.2%.
On Thursday, Russia's invasion of Ukraine boosted prices above $100 a barrel for the first time since 2014, with Brent touching $105, before paring gains by the close of trade.
Oil prices slipped Friday after sharp rises early in the session on concern over potential global supply disruptions from sanctions on major crude exporter Russia.
The April Brent crude futures contract was down $2.29, or 2.3%, to $96.79 a barrel by 1:15 p.m. EST (1815 GMT), after climbing as high as $101.99. The more active May contract shed $1.72, or 1.8%, to $93.70.
U.S. West Texas Intermediate (WTI) crude fell $1.81, or 2%, to $91.00 a barrel, after hitting a session high of $95.64.
For the week, Brent was set to rise about 3.5%, while WTI was on track to fall around 2.2%.
On Thursday, Russia's invasion of Ukraine boosted prices above $100 a barrel for the first time since 2014, with Brent touching $105, before paring gains by the close of trade.
VIDEO: #UAE's rough diamond trade hit $22.8bln in 2021 | ZAWYA MENA Edition
VIDEO: UAE's rough diamond trade hit $22.8bln in 2021 | ZAWYA MENA Edition
The UAE’s rough diamond trade reached $22.8 billion in 2021, making the country the world’s top rough diamond trade hub.
The country has increased its rough diamond trading by 76 percent since 2015, and the diamond industry as a whole grew by 83 percent from 2020 to 2021, according to Ahmed bin Sulayem, executive chairman and CEO of Dubai Multi Commodities Centre (DMCC).
Dubai is a key hub for the diamond trade, thanks to its connectivity and infrastructure, bin Sulayem said at the recent Dubai Diamond Conference.
“This major milestone clearly demonstrates the determination of both Dubai and DMCC in advancing the global industry,” he said.
“We will continue to work towards becoming the capital for polished diamonds as well.”
The country has increased its rough diamond trading by 76 percent since 2015, and the diamond industry as a whole grew by 83 percent from 2020 to 2021, according to Ahmed bin Sulayem, executive chairman and CEO of Dubai Multi Commodities Centre (DMCC).
Dubai is a key hub for the diamond trade, thanks to its connectivity and infrastructure, bin Sulayem said at the recent Dubai Diamond Conference.
“This major milestone clearly demonstrates the determination of both Dubai and DMCC in advancing the global industry,” he said.
“We will continue to work towards becoming the capital for polished diamonds as well.”
#AbuDhabi's ADIC and U.S. partner weigh sale of stake in OiLSERV - sources | Reuters
Abu Dhabi's ADIC and U.S. partner weigh sale of stake in OiLSERV - sources | Reuters
State-backed Abu Dhabi Investment Council (ADIC) and U.S. private equity firm Lime Rock Partners are weighing the sale of their stake in Dubai-based oilfield services firm OiLSERV, two sources familiar with the matter told Reuters.
ADIC, owned by state investor Mubadala Investment Company, and Lime Rock Partners are exploring options for their investment, said the sources, declining to be named as the matter is not public.
Discussions are at very early stages, and the parties are considering a sale or initial public offering (IPO), they said.
OiLSERV and Lime Rock Partners did not immediately respond to requests for comment. Mubadala declined to comment.
State-backed Abu Dhabi Investment Council (ADIC) and U.S. private equity firm Lime Rock Partners are weighing the sale of their stake in Dubai-based oilfield services firm OiLSERV, two sources familiar with the matter told Reuters.
ADIC, owned by state investor Mubadala Investment Company, and Lime Rock Partners are exploring options for their investment, said the sources, declining to be named as the matter is not public.
Discussions are at very early stages, and the parties are considering a sale or initial public offering (IPO), they said.
OiLSERV and Lime Rock Partners did not immediately respond to requests for comment. Mubadala declined to comment.
Oil prices take breather as Russia advances further on Ukraine | Reuters
Oil prices take breather as Russia advances further on Ukraine | Reuters
Oil prices slipped on Friday after sharp rises earlier in the session on concern over potential global supply disruptions from sanctions on major crude exporter Russia.
The April Brent crude futures contract was down $1.06, or 1.1%, at $98.02 a barrel at 1453 GMT, after climbing as high as $101.99. The more active May contract shed 64 cents, or 0.7%, to $94.78.
U.S. West Texas Intermediate (WTI) crude was down 31 cents, or 0.3%, to $92.50 a barrel, after hitting a session high of $95.64.
Russia's invasion of Ukraine on Thursday caused prices to surge above $100 a barrel for the first time since 2014, with Brent touching $105, before paring gains by the close of trade.
Oil prices slipped on Friday after sharp rises earlier in the session on concern over potential global supply disruptions from sanctions on major crude exporter Russia.
The April Brent crude futures contract was down $1.06, or 1.1%, at $98.02 a barrel at 1453 GMT, after climbing as high as $101.99. The more active May contract shed 64 cents, or 0.7%, to $94.78.
U.S. West Texas Intermediate (WTI) crude was down 31 cents, or 0.3%, to $92.50 a barrel, after hitting a session high of $95.64.
Russia's invasion of Ukraine on Thursday caused prices to surge above $100 a barrel for the first time since 2014, with Brent touching $105, before paring gains by the close of trade.
#UAE markets stabilise after tougher Western sanctions on Russia | Reuters
UAE markets stabilise after tougher Western sanctions on Russia | Reuters
Stock markets in the United Arab Emirates stabilised on Friday, tracking global equities higher, as investors worldwide welcomed coordinated Western sanctions against Russia that targeted the banks but left Moscow's energy sector largely untouched.
The Russian assault by land, sea and air was the biggest attack on a European state since World War Two, prompting tens of thousands of people to flee their homes as explosions and gunfire rocked major Ukrainian cities. read more
In Dubai, the main share index (.DFMGI) rose 1.2%, a day after the benchmark posted its biggest daily fall in a month.
Sharia-compliant lender Dubai Islamic Bank (DISB.DU) and blue-chip developer Emaar Properties (EMAR.DU) were up 2.7% and 1.6%, respectively.
Deyaar Development (DEYR.DU) jumped 4.2% after the company said board has approved the proposal to write off the accumulated losses through using legal reserve and capital reduction.
The Dubai stock market stabilised after Thursday's slump while investors cautiously assess the impact of the Ukraine conflict on the world economy. NATO is scheduled to hold a virtual meeting in Ukraine later in the day and any data released from that meeting could significantly affect the global market sentiment, said Farah Mourad, a senior market analyst with XTB MENA.
Abu Dhabi's index (.FTFADGI) added 0.4%, helped by a 0.6% jump in the shares of First Abu Dhabi Bank (FAB.AD), the country's largest lender.
The Abu Dhabi stock market was also supported by higher oil prices, which could bring large profits and counterbalance the risks posed by the conflict in Ukraine, added Mourad.
Both the indexes, however, lost 4% so far this week.
The Russian assault by land, sea and air was the biggest attack on a European state since World War Two, prompting tens of thousands of people to flee their homes as explosions and gunfire rocked major Ukrainian cities. read more
In Dubai, the main share index (.DFMGI) rose 1.2%, a day after the benchmark posted its biggest daily fall in a month.
Sharia-compliant lender Dubai Islamic Bank (DISB.DU) and blue-chip developer Emaar Properties (EMAR.DU) were up 2.7% and 1.6%, respectively.
Deyaar Development (DEYR.DU) jumped 4.2% after the company said board has approved the proposal to write off the accumulated losses through using legal reserve and capital reduction.
The Dubai stock market stabilised after Thursday's slump while investors cautiously assess the impact of the Ukraine conflict on the world economy. NATO is scheduled to hold a virtual meeting in Ukraine later in the day and any data released from that meeting could significantly affect the global market sentiment, said Farah Mourad, a senior market analyst with XTB MENA.
Abu Dhabi's index (.FTFADGI) added 0.4%, helped by a 0.6% jump in the shares of First Abu Dhabi Bank (FAB.AD), the country's largest lender.
The Abu Dhabi stock market was also supported by higher oil prices, which could bring large profits and counterbalance the risks posed by the conflict in Ukraine, added Mourad.
Both the indexes, however, lost 4% so far this week.
#SaudiArabia Eyes Bold Global Acquisitions for $82 Billion Bank - Bloomberg
Saudi Arabia Eyes Bold Global Acquisitions for $82 Billion Bank - Bloomberg
Saudi Arabia is working on an ambitious plan to give the kingdom’s biggest bank a global footprint through major overseas acquisitions, people with knowledge of the matter said.
The oil-rich country wants Saudi National Bank, the lender with a market value of $82 billion created through a merger more than a year ago, to boost its presence outside the kingdom, according to the people. The bank has been studying potential purchases of financial institutions in Europe and Asia, the people said, asking not to be identified because the information is private.
Saudi National Bank executives have been brainstorming about potential targets and aim to present the contours of a dealmaking strategy to the board in the next few months, the people said. The lender could make major acquisitions with backing from its largest shareholder, the Saudi sovereign wealth fund, according to the people.
Wall Street advisory firms, excited at the prospect of a deep-pocketed buyer hunting for cross-border deals, have already started pitching opportunities ranging from a takeover of Credit Suisse Group AG to a purchase of emerging markets-focused Standard Chartered Plc, the people said. DBS Group Holdings Ltd., Southeast Asia’s largest bank, and Swiss wealth manager Julius Baer Group Ltd. have also been mooted as possibilities, the people said.
Saudi Arabia is working on an ambitious plan to give the kingdom’s biggest bank a global footprint through major overseas acquisitions, people with knowledge of the matter said.
The oil-rich country wants Saudi National Bank, the lender with a market value of $82 billion created through a merger more than a year ago, to boost its presence outside the kingdom, according to the people. The bank has been studying potential purchases of financial institutions in Europe and Asia, the people said, asking not to be identified because the information is private.
Saudi National Bank executives have been brainstorming about potential targets and aim to present the contours of a dealmaking strategy to the board in the next few months, the people said. The lender could make major acquisitions with backing from its largest shareholder, the Saudi sovereign wealth fund, according to the people.
Wall Street advisory firms, excited at the prospect of a deep-pocketed buyer hunting for cross-border deals, have already started pitching opportunities ranging from a takeover of Credit Suisse Group AG to a purchase of emerging markets-focused Standard Chartered Plc, the people said. DBS Group Holdings Ltd., Southeast Asia’s largest bank, and Swiss wealth manager Julius Baer Group Ltd. have also been mooted as possibilities, the people said.
#Dubai's Deyaar to write off losses via capital reduction | ZAWYA MENA Edition
Dubai's Deyaar to write off losses via capital reduction | ZAWYA MENA Edition
Dubai-based real estate company Deyaar Development announced on Friday that its board of directors has approved a proposal to write off its accumulated losses by using the company’s legal reserve and through a capital reduction.
The proposal will be presented to the shareholders at the next general assembly meeting after obtaining the necessary regulatory approvals, the developer said in a statement to the Dubai Financial Market (DMF), where its shares trade.
The stock jumped 2.6 percent to 0.46 dirhams shortly after opening on Friday.
While the developer swung to a net profit of 50.8 million dirhams ($13.8 million) for 2021, its accumulated losses as of December 31 came to 1.70 billion dirhams, it said earlier this month. The company’s accumulated losses reached 1.75 billion dirhams in in 2020.
Dubai-based real estate company Deyaar Development announced on Friday that its board of directors has approved a proposal to write off its accumulated losses by using the company’s legal reserve and through a capital reduction.
The proposal will be presented to the shareholders at the next general assembly meeting after obtaining the necessary regulatory approvals, the developer said in a statement to the Dubai Financial Market (DMF), where its shares trade.
The stock jumped 2.6 percent to 0.46 dirhams shortly after opening on Friday.
While the developer swung to a net profit of 50.8 million dirhams ($13.8 million) for 2021, its accumulated losses as of December 31 came to 1.70 billion dirhams, it said earlier this month. The company’s accumulated losses reached 1.75 billion dirhams in in 2020.
#UAE Etisalat Group's 2021 net profit up 3.2% to $2.5bln | ZAWYA MENA Edition
UAE Etisalat Group's 2021 net profit up 3.2% to $2.5bln | ZAWYA MENA Edition
UAE telecom firm Etisalat Group, now known as e&, saw its net profit jump by 3.2 percent in 2021, driven by higher revenues and a growing subscriber base.
Total net profit for the year reached 9.3 billion dirhams ($2.5 billion), compared to 9 billion dirhams in the previous year.
Revenue for the same period grew 3.2 percent to 53.3 billion dirhams, while earnings per share went up from 1.04 dirhams to 1.07 dirhams, the company said in a statement.
During 2021, Etisalat's UAE subscriber base reached 12.7 million, while aggregate subscriber base touched 159 million, representing a year-over-year increase of 3 percent.
UAE telecom firm Etisalat Group, now known as e&, saw its net profit jump by 3.2 percent in 2021, driven by higher revenues and a growing subscriber base.
Total net profit for the year reached 9.3 billion dirhams ($2.5 billion), compared to 9 billion dirhams in the previous year.
Revenue for the same period grew 3.2 percent to 53.3 billion dirhams, while earnings per share went up from 1.04 dirhams to 1.07 dirhams, the company said in a statement.
During 2021, Etisalat's UAE subscriber base reached 12.7 million, while aggregate subscriber base touched 159 million, representing a year-over-year increase of 3 percent.
Goldman 1MDB Deal Was Missing #AbuDhabi Energy Chief Who Took Bribes, Leissner Says - Bloomberg
Goldman 1MDB Deal Was Missing Abu Dhabi Energy Chief Who Took Bribes, Leissner Says - Bloomberg
Just as Goldman Sachs Group Inc. bankers were set to close their first 1MDB bond deal in May 2012, there was a hitch: They were missing a crucial signature.
Khadem al-Qubaisi, who was head of Abu Dhabi’s state-owned energy company -- and had been paid off to guarantee the $1.75 billion transaction, according to the star witness in an ongoing 1MDB bribery trial -- couldn’t be found. Without his sign-off, the deal would collapse.
“They were in a state of panic to get that guarantee completed,” Goldman’s former Southeast Asia chairman Tim Leissner told a jury Thursday at the trial of his onetime colleague Roger Ng.
Leissner is the U.S. government’s key witness against Ng, who is accused of conspiring with Leissner and Malaysian financier Jho Low to divert hundreds of millions of dollars from the deals for Malaysia’s wealth fund, 1Malaysia Development Bhd., through kickbacks and bribes to Malaysian and Abu Dhabi officials. The deals totaled $6.5 billion.
Just as Goldman Sachs Group Inc. bankers were set to close their first 1MDB bond deal in May 2012, there was a hitch: They were missing a crucial signature.
Khadem al-Qubaisi, who was head of Abu Dhabi’s state-owned energy company -- and had been paid off to guarantee the $1.75 billion transaction, according to the star witness in an ongoing 1MDB bribery trial -- couldn’t be found. Without his sign-off, the deal would collapse.
“They were in a state of panic to get that guarantee completed,” Goldman’s former Southeast Asia chairman Tim Leissner told a jury Thursday at the trial of his onetime colleague Roger Ng.
Leissner is the U.S. government’s key witness against Ng, who is accused of conspiring with Leissner and Malaysian financier Jho Low to divert hundreds of millions of dollars from the deals for Malaysia’s wealth fund, 1Malaysia Development Bhd., through kickbacks and bribes to Malaysian and Abu Dhabi officials. The deals totaled $6.5 billion.
Goldman Ex-Banker Leissner Says Sheikh Mansour Needed $100 Million in 1MDB Trial - Bloomberg
Goldman Ex-Banker Leissner Says Sheikh Mansour Needed $100 Million in 1MDB Trial - Bloomberg
One hundred million dollars -- that was the cost of doing business in the multibillion-dollar 1MDB scam, former Goldman Sachs Group Inc. banker Tim Leissner testified.
Leissner, 52, the U.S. government’s star witness in its case against ex-Goldman banker Roger Ng, provided a description of the payment system Wednesday for a jury in Brooklyn, New York. Leissner told of a meeting at which Jho Low, the alleged architect of the massive fraud, spelled out who he said needed to be paid off for approval to raise and spend billions of dollars for Malaysia’s wealth fund, 1Malaysia Development Bhd.
On the list were officials from Malaysia and Abu Dhabi, Leissner testified, including Malaysia’s then-prime minister, Najib Razak, and Sheikh Mansour bin Zayed Al Nahyan, the deputy prime minister of the United Arab Emirates.
Low “said the sheikh would not get out of bed for less than $100 million,” Leissner told the jury.
One hundred million dollars -- that was the cost of doing business in the multibillion-dollar 1MDB scam, former Goldman Sachs Group Inc. banker Tim Leissner testified.
Leissner, 52, the U.S. government’s star witness in its case against ex-Goldman banker Roger Ng, provided a description of the payment system Wednesday for a jury in Brooklyn, New York. Leissner told of a meeting at which Jho Low, the alleged architect of the massive fraud, spelled out who he said needed to be paid off for approval to raise and spend billions of dollars for Malaysia’s wealth fund, 1Malaysia Development Bhd.
On the list were officials from Malaysia and Abu Dhabi, Leissner testified, including Malaysia’s then-prime minister, Najib Razak, and Sheikh Mansour bin Zayed Al Nahyan, the deputy prime minister of the United Arab Emirates.
Low “said the sheikh would not get out of bed for less than $100 million,” Leissner told the jury.
Surging Oil Is Budget Boon for the Middle East’s Exporters - Bloomberg
Surging Oil Is Budget Boon for the Middle East’s Exporters - Bloomberg
Oil’s surge has pushed crude above the break-even level for almost all the Middle East’s producers, raising the prospect of significant budget surpluses for even the weakest economies if prices remain high.
Russia’s invasion of Ukraine lifted crude prices over $105 a barrel for the first time since 2014, extending gains earlier propelled by economies around the world reopening after coronavirus lockdowns.
The fighting in Europe means OPEC member states like Saudi Arabia and the United Arab Emirates are set for an even bigger windfall, and there’s a chance that even Bahrain, the region’s smallest economy, could record a balanced budget for the first time since 2008 -- if crude remains elevated.
Brent jumped by more than 9% in the hours after President Vladimir Putin ordered Russian forces to strike Ukraine. The International Monetary Fund estimates prices at that level would ensure all the main oil producers in the Middle East, except Bahrain, record a budget surplus.
Saudi Arabia, which needs oil at about $72 a barrel to balance the books, already said it expects to record a surplus this year. For the UAE, that figure is about $67 a barrel. Bahrain needs prices in excess of $106 a barrel.
Russia’s invasion of Ukraine lifted crude prices over $105 a barrel for the first time since 2014, extending gains earlier propelled by economies around the world reopening after coronavirus lockdowns.
The fighting in Europe means OPEC member states like Saudi Arabia and the United Arab Emirates are set for an even bigger windfall, and there’s a chance that even Bahrain, the region’s smallest economy, could record a balanced budget for the first time since 2008 -- if crude remains elevated.
Brent jumped by more than 9% in the hours after President Vladimir Putin ordered Russian forces to strike Ukraine. The International Monetary Fund estimates prices at that level would ensure all the main oil producers in the Middle East, except Bahrain, record a budget surplus.
Saudi Arabia, which needs oil at about $72 a barrel to balance the books, already said it expects to record a surplus this year. For the UAE, that figure is about $67 a barrel. Bahrain needs prices in excess of $106 a barrel.
Oil prices surge as Russian invasion of Ukraine rings supply alarm bells | Reuters
Oil prices surge as Russian invasion of Ukraine rings supply alarm bells | Reuters
Oil prices jumped on Friday by nearly 3% on concerns of global supply disruptions from the impact of trade sanctions on major crude and fuel exporter Russia after it invaded Ukraine.
Global benchmark Brent crude rose $2.81, or 2.8%, to $101.89 a barrel at 0738 GMT on Friday, after climbing to as high as $101.99.
U.S. West Texas Intermediate (WTI) crude touched a high of $95.64 a barrel, and was last up $2.37, or 2.6%, at $95.18.
The start of the invasion in Ukraine on Thursday caused prices to surge above $100 a barrel for the first time since 2014, with Brent touching $105, before paring gains by the close of trade.
Oil prices jumped on Friday by nearly 3% on concerns of global supply disruptions from the impact of trade sanctions on major crude and fuel exporter Russia after it invaded Ukraine.
Global benchmark Brent crude rose $2.81, or 2.8%, to $101.89 a barrel at 0738 GMT on Friday, after climbing to as high as $101.99.
U.S. West Texas Intermediate (WTI) crude touched a high of $95.64 a barrel, and was last up $2.37, or 2.6%, at $95.18.
The start of the invasion in Ukraine on Thursday caused prices to surge above $100 a barrel for the first time since 2014, with Brent touching $105, before paring gains by the close of trade.
Thursday, 24 February 2022
EXCLUSIVE Major buyers of Russian oil struggle with bank guarantees -sources | Reuters
EXCLUSIVE Major buyers of Russian oil struggle with bank guarantees -sources | Reuters
The global oil market was thrown into chaos on Thursday after Russia invaded Ukraine, with top buyers of Russian oil struggling to secure guarantees at Western banks or find ships to take crude from one of the world's largest producers.
At least three major buyers of Russian oil have been unable to open letters of credit from Western banks to cover purchases on Thursday, four trading sources said, citing market uncertainty after the Russian invasion.
Russia produces every 10th barrel in the world and oil prices jumped to above $105 per barrel on Thursday, their highest since 2014, due to fears of disruptions. [O/R]
In the Black Sea, a Turkish-owned ship was hit by a bomb off the coast of Ukraine's port city Odessa, prompting shipping companies to avoid calling at Black Sea ports. read more
The global oil market was thrown into chaos on Thursday after Russia invaded Ukraine, with top buyers of Russian oil struggling to secure guarantees at Western banks or find ships to take crude from one of the world's largest producers.
At least three major buyers of Russian oil have been unable to open letters of credit from Western banks to cover purchases on Thursday, four trading sources said, citing market uncertainty after the Russian invasion.
Russia produces every 10th barrel in the world and oil prices jumped to above $105 per barrel on Thursday, their highest since 2014, due to fears of disruptions. [O/R]
In the Black Sea, a Turkish-owned ship was hit by a bomb off the coast of Ukraine's port city Odessa, prompting shipping companies to avoid calling at Black Sea ports. read more
Oil tops $105/bbl after Russia attacks Ukraine | Reuters
Oil tops $105/bbl after Russia attacks Ukraine | Reuters
Oil prices jumped on Thursday, with Brent rising above $105 a barrel for the first time since 2014 before easing, after Russia's attack on Ukraine exacerbated concerns about disruptions to global energy supply.
Russia launched an all-out invasion of Ukraine by land, air and sea in the biggest attack by one state against another in Europe since World War Two. read more
U.S. President Joe Biden unveiled harsh new sanctions against Russia, imposing measures to impede its ability to do business in the world's major currencies along with sanctions against banks and state-owned enterprises. read more
Britain announced new measures targeting banks, members of Putin's inner circle and the very wealthy who enjoy high-rolling London lifestyles. UK Prime Minister Boris Johnson said that the West must end its reliance on Russian oil and gas. read more
Global benchmark Brent crude rose $2.24, or 2.3%, to settle at $99.08 a barrel, after touching a high of $105.79.
U.S. West Texas Intermediate (WTI) crude rose 71 cents, or 0.8%, to settle at $92.81 a barrel, after earlier rising to $100.54.
Brent and WTI hit their highest levels since August and July 2014, respectively.
Oil prices jumped on Thursday, with Brent rising above $105 a barrel for the first time since 2014 before easing, after Russia's attack on Ukraine exacerbated concerns about disruptions to global energy supply.
Russia launched an all-out invasion of Ukraine by land, air and sea in the biggest attack by one state against another in Europe since World War Two. read more
U.S. President Joe Biden unveiled harsh new sanctions against Russia, imposing measures to impede its ability to do business in the world's major currencies along with sanctions against banks and state-owned enterprises. read more
Britain announced new measures targeting banks, members of Putin's inner circle and the very wealthy who enjoy high-rolling London lifestyles. UK Prime Minister Boris Johnson said that the West must end its reliance on Russian oil and gas. read more
Global benchmark Brent crude rose $2.24, or 2.3%, to settle at $99.08 a barrel, after touching a high of $105.79.
U.S. West Texas Intermediate (WTI) crude rose 71 cents, or 0.8%, to settle at $92.81 a barrel, after earlier rising to $100.54.
Brent and WTI hit their highest levels since August and July 2014, respectively.
#AbuDhabi Global Market (ADGM) Cuts Nearly Three Dozen Expat Jobs - Bloomberg
Abu Dhabi Global Market (ADGM) Cuts Nearly Three Dozen Expat Jobs - Bloomberg
Abu Dhabi Global Market, an international financial center based in the capital of the United Arab Emirates, has laid off at least 35 expatriate employees, including its strategy chief, people familiar with the matter said.
Most of the cuts in recent weeks were in the strategy and business development teams, where revenue failed to meet expectations, the people said, asking not to be identified as the matter is private. The layoffs include 20 cuts at the end of January, they said.
ADGM Authority Chief Executive Officer Mark Cutis has also left the financial center after less than a year in the role, people with direct knowledge of the matter told Bloomberg last month.
“With our new board of directors in place, ADGM recently completed a strategic review,” a spokesperson said. As part of the changes, ADGM is in the process of hiring in areas including crypto, according to two of the people.
Over the past year, ADGM has continued its push to lure more financial technology companies to Abu Dhabi, a city that’s among the few globally to manage over $1 trillion in sovereign wealth capital. State-owned firms have also expanded rapidly over the past decade, offering high salaries that have made the city appealing for expatriates.
The free zone rolled out a virtual asset regulatory framework and has held talks with cryptocurrency exchanges, including Binance Holdings Ltd., that are looking to expand their presence in the country.
Abu Dhabi Global Market, an international financial center based in the capital of the United Arab Emirates, has laid off at least 35 expatriate employees, including its strategy chief, people familiar with the matter said.
Most of the cuts in recent weeks were in the strategy and business development teams, where revenue failed to meet expectations, the people said, asking not to be identified as the matter is private. The layoffs include 20 cuts at the end of January, they said.
ADGM Authority Chief Executive Officer Mark Cutis has also left the financial center after less than a year in the role, people with direct knowledge of the matter told Bloomberg last month.
“With our new board of directors in place, ADGM recently completed a strategic review,” a spokesperson said. As part of the changes, ADGM is in the process of hiring in areas including crypto, according to two of the people.
Over the past year, ADGM has continued its push to lure more financial technology companies to Abu Dhabi, a city that’s among the few globally to manage over $1 trillion in sovereign wealth capital. State-owned firms have also expanded rapidly over the past decade, offering high salaries that have made the city appealing for expatriates.
The free zone rolled out a virtual asset regulatory framework and has held talks with cryptocurrency exchanges, including Binance Holdings Ltd., that are looking to expand their presence in the country.
Gulf markets tumble on #Russia attack; #Saudi Aramco at record high | Reuters
Gulf markets tumble on Russia attack; Saudi Aramco at record high | Reuters
Markets in the Middle East dived on Thursday, with oil prices rising above $105, after Russia's attack on Ukraine spooked investors across the globe about disruptions to energy supply.
Russia launched an all-out invasion of Ukraine by land, air and sea in the biggest attack by one state against another in Europe since World War Two. Ukraine reported columns of troops pouring across its borders from Russia and Belarus, and landing on the coast from the Black and Azov seas. read more
Oil prices broke above $100 a barrel for the first time since 2014, stock markets slumped and the rouble hit a record low after the invasion.
Saudi Arabia's benchmark index (.TASI) dropped 1.8%, after shedding as much as 2.5% earlier in the session.
Oil giant Saudi Aramco (2222.SE) rose nearly 2% to hit a record high as oil prices ballooned.
Only eight stocks of 211 listed in the index ended in the green.
Outside the Gulf, Egypt's blue-chip index (.EGX30) led the losses, as it plunged 3.6% in its steepest fall since March 2020.
Financial and IT stocks fell the most.
Dubai's main index (.DFMGI) closed 1.8% lower to post its biggest daily fall in a month. The index slid as much as 3.7% earlier in the session.
Emirates Refreshments (ERC.DU) was the top percentage loser, down nearly 10%.
Index heavyweights Emaar Properties (EMAR.DU) and Dubai Islamic Bank (DISB.DU) dropped 3.4% and 2.2%, respectively.
In Abu Dhabi, the index (.FTFADGI) declined 0.3%, while the Qatar index (.QSI) closed down 0.8%.
Markets in the Middle East dived on Thursday, with oil prices rising above $105, after Russia's attack on Ukraine spooked investors across the globe about disruptions to energy supply.
Russia launched an all-out invasion of Ukraine by land, air and sea in the biggest attack by one state against another in Europe since World War Two. Ukraine reported columns of troops pouring across its borders from Russia and Belarus, and landing on the coast from the Black and Azov seas. read more
Oil prices broke above $100 a barrel for the first time since 2014, stock markets slumped and the rouble hit a record low after the invasion.
Saudi Arabia's benchmark index (.TASI) dropped 1.8%, after shedding as much as 2.5% earlier in the session.
Oil giant Saudi Aramco (2222.SE) rose nearly 2% to hit a record high as oil prices ballooned.
Only eight stocks of 211 listed in the index ended in the green.
Outside the Gulf, Egypt's blue-chip index (.EGX30) led the losses, as it plunged 3.6% in its steepest fall since March 2020.
Financial and IT stocks fell the most.
Dubai's main index (.DFMGI) closed 1.8% lower to post its biggest daily fall in a month. The index slid as much as 3.7% earlier in the session.
Emirates Refreshments (ERC.DU) was the top percentage loser, down nearly 10%.
Index heavyweights Emaar Properties (EMAR.DU) and Dubai Islamic Bank (DISB.DU) dropped 3.4% and 2.2%, respectively.
In Abu Dhabi, the index (.FTFADGI) declined 0.3%, while the Qatar index (.QSI) closed down 0.8%.
Oil tops $105 after Russia attacks Ukraine | Reuters
Oil tops $105 after Russia attacks Ukraine | Reuters
Oil prices jumped on Thursday, with Brent rising above $105 a barrel for the first time since 2014, after Russia's attack on Ukraine exacerbated concerns about disruptions to global energy supply.
Russia launched an all-out invasion of Ukraine by land, air and sea in the biggest attack by one state against another in Europe since World War Two. read more
The United States and Europe have promised the toughest sanctions on Russia in response.
"If sanctions affect payment transactions, Russian banks and possibly also the insurance that covers Russian oil and gas deliveries, supply outages cannot be excluded," said Commerzbank analyst Carsten Fritsch.
At least three major buyers of Russian oil were unable to open letters of credit from Western banks to cover purchases on Thursday, sources told Reuters. read more
Brent crude was up $8.15, or 8.4%, at $104.99 a barrel as of 1221 GMT, having touched a high of $105.79. U.S. West Texas Intermediate (WTI) crude jumped $7.33, or 8%, to $99.43.
Brent and WTI hit their highest since August and July 2014 respectively.
Oil prices jumped on Thursday, with Brent rising above $105 a barrel for the first time since 2014, after Russia's attack on Ukraine exacerbated concerns about disruptions to global energy supply.
Russia launched an all-out invasion of Ukraine by land, air and sea in the biggest attack by one state against another in Europe since World War Two. read more
The United States and Europe have promised the toughest sanctions on Russia in response.
"If sanctions affect payment transactions, Russian banks and possibly also the insurance that covers Russian oil and gas deliveries, supply outages cannot be excluded," said Commerzbank analyst Carsten Fritsch.
At least three major buyers of Russian oil were unable to open letters of credit from Western banks to cover purchases on Thursday, sources told Reuters. read more
Brent crude was up $8.15, or 8.4%, at $104.99 a barrel as of 1221 GMT, having touched a high of $105.79. U.S. West Texas Intermediate (WTI) crude jumped $7.33, or 8%, to $99.43.
Brent and WTI hit their highest since August and July 2014 respectively.
#Israel to divest Haifa seaport to boost competition | Reuters
Israel to divest Haifa seaport to boost competition | Reuters
Israel is planning to sell its 100% stake in the Haifa seaport to a strategic buyer, the Finance Ministry said on Thursday, as it looks to boost ports competition and lower prices.
Bids for the Haifa port, Israel's largest, are due by April 24.
Israel has three ports -- Haifa, Israel's third-largest city on its northern Mediterranean coast; Ashdod in the centre and the Red Sea resort city of Eilat.
The privatisation comes as the government has come under fire for rising consumer prices.
The ministry said a sale of the Haifa port would lower costs, turn seaports more efficient and improve service.
Israel is planning to sell its 100% stake in the Haifa seaport to a strategic buyer, the Finance Ministry said on Thursday, as it looks to boost ports competition and lower prices.
Bids for the Haifa port, Israel's largest, are due by April 24.
Israel has three ports -- Haifa, Israel's third-largest city on its northern Mediterranean coast; Ashdod in the centre and the Red Sea resort city of Eilat.
The privatisation comes as the government has come under fire for rising consumer prices.
The ministry said a sale of the Haifa port would lower costs, turn seaports more efficient and improve service.
#Saudi Wealth Fund PIF Ramps Up Expansion With NY, London Offices - Bloomberg
Saudi Wealth Fund PIF Ramps Up Expansion With NY, London Offices - Bloomberg
Saudi Arabia’s sovereign wealth fund opened offices in New York, London and Hong Kong as part of the $500 billion asset manager’s global expansion plans.
“The moves are in line with PIF’s continued expansion and will assist in the fund’s future international growth,” according to a statement.
The wealth fund is a key lever for Saudi Arabia’s efforts to diversify the economy away from oil. Since 2015, the PIF’s assets under management have risen to $500 billion from about $150 billion.
It has taken stakes in Uber Technologies Inc., put $45 billion into SoftBank’s Vision Fund, and backed electric vehicle maker Lucid Motors Inc. It’s also increased headcount to more than 1,000 from about 40.
Over the past year, the fund has announced a string of appointments to help expand its reach.
Saudi Arabia’s sovereign wealth fund opened offices in New York, London and Hong Kong as part of the $500 billion asset manager’s global expansion plans.
“The moves are in line with PIF’s continued expansion and will assist in the fund’s future international growth,” according to a statement.
The wealth fund is a key lever for Saudi Arabia’s efforts to diversify the economy away from oil. Since 2015, the PIF’s assets under management have risen to $500 billion from about $150 billion.
It has taken stakes in Uber Technologies Inc., put $45 billion into SoftBank’s Vision Fund, and backed electric vehicle maker Lucid Motors Inc. It’s also increased headcount to more than 1,000 from about 40.
Over the past year, the fund has announced a string of appointments to help expand its reach.
Prices spike on Russian invasion of Ukraine | Reuters
Prices spike on Russian invasion of Ukraine | Reuters
British and Dutch gas prices spiked on Thursday, along with oil, European power and other commodities, after Russian forces launched an invasion of Ukraine.
Russian forces fired missiles at several cities in Ukraine and landed troops on its coast on Thursday, officials and media said, after President Vladimir Putin authorised what he called a special military operation in the east. read more
In the Dutch gas market, the front-month contract was up 39% at 117.15 euros per megawatt hour (MWh) by 1155 GMT but still below December's record high of nearly 185 euros/MWh.
The summer 2022 price was up 38% at 114.85 euros/MWh while the winter 2022 contract was up 30% at 114.00 euros/MWh.
In the UK gas market, the March price was up 40% at 283.50 pence per therm and the winter 2022 price had risen 31% to 290.00 p/therm.
Oil prices jumped, with Brent climbing above $105 a barrel for the first time since 2014.
"This is panic buying. An invasion has been widely expected," one gas trader said.
British and Dutch gas prices spiked on Thursday, along with oil, European power and other commodities, after Russian forces launched an invasion of Ukraine.
Russian forces fired missiles at several cities in Ukraine and landed troops on its coast on Thursday, officials and media said, after President Vladimir Putin authorised what he called a special military operation in the east. read more
In the Dutch gas market, the front-month contract was up 39% at 117.15 euros per megawatt hour (MWh) by 1155 GMT but still below December's record high of nearly 185 euros/MWh.
The summer 2022 price was up 38% at 114.85 euros/MWh while the winter 2022 contract was up 30% at 114.00 euros/MWh.
In the UK gas market, the March price was up 40% at 283.50 pence per therm and the winter 2022 price had risen 31% to 290.00 p/therm.
Oil prices jumped, with Brent climbing above $105 a barrel for the first time since 2014.
"This is panic buying. An invasion has been widely expected," one gas trader said.
#Iran Nuclear Talks: U.S. Says Deal Close as Tehran Ups Oil In Storage - Bloomberg
Iran Nuclear Talks: U.S. Says Deal Close as Tehran Ups Oil In Storage - Bloomberg
The U.S. said world powers were “close” to a deal with Iran as the Persian Gulf nation shifted more oil onto ships in anticipation of an agreement that lifts sanctions on its exports.
Iran could ramp up shipments to or even beyond 1 million barrels day within months of a deal, traders estimate, offering potential relief as Russia’s attack on Ukraine pushes oil over $100 a barrel.
All sides say negotiations in Vienna have made substantial progress toward a pact that restricts Iran’s nuclear program in return for a lifting of U.S. sanctions. But key sticking points have prevented Tehran and Washington from resolving their differences over how to revive the 2015 accord that the Trump administration later jettisoned.
Iran said its chief negotiator would return to Tehran for consultations as the talks reach a critical juncture. Iran’s Foreign Ministry said senior European envoys would also travel to their respective capitals for consultations. The State Department said an agreement could be days away if the remaining issues can be resolved.
“In Vienna, we believe that we can and should reach an understanding on a potential mutual return to compliance in short order, potentially within days,” State Department spokesman Ned Price told reporters on Wednesday, warning that any delays beyond that would put a return to the deal at “grave and profound risk.”
The U.S. said world powers were “close” to a deal with Iran as the Persian Gulf nation shifted more oil onto ships in anticipation of an agreement that lifts sanctions on its exports.
Iran could ramp up shipments to or even beyond 1 million barrels day within months of a deal, traders estimate, offering potential relief as Russia’s attack on Ukraine pushes oil over $100 a barrel.
All sides say negotiations in Vienna have made substantial progress toward a pact that restricts Iran’s nuclear program in return for a lifting of U.S. sanctions. But key sticking points have prevented Tehran and Washington from resolving their differences over how to revive the 2015 accord that the Trump administration later jettisoned.
Iran said its chief negotiator would return to Tehran for consultations as the talks reach a critical juncture. Iran’s Foreign Ministry said senior European envoys would also travel to their respective capitals for consultations. The State Department said an agreement could be days away if the remaining issues can be resolved.
“In Vienna, we believe that we can and should reach an understanding on a potential mutual return to compliance in short order, potentially within days,” State Department spokesman Ned Price told reporters on Wednesday, warning that any delays beyond that would put a return to the deal at “grave and profound risk.”
#Dubai’s Mashreq (MASQ) Weighs Sale of Payments Business - Bloomberg
Dubai’s Mashreq (MASQ) Weighs Sale of Payments Business - Bloomberg
Mashreqbank PSC is exploring a sale of its payments business in a deal that could value the division at around $500 million, according to people familiar with the matter, the latest lender in the United Arab Emirates to consider pulling back from the sector.
The Dubai-based bank is working with Goldman Sachs Group Inc. to sound out potential buyers for the unit, which handles the processing of transactions made with credit and debit cards, the people said, asking not to be named because the information is private.
Deliberations are ongoing and no final decision has yet been taken, according to the people. Representatives for Mashreq and Goldman Sachs declined to comment.
Traditional lenders are increasingly putting their payments processors on the block in the face of competition from non-bank practitioners. In Europe, Banco de Sabadell SA and Italy’s BPER Banca SpA have been exploring deals for similar businesses, Bloomberg previously reported.
Mashreqbank PSC is exploring a sale of its payments business in a deal that could value the division at around $500 million, according to people familiar with the matter, the latest lender in the United Arab Emirates to consider pulling back from the sector.
The Dubai-based bank is working with Goldman Sachs Group Inc. to sound out potential buyers for the unit, which handles the processing of transactions made with credit and debit cards, the people said, asking not to be named because the information is private.
Deliberations are ongoing and no final decision has yet been taken, according to the people. Representatives for Mashreq and Goldman Sachs declined to comment.
Traditional lenders are increasingly putting their payments processors on the block in the face of competition from non-bank practitioners. In Europe, Banco de Sabadell SA and Italy’s BPER Banca SpA have been exploring deals for similar businesses, Bloomberg previously reported.
#Kuwait Bourse Plans Derivatives Trading Amid Push for More IPOs - Bloomberg
Kuwait Bourse Plans Derivatives Trading Amid Push for More IPOs - Bloomberg
Boursa Kuwait Securities Co. plans to add derivatives and futures products to boost liquidity and attract more companies to list.
The exchange expects some family-owned businesses to list soon, followed by government-controlled companies, said Chief Executive Officer Mohammed Al-Osaimi. Boursa Kuwait has standardized listing rules, which should streamline the process for companies to go public, he added.
The move is part of a wider regional trend, with exchanges in Saudi Arabia and the United Arab Emirates ramping up efforts to encourage listings and attract foreign flows. Soaring commodity prices have made energy and raw material producers in the Middle East more attractive, and prospects of rate hikes are set to benefit bank stocks, which make up a big part of benchmarks in the Middle East.
Kuwait’s Premier Market Index is up 9% this year on a U.S. dollar basis, making it the 10th best equity benchmark in the world, according to data compiled by Bloomberg.
Boursa Kuwait Securities Co. plans to add derivatives and futures products to boost liquidity and attract more companies to list.
The exchange expects some family-owned businesses to list soon, followed by government-controlled companies, said Chief Executive Officer Mohammed Al-Osaimi. Boursa Kuwait has standardized listing rules, which should streamline the process for companies to go public, he added.
The move is part of a wider regional trend, with exchanges in Saudi Arabia and the United Arab Emirates ramping up efforts to encourage listings and attract foreign flows. Soaring commodity prices have made energy and raw material producers in the Middle East more attractive, and prospects of rate hikes are set to benefit bank stocks, which make up a big part of benchmarks in the Middle East.
Kuwait’s Premier Market Index is up 9% this year on a U.S. dollar basis, making it the 10th best equity benchmark in the world, according to data compiled by Bloomberg.
Aramco shares rise to record high as oil tops $100 for first time since 2014 | Reuters
Aramco shares rise to record high as oil tops $100 for first time since 2014 | Reuters
Saudi Aramco (2222.SE) shares surged as much as 4.2% to a record high 42.25 riyals ($11.26) on Thursday as oil prices breached the $100 a barrel after Russia attacked Ukraine.
Brent crude (.LCOc1) topped $100 a barrel for the first time since 2014, exacerbating concerns that a war in Europe could disrupt global energy supplies. read more
Shares of Aramco are up for a third consecutive day and have gained more than 16% year to date. Saudi Arabia's benchmark index (.TASI) was down 2.2% in afternoon trade.
Saudi Aramco (2222.SE) shares surged as much as 4.2% to a record high 42.25 riyals ($11.26) on Thursday as oil prices breached the $100 a barrel after Russia attacked Ukraine.
Brent crude (.LCOc1) topped $100 a barrel for the first time since 2014, exacerbating concerns that a war in Europe could disrupt global energy supplies. read more
Shares of Aramco are up for a third consecutive day and have gained more than 16% year to date. Saudi Arabia's benchmark index (.TASI) was down 2.2% in afternoon trade.
Oil rises above $100 after Russia attacks Ukraine | Reuters
Oil rises above $100 after Russia attacks Ukraine | Reuters
Oil prices jumped on Thursday, with Brent rising above $100 a barrel for the first time since 2014, after Russia attacked Ukraine exacerbating concerns about disruptionsto global energy supply.
Russia launched an all-out invasion of Ukraine by land, air and sea, the biggest attack by one state against another in Europe since World War Two. read more
Brent crude rose $7.07, or 7.3%, to $103.91 a barrel at 0944 GMT, and U.S. West Texas Intermediate (WTI) crude jumped $6.43, or 7%, to $98.53 a barrel.
Brent and WTI hit their highest levels since August and July 2014, respectively.
"Russia is the third largest oil producer, and second largest oil exporter. Given low inventories and dwindling spare capacity, the oil market cannot afford large supply disruptions," UBS analyst Giovanni Staunovo said.
Oil prices jumped on Thursday, with Brent rising above $100 a barrel for the first time since 2014, after Russia attacked Ukraine exacerbating concerns about disruptionsto global energy supply.
Russia launched an all-out invasion of Ukraine by land, air and sea, the biggest attack by one state against another in Europe since World War Two. read more
Brent crude rose $7.07, or 7.3%, to $103.91 a barrel at 0944 GMT, and U.S. West Texas Intermediate (WTI) crude jumped $6.43, or 7%, to $98.53 a barrel.
Brent and WTI hit their highest levels since August and July 2014, respectively.
"Russia is the third largest oil producer, and second largest oil exporter. Given low inventories and dwindling spare capacity, the oil market cannot afford large supply disruptions," UBS analyst Giovanni Staunovo said.
Gulf markets slide as Russian forces invade Ukraine | Reuters
Gulf markets slide as Russian forces invade Ukraine | Reuters
Gulf bourses plunged on Thursday, mirroring trends across the globe as Russian forces fired missiles at many Ukrainian cities and landed troops on Ukraine's south coast after President Vladimir Putin ordered a military operation in the east.
Along with global equities, U.S. bond yields also dived, while the dollar, gold and oil prices rocketed higher.
Brent crude surpassed $100-mark for the first time since September 2014, touching $102.48 a barrel.
Dubai's main index (.DFMGI) led the losses, sliding as much as 3.7% in its steepest fall since Nov. 28. The index has since trimmed losses and currently trading 1.5% lower.
Emirates Refreshments (ERC.DU) was the top percentage loser, down nearly 10%.
Index heavyweight Emaar Properties (EMAR.DU) and Dubai Islamic Bank (DISB.DU) fell 2.6% and 1.5%, respectively.
Saudi Arabia's benchmark index (.TASI) dropped as much as 2.5%, its biggest fall since Nov. 22.
Only two stocks out of 211 listed on the index, Saudi Research and Media Group (4210.SE) and Al-Baha Investment and Development (4130.SE), gained.
Oil giant Saudi Aramco (2222.SE) dropped 1.9%.
In Abu Dhabi, the index (.FTFADGI) declined 1%.
Qatari shares (.QSI) fell as much as 1.4%.
United Developments and Ooredoo were the biggest drags on the index.
Gulf bourses plunged on Thursday, mirroring trends across the globe as Russian forces fired missiles at many Ukrainian cities and landed troops on Ukraine's south coast after President Vladimir Putin ordered a military operation in the east.
Along with global equities, U.S. bond yields also dived, while the dollar, gold and oil prices rocketed higher.
Brent crude surpassed $100-mark for the first time since September 2014, touching $102.48 a barrel.
Dubai's main index (.DFMGI) led the losses, sliding as much as 3.7% in its steepest fall since Nov. 28. The index has since trimmed losses and currently trading 1.5% lower.
Emirates Refreshments (ERC.DU) was the top percentage loser, down nearly 10%.
Index heavyweight Emaar Properties (EMAR.DU) and Dubai Islamic Bank (DISB.DU) fell 2.6% and 1.5%, respectively.
Saudi Arabia's benchmark index (.TASI) dropped as much as 2.5%, its biggest fall since Nov. 22.
Only two stocks out of 211 listed on the index, Saudi Research and Media Group (4210.SE) and Al-Baha Investment and Development (4130.SE), gained.
Oil giant Saudi Aramco (2222.SE) dropped 1.9%.
In Abu Dhabi, the index (.FTFADGI) declined 1%.
Qatari shares (.QSI) fell as much as 1.4%.
United Developments and Ooredoo were the biggest drags on the index.
Wednesday, 23 February 2022
Oil Slips After Close as U.S. Eyes SPR Release to Quell Prices - Bloomberg
Oil Slips After Close as U.S. Eyes SPR Release to Quell Prices - Bloomberg
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Oil slipped after market hours on news that the U.S. is considering a potential release from its oil reserves in coordination with allies. Futures in New York closed up 0.2%, before slipping. The Biden administration is considering tapping its emergency supply of oil again in coordination with allies to counter a surge in prices brought on by Russia’s moves against Ukraine, according to two people familiar with the matter. Earlier in the day, crude swung throughout the session with markets focused on ongoing Russia-Ukraine tensions while weighing a potential conclusion to nuclear talks with Iran, which could add supply to the market. Earlier, Ukraine said several government and bank websites are not functioning due to a distributed denial-of-service attack government. Last week, Ukraine said it suffered its wost DDoS attack in its history. On Tuesday, U.S. President Joe Biden announced sanctions targeting Russia’s sale of sovereign debt abroad and the country’s elites, responding to what he described as the start of an invasion of Ukraine, but avoided a sweeping package of penalties. |