Oil's bull run rolls on despite possible China reserves release | Reuters
Oil futures settled higher on Friday, boosted by supply constraints and worries of a Russian attack on neighbouring Ukraine, pushing prices toward their fourth weekly gain despite sources saying China is set to release crude reserves around the Lunar New Year. read more
Brent crude futures settled $1.59, or 1.9%, higher at a 2-1/2-month high of $86.06 a barrel, gaining 5.4% in the week.
U.S. West Texas Intermediate crude gained $1.70 , or 2.1%, to $83.82 per barrel, rising 6.3% in the week.
Both Brent and U.S. futures entered overbought territory for the first time since late October.
Friday, 14 January 2022
Oil Traders Plow Half a Billion Barrels Back Into Crude Market - Bloomberg
Oil Traders Plow Half a Billion Barrels Back Into Crude Market - Bloomberg
Money is gushing back into oil.
While total holdings in the main oil and fuel futures contracts collapsed late-last year, the first few days of 2022 have seen almost 500,000 contracts added to the oil market. That’s the equivalent of almost half a billion barrels, a sign that the new year has begun with a flurry of liquidity in the crude market.
The burgeoning flows underpin a resurgence in Brent crude prices back above $85 a barrel in London to about $1 shy of a multi-year high set in 2021. With the omicron variant appearing more mild, the International Energy Agency said this week that demand appears to have been faring better than expected in recent weeks. One hedge fund has even been eying $200 a barrel due to a lack of exploration and investment in the longer-term.
The holdings have increased at the fastest pace since 2019.
Money is gushing back into oil.
While total holdings in the main oil and fuel futures contracts collapsed late-last year, the first few days of 2022 have seen almost 500,000 contracts added to the oil market. That’s the equivalent of almost half a billion barrels, a sign that the new year has begun with a flurry of liquidity in the crude market.
The burgeoning flows underpin a resurgence in Brent crude prices back above $85 a barrel in London to about $1 shy of a multi-year high set in 2021. With the omicron variant appearing more mild, the International Energy Agency said this week that demand appears to have been faring better than expected in recent weeks. One hedge fund has even been eying $200 a barrel due to a lack of exploration and investment in the longer-term.
The holdings have increased at the fastest pace since 2019.
Oil's bull run rolls on despite possible China reserves release | Reuters
Oil's bull run rolls on despite possible China reserves release | Reuters
Oil futures rose on Friday on course for a fourth weekly gain boosted by supply constraints and a weaker dollar and despite sources saying China is set to release crude reserves around the Lunar New Year. read more
Brent crude futures rose 71 cents, or 0.8%, to near a two-and-a-half month high of $85.18 a barrel at 1430 GMT. U.S. West Texas Intermediate crude gained 57 cents, or 0.7%, to $82.69.
Crude prices turned positive as the dollar headed towards what could be its largest weekly fall in more than a year. A weaker dollar makes commodities more affordable for holders of other currencies.
Several banks have forecast oil prices of $100 a barrel this year, with demand expected to outstrip supply, not least as capacity constraints among OPEC+ countries come into focus. read more
Oil futures rose on Friday on course for a fourth weekly gain boosted by supply constraints and a weaker dollar and despite sources saying China is set to release crude reserves around the Lunar New Year. read more
Brent crude futures rose 71 cents, or 0.8%, to near a two-and-a-half month high of $85.18 a barrel at 1430 GMT. U.S. West Texas Intermediate crude gained 57 cents, or 0.7%, to $82.69.
Crude prices turned positive as the dollar headed towards what could be its largest weekly fall in more than a year. A weaker dollar makes commodities more affordable for holders of other currencies.
Several banks have forecast oil prices of $100 a barrel this year, with demand expected to outstrip supply, not least as capacity constraints among OPEC+ countries come into focus. read more
#Dubai IPO: Moelis Wins Appointment for Salik Toll System Listing - Bloomberg
Dubai IPO: Moelis Wins Appointment for Salik Toll System Listing - Bloomberg
Dubai’s road-toll collection system has picked Moelis & Co. as financial adviser for its local stock exchange listing, according to people familiar with the matter.
The so-called Salik toll system could add additional banks before the 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 Salik as part of a broader plan to list 10 state entities. The goal is to revive Dubai’s moribund stock market and close the gap with exchanges in rival financial centers Abu Dhabi and Riyadh.
The New York-based investment bank has already been named as an adviser on the IPO of Dubai Electricity & Water Authority, likely to become the emirate’s biggest share sale this year.
A representative for Moelis declined to comment. Salik couldn’t immediately be reached for comment.
Salik, which is part of the Dubai Roads & Transport Authority and was introduced in the city in 2007, provides the emirate with an important revenue stream. Each time a vehicle passes through one of its toll points, 4 dirhams ($1.09) are charged to a prepaid account.
Dubai’s road-toll collection system has picked Moelis & Co. as financial adviser for its local stock exchange listing, according to people familiar with the matter.
The so-called Salik toll system could add additional banks before the 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 Salik as part of a broader plan to list 10 state entities. The goal is to revive Dubai’s moribund stock market and close the gap with exchanges in rival financial centers Abu Dhabi and Riyadh.
The New York-based investment bank has already been named as an adviser on the IPO of Dubai Electricity & Water Authority, likely to become the emirate’s biggest share sale this year.
A representative for Moelis declined to comment. Salik couldn’t immediately be reached for comment.
Salik, which is part of the Dubai Roads & Transport Authority and was introduced in the city in 2007, provides the emirate with an important revenue stream. Each time a vehicle passes through one of its toll points, 4 dirhams ($1.09) are charged to a prepaid account.
Aramco Oil Pipelines investors miss funding goal with $2.5 bln bond sale | Reuters
Aramco Oil Pipelines investors miss funding goal with $2.5 bln bond sale | Reuters
A group of institutional investors that last year took a stake in Saudi Aramco's oil pipelines network sold $2.5 billion in dual-tranche amortising bonds on Thursday, significantly below the amount sought, a bank document showed.
Amid turbulent debt markets, final spreads were unchanged from initial guidance, with the deal drawing around $5 billion in orders, according to the document.
A separate bank document had shown that the investors, via EIG Pearl Holdings, were seeking to raise $3.5-4.4 billion.
"Investment grade deals are getting difficult in light of market conditions," a banker away from the deal said.
A group of institutional investors that last year took a stake in Saudi Aramco's oil pipelines network sold $2.5 billion in dual-tranche amortising bonds on Thursday, significantly below the amount sought, a bank document showed.
Amid turbulent debt markets, final spreads were unchanged from initial guidance, with the deal drawing around $5 billion in orders, according to the document.
A separate bank document had shown that the investors, via EIG Pearl Holdings, were seeking to raise $3.5-4.4 billion.
"Investment grade deals are getting difficult in light of market conditions," a banker away from the deal said.
#Dubai’s DEWA Set to Court Wealth Funds in Pre-IPO Investor Talks - Bloomberg
Dubai’s DEWA Set to Court Wealth Funds in Pre-IPO Investor Talks - Bloomberg
Dubai’s main utility will hold its first meetings with select top investors as soon as next week to drum up interest for what will likely be among the city’s largest listings, people familiar with the matter said.
Bankers and officials at Dubai Electricity & Water Authority plan to meet investors including sovereign and pension funds, the people said, asking not to be identified because the information is private.
The meeting, scheduled for the second half of next week, will be the first of a series of planned engagements with investors and analysts ahead of the planned listing. The IPO, which could value the utility at as much as $25 billion, may happen by April.
DEWA’s IPO is part of the emirate’s plans to list 10 state-owned companies and revive its stock market. Dubai missed out entirely on last year’s $9.1 billion IPO boom in Middle East and North Africa.
DEWA has chosen Citigroup Inc., HSBC Holdings Plc and Emirates NBD Bank PJSC to lead the offering, people familiar with the matter told Bloomberg in December.
The utility, which caters to the emirate’s 3.4 million people, has assets worth up to 190 billion dirhams ($52 billion). It reported net income of 4.9 billion dirhams in 2019, the latest data available to Bloomberg, and is debt free.
Representatives for DEWA didn’t immediately respond to requests for comment.
Dubai’s main utility will hold its first meetings with select top investors as soon as next week to drum up interest for what will likely be among the city’s largest listings, people familiar with the matter said.
Bankers and officials at Dubai Electricity & Water Authority plan to meet investors including sovereign and pension funds, the people said, asking not to be identified because the information is private.
The meeting, scheduled for the second half of next week, will be the first of a series of planned engagements with investors and analysts ahead of the planned listing. The IPO, which could value the utility at as much as $25 billion, may happen by April.
DEWA’s IPO is part of the emirate’s plans to list 10 state-owned companies and revive its stock market. Dubai missed out entirely on last year’s $9.1 billion IPO boom in Middle East and North Africa.
DEWA has chosen Citigroup Inc., HSBC Holdings Plc and Emirates NBD Bank PJSC to lead the offering, people familiar with the matter told Bloomberg in December.
The utility, which caters to the emirate’s 3.4 million people, has assets worth up to 190 billion dirhams ($52 billion). It reported net income of 4.9 billion dirhams in 2019, the latest data available to Bloomberg, and is debt free.
Representatives for DEWA didn’t immediately respond to requests for comment.
#UAE markets drop after Fed officials signal March rate hike | Reuters
UAE markets drop after Fed officials signal March rate hike | Reuters
Stock markets in the United Arab Emirates ended in the red on Friday, mirroring weakness in Asian peers, as more Fed policymakers signalled they would start to raise U.S. interest rates in March to combat inflation.
Dubai's main share index (.DFMGI) fell 0.4% after gains in the previous session, as Emirates NBD Bank (ENBD.DU) shed 1.1% and blue-chip developer Emaar Properties (EMAR.DU) lost 0.8%.
Abu Dhabi's index (.FTFADGI) ended flat, with conglomerate International Holding Company losing 0.3%, while telecoms operator Etisalat Group (ETISALAT.AD) rose 0.1%.
Markets in the UAE traded on their second Friday in January after they shifted to a new Monday-to-Friday working week to better align with global markets.
The UAE announced last month it would move to a Saturday-Sunday weekend from the start of 2022. read more
Stock markets in the United Arab Emirates ended in the red on Friday, mirroring weakness in Asian peers, as more Fed policymakers signalled they would start to raise U.S. interest rates in March to combat inflation.
Dubai's main share index (.DFMGI) fell 0.4% after gains in the previous session, as Emirates NBD Bank (ENBD.DU) shed 1.1% and blue-chip developer Emaar Properties (EMAR.DU) lost 0.8%.
Abu Dhabi's index (.FTFADGI) ended flat, with conglomerate International Holding Company losing 0.3%, while telecoms operator Etisalat Group (ETISALAT.AD) rose 0.1%.
Markets in the UAE traded on their second Friday in January after they shifted to a new Monday-to-Friday working week to better align with global markets.
The UAE announced last month it would move to a Saturday-Sunday weekend from the start of 2022. read more
Wizz Air Doubles Down on #AbuDhabi Venture Despite Slow Start - Bloomberg
Wizz Air Doubles Down on Abu Dhabi Venture Despite Slow Start - Bloomberg
Wizz Air Holdings Plc plans to double the size of its carrier in Abu Dhabi, after the Gulf operation got off to a slower-than-expected start because of the coronavirus pandemic.
The new airline, co-owned by state-backed holding company ADQ, ended its first year in operation with four planes based in the capital of oil-rich United Arab Emirates.
The fleet will expand to eight this year, adding links to destinations including Vienna, Bari, Italy, and Krasnodar, Russia, as the venture hires another 200 people locally, Chief Executive Officer Jozsef Varadi said in an interview. It currently employs around 200 people in Abu Dhabi.
“With that, we would be at least doubling or tripling the passenger numbers we carry in and out of Abu Dhabi,” Varadi said.
Wizz Air Holdings Plc plans to double the size of its carrier in Abu Dhabi, after the Gulf operation got off to a slower-than-expected start because of the coronavirus pandemic.
The new airline, co-owned by state-backed holding company ADQ, ended its first year in operation with four planes based in the capital of oil-rich United Arab Emirates.
The fleet will expand to eight this year, adding links to destinations including Vienna, Bari, Italy, and Krasnodar, Russia, as the venture hires another 200 people locally, Chief Executive Officer Jozsef Varadi said in an interview. It currently employs around 200 people in Abu Dhabi.
“With that, we would be at least doubling or tripling the passenger numbers we carry in and out of Abu Dhabi,” Varadi said.
Oil reverses losses on weak dollar, but China crude reserves sale looms | Reuters
Oil reverses losses on weak dollar, but China crude reserves sale looms | Reuters
Oil futures reversed losses on Friday on a weaker dollar although an imminent release of crude reserves from top importer China capped price gains.
Brent crude futures rose 32 cents, or 0.4%, to $84.79 a barrel at 0730 GMT. U.S. West Texas Intermediate crude gained 11 cents, or 0.1%, to $82.23 a barrel.
Crude prices turned positive as the dollar heads for its largest weekly fall in more than a year. A weaker dollar makes commodities more affordable for holders of other currencies.
However, gains were limited after Reuters reported that China plans to release oil reserves around the Lunar New Year holidays as part of a plan coordinated by the United States with other major consumers to reduce global prices. read more
Oil futures reversed losses on Friday on a weaker dollar although an imminent release of crude reserves from top importer China capped price gains.
Brent crude futures rose 32 cents, or 0.4%, to $84.79 a barrel at 0730 GMT. U.S. West Texas Intermediate crude gained 11 cents, or 0.1%, to $82.23 a barrel.
Crude prices turned positive as the dollar heads for its largest weekly fall in more than a year. A weaker dollar makes commodities more affordable for holders of other currencies.
However, gains were limited after Reuters reported that China plans to release oil reserves around the Lunar New Year holidays as part of a plan coordinated by the United States with other major consumers to reduce global prices. read more