South-West Asia

Four sources said that OPEC+ would likely stick with its plan to increase oil production for a second month in a row in May. This is despite the steady price of oil and plans to make some members reduce their pumping to compensate past overproduction. OPEC+, a group consisting of OPEC producers and allies led by Russia and pumping over 40% of world oil. The group plans to increase its output by 135,000 barges per day in the month of May. This would be the second increase in a plan that aims to undo some of the millions barrels per...

At a Beijing business forum on Sunday, Chinese Premier Li Qiang called for countries to expand their markets in order to combat the "rising uncertainty and instability" as China prepares to face further U.S. trade tariffs. State media reported that Li said, "In an increasingly fragmented and uncertain world, with rising instabilities and uncertainties, it's more important for countries to open their markets and enterprise... to resist challenges and risks." He was speaking to dozens of visiting U.S. Republican senator Steve Daines and dozens other foreign CEOs at the China Development Forum. Sources previously said that foreign CEOs, including Tim...

Cognite, a Saudi Aramco-backed software company for industrial applications in Bengaluru in southern India, opened its AI service center on Wednesday and announced that it was exploring possible contracts with the top conglomerates of the country. The company declined to give further details, but said that it had signed agreements with two major automobile companies and a large industrial-cement company. Hakon Bjerke, chief strategy officer at Cognite, said that the company is "betting on India" and investing millions of dollars in India. Cognite produces software to help companies improve the safety and operation of industrial installations such as oil and...

S&P, a global ratings agency, raised Saudi Arabia's credit rating from 'A to 'A+ with a stable outlook' on Friday. This was based on the ongoing social-economic transformation of the country. Fitch stated that the Vision 2030 project of the country provides flexibility in managing capital spending and debt issuance. This report stated that the sustained momentum of this project could help boost activity in the construction, manufacturing, and mining sectors to spur GDP growth between 2025-2028. The ratings agency said earlier this week that it expected the Saudi government to reduce capex, and current spending associated with them in...

The Syrian presidency announced on Monday that the Kurdish-led, U.S.-backed Syrian Democratic Forces, which control much of Syria's oil rich northeast, had signed an agreement agreeing to be integrated into Syria's newly created state institutions. The agreement, which included an end to all hostilities, has been signed by the interim Syrian president Ahmed al-Sharaa, and Mazloum Abdi, commander of the SDF. According to the agreement, the text of which was published online by the president, all civil and military institutions located in the northeastern part of Syria will be integrated into the state. The latter will then take control over...

A State Department spokesperson confirmed that the Trump administration had revoked on Saturday a waiver which allowed Iraq to pay Iran electricity as part of Donald Trump's campaign against Tehran. The spokesperson stated that the decision to let Iraq’s waiver expire ensures that we don't allow Iran any economic or financial relief. Trump's campaign against Iran is aimed at "ending its nuclear threat, curbing its ballistic missile programme and stopping it from supporting terrorist organizations." In one of his very first acts upon returning to office, Trump restored the "maximum" pressure on Iran. In his first term he pulled out...

The United States is reviewing existing sanctions waivers which provide Iran with any degree of economic assistance, and the U.S. State Department spokesperson stated on Thursday that the United States was urging the Iraqi Government to eliminate their dependence on Iranian energy sources as soon as they can. At her first press briefing as the spokesperson for President Donald Trump, Tammy Bruce responded to a question about whether or not a waiver of sanctions that allows Iraqi electricity payments to Iran would be renewed. She said, "We don't have anything to announce regarding the current electricity exemption that expires (on)...

The British government unfroze assets belonging to the central bank of Syria and 23 other entities, including banks and oil firms. This is a reversal of sanctions that were imposed under Bashar al Assad's presidency. After more than 13 years in civil war, insurgents led by Hayat Tahrir Al-Sham ousted Assad from his position as president last December, the West has rethought its approach towards Syria. The British Government website posted a notice stating that entities such as the Central Bank, the Commercial Bank of Syria, and the Agricultural Cooperative Bank were delisted and no longer subject to a asset...

ADNOC (Abu Dhabi National Oil Co.), a state-owned company, has pursued a number of mergers and acquisitions with European companies with the aim of diversifying and developing its renewable energy and chemicals operations. ADNOC has been involved in the following deals and discussions: COVESTRO ADNOC announced on October 1 that it had agreed to purchase German chemicals manufacturer Covestro for $14.7 billion. This is one of the largest foreign takeovers in the Gulf, and is intended to reduce the country's heavy reliance on oil during the energy transition. ADNOC will merge with OMV its polyolefin business to create a chemical...

Sources said that as OPEC+ debated if they should keep oil production steady because of weak global demand, or increase it in response to pressure from the U.S. president Donald Trump and internal pressure, a record output from Kazakhstan helped sway their decision. OPEC, along with its allies, including Russia, a collective known as OPEC+ decided to increase production for the first since 2022. It stated that its decision was based on a healthy market and positive market prospects, without mentioning Kazakhstan. The group plans to increase production by 138,000 barrels a day starting in April. This is the first...

The Gulf's stock markets fell on Tuesday morning as U.S. trade tariffs threatened an increase in global trade tensions. Saudi Aramco also disappointed investors with its disappointing earnings. The new tariffs of 25% on imports to the United States from Mexico and Canada, as well as a 20% increase on Chinese goods, went into effect on Tuesday. This sparked new trade disputes with three of the U.S.'s top trading partners. Saudi Arabia's benchmark stock index fell 1.1%. Saudi Aramco fell 2.2% after a decline in profit. The oil giant reported Tuesday a net loss of $106.2 billion for 2024. This...

Aramco, the Saudi oil giant, said it expected to declare dividends totaling $85.4 billion by 2025. This is a drop of nearly 30% from 2024 payouts due to lower sales and increased costs. Aramco will pay out about $124.25 Billion in dividends by 2024, and $97.78 Billion in 2023. Aramco’s dividends in 2024 included approximately $43,1 billion in performance-linked bonuses, a mechanism that was introduced in 2023 and is paid on top of the base dividends which are paid regardless. The company announced $200 million in performance linked dividends that will be paid out in the first quarter 2025. This...

The Gulf stock markets were characterized by low volume on Tuesday, with prices falling as investors awaited clarification of the U.S. threat to impose reciprocal tariffs early next month. On Monday, Donald Trump announced that automobile tariffs will be implemented soon. He also said, however, that some of the levies he had threatened would not be imposed until April 2, indicating a degree of flexibility in this matter. Trump's tariff policy is expected to have a negative impact on global economic growth. It could also trigger more trade tensions and increase inflation. Saudi Arabian Mining Company lost 1.7%. Al Rajhi...

Gold prices fell on Tuesday, after U.S. president Donald Trump said that not all his tariffs will take effect on the 2nd of April. This boosted risk sentiment and a Federal Reserve official indicated a cautious approach to rate cuts in 2018. As of 0224 GMT, spot gold was down by 0.1%, at $3,010.64 per ounce. U.S. Gold Futures were unchanged at $3,015.00. Gold prices have been on the decline recently as improved risk appetite, a softer U.S. trade rhetoric and a recent surge in gold's price has led to some profit-taking. Trump announced on Monday that automobile tariffs will...

The de facto ceasefire that had been agreed between Congolese and Rwandan rebels in Walikale, a town located in eastern Congo, appeared to have collapsed on Monday. The rebels reneged on their promise to withdraw from the area and accused the army of breaking its own promises. The M23 rebels are hopeful about a possible ceasefire in Walikale. Captured last week The hope that diplomatic efforts would be revived to end the largest conflict in eastern Democratic Republic of Congo for decades was briefly sparked. This conflict is rooted in the long-lasting fallout of the 1994 Rwandan genocide and the...

Gold prices were stable on Monday due to a weaker dollar and the uncertainty surrounding President Donald Trump's proposed tariffs. At 1000 GMT, spot gold was $3,024.39 per ounce. U.S. Gold Futures rose 0.3% to $3,029.50. Ross Norman, a independent analyst, said that a modestly weaker US dollar may be giving gold some momentum at the moment. Gold is now less expensive to foreign buyers because the U.S. Dollar has fallen by 0.1% on Monday against a basket other major currencies, but it's been down around 3.4% this month. U.S. president Donald Trump hinted Friday at some flexibility in regards...

Steve Witkoff, the U.S. Special Envoy to the Ukraine war, expressed optimism ahead of the high-stakes negotiations in Saudi Arabia on Sunday. He said that he thought Russian President Vladimir Putin wished to end the conflict. Witkoff, a Fox News reporter, said: "I think he's looking for peace." Later on Sunday, a U.S. delegation will hold discussions in Saudi Arabia with Ukrainian officials about a possible partial truce between Ukraine and Russia. U.S. officials and Russian officials are scheduled to hold further talks Monday in Saudi Arabia. "I believe that on Monday you will see some real progress in Saudi...

After three straight record highs, gold was set to gain for a third consecutive week on Friday. This was boosted by the Federal Reserve’s rate-cutting cues and the demand for safe havens amid geopolitical uncertainties and economic uncertainty. As of 0235 GMT, spot gold was down 0.3% at $3,034.09 per ounce. Bullion rose to an all-time record of $3,057.21 for each ounce Thursday. It has gained about 2% this week. U.S. Gold Futures remained at $3,042.60. "I do not think that we need to wait for a specific trigger to make gold hit another record. Kyle Rodda, financial market analyst...

Gold prices dipped slightly on Wednesday as profit-booking took place after the record high. Meanwhile, attention shifted to the U.S. Federal Reserve's policy announcement due later that day. Gold spot fell by 0.2%, to $3,027.89 per ounce at 0930 GMT. It had earlier reached a high of $3,045.24. U.S. Gold Futures fell 0.1% to $3.036.60. Soni Kumari is a commodity analyst at ANZ. She said that there was a chance of profit-taking because of the sharp price rise. However, "it's also possible for prices to go beyond $3,050 due to market fears about geopolitics." This year, gold, a popular investment...

State news agency SPA reported that the Saudi Industry and Mineral Resources Ministry awarded mining exploration licences on Tuesday to several local as well as international firms. Licenses were granted to Indian miner Vedanta, and a consortium including local Ajlan & Bros as well as China's Zijin Mining. The first mineralized belts of the Kingdom are located in Madinah at Jabal Sayid and Aseer, Al Hajar. Both are rich in precious and base metals including gold, silver, copper, zinc and other precious metals. According to SPA, the licenses cover a combined area of 4,788 sq km (1,849 sq mi). The...

The United Arab Emirates exported aluminium to the United States in the first eleven days of March. This was due to buyers stocking up on shipments before U.S. Tariffs went into effect on Wednesday. The UAE has exported 68.560.29 tons of aluminum to the U.S. so far in March before tariffs were imposed, compared with 16,124.88 tons for the whole of March 2024. Exports are at their highest level in nearly two years on a monthly scale. The President Donald Trump has imposed 25% tariffs for all U.S. imports of steel and aluminum with the aim of strengthening domestic production....

The price premiums for aluminum on the US physical market have reached a new record due to the threat of tariffs being imposed on imports. Aluminium is used in transport, construction and packaging. Donald Trump, the President of the United States, plans to reinstate 25% tariffs on aluminum imports as of March 12. On Tuesday, tariffs on the majority of imports from Mexico or Canada came into effect. On the physical market, buyers pay a premium that typically covers taxes and transport costs. The U.S. Midwest duty paid aluminium premium is now above 40 U.S. Cents per lb, or almost...

The U.S. president Donald Trump ordered on Saturday a new investigation into trade that could add more tariffs to imported lumber. This would be in addition to the existing duties on Canadian softwood timber and 25% tariffs due next week on all Canadian and Mexican products. In his third new investigation in a single week, Trump has signed a memorandum ordering Commerce Secretary Howard Lutnick that he initiate a national-security investigation into U.S. Lumber Imports under Section 223 of the 1962 Trade Expansion Act. Trump used the same trade law to impose tariffs against global imports of steel and aluminum....

Gold is being flown into the United States by global bullion banks from Asian trading hubs, such as Dubai and Hong Kong. They are doing this to take advantage of the high premium on U.S. futures gold prices over the spot price. Gold is traditionally transported eastward by bullion banks from the West in order to satisfy the demand of China and India. These two countries are the largest consumers worldwide, representing almost half the global consumption. In recent months, the fear of U.S. tariffs on imports by President Donald Trump drove Comex futures prices above spot prices. This created...