Some Goldman Sachs Employees Moving Out of Russia to Dubai - Bloomberg
A portion of Goldman Sachs Group Inc.’s Russia staff is relocating out of the country as firms react to a global effort to shut off the Russian economy after the invasion of Ukraine.
The Wall Street powerhouse is shifting some of its Moscow-based staff to Dubai, a key financial hub in the Middle East, according to people with knowledge of the matter, asking not to be identified discussing personnel moves. The relocation is being driven by its staff seeking to work from a different location, one of the people said.
International firms have been reassessing their Russian operations as the country’s invasion of Ukraine enters its second week. Russia has been hit with crippling international sanctions that have left its economy reeling -- the result of a co-ordinated global effort to isolate the Kremlin following President Vladimir Putin’s decision to attack Ukraine.
A representative for Goldman Sachs declined to comment. The move is not intended to be permanent as of now, one of the people said.
Dubai is seen as one of the few key cities in the world whose government has warm ties with the Kremlin. The United Arab Emirates, which is home to Abu Dhabi and Dubai, abstained in a U.N. Security Council vote at the end of February condemning Moscow’s invasion of Ukraine. It is also chair of the Security Council.
The energy-rich UAE relies on Russian and Ukrainian wheat exports and is home to roughly 8 million foreign residents and 1 million Emirati citizens.
Russia’s annexation of Crimea in 2014 prompted several global banks to cut their exposure to Putin’s regime. Goldman Sachs has maintained a presence in Russia but the country doesn’t amount to a meaningful portion of its global banking business.
At the end of 2021, the bank’s total credit exposure to Russia was $650 million, most of which was tied to non-sovereign counterparties or borrowers, it said in a regulatory filing last month.
Sunday, 6 March 2022
Oil Soars as Russian Embargo Talk Fuels Fears of Shortage - Bloomberg
Oil Soars as Russian Embargo Talk Fuels Fears of Shortage - Bloomberg
Oil soared, briefly touching $139 a barrel, in a dramatic start to another tempestuous week after the White House said it was discussing an embargo on Russian supplies, fanning supply fears in an already jittery market.
Brent crude jumped as much as 18% in a matter of minutes before paring gains to about 9% on Monday. That’s after a 21% surge last week as Russia’s invasion of Ukraine triggered fears of a brutal supply crunch. U.S. Secretary of State Antony Blinken said the Biden administration and its allies are discussing an embargo of Russian oil, as pressure mounts to hit back harder at the invasion of Ukraine by squeezing exports from Russia’s key energy industry.
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Oil soared, briefly touching $139 a barrel, in a dramatic start to another tempestuous week after the White House said it was discussing an embargo on Russian supplies, fanning supply fears in an already jittery market.
Brent crude jumped as much as 18% in a matter of minutes before paring gains to about 9% on Monday. That’s after a 21% surge last week as Russia’s invasion of Ukraine triggered fears of a brutal supply crunch. U.S. Secretary of State Antony Blinken said the Biden administration and its allies are discussing an embargo of Russian oil, as pressure mounts to hit back harder at the invasion of Ukraine by squeezing exports from Russia’s key energy industry.
#Saudi stocks track rising oil prices | Reuters
Saudi stocks track rising oil prices | Reuters
Saudi Arabian shares closed higher on Sunday, tracking a rise in oil prices and as the kingdom lifted all COVID-19 restrictions, while Egyptian stocks tumbled amid selling by foreign investors.
Oil surged on Friday, ending the week at multi-year highs as the conflict in Ukraine intensified and oil buyers shunned barrels from Russia, the world's second-largest exporter of crude. read more
Brent (.LCOc1) futures rose 6.9% on Friday to settle at $118.11 a barrel.
Saudi Arabia's benchmark index (.TASI) ended up 0.4%, buoyed by petrochemical and energy stocks.
SABIC Agri-Nutrients (2020.SE) and Sahara International Petrochemical Company (2310.SE) led the gainers, climbing 7% and 6%, respectively.
Oil giant Saudi Aramco (2222.SE) rose for a third consecutive day, closing up 0.7% at a record high of 44.60 riyals.
The Egyptian blue-chip index (.EGX30) dropped 1.8%, led by a decline of nearly 3% in the country's largest lender Commercial International Bank Egypt (COMI.CA).
Foreign investors were the net seller of stocks, according to the exchange data.
Non-oil activity in Egypt's private sector contracted for a 15th month in February; the IHS Markit's Purchasing Managers' Index stood at 48.1, well below the 50.0 threshold that separates growth from contraction. read more
The Qatar stock exchange was closed for a holiday.
Oil surged on Friday, ending the week at multi-year highs as the conflict in Ukraine intensified and oil buyers shunned barrels from Russia, the world's second-largest exporter of crude. read more
Brent (.LCOc1) futures rose 6.9% on Friday to settle at $118.11 a barrel.
Saudi Arabia's benchmark index (.TASI) ended up 0.4%, buoyed by petrochemical and energy stocks.
SABIC Agri-Nutrients (2020.SE) and Sahara International Petrochemical Company (2310.SE) led the gainers, climbing 7% and 6%, respectively.
Oil giant Saudi Aramco (2222.SE) rose for a third consecutive day, closing up 0.7% at a record high of 44.60 riyals.
The Egyptian blue-chip index (.EGX30) dropped 1.8%, led by a decline of nearly 3% in the country's largest lender Commercial International Bank Egypt (COMI.CA).
Foreign investors were the net seller of stocks, according to the exchange data.
Non-oil activity in Egypt's private sector contracted for a 15th month in February; the IHS Markit's Purchasing Managers' Index stood at 48.1, well below the 50.0 threshold that separates growth from contraction. read more
The Qatar stock exchange was closed for a holiday.
Ahmed Al Qaseer appointed acting CEO of Shurooq | Business – Gulf News
Ahmed Al Qaseer appointed acting CEO of Shurooq | Business – Gulf News
Ahmed Obaid Al Qaseer has been appointed as the acting CEO of the Sharjah Investment and Development Authority (Shurooq), it was announced on Sunday.
In his new role, Al Qaseer will continue the ongoing efforts to achieve Shurooq’s vision of developing world-class projects and bolster efforts to drive national and foreign investments into the emirate. He will also oversee the management and operational execution of all multi-sectoral projects under Shurooq’s portfolio, including its tourist and heritage destinations across the emirate.
Al Qaseer has facilitated the growth of businesses across sectors, in addition to strengthening Sharjah’s status as a key investment, tourist and trade destination in the region.
He joined Al Qasba Development Office in 2006 as business development manager and was promoted to director of business development in 2008. He was an integral part of the team that transformed Al Qasba into the popular leisure and tourism destination it is today.
Ahmed Obaid Al Qaseer has been appointed as the acting CEO of the Sharjah Investment and Development Authority (Shurooq), it was announced on Sunday.
In his new role, Al Qaseer will continue the ongoing efforts to achieve Shurooq’s vision of developing world-class projects and bolster efforts to drive national and foreign investments into the emirate. He will also oversee the management and operational execution of all multi-sectoral projects under Shurooq’s portfolio, including its tourist and heritage destinations across the emirate.
Al Qaseer has facilitated the growth of businesses across sectors, in addition to strengthening Sharjah’s status as a key investment, tourist and trade destination in the region.
He joined Al Qasba Development Office in 2006 as business development manager and was promoted to director of business development in 2008. He was an integral part of the team that transformed Al Qasba into the popular leisure and tourism destination it is today.
Putin Aims to Avert Defaults With Ruble Payment to Creditors - Bloomberg
Putin Aims to Avert Defaults With Ruble Payment to Creditors - Bloomberg
Russia and Russian companies will be allowed to pay foreign creditors in rubles, according to a decree signed by President Vladimir Putin on Saturday, as a way to stave off defaults while capital controls remain in place.
The decree establishes temporary rules for sovereign and corporate debtors to make payments to creditors from “countries that engage in hostile activities” against Russia, its companies and citizens. The government will prepare a list of such countries within two days.
Russian corporate bonds denominated in foreign currencies have plunged to deeply distressed levels in recent days as investors weighed the impact of sanctions imposed on the country in the wake of its invasion of Ukraine. The Russian government responded to the sanctions by reducing dramatically access to foreign currencies, which could restrict the ability of bondholders to receive interest and principal payments.
Separately, clearing houses Clearstream and Euroclear stopped accepting the ruble as settlement currency and have excluded all securities issued by Russian entities from all Triparty transactions, barring a traditional channel used to make payments to bondholders.
Russia and Russian companies will be allowed to pay foreign creditors in rubles, according to a decree signed by President Vladimir Putin on Saturday, as a way to stave off defaults while capital controls remain in place.
The decree establishes temporary rules for sovereign and corporate debtors to make payments to creditors from “countries that engage in hostile activities” against Russia, its companies and citizens. The government will prepare a list of such countries within two days.
Russian corporate bonds denominated in foreign currencies have plunged to deeply distressed levels in recent days as investors weighed the impact of sanctions imposed on the country in the wake of its invasion of Ukraine. The Russian government responded to the sanctions by reducing dramatically access to foreign currencies, which could restrict the ability of bondholders to receive interest and principal payments.
Separately, clearing houses Clearstream and Euroclear stopped accepting the ruble as settlement currency and have excluded all securities issued by Russian entities from all Triparty transactions, barring a traditional channel used to make payments to bondholders.
Moody’s Cuts #Russia’s Rating Deeper Into Junk Territory to CA - Bloomberg
Moody’s Cuts Russia’s Rating Deeper Into Junk Territory to CA - Bloomberg
Russia’s long-term issuer and senior unsecured debt ratings were cut to Ca from B3 with a negative outlook by Moody’s Investors Service on expectations that capital controls by the Central Bank of Russia will restrict cross border payments including for debt service on government bonds.
The change comes less than a week after Moody’s stripped Russia of its investment-grade rating, slashing Russia’s creditworthiness to B3 on March 3.
The downgrade “is hence driven by severe concerns around Russia’s willingness and ability to pay its debt obligations,” Moody’s said in a statement on Sunday. “Moody’s view is that the risk of a default occurring has significantly increased and that the likely recovery for investors will be in line with the historical average, commensurate with a Ca rating.” The recovery expectations are at 35% to 65%, it said.
The decision is supported by a reported statement from the National Settlement Depository that coupon payments on OFZ government bonds due on March 2 have only been paid to local holders of the papers, it said.
Moodys announced the change hours after President Vladimir Putin signed a decree allowing the Russian government and Russian companies to pay foreign creditors in rubles as a way to stave off defaults while capital controls remain in place.
Russia’s long-term issuer and senior unsecured debt ratings were cut to Ca from B3 with a negative outlook by Moody’s Investors Service on expectations that capital controls by the Central Bank of Russia will restrict cross border payments including for debt service on government bonds.
The change comes less than a week after Moody’s stripped Russia of its investment-grade rating, slashing Russia’s creditworthiness to B3 on March 3.
The downgrade “is hence driven by severe concerns around Russia’s willingness and ability to pay its debt obligations,” Moody’s said in a statement on Sunday. “Moody’s view is that the risk of a default occurring has significantly increased and that the likely recovery for investors will be in line with the historical average, commensurate with a Ca rating.” The recovery expectations are at 35% to 65%, it said.
The decision is supported by a reported statement from the National Settlement Depository that coupon payments on OFZ government bonds due on March 2 have only been paid to local holders of the papers, it said.
Moodys announced the change hours after President Vladimir Putin signed a decree allowing the Russian government and Russian companies to pay foreign creditors in rubles as a way to stave off defaults while capital controls remain in place.
Sovereign Wealth Brothers Patiently Wait as #Qatar Investment Authority Loses Big on Rosneft Holding - SWFI
Sovereign Wealth Brothers Patiently Wait as Qatar Investment Authority Loses Big on Rosneft Holding - SWFI
Russian oil and gas giants on the London Stock Exchange have witnessed their stock prices crater following the Russian invasion of Ukraine. At the most recent consequential time in Eastern Europe, the U.S. Treasury increased the number of sanctions on Russia, even putting blocks around Russia’s central bank.
Before Russia’s annexation of Crimea in 2014, the Russian Direct Investment Fund (RDIF), the country’s strategic development sovereign wealth fund (SDSWF), paved the way for institutional investors to access Russian developments and investments. RDIF formed a number of bilateral funds with nations such as United Arab Emirates, Saudi Arabia, Kuwait, Bahrain, Italy, France, India, China, and Japan. The China Investment Corporation (CIC) and RDIF created the US$ 2 billion Russia-China Investment Fund. Other bilateral investment funds propped up like the Russia-Japan Investment Fund (with Japan Bank for International Cooperation). RDIF also constructed inroads with Italy and France. RDIF and Fondo Strategico Italiano (FSI) earlier formed a €1 billion Russian-Italian investment platform. Similarly, RDIF and Caisse des Depots International (CDC International) formed the Russia-France Investment Platform.
Russian oil and gas giants on the London Stock Exchange have witnessed their stock prices crater following the Russian invasion of Ukraine. At the most recent consequential time in Eastern Europe, the U.S. Treasury increased the number of sanctions on Russia, even putting blocks around Russia’s central bank.
Before Russia’s annexation of Crimea in 2014, the Russian Direct Investment Fund (RDIF), the country’s strategic development sovereign wealth fund (SDSWF), paved the way for institutional investors to access Russian developments and investments. RDIF formed a number of bilateral funds with nations such as United Arab Emirates, Saudi Arabia, Kuwait, Bahrain, Italy, France, India, China, and Japan. The China Investment Corporation (CIC) and RDIF created the US$ 2 billion Russia-China Investment Fund. Other bilateral investment funds propped up like the Russia-Japan Investment Fund (with Japan Bank for International Cooperation). RDIF also constructed inroads with Italy and France. RDIF and Fondo Strategico Italiano (FSI) earlier formed a €1 billion Russian-Italian investment platform. Similarly, RDIF and Caisse des Depots International (CDC International) formed the Russia-France Investment Platform.
#Saudi stock markets hold up as oil price hits high: Opening bell
Saudi stock markets hold up as oil price hits high: Opening bell
With oil prices pushing higher, Saudi stocks opened relatively strongly on Sunday compared with other Asian markets.
As of Sunday 10:11 a.m. Saudi time, the main index, TASI, edged up 0.81 percent to reach 12,859, while the parallel market edged up 0.2 percent to 24,771.
The price of Brent crude oil spiked to $118.11 per barrel while US WTI crude climbed to $115.68 per barrel.
Saudi Tadawul Group Holding Co. climbed 0.74 percent, after reporting its first-ever public earnings after flotation.
Methanol Chemicals Co. gained 3.13 percent, after reporting it turned from losses into a profit of SR244 million ($65 million) in 2021.
The shares of Saudi Aramco, the largest player on the Saudi oil market, rose 1.58 percent.
In the financial sector, Alinma Bank shares gained 0.14 percent, while Al Rajhi Bank's shares edged up 0.77 percent.
With oil prices pushing higher, Saudi stocks opened relatively strongly on Sunday compared with other Asian markets.
As of Sunday 10:11 a.m. Saudi time, the main index, TASI, edged up 0.81 percent to reach 12,859, while the parallel market edged up 0.2 percent to 24,771.
The price of Brent crude oil spiked to $118.11 per barrel while US WTI crude climbed to $115.68 per barrel.
Saudi Tadawul Group Holding Co. climbed 0.74 percent, after reporting its first-ever public earnings after flotation.
Methanol Chemicals Co. gained 3.13 percent, after reporting it turned from losses into a profit of SR244 million ($65 million) in 2021.
The shares of Saudi Aramco, the largest player on the Saudi oil market, rose 1.58 percent.
In the financial sector, Alinma Bank shares gained 0.14 percent, while Al Rajhi Bank's shares edged up 0.77 percent.
#UAE banking sector on path to recovery: S&P Global
UAE banking sector on path to recovery: S&P Global
Further deterioration of UAE banks' asset-quality indicators will remain contained as the economy improves and corporate activity recovers, said S&P Global Ratings in a new report.
“We expect part of the deterioration will come from deferred exposures once the central bank (CBUAE) lifts support measures and companies in still vulnerable sectors are reclassified,” added the UAE Banking Sector 2022 Outlook.
The UAE’s economic activity will accelerate in 2022 due to higher oil prices, supportive government policies, and normalizing non-oil activity.
Corporates are recovering gradually as economic activity normalizes and the oil price recovers, but sectors such as aviation and hospitality remain vulnerable. The rise in Dubai real estate prices may slow down because the structural oversupply of residential property could challenge the market over the long term, the report said.
The UAE banking sector should benefit from expected interest rate hikes, assuming banks adopt a pragmatic approach for borrowers by not reflecting the rate increase systematically if it could dip borrowers to default. – Stable and strong capital buffers, good funding profiles, and expected government support should continue to support banks’ creditworthiness in 2022.
“We expect the impact of the Russia-Ukraine conflict on the UAE banking system to be limited for now,” S&P Global Ratings said in the report.
Further deterioration of UAE banks' asset-quality indicators will remain contained as the economy improves and corporate activity recovers, said S&P Global Ratings in a new report.
“We expect part of the deterioration will come from deferred exposures once the central bank (CBUAE) lifts support measures and companies in still vulnerable sectors are reclassified,” added the UAE Banking Sector 2022 Outlook.
The UAE’s economic activity will accelerate in 2022 due to higher oil prices, supportive government policies, and normalizing non-oil activity.
Corporates are recovering gradually as economic activity normalizes and the oil price recovers, but sectors such as aviation and hospitality remain vulnerable. The rise in Dubai real estate prices may slow down because the structural oversupply of residential property could challenge the market over the long term, the report said.
The UAE banking sector should benefit from expected interest rate hikes, assuming banks adopt a pragmatic approach for borrowers by not reflecting the rate increase systematically if it could dip borrowers to default. – Stable and strong capital buffers, good funding profiles, and expected government support should continue to support banks’ creditworthiness in 2022.
“We expect the impact of the Russia-Ukraine conflict on the UAE banking system to be limited for now,” S&P Global Ratings said in the report.
#Saudi Tadawul posts 17.4% jump in 2021 profit amid buoyant market | Reuters
Saudi Tadawul posts 17.4% jump in 2021 profit amid buoyant market | Reuters
Saudi Tadawul Group (1111.SE), the bourse's owner and operator, posted a 17.4% rise in full-year net profit in 2021, fuelled by the strong performance of the Saudi capital market last year.
Tadawul, which listed in December last year, reported a net profit of 587.7 million riyals ($156.64 million) for the period ended December, up from 500.52 million riyals a year earlier.
Operating revenue increased by 8.01% from a year earlier driven by solid growth in trading services, post trade services, and listing fees, Tadawul said.
Saudi Arabia has witnessed a surge of IPOs since it listed oil giant Saudi Aramco (2222.SE) in a record $29.4 billion listing in 2019.
Saudi Tadawul Group (1111.SE), the bourse's owner and operator, posted a 17.4% rise in full-year net profit in 2021, fuelled by the strong performance of the Saudi capital market last year.
Tadawul, which listed in December last year, reported a net profit of 587.7 million riyals ($156.64 million) for the period ended December, up from 500.52 million riyals a year earlier.
Operating revenue increased by 8.01% from a year earlier driven by solid growth in trading services, post trade services, and listing fees, Tadawul said.
Saudi Arabia has witnessed a surge of IPOs since it listed oil giant Saudi Aramco (2222.SE) in a record $29.4 billion listing in 2019.
Aramco Pipeline Investors Raise $13.4 Billion Loan, Arabiya Says - Bloomberg
Aramco Pipeline Investors Raise $13.4 Billion Loan, Arabiya Says - Bloomberg
A consortium of investors reached an agreement on a $13.4 billion financing with banks to fund the purchase of a stake in Saudi Aramco’s gas pipelines, Al Arabiya reported, citing unidentified people familiar with the matter.
The 19 banks that participated in the facility include HSBC Holdings, JPMorgan Chase, BNP Paribas, Standard Chartered, Societe Generale, Credit Agricole, Citibank and Mizuho Group, according to Arabiya. Riyad Bank, First Abu Dhabi Bank and Abu Dhabi Commercial Bank also were part of the seven-year financing.
Aramco last month closed a deal to sell a stake in its natural-gas pipelines for $15.5 billion to an investor group led by BlackRock Inc.
A consortium of investors reached an agreement on a $13.4 billion financing with banks to fund the purchase of a stake in Saudi Aramco’s gas pipelines, Al Arabiya reported, citing unidentified people familiar with the matter.
The 19 banks that participated in the facility include HSBC Holdings, JPMorgan Chase, BNP Paribas, Standard Chartered, Societe Generale, Credit Agricole, Citibank and Mizuho Group, according to Arabiya. Riyad Bank, First Abu Dhabi Bank and Abu Dhabi Commercial Bank also were part of the seven-year financing.
Aramco last month closed a deal to sell a stake in its natural-gas pipelines for $15.5 billion to an investor group led by BlackRock Inc.