Oil prices settle down on fears of Fed and oil profit tax | Reuters
Oil prices settled lower on Tuesday on fears the U.S. Federal Reserve will surprise markets with a higher-than-expected interest rate hike.
Most Fed watchers had expected the U.S. central bank to hike rates by 50 basis points at its meeting on Wednesday. But after Friday's surprisingly strong consumer price index (CPI) data for May, more expect a rate hike of 75 basis points. read more
Brent crude futures settled down $1.10, or 0.9%, to $121.17 a barrel. U.S. West Texas Intermediate (WTI) crude fell $2, or 0.7%, to settle at $118.93 a barrel.
"This fear of an even greater basis point hike is driving down equities and oil," said John Kilduff, partner at Again Capital LLC in New York.
Tuesday 14 June 2022
#SaudiArabia reports $4bln investment deals in Q1
Saudi Arabia reports $4bln investment deals in Q1
Saudi Arabia’s Ministry of Investment (MISA) today announced that it oversaw 101 investment deals worth more than $4 billion in Q1 2022.
The deals announced are expected to create more than 5,800 new jobs in the domestic economy, as the Kingdom’s transformation journey continues to present investment opportunities in new and exciting sectors, MISA said.
The announcement comes after recent data showed that FDI inflows to Saudi Arabia in 2021 reached $19.3 billion, the highest in ten years.
The figures were published in MISA’s Investment Highlights report which includes in-depth analysis of key Saudi investment data and themes. The report includes an extended analysis of the dynamic real estate industry, spearheaded by a special feature from Majed Al Hoqail, Minister of Municipal, Rural Affairs, and Housing.
Saudi Arabia’s Ministry of Investment (MISA) today announced that it oversaw 101 investment deals worth more than $4 billion in Q1 2022.
The deals announced are expected to create more than 5,800 new jobs in the domestic economy, as the Kingdom’s transformation journey continues to present investment opportunities in new and exciting sectors, MISA said.
The announcement comes after recent data showed that FDI inflows to Saudi Arabia in 2021 reached $19.3 billion, the highest in ten years.
The figures were published in MISA’s Investment Highlights report which includes in-depth analysis of key Saudi investment data and themes. The report includes an extended analysis of the dynamic real estate industry, spearheaded by a special feature from Majed Al Hoqail, Minister of Municipal, Rural Affairs, and Housing.
Biden to Visit #SaudiArabia In July, Due to Meet Crown Prince MBS - Bloomberg
Biden to Visit Saudi Arabia In July, Due to Meet Crown Prince MBS - Bloomberg
President Joe Biden will seek to mend ties with Saudi Arabia and its de-facto ruler, Crown Prince Mohammed Bin Salman, during a trip there next month that marks a reversal of Biden’s pledge to make the kingdom a “pariah” over its human-rights record.
Biden’s visit to Saudi Arabia will cap four days of travel in the region that also includes stops in Israel and the West Bank, where he’ll meet Israeli Prime Minister Naftali Bennett and Palestinian Authority President Mahmoud Abbas.
The Saudi stop, however, is poised to emerge as the headline event as Biden looks to coax an increase in oil production, ease record-high gasoline prices and beat back criticism that he’s softening his objections to the kingdom’s human-rights record, including the slaying of Jamal Khashoggi, a US resident and Washington Post columnist.
Biden’s willingness to travel to the kingdom shows the extent to which his efforts to lower gasoline prices and further isolate Russia over its invasion of Ukraine have overridden his desire to take a harder line against Riyadh.
President Joe Biden will seek to mend ties with Saudi Arabia and its de-facto ruler, Crown Prince Mohammed Bin Salman, during a trip there next month that marks a reversal of Biden’s pledge to make the kingdom a “pariah” over its human-rights record.
Biden’s visit to Saudi Arabia will cap four days of travel in the region that also includes stops in Israel and the West Bank, where he’ll meet Israeli Prime Minister Naftali Bennett and Palestinian Authority President Mahmoud Abbas.
The Saudi stop, however, is poised to emerge as the headline event as Biden looks to coax an increase in oil production, ease record-high gasoline prices and beat back criticism that he’s softening his objections to the kingdom’s human-rights record, including the slaying of Jamal Khashoggi, a US resident and Washington Post columnist.
Biden’s willingness to travel to the kingdom shows the extent to which his efforts to lower gasoline prices and further isolate Russia over its invasion of Ukraine have overridden his desire to take a harder line against Riyadh.
#AbuDhabi snaps 9-day losing streak; #Saudi extends losses | Reuters
Abu Dhabi snaps 9-day losing streak; Saudi extends losses | Reuters
Abu Dhabi's stock market rebounded on Tuesday, ending a nine-day losing streak, while the Saudi index extended losses for a second session as the uncertainty remained among investors ahead of the U.S. Federal Reserve's policy meeting on Wednesday.
In Abu Dhabi, the index (.FTFADGI) gained 0.9%, led by a 4.2% jump in telecoms firm e& (ETISALAT.AD).
The market found some support from the oil markets where prices continue to climb overall, said Daniel Takieddine, CEO MENA at BDSwiss.
"At the same time, natural gas prices remained volatile with no clear direction."
Oil prices, a key catalyst for the Gulf's financial markets, were up, with Brent crude rising to $122.42 per barrel amid tight global supply.
In Qatar, the index (.QSI) edged up 0.1%, helped by a 2.2% rise in the Gulf's biggest lender, Qatar National Bank (QNBK.QA).
Dubai's benchmark index (.DFMGI) added 0.3%, with top lender Emirates NBD (ENBD.DU) gaining 1.5%.
The United Arab Emirates' federal government aims to increase spending by 1.23 billion dirhams ($335 million) in the 2022 budget, the Federal National Council said on Twitter on Tuesday. read more
Saudi Arabia's benchmark index (.TASI) lost 0.3% with Al Rajhi Bank (1120.SE) falling 1.2% and oil giant Saudi Aramco (2222.SE) down 0.9%.
U.S. President Joe Biden will discuss energy production as part of his trip this month to the Middle East, including to Saudi Arabia, White House's National Security Council spokesman John Kirby said on Tuesday.
Outside the Gulf, Egypt's blue-chip index (.EGX30) eased 0.3%, with Talaat Mostafa Group Holding (TMGH.CA) declining 3.3%.
Higher oil and wheat prices will cost the Egyptian budget over $10 billion, Finance Minister Mohamed Maiit told CNBC Arabia on Sunday. read more
Egypt has been suffering from a shortage of foreign currency since the coronavirus pandemic chased away many tourists, international portfolio investors withdrew funds and the Ukrainian crisis pushed up imported commodity prices.
Abu Dhabi's stock market rebounded on Tuesday, ending a nine-day losing streak, while the Saudi index extended losses for a second session as the uncertainty remained among investors ahead of the U.S. Federal Reserve's policy meeting on Wednesday.
In Abu Dhabi, the index (.FTFADGI) gained 0.9%, led by a 4.2% jump in telecoms firm e& (ETISALAT.AD).
The market found some support from the oil markets where prices continue to climb overall, said Daniel Takieddine, CEO MENA at BDSwiss.
"At the same time, natural gas prices remained volatile with no clear direction."
Oil prices, a key catalyst for the Gulf's financial markets, were up, with Brent crude rising to $122.42 per barrel amid tight global supply.
In Qatar, the index (.QSI) edged up 0.1%, helped by a 2.2% rise in the Gulf's biggest lender, Qatar National Bank (QNBK.QA).
Dubai's benchmark index (.DFMGI) added 0.3%, with top lender Emirates NBD (ENBD.DU) gaining 1.5%.
The United Arab Emirates' federal government aims to increase spending by 1.23 billion dirhams ($335 million) in the 2022 budget, the Federal National Council said on Twitter on Tuesday. read more
Saudi Arabia's benchmark index (.TASI) lost 0.3% with Al Rajhi Bank (1120.SE) falling 1.2% and oil giant Saudi Aramco (2222.SE) down 0.9%.
U.S. President Joe Biden will discuss energy production as part of his trip this month to the Middle East, including to Saudi Arabia, White House's National Security Council spokesman John Kirby said on Tuesday.
Outside the Gulf, Egypt's blue-chip index (.EGX30) eased 0.3%, with Talaat Mostafa Group Holding (TMGH.CA) declining 3.3%.
Higher oil and wheat prices will cost the Egyptian budget over $10 billion, Finance Minister Mohamed Maiit told CNBC Arabia on Sunday. read more
Egypt has been suffering from a shortage of foreign currency since the coronavirus pandemic chased away many tourists, international portfolio investors withdrew funds and the Ukrainian crisis pushed up imported commodity prices.
Exclusive: OPEC sees global oil demand growth slowing in 2023, sources say | Reuters
Exclusive: OPEC sees global oil demand growth slowing in 2023, sources say | Reuters
World oil demand growth will slow in 2023, OPEC delegates and industry sources said, as surging crude and fuel prices help drive up inflation and act as a drag on the global economy.
Fuel use has rebounded from the 2020 pandemic-induced slump and is set to exceed 2019 levels this year even as prices hit record highs. But high prices have eaten into growth projections for 2022 and fed into expectations for slower growth in 2023.
The Organization of the Petroleum Exporting Countries is expected to publish its first forecast for 2023 demand in July. Its forecast, along with that of the Paris-based International Energy Agency, will be watched closely for pointers on how OPEC supply policy might develop.
An OPEC delegate and another source familiar with OPEC thinking said they expected world demand growth of 2 million barrels per day (bpd) or less in 2023, a rise of just 2%, compared with growth of 3.36 million bpd expected in 2022.
World oil demand growth will slow in 2023, OPEC delegates and industry sources said, as surging crude and fuel prices help drive up inflation and act as a drag on the global economy.
Fuel use has rebounded from the 2020 pandemic-induced slump and is set to exceed 2019 levels this year even as prices hit record highs. But high prices have eaten into growth projections for 2022 and fed into expectations for slower growth in 2023.
The Organization of the Petroleum Exporting Countries is expected to publish its first forecast for 2023 demand in July. Its forecast, along with that of the Paris-based International Energy Agency, will be watched closely for pointers on how OPEC supply policy might develop.
An OPEC delegate and another source familiar with OPEC thinking said they expected world demand growth of 2 million barrels per day (bpd) or less in 2023, a rise of just 2%, compared with growth of 3.36 million bpd expected in 2022.
World’s Wealthy Flock to #UAE as War Spurs Russian Capital Flight - Bloomberg
World’s Wealthy Flock to UAE as War Spurs Russian Capital Flight - Bloomberg
The United Arab Emirates is poised to attract the biggest share of private wealth this year as Russian capital seeks a new home, according to a new report published by Henley & Partners.
The London-based investment migration consultancy projects the UAE will attract a net inflow of 4,000 millionaires, the most of any country globally, and as many as 2,500 may move to Israel. Russia could suffer a net outflow of 15,000 high net worth individuals.
“Affluent Russians seeking to escape the impact of the devastating Western sanctions on their country have started to move to the UAE and Israel in large numbers,” Henley said in the report published on Monday. “They have now come under further pressure from many Western countries, such as Britain, where they had previously made their homes.”
Even before the war, the UAE was gaining momentum as a wealth hub, buoyed by its low tax regime, one of the world’s fastest vaccination rates and Dubai’s role in hosting the first world expo of the Covid-19 era. The country’s success in attracting tourism and trade through visa waivers has propelled the UAE up to the No. 15 position on the Henley Passport Index from No. 64 a decade ago.
Meanwhile, the estimated exodus from Russia accounts for about 15% of the country’s population of HNWIs, according to Henley. The invasion is also driving millionaires out of Ukraine, which is predicted to suffer the highest net loss in the nation’s history -- 2,800 people or 42% of its HNWIs.
Led by Christian Kalin, a Swiss lawyer known as “the passport king,” Henley has carved out a niche in the lucrative industry of citizenship and residency, which Kalin has previously estimated could rake in $20 billion per year. The UAE is home to one of the firm’s largest offices, according to data compiled by LinkedIn, trailing just a few countries like Malta, South Africa and Switzerland.
The United Arab Emirates is poised to attract the biggest share of private wealth this year as Russian capital seeks a new home, according to a new report published by Henley & Partners.
The London-based investment migration consultancy projects the UAE will attract a net inflow of 4,000 millionaires, the most of any country globally, and as many as 2,500 may move to Israel. Russia could suffer a net outflow of 15,000 high net worth individuals.
“Affluent Russians seeking to escape the impact of the devastating Western sanctions on their country have started to move to the UAE and Israel in large numbers,” Henley said in the report published on Monday. “They have now come under further pressure from many Western countries, such as Britain, where they had previously made their homes.”
Even before the war, the UAE was gaining momentum as a wealth hub, buoyed by its low tax regime, one of the world’s fastest vaccination rates and Dubai’s role in hosting the first world expo of the Covid-19 era. The country’s success in attracting tourism and trade through visa waivers has propelled the UAE up to the No. 15 position on the Henley Passport Index from No. 64 a decade ago.
Meanwhile, the estimated exodus from Russia accounts for about 15% of the country’s population of HNWIs, according to Henley. The invasion is also driving millionaires out of Ukraine, which is predicted to suffer the highest net loss in the nation’s history -- 2,800 people or 42% of its HNWIs.
Led by Christian Kalin, a Swiss lawyer known as “the passport king,” Henley has carved out a niche in the lucrative industry of citizenship and residency, which Kalin has previously estimated could rake in $20 billion per year. The UAE is home to one of the firm’s largest offices, according to data compiled by LinkedIn, trailing just a few countries like Malta, South Africa and Switzerland.
#UAE aims to up 2022 federal spending by $335 million | Reuters
UAE aims to up 2022 federal spending by $335 million | Reuters
The United Arab Emirates' federal government aims to increase spending by 1.23 billion dirhams ($334.9 million) in the 2022 budget, the Federal National Council said on Twitter on Tuesday.
The UAE estimates revenues will be 374.98 million dirhams higher. The increased spending will come from the federal government's general reserves, the council added.
The UAE in October approved a 2022 federal budget of 58.9 billion dirhams.
The federal budget accounts for only a fraction of consolidated state spending in the UAE as individual emirates such as Abu Dhabi and Dubai also have their own budgets. It is, however, an indication of official plans for the economy.
The United Arab Emirates' federal government aims to increase spending by 1.23 billion dirhams ($334.9 million) in the 2022 budget, the Federal National Council said on Twitter on Tuesday.
The UAE estimates revenues will be 374.98 million dirhams higher. The increased spending will come from the federal government's general reserves, the council added.
The UAE in October approved a 2022 federal budget of 58.9 billion dirhams.
The federal budget accounts for only a fraction of consolidated state spending in the UAE as individual emirates such as Abu Dhabi and Dubai also have their own budgets. It is, however, an indication of official plans for the economy.
Borouge included in FTSE Global Equity Index Series
Borouge included in FTSE Global Equity Index Series
Borouge has joined FTSE Russell’s FTSE Global Equity Index Series, including FTSE Emerging Index, FTSE Global Large Cap Index, and FTSE All-World Index, as of 10 June 2022.
FTSE Russell’s indices, used by investors globally to track the performance of market segments, mark Borouge's relevance to the global institutional investor base, according to a press release on Monday.
Abu Dhabi National Oil Company (ADNOC) and Borealis are major shareholders in Abu Dhabi-based Borouge, the provider of innovative and differentiated polyolefin solutions for infrastructure, energy, agriculture, mobility, healthcare, and advanced packaging industries.
It is noteworthy to mention that in early June, Borouge completed the listing of around 3 billion shares, representing 10% of its issued share capital, on ADX.
Borouge has joined FTSE Russell’s FTSE Global Equity Index Series, including FTSE Emerging Index, FTSE Global Large Cap Index, and FTSE All-World Index, as of 10 June 2022.
FTSE Russell’s indices, used by investors globally to track the performance of market segments, mark Borouge's relevance to the global institutional investor base, according to a press release on Monday.
Abu Dhabi National Oil Company (ADNOC) and Borealis are major shareholders in Abu Dhabi-based Borouge, the provider of innovative and differentiated polyolefin solutions for infrastructure, energy, agriculture, mobility, healthcare, and advanced packaging industries.
It is noteworthy to mention that in early June, Borouge completed the listing of around 3 billion shares, representing 10% of its issued share capital, on ADX.
Biden to Visit #SaudiArabia and Meet Crown Prince, NBC Reports - Bloomberg
Biden to Visit Saudi Arabia and Meet Crown Prince, NBC Reports - Bloomberg
President Joe Biden will travel to Saudi Arabia next month and is set to meet the country’s de facto ruler, Crown Prince Mohammed Bin Salman, according to a report by NBC.
Biden will visit the country from July 15 to 16, and hold meetings with officials including the Crown Prince, the network reported citing sources it did not identify.
The White House had no immediate comment on the NBC report. Earlier Monday, Press Secretary Karine Jean-Pierre said that the administration was planning for a trip but that there had been no final decision.
Biden once promised to make Saudi Arabia a “pariah” over its human-rights abuses. His willingness to travel to the kingdom shows the extent to which his efforts to lower gasoline prices and isolate Russia over its invasion of Ukraine have overridden his desire to take a harder line against Riyadh.
President Joe Biden will travel to Saudi Arabia next month and is set to meet the country’s de facto ruler, Crown Prince Mohammed Bin Salman, according to a report by NBC.
Biden will visit the country from July 15 to 16, and hold meetings with officials including the Crown Prince, the network reported citing sources it did not identify.
The White House had no immediate comment on the NBC report. Earlier Monday, Press Secretary Karine Jean-Pierre said that the administration was planning for a trip but that there had been no final decision.
Biden once promised to make Saudi Arabia a “pariah” over its human-rights abuses. His willingness to travel to the kingdom shows the extent to which his efforts to lower gasoline prices and isolate Russia over its invasion of Ukraine have overridden his desire to take a harder line against Riyadh.
Most Gulf bourses slip in early trade; #Dubai gains | Reuters
Most Gulf bourses slip in early trade; Dubai gains | Reuters
Most major stock markets in the Gulf fell in early trade on Tuesday, after Wall Street hit a confirmed bear market milestone on fears aggressive interest rate hikes would push the world's largest economy into a recession.
MSCI's broadest index of Asia-Pacific shares outside Japan (.MIAPJ0000PUS) extended losses and was down 1.54%.
Saudi Arabia's benchmark index (.TASI) slipped 0.8%, hit by a 1.4% drop in oil giant Saudi Aramco (2222.SE) and a 0.9% decline in petrochemical maker Saudi Basic Industries (2010.SE).
Meanwhile, the kingdom announced on Monday the lifting of measures that had been taken to prevent the spread of COVID-19, the state news agency reported, citing an official in the interior ministry. read more
The Qatari index (.QSI) eased 0.1%, with Industries Qatar (IQCD.QA) falling 0.9%.
In Abu Dhabi, equities (.FTFADGI) lost 0.1%, extending losses to a 10th session, as the emirate's largest lender First Abu Dhabi Bank (FAB.AD) dropped 0.6%.
However, Fertiglobe (FERTIGLOBE.AD) rose as much as 2.9% after the company said it was expecting a cash distribution of at least $700 million for the first half of 2022.
Dubai's main share index (.DFMGI) gained 0.6%, buoyed by a 1.6% jump in Dubai islamic Bank (DISB.DU) and 0.9% increase in blue-chip developer Emaar Properties (EMAR.DU).
Elsewhere, Shuaa Capital (SHUA.DU) jumped 2.5% after the firm announced completion of leveraged buyout financing facility for the acquisition of Allianz Marine and Logistics Services.
Most major stock markets in the Gulf fell in early trade on Tuesday, after Wall Street hit a confirmed bear market milestone on fears aggressive interest rate hikes would push the world's largest economy into a recession.
MSCI's broadest index of Asia-Pacific shares outside Japan (.MIAPJ0000PUS) extended losses and was down 1.54%.
Saudi Arabia's benchmark index (.TASI) slipped 0.8%, hit by a 1.4% drop in oil giant Saudi Aramco (2222.SE) and a 0.9% decline in petrochemical maker Saudi Basic Industries (2010.SE).
Meanwhile, the kingdom announced on Monday the lifting of measures that had been taken to prevent the spread of COVID-19, the state news agency reported, citing an official in the interior ministry. read more
The Qatari index (.QSI) eased 0.1%, with Industries Qatar (IQCD.QA) falling 0.9%.
In Abu Dhabi, equities (.FTFADGI) lost 0.1%, extending losses to a 10th session, as the emirate's largest lender First Abu Dhabi Bank (FAB.AD) dropped 0.6%.
However, Fertiglobe (FERTIGLOBE.AD) rose as much as 2.9% after the company said it was expecting a cash distribution of at least $700 million for the first half of 2022.
Dubai's main share index (.DFMGI) gained 0.6%, buoyed by a 1.6% jump in Dubai islamic Bank (DISB.DU) and 0.9% increase in blue-chip developer Emaar Properties (EMAR.DU).
Elsewhere, Shuaa Capital (SHUA.DU) jumped 2.5% after the firm announced completion of leveraged buyout financing facility for the acquisition of Allianz Marine and Logistics Services.
Oil prices rise as tight supply counters China COVID, recession worries | Reuters
Oil prices rise as tight supply counters China COVID, recession worries | Reuters
Oil prices rose on Tuesday as tight global supply outweighed worries that fuel demand would be hit by a possible recession and fresh COVID-19 curbs in China.
Brent crude futures rose 88 cents, or 0.7%, to $123.15 a barrel at 0824 GMT, while U.S. West Texas Intermediate (WTI) crude rose 88 cents, or 0.7% to $121.81 a barrel.
Tight supply has been aggravated by a drop in exports from Libya amid a political crisis that has hit output and ports.
Other OPEC+ producers are struggling to meet their production quotas and Russia faces bans on its oil over the war in Ukraine.
Oil prices rose on Tuesday as tight global supply outweighed worries that fuel demand would be hit by a possible recession and fresh COVID-19 curbs in China.
Brent crude futures rose 88 cents, or 0.7%, to $123.15 a barrel at 0824 GMT, while U.S. West Texas Intermediate (WTI) crude rose 88 cents, or 0.7% to $121.81 a barrel.
Tight supply has been aggravated by a drop in exports from Libya amid a political crisis that has hit output and ports.
Other OPEC+ producers are struggling to meet their production quotas and Russia faces bans on its oil over the war in Ukraine.