Oil sinks about 4% after weak factory data sparks demand concerns | Reuters
Oil prices dropped about 4% on Monday as weak manufacturing data in several countries weighed on the demand outlook while investors braced for this week's meeting of OPEC and its producer allies on supply.
Brent crude futures fell $3.94, or 3.8%, to settle at $100.03 a barrel, having fallen to a session low of $99.09 a barrel.
U.S. West Texas Intermediate crude fell $4.73, or 4.8% to settle at $93.89 a barrel, after hitting a low of $92.42.
A break for Brent prices below the support level of $102.68 could trigger a drop into a range of $99.52 to $101.26, Reuters technical analyst Wang Tao said.
Factories across the United States, Europe and Asia struggled for momentum in July as flagging global demand and China's strict COVID-19 restrictions slowed production, surveys showed on Monday, likely adding to fears of economies sliding into recession. read more
Monday, 1 August 2022
Watch Aldar CEO: Have Another $1.5B to Deploy Over 6-12 Months - Bloomberg video
Watch Aldar CEO: Have Another $1.5B to Deploy Over 6-12 Months - Bloomberg
Aldar Properties, Abu Dhabi's largest real estate developer, has posted second quarter profit of 841 million dirhams, that's up 62 per cent from the same period last year. The company also announced a 1.2 billion dollar mega-deal with Mubadala to purchase four commercial towers. The CEO, Talal Al Dhiyebi, joins Yousef Gamal El-Din and Manus Cranny for an exclusive interview on "Bloomberg Daybreak: Middle East." (Source: Bloomberg)
Financing #MBS's Neom Megaproject, OPEC+ and Russia, #Dubai's Crypto Trading Shops - Bloomberg
Financing MBS's Neom Megaproject, OPEC+ and Russia, Dubai's Crypto Trading Shops - Bloomberg
Saudi Arabia has announced for the first time how it plans to finance Neom — the Crown Prince’s flagship megaproject that is seen as a showpiece to transform the kingdom’s economy.
The first phase of the project, which runs until 2030, will cost 1.2 trillion riyals ($320 billion), with about half of that covered by the Public Investment Fund, Crown Prince Mohammed bin Salman said. Officials will seek to raise another 600 billion riyals from other sovereign wealth funds in the region, private investors in Saudi Arabia and abroad, and the rest will be funded by an initial public offering of Neom itself on the Saudi stock market — an idea the prince first floated in 2017.
It also will set aside 300 billion riyals for an investment fund tied to Neom, MBS said.
The kingdom is working on of one of the largest and most difficult construction projects in history, which involves turning an expanse of desert the size of Belgium into a high-tech city-region called Neom.
MBS bills Neom as a showpiece that will transform Saudi Arabia’s economy and serve as a testbed for technologies that could revolutionize daily life — as well a way to attract foreign investment and diversify the oil-dependent economy. But five years in, Neom has been plagued by setbacks, many stemming from the difficulty of implementing the prince’s grand and ever-changing ideas, according to current and former employees.
Saudi Arabia also plans to build a wafer-thin megacity a hundred miles long in the middle of Neom, and have it be a nice place to live that accommodates 9 million people, with a transit system capable of sending them end-to-end in 20 minutes, MBSsaid.
The city, called The Line, takes the shape of two parallel buildings with mirrored surfaces, rising 500 meters (1,640 feet) above sea level — taller than the Empire State Building — and stretching horizontally for more than 100 kilometers. The Line was initially described as a series of walkable communities close to nature in 2021, but it has since transformed into the current idea to build a megastructure that makes up the entire city, with gardens and parks along the inside.
Saudi Arabia has announced for the first time how it plans to finance Neom — the Crown Prince’s flagship megaproject that is seen as a showpiece to transform the kingdom’s economy.
The first phase of the project, which runs until 2030, will cost 1.2 trillion riyals ($320 billion), with about half of that covered by the Public Investment Fund, Crown Prince Mohammed bin Salman said. Officials will seek to raise another 600 billion riyals from other sovereign wealth funds in the region, private investors in Saudi Arabia and abroad, and the rest will be funded by an initial public offering of Neom itself on the Saudi stock market — an idea the prince first floated in 2017.
It also will set aside 300 billion riyals for an investment fund tied to Neom, MBS said.
The kingdom is working on of one of the largest and most difficult construction projects in history, which involves turning an expanse of desert the size of Belgium into a high-tech city-region called Neom.
MBS bills Neom as a showpiece that will transform Saudi Arabia’s economy and serve as a testbed for technologies that could revolutionize daily life — as well a way to attract foreign investment and diversify the oil-dependent economy. But five years in, Neom has been plagued by setbacks, many stemming from the difficulty of implementing the prince’s grand and ever-changing ideas, according to current and former employees.
Saudi Arabia also plans to build a wafer-thin megacity a hundred miles long in the middle of Neom, and have it be a nice place to live that accommodates 9 million people, with a transit system capable of sending them end-to-end in 20 minutes, MBSsaid.
The city, called The Line, takes the shape of two parallel buildings with mirrored surfaces, rising 500 meters (1,640 feet) above sea level — taller than the Empire State Building — and stretching horizontally for more than 100 kilometers. The Line was initially described as a series of walkable communities close to nature in 2021, but it has since transformed into the current idea to build a megastructure that makes up the entire city, with gardens and parks along the inside.
Shares in Brazil's Burger King brand owner soar after Mubadala bid | Reuters
Shares in Brazil's Burger King brand owner soar after Mubadala bid | Reuters
Shares in Zamp SA (BKBR3.SA), franchise holder of the Burger King brand in Brazil, rose almost 19% on Monday after Abu Dhabi state investor Mubadala Capital LLC launched a tender offer to acquire control of the company.
According to a securities filing, Mubadala has offered 7.55 reais per share for 45.15% of Zamp, which would take its stake in the company to 50.1%. Mubadala's bid implies a 21% premium over Friday's closing price of 6.22 reais.
In mid-afternoon trading in Sao Paulo, Zamp shares were up 18.9% at 7.40 reais.
Zamp was previously known as BK Brasil Operacao e Assessoria a Restaurantes S.A. and is the master franchisee of the 850 Burger King stores in Brazil.
Shares in Zamp SA (BKBR3.SA), franchise holder of the Burger King brand in Brazil, rose almost 19% on Monday after Abu Dhabi state investor Mubadala Capital LLC launched a tender offer to acquire control of the company.
According to a securities filing, Mubadala has offered 7.55 reais per share for 45.15% of Zamp, which would take its stake in the company to 50.1%. Mubadala's bid implies a 21% premium over Friday's closing price of 6.22 reais.
In mid-afternoon trading in Sao Paulo, Zamp shares were up 18.9% at 7.40 reais.
Zamp was previously known as BK Brasil Operacao e Assessoria a Restaurantes S.A. and is the master franchisee of the 850 Burger King stores in Brazil.
Oil tumbles after weak factory data sparks demand concerns | Reuters
Oil tumbles after weak factory data sparks demand concerns | Reuters
Oil prices dropped sharply on Monday as weak manufacturing data from China and Europe weighed on the demand outlook while investors braced for this week's meeting of officials from OPEC and other top crude producers on supply.
Brent crude futures were down $3.77, or 3.6%, at $100.20 a barrel by 1319 GMT, having fallen to a session low of $99.75.
U.S. West Texas Intermediate crude was down $4.59, or 4.7%, at $94.03, after hitting a low of $93.49.
A break for Brent prices below the support level of $102.68 could trigger a drop into a range of $99.52 to $101.26, Reuters technical analyst Wang Tao said.
Factories across Asia and Europe struggled in July as flagging global demand and China's strict COVID-19 restrictions slowed production, surveys showed on Monday, adding to concerns about economies sliding into recession. read more
S&P Global's final manufacturing Purchasing Managers' Index (PMI) for the euro zone fell to 49.8 in July from June's 52.1, falling below the 50 mark separating growth from contraction for the first time since June 2020.
Oil prices dropped sharply on Monday as weak manufacturing data from China and Europe weighed on the demand outlook while investors braced for this week's meeting of officials from OPEC and other top crude producers on supply.
Brent crude futures were down $3.77, or 3.6%, at $100.20 a barrel by 1319 GMT, having fallen to a session low of $99.75.
U.S. West Texas Intermediate crude was down $4.59, or 4.7%, at $94.03, after hitting a low of $93.49.
A break for Brent prices below the support level of $102.68 could trigger a drop into a range of $99.52 to $101.26, Reuters technical analyst Wang Tao said.
Factories across Asia and Europe struggled in July as flagging global demand and China's strict COVID-19 restrictions slowed production, surveys showed on Monday, adding to concerns about economies sliding into recession. read more
S&P Global's final manufacturing Purchasing Managers' Index (PMI) for the euro zone fell to 49.8 in July from June's 52.1, falling below the 50 mark separating growth from contraction for the first time since June 2020.
Most Gulf markets end higher; Egypt falls | Reuters
Most Gulf markets end higher; Egypt falls | Reuters
Most Gulf stock markets ended higher on Monday, helped by strong earnings momentum, although the region remains exposed to pressure from falling energy prices and deteriorating global economic conditions.
Saudi Arabia's benchmark index (.TASI) gained 1.2%, buoyed by a 0.8% rise in Retal Urban Development Co (4322.SE) and a 1.7% gain in Mouwasat Medical Services (4002.SE).
Oil behemoth Saudi Aramco (2222.SE) on Monday signed an equity purchase agreement to acquire Valvoline Inc's (VVV.N) unit that makes lubricants, coolants among other things for $2.65 billion. Aramco shares closed flat. read more
The kingdom's gross domestic product rose by 11.8% in the second quarter compared with the same period in 2021, according to initial government estimates on Sunday, as the world's top oil exporter benefited from higher energy prices. read more
The Saudi stock market climbed thanks to the positive mood among investors as local economic growth continues to see strong performances, said Wael Makarem, senior market strategist at Exness.
"The market is also seeing solid earnings and could continue to rise if oil prices remain at elevated levels."
Dubai's main share index (.DFMGI) added 1.2%, led by a 2.2% jump in top lender Emirates NBD (ENBD.DU).
In Abu Dhabi, shares (.FTFADGI) advanced 1.2%, boosted by a 1.8% rise in e& (ETISALAT.AD), formerly known as Emirates Telecommunications, as the telecoms firm is scheduled to report its first-half earnings.
The Qatari index (.QSI) closed 0.7% higher, with Qatar National Bank (QNBK.QA), the Gulf's biggest lender, rising 1.4%.
Outside the Gulf, Egypt's blue-chip index (.EGX30) dropped 0.5%, hit by a 1% fall in Commercial International Bank Egypt (COMI.CA).
The Egyptian benchmark hit its lowest in nearly six years last month as the country has come under pressure because of a sharp slide in foreign portfolio investor holdings and rising costs of key commodity imports, especially since Russia's invasion of Ukraine.
Most Gulf stock markets ended higher on Monday, helped by strong earnings momentum, although the region remains exposed to pressure from falling energy prices and deteriorating global economic conditions.
Saudi Arabia's benchmark index (.TASI) gained 1.2%, buoyed by a 0.8% rise in Retal Urban Development Co (4322.SE) and a 1.7% gain in Mouwasat Medical Services (4002.SE).
Oil behemoth Saudi Aramco (2222.SE) on Monday signed an equity purchase agreement to acquire Valvoline Inc's (VVV.N) unit that makes lubricants, coolants among other things for $2.65 billion. Aramco shares closed flat. read more
The kingdom's gross domestic product rose by 11.8% in the second quarter compared with the same period in 2021, according to initial government estimates on Sunday, as the world's top oil exporter benefited from higher energy prices. read more
The Saudi stock market climbed thanks to the positive mood among investors as local economic growth continues to see strong performances, said Wael Makarem, senior market strategist at Exness.
"The market is also seeing solid earnings and could continue to rise if oil prices remain at elevated levels."
Dubai's main share index (.DFMGI) added 1.2%, led by a 2.2% jump in top lender Emirates NBD (ENBD.DU).
In Abu Dhabi, shares (.FTFADGI) advanced 1.2%, boosted by a 1.8% rise in e& (ETISALAT.AD), formerly known as Emirates Telecommunications, as the telecoms firm is scheduled to report its first-half earnings.
The Qatari index (.QSI) closed 0.7% higher, with Qatar National Bank (QNBK.QA), the Gulf's biggest lender, rising 1.4%.
Outside the Gulf, Egypt's blue-chip index (.EGX30) dropped 0.5%, hit by a 1% fall in Commercial International Bank Egypt (COMI.CA).
The Egyptian benchmark hit its lowest in nearly six years last month as the country has come under pressure because of a sharp slide in foreign portfolio investor holdings and rising costs of key commodity imports, especially since Russia's invasion of Ukraine.
#AbuDhabi's Chimera Capital to list new ETF that will track Turkey-listed equities
Abu Dhabi's Chimera Capital to list new ETF that will track Turkey-listed equities
Abu Dhabi-based investment management firm Chimera Capital will be listing a new exchange-traded fund (ETF) on the Abu Dhabi Securities Exchange (ADX) that will enable investors to capitalise on Turkey's economy.
The Chimera S&P Turkey Shariah ETF is a physical, in-kind, liquid and fully fungible ETF that will track the performance of Turkey-listed, Shariah-compliant securities, according to a statement on Monday.
The new fund brings the total number of ETFs listed on stock markets in the UAE to nine.
"[The new ETF] will provide investors with easy and direct access to capitalise on Turkey's large and highly diversified economy," said Sherif Salem, the company's chief investment officer for public markets.
Last July, Chimera listed two US Shariah-compliant ETFs. Two other ETFs, the Chimera S&P KSA Shariah ETF and Chimera S&P Kuwait Shariah ETF, were also listed on the ADX earlier this year.
Abu Dhabi-based investment management firm Chimera Capital will be listing a new exchange-traded fund (ETF) on the Abu Dhabi Securities Exchange (ADX) that will enable investors to capitalise on Turkey's economy.
The Chimera S&P Turkey Shariah ETF is a physical, in-kind, liquid and fully fungible ETF that will track the performance of Turkey-listed, Shariah-compliant securities, according to a statement on Monday.
The new fund brings the total number of ETFs listed on stock markets in the UAE to nine.
"[The new ETF] will provide investors with easy and direct access to capitalise on Turkey's large and highly diversified economy," said Sherif Salem, the company's chief investment officer for public markets.
Last July, Chimera listed two US Shariah-compliant ETFs. Two other ETFs, the Chimera S&P KSA Shariah ETF and Chimera S&P Kuwait Shariah ETF, were also listed on the ADX earlier this year.
Investment in MENA start-up Homzmart rises to $40 mln after latest round | Reuters
Investment in MENA start-up Homzmart rises to $40 mln after latest round | Reuters
Furniture and home goods e-commerce platform Homzmart has closed one of the past year's biggest funding rounds for a Middle Eastern and North Africa start-up, raising $23 million, its chief executive said.
The company, launched in 2020, will use the new funding to expand services, especially logistics, and fill gaps that appear in supply chains, co-founder and CEO Mahmoud Ibrahim said in an interview with Reuters.
The latest pre series B round funding round, which included participation from Riyadh-based technology venture capital fund STV, Impact46, Outliers Ventures, Rise Capital and NUWA Capital, brings its total funding to about $40 million.
It raised $15 million in an earlier round that closed in the second quarter of last year, after an initial round in which it raised about $2.5 million.
Homzmart started by connecting brands and manufacturers with customers in the Arab world's most populous country. But it found gaps in supply chains that prompted it to create a logistics arm, and now has about 100 trucks.
Furniture and home goods e-commerce platform Homzmart has closed one of the past year's biggest funding rounds for a Middle Eastern and North Africa start-up, raising $23 million, its chief executive said.
The company, launched in 2020, will use the new funding to expand services, especially logistics, and fill gaps that appear in supply chains, co-founder and CEO Mahmoud Ibrahim said in an interview with Reuters.
The latest pre series B round funding round, which included participation from Riyadh-based technology venture capital fund STV, Impact46, Outliers Ventures, Rise Capital and NUWA Capital, brings its total funding to about $40 million.
It raised $15 million in an earlier round that closed in the second quarter of last year, after an initial round in which it raised about $2.5 million.
Homzmart started by connecting brands and manufacturers with customers in the Arab world's most populous country. But it found gaps in supply chains that prompted it to create a logistics arm, and now has about 100 trucks.
Americana adds HSBC to list of banks for Gulf dual listing -sources | Reuters
Americana adds HSBC to list of banks for Gulf dual listing -sources | Reuters
The Middle East and North Africa franchisee of fast-food restaurants KFC and Pizza Hut has added HSBC (HSBA.L) to its syndicate of advisers for its potential dual listing this year, two sources familiar with the matter told Reuters.
Americana Group has hired HSBC as a joint bookrunner on the initial public offering (IPO), which could value the company as much as $8 billion, said the sources, declining to be named as the matter is not public. One of the sources said more bookrunners could be added.
Americana, which is considering a public share sale in the United Arab Emirates and Saudi Arabia, and HSBC did not immediately respond to requests for comment.
Americana has picked Goldman Sachs (GS.N), Morgan Stanley, First Abu Dhabi Bank (FAB) (FAB.AD) and Saudi National Bank (SNB) (1180.SE) as joint global coordinators for the deal, separate sources told Reuters in April. read more
Rothschild & Co (ROTH.PA) is working as financial adviser on the IPO, other sources told Reuters in April. read more
The Middle East and North Africa franchisee of fast-food restaurants KFC and Pizza Hut has added HSBC (HSBA.L) to its syndicate of advisers for its potential dual listing this year, two sources familiar with the matter told Reuters.
Americana Group has hired HSBC as a joint bookrunner on the initial public offering (IPO), which could value the company as much as $8 billion, said the sources, declining to be named as the matter is not public. One of the sources said more bookrunners could be added.
Americana, which is considering a public share sale in the United Arab Emirates and Saudi Arabia, and HSBC did not immediately respond to requests for comment.
Americana has picked Goldman Sachs (GS.N), Morgan Stanley, First Abu Dhabi Bank (FAB) (FAB.AD) and Saudi National Bank (SNB) (1180.SE) as joint global coordinators for the deal, separate sources told Reuters in April. read more
Rothschild & Co (ROTH.PA) is working as financial adviser on the IPO, other sources told Reuters in April. read more
#Saudi Aramco Buys Valvoline’s Petroleum Unit for $2.65 Billion - Bloomberg
Saudi Aramco Buys Valvoline’s Petroleum Unit for $2.65 Billion - Bloomberg
Saudi Aramco will buy Valvoline Inc.’s petroleum business for $2.65 billion to expand its global refining and petrochemical operations.
The Saudi Arabian state oil giant will purchase the Global Products unit, which produces lubricants and chemicals for vehicles, with cash, according to a statement from Valvoline.
The business “fits perfectly with Aramco’s growth strategy for lubricants,” said the Saudi firm’s head of downstream operations, Mohammed Al Qahtani.
Aramco is investing heavily in its downstream unit as a way of diversifying from sales of crude oil. The division, which makes transport fuels such as gasoline and diesel and includes refineries in Asia and the US, generated $10.2 billion in first-quarter earnings before interest and taxes.
That was up from $4.4 billion a year earlier, though it’s still dwarfed by Aramco’s upstream business, which made pre-tax earnings of $70 billion.
Valvoline, based in Lexington, Kentucky, will use about $2.25 billion from the transaction to return money to shareholders, reduce debt and invest in its retail services. It will become a “pure-play automotive service provider” and target earnings-per-share growth of more than 20%.
The firm said in October it would transform itself by separating its retail services from Global Products. It will buy motor oil from Global Products through a long-term supply agreement.
Goldman Sachs Group Inc. advised it on the deal with Aramco.
Saudi Aramco will buy Valvoline Inc.’s petroleum business for $2.65 billion to expand its global refining and petrochemical operations.
The Saudi Arabian state oil giant will purchase the Global Products unit, which produces lubricants and chemicals for vehicles, with cash, according to a statement from Valvoline.
The business “fits perfectly with Aramco’s growth strategy for lubricants,” said the Saudi firm’s head of downstream operations, Mohammed Al Qahtani.
Aramco is investing heavily in its downstream unit as a way of diversifying from sales of crude oil. The division, which makes transport fuels such as gasoline and diesel and includes refineries in Asia and the US, generated $10.2 billion in first-quarter earnings before interest and taxes.
That was up from $4.4 billion a year earlier, though it’s still dwarfed by Aramco’s upstream business, which made pre-tax earnings of $70 billion.
Valvoline, based in Lexington, Kentucky, will use about $2.25 billion from the transaction to return money to shareholders, reduce debt and invest in its retail services. It will become a “pure-play automotive service provider” and target earnings-per-share growth of more than 20%.
The firm said in October it would transform itself by separating its retail services from Global Products. It will buy motor oil from Global Products through a long-term supply agreement.
Goldman Sachs Group Inc. advised it on the deal with Aramco.
#UAE Crypto News: Tighter Bank Rules Give #Dubai’s Crypto Shops a New Allure - Bloomberg
UAE Crypto News: Tighter Bank Rules Give Dubai’s Crypto Shops a New Allure - Bloomberg
In the lobby of a Dubai skyscraper, a doorman fields queries about an increasingly popular crypto shop, directing clients to office 501, down a grubby corridor on the fifth floor.
Inside, staff are busy operating Coinsfera, an over-the-counter exchange that’s emerging as a favorite for Russians, Iranians and others who struggle to transfer money through banks due to Western sanctions or local restrictions, according to bankers, lawyers and crypto executives familiar with the matter.
The OTC structure allows customers to buy crypto assets back home with local currency and sell them for hard cash in Dubai. At Coinsfera, the process takes minutes and involves checking an identity document and answering few questions, according to customers and staff.
Clients include ordinary folks dabbling in crypto or navigating capital controls and restrictions that don’t target them but can complicate banking. Sanctioned Russians have, however, flown to Dubai for big OTC transactions, three of the people said.
In the lobby of a Dubai skyscraper, a doorman fields queries about an increasingly popular crypto shop, directing clients to office 501, down a grubby corridor on the fifth floor.
Inside, staff are busy operating Coinsfera, an over-the-counter exchange that’s emerging as a favorite for Russians, Iranians and others who struggle to transfer money through banks due to Western sanctions or local restrictions, according to bankers, lawyers and crypto executives familiar with the matter.
The OTC structure allows customers to buy crypto assets back home with local currency and sell them for hard cash in Dubai. At Coinsfera, the process takes minutes and involves checking an identity document and answering few questions, according to customers and staff.
Clients include ordinary folks dabbling in crypto or navigating capital controls and restrictions that don’t target them but can complicate banking. Sanctioned Russians have, however, flown to Dubai for big OTC transactions, three of the people said.
Mideast Stocks: Most Gulf bourses in the black ahead of OPEC+ meet
Mideast Stocks: Most Gulf bourses in the black ahead of OPEC+ meet
Most stock markets in the Gulf rose in early trade on Monday, extending gains from the previous session ahead of this week's meeting of officials from OPEC and other top oil producers on supply adjustments.
OPEC and its allies, a group known as OPEC+, will consider keeping oil output unchanged for September when they meet next week despite calls from the United States for more supply, although a modest output increase is also likely to be discussed, Reuters reported on Thursday, citing eight sources.
Crude prices, a key catalyst for the Gulf's financial markets, have soared in 2022 to their highest since 2008, climbing above $139 a barrel in March after the United States and Europe imposed sanctions on Russia over its invasion of Ukraine.
Prices have since eased to just over $100 a barrel as soaring inflation and higher interest rates raise fears of a recession that would erode demand.
Saudi Arabia's benchmark index gained 0.6%, with Retal Urban Development Co rising 0.7% and Al Rajhi Bank climbing 0.6%.
The kingdom's gross domestic product rose by 11.8% in the second quarter compared with the same period in 2021, according to initial government estimates on Sunday, as the world's top oil exporter benefited from higher energy prices.
Growth was largely driven by a 23.1% increase in oil activities, the General Authority for Statistics said, while non-oil activities expanded 5.4%.
Dubai's main share index added 0.6%, led by a 1.5% gain in top lender Emirates NBD and a 0.4% increase in blue-chip developer Emaar Properties.
In Abu Dhabi equities climbed 0.4%, helped by a 0.3% rise in the United Arab Emirates' biggest lender First Abu Dhabi Bank.
The Qatari index advanced 1%, buoyed by a 2.2% leap in Qatar Islamic Bank and a 1.9% gain in Qatar National Bank, the Gulf's largest lender.
Most stock markets in the Gulf rose in early trade on Monday, extending gains from the previous session ahead of this week's meeting of officials from OPEC and other top oil producers on supply adjustments.
OPEC and its allies, a group known as OPEC+, will consider keeping oil output unchanged for September when they meet next week despite calls from the United States for more supply, although a modest output increase is also likely to be discussed, Reuters reported on Thursday, citing eight sources.
Crude prices, a key catalyst for the Gulf's financial markets, have soared in 2022 to their highest since 2008, climbing above $139 a barrel in March after the United States and Europe imposed sanctions on Russia over its invasion of Ukraine.
Prices have since eased to just over $100 a barrel as soaring inflation and higher interest rates raise fears of a recession that would erode demand.
Saudi Arabia's benchmark index gained 0.6%, with Retal Urban Development Co rising 0.7% and Al Rajhi Bank climbing 0.6%.
The kingdom's gross domestic product rose by 11.8% in the second quarter compared with the same period in 2021, according to initial government estimates on Sunday, as the world's top oil exporter benefited from higher energy prices.
Growth was largely driven by a 23.1% increase in oil activities, the General Authority for Statistics said, while non-oil activities expanded 5.4%.
Dubai's main share index added 0.6%, led by a 1.5% gain in top lender Emirates NBD and a 0.4% increase in blue-chip developer Emaar Properties.
In Abu Dhabi equities climbed 0.4%, helped by a 0.3% rise in the United Arab Emirates' biggest lender First Abu Dhabi Bank.
The Qatari index advanced 1%, buoyed by a 2.2% leap in Qatar Islamic Bank and a 1.9% gain in Qatar National Bank, the Gulf's largest lender.
Oil drops as weak China factory data fan demand concerns | Reuters
Oil drops as weak China factory data fan demand concerns | Reuters
Oil prices dropped on Monday, as weak manufacturing data from China and Japan for July weighed on the outlook for demand, while investors braced for this week's meeting of officials from OPEC and other top producers on supply adjustments.
Brent crude futures were down 82 cents, or 0.8%, at $103.15 a barrel at 0608 GMT. U.S. West Texas Intermediate crude was at $97.44 a barrel, down $1.18, or 1.2%.
Fresh COVID-19 lockdowns snuffed out a brief recovery seen in June for factory activity in China, the world's largest crude oil importer. The Caixin/Markit manufacturing purchasing managers' index (PMI) eased to 50.4 in July from 51.7 in the previous month, well below analysts' expectations, data showed on Monday. read more
Japanese manufacturing activity expanded at its weakest rate in 10 months in July, data showed on Monday. read more
"China's disappointing manufacturing PMI is the primary factor that pressed on oil prices today," CMC Markets analyst Tina Teng said.
Oil prices dropped on Monday, as weak manufacturing data from China and Japan for July weighed on the outlook for demand, while investors braced for this week's meeting of officials from OPEC and other top producers on supply adjustments.
Brent crude futures were down 82 cents, or 0.8%, at $103.15 a barrel at 0608 GMT. U.S. West Texas Intermediate crude was at $97.44 a barrel, down $1.18, or 1.2%.
Fresh COVID-19 lockdowns snuffed out a brief recovery seen in June for factory activity in China, the world's largest crude oil importer. The Caixin/Markit manufacturing purchasing managers' index (PMI) eased to 50.4 in July from 51.7 in the previous month, well below analysts' expectations, data showed on Monday. read more
Japanese manufacturing activity expanded at its weakest rate in 10 months in July, data showed on Monday. read more
"China's disappointing manufacturing PMI is the primary factor that pressed on oil prices today," CMC Markets analyst Tina Teng said.