Author: xPortfolios

The World Trade Organization chief said on Thursday that any tit-for-tat trade wars would have catastrophic consequences for global growth in a debate where U.S. President Donald Trump's tariff threats were discussed."If we have tit-for-tat retaliation, whether it's 25% tariff (or) 60% and we go to where we were in the 1930s we're going to see double-digit global GDP losses. That's catastrophic. Everyone will pay," said WTO Director-General Ngozi Okonjo-Iweala at the World Economic Forum in Davos.Source: Reuters.com

Major stock markets in the Gulf rose in early trading on Thursday, with investors continuing to keep a close eye on U.S. President Donald Trump's policy announcements to see how they unfold and impact the market.Trump said on Tuesday his administration was considering imposing a 10% tariff on Chinese goods starting Feb. 1. He previously said Mexico and Canada could face tariffs of around 25% from the same date.Such a move could significantly affect global trade and economic stability, with potential consequences, including higher prices for consumers and reduced economic growth.Saudi Arabia's benchmark index (.TASI) edged 0.1% higher, helped by a 2.5% rise ACWA Power Company (2082.SE).Separately, the kingdom's Crown Prince Mohammed bin Salman told Trump that Saudi Arabia wants to put $600 billion into expanded investment and trade with the United States over the next four years, according to the Saudi State news agency.Dubai's main share index (.DFMGI) gained 0.2%, with utility firm Dubai Electricity and Water Authority (DEWAA.DU) advancing 1.9%.In Abu Dhabi, the index (.FTFADGI) added 0.3%.The Qatari benchmark (.QSI) rose 0.5%, with the Gulf's biggest lender Qatar National Bank (QNBK.QA) gaining 1%.Qatar plans to introduce three new laws as part of a sweeping review of legislation designed…

Global stocks eased on Thursday, halting a rally sparked by U.S. President Donald Trump's mammoth spending plans for artificial intelligence infrastructure as some of that excitement fizzled out, though Chinese shares fared better on Beijing's support.In Europe, the STOXX 600 (.STOXX), which hit a record high on Wednesday, was down 0.1%, under pressure from a drop in technology shares (.SX8P), which had soared the previous day after Trump announced a $500 billion private-sector AI infrastructure investment plan.The joint venture, which involves Oracle (ORCL.N), OpenAI and SoftBank (9984.T) initially turbo-charged a rally in global stock markets, which drew further support from upbeat earnings.Without any more detail on Trump's plans for tariffs, the momentum faded and the dollar hovered around two-week lows, while stocks on Wall Street hit a record high the previous day (.SPX)."Clearly, the path of least resistance continues to lead to the upside in the equity space, with participants ably shrugging off tariff-related uncertainties for now," said Michael Brown, senior research strategist at Pepperstone."That said, next week brings a chunky slate of event risk, including the first FOMC decision of the year, as well as earnings from megacaps...It wouldn't be too surprising to see some equity longs trimmed into…

Indonesia's parliament proposed on Thursday to revise the country's mining law to help the government accelerate development of its mineral processing industry and to regulate mining permits for religious groups and for universities.President Prabowo Subianto has vowed to expedite development of Indonesia's mineral processing industry and energy transition and formed a special task force to come up with detailed plan for the sector.A parliamentary plenary meeting on Thursday agreed to launch a formal deliberation process for the law revision.Among the proposed revisions to the mining law was a plan to give certain companies priority access to mining areas for "downstreaming" purposes.The draft said companies may be prioritised based on their investment size, their mineral value-add plan and jobs creation for domestic workers.The draft bill is also includes plans to give priority access to religious groups and universities for certain metal ore mining areas, taking into account the size of the mines, the institutions' capability to manage them, and their plan to develop local economies and education.Indonesia last year issued a regulation allowing religious organisation to manage mining assets to provide them with a source of income, a move that critics have said was to reward the groups for their longstanding…

Exports of Italian sparkling wine such as prosecco to the U.S. surged by a record amount in November before possible tariffs on the sector, the latest available data from industry group Unione Italiana Vini (UIV) showed on Wednesday.Export volumes grew 41% in November, compared with a 19.5% growth in the first 11 months of the year overall, according to the industry body.The UIV said there had been a "sudden rush to stockpile" in anticipation of possible duties on imported goods to be imposed by President Donald Trump, who took office on Monday. UIV said such an increase sets a record for the month of November.Exports of Italian bottled still wines increased by 17% in November, UIV data showed."With an export value that will exceed 1.9 billion euros ($2 billion) in 2024, the United States accounts for 24% of Italian wine exports," UIV's chairman Lamberto Frescobaldi said in a statement.Trump has vowed to hit the European Union and other countries with tariffs in response to their trade surpluses with the U.S. ($1 = 0.9599 euros)Source: Reuters.com

Most stock markets in the Gulf ended higher on Wednesday amid general caution in response to U.S. President Donald Trump's recent policy announcements, with the Qatari index outperforming thanks to strong corporate earnings.Trump said late on Tuesday that his administration was considering imposing a 10% tariff on Chinese goods starting on Feb. 1. He previously said that Mexico and Canada could face tariffs of around 25% from the same date.Such a move could significantly affect global trade and economic stability, with potential consequences including higher prices for consumers and reduced economic growth.Trump also threatened duties on European imports, without providing further details.The Qatari index (.QSI) advanced 1.1%, led by a 3.9% jump in Commercial Bank (COMB.QA), after it reported a net profit of 3.03 billion riyals ($832.14 million) for 2024, little changed from last year, while proposing a nearly 20% higher full-year cash dividend.Qatar Fuel Company (QFLS.QA) finished 1.8% higher, ahead of its earnings announcement.Dubai's main share index (.DFMGI) added 0.2%, helped by a 1.4% gain in top lender Emirates NBD (ENBD.DU).Saudi Arabia's benchmark index (.TASI) fell 0.1%, hit by a 1.5% fall in ACWA Power Company (2082.SE), while digital security firm Elm Company (7203.SE) retreated 4%, as the firm…

Futures for Canada's main stock index rose on Wednesday as crude and gold prices climbed and investors took stock of the latest tariff threats from U.S. President Donald Trump.March futures on the S&P/TSX index were up 0.2% at 7.00 a.m. ET (1200 GMT).Gold prices reached an 11-week high, driven by safe-haven demand amid uncertainty over U.S. trade policies and a weaker dollar.Oil prices , edged higher after a more than 2% drop on Tuesday.Wall Street futures also advanced on Wednesday as investors responded positively to Netflix's strong quarterly results and Trump's significant support for the AI technology sector.The Toronto Stock Exchange's S&P/TSX composite index (.GSPTSE) gained for the sixth consecutive day on Tuesday, as optimism about a business-friendly U.S. government offset concerns about impending trade tariffs.Trump has vowed to impose tariffs on imports from China, Mexico, Canada and the European Union on Feb. 1.Domestic producer price index data, due before the bell on Wednesday, was also in focus after a softer-than-expected consumer price figure in the previous day strengthened the bets for another rate cut by the Bank of Canada.Markets are now pricing in an 85% probability of a 25 basis-point rate cut at the central bank's meeting on Jan.…

In many respects, Donald Trump inherited the "golden age" he claims to be ushering in. All he really needs to do is not screw it up.In economic and financial terms, the United States has rarely been in better health.The world's largest economy has been humming at annualized growth rates close to 3% over the past year, its potential growth has increased since before the pandemic and a technology-led performance gap with the rest of the world is stark and widening. Less than 5% of global investors see any chance of a U.S. downturn on the horizon.Jobs are plentiful, the economy remains at full employment by any reasonable definition, and inflation-adjusted annual wage growth is running at twice the 40-year average.The post-pandemic inflation spike that forced a brutal squeeze in borrowing costs has subsided. Inflation has fallen back down near the Federal Reserve's 2% target, and interest rates are declining again as a result.To be sure, part of the steep price paid to get here is the bloated U.S. government deficit, which has expanded to a worrying 6% of national output and nudged the U.S. public debt pile north of a full year's gross domestic product.But thanks in part to the…

Oman's state-owned logistics firm Asyad Group plans to sell shares in its shipping subsidiary through an initial public offering, it said on Wednesday, as part of the Gulf country's privatisation drive.The group, owned by Oman's sovereign wealth fund, plans to sell a stake of at least 20% in Asyad Shipping Co and float it on the Muscat stock exchange, it said in document detailing its intention to float."The intended listing would provide investors with the opportunity to invest in one of the world's largest diversified maritime shipping companies and a key player in the Omani economy," the company said.Oman is pushing forward with a privatisation drive to attract foreign investors.That strategy, along with fiscal reforms, has helped the Sultanate pay down debt and turn its large fiscal deficit of recent years into a surplus since 2022.Asyad Shipping focuses on transporting liquefied natural gas (LNG), crude oil and other products. It lists energy firms BP (BP.L) and Shell as well as trading firm Trafigura among its customers and partners.Reuters reported in July last year that Asyad was planning an initial public offering of the subsidiary and had selected Jefferies Group and EFG Hermes as advisers.The offering will be made in two…

Major stock markets in the Gulf edged higher on Wednesday, with investors cautious following a flurry of new policies from U.S. President Donald Trump.Trump said late on Tuesday that his administration was considering imposing a 10% tariff on Chinese goods starting on Feb. 1. He previously said that Mexico and Canada could face tariffs of around 25% from the same date.Such a move could significantly affect global trade and economic stability, with potential consequences including higher prices for consumers and reduced economic growth.Trump also vowed duties on European imports, without providing further details.Saudi Arabia's benchmark index (.TASI) added 0.1% in choppy trade, helped by a 0.2% rise in Al Rajhi Bank (1120.SE).On the other hand, Saudi Arabian digital security firm Elm Company declined 3.2%, after the firm agreed to acquire business services firm Thiqah from the country's sovereign wealth fund Public Investment Fund in a deal valued at 3.4 billion riyals ($906 million).Dubai's main share index (.DFMGI) inched 0.2% higher, with top lender Emirates NBD (ENBD.DU) gaining 0.7%.In Abu Dhabi, the index (.FTFADGI) gained 0.3%.The Qatari benchmark (.QSI) rose 0.4%, led by a 4.1% jump in Commercial Bank (COMB.QA), after reporting a net profit of 3.03 billion riyals ($832.14 million)…