#SaudiArabia's Oil Output Cut, #Dubai Real Estate Boom, Erdogan's Turkey Team - Bloomberg

Saudi Arabia's Oil Output Cut, Dubai Real Estate Boom, Erdogan's Turkey Team - Bloomberg

The weekend’s OPEC+ meeting ended with a pledge from Saudi Arabia to cut its oil production by an extra 1 million barrels a day in July, while other members merely extended their existing curbs by 12 months.

Saudi Arabia’s bold move means ceding market share to other oil producers including Russia, which has been aggressively targeting buyers in Asia since Europe banned most imports of its oil following Moscow’s invasion of Ukraine.

Saudi Arabia’s supply drop will result in real barrels coming off the market since the kingdom has a track record of delivering on its pledges, RBC Capital Markets analysts wrote.

Chart of the Week 

Dubai is driving a rebound in luxury real estate sales. It now accounts for about 17% of global sales, up from 2% in 2019, according to Knight Frank. In that same period,  London ranked second at 14%.

Dubai Leads Super-Prime Property Market

Number of homes sold for over $10 million between January and March

Source: Knight Frank

This boom is also bringing life to the largest of the city’s famous palm-shaped artificial islands. Dubai approved a new development plan to revive the Palm Jebel Ali project that was halted amid the global credit crisis of 2008 and left hundreds of buyers in limbo.

The emirate’s top-tier office space is also in focus. The owners of ICD Brookfield Place, an office tower in the heart of Dubai’s financial district whose tenants include JPMorgan Chase and Bank of America, are considering selling a stake in the skyscraper.