IS Morning Report Sunday, December 09, 2018

Transcription

1 # Global & Regional Benchmarks # UAE Trading Summary Indices Close 1Day 1Mnth 3Mnth YTD 1Y (AEDm) BUY SELL NET ADX 4, % -2.8% -0.8% 10.9% 14.0% ADX DFM 2, % -8.8% -8.7% -23.4% -24.0% Local 80% 81% -1% TASI 7, % 0.7% 2.1% 8.6% 10.8% Foreign 20% 19% 1% BHSEASI 1, % 0.3% -1.5% -0.9% 4.2% Institutional 95% 86% 9% EGX 12, % -9.0% -21.6% -17.5% -13.3% Retail 5% 14% -9% Dow Jones 24, % -6.2% -5.7% -1.3% 0.2% DFM S&P 500 2, % -5.3% -8.5% -1.5% -0.7% Local 54% 43% 11% Nasdaq 6, % -5.9% -12.1% 1.0% 1.9% Foreign 46% 57% -11% FTSE 100 6, % -4.6% -6.9% -11.8% -8.3% Institutional 53% 61% -8% DAX 10, % -6.4% -10.0% -16.5% -18.0% Retail 47% 39% 8% CAC40 4, % -5.7% -8.7% -9.4% -10.9% Total Nikkei225 21, % -2.6% -3.1% -4.8% -5.0% Local 71% 67% 4% HIS 26, % 1.8% -2.1% -12.9% -9.0% Foreign 29% 33% -4% # Upcoming Corporate Actions & Events Date Company Event 9-Dec CBI B. Meeting/Operations 10-Dec UAB B. Meeting/Operations 11-Dec DXBE B. Meeting/Operations 11-Dec ADCB B. Meeting/Operations 16-Dec Salama G. Assembly # KEY STORIES ADNOC makes first foray overseas with Saudi launch

2 Emaar launches new residential development in Dubai Creek Harbour Gulf Navigation board approves refinancing loans for 4 vessels DP World inks $747m deal to expand European reach Marka shareholders approve share capital restructuring GCC's economic diversification to boost foreign investment and non-oil trade, IMF says Emirates NBD Saudi Arabia PMI rises to 11-month high of 55.2 in November from 53.8 in October Saudi's Ma'aden says Ma aden Rolling to start commercial production on Dec 09 Saudi Printing and Packaging restructures existing financing with Alinma Bank Saudi's Sipchem enters into business merger of equals with Sahara Oman Cement Board agrees to set up integrated cement plant in Duqum Kuwait to be added to S&P DJI Global Benchmark Indices with emerging market status Kuwait prepares draft law regulating bankruptcy and restructuring banks Bahrain s Taib Bank seeks shareholders approval for liquidation of bank Egypt's non-oil PMI rises to 49.2 in November from 48.6 in October Egypt to auction $1 billion one-year dollar-denominated T-bills on Dec C. Bank Sidi Kerir Petrochemicals says investment for year 2019 estimated to be EGP 293.5mln Suez Canal Bank says no impact of proposed tax amendment on 2018 results # Key Global Trends/ Market Clues Asian shares fought to sustain the slimmest of recoveries on Friday amid speculation the Federal Reserve might be one-and-done with U.S. rate hikes. MSCI s broadest index of Asia-Pacific shares outside Japan nudged up 0.4 percent, though that followed a 1.8 percent drubbing on Thursday. Japan s Nikkei added 0.2 percent and Chinese blue chips 0.3 percent. OPEC and its Russia-led allies agreed on Friday to slash oil production by more than the market had expected despite pressure from U.S. President Donald Trump to reduce the price of crude. The producer club will curb output from January by 0.8 million barrels per day versus October levels while non-opec allies contribute an additional 0.4 million bpd of cuts, in a move to be reviewed at a meeting in April. Oil prices jumped more than 2 percent on Friday as Saudi Arabia and other producers in OPEC, as well as allies like Russia, agreed to reduce output to drain global fuel inventories and support the market. Brent crude rose $1.64, or 2.9 percent, to $61.70 a barrel by 1:46 p.m. EDT (1746 GMT). In early trading, the global benchmark had dropped below $60 when it looked as if oil exporters might leave output targets unchanged. It then rallied to a session high of $63.73 on news of the agreement. # UAE Stories

3 ADNOC Distribution has announced the start of operations in Saudi Arabia. The company, a unit of Abu Dhabi National Oil Company, said two service stations opened this week, one near Riyadh and one in the Eastern Province. This marks the first phase of a commitment the company made at the time of its IPO in December 2017 to grow its business, not only in the UAE but also internationally. Emaar Properties Dubai Creek Harbour has launched Sunset residences, a new apartment complex located near Dubai s Creek Beach. The community which includes one, two, three and four-bedroom apartments includes private gardens and a number of resort-style amenities, Emaar said in a statement. Gulf Navigation board approves refinancing loans for 4 vessels DP World on Thursday announced the takeover of the Unifeeder Group, an integrated logistics company with connectivity to approximately 100 ports in Northern Europe. Unifeeder operates the largest and most densely connected common user container feeder and an important and growing short sea network in Europe. DP World said in a statement.the transaction valued at 660 million ($747 million) will enhance DP World s presence in the global supply chain and broaden its services to customers, it added. Marka s shareholders approve reduction of company s share capital from AED 500mln to AED 49.87mln. Shareholders also approve issued share capital increase up to AED 250mln and continuity of company s operations. # GCC/ MENA Arabian Gulf countries' drive for economic diversification, underpinned by a focus on attracting foreign investments and non-oil trade, will spur the region's growth, the International Monetary Fund said. Boosting foreign investments and removing non-tariff trade barriers could lead to a one percentage point increase in real non-oil per capita GDP growth, the IMF said in a policy paper. Increasing non-oil exports could provide additional growth in the range of 0.2 to 0.5 percentage points. Emirates NBD Saudi Arabia PMI rises to 11-month high of 55.2 in November from 53.8 in October. Saudi Arabian Mining updates on date of commencement of commercial production of the Ma aden Rolling Company. Commencement of commercial production of the Ma aden rolling on Dec 9, 2018 with plant capacity to produce 380 kmt per year of aluminium flat rolled products. Saudi Printing and Packaging signs Islamic credit facility agreement with Alinma Bank to restructure existing financing. Saudi Printing and Packaging total previous financing is 480mln riyals, remaining part of original financing to be restructured is 200mln riyals. Saudi's Sipchem announces its firm intention to enter into a business merger of equals with Sahara petrochemicals. Merger by way of a recommended offer to acquire all of the issued shares in Sahara in exchange for new shares in sipchem and upon completion of deal, all of Sahara shares will be delisted from Tadawul and Sahara will become a wholly owned subsidiary of Sipchem. Exchange ratio for every one Sahara share, new Sipchem shares. Oman Cement board has agreed to go ahead with setting up of a new integrated cement plant in Duqum area. Oman Cement says plant will have a capacity of producing 5000 tpd of clinker and envisages an investment of about USD 212million. Kuwait will be added to the S&P Dow Jones Indices' Global Benchmark Indices with an emerging market classification by next year. The move will be effective before the market open on September 23, 2019, S&P said in a statement on its website.

4 The Central Bank of Kuwait has prepared a draft law regulating the bankruptcy and restructuring of local banks, independent of the general law prepared by the Ministry of Commerce and Industry in cooperation with the World Bank. Bahrain s Taib Bank seeks shareholders approval for liquidation of bank. Egypt's non-oil PMI rises to 49.2 in November from 48.6 in October. Egypt to auction $1 billion one-year dollar-denominated t-bills on Dec C. Bank. Sidi Kerir Petrochemicals says investment for year 2019 estimated to be EGP mln. Suez Canal Bank says no impact of proposed tax amendment on 2018 results. (Source: ADX, DFM, Bloomberg, Reuters, Gulf News, The National, Arabian Business)

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