Oil drops $2 on positive signals from Russia-Ukraine peace talks | Reuters
Oil prices closed down $2 on Tuesday, as talks progressed between Russia and Ukraine to end their weeks-long conflict, though Moscow negotiators said a promise to scale down some military operations did not represent a ceasefire.
Further weighing on oil futures, new lockdowns in China to curb the spread of the coronavirus prompted concerns that fuel demand could take a hit.
Brent crude settled down $2.25, or 2%, at $110.23 a barrel, while U.S. West Texas Intermediate (WTI) crude was down $1.72, or 1.6%, at $104.24.
Each benchmark fell 7% on Monday and was down as much as 7% again early on Tuesday before bouncing off session lows.
Tuesday, 29 March 2022
Oil drops $6 on positive signals from Russia-Ukraine peace talks | Reuters
Oil drops $6 on positive signals from Russia-Ukraine peace talks | Reuters
Oil prices dropped on Tuesday, extending losses from the previous day on signs of progress in talks between Russia and Ukraine to end their weeks-long conflict, with prices further pressured by China's new lockdowns to curb the spread of the coronavirus.
Brent crude fell $6.51, or 5.8%, to $105.97 a barrel by 1342 GMT and U.S. West Texas Intermediate (WTI) crude was down $6.41, or 6%, at $99.55. Both benchmarks lost about 7% on Monday.
Ukrainian and Russian negotiators met in Turkey for the first face-to-face talks in nearly three weeks. The top Russian negotiator said the talks were "constructive".
Russia promised at the peace talks to scale down its military operations around Kyiv and northern Ukraine, while Ukraine proposed adoption of neutral status but with international guarantees that it would be protected from attack. read more
Oil prices dropped on Tuesday, extending losses from the previous day on signs of progress in talks between Russia and Ukraine to end their weeks-long conflict, with prices further pressured by China's new lockdowns to curb the spread of the coronavirus.
Brent crude fell $6.51, or 5.8%, to $105.97 a barrel by 1342 GMT and U.S. West Texas Intermediate (WTI) crude was down $6.41, or 6%, at $99.55. Both benchmarks lost about 7% on Monday.
Ukrainian and Russian negotiators met in Turkey for the first face-to-face talks in nearly three weeks. The top Russian negotiator said the talks were "constructive".
Russia promised at the peace talks to scale down its military operations around Kyiv and northern Ukraine, while Ukraine proposed adoption of neutral status but with international guarantees that it would be protected from attack. read more
Crypto.com, Bybit Announce Plans to Set Up Operations in #Dubai - Bloomberg
Crypto.com, Bybit Announce Plans to Set Up Operations in Dubai - Bloomberg
Cryptocurrency exchange Bybit announced plans to move its headquarters to Dubai from Singapore, as the emirate steps up efforts to attract companies in the fast-growing industry.
Bybit will start operations in Dubai as early as next month, after receiving in-principle approval to conduct a “full spectrum” of virtual-assets business in the United Arab Emirates, it said in a blog post Monday. Crypto.com, also based in Singapore, separately said it will set up a regional base in Dubai, and plans to establish a “significant” presence there.
The exchanges join global rivals like Binance Holdings Ltd. and FTX in expanding in the UAE, which is seeking to develop a crypto-friendly reputation even as other financial centers tighten oversight. Singapore earlier this year instructed crypto companies to refrain from consumer-facing marketing in a bid to limit speculation in digital assets.
“Being headquartered in Dubai, it allows us to have a domiciled presence that does not affect our global standing,” Bybit Chief Executive Officer Ben Zhou said in an emailed response to questions. The company didn’t say whether the change of headquarters will involve moving employees from Singapore to Dubai.
Dubai is also a favored destination for crypto companies from India, which is imposing onerous taxes on digital assets and whose central bank has sought to ban cryptocurrencies. Other countries like the U.K. are also taking a tough stance on crypto regulation, potentially paving the way for the emirate to attract more business.
Cryptocurrency exchange Bybit announced plans to move its headquarters to Dubai from Singapore, as the emirate steps up efforts to attract companies in the fast-growing industry.
Bybit will start operations in Dubai as early as next month, after receiving in-principle approval to conduct a “full spectrum” of virtual-assets business in the United Arab Emirates, it said in a blog post Monday. Crypto.com, also based in Singapore, separately said it will set up a regional base in Dubai, and plans to establish a “significant” presence there.
The exchanges join global rivals like Binance Holdings Ltd. and FTX in expanding in the UAE, which is seeking to develop a crypto-friendly reputation even as other financial centers tighten oversight. Singapore earlier this year instructed crypto companies to refrain from consumer-facing marketing in a bid to limit speculation in digital assets.
“Being headquartered in Dubai, it allows us to have a domiciled presence that does not affect our global standing,” Bybit Chief Executive Officer Ben Zhou said in an emailed response to questions. The company didn’t say whether the change of headquarters will involve moving employees from Singapore to Dubai.
Dubai is also a favored destination for crypto companies from India, which is imposing onerous taxes on digital assets and whose central bank has sought to ban cryptocurrencies. Other countries like the U.K. are also taking a tough stance on crypto regulation, potentially paving the way for the emirate to attract more business.
#Saudi index hits highest level in 16 years as oil prices recover | Reuters
Saudi index hits highest level in 16 years as oil prices recover | Reuters
Gulf indexes ended higher on Tuesday, with the Saudi index touching its highest level in 16 years, as tight supplies and stable demand drove oil prices higher ahead of peace talks between Russia and Ukraine.
Oil prices recovered some of the previous session's losses as Kazakhstan's supplies continued to be disrupted and major producers showed no sign of being in a hurry to boost output significantly.
Kazakhstan is set to lose at least a fifth of its oil production for a month after storm damage to mooring points used to export crude from the Caspian Pipeline Consortium (CPC), the energy ministry said.
"Saudi crude could see its price raised while the country keeps a bullish view on the market despite the risks to demand in China," said Wael Makarem, senior market strategist – MENA at Exness.
Saudi Arabia's benchmark index (.TASI) rose as much as 0.3% to 13,114.89, its highest since June 2006, as gains in material stocks were limited by losses in the energy sector.
Shares of Al Masane Al Kobra Mining Co jumped 30% in their debut on the exchange, rising as much as 81.9 riyals from their IPO price of 63 riyals.
Investors continued to flock to Dubai stocks after subscription for state utility Dubai Electricity and Water Authority's (DEWA) IPO to raise as much as 8.06 billion dirhams ($2.19 billion) kicked off last week. read more
The Abu Dhabi index (.FTFADGI) gained for the sixth consecutive session, closing up 0.7%.
Shares of Waha Capital (WAHA.AD) rose 2.4% after the company approved a dividend distribution on Monday.
The Qatari index (.QSI) fell for a second straight session, ending 0.5% lower.
Outside the Gulf, Egypt's blue-chip index (.EGX30) rose 1.4%.
Gulf indexes ended higher on Tuesday, with the Saudi index touching its highest level in 16 years, as tight supplies and stable demand drove oil prices higher ahead of peace talks between Russia and Ukraine.
Oil prices recovered some of the previous session's losses as Kazakhstan's supplies continued to be disrupted and major producers showed no sign of being in a hurry to boost output significantly.
Kazakhstan is set to lose at least a fifth of its oil production for a month after storm damage to mooring points used to export crude from the Caspian Pipeline Consortium (CPC), the energy ministry said.
"Saudi crude could see its price raised while the country keeps a bullish view on the market despite the risks to demand in China," said Wael Makarem, senior market strategist – MENA at Exness.
Saudi Arabia's benchmark index (.TASI) rose as much as 0.3% to 13,114.89, its highest since June 2006, as gains in material stocks were limited by losses in the energy sector.
Shares of Al Masane Al Kobra Mining Co jumped 30% in their debut on the exchange, rising as much as 81.9 riyals from their IPO price of 63 riyals.
Investors continued to flock to Dubai stocks after subscription for state utility Dubai Electricity and Water Authority's (DEWA) IPO to raise as much as 8.06 billion dirhams ($2.19 billion) kicked off last week. read more
The Abu Dhabi index (.FTFADGI) gained for the sixth consecutive session, closing up 0.7%.
Shares of Waha Capital (WAHA.AD) rose 2.4% after the company approved a dividend distribution on Monday.
The Qatari index (.QSI) fell for a second straight session, ending 0.5% lower.
Outside the Gulf, Egypt's blue-chip index (.EGX30) rose 1.4%.
#UAE IPO: #AbuDhabi’s Lulu Group Invites Pitches for 2023 Listing - Bloomberg
UAE IPO: Abu Dhabi’s Lulu Group Invites Pitches for 2023 Listing - Bloomberg
Lulu Group International, which runs one of the Middle East’s largest supermarket chains, is considering an initial public offering early next year in the United Arab Emirates, people familiar with the matter said.
The diversified conglomerate -- valued at more than $5 billion in 2020 -- has asked global banks to pitch for roles for potential listings, the people said, asking not to be identified discussing confidential information. The firm may opt for multiple listings in the Gulf stock exchanges, one of the people said.
Deliberations are ongoing and no final decisions have been made on the venue or details of the offering, the people said. It wasn’t immediately clear if Lulu wants to list parts of the business or the entire firm.
Abu Dhabi-based Lulu Group was founded by Indian entrepreneur Yusuff Ali, who set up the first Lulu store in the early 1990s during a years-long oil boom in the Gulf region. The company also operates shopping malls and other businesses including hospitality, shipping and real estate. The company has an annual revenue of about $8 billion, employs more than 57,000 people and mainly operates in 22 countries located across the Middle East, Asia, U.S., and Europe.
“We don’t want to comment on market rumors,” said V. Nandakumar, Lulu Group’s director of communications.
Saudi Arabia’s sovereign wealth fund is exploring a potential investment in LuLu Group International. This comes after ADQ acquired almost a fifth of LuLu Group International for just over $1 billion in late 2020.
Lulu Group International, which runs one of the Middle East’s largest supermarket chains, is considering an initial public offering early next year in the United Arab Emirates, people familiar with the matter said.
The diversified conglomerate -- valued at more than $5 billion in 2020 -- has asked global banks to pitch for roles for potential listings, the people said, asking not to be identified discussing confidential information. The firm may opt for multiple listings in the Gulf stock exchanges, one of the people said.
Deliberations are ongoing and no final decisions have been made on the venue or details of the offering, the people said. It wasn’t immediately clear if Lulu wants to list parts of the business or the entire firm.
Abu Dhabi-based Lulu Group was founded by Indian entrepreneur Yusuff Ali, who set up the first Lulu store in the early 1990s during a years-long oil boom in the Gulf region. The company also operates shopping malls and other businesses including hospitality, shipping and real estate. The company has an annual revenue of about $8 billion, employs more than 57,000 people and mainly operates in 22 countries located across the Middle East, Asia, U.S., and Europe.
“We don’t want to comment on market rumors,” said V. Nandakumar, Lulu Group’s director of communications.
Saudi Arabia’s sovereign wealth fund is exploring a potential investment in LuLu Group International. This comes after ADQ acquired almost a fifth of LuLu Group International for just over $1 billion in late 2020.
Emirates airline chief sees return to profit next year | Reuters
Emirates airline chief sees return to profit next year | Reuters
Dubai's Emirates expects to significantly reduce losses in the current financial year and return to profit next year, the airline's president indicated on Tuesday.
"We are in for a good set of results, we haven't reversed it completely but we have swung it," Tim Clark told reporters, adding the carrier had been cash-positive since October.
"We've swung the business back to profitability, we are cash-positive again big time, we have a very strong balance sheet again which we have been rebuilding," Clark said.
"We are forecasting profits next year and hopefully to pay a dividend and repay some of the equity that the government has put into the business," he added.
The carrier's financial year runs through March.
Dubai's Emirates expects to significantly reduce losses in the current financial year and return to profit next year, the airline's president indicated on Tuesday.
"We are in for a good set of results, we haven't reversed it completely but we have swung it," Tim Clark told reporters, adding the carrier had been cash-positive since October.
"We've swung the business back to profitability, we are cash-positive again big time, we have a very strong balance sheet again which we have been rebuilding," Clark said.
"We are forecasting profits next year and hopefully to pay a dividend and repay some of the equity that the government has put into the business," he added.
The carrier's financial year runs through March.
Oil drops on positive signals from Russia-Ukraine peace talks | Reuters
Oil drops on positive signals from Russia-Ukraine peace talks | Reuters
Oil prices dropped on Tuesday, extending losses from the previous day after Russia called peace talks with Ukraine constructive and China's new lockdowns to curb the spread of the coronavirus hit fuel demand.
Brent crude fell $4.55, or 4%, to $107.93 a barrel by 1210 GMT, and U.S. West Texas Intermediate (WTI) crude was down $4.64, or 4.4%, at $101.32. Both benchmarks lost about 7% on Monday.
Ukrainian and Russian negotiators met in Turkey for the first face-to-face talks in nearly three weeks. The top Russian negotiator said the talks were "constructive".
Ukraine proposed adopting neutral status in exchange for security guarantees at the talks, meaning it would not join military alliances or host military bases, Ukrainian negotiators said. read more
Oil prices dropped on Tuesday, extending losses from the previous day after Russia called peace talks with Ukraine constructive and China's new lockdowns to curb the spread of the coronavirus hit fuel demand.
Brent crude fell $4.55, or 4%, to $107.93 a barrel by 1210 GMT, and U.S. West Texas Intermediate (WTI) crude was down $4.64, or 4.4%, at $101.32. Both benchmarks lost about 7% on Monday.
Ukrainian and Russian negotiators met in Turkey for the first face-to-face talks in nearly three weeks. The top Russian negotiator said the talks were "constructive".
Ukraine proposed adopting neutral status in exchange for security guarantees at the talks, meaning it would not join military alliances or host military bases, Ukrainian negotiators said. read more
#SaudiArabia’s Foreign Direct Investment Hit Decade-High in 2021 on Aramco Deal - Bloomberg
Saudi Arabia’s Foreign Direct Investment Hit Decade-High in 2021 on Aramco Deal - Bloomberg
Saudi Arabia’s foreign direct investment reached the highest level in more than a decade last year, mainly due to an oil pipeline deal in the second quarter.
Foreign direct investment in 2021 totaled $19.3 billion, the most since 2010, according to data published by the Saudi central bank on Monday. The bulk of that was from state oil company Saudi Aramco selling a $12.4 billion stake in an oil pipelines entity to investors led by EIG Global Energy Partners LLC. However even without that deal, FDI would have been at its highest level since 2016.
Crown Prince Mohammed bin Salman’s plan to diversify the kingdom’s oil-dependent economy seeks to secure more foreign investment. But the push has faced obstacles, with a series of unpredictable policy changes and the murder of Washington Post columnist Jamal Khashoggi by Saudi agents in 2018 alarming investors.
A new national investment strategy last year set an FDI target of more than $100 billion annually by 2030, along with a target of increasing its contribution to gross domestic product to 5.7%. Meeting both of those goals would require more than doubling the size of the economy over the next eight years.
Saudi Arabia’s foreign direct investment reached the highest level in more than a decade last year, mainly due to an oil pipeline deal in the second quarter.
Foreign direct investment in 2021 totaled $19.3 billion, the most since 2010, according to data published by the Saudi central bank on Monday. The bulk of that was from state oil company Saudi Aramco selling a $12.4 billion stake in an oil pipelines entity to investors led by EIG Global Energy Partners LLC. However even without that deal, FDI would have been at its highest level since 2016.
Crown Prince Mohammed bin Salman’s plan to diversify the kingdom’s oil-dependent economy seeks to secure more foreign investment. But the push has faced obstacles, with a series of unpredictable policy changes and the murder of Washington Post columnist Jamal Khashoggi by Saudi agents in 2018 alarming investors.
A new national investment strategy last year set an FDI target of more than $100 billion annually by 2030, along with a target of increasing its contribution to gross domestic product to 5.7%. Meeting both of those goals would require more than doubling the size of the economy over the next eight years.
#Qatar Plans $5 Billion Egypt Investments in Latest Gulf Pledge - Bloomberg
Qatar Plans $5 Billion Egypt Investments in Latest Gulf Pledge - Bloomberg
Qatar plans to invest $5 billion in Egypt in the coming period, Egypt said, in the latest sign of support from the energy-rich Gulf as the North African nation’s economy is buffeted by the war in Ukraine.
The two countries have agreed to form a committee to coordinate investment plans, Egypt’s cabinet said in a statement Tuesday following meetings between Egyptian and Qatari officials. No timetable was given for the investments.
A major food importer, Egypt has been hit hard by record grain prices fueled by the conflict. One of the Middle East’s most indebted nations, it buys most of its wheat from Russia and Ukraine, while Russian visitors have previously made up a significant proportion of its tourism market.
The Qatari agreement comes after Abu Dhabi wealth fund ADQ earlier this month made a roughly $2 billion deal to buy Egyptian state-owned stakes in publicly listed companies. It was one of the first tangible signs of fresh Gulf support for Egypt to help it ride out the crisis.
The most populous Arab nation is seeking support from the International Monetary Fund that could include a loan.
Qatar plans to invest $5 billion in Egypt in the coming period, Egypt said, in the latest sign of support from the energy-rich Gulf as the North African nation’s economy is buffeted by the war in Ukraine.
The two countries have agreed to form a committee to coordinate investment plans, Egypt’s cabinet said in a statement Tuesday following meetings between Egyptian and Qatari officials. No timetable was given for the investments.
A major food importer, Egypt has been hit hard by record grain prices fueled by the conflict. One of the Middle East’s most indebted nations, it buys most of its wheat from Russia and Ukraine, while Russian visitors have previously made up a significant proportion of its tourism market.
The Qatari agreement comes after Abu Dhabi wealth fund ADQ earlier this month made a roughly $2 billion deal to buy Egyptian state-owned stakes in publicly listed companies. It was one of the first tangible signs of fresh Gulf support for Egypt to help it ride out the crisis.
The most populous Arab nation is seeking support from the International Monetary Fund that could include a loan.
Oil prices rise on tight supplies, stable demand | Reuters
Oil prices rise on tight supplies, stable demand | Reuters
Oil prices rose on Tuesday, recovering some of the previous session's losses as Kazakhstan's supplies continued to be disrupted and major producers showed no sign of being in a hurry to boost output significantly.
Brent crude rose $1.41, or 1.3%, to $113.89 a barrel at 0848 GMT, and U.S. West Texas Intermediate (WTI) crude was up 95 cents, or 0.9%, at $106.91. Both benchmarks had lost about 7% on Monday.
"There was an overreaction on Monday and the market is re-considering it," UBS analyst Giovanni Staunovo said.
"Oil production disruption in Russia finally become visible, Kazakh crude production took a hit in recent days, and gasoline and jet demand in Europe and the United States is still solid."
Oil prices rose on Tuesday, recovering some of the previous session's losses as Kazakhstan's supplies continued to be disrupted and major producers showed no sign of being in a hurry to boost output significantly.
Brent crude rose $1.41, or 1.3%, to $113.89 a barrel at 0848 GMT, and U.S. West Texas Intermediate (WTI) crude was up 95 cents, or 0.9%, at $106.91. Both benchmarks had lost about 7% on Monday.
"There was an overreaction on Monday and the market is re-considering it," UBS analyst Giovanni Staunovo said.
"Oil production disruption in Russia finally become visible, Kazakh crude production took a hit in recent days, and gasoline and jet demand in Europe and the United States is still solid."
#AbuDhabi ADX, FTSE Russell to launch benchmark blue chip equities index
Abu Dhabi ADX, FTSE Russell to launch benchmark blue chip equities index
The Abu Dhabi Securities Exchange (ADX) and FTSE Russell is set to launch the FTSE ADX 15 Index, a benchmark blue chip measure, on March 30.
Known as the FADX 15, the benchmark index will include the largest and most liquid 15 companies on the ADX, selected using a combination of free float adjusted market capitalization and median daily trading value, the bourse said in a statement on Tuesday.
The launch of the new index will support ADX’s recently launched derivatives market and the creation of ETFs and other index-tracking investment vehicles, it added.
The FADX 15 is the first in a suite of co-branded indices being developed by ADX and FTSE Russell, according to the statement.
ADX, which is the second biggest regional exchange, is the first in the GCC for which FTSE Russell is the benchmark index administrator.
FTSE Russell, a subsidiary of London Stock Exchange Group, produces, maintains, licenses, and markets stock market indices.
The Abu Dhabi Securities Exchange (ADX) and FTSE Russell is set to launch the FTSE ADX 15 Index, a benchmark blue chip measure, on March 30.
Known as the FADX 15, the benchmark index will include the largest and most liquid 15 companies on the ADX, selected using a combination of free float adjusted market capitalization and median daily trading value, the bourse said in a statement on Tuesday.
The launch of the new index will support ADX’s recently launched derivatives market and the creation of ETFs and other index-tracking investment vehicles, it added.
The FADX 15 is the first in a suite of co-branded indices being developed by ADX and FTSE Russell, according to the statement.
ADX, which is the second biggest regional exchange, is the first in the GCC for which FTSE Russell is the benchmark index administrator.
FTSE Russell, a subsidiary of London Stock Exchange Group, produces, maintains, licenses, and markets stock market indices.
Squeezing any member out of OPEC+ would only stoke oil prices - #UAE energy min | Reuters
Squeezing any member out of OPEC+ would only stoke oil prices -UAE energy min | Reuters
United Arab Emirates energy minister Suhail al-Mazrouei said on Tuesday that the only mission of OPEC+ is to stabilise markets and come up with as much supply as possible, and that squeezing any partner out of the oil alliance would only increase prices.
He said it was difficult to predict the future of market volatility, due to issues such as whether Iranian barrels would return to the market or if there will be more investment in the oil and gas sector.
Mazrouei said he believed that there will be growth in demand.
United Arab Emirates energy minister Suhail al-Mazrouei said on Tuesday that the only mission of OPEC+ is to stabilise markets and come up with as much supply as possible, and that squeezing any partner out of the oil alliance would only increase prices.
He said it was difficult to predict the future of market volatility, due to issues such as whether Iranian barrels would return to the market or if there will be more investment in the oil and gas sector.
Mazrouei said he believed that there will be growth in demand.
#AbuDhabi’s Eshraq Investments to Buy Goldilocks in Stock Deal - Bloomberg
Abu Dhabi’s Eshraq Investments to Buy Goldilocks in Stock Deal - Bloomberg
Eshraq Investments PJSC plans to buy a fund managed by Shuaa Capital in a stock deal, creating an entity with combined assets of $1 billion.
Abu Dhabi-based Eshraq said it will issue new stock to investors in Goldilocks Investment Co. for the transaction. The firm said shares will be issued at about a 38% premium to the stock’s closing price on Monday, without giving further details on the deal value.
“Eshraq is concentrated in real estate and Goldilocks has investments in energy, finance and insurance sectors so the combined entity will make an optimal portfolio to hedge against inflation,” said Jassim Alseddiqi, chairman of Eshraq and CEO of Shuaa Capital. “We are currently witnessing higher inflation which is expected to rise even more in the coming months and years.”
“We are very open to cross listing Eshraq in other exchanges starting with Saudi Arabia’s Tadawul,” he said.
Eshraq Investments PJSC plans to buy a fund managed by Shuaa Capital in a stock deal, creating an entity with combined assets of $1 billion.
Abu Dhabi-based Eshraq said it will issue new stock to investors in Goldilocks Investment Co. for the transaction. The firm said shares will be issued at about a 38% premium to the stock’s closing price on Monday, without giving further details on the deal value.
“Eshraq is concentrated in real estate and Goldilocks has investments in energy, finance and insurance sectors so the combined entity will make an optimal portfolio to hedge against inflation,” said Jassim Alseddiqi, chairman of Eshraq and CEO of Shuaa Capital. “We are currently witnessing higher inflation which is expected to rise even more in the coming months and years.”
“We are very open to cross listing Eshraq in other exchanges starting with Saudi Arabia’s Tadawul,” he said.
#Saudi Aramco: Saudis May Hike Oil Price by Record Amount Despite China Risk - Bloomberg
Saudi Aramco: Saudis May Hike Oil Price by Record Amount Despite China Risk - Bloomberg
The world’s largest oil exporter will likely boost pricing of its main crude variety to a record even as China struggles with a coronavirus outbreak, signaling a bullish outlook despite the risk to demand.
Saudi Aramco may raise the official selling price of its key Arab Light crude by $5 a barrel to Asian customers for May-loading cargoes, according to the median estimate in a Bloomberg survey of five refiners and traders. That would increase the differential to $9.95 above the Oman-Dubai benchmark, which would be the widest since Bloomberg began compiling the data in 2000.
The state-run company didn’t respond to an email seeking comment. Aramco typically releases official prices in the first five days of the month.
Oil soared to the highest since 2008 this quarter as the war in Ukraine helped to lift prices that had already been boosted by expanding global demand and fast-falling stockpiles. The expected hike in pricing for the key Middle Eastern barrels -- which help set the tone for other grades from the region -- is likely to come despite the tightened lockdowns in the world’s top crude importer.
Official selling prices, or OSPs, are the premiums or discounts to regional benchmarks for barrels, and they determine how much users pay for cargoes. The differentials can indicate the strength or weakness of underlying demand.
As Saudi Aramco prepares to announce selling prices, Riyadh is set to join other producers including Russia at an OPEC+ meeting. Ahead of the gathering on Thursday, members have signaled they still see no need to adapt supply plans even as the war in Ukraine delivers the biggest disruption in decades.
The world’s largest oil exporter will likely boost pricing of its main crude variety to a record even as China struggles with a coronavirus outbreak, signaling a bullish outlook despite the risk to demand.
Saudi Aramco may raise the official selling price of its key Arab Light crude by $5 a barrel to Asian customers for May-loading cargoes, according to the median estimate in a Bloomberg survey of five refiners and traders. That would increase the differential to $9.95 above the Oman-Dubai benchmark, which would be the widest since Bloomberg began compiling the data in 2000.
The state-run company didn’t respond to an email seeking comment. Aramco typically releases official prices in the first five days of the month.
Oil soared to the highest since 2008 this quarter as the war in Ukraine helped to lift prices that had already been boosted by expanding global demand and fast-falling stockpiles. The expected hike in pricing for the key Middle Eastern barrels -- which help set the tone for other grades from the region -- is likely to come despite the tightened lockdowns in the world’s top crude importer.
Official selling prices, or OSPs, are the premiums or discounts to regional benchmarks for barrels, and they determine how much users pay for cargoes. The differentials can indicate the strength or weakness of underlying demand.
As Saudi Aramco prepares to announce selling prices, Riyadh is set to join other producers including Russia at an OPEC+ meeting. Ahead of the gathering on Thursday, members have signaled they still see no need to adapt supply plans even as the war in Ukraine delivers the biggest disruption in decades.
#Dubai shares jump on IPO cheer; most other markets subdued | Reuters
Dubai shares jump on IPO cheer; most other markets subdued | Reuters
Most Gulf markets fell on Tuesday, as fears of a drop in demand for crude capped oil prices, while investors continued to steer money toward Dubai cheering bumper response to a recent initial public offering (IPO).
Oil prices extended losses for a second session on fears of a drop in fuel demand in China after the financial hub of Shanghai shut down to curb a surge in COVID-19 cases.
Ukraine and Russia are set to meet in Istanbul later in the day for their first peace talks in over two weeks. However, air raid sirens sounded across Ukraine before dawn, while Kyiv seeks ceasefire without compromising on territory or sovereignty. read more
Dubai's main financial index (.DFMGI) rose for the fifth consecutive session with its gain of 1.4%.
State utility Dubai Electricity and Water Authority's (DEWA) IPO to raise as much as 8.06 billion dirhams ($2.19 billion) has boosted sentiment in the region after subscription kicked off last week.
The IPO is the largest such deal in the emirate since DP World in 2007. read more
Shares of Waha Capiral rose 1.2% after the company approved dividend distribution on Monday.
Saudi Arabia's benchmark index (.TASI) traded flat, with gains in financial stocks offset by losses in the energy sector.
State-run Saudi Aramco (2222.SE) dropped 0.6%.
Shares of Al Masane Al Kobra Mining Co jumped 10% in their debut on the exchange, rising as much as 69.3 riyals from their IPO price of 63 riyals.
The region has also seen a boost in IPOs since it listed Saudi Aramco (2222.SE) in a record $29.4 billion listing in 2019.
The Abu Dhabi index (.FTFADGI) inched up, while the Qatari index (.QSI) fell for a second straight session, slipping 0.3%.
Most Gulf markets fell on Tuesday, as fears of a drop in demand for crude capped oil prices, while investors continued to steer money toward Dubai cheering bumper response to a recent initial public offering (IPO).
Oil prices extended losses for a second session on fears of a drop in fuel demand in China after the financial hub of Shanghai shut down to curb a surge in COVID-19 cases.
Ukraine and Russia are set to meet in Istanbul later in the day for their first peace talks in over two weeks. However, air raid sirens sounded across Ukraine before dawn, while Kyiv seeks ceasefire without compromising on territory or sovereignty. read more
Dubai's main financial index (.DFMGI) rose for the fifth consecutive session with its gain of 1.4%.
State utility Dubai Electricity and Water Authority's (DEWA) IPO to raise as much as 8.06 billion dirhams ($2.19 billion) has boosted sentiment in the region after subscription kicked off last week.
The IPO is the largest such deal in the emirate since DP World in 2007. read more
Shares of Waha Capiral rose 1.2% after the company approved dividend distribution on Monday.
Saudi Arabia's benchmark index (.TASI) traded flat, with gains in financial stocks offset by losses in the energy sector.
State-run Saudi Aramco (2222.SE) dropped 0.6%.
Shares of Al Masane Al Kobra Mining Co jumped 10% in their debut on the exchange, rising as much as 69.3 riyals from their IPO price of 63 riyals.
The region has also seen a boost in IPOs since it listed Saudi Aramco (2222.SE) in a record $29.4 billion listing in 2019.
The Abu Dhabi index (.FTFADGI) inched up, while the Qatari index (.QSI) fell for a second straight session, slipping 0.3%.
Oil falls on Ukraine peace talk hopes, China demand fears | Reuters
Oil falls on Ukraine peace talk hopes, China demand fears | Reuters
Oil prices on Tuesday extended losses from the previous day as Ukraine and Russia headed for peace talks and on concerns about demand as China's financial hub of Shanghai shut down to curb a surge in COVID-19 cases.
Brent crude futures were down 60 cents, or 0.5%, at $111.88 a barrel at 0649 GMT, having fallen as low as $109.97.
U.S. West Texas Intermediate (WTI) crude futures were down 59 cents, or 0.6%, at $105.37after hitting a low of $103.46.
Both benchmark contracts lost around 7% on Monday.
Ukraine and Russia were set to meet in Istanbul on Tuesday for their first peace talks in over two weeks. Sanctions imposed on Russia after it invaded Ukraine have curtailed oil supply and sent prices to 14-year highs earlier this month. read more
Oil prices on Tuesday extended losses from the previous day as Ukraine and Russia headed for peace talks and on concerns about demand as China's financial hub of Shanghai shut down to curb a surge in COVID-19 cases.
Brent crude futures were down 60 cents, or 0.5%, at $111.88 a barrel at 0649 GMT, having fallen as low as $109.97.
U.S. West Texas Intermediate (WTI) crude futures were down 59 cents, or 0.6%, at $105.37after hitting a low of $103.46.
Both benchmark contracts lost around 7% on Monday.
Ukraine and Russia were set to meet in Istanbul on Tuesday for their first peace talks in over two weeks. Sanctions imposed on Russia after it invaded Ukraine have curtailed oil supply and sent prices to 14-year highs earlier this month. read more
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