Energy Opec+ sends conflicting messages on policy move Top Opec producers and their main allies have given a raft of conflicting messages about next oil policy moves, making it particularly difficult to predict the outcome of the next Opec+ meeting in early June. Remarks by Saudi Arabian energy minister Prince Abdulaziz bin Salman, the de-facto leader of the Organization of Petroleum Exporting Countries […] May 26, 2023
Banking and Finance Turkey holds policy rate at 8.5% ahead of poll runoff Turkey’s central bank kept its policy rate at 8.5 percent on Thursday as expected, holding steady for a third straight month, despite a market rout after the first round of elections which indicated President Tayyip Erdogan was poised to win in the runoff. After Erdogan’s solid lead in the May 14 vote became clear, the […] May 26, 2023
Banking and Finance Egypt defers wheat import payments on cash shortage Egypt has deferred payments for its large wheat purchases, in some cases by months, according to a government official and traders, as the country grapples with a shortage of hard currency. Egypt is one of the world’s biggest wheat importers and uses the purchases to make heavily subsidised bread, a politically sensitive benefit available to […] May 26, 2023
Banking and Finance Erdogan says Gulf states sent cash to boost forex reserves Turkish President Tayyip Erdogan said Gulf states recently sent funding to Turkey, briefly helping relieve the central bank and markets and he intends to meet and thank their leaders after Sunday’s runoff presidential election. “Our economy, banking and financial system are quite strong. Meanwhile, some Gulf states and such stocked money in our system. This […] May 26, 2023
Banking and Finance Fitch puts US credit rating on negative watch Ratings agency Fitch on Wednesday put the United States’ credit on watch for a possible downgrade, raising the stakes as negotiations over the country’s debt ceiling go down to the wire. Fitch put the country’s “AAA” rating, its highest rank, on a negative watch in a precursor to a possible downgrade should lawmakers fail to […] May 25, 2023
Banking and Finance Israeli says high Q1 profits of banks not sustainable Israel’s financial system is strong but the very high profits banks posted in the first quarter are not sustainable, its banking regulator said on Wednesday. The country’s largest five banks posted a combined 6.3 billion shekels ($1.7 billion) in net profit in the first quarter, helped by higher inflation and interest rates that sharply boosted […] May 25, 2023
Economy Erdogan’s party split on economic plan Days before Turkey’s runoff presidential election, there is disagreement and uncertainty within Tayyip Erdogan’s government over whether to stick with what some call an unsustainable economic programme or to abandon it, insiders say. According to interviews with nine sources, either government officials or others with direct knowledge of the matter, an informal group of ruling-party […] May 25, 2023
Economy IMF chief confident US will not default on debt The managing director of the International Monetary Fund (IMF) Kristalina Georgieva said on Wednesday she was confident the United States would avoid a debt default. The US government could fall behind on its bills next month – and even default on its debt – if Congress doesn’t raise a $31.4 trillion cap on government borrowing, […] May 25, 2023
Energy Russian president says oil prices at ‘justified’ levels Russian President Vladimir Putin said on Wednesday energy prices were approaching “economically justified” levels and that Russia was continuing to meet its commitments on energy supplies. Speaking at a conference of the Russian-led Eurasian Economic Union in Moscow, Putin also raised the issue of energy shortages in Europe. “Now, thank God, energy prices are approaching […] May 25, 2023
Banking and Finance Lebanon set to be grey-listed by financial crime watchdog Lebanon is likely to be placed on a “grey list” of countries under special scrutiny over unsatisfactory practices to prevent money laundering and terrorism financing, three sources familiar with the matter told Reuters. Being added to the list would be another major blow to a country in a financial tailspin since 2019 and struggling to […] May 24, 2023
Economy Indonesia and Iran sign preferential trade pact The leaders of Indonesia and Iran have signed a preferential trade agreement to expand economic relations during an official visit by Iranian President Ebrahim Raisi. Indonesian President Joko Widodo, speaking after a signing ceremony that was streamed online by his cabinet secretariat, hoped the agreement “would increase trade between Indonesia and Iran” but did not […] May 24, 2023
Energy Iraq awaits final answer from Turkey to resume exports Iraq is still waiting for a final answer from Turkey to resume its northern oil exports, which run from the semi-autonomous Kurdistan region to the Turkish port of Ceyhan, Iraq’s oil minister Hayan Abdel Ghani said. Turkey told Baghdad a technical team was evaluating whether the pipeline was damaged as a result of the devastating […] May 24, 2023
Energy Saudi warns speculators of pain ahead of Opec+ meet Saudi Arabia’s energy minister Prince Abdulaziz bin Salman said he would inflict more pain on short sellers and told them to watch out just days before a planned Opec+ meeting to decide on future oil policy. “Speculators, like in any market they are there to stay, I keep advising them that they will be ouching, […] May 24, 2023
Banking and Finance StanChart CEO surprised by Credit Suisse sale to UBS Standard Chartered CEO Bill Winters said the sale of Credit Suisse to UBS was “surprising” given the “unusual” terms of the deal, which prioritised shareholders over bondholders. “The conclusion was very surprising to me, in terms of the way that the bank was resolved through this very unusual sale to UBS, with associated unusual payments […] May 24, 2023
Logistics Boeing CEO predicts supply chain pressure until 2024 Boeing CEO Dave Calhoun said it could take until the end of 2024 to iron out sector-wide supply chain problems that have hampered global jetliner production. “Priority one for the two airplane manufacturers is stability,” Calhoun told the Qatar Economic Forum, referring to Boeing and its main European rival Airbus. “We have to resolve the […] May 24, 2023
Economy Israel set to approve 2023-24 budget amid protests Israel’s parliament began a final vote on the state budget late on Tuesday, granting some political reprieve to Prime Minister Benjamin Netanyahu whose hard-right coalition government has been strained by months of protests. Facing last minute funding demands by some of his religious and far-right allies as his government approached a May 29 deadline, Netanyahu […] May 24, 2023
Retail Tesla to sell China-made electric vehicles in Canada Tesla is listing China-made Model 3 and Model Y models for sale in Canada, the company’s website showed, confirming the electric car maker has completed its first shipments to North America from its Shanghai factory. Tesla’s website showed both rear-wheel drive Model Y vehicles and the long-range, all-wheel drive version of the Model 3 available […] May 23, 2023
Banking and Finance High inflation helps to swell UK budget deficit in April Britain recorded a larger-than-expected budget deficit in April, as interest accrued on inflation-linked government bonds pushed the debt interest bill for the month to a new record, official data showed on Tuesday. Public sector net borrowing, excluding state-owned banks, rose in April to £25.56 billion ($32.26 billion), the Office for National Statistics (ONS) said. A […] May 23, 2023
Banking and Finance Bank of Israel hikes key rates to tame inflation The Bank of Israel has hiked benchmark interest rates to their highest level since 2006, citing high inflation and a tight labour market and said upcoming data would determine whether it raised them further. The central bank lifted the key rate for the 10th policy meeting in a row, to 4.75 percent from 4.5 percent. […] May 23, 2023
Tech Cybersecurity firms to gain from growing threat of hacks Top US cybersecurity companies are expected to report another quarter of strong growth as high-profile hacks and a shift in client preference for bigger players with better integrated offerings help support their businesses in a turbulent economy. Palo Alto Networks, the largest player in the space by market share and valuation, will kick off sector […] May 23, 2023
Banking and Finance Majid Al Futtaim picks banks for dollar green sukuk UAE retail conglomerate Majid Al Futtaim (MAF) has mandated banks for a possible 10-year benchmark-sized green Islamic bond, an indicative term sheet seen by Reuters showed. Proceeds from the sukuk sale will go towards funding or refinancing eligible green projects under the company’s green finance framework of 2019. Benchmark-sized is typically understood to mean at […] May 23, 2023
Banking and Finance Merger of UK and US law firms to create $3.4bn entity London-based law firm Allen & Overy and New York’s Shearman & Sterling plan to merge, they announced on Sunday, in a deal that would create one of the world’s largest legal practices with combined global revenue of approximately $3.4 billion. If approved by a vote of partners at both firms, the tie-up would be one […] May 22, 2023
