Solely aggregation of news articles, with no opinions expressed by this service since 2009 launch on this platform.
Copyright to all articles remains with the original publisher and HEADLINES ARE CLICKABLE to access the whole article at source.
(Subscription by email is recommended,with real-time updates on LinkedIn and Twitter.)
Saudi Arabia has unveiled a flurry of new investment projects led by the world’s biggest steelmaker as the kingdom dangles incentives for companies willing to operate in its special economic enclaves.
China’s Baoshan Iron & Steel Co. will commit 15 billion riyals ($4 billion) to build a plant for steel plate manufacturing in a new economic zone in Ras Al-Khair on the kingdom’s eastern coast, according to an announcement made at an event in Riyadh on Monday.
Domestic names such as Himmah, which is establishing an auto-parts export hub catering to Africa and the Middle East, will drive capital into some of the other special areas that authorities are setting up across the country and which already attracted the likes of Lucid Group Inc. as anchor investors.
Saudi Arabia wants to turn the areas into gateways for investment by offering preferential corporate tax rates, exempting companies based there from many customs duties and allowing for full foreign ownership of businesses.
Stock markets in the Gulf ended in different directions on Monday after U.S. lawmakers reached a tentative agreement on the debt ceiling, while concerns about more Federal Reserve interest rate hikes weighed on sentiment. U.S. President Joe Biden and House Speaker Kevin McCarthy forged an agreement at the weekend to suspend the $31.4 trillion debt ceiling and cap government spending for two years. Both leaders expressed confidence that members of the Democratic and Republican parties would vote to support the deal.
Dubai's main share index edged 0.1% higher, supported by a 1.2% rise in sharia-compliant lender Dubai Islamic Bank. In Abu Dhabi, the index dropped 0.4%.
The Abu Dhabi bourse remained on a downtrend as sentiment remained cautious and energy markets were under pressure, said Farah Mourad, senior market analyst at XTB MENA. "The market could see some support thanks to ADNOC Logistics initial public offering's success. At the same time, companies like DANA Gas could attract more foreign investors as they open their capital to foreign ownership further," Mourad said.
Saudi Arabia's benchmark index gave up early gains to finish flat as gains in financials were offset by losses in healthcare shares. United Electronics gained 3.4% after Reuters cited two sources familiar with the matter as saying the firm was planning an initial public offering of its Islamic consumer finance business, Tasheel Finance.
Among losers, oil giant Saudi Aramco shed 0.6%. Crude prices - a key catalyst for the Gulf's financial markets - slipped as economic worries over further interest rate hikes trumped the U.S. debt ceiling deal.
Outside the Gulf, Egypt's blue-chip index rose 0.5%, with tobacco monopoly Eastern Company jumping 2.7%.
The Dubai Financial Market (DFM) today announced the offering of futures contracts on its General Index (DFMGI), which includes the most liquid and largest companies listed on the DFM. The listing and trading of DFMGI futures will commence today.
Trading futures contracts on the DFMGI offers investors the opportunity to access one of the best performing indices in the world comprising DFM’s largest and most liquid stocks, including the recently successfully listed Empower, Dewa, Salik, and others, as well as the region's leading blue-chip companies such as Emaar and Aramex.
DFMGI will provide strong diversification and hedging opportunities for both retail and institutional investors and drive more professional investors' participation in the marketplace.
DFMGI futures are DFM's latest innovative offering to internationalize Dubai's financial markets and promote market liquidity and depth. They allow investors to make gains when the index falls and rises and magnify gains through the use of leverage.
Hamed Ali, CEO of DFM, said, "The launch of DFMGI Future is further evidence of our commitment to diversify products and provide investors with unique investment and hedging opportunities. This is in line with our concerted efforts to bring innovative products to market to increase retail and institutional investor participation while increasing the depth and breadth of the market."
The DFMGI has posted robust performance of 4.4% last year, followed by a strong growth of 6.14% from the beginning of 2023 till May 2023.
The DFMGI futures closely track the underlying price performance of the DFM General Index, which in turn provides a benchmark for the overall performance of the Exchange. The futures contract will help investors effectively hedge against market volatility and make profitable trades.
The DFMGI tracks key sectors such as Financials, Industrials, Real Estate, Utilities, Communication Services, Transportation, among others.
Most stock markets in the Gulf rose in early trading on Monday after lawmakers in Washington reached a tentative agreement on the U.S. debt ceiling deal, although concerns about more Federal Reserve interest rate hikes capped gains.
U.S. President Joe Biden and House Speaker Kevin McCarthy forged an agreement at the weekend to suspend the $31.4 trillion debt ceiling and cap government spending for two years. Both leaders expressed confidence that members of the Democratic and Republican parties will vote to support the deal.
Saudi Arabia's benchmark index (.TASI) gained 0.2%, helped by a 1.8% rise in Riyad Bank (1010.SE) and a 0.9% increase in Alinma Bank (1150.SE).
Among other gainers, United Electronics (4003.SE) climbed about 4% after Reuters cited two sources familiar with the matter as saying the firm is planning an initial public offering of its Islamic consumer finance business, Tasheel Finance.
Dubai's main share index (.DFMGI) added 0.5%, with sharia-compliant lender Dubai Islamic Bank (DISB.DU) putting on 1.4%.
In Qatar, the index (.QSI) was up 0.2%, with Qatar Navigation (QNNC.QA) rising 1.9%.
Crude prices - a key catalyst for the Gulf's financial markets - rose on the U.S. debt ceiling deal, possibly averting a default in the world's largest economy and oil consumer.
Prices gained following the U.S. debt ceiling talks and after Saudi energy minister Abdulaziz bin Salman warned short-sellers betting that oil prices will fall to "watch out" for pain.
The Abu Dhabi index (.FTFADGI) bucked the trend, trading 0.2% lower.
