UAE markets end lower as recession fears rattle investors | Reuters
Stock markets in the United Arab Emirates closed slightly lower on Friday, as sentiment turned bearish after U.S. consumer data rekindled fears of global recession.
Pulling down risk appetite further, U.S. Federal Reserve officials suggested on Thursday the need to sustain rate hikes to fight inflation.
Abu Dhabi's share index (.FTFADGI) edged 0.04% lower, extending losses to a third session, weighed down by industrials and energy stocks.
Index heavyweight conglomerate Alpha Dhabi Holding (ALPHADHABI.AD) slipped 0.4% while investment firm Multiply Group (MULTIPLY.AD) declined 1.1%.
Shares of Abu Dhabi Ports Company (ADPORTS.AD) rose 1.1% after the port operator signed maritime and port framework agreement with Angolan Organizations to enhance maritime connectivity along Africa's West Coast.
The firm also signed head of terms to establish a new joint venture to manage multipurpose terminal at Port of Luanda with Unicargas.
Oil, a key catalyst for Gulf's financial market, was up $0.69 or 0.80% at $86.85 a barrel, as of 1130 GMT.
Industrial and utilities sectors pressured Dubai's main share index (.DFMGI) down by 0.02%, as state-run utility firm Dubai electricity and Water Authority (DEWAA.DU) dropped 1.2%.
Saudi Arabia Wealth Fund Explored Bid to Buy F1 Motor Racing - Bloomberg
Saudi Arabia’s sovereign wealth fund considered an attempt to add Formula 1 motor racing to its growing portfolio of sports investments, people familiar with the matter said.
A potential deal faltered in the early stages last year as F1’s owner Liberty Media Corp. was not interested in selling the high-profile franchise, which Saudi Arabia’s Public Investment Fund valued at well above $20 billion including debt, the people said.
The PIF remains interested in the asset and would be a serious bidder should Liberty Media change its mind and decide to sell, the people said, asking not to be identified discussing confidential information.
Representatives for PIF and Liberty Media didn’t respond to requests for comment.
GCC’s IPO pipeline to remain strong in 2023 despite growing risks - report
The initial public offering (IPO) pipeline in the Gulf Cooperation Council (GCC) remains strong for 2023, with more issuances expected over the next several months.
The GCC could see between 27 and 39 IPO issuances, which include announced and rumoured offerings, Kamco Invest said in a new report.
“While we expect the trajectory of interest rate hikes, geopolitics, secondary stock market volatility and oil price volatility to continue to remain risks this year,” the investment bank added.
However, the report stated that the prevalence of the above factors did not stop strong IPO activity in 2022.
The total number of IPOs from the GCC climbed to 48 issuances in 2022 from 20 in 2021. Proceeds from GCC issuers rose around three times to $23.38 billion from $7.52 billion in 2021, Kamco Invest said, citing data from Bloomberg and stock exchanges.
