CEOs upbeat on Dubai’s economic prospects
Dubai’s business community’s confidence level and optimism have shown a remarkable upswing on the back of brightening economic growth outlook and promising opportunities the emirate offers for investors and companies.
A survey by Dubai Chambers revealed that the emirate’s Business Climate Index rose to 168 points for Q1 2024, up from 144 points during the same period last year, underscoring the increasing confidence and optimism of the private sector businesses.
“The findings of the survey underline the importance of efforts to accelerate the pace of growth across all economic sectors and further enhance the emirate’s favourable business environment,” said Mohammad Ali Rashed Lootah, president and CEO of Dubai Chambers.
“Creating conditions that are conducive to growth strengthens the private sector’s confidence in Dubai’s ability to generate sustainable investment opportunities and ensure the emirate remains at the forefront of the global business landscape,” he said.
In the first nine months of 2023, Dubai’s economy expanded by an annual 3.3 per cent, driven by growth in the emirate's tourism and transportation sectors, reflecting the emirate’s favourable economic climate, robust world-class infrastructure, pro-business regulations and deep talent pool which together consistently draw in a diverse array of investors and entrepreneurs from all corners of the globe.
Friday 16 February 2024
Mideast Stocks: #UAE markets gain on rate cut bets
Mideast Stocks: UAE markets gain on rate cut bets
Stock exchanges in United Arab Emirates rose on Friday after a fall in U.S. retail sales revived the chance of a rate cut. Retail sales dipped 0.8% last month, the biggest drop since March 2023, the Commerce Department's Census Bureau said. Economists polled by Reuters had forecast a 0.1% decline in January.
Most Gulf Cooperation Council countries, including the United Arab Emirates (UAE), peg their currencies to the U.S. dollar and follow the Fed's policy moves closely.
Dubai's main market settled 0.5% higher, hitting a nearly nine-year high after recovering from last week's losses. Gains in the index were driven by market heavyweight Emaar Properties and Emirates NBD Bank which rose 1.6% and 1.7% respectively.
Strong local fundamentals and bullish sentiment could drive further gains on the Dubai index, Head of Market Research MENA at XS.com Ahmed Negm said, adding risks persisted "as geopolitical tensions in the region remain highly uncertain".
Abu Dhabi's benchmark index rose 0.2%, extending gains to a straight fourth session, helped by a 3.1% jump in IHC-owned investment company Multiply Group, while Abu Dhabi's biggest developer Aldar Properties increased 1.2%.
Abu Dhabi index recorded a 0.2% weekly gain after four weeks of losses, while the Dubai index notched up 1.8% on a weekly basis, LSEG data showed.
However, oil prices - a catalyst for the Gulf's financial markets - slipped on Friday after the International Energy Agency said oil demand was slowing as non-OPEC supply expands.
Brent crude fell 0.92% to $82.10 a barrel by 1146 GMT.
Stock exchanges in United Arab Emirates rose on Friday after a fall in U.S. retail sales revived the chance of a rate cut. Retail sales dipped 0.8% last month, the biggest drop since March 2023, the Commerce Department's Census Bureau said. Economists polled by Reuters had forecast a 0.1% decline in January.
Most Gulf Cooperation Council countries, including the United Arab Emirates (UAE), peg their currencies to the U.S. dollar and follow the Fed's policy moves closely.
Dubai's main market settled 0.5% higher, hitting a nearly nine-year high after recovering from last week's losses. Gains in the index were driven by market heavyweight Emaar Properties and Emirates NBD Bank which rose 1.6% and 1.7% respectively.
Strong local fundamentals and bullish sentiment could drive further gains on the Dubai index, Head of Market Research MENA at XS.com Ahmed Negm said, adding risks persisted "as geopolitical tensions in the region remain highly uncertain".
Abu Dhabi's benchmark index rose 0.2%, extending gains to a straight fourth session, helped by a 3.1% jump in IHC-owned investment company Multiply Group, while Abu Dhabi's biggest developer Aldar Properties increased 1.2%.
Abu Dhabi index recorded a 0.2% weekly gain after four weeks of losses, while the Dubai index notched up 1.8% on a weekly basis, LSEG data showed.
However, oil prices - a catalyst for the Gulf's financial markets - slipped on Friday after the International Energy Agency said oil demand was slowing as non-OPEC supply expands.
Brent crude fell 0.92% to $82.10 a barrel by 1146 GMT.
#Saudi Treasury Holdings Hit Highest Level in Nearly Three Years - Bloomberg
Saudi Treasury Holdings Hit Highest Level in Nearly Three Years - Bloomberg
Saudi Arabia added nearly $4 billion to its US Treasury holdings by the end of last year, taking its stockpile to the highest level since early 2021.
The amount stood at nearly $132 billion in December, according to the latest figures from the Treasury Department. Other top US government debt holders, including China and Germany, also increased holdings in the world’s safest asset, potentially taking advantage of attractive yields.
Benchmark 10-year Treasury yields fell by about 45 basis points in December, while the US dollar weakened about 2.1% during the same month, according to the Bloomberg Dollar Spot Index.
Saudi Arabia added nearly $4 billion to its US Treasury holdings by the end of last year, taking its stockpile to the highest level since early 2021.
The amount stood at nearly $132 billion in December, according to the latest figures from the Treasury Department. Other top US government debt holders, including China and Germany, also increased holdings in the world’s safest asset, potentially taking advantage of attractive yields.
Benchmark 10-year Treasury yields fell by about 45 basis points in December, while the US dollar weakened about 2.1% during the same month, according to the Bloomberg Dollar Spot Index.
Oil slips as weaker IEA demand outlook offsets rate cut hopes | Reuters
Oil slips as weaker IEA demand outlook offsets rate cut hopes | Reuters
Weighing on sentiment, the IEA said on Thursday that global oil demand growth was losing momentum and it trimmed its 2024 growth forecast, in contrast to the view held by the Organization of the Petroleum Exporting Countries (OPEC).
"There was a tentative attempt to recover yesterday morning, but hopes were shattered after the IEA published its updated supply-demand outlook," said Tamas Varga of oil broker PVM.
Brent crude futures were down 53 cents, or 0.6%, at $82.33 a barrel at 0915 GMT. U.S. West Texas Intermediate crude futures fell 33 cents to $77.70.
Both contracts climbed over 1% on Thursday as a larger-than-expected drop in U.S. retail sales prompted hopes the Federal Reserve will soon start cutting interest rates, which could be positive for oil demand.
Oil slipped on Friday as a forecast of slowing demand by the International Energy Agency offset support from geopolitical tensions and hopes that the U.S. Federal Reserve might cut interest rates sooner than expected.
Weighing on sentiment, the IEA said on Thursday that global oil demand growth was losing momentum and it trimmed its 2024 growth forecast, in contrast to the view held by the Organization of the Petroleum Exporting Countries (OPEC).
"There was a tentative attempt to recover yesterday morning, but hopes were shattered after the IEA published its updated supply-demand outlook," said Tamas Varga of oil broker PVM.
Brent crude futures were down 53 cents, or 0.6%, at $82.33 a barrel at 0915 GMT. U.S. West Texas Intermediate crude futures fell 33 cents to $77.70.
Both contracts climbed over 1% on Thursday as a larger-than-expected drop in U.S. retail sales prompted hopes the Federal Reserve will soon start cutting interest rates, which could be positive for oil demand.