CHINA PLAN | Page 3 Carmakers get an electric ultimatum

Friday, November 16, 2018 Rabia I 8, 1440 AH

POTENTIAL CHALLENGES: Page 12 GULF TIMES Powell says solid economy faces headwinds as BUSINESS Fed mulls rates Qatar, Ukraine bilateral trade scaling up, says al-Kuwari

Agreements and memoranda of understanding in trade and investment played a key role in bolstering bilateral trade between Qatar and Ukraine, which reached QR257.6mn in 2017, said HE the Minister of Commerce and Industry, Ali bin Ahmed al-Kuwari. He was speaking after co-chairing the two-day first session of the joint Qatari-Ukrainian Committee for Economic, Commercial and Technical Cooperation, which concluded here yesterday. The Ukrainian side was led by the country’s Vice Prime Minister and Minister of Economic Development and Trade Stepan Kubiv. The first session brought together representatives of government bodies concerned, including the Ministry of Commerce and Industry, Ministry of Energy, Ministry of Mu- nicipalities and Environment, and Ministry of Public Health, along with off icials from the Qatar Central Bank, Public Works Authority (Ashghal) and the General Authority for Civil Aviation. Qatar and Ukraine have enjoyed more than 25 years of friendly relations that reflect the keenness of senior Qatari and Ukrainian leaders to strengthen co-operation across vari- ous fields, the minister said. Al-Kuwari praised the role that private sector companies from both countries were play- ing in terms of supporting Qatar’s economy. Some 39 companies, jointly owned by Qatari and Ukrainian citizens are currently operating in Qatar. The minister said he looked forward to “co-operating with his Ukrainian counterparts to strengthen partnerships on all levels in line with the aspirations of both countries in a bid contribute to the development of innovative areas of co-operation.” On Qatar’s economy, the minister said, “Qatar has succeeded in maintaining balanced growth thanks to the integrated policies adopted by Qatar’s wise leadership, which has stimulated various sectors, particularly industry, whose increased productivity contrib- Sheikh Mishal (back row, second left) with dignitaries who attended the 20th Ministerial Meeting of the Gas Exporting Countries Forum in Trinidad and Tobago utes to Qatar’s self-suff iciency in the food and pharmaceutical industries.” on Wednesday. Qatar has sought to bolster the export capabilities of manufacturing companies and to strengthen their relations with key trading partners around the world, in addition to developing a business-friendly environment to attract foreign direct investments. Currently, Qatar ranks among the most investment-friendly regional economies thanks to the country’s strategic position as a trade hub, the minister said, noting that Qatar welcomes foreign investors seeking to benefit from a sophisticated and tax-free business environment that off ers numerous other investment incentives such as allowing up to 100% foreign ownership across all sectors and economic and trade activities. Elaborating on Qatar’s legislative environment, al-Kuwari said Qatar recently approved Qatar attends GECF’s the necessary measures to issue a law regulating the investment of non-Qatari capital in economic activity, which represents an important step in terms of attracting foreign investors into the Qatari market, protecting them against the risks of side agreements, and cracking down on commercial concealment. Qatar has also amended its investment free zones to remove all barriers and restrictions as well as to facilitate the introduction of modern technologies into investment projects. The government is also bolstering spending on sustainable projects including the devel- ministerial meeting in opment of state-of-the-art infrastructure in line with the highest international standards. These include a world-class airport, which will soon achieve 50mn passenger capacity, and a leading air carrier that serves more than 150 destinations. Hamad Port, south of Doha, is another example of Qatar’s determination to speed up the implementation of major development projects, the minister noted. Hamad Port currently accounts for 27% of the trade volume in the Middle East, the minister said said, noting that the port’s large capacity, which can reach 7.5mn containers Trinidad and Tobago annually, has played a key role in linking Qatar with key trading partners through direct shipping lines that have cemented the country’s position as a transit point for trade in the atar attended the 20th Ministerial Meet- resent their respective countries. The chairman of discussed and the Secretariat was thanked for its region and around the world. ing of the Gas Exporting Countries Forum the Executive Board and the secretary general were “continued improvements and eff orts”. These eff orts have reflected positively on economic growth rates, the minister said, not- Q(GECF), which coincided with the 10th An- also in attendance. The 5th Summit of GECF Heads of State and ing that Qatar’s GDP reached 1.6% at constant prices in 2017. niversary of the Forum, at Port of Spain, Trinidad The ministers noted the role of natural gas in hu- Government will be hosted in Malabo by Equatorial Qatar’s foreign trade also grew by 16% last year, driven by an 18% increase in Qatari and Tobago on Wednesday. man well-being and in the reduction of greenhouse Guinea, the GECF said. exports, which resulted in a trade surplus of 49.9% in 2017. The event was chaired by Franklin Khan, Minis- eff ects, and reiterated the need for close co-oper- Furthermore, it was decided that the 21st Minis- Global economic institutions have praised Qatar’s development policies, which have re- ter of Energy and Energy Industries, Trinidad and ation and unity for gas development and gas busi- terial Meeting of the GECF will convene in October flected positively on the country’s ranking in numerous reports by international agencies, Tobago, and President of the Ministerial Meeting. ness for the benefi t of nations. 2019, in Caracas, Venezuela. including the World Economic Forum’s Global Competitiveness Report 2018. Sheikh Mishal bin Jabor al-Thani, director of the The Ministerial Meeting welcomed Angola as an The Ministerial Meeting appointed Venezuelan Globally, Qatar ranks first in terms of low inflation rates, sixth in terms of the eff ect of Energy Policy and International Relations Depart- ‘Observer Member’ of the GECF. Minister Manuel Quevedo as President of the Min- taxes on competition, eighth in terms of venture capital availability, and ninth in terms of ment at the Ministry of Energy Aff airs, represented The meeting discussed the ‘GECF 2018 Global isterial Meeting for 2019 and Luis Alberto Sanchez financing small and medium enterprises (SMEs). Qatar at the meeting. Gas Outlook’ and endorsed the Secretariat’s pro- Fernandez, Minister of Hydrocarbons, Bolivia, as Al-Kuwari concluded his remarks by reiterating that the committee’s first meeting A well-attended event, the 20th Ministerial posal to introduce a synopsis of its fi ndings to the Alternate President for the same period. represents an important step in promoting Qatari-Ukrainian co-operation and reflects Meeting saw delegates from Algeria, Bolivia, Egypt, public on December 7 in Vienna, Austria. Trinidad and Tobago Prime Minister Dr Keith both countries’ keenness on bolstering trade and encouraging the private sector in both Equatorial Guinea, Iran, Nigeria, Qatar, Russia, The forum’s ‘Annual Statistical Bulletin 2018’ Christopher Rowley attended and delivered key- countries to establish joint investment projects. Trinidad and Tobago, the UAE and Venezuela rep- and the ‘GECF Short-Term Market’ report were note address at the Gas Symposium. QFC, LexisNexis sign MoU to promote mutual collaboration Emirates warns of

The Qatar Financial Centre (QFC), one of the world’s leading and fastest tough 6 months ahead growing onshore business and financial centres, has signed a memorandum of understanding (MoU) with LexisNexis, a leading global provider of legal, regula- tory and business information and as H1 profi t plunges analytics. The agreement promotes mutual col- laboration on a number of key areas, in- Reuters lentless downward pressure on yields, cluding providing firms licensed on the Dubai and uncertain economic and politi- QFC platform with special advantages cal realities in our region and in other within the LexisNexis range of services, parts of the world,” Sheikh Ahmed including free trial access to certain irst-half profi t at Emirates said. services, discounted subscriptions, and plunged to its lowest in a decade, Airline operating costs rose 13% with a number of other benefits. Fhit by higher fuel costs and unfa- fuel costs on average up 42%, which The agreement came at the sidelines vourable currency moves, and the Gulf Emirates said was largely due to higher of the third Qatar Business Law Forum The agreement promotes mutual collaboration on a number airline said it faced a tough six months oil prices rather than an increase in op- and Awards, which was hosted by of key areas, including providing fi rms licensed on the QFC ahead. erations. LexisNexis in partnership with the platform with special advantages within the LexisNexis range The Dubai-based carrier, which The number of passengers car- Ministry of Commerce and Industry of services, including free trial access to certain services, warned earlier this week that earnings First-half profi t at Emirates ried rose by 3% to 30.1mn, while the (Department of Legal Aff airs), Qatar discounted subscriptions, and a number of other benefi ts were being squeezed, said yesterday plunged to its lowest in a decade, amount of cargo it carried declined 1% University (College of Law), and the its net profi t tumbled 86% to 226mn hit by higher fuel costs and to 1.3mn tonnes. Association of Corporate Counsel “The Qatar Business Law Forum and Moderated by Mubarak al-Sulaiti, chair- dirhams ($62mn) in the six months to unfavourable currency moves The group’s workforce shrank by (ACC) Middle East. Awards provides a valuable platform man, Al-Sulaiti Law Firm; other panel September 30. around 1,400 employees, or 1%, which During the forum, QFC chief execu- for the QFC to join other key decision speakers included Sheikh Thani bin Ali Revenue at the state-owned airline, airlines. “The next six months will be it said was largely due to natural attri- tive Yousuf Mohamed al-Jaida gave a makers to discuss key legal matters al-Thani, founder, Thani Bin Ali Al-Thani one of the world’s biggest international tough,” he said in a statement. tion and a slower pace of recruitment. presentation “Qatar Business Climate that impact the local business environ- Law Firm; Dr Yassin El Shazly, Assistant carriers, rose 10% to 48.9bn dirhams. First-half profi t for Emirates Group, The airline did not mention the and the Role of the QFC Platform”, ment. Our participation in the event Professor, Qatar University and Legal Chairman Sheikh Ahmed bin Saeed which also includes airport and travel impact of a pilot shortage which has focusing on Qatar’s economic develop- serves as an indicator of the economic Counsel, Ministry of Commerce and al-Maktoum said higher fuel costs services company dnata, fell 53% to forced it to cancel some fl ights this ment, the QFC’s role in strengthening importance of the QFC platform and Industry, and Hussam Tantawy, senior and currency devaluations in markets 1.1bn dirhams. year. the economy, and the many unique its contribution to supporting business legal consultant and general manager, such as India, Brazil, Angola, and Iran “We are proactively managing the Reuters reported in May the airline benefits off ered by the QFC platform. set-up and growth,” al-Jaida said. Al-Sulaiti Law Firm. cost the group 4.6bn dirhams in profi t, myriad challenges faced by the airline was also facing a shortage of cabin echoing recent warnings from other and travel industry, including the re- crew, which Emirates denied. Gulf Times 2 Friday, November 16, 2018 BUSINESS US senator presses consulting firms to disclose Saudi work

Bloomberg Yemen civil war, in which thousands of its oil-dependent economy. She cited the government or institutions associated New York civilians have died, also influenced her firms’ materials and public records on the with it. decision to contact the consulting firms. topic as evidence. The senator also asked if the consulting Khashoggi, a former palace insider turned Warren, who was re-elected last week, firms had a risk management process Senator Elizabeth Warren is stepping critic, was strangled at the Saudi consulate wrote in the letter that Washington-based for taking on business from foreign up pressure on large consulting firms in Istanbul on October 2 and his body Booz Allen and the Boston Consulting governments that could possibly lead to to disclose the work they do related to dismembered, the city’s chief prosecutor Group, based in her state, have “placed human rights abuses. She set a deadline of Saudi Arabia in the wake of the murder of has said. Turkey has stopped just short some limits on their work for the Saudi November 30. journalist Jamal Khashoggi. of blaming Crown Prince Mohammed government.” The New York Times reported last In a letter dated Wednesday to the chief bin Salman, who runs the aff airs of the Last month, Warren sent McKinsey & Co month that McKinsey prepared a nine- executive off icers of Booz Allen Hamilton, kingdom day to day. a similar letter requesting that it answer page report in 2015 on reaction within Boston Consulting Group and Deloitte Saudi Arabia has vehemently denied that a list of questions about the nature of the kingdom to government austerity Consulting LLP, the Massachusetts the crown prince had any knowledge the company’s work for the Saudis. measures, which included traff ic on social Democrat said the Saudi government’s of the operation that led to Khashoggi’s McKinsey said it was working to provide media. Some social media users who were conduct in the Khashoggi matter death. The Saudi authorities initially answers but didn’t give a deadline for thought to be driving negative comments prompted her request. asserted that he had left the consulate doing so. were later arrested or had their online “Given the kingdom’s recent actions, your unharmed, then said Khashoggi died in an In the latest request, Warren asked each accounts shut down, according to the firms’ continued business relationships interrogation that had gone wrong. company: for electronically searchable Times. Booz Allen Hamilton spokeswoman with this government appear to be Warren’s letter outlined the ways the forms of all contracts with the Saudi Jessica Klenk said the firm hadn’t yet inconsistent not only with American US-based firms have consulted on issues government from the last five years; received the letter, so they couldn’t values but with your stated principles,” involving improving the crown prince’s the amount of payments received; comment. Boston Consulting Group and Warren wrote. image, assisting the Saudi army and and whether they plan to continue Deloitte didn’t immediately respond to Warren: Stepping up pressure. She added that the Saudi role in the helping the Riyadh government diversify off ering consulting services to the Saudi requests for comment.

Pinsent Masons Realty, banking, telecom wins ‘TMT Team of buy interests boost QSE the Year’ By Santhosh V Perumal award Business Reporter nternational law fi rm, Pin- uying interests at the realty, sent Masons, was awarded the banking and telecom counters I‘TMT Team of the Year’ title Byesterday overcame the strong at this year’s Qatar Business Law selling pressure, especially in the con- Awards. sumer goods, to lift the Qatar Stock Ex- The award was, in part, in rec- change after two days of sell-off . ognition of the work carried out Although decliners outnumbered by Pinsent Masons for the Com- gainers, the 20-stock Qatar Index set- munications Regulatory Authority tled 0.15% higher at 10,214.19 points. over the past two years. The Qatar Local and Gulf retail investors were Business Law Awards celebrates seen bullish in the market, which is up achievement, excellence and in- 19.84% year-to-date. novation in the legal profession Market capitalisation expanded within Qatar’s legal community. about QR5bn, or 0.81%, to QR576.63bn, The awards were judged by an mainly on account of large cap equities. independent panel comprising However, foreign and Gulf funds prominent fi gures and leaders in turned bearish and there was decreased the legal sector. This year’s judg- buying interests from non-Qatari indi- ing panel included Dr Mohamed viduals in the market, which saw Is- al-Khulaifi , Dean, College of Law lamic equities decline vis-à-vis gains at Qatar University and Dr Ehab in other indices. Elsonbaty, Senior Legal Counsel, Trade turnover grew amidst high- Head of Governance and Govern- er volumes in the bourse, where the ment Aff airs at the Qatar Invest- banking, real estate and consumer ment Authority. goods sectors together accounted for “We are honoured to receive this more than 87% of the total volume. award in recognition of our dedi- The Total Return Index rose 0.15% to cation to delivering only the high- 17,996.26 points and the All Share In- est level of market-leading com- dex by 0.72% to 3,030.98 points, while mercial and regulatory expertise the Al Rayan Islamic Index (Price) fell to our clients. We have been privi- 0.38% to 2,378.8 points. leged to work with leading entities The realty soared 1.92%, banks and in Qatar and we look forward to fi nancial services (1.61%), telecom continuing to support Qatar as the (1.24%) and transport (0.3%); where- manufacturing, technology and as consumer goods plunged 3.55%, Although decliners outnumbered gainers, the 20-stock Qatar Index settled 0.15% higher yesterday to close at 10,214.19 points. PICTURE: Noushad Thekkayil telecom industries continue their industrials (0.63%) and insurance growth and transformation,” ac- (0.06%). sellers of QR0.65mn on Wednesday. weakened infl uentially to QR5.34mn The industrials sector’s trade vol- There was 18% fall in the real estate cording to Jonathan Collier, Head Major gainers included Ezdan, Oore- Domestic institutions’ net prof- against QR9.78mn the previous day. ume tanked 43% to 0.47mn shares, sector’s trade volume to 1.78mn stocks, of Doha at Pinsent Masons. doo, QNB, Qatari Investors Group and it-booking eased considerably to Total trade volume fell 32% to while value expanded 34% to 36% in value to QR41.95mn and 47% in Gulf Warehousing; while Doha Bank, QR9.87mn compared to QR21.59mn 5.7mn shares, while value rose 29% to QR38.25mn despite 13% lower deals transactions to 765. Dlala, Medicare Group, Industries Qa- the previous day. QR348.74mn despite 22% lower trans- at 599. However, the consumer goods sec- New Iraqi trade minister tar, Mesaieed Petrochemical Holding, However, Gulf institutions turned actions at 4,298. The banks and fi nancial services tor’s trade volume almost quadrupled wants Russian wheat Mazaya Qatar and Barwa were among net sellers to the tune of QR16.11mn The telecom sector’s trade volume sector saw 38% shrinkage in trade vol- to 1.15mn equities and value more than the losers. against net buyers of QR1.35mn on No- plummeted 97% to 0.04mn equities, ume to 2.05mn equities, 21% in value to quadrupled to QR170.85mn on almost Iraq, a major Middle Eastern grain Local individuals turned net buyers vember 14. value by 83% to QR3.16mn and deals by QR87.12mn and 38% in transactions to tripled deals to 1,262. buyer traditionally reliant on US to the tune of QR19.29mn compared Non-Qatari funds were also 79% to 105. 1,334. In the debt market, there was no imports, will send a delegation to with net sellers of QR31.91mn on No- net profi t-takers to the extent of The transport sector reported 74% The insurance sector’s trade volume trading of treasury bills but as many Russia in December to discuss the vember 14. QR1.5mn compared with net buyers of plunge in trade volume to 0.1mn stocks, shrank 21% to 0.11mn stocks and value 136,000 sovereign bonds valued at possibility of importing wheat, its Gulf individuals were also net buyers QR43.02mn on Wednesday. 53% in value to QR3.49mn and 58% in by 15% to QR3.93mn, whereas deals QR1.36bn traded across two transac- new trade minister has said. to the extent of QR2.93mn against net Non-Qatari individuals’ net buying transactions to 101. grew 21% to 132. tions.

MEEZA joins QCB to host information security conference for financial sector Oil, jet fuel prices reach 4-year

MEEZA, Qatar’s prominent end- latest in the security space as we are to-end Managed IT Services & living in highly challenging times highs in October, says IATA Solutions Provider, will be one of the where any security lapse can pose a sponsors for the Qatar Central Bank great threat to the organisation and annual event — 5th Conference of the industry as a whole. I am sure il and jet fuel prices both terms have continued to move a lit- Asia-Southwest Pacifi c and within Information Security in the Financial that such platforms would prove reached four-year highs tle higher in recent months, as air- European markets. Sector. The event will be held on beneficial for companies to brace for Oduring October, but have lines try to off set some of the pres- The largest outperformance of November 18-19 at the Sheraton the tough times ahead and remain in fallen back sharply since, IATA said sure from rising input costs through premium fares relative to economy Grand Doha Resort & Convention tune with the latest security solutions in its latest fi nancial monitor. revenues. has been in the Europe–Middle East Hotel, under the patronage of HE to remain resilient.” The Brent crude benchmark is The gap between the premium market. the Prime Minister and Minister of “We intend to off er a more secure around 20% lower than its early- and economy cabin yields, which Year-on-year growth in indus- Interior Sheikh Abdullah bin Nasser environment for Qatari companies October peak at around $69 for a started to widen around the middle try-wide revenue passenger kilo- bin Khalifa al-Thani. and showcase some of the latest barrel. of 2017 – has persisted in the latest metres (RPKs) slowed to an eight MEEZA CEO, Eng. Ahmad Mohamed off erings in the world of security Oil prices have fallen back sharply monthly data. Yields in the premi- month low of 5.5% in September. al-Kuwari will deliver a key through this poised platform,” he said. since, as the market has reassessed um cabin are around 3% higher than The slowdown in RPK growth presentation on Cyber Security He added, “With Qatar Central Bank, near-term supply-demand dynam- a year ago. from 6.4% in August may partly re- Threats to industry stakeholders. The we are committed to ensure the safety ics. Premium-class passengers ac- fl ect weather-related disruption – conference threw light on information of the entire financial sector, to protect “Indeed, oil markets posted their counted for 5.1% of total interna- particularly Typhoon Jebi in Japan. security, the challenges it faces and it from risks related to information longest ever losing streak in early tional origin-destination traffi c in Nonetheless, it is important to infrastructure improvements. security and the preservation of November, with the Brent crude the fi rst eight months of 2018. note that the upward trend in sea- Al-Kuwari said, “We are delighted confidentiality as required by law, benchmark price falling for 10 out This proportion was unchanged sonally adjusted traffi c has mod- to be part of the 5th edition of and to adopt the best international of 11 trading sessions. At the time from the same period a year ago. erated over the course of the third Information Security Conference practices and standards to do so.” of writing, Brent was around 20% In terms of revenue, premium- quarter. where we get to showcase our MEEZA off ers cost-eff ective IT lower than its early-October peak at class passengers accounted for Meanwhile, industry-wide FTKs latest technology off erings for the solutions and services to help clients around $69/b,” IATA said. 29.6% of total passenger revenues increased by 2% year-on-year in companies involved in the security focus on their core business and This, IATA said, was still around over the fi rst eight months of 2018, September and by the same pace domain. Like every year, we have scale rapidly. Delivering best in class 8% higher than it stood a year ago. broadly unchanged from the out- in the third quarter as a whole. “As joined hands with QCB which has IT security levels, MEEZA helps clients “Nonetheless, there has been a big come for the same period a year ago. we have argued before, the current An airplane prepares to land at Cointrin been doing a remarkable work minimise business risk, reduce IT turnaround from the more than As IATA noted before, premium period of slower growth is typical airport in Geneva, Switzerland (file). Oil and in hosting such conferences for capital expenditure and speed up 50% annual growth rates seen just a passenger demand has grown faster with the pattern normally seen after jet fuel prices both reached four-year highs companies to get the updates on the time-to-market for new initiatives. month ago,” IATA said. than its economy counterpart this inventory-led upturns in the past,” during October, but have fallen back sharply Global passenger yields in dollar year to date most visibly on the IATA said. since, IATA said in its latest financial monitor. Gulf Times Friday, November 16, 2018 3 BUSINESS China is giving world’s carmakers an electric ultimatum for NEVs

Bloomberg an electrified future. That would help Singapore/Beijing it reduce a dependence on imported oil and blow away the smog choking its cities. It would also help domestic The world’s biggest market for electric automakers gain more expertise in vehicles wants to get even bigger, so a car manufacturing segment that’s it’s giving automakers what amounts burgeoning globally. to an ultimatum. Starting in January, Given the size of the Chinese market, all major manufacturers operating the largest for cars overall and for EVs, in China — from global giants Toyota auto companies will have to rapidly Motor and General Motors to domestic accelerate their development and players BYD and BAIC Motor — have manufacturing eff orts to meet the to meet minimum requirements there targets. By 2025, China’s leaders want for producing new-energy vehicles, 7mn cars sold every year, or about or NEVs (plug-in hybrids, pure- 20% of the total, to be plug-in hybrids battery electrics, and fuel-cell autos). or battery-powered. “This is probably A complex government equation the single most important piece of EV requires that a sizable portion of their legislation in the world,” Bloomberg production or imports must be green in NEF said in May. 2019, with escalating goals thereafter. The world’s largest automaker is The regime resembles the cap- certainly taking notice. Volkswagen and-trade systems being deployed AG, which sold just under 40% of its worldwide for carbon emissions: vehicles in China last year, says it will Carmakers that don’t meet the quota introduce about 40 locally produced themselves can purchase credits NEV models in China within the next from rivals that exceed it. But if they decade. “Volkswagen Group China will can’t buy enough credits, they face meet the government’s targets,” the government fines or, in a worst-case company said in a statement. scenario, having their assembly lines The formula for doing so is algebraic, shut down. and the 10% credit target in the first “The pressure is mounting,” says Yunshi year won’t necessarily equate to 10% of Wang, director of the China Center cars sold. For example, a pure-electric for Energy and Transportation at the vehicle with a range topping 300km University of California at Davis. “This (186 miles) will generate more credits could be a model for other countries; it than one with lesser performance could be a game changer globally.” or than a gasoline-electric hybrid. The message coming from the The rules apply to all companies that world’s largest emitter of greenhouse manufacture or import more than gases is clear: Even as US President 30,000 cars annually. The floor rises Donald Trump withdraws support to 12% in 2020, then keeps increasing for alternative fuels, attempts to gut in line with the government’s ultimate mileage requirements, and begins plan to eliminate fossil fuel vehicles by BYD vehicles stand in front of a charging parking lot tower at the company’s headquarters in Shenzhen, China (file). Starting in January, all major manufacturers the process of pulling out of the Paris a still-unspecified date. operating in China — from global giants Toyota Motor and General Motors to domestic players BYD and BAIC Motor — have to meet minimum requirements there Agreement on climate change, China is BMW AG, which sells more cars in for producing new-energy vehicles, or NEVs (plug-in hybrids, pure-battery electrics, and fuel-cell autos). A complex government equation requires that a sizable dead serious about leading the way to China than anywhere else, makes portion of their production or imports must be green in 2019, with escalating goals thereafter.

two plug-in hybrids there and plans Chinese drivers. Other than brand- phased out and will disappear in 2021. mostly remain confined to the Chinese to produce two pure-electric cars, specific pricing and specifications, That could mean a risky several years market. “Right now a lot of the cars including the iX3 SUV, starting in 2020. the models will be largely identical. for automakers, since battery costs selling in China have zero brand value Yet some companies will struggle to That’s not ideal in an industry that aren’t expected to be truly price- outside of China,” says Janet Lewis, the reach the goals under their own steam. prizes distinctive marketing, but competitive with internal combustion head of industrials and transportation “Carmakers are both technically and it’s a necessary compromise until engines until 2024 to 2028, depending research for Asia at investment bank commercially not ready for a ramp- the companies develop their own on a vehicle’s type and the region of Macquarie Capital. But the EVs that up in EV production to the level of technologies. the globe where it’s sold, according to are successful in the early-adopting the quotas,” says Sophie Shen, an While carmakers have plenty of BNEF. mainland market may eventually help automotive analyst at PwC in Shanghai. regulatory reasons to flood Chinese Still, the government has other levers China develop the manufacturing So they’re turning to a wide range of showrooms with EVs, it’s not clear that should demand fall short. Several of and branding expertise it will need solutions to avoid falling short. Ford consumers will want them. Electric cars the largest cities, including Beijing, to export more vehicles to other Motor Co, which lost $378mn in China remain considerably more expensive Shanghai, and Shenzhen, limit the countries, experts say. in the third quarter, is teaming up with than their gasoline counterparts number of cars on their roads by China undoubtedly will tweak its Zotye Automobile Co, a minor domestic everywhere; in China, where gasoline restricting the issuance of new licence credit-and-subsidy regime as it seeks player, to jointly produce cars eligible cars such as Chongqing Changan plates. In those metropolises, simply to encourage an electric-first domestic for the credits, Asia-Pacific president Automobile Co’s Benben Mini model acquiring the right to purchase a car auto industry. The minimum thresholds Peter Fleet said in October. Ford will sell for as little as 29,900 yuan ($4,300), can be pricey. A plate for a traditional of the cap-and-trade system for 2021 introduce at least 15 hybrids and EVs in the diff erence can be especially gas guzzler costs as much as $14,000 and beyond haven’t been laid out, China by 2025. Vehicles sold through pronounced. in Shanghai. But if a consumer decides though they’ll have to rise rapidly to the Zotye partnership will have a new For now, government subsidies for on an EV instead, it’s free. meet government sales targets for brand name. EVs cover much of that gap, running BNEF already expects 2.5mn passenger NEVs. Some rivals, however, are putting their to as much as $7,900 for an all-electric EVs to be sold in China in 2022. But It’s a direction of travel that couldn’t names on the same generic car. Toyota, vehicle with a range longer than if similar restrictions take off in other be more diff erent from that of the Fiat Chrysler Automobiles, Honda 400km. That can off set almost one- cities, particularly the rapidly growing Trump administration. But for global Motor, and Mitsubishi Motors all plan to third of the sticker price of a BYD e5 industrial hubs of the interior, EV carmakers, it’s increasingly clear sell the same electric SUV, developed electric car. growth could be even more dramatic. that policymakers in Beijing, not by Guangzhou Automobile Group, to The incentives, though, are being For the moment, domestic models will Washington, are in the driver’s seat.

Bloomberg QuickTake Q&A China is about to shake up the world of electric cars 2. What are the new rules? 4. What impact will Bloomberg the quotas have? Beijing Complicated. Automakers that produce more than 30,000 vehicles It’s a milestone policy, says the will have to obtain a new-energy International Council on Clean China is set to unleash a seismic vehicle (NEV) credit of at least 10% in Transportation. “Since China is the shakeup of the automotive industry 2019, rising to 12% in 2020. To confuse world’s largest auto market, this NEV when it introduces stringent rules to matters, a score of 10% doesn’t mean mandate policy will undoubtedly promote new-energy vehicles. From that a full one-tenth of a company’s speed up the global transition to a 2019, major manufacturers will be vehicles must be new-energy varieties zero-emission fleet, which will be punished unless they meet quotas for (battery-powered electric vehicles, vital for the climate and for urban air zero- and low-emission cars or they plug-in gasoline-electric hybrid quality,” the non-profit group said. buy credits from other companies vehicles or fuel-cell vehicles). In fact, According to Bloomberg NEF, the that exceed the quotas. The so-called the total will probably be lower. 12% target for 2020 would translate cap-and-trade system is designed to 3. Why lower? to about 4% to 5% of actual car sales, spur the market for electric cars at based on the current average NEV the expense of gas guzzlers, all part Because vehicles are awarded credit score of 3 per vehicle. China hasn’t of China’s quest to clean its air and scores depending on their green announced targets beyond 2020. reduce dependence on imported credentials, such as how far they go 5. How are credits oil. Another major driver: Helping without needing a charge. The least calculated? develop a home-grown electric-vehicle eco-friendly NEV will receive a credit industry. score of two, while the greenest will To qualify for a credit, a battery- 1. How is China’s electric get a maximum credit of six. So, to electric vehicle needs a range of at vehicle push going? meet the 2019 credit target of 10%, least 100 kilometres (62 miles) on one a carmaker producing 100,000 charge and a top speed of at least 100 China is not only the biggest global gasoline-based vehicles would kilometres per hour. A plug-in hybrid mark next year will need to purchase Holdings Ltd, according to the Auto companies that focus on NEVs car market but the world leader in need 10,000 credits. Those could vehicle needs an electric range of at credits from competitors or face the Ministry of Industry and Information need do nothing diff erent. But almost electric cars, with sales seen topping be earned by manufacturing 2,000 least 50 kilometres. The NEV credit aforementioned penalties. Trading Technology. The highest negative fuel all global brands that have traditionally 1mn this year for the first time. Since cars with an NEV score each of five. If score is calculated in two stages: First, of the credits will take place on a consumption credits were Ford Motor relied on gasoline remain far away the first models hit the streets more the automaker produced more than a formula is applied (0.012 multiplied platform set up by the industry Co’s China venture with Chongqing from China’s requirements and have than a decade ago, the country has 2,000, it could sell the extra credits; by the range + 0.8) to get a base score. regulator, with pricing negotiated Changan Automobile Co, leading started to accelerate the introduction overtaken other markets partly fewer than 2,000, and it would need (For a 300km range, the score is 4.4.) by the companies themselves and SUV maker Great Wall Motor Co and and production of electric models. through its sheer size and partly by to buy credits. If it failed to top up Second, that figure is multiplied by a determined through supply and Dongfeng Motor Corp. Most global Some have also struck pacts with local luring consumers with subsidies its credits, the company would face so-called adjustment factor – ranging demand. brands, such as Toyota, Volkswagen partners that have NEV expertise; Ford and tax breaks. Nonetheless, electric sanctions, such as new models not from 0.5 to 1.2 – derived from the 7. Who are the winners and and General Motors, were somewhere has tied up with Zotye Automobile vehicles account for just 3% of sales, being approved or production halts for vehicle’s energy consumption and losers? in between. Though their volumes are Co and BMW agreed to work with leaving ample room for growth. gasoline cars. The government is also weight, yielding a maximum total of still small, upscale electric-car makers Great Wall in producing electric Having previously focused on introducing new fuel consumption six. Companies that have a head start Tesla Inc and NIO Inc are eventually Minis. Toyota, Honda, Mitsubishi and stimulating demand, the government guidelines in 2019. Carmakers that 6. How does the credit on producing NEVs have the highest set to obtain high scores. Fiat Chrysler are planning to sell is changing lanes and shifting policy do not comply will be able to use the trading system work? credit scores. Those include BYD 8. What are carmakers what’s essentially the same electric toward propelling supply. credit system to address any shortfall. Co, BAIC BluePark New Energy doing to prepare? SUV, developed by local partner Companies that fail to meet the 10% Technology Co and Geely Automobile Guangzhou Automobile Group Co. Gulf Times 4 Friday, November 16, 2018 BUSINESS

Philippines increases JD Group eyes HK insurance interest rates for business sale in $2.5bn deal fifth time Reuters Manila Reuters Swiss Re. JD Group acquired FTLife for Hong Kong HK$10.7bn ($1.4bn) in 2016 from Bel- gian insurer Ageas NV, underscoring The Philippine central bank Chinese companies’ strong appetite to raised its benchmark interest hinese fi nancial fi rm JD Group grow through acquisitions in the Hong rate for the fifth straight time has put its Hong Kong insurance Kong fi nancial sector. yesterday in a bid to tackle Cbusiness, FTLife Insurance Co Potential bidders for FTLife are ex- elevated inflation and bring it Ltd, up for sale and a deal could fetch pected to include Hong Kong con- back to within its target range between $2bn and $2.5bn, three people glomerate Chow Tai Fook and Asian next year. with knowledge of the matter said. private equity fi rm PAG, two of the The central bank has now The Beijing-based fi nancial hold- people said. lifted borrowing costs by ing fi rm has hired Citigroup to run the JD Group could decide to retain a 175 basis points (bps) this sale and second-round binding bids are minority stake in FTLife, one of the year to tackle stubborn price expected in coming weeks, the people sources said, adding the sale could also pressures, but is forecasting said, declining to be named as the proc- attract a bid from a Japanese insurer inflation will ease next year, ess is confi dential. looking to tap the rapidly growing Hong suggesting its current tighten- Earlier this year, local media reports Kong insurance market. ing cycle may be at an end. had indicated that JD Group could be JD Group, also known by its Chinese The Monetary Board raised looking to offl oad a part of FTLife. name of Jiuding Group, FTLife and PAG the rate on its overnight A sale of the whole business, if com- did not immediately respond to re- reverse repurchase facility by pleted, will be one of the top fi ve insur- quests for comments. 25 bps to 4.75%. ance M&A deals ever in Hong Kong, a Chow Tai Fook and Citigroup de- The move followed four key market for insurers due to rapidly clined to comment. successive hikes since May, growing wealth and demand for insur- JD Group, which has brokerage, including back-to-back 50 bps ance products from Chinese investors, trust, mutual funds and private equity increases in September and Refi nitiv data shows. businesses, was once the most valu- August. “This is one of the very few large in- able company on the Chinese National The rates on the overnight surance business that you will see com- Equities Exchange and Quotations, the lending and deposit facilities ing on the block, so the interest is ex- country’s most active over-the-counter were also raised by 25 bps. pected to be good,” said one source, who equity exchange. Seven of 13 analysts in a is involved in the process. It had invested in more than 200 JD Group, which has brokerage, trust, mutual funds and private equity businesses, was once the most valuable company on Reuters poll had correctly pre- “It’s not easy to get a new insurance companies, of which about 60 are either the Chinese National Equities Exchange and Quotations, the country’s most active over-the-counter equity exchange. It had dicted yesterday’s decision by licence in Hong Kong and the wait time listed or in the process of going public, invested in more than 200 companies, of which about 60 are either listed or in the process of going public, according to the the board, while the other six could be long. It’s a good opportunity according to the company website. company website. had expected it to stand pat for someone looking to bet on the sus- FTLife was the 12th-largest individ- as higher financing costs were tainable premium growth in this mar- ual life insurer in Hong Kong by annu- its website. JD Group is looking to exit China’s acquisitive conglomerate Another fi nancial group, Tomorrow starting to dampen economic ket,” the source added. alised premium equivalent, with a 1.4% FTLife at a time when China is crack- Anbang Insurance was this year put into Holdings, is also in the process of di- growth. Hong Kong is home to a developed market share at end-2017, according to ing down on privately-owned fi nancial government control. vesting some of its businesses after its “The Monetary Board life insurance market, with a life and a September Fitch ratings report on the holding fi rms, whose sprawling busi- The group is undergoing a sharehold- chairman, Xiao Jianhua, a billionaire deemed it necessary to health insurance premium to GDP ratio company. ness shareholdings and overseas invest- ing restructuring and planning to sell with links to China’s Communist Party respond with proactive policy of 17.94% in 2017, the second-highest in The insurer has more than 2,800 fi - ments have raised some concerns amid overseas assets including real estate, elite, was put under investigation last action to help temper the risks Asia after Taiwan, according to insurer nancial consultants and staff , as per a wider deleveraging exercise. hotels and insurance companies. year. to the inflation outlook,” the central bank said, adding that those risks included uncer- tainty about China-US trade tensions and tighter global financial conditions. “Nevertheless, the Monetary Bank Indonesia hikes rate to shore up rupiah Board continues to emphasise the need for follow-through non-monetary measures to Reuters year, and made October’s pause in a at BI, but the portion for daily de- mitigate the impact of supply- Jakarta tightening cycle a brief one. The BI posit will be 3.5%. side factors on inflation,” it governor said its rate hike was in- This means 3 percentage points added. tended to ensure the attractiveness of fl exibility in reserve requirement, The central bank forecast ndonesia’s central bank yes- of Indonesia’s fi nancial assets “and up from 2% now. inflation would return to its terday surprisingly raised its to anticipate rising global interest BI has repeatedly said it would 2-4% target range next year. Ibenchmark interest rate for the rates in the next couple of months”. ensure the market has enough li- It raised its average inflation sixth time this year, as policymakers Many analysts see more Indone- quidity. forecast for 2018 to 5.3% from struggle to reduce imports and low- sian hikes, as more US ones are an- Satria Sambijantoro, an econo- 5.2%, but trimmed its forecast er the country’s yawning current- ticipated. mist with Bahana Securities, said for 2019 to 3.5% from 4.3%. account defi cit. OCBC in Singapore sees at least the rate hikes so far were felt strong- Average inflation is seen at Bank Indonesia (BI) raised its three hikes in 2019 and ING said ly by small banks whose loan-to- 3.3% in 2020. 7-day reverse repurchase rate by 25 expects a minimum of 50 bps more deposit ratios have breached 100%. The 2019 forecast was basis points to 6%, governor Perry “over the policy horizon”. The central bank said 2018 eco- lowered due to the Senate’s Warjiyo told a news conference, a David Sumual, chief economist nomic growth will likely be 5.1%, approval on Tuesday of move predicted by only two of 19 of PT Bank Central Asia, also sees versus 2017’s 5.07%. legislation liberalising rice analysts in a Reuters poll. more, noting that in December, if The rupiah, the second worst imports, as well as a suspen- The rest expected a hold. the Fed hikes at its meeting just be- performer among emerging Asian sion of a new round of excise The key rate has now been hiked fore the year’s last for Indonesia, “BI currencies this year, strengthened tax increases for fuel that were six times by a total of 175 basis points will follow suit”. sharply at the beginning of Novem- set to take effect in Janu- since May, as BI tried to slow capital The central bank is “trying to bal- ber as global sentiment improved ary, according to Cyd Tuano outfl ows triggered by rising US rates ance out strong domestic demand and Indonesia reported slightly Amador, a deputy central bank and aimed to put a fl oor under the that has resulted in the imbalance stronger than expected third quarter governor. fragile rupiah. on external account and thus the economic growth. Tempered inflation next The currency strengthened as rupiah,” Bank Danamon economist But it is still trading near levels year could signal Thursday’s much as 0.9% after the rate de- Wisnu Wardana said. not seen since the Asian economic rate hike will be the last for cision. Less than an hour after If there are more hikes, then BI crisis. some time, analysts said. BI’s hike, the Philippines raised will have tightened more than it did Warjiyo said BI’s rate hikes and “With inflation set to fall its benchmark 25 bps to 4.75%, after the Fed’s 2013 “taper tantrum”. the government’s measures to curb back over the coming months, making its total for the year also BI, trying to manage the impact of imports are aimed at cutting the we think this could mark the 175 bps. its tightening on the economy, cou- current account gap to 2.5% of GDP end of the tightening cycle,” The two central banks have been pled its rate hike with a relaxation on in 2019. said Alex Holmes, economist far and away Asia’s most hawk- liquidity management rules. The defi cit will likely be under 3% at Capital Economics Asia. ish this year, though Manila’s main This will give banks more fl exibil- this year, he said. He said that could renewed problem has been high infl ation and ity to manage funds they must park Trade data earlier yesterday pressure on the peso which Jakarta is the current account. at BI, which Warjiyo said would ad- showed those measures, includ- has recovered some ground By hiking now, BI moved one dress uneven distribution of liquid- ing higher import tariff s, delays of since hitting a 13-year low Bank Indonesia governor Perry Warjiyo speaks during a media briefing in Jakarta. Warjiyo month before the next Federal Re- ity among banks. infrastructure projects and a wider against the US dollar in late said BI’s rate hikes and the government’s measures to curb imports are aimed at cutting the serve meeting, which is expected to Banks will still need to maintain a use of biodiesel, did not have an im- September. current account gap to 2.5% of GDP in 2019. raise US rates for a fourth time this 6.5 % of savings as required reserve mediate impact on imports.

Australian industry needs to adjust to higher gas prices, say analysts Indian fund manager bets

Bloomberg Pivot Ltd have led calls on government to inter- Sydney vene to contain prices of their most important feedstock. Incitec has threatened to close its Gibson Island on beaten down mid-caps Australian industry needs to adjust to higher gas fertiliser plant in Queensland if it can’t secure prices along the populous east coast as it increas- “economical gas” beyond 2019. Reuters over 3-4 years double if things eral and state levies. Gunwani government but if there is a coa- ingly relies on more expensive production from About two mn Australian jobs are in gas-reliant Mumbai improve,” said Gunwani, who said the negative impact from lition government that could Queensland, industry leaders and analysts said at industries, according to John Philips, Managing manages about Rs1tn ($13.83bn) the note ban and tax reform was have a short-term negative im- a conference in Brisbane. Director of Blue Energy. in equities. dwindling and with India’s eco- pact, Gunwani said. Gunwani “The cheap gas has run out,” said Saul Kavonic, Supply and demand are projected to be in bal- eliance Mutual Fund, one He said he was looking to in- nomic growth accelerating, the also said he was cautious about an analyst at Credit Suisse Group AG, citing ance next year and some sections of industry are of India’s largest fund crease his exposure to these sec- mid-cap stocks had a “material any acceleration in the US econ- production declines from the Bass Strait off shore struggling to adjust to the elevated prices, said Rhouses, is betting on se- tors in 2019. upside.” omy and any escalation in an Victoria state. Malcolm Roberts, chief executive of the Australian lect mid-cap stocks to make a Investors had pulled money Reliance Mutual Fund is In- ongoing trade war between the Even though the cost of gas production in Petroleum Production & Exploration Association. come-back after a big correction from mid and small-cap com- dia’s fourth-largest with assets United States and China. Queensland is higher “that hasn’t stopped every- About 90% of the country’s total proved and this year due to macro-economic panies and switched to large- of over 2.4tn rupees under man- “If the US, either with or with- body blaming Queensland LNG exports.” probable reserves are now in Queensland, he said. concerns and an emerging mar- cap corporates because of con- agement in equities and debt. out stimulus, accelerates from Despite being one of the world’s most resource- Full or partial bans on unconventional gas ex- ket sell off . cerns around lacklustre earnings Gunwani said India’s federal here, then obviously it’s nega- rich nations, with massive coal and natural gas ploration across most states limits new resources Stocks in cement, power utili- growth, stretched valuations and elections that are due by May, tive for all emerging markets but reserves, electricity rates have doubled in the past coming online and are seen as another obstacle to ties, real estate, hotels and hospi- rising oil prices. would be a big factor for investors India will suff er a lot,” he said. decade in some parts of the country. lower prices. tal sectors are attractively valued The Nifty mid-cap index has to watch out for. “Anything which pushes the dol- That’s sparked a debate about how much gas LNG import terminals might help improve the after correcting 20-40% over the fallen 13.3% so far this year. Opinion polls show Prime lar index higher from here is a exports from the country’s east coast has boosted supply outlook, but are unlikely to do much to last year, Manish Gunwani, chief Small businesses were hit by Minister Narendra Modi remains problem.” domestic power prices. reduce prices because the costs involved won’t investment offi cer for equity in- India’s ban on high denomina- the front runner to win another Gunwani said he would not in- Gas from Queensland is extracted from coal make it much cheaper than domestic gas. vestments at Reliance Mutual tion notes in 2016, which was fi ve-year term, but his Bharatiya vest in Indian companies that are seams, a process that is typically more expensive The government earlier this year introduced a Fund, said at the Reuters Global aimed to prevent them hoarding Janata Party has suff ered reverses exposed to industries aff ected by than production from conventional resources. domestic gas supply mechanism that would force Investment Outlook Summit. cash. Many more small enter- in recent local elections that have discretionary spending globally. As well, additional costs are added for transport- producers to divert gas to the domestic market if “We see an asymmetric bet prises came under pressure from energised the opposition. “For example, if there’s a chemi- ing the fuel southeast to urban demand centers. prices become too high. that if things don’t improve these the Goods and Services Tax just Markets have been optimistic cal or auto ancillary company Chemicals manufacturers Orica Ltd and Incitec So far, the mechanism hasn’t been invoked. stocks may not have too much over a year ago, which aimed to that the elections next year will supplying to the global auto in- downside but a lot of them can replace more than a dozen fed- deliver a “reasonably strong” dustry, I’d be very cautious.” Gulf Times Friday, November 16, 2018 5 BUSINESS

In Apec host Papua New Guinea, China and the West grapple over strategic port

Reuters Australia is preparing to make the verbal loans and grants to counter China’s rising Reuters.”Papua New Guinea believes the Sydney/Beijing agreement formal at this week’s Asia-Pacific influence in the region. quality of the event is not what comes from Economic Cooperation (Apec) forum, held “There is an acceptance within Australia it but rather who attends and the decisions in PNG’s capital, Port Moresby. that it has taken its eye off the ball and that by Trump not to attend and Pence to fly in When Papua New Guinea Prime Minister While conceived as a means to remove has prompted Australia’s Pacific reset,” said and out only for Apec has upset PNG Prime Peter O’Neill flagged the possibility of trade barriers in the Pacific, the hosting of Nick Bisley, professor of international rela- Minister Peter O’Neill.” China bankrolling a port development off this year’s Apec has also seen PNG become tions at Melbourne’s La Trobe University. In contrast, Chinese President Xi Jinping his country’s northern coast in June, the a staging ground for regional influence This is the first time PNG, the poorest of will spend several days in Port Moresby and consternation in neighbouring Australia set where the US and China lock in competing the 21 countries in the economic bloc, is conduct an off icial bilateral visit. off a lightening-fast response. alliances. hosting the Apec summit. He will also host a closed forum with Despite a change in leadership in China has spent $1.3bn on concession- The country’s overriding focus is for the Pacific leaders, where he is expected to Australia’s government in August, a rival ary loans and gifts since 2011 to become event in Port Moresby to be a success, West- announce a big Chinese aid and investment off er was swiftly formulated, government the Pacific’s second-largest donor after ern off icials say, overcoming perceptions of package to the Pacific, tying it to his signa- and diplomatic sources told Reuters, amid Australia, stoking concern in the West that inadequate infrastructure, high crime rates ture Belt and Road infrastructure initiative, concern the strategically-located Manus several tiny Pacific nations could end up and a crumbling healthcare system. Western diplomats said. Island port could regularly host Chinese overburdened and in debt to Beijing. Aware of the importance PNG’s leader- “The President asked the Vice military vessels. China says it has no ulterior motive ship has attached to the event, Australia President specifically to do this trip on his Canberra, a staunch Washington ally, beyond assisting the development goals and China have donated hundreds of mil- behalf because he believed that he would said earlier this month it would fund the of Pacific Island nations and that Australia lions of dollars to help stage the forum. be the ideal messenger for the President port development, part of what analysts should see it as a partner, rather than rival, But Western eff orts to leverage Apec on American policy for the region, the see as a push to reassert its dominance in in the region. have been a dealt a blow by lukewarm US President’s objectives in trade and invest- the South Pacific as Beijing seeks a more On Friday, President Xi Jinping will support, with President Donald Trump ments, and strategically,” a senior US prominent role. showcase China’s Belt and Road to Pacific electing to skip the event. administration off icial told reporters in a Chinese President Xi Jinping arrives ahead of the Asia-Pacific Economic “The Manus Island port was a big con- leaders, several of whom are expected to Attending in Trump’s stead, Vice-Pres- briefing. Cooperation Summit, in Port Moresby, Papua New Guinea, yesterday. Xi will cern for us,” a senior US diplomatic source sign up to the infrastructure initiative. ident Mike Pence will not stay in Port Mo- Asked whether Asian nations might spend several days in Port Moresby and conduct an off icial bilateral visit. He will told Reuters, on condition of anonymity. “It Australian Prime Minister Scott Morrison resby, instead flying in and out daily from view Trump’s absence as a snub, Pence told also host a closed forum with Pacific leaders, where he is expected to announce was feasible Chinese military vessels could last week characterised the Pacific as Aus- the northeastern Australian city of Cairns. reporters travelling with him to Asia: “Not in a big Chinese aid and investment package to the Pacific, tying it to his signature have used the port so we are very happy tralia’s “patch” while off ering the region up “The US are well and truly on the the least,” adding that Trump attended the Belt and Road infrastructure initiative, Western diplomats said. that Australia will fund the re-development.” to A$3bn ($2.18bn) in cheap infrastructure naughty step,” a senior British diplomat told Asean and Apec summits last year.

Foreign investment in Pakistan China Southern Airlines dives 46%

Internews Karachi to quit SkyTeam alliance oreign direct invest- ment (FDI) in Pakistan Reuters sources familiar with the situation, who Ffell by 46% in the first Shanghai/Singapore were not authorised to speak to media. four months of the current fis- China Southern’s Guangzhou hub cal year especially in October competes against Cathay Pacifi c for in- when inflows fell by 53%, said hina Southern Airlines said it ternational traffi c. a report of the State Bank of will leave the SkyTeam airline Cathay Pacifi c and oneworld did not Pakistan (SBP) yesterday. Calliance on January 1 next year to immediately respond to Reuters emails. Despite China-Pakistan meet the needs of the company’s own China Southern also did not respond Economic Corridor-related development strategy. to Reuters’ requests for a comment on investments, the FDI in- SkyTeam is one of the world’s three future alliance plans. flows during July-October major airline alliances and had two big However, in a statement to the 2018-19 were limited to just Chinese carriers, China Southern and Shanghai stock exchange, China South- $600.7mn against $1,119.9mn rival China Eastern Airlines Corp Ltd, ern said it did not expect its decision to last year. as members, which is unusual given not renew its SkyTeam membership to Inflows from China totalled they operate in the same market. signifi cantly impact its operations. at $335mn, which was 56% of The three alliances, which also in- SkyTeam has said it will work with the total FDI during the period clude Star Alliance and oneworld, pro- China Southern to ensure a seamless under review. vide recriprocal benefi ts for passengers transition for all customers and part- However, the Chinese in- such as lounge usage and frequent fl yer ners – a process that will run through- vestments also plunged more points and give airlines transfer passen- out 2019 and be completed by the year- than half when compared with gers from partners in a boost to revenue. end. $694.3mn inflows in the cor- China Southern, the country’s largest Xiamen Airlines Co Ltd, a subsidiary responding period last year. airline by passenger numbers, is leaving of China Southern that is also a Sky- The recent four-day visit of SkyTeam because it believes it is expen- Team member, however, has no plans Prime Minister Imran Khan to sive relative to the benefi ts of member- to quit the alliance, Xiamen spokesman China was crucial to the bilat- ship, a source at the airline told Reuters Qiu Dapeng said yesterday. eral relations between the two on condition of anonymity. Among the other members of Sky- countries. It will consider joining oneworld but Team are Delta Air Lines Inc and Air Finance Minister Asad Umar has not yet made a decision and would France KLM SA. after returning from the trip not do so immediately, the source add- Both have close partnerships with declared the problem of cur- ed. China Eastern. Oneworld member rent account deficit had been Cathay Pacifi c, as a founding mem- American Airlines Group Inc last year resolved; on the other hand, ber of the oneworld alliance, however, spent $200mn buying a stake in China the government is negotiating has the right to veto other entrants Southern, a partnership the latter said it China Southern, the country’s largest airline by passenger numbers, is leaving SkyTeam because it believes it is expensive with the International Mon- from the greater China region, said two would strengthen. relative to the benefits of membership, a source at the airline said. etary Fund (IMF) for a bailout package. In addition to that, inflows from other countries have also been declining mainly due to PetroChina’s gas marketing consolidation worries independent sellers the increasing Chinese influ- ence in Pakistani economy. Significant inflows were re- Reuters corded at $64.5mn from UK, Beijing $45mn from USA, $43.9mn from Korea and $36.3mn from Switzerland during the period PetroChina will merge its wholesale under review. natural gas sales unit with retail provider Month-on-month, in- Kunlun Energy to shore up profits though flows in October were visibly the move worries independent gas sellers poor dropping to just $161mn that fear the combination will create a compared $345.6mn in the monopoly. same month last year; a fall of PetroChina announced the restructur- 53.4%. ing internally last week to merge Pet- The SBP data revealed a roChina Natural Gas Sales Company, the 15% jump in remittances from country’s largest natural gas wholesaler, overseas Pakistanis and the with Kunlun Energy Co Ltd, said three trade deficit has also reduced; sources with direct knowledge of the however, despite these im- matter. provements, increasing oil The three sources declined to be prices in the international named as they are not authorised to market could jeopardise the speak to the media. government’s effort to fix the A spokesman with China National ailing economy. Petroleum Corp, parent of PetroChina, In an effort to avoid an out- said he could not immediately confirm the right economic crisis, the gov- restructuring. ernment recently announced Hong Kong-listed Kunlun operates that Saudi Arabia would pro- Petrochina’s liquefied natural gas (LNG) vide $3bn for deferred oil pay- receiving terminals and distributes gas to ments and deposit $3bn in the households and factories. account of SBP. PetroChina Natural Gas Sales Company However, central bank’s re- markets the state-owned company’s do- serves have not seen any rise mestic gas production, imports of pipeline ever since the announcement gas from Turkmenistan and Myanmar, and was made during the last week LNG shipped in from Qatar and Australia. of October. But the firm, which supplies 70% of The delay in the Saudi funds China’s gas, has suff ered losses in its im- Liquified natural gas storage tanks are seen at PetroChina’s receiving terminal in Dalian, Liaoning province. In the first nine months of 2018, PetroChina booked a net has affected the exchange rate port business as the global prices it pays loss of nearly 20bn yuan ($2.88bn) on gas imports compared with net losses of 16.99bn yuan during the same period a year earlier. stability as foreign exchange are often above state regulated domestic reserves are declining each prices. In the first nine months of 2018, at the wholesale department,” said one in connection with the strategy. “(It will) dramatically alter the market “The integration means Kunlun will day mainly on account of debt PetroChina booked a net loss of nearly of the three executives. On November 6, Kunlun did not immediately respond structure as PetroChina will no doubt pri- receive support from the supply side, servicing payments. 20bn yuan ($2.88bn) on gas imports Kunlun released a statement to the Hong to an email requesting comment on the oritise Kunlun as its top customer at the and vice versa the sales group will have The outflow of portfolio compared with net losses of 16.99bn yuan Kong Stock Exchange discussing “Natural restructuring sent after business hours. expense of other buyers,” said another of a deeper penetration into the retail investment was 269mn com- during the same period a year earlier. Gas Business Development Strategies” Still, the restructuring worries smaller the executives, who is with an independ- including city gas distribution, gas refilling pared to outflow of 57mn in the Kunlun during the first six months of that states PetroChina’s wholesale and independent firms such as China Re- ent gas distributor. stations,” said the third source. same period of last year. 2018 reported net profit of 5.04bn yuan, retail sales businesses will be operated sources Gas Group, China Gas Holdings The move is Petrochina’s response to a Nearly 30 provincial wholesale The large outflow led to up 1.4% from the same period a year ear- independently. and ENN Energy Holdings that are fearful government plan to create a national gas operations of the gas sales company overall decline in the foreign lier, according to its financial report. The statement adds that as of the date the move could squeeze supplies in a fast pipeline company by consolidating the will be merged with the similar number private investment during the “This shall boost PetroChina’s lagging of the announcement Kunlun has no in- growing market and create a monopoly country’s trunk pipeline assets of which of provincial outlets under Kunlun, the four months of this fiscal by gas retail business and cut heavy losses tention to transfer any PetroChina assets wholesaler. PetroChina controls nearly 80%. sources said. 68% to $1,062mn. Gulf Times 6 Friday, November 16, 2018 BUSINESS

Emerging shares, Asia stocks jump on hopes for forex gain

Reuters easing of China-US trade war London Emerging market shares rose yesterday, cheered by a bounce AFP in Chinese equities on renewed Hong Kong optimism over a softening of the Sino-US trade dispute, while currencies gained as oil prices sian markets mostly rose yester- stabilised amid concerns about a day, with Hong Kong and Shang- global supply glut. Ahai rallying on hopes for an easing Reuters reported late last night of the China-US trade war, while en- that Beijing delivered a written ergy fi rms also enjoyed a much-needed response to US demands for bounce as oil prices stabilised. wide-ranging trade reforms, a The pound also held up after British move that could resume negotia- Prime Minister Theresa May narrowly tions to bring an end to the bitter won support for her Brexit deal from trade war between the world’s cabinet members, though Apple suppli- top economies. ers faced renewed selling. The broader index for Fears about the trade war, rising Federal emerging markets witnessed its Reserve interest rates, tensions within the biggest intraday gain in almost European Union and slowing growth in two-weeks, up 1.1%, boosted by most economies have forced stocks south mainland China shares which for the past few months. rose on news of trade optimism But after another battering for much of and financial companies ben- this week – this time from the oil sector – efiting from policy support for traders were given some hope by reports markets. that China had submitted a series of trade Russian stocks climbed 0.4% concessions to the Trump administra- after the central bank assured tion. it was in a position to tame risks Bloomberg said offi cials had suggested of market volatility as a result the measures as they try to reach a deal of fluctuations in oil prices and ahead of a G20 summit this month, where capital flows. Donald Trump is expected to meet Chi- Shares in South Africa as well nese President Xi Jinping. as Turkey also rose between 0.2% The report said the off ers were short and 0.3%, taking cues from their of the major reforms being sought by emerging counterparts. the White House but cited an unnamed The MSCI currency index was source as saying talks were ongoing and up for a second consecutive day constructive. as the dollar weakened against Earlier this week, Trump’s top eco- its European rivals after Britain’s nomic adviser Larry Kudlow said both prime minister won cabinet ap- sides were “having communications at all proval for her draft Brexit plan. levels” on trade. But, by 0915 GMT the dollar However, with both sides digging their recovered slightly. heels in, expectations for a breakthrough “The biggest driver is the are low. weaker dollar, and then you have “On the surface (the latest report is) a A panel displays a list of top active securities outside the Hong Kong Stock Exchange. The index jumped 1.8% to 26,103.34 points yesterday, with market heavyweight softer oil prices, with sentiment positive sign,” said Stephen Innes, head of Tencent surging almost 6% on the back of forecast-beating earnings. being reinforced by the rate hikes Asia-Pacifi c trade at OANDA. in Indonesia and Philippines. “However, in this instance I suspect and Sydney rose 0.1%, with Taipei, Mum- came to a halt after an uptick in crude Chinese growth. Despite the more posi- time getting it through parliament next All of that is helping shore equity traders will be more focused on bai, Manila and Jakarta also up. prices Wednesday, which extended into tive news, observers do not expect a re- month. With many of her ministers and up Asian FX sentiment,” said the...’long road that lies ahead’ as we can However, Tokyo ended 0.2% lower Asia, on speculation Opec will cut output bound any time soon. plenty of backbenchers – as well as the Kotecha. A surprise rate hike only assume it will be fi lled with numer- at 21,803.62, with big losses in Apple- more than recently stated. “The toxic elixir of weakening glo- opposition – against the deal, there are by Bank Indonesia buoyed the ous potholes. linked fi rms after another key supplier The cartel and kingpin Saudi Arabia at bal demand and oversupply suggests doubts she has the muscle to get her way, rupiah while the Philippine peso As such we could expect risk sentiment lowered its earnings forecasts, fuelling the weekend fl agged a tightening of the upticks (in oil prices) will run into leaving an uncertain future for the British also rose after its central bank to continue shading to the dark side of the worries about demand for the US titan’s taps to support the market after oil lost substantial selling as numerous bear- economy and the pound. raised borrowing costs. equation.” Still, Hong Kong rose 1.8% to iPhones. more than a fi fth of its value over the past ish factors are weighing on sentiment,” “We still can’t say with any confi dence South African rand rose 0.6%, 26,103.34 points yesterday, with market Japan Display collapsed 9.5%, Alps six weeks. Innes warned. whether this deal, no deal, or indeed a in line with a rise in bonds, and re- heavyweight Tencent surging almost 6% Electric lost 1.4% and Murata Manufac- The commodity has been rocked, On currency markets, the pound ex- second referendum, is now the most tail sales for September signalling on the back of forecast-beating earnings. turing slipped 1%, while TDK retreated though, by Trump’s call for much lower tended gains after May’s success in push- probable outcome to this ongoing saga,” hopes for the economy to climb Shanghai ended up 1.4% at 2,668.17, 3.1%. prices as well as a stronger US dollar ing her Brexit plan through the cabinet said Ray Attrill, head of forex strategy at out of a recession. Seoul added 1%, Singapore gained 0.4% The recent slump in energy stocks against emerging market units and soft but analysts warned she faced a tough National Australia Bank. The Russian rouble neared a two-week high, as bond prices rallied and as fears of more im- minent US sanctions faded. Currencies of net crude importers like the Turkish lira and Indian rupee continued to benefit ‘US equities will outshine their international peers’ from oil’s supply glut concerns in a market where consumption is expected to slow down. Reuters Central and eastern European New York currencies gave up almost all their early gains as Britain’s Brexit secretary resigned. S equities will outshine their international counterparts over Uthe coming year, despite slowing corporate profi t growth and increased stock market volatility, several big- name investors said. Low unemployment, the continued Sensex rises benefi ts of the Republican-led corpo- rate tax cuts, and concerns of a pro- Bloomberg tracted economic slowdown in Europe Mumbai should result in US equities remaining the best-performing world market, investors said at the Reuters Global In- ndia’s benchmark equity in- vestment 2019 Outlook Summit in New dex ended higher following York this week. US stocks have already Iswings between gains and outperformed other markets this year at losses, as investors turned their a clip that is the best in nearly fi ve years. focus to state elections now that “From the growth diff erential per- the earnings-reporting season spective, even though the US is now has come to an end. slowing, the rest is slowing more sharp- The S&P BSE Sensex climbed ly. So most other stock markets will 0.3% to 35,260.54 in Mumbai, probably suff er more than the US,” said boosted by Kotak Mahindra Bank Joachim Fels, global economic adviser Ltd and HDFC Bank Ltd. at Pacifi c Investment Management Co. Yes Bank Ltd was the biggest US corporate profi ts are expected to drag, falling 7.3% after the sud- grow by 10.8% in 2019, compared with den resignation of non-execu- a 23.7% increase in 2018, according to tive Chairman Ashok Chawla. global markets research at FTSE Rus- Jet Airways Ltd surged nearly sell, as the boost from the corporate tax 30% on reports that Tata Group cuts begins to fade. is mulling the airline’s acquisi- That compares to earnings growth tion. Eleven of the 19 sub-index- of 10.4% in 2019 for European compa- es compiled by BSE Ltd gained, nies excluding the UK, 16% next year for led by a measure of consumer emerging markets companies, and 4.9% durable companies. for Japanese companies, according to The NSE Nifty 50 Index rose FTSE Russell. The US economy is expect- 0.4% to 10,616.70. ed to grow by 2.5% next year, according to “Market is consolidating af- estimates from the Federal Reserve. ter strong company earnings By comparison, the economy of the and ahead of the state election eurozone is expected to grow by 1.9% results,” said Rajendra Kumar next year, down from previous forecasts Wadher, a Mumbai-based direc- of 2%, the European Commission said tor at PRB Securities Ltd. “Based on November 8. Traders work on the floor at the closing bell of the Dow Industrial Average at the New York Stock Exchange. The US benchmark S&P 500 index is up 1% so far this year. on the time cycle, we see Nifty “The US has been the lodestar in moving out of its 200-day mov- terms of corporate profi ts,” said Richard market, which erased what had been uations, even if the United States con- prominent short-seller who has pub- Beijing could take less of a toll than ing average next week and start- Bernstein, chief executive of Richard a nearly 10% rise in the Dow Jones In- tinues to outperform. “My view is that’s lished critical reports on Chinese com- many expect because domestic demand ing its climb toward 11,300.” Bernstein Advisors LLC. dustrial Average for the year-to-date, where the real values are, and I would do panies and profi ted when their shares in China is growing so rapidly that ex- Investors will be closely The US benchmark S&P 500 index is could leave the US stock market poised some nibbling there,” he said. dropped, said he fi nds some Chinese ports will matter less to its economy. watching the outcome of elec- up 1% so far this year, compared with an for gains in the year ahead, said Byron Indeed, the US stock market is more companies more attractive than their Kera Van Valen, a portfolio manager tions in fi ve Indian states in No- 11.5% drop for an exchange-traded fund Wien, vice chairman at Blackstone Ad- expensive than international equities, US counterparts. at Epoch Investment Partners, said she vember and December to gauge designed to measure equity market per- visory Partners. based on price-to-earnings ratios. “There is value in China,” Left said. expects global stock market volatility the nation’s mood ahead of the formance outside the United States. “The US market was very fully priced The S&P 500 is trading at 15.6 times “I would take Alibaba all-day-long over to continue, potentially leaving the US national ballot next year. If that 12.5 percentage point diff er- in September, and so the fact that we earnings estimates for the next 12 Amazon.” stock market as a safety trade. Of the companies on the NSE ence holds for the year, it would be the have had a severe correction which is months compared with 12.6 times for Many stocks have declined due to “There is more uncertainty in the Nifty 50 Index, 27 either met or largest annual outperformance for US continuing is understandable, but it is Europe’s Stoxx index and 10 times for concerns about the fallout from the ex- markets today than two years ago,” she exceeded profi t estimates. stocks since a 19-point diff erence in moving into an attractive range,” he said. the MSCI emerging markets index, ac- panding trade war between the United said. “I do think that there are contin- Indian rupee traded at Rs 2014, according to Refi nitiv data. At the same time, he added, emerging cording to Refi nitiv data. States and China, Left said, even though ued challenges outside of the US while 72.08 a US dollar from its previ- The October selloff in the US stock markets may off er more compelling val- Citron Research’s Andrew Left, a trade friction between Washington and the US economy continues to improve.” ous close of Rs 72.31. Gulf Times Friday, November 16, 2018 7 BUSINESS

SAUDI ARABIA KUWAIT OMAN

Company Name Lt Price % Chg Volume Company Name Lt Price % Chg Volume Company Name Lt Price % Chg Volume

Solidarity Saudi Takaful Co 14.60 -0.68 184,111 Specialities Group Holding C 70.30 1.44 50,500 Aloula Co 0.53 0.00 - Amana Cooperative Insurance 18.90 -0.63 525,325 Abyaar Real Eastate Developm 17.20 0.00 1,767,390 Al-Omaniya Financial Service 0.18 0.00 - Alabdullatif Industrial Inv 11.48 0.17 217,042 Kgl Logistics Company Kscc 42.80 1.42 1,520,900 Al-Hassan Engineering Co 0.03 0.00 - Saudi Printing & Packaging C 16.64 -1.54 792,712 Combined Group Contracting 379.00 2.43 52,109 Al-Fajar Al-Alamia Co 0.75 0.00 - Saudi Paper Manufacturing Co 12.24 -0.33 839,595 Jiyad Holding Co Ksc 82.50 -0.72 9,748,702 Al-Anwar Ceramic Tiles Co 0.08 -1.22 445,000 Alinma Bank 20.98 -0.66 17,586,656 Boubyan Intl Industries Hold 24.10 5.70 70,710 Al Suwadi Power 0.11 -0.87 8,000 Almarai Co 46.30 -0.22 256,570 Gulf Investment House Ksc 22.00 5.77 281,060 Al Sharqiya Invest Holding 0.09 0.00 85,000 Falcom Saudi Equity Etf 30.10 0.33 172,886 Boubyan Bank K.S.C 528.00 -0.19 1,454,116 Al Maha Petroleum Products M 0.90 0.00 - United International Transpo 28.20 -0.53 181,159 Ahli United Bank B.S.C 203.00 1.00 3,792,764 Al Maha Ceramics Co Saoc 0.21 0.00 - Hsbc Amanah Saudi 20 Etf 32.30 0.00 - Osos Holding Group Co 97.70 0.21 5,000 Al Madina Takaful Co Saoc 0.10 2.00 559,755 QATAR Saudi International Petroche 20.20 0.50 419,527 Al-Eid Food Ksc 65.00 0.00 7,920 Al Madina Investment Co 0.04 0.00 670,570 Falcom Petrochemical Etf 34.10 0.00 60 Qurain Petrochemical Industr 387.00 -0.26 353,666 Al Kamil Power Co 0.38 0.00 - Company Name Lt Price % Chg Volume Walaa Cooperative Insurance 21.80 -2.94 325,624 Ekttitab Holding Co Sak 22.50 0.00 132,500 Al Jazerah Services -Pfd 0.55 0.00 - Bank Al-Jazira 14.06 0.43 3,087,058 Real Estate Trade Centers Co 21.60 -4.00 33,399 Al Jazeera Steel Products Co 0.28 0.00 - Zad Holding Co 99.50 -0.48 255 Al Rajhi Bank 84.30 -0.47 2,425,222 Acico Industries Co Kscc 195.00 -2.50 197,300 Al Jazeera Services 0.12 0.00 - Widam Food Co 68.40 -0.87 8,862 Samba Financial Group 28.95 -1.19 2,443,928 Kipco Asset Management Co 65.00 -0.15 116,900 Al Izz Islamic Bank 0.09 0.00 - Vodafone Qatar 7.80 0.00 - United Electronics Co 59.00 -0.17 71,820 National Petroleum Services 858.00 0.00 231 Al Buraimi Hotel 0.88 0.00 - United Development Co 14.25 -1.04 125,345 Allied Cooperative Insurance 17.06 0.12 95,378 Alimtiaz Investment Group 126.00 0.00 1,328,089 Al Batinah Power 0.11 0.00 - Salam International Investme 4.44 -0.89 45,004 Malath Insurance 11.84 -1.00 699,608 Ras Al Khaimah White Cement 77.00 0.00 15,679 Al Batinah Hotels 1.13 0.00 - Qatar & Oman Investment Co 5.81 -1.53 89,715 Alinma Tokio Marine 17.10 0.23 160,219 Kuwait Reinsurance Co Ksc 0.00 0.00 - Al Batinah Dev & Inv 0.09 0.00 - Qatar Navigation 67.99 0.00 29,681 Arabian Shield Cooperative 18.08 -0.44 224,002 Kuwait & Gulf Link Transport 98.00 -0.41 704,733 Al Anwar Holdings Saog 0.10 -0.99 339,955 Qatar National Cement Co 57.50 -0.67 9,312 Savola 27.75 0.00 865,675 Humansoft Holding Co Ksc 3,230.00 0.94 113,516 Al Ahlia Insurance Co Saoc 0.36 0.00 - Qatar National Bank 195.97 2.87 171,802 Wafrah For Industry And Deve 15.60 2.63 463,377 Automated Systems Co Kscc 110.00 0.00 30,000 Ahli Bank 0.15 0.00 - Qatar Islamic Insurance 53.50 -2.28 1,250 Fitaihi Holding Group 11.02 -0.18 159,095 Metal & Recycling Co 67.00 0.00 25 Acwa Power Barka Saog 0.72 0.00 - Qatar Industrial Manufactur 43.50 0.00 - Tourism Enterprise Co/ Shams 31.90 -0.16 663,677 Gulf Franchising Holding Co 100.00 33.33 185 Abrasives Manufacturing Co S 0.05 0.00 - Qatar International Islamic 62.93 0.29 29,938 Sahara Petrochemical Co 16.04 0.00 888,991 Al-Enma’a Real Estate Co 32.50 -0.61 48,300 A’saff a Foods Saog 0.60 0.00 - Qatari Investors Group 28.74 1.16 11,155 Herfy Food Services Co 45.50 -1.09 91,669 National Mobile Telecommuni 730.00 0.69 1,278 0Man Oil Marketing Co-Pref 0.25 0.00 - Qatar Islamic Bank 151.84 0.69 105,419 Saudi Ind Investment Group 24.74 -1.43 678,507 Unicap Investment And Financ 61.10 0.49 923,015 #N/A Invalid Security 0.00 0.00 - Qatar Gas Transport(Nakilat) 17.87 0.34 64,048 Salama Cooperative Insurance 15.14 0.53 271,895 Al Salam Group Holding Co 33.80 1.20 175,855 #N/A Invalid Security 0.00 0.00 - Qatar General Insurance & Re 46.20 -2.63 5,643 Emaar Economic City 8.06 -0.12 1,623,080 Al Aman Investment Company 50.00 0.00 100 #N/A Invalid Security 0.00 0.00 - Qatar German Co For Medical 4.42 0.45 21,915 Alahli Takaful Co 26.40 -0.56 184,814 Mashaer Holding Co Ksc 42.00 -3.67 236,674 #N/A Invalid Security 0.00 0.00 - Qatar Fuel Qsc 164.02 -5.62 1,045,373 Anaam International Holding 11.42 0.53 2,230,631 Manazel Holding 30.40 -0.33 140,200 #N/A Invalid Security 0.00 0.00 - Qatar First Bank 4.26 -0.47 233,706 Saudi Telecom Co 83.50 0.60 164,990 Tijara And Real Estate Inves 47.00 0.00 1,045 #N/A Invalid Security 0.00 0.00 - Qatar Electricity & Water Co 184.40 0.01 43,924 Al Alamiya Cooperative Insur 34.90 -0.99 38,593 Jazeera Airways Co Ksc 749.00 0.54 44,340 #N/A Invalid Security 0.00 0.00 - Qatar Exchange Index Etf 101.00 0.00 - Saudi Industrial Services Co 12.00 0.33 250,739 Commercial Real Estate Co 85.10 -2.63 1,026,244 Qatar Cinema & Film Distrib 19.08 5.41 575 Al-Ahsa Development Co. 10.24 0.79 89,057 National International Co 60.90 3.22 100 Al Rayan Qatar Etf 23.01 -2.13 1,115 National Co For Glass In/The 18.74 -0.32 16,782 Taameer Real Estate Invest C 27.90 0.72 491,450 Qatar Insurance Co 36.15 0.98 99,877 Dur Hospitality Co 21.30 -0.28 101,727 Gulf Cement Co 68.50 -5.91 28,000 Ooredoo Qpsc 71.90 1.99 44,086 Tabuk Cement Co 11.98 1.18 357,349 Heavy Engineering And Ship B 451.00 -7.01 4,966,226 UAE National Leasing 8.84 0.45 10,777 Sasco 17.32 -0.46 481,929 National Real Estate Co 94.00 0.11 108,474 Mazaya Qatar Real Estate Dev 7.50 -1.19 634,554 Saudi Cement 46.80 -1.47 192,107 Al Safat Energy Holding Comp 29.00 0.00 2,000 Company Name Lt Price % Chg Volume Mesaieed Petrochemical Holdi 16.35 -1.51 135,728 Aseer Trading Tourism & Manu 9.24 -1.07 428,062 Kuwait National Cinema Co 910.00 0.00 191 Al Meera Consumer Goods Co 147.99 -0.68 1,503 Nama Chemicals Co 28.80 0.00 404,706 Danah Alsafat Foodstuff Co 39.80 -1.73 1,126,052 Waha Capital Pjsc 1.92 1.05 96,108 Medicare Group 61.00 -1.12 24,246 Saudi Arabian Mining Co 47.50 2.70 1,120,642 Independent Petroleum Group 409.00 -1.21 12,700 United Insurance Company 2.00 0.00 - Mannai Corporation Qsc 57.01 -0.02 1,298 Yanbu Cement Co 24.78 1.14 251,281 Kuwait Real Estate Co Ksc 52.30 0.97 5,077,300 United Arab Bank Pjsc 1.25 0.00 - Masraf Al Rayan 38.39 0.97 260,227 Saudi Fisheries 26.50 -3.46 1,783,362 Salhia Real Estate Co Ksc 330.00 0.00 20,718 Union National Bank/Abu Dhab 4.80 -0.62 1,594,998 Al Khalij Commercial Bank 11.12 -0.71 32,348 Ash-Sharqiyah Development Co 46.30 -0.64 243,862 Gulf Cable & Electrical Ind 379.00 0.26 15,901 Union Insurance Co 1.20 0.00 - Industries Qatar 134.50 -1.03 196,244 Makkah Construction & Devepl 81.50 -0.12 13,177 Kuwait Finance House 0.00 0.00 - Union Cement Co 0.00 0.00 - Islamic Holding Group 24.25 0.00 - Al Jouf Cement 8.06 0.75 713,018 Gulf North Africa Holding Co 47.20 -0.21 57,000 Umm Al Qaiwain General Inves 0.85 0.00 - Investment Holding Group 5.34 -0.74 30,182 Abdullah A.M. Al-Khodari Son 7.24 0.00 - Hilal Cement Co 0.00 0.00 - Sudan Telecommunications Gro 0.42 -2.54 471,445 Gulf Warehousing Company 40.95 1.06 8,349 Knowledge Economic City 9.60 1.27 520,005 Osoul Investment Kscc 57.00 0.00 5,000 Sharjah Islamic Bank 1.16 -0.85 398,922 Gulf International Services 18.98 0.11 20,877 Al-Ahlia Cooperative Insuran 11.50 -0.17 211,325 Gulf Insurance Group Ksc 625.00 0.00 6,980 Sharjah Insurance Company 2.84 0.00 - Ezdan Holding Group 11.30 3.96 188,336 Al Rajhi Co For Co-Operative 62.30 0.65 301,042 Umm Al Qaiwain General Inves 60.00 0.00 121 Sharjah Group 1.20 0.00 - Doha Insurance Co 12.67 0.80 1,000 Alkhodar Ab Equity 49.15 2.29 167,455 Aayan Leasing & Investment 37.20 1.36 7,872,516 Sharjah Cement & Indus Devel 1.00 0.00 - Doha Bank Qpsc 19.90 -1.49 1,013,972 Kec Ab Equity 21.28 1.82 318,875 Alrai Media Group Co Ksc 79.90 1.40 8,360 Ras Al-Khaimah National Insu 2.90 0.00 - Dlala Holding 9.88 -3.04 9,397 Alahlia Ab Equity 25.25 0.00 93,508 National Investments Co 85.00 -0.35 972,551 Ras Al Khaimah White Cement 0.95 0.00 - Commercial Bank Pqsc 40.90 -0.73 91,092 Arcci Ab Equity 8.43 0.24 2,157,186 Commercial Facilities Co 172.00 -1.15 95,600 Ras Al Khaimah Ceramics 2.03 -0.49 503,530 Barwa Real Estate Co 39.51 -0.73 833,914 Appc Ab Equity 21.60 1.31 3,801,422 Yiaco Medical Co. K.S.C.C 128.00 0.00 2,258 Ras Al Khaimah Cement Co Psc 0.68 2.11 303,950 Al Khaleej Takaful Group 8.25 -1.79 1,210 Albabtai Ab Equity 43.40 0.46 1,019,686 Munshaat Real Estate Project 110.00 0.00 10,000 Ras Al Khaima Poultry 1.89 0.00 - Aamal Co 9.23 0.00 17,893 Noor Financial Investment Co 61.90 -0.16 2,639,508 Rak Properties 0.58 3.02 929,851 Al Tamdeen Investment Co 280.00 0.00 46,436 Ooredoo Qpsc 70.00 0.00 - KUWAIT Credit Rating & Collection 22.40 1.82 5 Oman & Emirates Inv(Emir)50% 0.50 0.00 - Ifa Hotels & Resorts Co. K.S 96.90 0.00 1,300 National Takaful Company 0.55 0.00 - SAUDI ARABIA National Marine Dredging Co 3.00 -8.26 181 Company Name Lt Price % Chg Volume Sokouk Holding Co Sak 42.60 -2.52 250,011 Warba Bank Kscp 230.00 -0.86 939,610 National Investor Co/The 0.58 0.00 - Company Name Lt Price % Chg Volume Sultan Center Food Products 50.00 -3.66 2,037,885 Viva Kuwait Telecom Co 789.00 -2.59 69,481 National Corp Tourism & Hote 1.90 0.00 - Kuwait Foundry Co Sak 185.00 -2.12 1,000 Mezzan Holding Co Kscc 610.00 -1.61 12,806 National Bank Of Umm Al Qaiw 2.50 0.00 - United Wire Factories Compan 14.88 1.78 15,245 Kuwait Financial Centre Sak 92.50 5.11 21,613 National Bank Of Ras Al-Khai 4.15 0.00 - Etihad Etisalat Co 17.02 0.83 1,066,467 Ajial Real Estate Entmt 143.00 -0.69 95,962 National Bank Of Fujairah 3.40 0.00 - Dar Al Arkan Real Estate Dev 8.72 0.23 7,242,034 Kuwait Finance & Investment 38.00 0.00 100,840 Methaq Takaful Insurance 0.80 0.00 - Alawwal Bank 14.88 1.22 171,409 National Industries Co Ksc 170.00 -2.86 223,000 OMAN Manazel Real Estate Pjsc 0.44 1.15 154,200 Rabigh Refining And Petroche 20.74 -0.29 335,717 Kuwait Real Estate Holding C 25.00 5.93 17,280 Invest Bank 2.49 0.00 - Banque Saudi Fransi 32.20 0.31 209,199 Company Name Lt Price % Chg Volume Securities House/The 51.90 -0.76 1,016,878 Intl Holdings Co Pjsc 1.13 -3.42 99,299 Saudi Enaya Cooperative Insu 27.50 0.92 467,718 Voltamp Energy Saog 0.00 Boubyan Petrochemicals Co 1,016.00 -0.10 28,000 0.27 - Insurance House 0.85 0.00 - Mediterranean & Gulf Insuran 15.62 -0.38 1,373,123 Vision Insurance Saoc 0.00 Al Ahli Bank Of Kuwait 289.00 0.00 7,810 0.14 - Gulf Pharmaceutical Ind Psc 2.10 0.00 - Saudi British Bank 32.30 0.78 95,411 United Power/Energy Co- Pref 0.00 Ahli United Bank (Almutahed) 290.00 -0.34 174,590 1.00 - Gulf Medical Projects 1.95 0.00 - Red Sea International Co 14.68 -0.14 144,521 United Power Co Saog 0.00 National Bank Of Kuwait 835.00 -0.12 2,242,469 3.44 - Gulf Cement Co 0.90 0.00 - Takween Advanced Industries 10.02 0.60 876,205 United Finance Co 0.00 Commercial Bank Of Kuwait 500.00 0.00 155,000 0.09 - Fujairah Cement Industries 1.25 0.00 - Sabb Takaful 17.90 1.13 464,443 Ubar Hotels & Resorts 0.00 Kuwait International Bank 243.00 0.00 237,193 0.13 - Fujairah Building Industries 1.41 0.00 - Saudi Arabian Fertilizer Co 76.50 -4.26 693,866 Takaful Oman 0.00 Gulf Bank 257.00 0.39 4,891,933 0.13 2,410 Foodco Holding Pjsc 3.35 0.00 - National Gypsum 12.48 0.81 108,376 Taageer Finance 0.00 Al-Massaleh Real Estate Co 41.00 0.00 37,145 0.10 - First Abu Dhabi Bank Pjsc 14.80 0.68 10,409,682 Saudi Ceramic Co 20.80 -0.95 138,823 Sweets Of Oman 0.00 Al Arabiya Real Estate Co 31.10 0.32 150,015 0.55 - Finance House 1.68 0.00 - National Gas & Industrializa 28.25 0.18 33,471 Sohar Power Co 0.00 Kuwait Remal Real Estate Co 36.00 0.56 617,800 0.12 - Eshraq Properties Co Pjsc 0.59 -2.16 749,709 Saudi Pharmaceutical Industr 29.00 0.17 21,401 Sohar Poultry 0.00 A’ayan Real Estate Co Sak 63.00 0.00 650 0.00 - Emirates Telecom Group Co 17.10 1.42 2,629,088 Thimar 25.65 0.00 - Smn Power Holding Saog 0.00 Investors Holding Group Co.K 12.80 0.00 1,110,003 0.54 - Emirates Insurance Co. (Psc) 6.90 6.15 305,555 National Industrialization C 16.90 0.12 1,152,292 Shell Oman Marketing - Pref 0.00 Al-Mazaya Holding Co 74.10 -2.63 276,038 1.05 - Emirates Driving Company 6.90 0.00 - Batic Investments And Logist 38.70 -0.77 75,444 Shell Oman Marketing 0.00 Al-Madar Finance & Invt Co 166.00 1.22 1,768,629 1.49 - Dana Gas 1.13 0.00 3,978,980 Saudi Electricity Co 14.70 -0.14 1,150,033 Sharqiyah Desalination Co Sa 0.00 Gulf Petroleum Investment 27.80 -3.81 1,760,824 3.08 - Commercial Bank Internationa 0.70 -0.85 250,000 Saudi Arabia Refineries Co 39.10 -0.13 148,036 Sembcorp Salalah Power & Wat 0.00 Mabanee Co Sakc 639.00 1.59 394,646 0.19 - Bank Of Sharjah 1.08 0.00 - Arriyadh Development Company 17.60 2.33 177,134 Salalah Port Services 0.00 Inovest Co Bsc 88.00 0.11 49,225 0.60 - Axa Green Crescent Insurance 0.50 0.00 300,000 Al-Baha Development & Invest 20.00 -3.10 489,222 Salalah Mills Co 0.00 Al-Deera Holding Co 22.80 -5.79 114,187 0.77 - Arkan Building Materials Co 0.50 0.00 71,500 Saudi Research And Marketing 95.10 -0.73 48,342 Salalah Beach Resort Saog 0.00 Mena Real Estate Co 29.40 3.89 213,100 1.38 - Alkhaleej Investment 1.75 0.00 - Aldrees Petroleum And Transp 36.00 0.56 425,878 Sahara Hospitality 0.00 Amar Finance & Leasing Co 35.60 9.88 500 2.38 - Aldar Properties Pjsc 1.70 -0.58 5,889,764 Saudi Vitrified Clay Pipe Co 49.55 -0.90 11,681 Renaissance Services Saog 1.05 United Projects For Aviation 640.00 0.00 10 0.38 187,376 Al Wathba National Insurance 12.76 0.00 - Jarir Marketing Co 142.40 0.56 76,382 Raysut Cement Co -2.86 National Consumer Holding Co 0.00 0.00 - 0.41 40,000 Al Qudra Holding Pjsc 0.90 0.00 - Arab National Bank 32.50 1.88 30,718 Phoenix Power Co Saoc 0.00 Amwal International Investme 58.00 0.00 3,880 0.11 144,498 Al Khazna Insurance Co 0.25 0.00 - Yanbu National Petrochemical 65.80 2.02 429,775 Packaging Co Ltd 0.00 Equipment Holding Co K.S.C.C 26.80 -3.60 909,506 2.21 - Al Fujairah National Insuran 300.00 0.00 - Arabian Cement 25.00 2.04 269,616 Ooredoo -0.36 Arkan Al Kuwait Real Estate 81.00 2.92 24,700 0.56 10,000 Al Dhafra Insurance Co. P.S. 3.60 0.00 - Middle East Specialized Cabl 12.62 1.28 2,083,672 Ominvest 0.00 Gfh Financial Group Bsc 99.50 -0.30 30,416 0.35 - Al Buhaira National Insuranc 2.21 0.00 - Al Khaleej Training And Educ 13.28 0.15 417,168 Oman United Insurance Co 0.00 Energy House Holding Co Kscp 37.50 -5.06 63,100 0.30 - Al Ain Ahlia Ins. Co. 38.00 0.00 - Al Sagr Co-Operative Insuran 12.46 -0.95 672,198 Oman Telecommunications Co 0.00 Kuwait Co For Process Plant 239.00 0.00 20,910 0.84 7,190 Agthia Group Pjsc 3.95 0.25 1,133,833 Trade Union Cooperative Insu 24.30 -0.82 375,638 Oman Refreshment Co 0.00 Al Maidan Dental Clinic Co K 0.00 0.00 - 1.75 500 Abu Dhabi Ship Building Co 1.14 0.00 - Arabia Insurance Cooperative 18.52 0.22 171,944 Oman Qatar Insurance Co 0.00 National Shooting Company 17.90 0.00 3,001 0.12 375,000 Abu Dhabi Natl Co For Buildi 0.48 4.84 85,200 Saudi Chemical Company 31.95 0.00 21,962 Oman Packaging 0.00 Al-Ahleia Insurance Co Sakp 420.00 -0.47 32,800 0.28 - Abu Dhabi National Takaful C 4.40 0.00 - Fawaz Abdulaziz Alhokair & C 23.36 1.13 3,189,772 Oman Oil Marketing Company 0.00 Wethaq Takaful Insurance Co 26.00 0.00 87,000 1.13 - Abu Dhabi National Oil Co Fo 2.43 2.10 1,154,221 Bupa Arabia For Cooperative 103.80 0.78 157,351 Oman National Engineering An 0.00 Salbookh Trading Co Kscp 40.00 0.00 511 0.17 - Abu Dhabi National Insurance 3.86 0.00 - Wafa Insurance 9.50 0.00 - Oman Investment & Finance -1.12 Aqar Real Estate Investments 61.10 0.00 8,300 0.09 42,350 Abu Dhabi National Hotels 2.90 -7.94 250 Jabal Omar Development Co 37.00 1.65 1,057,433 Oman Intl Marketing 0.00 Hayat Communications 0.00 0.00 - 0.52 - Abu Dhabi National Energy Co 1.06 0.00 687,533 Saudi Basic Industries Corp 119.80 -0.66 3,421,015 Oman Flour Mills 0.00 Soor Fuel Marketing Co Ksc 116.00 -0.85 200,373 0.69 4,000 Saudi Kayan Petrochemical Co 14.30 -0.97 4,693,895 Oman Fisheries Co 0.00 Tamkeen Holding Co 10.50 -1.87 100,200 0.08 10,000 Etihad Atheeb Telecommunicat 5.35 0.00 - Oman Europe Foods Industries 0.00 Burgan Co For Well Drilling 110.00 0.00 250 1.00 - Co For Cooperative Insurance 52.20 0.97 92,101 Oman Education & Training In 0.00 BAHRAIN Kuwait Resorts Co Kscc 58.70 2.98 3,116,330 0.22 - National Petrochemical Co 26.00 -0.38 215,453 Oman Chromite 0.00 Oula Fuel Marketing Co 117.00 0.00 39,773 3.64 - Gulf Union Cooperative Insur 14.00 -0.71 192,308 Oman Chlorine 0.00 Palms Agro Production Co 60.00 0.00 4,890 0.29 - Company Name Lt Price % Chg Volume Gulf General Cooperative Ins 13.46 -1.46 89,621 Oman Ceramic Company 0.00 Mubarrad Holding Co Ksc 61.80 -0.16 10,745 0.42 - Basic Chemical Industries 22.88 0.09 59,438 Oman Cement Co -1.30 Zain Bahrain Bscc 0.08 0.00 20,100 Shuaiba Industrial Co 0.00 0.00 - 0.30 66,148 Saudi Steel Pipe Co 19.08 0.42 407,625 Oman Cables Industry 0.00 United Paper Industries Bsc 0.30 0.00 297,244 Aan Digital Services Co 18.60 -2.11 740,010 1.03 - Buruj Cooperative Insurance 25.45 0.20 120,318 Oman & Emirates Inv(Om)50% -7.26 United Gulf Holding Bsc 0.95 0.00 1,600 First Takaful Insurance Co 48.00 0.00 31,750 0.12 111,607 Mouwasat Medical Services Co 75.10 1.35 70,987 Natl Aluminium Products 0.00 Trafco Group Bsc 0.00 0.00 - Kuwaiti Syrian Holding Co 36.50 1.39 401,669 0.38 - Southern Province Cement Co 37.70 -0.40 42,985 Celebrity National Financial 0.00 Takaful International Co 0.00 0.00 - National Cleaning Company 57.00 1.24 134,000 0.00 - Maadaniyah 17.58 -0.57 120,507 National Real Estate Develop 0.00 Seef Properties 0.21 0.00 40,000 United Real Estate Company 63.50 0.79 390,265 5.00 - Yamama Cement Co 14.38 1.13 256,044 National Pharmaceutical 0.00 National Bank Of Bahrain Bsc 0.60 -0.83 60,000 Agility 829.00 0.61 299,463 0.19 - Jazan Energy And Development 14.30 1.56 553,721 National Mineral Water 0.00 Nass Corp Bsc 0.10 -4.90 60,000 Kuwait & Middle East Fin Inv 31.30 4.33 100 0.10 - Zamil Industrial Investment 18.12 -0.22 161,105 National Life & General Insu 0.00 Khaleeji Commercial Bank 0.08 1.25 605,000 Fujairah Cement Industries 64.80 0.00 28,000 0.32 - Alujain Corporation (Alco) 21.08 0.19 945,323 National Gas Co 1.01 Ithmaar Holding Bsc 0.10 5.26 50,000 Livestock Transport & Tradng 185.00 0.00 300 0.30 10,000 Tabuk Agricultural Developme 10.18 3.98 1,647,608 National Finance Co 0.00 Investcorp Bank -$Us 9.40 0.00 1,000 International Resorts Co 22.30 1.36 1,111,695 0.14 - United Co-Operative Assuranc 11.14 -0.71 68,962 National Detergent Co Saog 0.00 Inovest Co Bsc 0.00 0.00 - National Industries Grp Hold 158.00 0.64 2,455,263 0.70 - Qassim Cement/The 36.55 0.55 54,680 National Biscuit Industries 0.00 Gulf Hotel Group B.S.C 0.43 0.00 25,144 Warba Insurance Co 75.90 6.90 10,157 3.90 5,000 Saudi Advanced Industries 12.48 -0.48 264,295 National Bank Of Oman Saog 0.00 Gfh Financial Group Bsc 0.34 -1.45 15,418 First Dubai Real Estate Deve 40.00 0.00 428,450 0.19 120,000 Kingdom Holding Co 7.76 -0.26 94,912 Muscat Thread Mills Co 0.00 Esterad Investment Co B.S.C. 0.11 0.00 3,057,560 Al Arabi Group Holding Co 69.00 6.15 208,850 0.08 - Saudi Arabian Amiantit Co 6.04 -1.31 1,104,859 Muscat Insurance Co Saog 0.00 Eskan Bank Realty Income Tr 0.09 0.00 280,000 Mobile Telecommunications Co 464.00 -0.22 2,993,210 0.80 - Al Jouf Agriculture Developm 22.34 4.39 396,395 Muscat Gases Company Saog 0.00 Delmon Poultry Co 0.00 0.00 - Eff ect Real Estate Co 20.00 0.00 100 0.23 - Saudi Industrial Development 8.25 -0.48 446,455 Muscat Finance 0.00 Bmmi Bsc 0.74 0.00 68,000 Tamdeen Real Estate Co Ksc 328.00 0.00 49 0.09 50,378 Riyad Bank 16.80 0.48 310,698 Muscat City Desalination Co 0.00 Bbk Bsc 0.44 0.46 46,000 Al Mudon Intl Real Estate Co 31.00 0.00 471,079 0.13 1,233,390 The National Agriculture Dev 28.70 1.41 450,885 Majan Glass Company 0.00 Bahrain Telecom Co 0.26 0.00 418,933 Kuwait Cement Co Ksc 350.00 -4.11 237,736 0.18 - Halwani Bros Co 45.10 -1.53 20,788 Majan College 4.52 Bahrain National Holding 0.36 0.00 4,722 Sharjah Cement & Indus Devel 75.00 0.00 1,000 0.65 8,310 Arabian Pipes Co 9.66 1.15 328,716 Hsbc Bank Oman 0.00 Bahrain Kuwait Insurance 0.32 0.00 14,680 Kuwait Portland Cement Co 1,135.00 5.98 30,000 0.12 - Eastern Province Cement Co 20.50 -0.87 73,746 Hotels Management Co Interna 0.00 Bahrain Islamic Bank 0.13 0.00 120,000 Educational Holding Group 308.00 0.00 55,000 1.25 - Al Gassim Investment Holding 10.70 6.57 1,841,014 Gulf Stone 0.00 Bahrain Flour Mills Co 0.00 0.00 - Asiya Capital Investments Co 32.10 -2.73 43,253 0.12 - Filing & Packing Materials M 33.70 -0.15 41,522 Gulf Mushroom Company 0.00 Bahrain Duty Free Complex 0.73 0.00 5,000 Kuwait Investment Co 126.00 0.00 176,557 0.31 - Saudi Cable Co 35.90 0.42 906,437 Gulf Investments Services -2.50 Bahrain Commercial Facilitie 0.78 0.00 2,560 Burgan Bank 282.00 1.44 3,168,151 0.08 636,090 Tihama Advertising & Public 42.85 -1.38 284,069 Gulf Invest. Serv. Pref-Shar 0.00 Bahrain Cinema Co ` 0.00 - Kuwait Projects Co Holdings 211.00 0.00 122,031 0.11 - Saudi Investment Bank/The 16.86 -0.59 323,615 Gulf International Chemicals 0.00 Arab Banking Corp Bsc-$Us 0.40 0.00 34,000 Al Madina For Finance And In 23.40 -4.49 693,575 0.19 - Astra Industrial Group 15.82 -0.75 251,809 Gulf Hotels (Oman) Co Ltd 0.00 Aluminium Bahrain Bsc 0.59 0.00 74,015 Kuwait Insurance Co 310.00 -1.59 12,179 9.50 - Saudi Public Transport Co 13.60 0.00 468,263 Global Fin Investment 0.00 Albaraka Banking Group 0.30 0.00 111,867 Al Masaken Intl Real Estate 41.80 0.00 5,050 0.09 - Taiba Holding Co 29.40 1.03 19,450 Galfar Engineering&Contract 0.00 Al-Salam Bank 0.09 -1.08 500,000 Intl Financial Advisors 33.00 -5.71 3,434,269 0.10 129,090 Saudi Industrial Export Co 134.00 -9.95 26,749 Galfar Engineering -Prefer 0.00 Ahli United Bank B.S.C 0.67 0.00 6,000 First Investment Co Kscc 40.00 -1.23 2,959,146 0.39 - Saudi Real Estate Co 12.78 1.11 519,159 Financial Services Co. 0.00 #N/A Invalid Security 0.00 0.00 - Al Mal Investment Company 22.50 0.00 937,102 0.18 - Saudia Dairy & Foodstuff Co 96.20 -2.83 69,249 Financial Corp/The 0.00 #N/A Invalid Security 0.00 0.00 - Bayan Investment Co Kscc 49.00 0.00 5,100 0.10 - National Shipping Co Of/The 31.90 -0.62 382,258 Dhofar Tourism 0.00 #N/A Invalid Security 0.00 0.00 - Egypt Kuwait Holding Co Sae 340.00 0.00 300 0.49 - Methanol Chemicals Co 10.32 -2.46 2,252,826 Dhofar Poultry 0.00 #N/A Invalid Security 0.00 0.00 - Coast Investment Development 32.40 -0.92 21,093 0.18 - Chubb Arabia Cooperative Ins 18.06 0.44 21,645 Dhofar Intl Development 0.00 #N/A Invalid Security 0.00 0.00 - Privatization Holding Compan 56.50 -0.88 520,633 0.26 - Mobile Telecommunications Co 6.72 -0.59 4,230,310 Dhofar Insurance -8.94 #N/A Invalid Security 0.00 0.00 - Injazzat Real State Company 84.00 0.00 40,200 0.16 37,000 Saudi Arabian Coop Ins Co 11.38 0.71 202,960 Dhofar Fisheries & Food Indu 0.00 #N/A Invalid Security 0.00 0.00 - Kuwait Cable Vision Sak 30.00 0.00 21 1.28 - Axa Cooperative Insurance 22.60 -0.44 90,476 Dhofar Cattlefeed 0.00 #N/A Invalid Security 0.00 0.00 - Sanam Real Estate Co Kscc 38.50 0.00 2 0.17 - Alsorayai Group 13.62 3.97 7,867,894 Dhofar Beverages Co 0.00 #N/A Invalid Security 0.00 0.00 - Ithmaar Holding Bsc 29.50 -0.67 2,569,089 0.26 - Bank Albilad 24.00 0.59 445,339 Construction Materials Ind 0.00 #N/A Invalid Security 0.00 0.00 - Aviation Lease And Finance C 360.00 -1.37 93,996 0.03 - Al-Hassan G.I. Shaker Co 8.86 -2.10 1,212,854 Computer Stationery Inds 0.00 #N/A Invalid Security 0.00 0.00 - Arzan Financial Group For Fi 30.80 0.33 200,200 0.26 - Wataniya Insurance Co 23.74 0.59 20,577 Bankmuscat Saog -0.47 #N/A Invalid Security 0.00 0.00 - Ajwan Gulf Real Estate Co 20.90 -3.24 1,627,902 0.42 40,600 Abdullah Al Othaim Markets 70.10 1.01 54,714 Bank Sohar -0.79 #N/A Invalid Security 0.00 0.00 - Kuwait Business Town Real Es 48.20 0.63 1,336,003 0.13 282,800 Hail Cement 8.28 1.10 139,233 Bank Nizwa 0.00 Future Kid Entertainment And 95.00 0.00 30,000 0.09 259,596 Saudi Re For Cooperative Rei 7.37 -0.41 294,356 Bank Dhofar Saog 0.16 0.62 374,300 LATEST MARKET CLOSING FIGURES Gulf Times 8 Friday, November 16, 2018 BUSINESS

DJIA WORLD INDICES Company Name Lt Price % Chg Volume Indices Lt Price Change Dow Jones Indus. Avg 24,947.87 -132.63 Apple Inc 189.18 1.27 14,375,323 S&P 500 Index 2,684.77 -16.81 Microsoft Corp 104.90 -0.07 8,314,972 Nasdaq Composite Index 7,144.04 +7.65 Johnson & Johnson 143.17 -0.75 1,578,457 S&P/Tsx Composite Index 15,081.77 -51.35 Jpmorgan Chase & Co 108.83 1.40 5,674,103 Mexico Bolsa Index 42,175.02 -168.94 Exxon Mobil Corp 76.94 -0.58 4,976,124 Brazil Bovespa Stock Idx 85,973.06 +1,058.95 Walmart Inc 99.30 -2.20 5,947,539 Ftse 100 Index 6,994.07 -39.72 Visa Inc-Class A Shares 138.82 -0.48 2,081,934 Cac 40 Index 5,006.69 -62.16 Unitedhealth Group Inc 263.15 -0.69 764,937 Dax Index 11,292.47 -120.06 Pfizer Inc 42.76 -0.35 5,237,762 Ibex 35 Tr 9,036.20 -70.40 Verizon Communications Inc 58.97 0.05 5,083,673 Nikkei 225 21,803.62 -42.86 Chevron Corp 114.82 -0.78 1,584,639 Japan Topix 1,638.97 -2.29 Procter & Gamble Co/The 93.00 -0.52 3,083,903 Hang Seng Index 26,103.34 +448.91 Intel Corp 47.23 0.30 5,290,103 All Ordinaries Indx 5,825.21 +2.93 Cisco Systems Inc 45.74 3.19 14,917,398 Nzx All Index 1,545.84 -0.06 Home Depot Inc 174.43 -3.04 2,807,310 Bse Sensex 30 Index 35,260.54 +118.55 Boeing Co/The 338.93 -1.68 1,161,224 Nse S&P Cnx Nifty Index 10,616.70 +40.40 Coca-Cola Co/The 49.51 -0.50 2,603,561 Straits Times Index 3,054.53 +11.34 Merck & Co. Inc. 73.77 -0.43 2,903,594 Karachi All Share Index 29,845.10 +141.66 Walt Disney Co/The 116.86 -0.22 1,888,291 Jakarta Composite Index 5,955.74 +97.44 Mcdonald’s Corp 182.26 -0.86 625,110 Dowdupont Inc 57.51 -0.81 2,688,496 Nike Inc -Cl B 73.46 -2.31 1,553,896 3M Co 196.91 -0.58 631,866 TOKYO Intl Business Machines Corp 120.05 -0.12 1,038,818 United Technologies Corp 127.72 -0.91 725,286 Company Name Lt Price % Chg Volume American Express Co 107.11 -0.61 767,487 Sumitomo Realty & Developmen 4,112.00 0.93 1,282,100 Goldman Sachs Group Inc 201.41 -0.53 1,081,552 Sumitomo Metal Mining Co Ltd 3,324.00 -0.60 1,488,300 81.23 -0.36 800,598 Orix Corp 1,764.50 -1.12 3,415,500 Caterpillar Inc 126.62 1.22 1,206,652 Daiwa Securities Group Inc 631.80 -0.89 5,482,300 Travelers Cos Inc/The 123.73 0.56 671,523 Softbank Group Corp 9,109.00 -2.70 10,509,500 Mizuho Financial Group Inc 191.80 -1.74 152,039,000 Central Japan Railway Co 21,815.00 1.09 275,000 FTSE 100 Nitori Holdings Co Ltd 14,450.00 1.12 249,600 T&D Holdings Inc 1,763.00 -3.56 3,948,300 Company Name Lt Price % Chg Volume Toyota Motor Corp 6,640.00 -0.40 4,196,800 Pedestrians walk past the London Stock Exchange Group off ices. The FTSE 100 ended broadly flat yesterday, reversing the Hoya Corp 6,748.00 -1.04 1,137,100 session’s earlier 0.8% fall. Wpp Plc 854.20 -0.86 2,762,227 Sumitomo Mitsui Trust Holdin 4,512.00 -0.77 1,330,400 Wood Group (John) Plc 656.60 3.40 1,160,042 Japan Tobacco Inc 2,823.00 -0.16 6,691,600 Wm Morrison Supermarkets 243.20 -2.62 7,170,687 Osaka Gas Co Ltd 2,163.00 0.60 898,500 Whitbread Plc 4,522.00 -2.77 349,727 Sumitomo Electric Industries 1,558.00 -0.06 1,565,700 Vodafone Group Plc 154.16 -2.16 58,014,036 Ono Pharmaceutical Co Ltd 2,666.50 -0.30 1,071,300 United Utilities Group Plc 724.00 -5.48 2,590,195 Ajinomoto Co Inc 1,916.50 0.45 1,886,400 Unilever Plc 4,222.00 2.01 2,985,240 Mitsui Fudosan Co Ltd 2,741.50 1.26 3,451,200 Tui Ag-Di 1,245.50 -3.00 609,639 British stocks battered Daikin Industries Ltd 12,200.00 -2.48 997,700 Tesco Plc 202.30 -4.76 19,649,741 Toray Industries Inc 900.60 0.37 6,073,000 Taylor Wimpey Plc 148.90 -8.14 21,633,563 Bridgestone Corp 4,379.00 3.28 3,186,800 Standard Life Aberdeen Plc 261.65 -2.73 4,473,066 Sony Corp 5,809.00 -0.75 3,908,600 Standard Chartered Plc 592.20 0.89 2,669,546 Astellas Pharma Inc 1,661.50 -1.69 4,008,900 St James’s Place Plc 1,026.50 -3.21 1,201,054 Jxtg Holdings Inc 686.60 -0.22 11,794,500 Sse Plc 1,114.50 -6.42 4,190,977 on Brexit deal backlash Nippon Steel & Sumitomo Meta 2,119.50 -0.31 1,866,100 Smurfit Kappa Group Plc 2,264.00 -1.99 258,888 Suzuki Motor Corp 5,346.00 -0.52 1,181,300 Smiths Group Plc 1,419.50 2.57 1,609,734 Nippon Telegraph & Telephone 4,568.00 1.92 4,555,700 FTSE 250 fell 1.3%, while the neigh- respectively, also knocked by the Smith & Nephew Plc 1,382.50 -0.54 1,063,464 Reuters Sompo Holdings Inc 4,487.00 -0.88 1,221,100 heightened political uncertainty. Shire Plc 4,611.50 0.25 2,327,292 London bouring Irish bourse fell 3.9%, its worst Daiwa House Industry Co Ltd 3,355.00 -2.44 1,744,900 Severn Trent Plc 1,803.50 -7.04 987,421 daily performance since the Brexit ref- HSBC, which has a big international Komatsu Ltd 2,942.00 -1.72 5,012,200 Segro Plc 613.00 -3.37 1,442,575 erendum more than two years ago. presence, rose 2.1%. West Japan Railway Co 7,889.00 0.91 526,200 Scottish Mortgage Inv Tr Plc 479.55 1.86 1,228,427 ritish shares suff ered and ster- According to a Reuters analysis of Housebuilders Persimmon, Taylor Murata Manufacturing Co Ltd 16,830.00 -1.00 982,600 Schroders Plc 2,520.00 -2.51 147,619 Kansai Electric Power Co Inc 1,837.50 0.63 1,751,100 ling tumbled yesterday as the data, the FTSE 100 and sterling have Wimpey and Berkeley Group fell be- Sainsbury (J) Plc 304.20 -3.98 8,396,133 Denso Corp 5,129.00 -0.75 1,418,500 growing risk of a disorderly moved in tandem so far this week, the tween 6 and 7% in their worst daily Sage Group Plc/The 561.00 2.15 959,327 B Dai-Ichi Life Holdings Inc 2,066.00 -4.00 6,867,000 divorce from the European Union fi rst time since September 29, under- performance since the Brexit referen- Rsa Insurance Group Plc 533.20 -2.52 1,550,776 Mazda Motor Corp 1,208.00 -0.12 2,983,500 Royal Mail Plc 325.00 -6.61 7,344,297 spooked investors, with leading index scoring deepening worries about the dum. Mitsui & Co Ltd 1,800.00 0.47 6,471,800 Royal Dutch Shell Plc-B Shs 2,416.50 0.42 3,657,707 the FTSE 100 moving for most of the fall-out across Britain’s fi nancial mar- Barratt also lost more than 7%. Kao Corp 7,905.00 1.35 1,460,900 Royal Dutch Shell Plc-A Shs 2,373.00 0.61 5,889,153 day in rare lockstep with the domestic kets and economy from the tumultu- The four stocks shed a combined Sekisui House Ltd 1,686.50 -0.82 2,228,000 Royal Bank Of Scotland Group 225.40 -9.15 28,234,072 Oriental Land Co Ltd 10,765.00 -0.23 625,000 currency. ous negotiations for a Brexit deal. market cap of £1.6bn. Rolls-Royce Holdings Plc 810.00 0.25 1,471,110 Secom Co Ltd 8,995.00 0.65 341,200 The FTSE 100 eventually ended The resignations of Brexit minister Retailers were also hit, with Marks Rio Tinto Plc 3,794.50 2.28 2,462,561 Tokio Marine Holdings Inc 5,314.00 -1.34 1,892,500 broadly fl at, reversing the session’s Dominic Raab and work and pensions & Spencer down 4.8% and Next down Rightmove Plc 431.55 -2.56 1,811,336 Aeon Co Ltd 2,677.50 -0.17 2,434,300 4.1%. Rentokil Initial Plc 315.20 0.45 2,554,892 earlier 0.8% fall, which came even as minister Esther McVey in protest at Fanuc Corp 19,010.00 -1.93 1,270,300 Relx Plc 1,622.00 2.21 3,409,101 sterling dived after high-profi le resig- May’s draft deal for leaving the Euro- Royal Mail shares made a U-turn Daito Trust Construct Co Ltd 14,845.00 -0.27 233,300 Reckitt Benckiser Group Plc 6,469.00 0.51 796,631 nations thrust Prime Minister Theresa pean Union pushed sterling down as from their positive open, trading down Otsuka Holdings Co Ltd 5,342.00 0.75 1,878,600 Randgold Resources Ltd 6,310.00 4.99 273,018 May’s government into turmoil, just much as 1.9% against the dollar. 6.5% after fi rst-half profi t dropped Resona Holdings Inc 581.40 -2.94 15,795,800 Prudential Plc 1,572.00 -2.54 3,211,274 Asahi Kasei Corp 1,218.50 -0.93 3,581,500 a day after she clinched a draft Brexit Shares in state-owned lender Royal about 25% as costs weighed. Persimmon Plc 2,170.00 -7.74 2,404,021 Kirin Holdings Co Ltd 2,552.50 0.12 2,382,400 deal. Bank of Scotland sank 9.3%, suff ering Shares in contractor Capita sank Pearson Plc 924.60 0.48 2,064,441 Mitsubishi Ufj Financial Gro 654.90 -3.16 110,056,900 The FTSE 100, which makes 70% their worst one-day loss since the June 14% after the Financial Times reported Paddy Power Betfair Plc 6,875.00 -2.76 251,358 Marubeni Corp 857.00 0.43 5,761,600 Ocado Group Plc 759.60 -4.40 1,346,586 of its income overseas, is normally 2016 post-Brexit vote selloff , as share- it is in danger of losing a British pub- Mitsubishi Chemical Holdings 933.70 0.16 3,067,000 Nmc Health Plc 3,572.00 0.22 204,606 boosted by a weaker pound, but losses holders priced in a higher risk of a gen- lic health service (NHS) contract af- Fast Retailing Co Ltd 59,310.00 0.53 640,600 Next Plc 5,104.00 -4.99 592,380 in companies more exposed to the do- eral election. ter failing to send letters with cervical Ms&Ad Insurance Group Holdin 3,394.00 -1.14 1,321,200 National Grid Plc 840.10 -2.20 6,097,700 mestic economy, such as banks and The Labour party has pledged in its screening dates or test results. Kubota Corp 1,875.00 0.03 2,315,700 Mondi Plc 1,778.50 0.99 1,040,635 Seven & I Holdings Co Ltd 5,005.00 0.46 1,388,100 housebuilders, almost off set gains in manifesto to break up the lender. A source later told Reuters that the Micro Focus International 1,404.50 1.08 1,162,046 Inpex Corp 1,229.00 -0.69 5,374,300 the big exporters. The fall in its share price wiped contract, which it said is currently Melrose Industries Plc 180.70 -0.41 12,736,465 Sumitomo Mitsui Financial Gr 4,295.00 -3.05 10,286,400 It ended up just 0.06%. 2.85bn off the bank’s market value. loss-making, was not being with- Marks & Spencer Group Plc 287.50 -5.46 7,444,079 Ana Holdings Inc 4,080.00 -0.02 1,099,600 London Stock Exchange Group 4,079.00 -1.19 315,166 The more domestically-exposed Lloyds and Barclays fell 5 and 4.1% drawn. Mitsubishi Electric Corp 1,451.50 -1.19 4,543,200 Lloyds Banking Group Plc 55.09 -5.65 240,549,225 Honda Motor Co Ltd 3,206.00 -0.53 2,821,900 Legal & General Group Plc 247.50 -5.79 23,164,412 Tokyo Gas Co Ltd 2,859.50 1.73 1,805,100 Land Securities Group Plc 834.60 -5.14 1,911,988 HONG KONG HONG KONG Tokyo Electron Ltd 15,040.00 -1.12 993,500 Kingfisher Plc 244.10 -2.75 4,897,392 Panasonic Corp 1,122.50 -1.10 7,449,100 Just Eat Plc 550.80 -2.10 1,188,762 Fujitsu Ltd 6,926.00 0.28 738,100 Company Name Lt Price % Chg Volume Company Name Lt Price % Chg Volume Johnson Matthey Plc 2,934.00 0.17 120,186 East Japan Railway Co 10,055.00 0.30 696,500 Itv Plc 148.50 -6.46 13,592,978 Aluminum Corp Of China Ltd-H 2.95 0.00 23,967,400 Hong Kong & China Gas 15.36 1.72 16,564,592 Itochu Corp 2,014.00 -0.07 3,658,400 Intl Consolidated Airline-Di 628.00 -3.21 7,424,665 Bank Of East Asia Ltd 26.05 1.36 554,288 Hong Kong Exchanges & Clear 229.00 1.51 4,623,745 Fujifilm Holdings Corp 4,564.00 -0.54 1,499,600 Intertek Group Plc 4,472.00 -0.86 231,764 Bank Of China Ltd-H 3.36 0.90 235,347,034 Hsbc Holdings Plc 66.00 1.15 8,617,672 Yamato Holdings Co Ltd 2,840.50 -0.25 1,255,200 Intercontinental Hotels Grou 4,160.00 0.00 259,761 Bank Of Communications Co-H 5.91 0.17 16,681,011 Hutchison Whampoa Ltd 0.00 0.00 - Chubu Electric Power Co Inc 1,688.00 2.37 2,223,000 Informa Plc 732.80 0.05 1,642,908 Belle International Holdings 0.00 0.00 - Ind & Comm Bk Of China-H 5.41 0.93 200,455,841 Mitsubishi Estate Co Ltd 1,791.50 0.93 4,227,400 Imperial Brands Plc 2,603.50 -0.12 1,211,679 Boc Hong Kong Holdings Ltd 29.55 1.37 11,279,190 Li & Fung Ltd 1.61 0.00 29,609,650 Mitsubishi Heavy Industries 4,253.00 -0.40 865,300 Hsbc Holdings Plc 651.70 1.16 14,356,969 Cathay Pacific Airways 10.94 0.37 1,451,414 Mtr Corp 39.80 2.18 3,306,828 Shiseido Co Ltd 7,319.00 2.97 2,460,500 Hargreaves Lansdown Plc 1,839.50 -3.51 797,380 Ck Hutchison Holdings Ltd 81.40 1.81 7,383,723 New World Development 10.54 2.33 12,543,413 Shionogi & Co Ltd 7,484.00 -0.69 926,200 Halma Plc 1,302.00 0.23 362,449 China Coal Energy Co-H 3.41 0.89 5,475,000 Petrochina Co Ltd-H 5.70 0.53 88,028,927 Recruit Holdings Co Ltd 3,022.00 5.44 6,291,700 Gvc Holdings Plc 779.00 -5.12 1,778,719 China Construction Bank-H 6.50 1.25 194,292,044 Ping An Insurance Group Co-H 77.10 0.72 24,430,844 Japan Airlines Co Ltd 4,226.00 0.62 2,252,900 Glencore Plc 297.40 1.99 23,116,093 China Life Insurance Co-H 16.76 2.57 24,755,286 Power Assets Holdings Ltd 53.70 1.23 2,836,576 Nitto Denko Corp 6,084.00 -1.01 804,800 Glaxosmithkline Plc 1,554.00 0.15 5,165,433 China Merchants Port Holding 14.42 0.42 2,304,291 Sino Land Co 12.82 1.42 3,301,557 Kddi Corp 2,490.00 0.61 7,636,700 Fresnillo Plc 849.20 3.84 1,139,966 China Mobile Ltd 76.45 1.80 11,866,024 Sun Hung Kai Properties 105.30 2.53 4,579,899 Rakuten Inc 950.00 2.48 8,845,000 Ferguson Plc 5,055.00 0.16 198,666 China Overseas Land & Invest 26.05 2.96 11,262,485 Swire Pacific Ltd - Cl A 86.60 1.35 1,561,558 Kyocera Corp 5,877.00 0.02 704,200 Experian Plc 1,829.50 -0.08 1,008,156 China Petroleum & Chemical-H 6.58 1.08 68,717,493 Tencent Holdings Ltd 288.00 5.80 46,024,464 Nissan Motor Co Ltd 1,015.50 -0.68 10,113,600 Evraz Plc 540.20 3.92 1,463,815 China Resources Beer Holding 29.30 4.46 8,029,269 Wharf Holdings Ltd 20.20 0.75 4,609,286 Easyjet Plc 1,174.50 -6.04 2,425,431 China Resources Land Ltd 28.05 0.72 11,588,519 China Resources Power Holdin 14.82 1.23 8,316,394 Ds Smith Plc 350.00 -0.85 5,446,309 SENSEX Direct Line Insurance Group 317.40 -2.04 3,835,515 China Shenhua Energy Co-H 18.50 0.76 18,725,180 GCC INDICES Diageo Plc 2,772.50 1.67 3,107,179 China Unicom Hong Kong Ltd 8.72 2.47 26,473,615 Dcc Plc 5,810.00 -4.20 488,384 Company Name Lt Price % Chg Volume Citic Ltd 12.38 0.98 9,230,803 Indices Lt Price Change Croda International Plc 4,890.00 0.43 246,583 Clp Holdings Ltd 88.90 1.72 3,500,438 Doha Securities Market Zee Entertainment Enterprise 441.20 1.38 2,625,308 10,214.19 +15.11 Crh Plc 2,184.00 -2.67 1,590,919 Cnooc Ltd 12.96 2.05 73,985,606 Saudi Tadawul Yes Bank Ltd 205.85 -7.44 66,637,376 7,662.17 +2.29 Compass Group Plc 1,594.00 1.11 1,987,598 Cosco Shipping Ports Ltd 7.90 0.38 2,591,755 Kuwait Stocks Exchange Wipro Ltd 323.15 -0.43 4,023,021 #N/A N/A #N/A N/A Coca-Cola Hbc Ag-Di 2,369.00 2.16 387,906 Esprit Holdings Ltd 1.92 0.52 1,012,295 Bahrain Stock Exchage Vedanta Ltd 207.55 1.69 10,842,522 1,309.16 -1.35 Centrica Plc 143.55 -5.65 32,277,238 Fih Mobile Ltd 0.82 6.49 12,165,000 Oman Stock Market Upl Ltd 763.65 0.45 3,304,965 4,450.56 -9.01 Carnival Plc 4,467.00 0.72 494,082 Hang Lung Properties Ltd 15.22 2.56 4,495,394 Abudhabi Stock Market Ultratech Cement Ltd 3,912.95 -0.10 263,868 5,055.46 +34.28 Burberry Group Plc 1,790.00 0.76 982,909 Hang Seng Bank Ltd 179.10 0.28 1,957,061 Dubai Financial Market Titan Co Ltd 920.80 3.21 4,983,409 2,778.76 +2.38 Bunzl Plc 2,294.00 0.17 309,704 Henderson Land Development 38.35 1.86 2,303,749 Tech Mahindra Ltd 714.90 2.09 4,573,218 Bt Group Plc 252.35 -2.19 14,535,090 Tata Steel Ltd 589.35 0.04 6,960,589 British Land Co Plc 583.00 -6.39 3,733,570 Tata Motors Ltd 180.20 1.92 20,280,603 British American Tobacco Plc 2,788.50 -1.05 4,975,332 Tata Consultancy Svcs Ltd 1,872.85 -0.41 2,196,788 Bp Plc 521.90 1.91 21,361,041 “Information contained herein is believed to be reliable and had been obtained from sources believed to be reliable. The Sun Pharmaceutical Indus 515.10 -0.96 12,217,058 Bhp Billiton Plc 1,578.00 2.14 5,305,374 State Bank Of India 285.40 0.63 19,450,093 accuracy and completeness cannot be guaranteed. This publication is for providing information only and is not intended Berkeley Group Holdings/The 3,402.00 -7.00 703,498 Reliance Industries Ltd 1,096.85 -0.10 7,117,997 as an off er or solicitation for a purchase or sale of any of the financial instruments mentioned. Gulf Times and Doha Bank Barratt Developments Plc 504.60 -7.55 7,120,932 Power Grid Corp Of India Ltd 187.10 0.62 5,006,508 or any of their employees shall not be held accountable and will not accept any losses or liabilities for actions based on Barclays Plc 165.70 -4.54 48,817,602 Oil & Natural Gas Corp Ltd 158.85 -1.34 3,653,009 this data.” Bae Systems Plc 530.20 -1.30 5,194,085 Ntpc Ltd 153.80 -2.26 3,938,600 Aviva Plc 412.60 -4.62 9,651,182 Maruti Suzuki India Ltd 7,478.30 1.48 1,180,234 Astrazeneca Plc 6,285.00 0.19 1,704,765 Mahindra & Mahindra Ltd 766.50 -0.40 4,732,338 Associated British Foods Plc 2,438.00 -3.60 753,347 Larsen & Toubro Ltd 1,398.50 1.00 3,119,538 CURRENCIES Ashtead Group Plc 1,872.00 -1.60 1,151,880 Kotak Mahindra Bank Ltd 1,162.25 2.86 3,232,276 DOLLAR QATAR RIYAL SAUDI RIYAL UAE DIRHAMS BAHRAINI KUWAITI Antofagasta Plc 793.40 4.15 1,576,253 DINAR DINAR Jsw Steel Ltd 344.60 1.47 3,343,638 Anglo American Plc 1,670.00 1.77 2,333,863 Itc Ltd 274.50 -0.71 14,496,751 Admiral Group Plc 1,979.50 -3.63 564,688 Infosys Ltd 656.40 0.49 6,433,851 3I Group Plc 799.00 -7.09 2,926,352 Indusind Bank Ltd 1,512.15 -0.09 1,407,819 #N/A 0.00 0.00 - Indian Oil Corp Ltd 146.65 0.86 8,605,077 Indiabulls Housing Finance L 804.85 -4.10 6,806,394 TOKYO Icici Bank Ltd 370.00 0.93 23,237,544 Housing Development Finance 1,853.60 0.79 1,700,356 Hindustan Unilever Ltd 1,706.05 -0.55 1,376,141 Company Name Lt Price % Chg Volume Hindustan Petroleum Corp 249.10 2.22 9,894,225 Hitachi Ltd 3,367.00 -0.06 2,421,300 Hindalco Industries Ltd 233.60 1.79 8,912,970 Takeda Pharmaceutical Co Ltd 4,407.00 -2.07 6,024,100 Hero Motocorp Ltd 2,922.15 2.62 357,263 Jfe Holdings Inc 2,118.50 0.17 2,461,400 Hdfc Bank Limited 1,975.15 0.89 2,683,933 Sumitomo Corp 1,731.00 -0.23 3,321,800 Hcl Technologies Ltd 988.75 -0.84 1,850,545 Canon Inc 3,226.00 -1.16 4,399,900 Grasim Industries Ltd 808.70 -7.72 4,730,090 Nintendo Co Ltd 35,050.00 -0.90 1,013,000 Gail India Ltd 347.55 -1.42 5,762,429 Eisai Co Ltd 9,988.00 0.29 576,000 Eicher Motors Ltd 23,945.35 3.03 117,184 Isuzu Motors Ltd 1,569.00 -0.98 1,341,800 Dr. Reddy’s Laboratories 2,461.80 0.51 537,920 Unicharm Corp 3,333.00 2.15 2,478,400 Coal India Ltd 263.15 -0.98 2,049,174 Shin-Etsu Chemical Co Ltd 9,806.00 0.07 818,900 Cipla Ltd 519.15 -0.08 2,808,316 Smc Corp 37,210.00 -0.51 371,700 Bharti Infratel Ltd 255.40 -1.79 1,225,868 Mitsubishi Corp 3,032.00 -0.20 2,807,900 Bharti Airtel Ltd 304.40 1.03 4,207,061 Asahi Group Holdings Ltd 4,997.00 0.71 945,000 Bharat Petroleum Corp Ltd 321.85 1.87 6,401,214 Keyence Corp 60,370.00 1.79 412,700 Bajaj Finserv Ltd 5,597.10 0.35 205,625 Nidec Corp 14,380.00 0.00 669,800 Bajaj Finance Ltd 2,341.30 2.06 1,657,510 Nomura Holdings Inc 514.20 -0.77 12,615,900 Bajaj Auto Ltd 2,668.85 -0.29 254,484 Daiichi Sankyo Co Ltd 4,155.00 -2.28 1,110,400 Axis Bank Ltd 626.10 2.19 11,782,475 Subaru Corp 2,630.50 -1.65 3,102,400 Asian Paints Ltd 1,318.30 -0.17 1,589,122 Ntt Docomo Inc 2,580.50 0.94 4,952,900 Adani Ports And Special Econ 346.20 4.28 5,994,224

Gulf Times 10 Friday, November 16, 2018 BUSINESS

Credit Suisse is said to be weighing hundreds of job cuts

Bloomberg Zurich

redit Suisse Group AG is considering hundreds of Cjob cuts as chief executive offi cer Tidjane Thiam’s drive to reduce expenses extends into a fourth year, according to people with knowledge of the matter. The dismissals could start as soon as this year and help the bank achieve its 2019 expense targets, the people said, asking not to be identifi ed discussing private information. The Zu- rich-based bank’s International Wealth Management business and Swiss Universal Bank may be among the businesses af- fected by the cuts, the people said. Credit Suisse declined to comment. Since taking over in 2015, Thiam has shifted resources to focus on wealth management and emerging markets while paring back trading. He’s also tapped shareholders for billions A sign is seen above the entrance to a PostFinance branch in Zurich. The Swiss competition authority said it was investigating whether some banks, including state-owned PostFinance, colluded with local of francs in fresh capital. At the payments providers not to use the mobile payment systems of the big tech companies. bank’s investor day next month he’ll outline plans for 2019 and beyond after concluding a three-year restructuring, with investors likely to question the bank on growth plans. While profitability has im- proved the trading unit remains a headache after a surprise third-quarter loss. The share Swiss banks probed over price has fallen more than 40% under Thiam’s tenure, in part reflecting the two capital in- creases. At the investor day next month he’ll have to allay con- cerns about the share price and payments system boycott explain how he plans to ac- celerate revenue growth after Watchdog looks at suspected not to use the mobile payment systems tion and said it had tried to reach an TWINT also said it had previously Apple Pay entered Switzerland in taking out 4bn francs ($4bn) boycott of Apple Pay, Samsung of the big tech companies. agreement with Apple Pay over use of submitted a complaint against Apple 2016 as the fi rst major rival to TWINT, of costs since the restructuring Pay; targets include Swiss units of “There is the suspicion that the the Swiss bank’s credit cards as early as over unfair competitive practices. which was launched in the same year began in 2015. Credit Suisse, UBS; Credit Suisse companies agreed not to make their 2016, but had not managed to come to “TWINT itself asked the (Compe- but has not yet made big inroads into Thiam said this month that says allegations will prove to be credit cards available for use with Ap- an understanding with the company. tition Commission) some time ago to Switzerland’s payments market. he’s not planning further unfounded; Swiss payments rival ple Pay and Samsung Pay, in order to “Although we off ered a number of investigate discriminatory behaviour TWINT in April said mobile pay- cuts in the trading unit, while says made complaint against Apple favour the Swiss solution TWINT,” alternative solutions, unfortunately by Apple towards TWINT, because Ap- ments in Switzerland had yet to gain pointing out that wealth man- Competition Commission WEKO said we weren’t able to reach an agreement ple prevents the trouble-free use of the traction the way they had in other agement is making money for Reuters in a statement yesterday. with Apple Pay to cooperate,” a UBS TWINT app on IOS devices,” it said.”A countries, with just an estimated 0.2 % the group. The bank is targeting Zurich Some of the companies targeted in spokeswoman said. decision of the WEKO in this matter is of all payments occurring over smart- a cost base of between 16.5bn the probe said the regulator’s accusa- Postfi nance, part of Switzerland’s expected shortly.” phone in the country. francs and 17bn francs next tions were without merit. postal service and one of the country’s An Apple spokesman in Switzerland It said it had reached 750,000 users as year. That’s down from about witzerland’s competition watch- “We are surprised about this inves- largest banks, also said it did not breach could not immediately be reached for of April 2018, a step down from the one 17.9bn in 2017. dog has raided the offi ces of fi - tigation and are convinced that the al- Swiss cartel law and said it was cooper- comment on the TWINT allegations. mn it had been targeting by end-2017. At its investor day last month, Snancial companies, including legations will prove to be unfounded,” ating with the WEKO probe. Disputes between mobile payment The competition watchdog said its UBS Group AG took a bolder set Credit Suisse and UBS, to investigate a Credit Suisse said in a statement. TWINT AG, a joint venture between systems and banks have cropped up investigation included Aduno Holding, of fi nancial targets back to in- suspected boycott of mobile payment Credit Suisse said it off ers Swiss Switzerland’s biggest banks to create elsewhere too. PostFinance, Swisscard AECS GmbH vestors, pledging to drive wealth solutions such as Apple Pay and Sam- consumers access to Apple Pay and a digital payments system, said it was Last year, a decision by Australia’s and Swiss units of Credit Suisse and management profi t higher and sung Pay. Samsung Pay through its 50 % subsidi- “astonished” by the competition com- competition watchdog stopped the UBS. cut 800mn francs of corporate The competition authority said it ary Swisscard and has also been in talks mission’s approach. country’s banks from collectively try- Aduno confi rmed that its offi ces in centre costs, mostly in back- was investigating whether the banks, with Apple, Samsung and Google over TWINT said its offi ces were raided ing to introduce their own mobile ap- Zurich were searched by Swiss author- offi ce and support functions, as including state-owned PostFinance, how their solutions can be used. by the watchdog even though it is not plications for contactless payments on ities and said it was cooperating with CEO Sergio Ermotti seeks to re- colluded with local payments providers UBS acknowledged the investiga- under investigation. Apple’s phones and watches. the investigation. vive the shares. UK credit impulse: There is nothing new under the sun

By Christopher Dembik

The wave of optimism we observed on Wednesday after a Brexit deal was announced was clearly pre- mature. The warning from Scottish PM was already a negative sign regarding the evolu- tion of the situation. At the time of writing, everything indicates that Prime minister May will lose Brexit vote due to the op- position of DUP and Conservative rebels. The political situation is still very messy, but it seems that the backstop deal was one of the main reasons pushing two senior members of Cabinet to resign in the past hours. To win Parliament vote, Theresa May needs an improbable number of opposition MPs to vote for the deal, which is a colossal and probably impossible In addition, the credit cycle that fueled the UK in don’t see where the “underlying strength” of the UK task. As of today, based on Eurasia analysts’ fore- post-GFC period has completely reversed. Our economy that pointed out Hammond is hiding. As casts, there are essentially two base scenarios for the in-house indicator credit impulse, which leads the long as the political morass continues, business confi- December vote: either the government is defeated real economy by 9 to 12 months, is in contraction. It dence and investment will only move lower, ultimately by a small margin (17 votes) or it loses by majority tracks the flow of new credit from the private sec- limiting UK’s potential GDP growth and increasing the of 37 votes. In any case, this opens the door to more tor as a percentage of GDP. Last update indicates risk of a prolonged period of low growth. political uncertainty, a chaotic exit, a new general that the trend is less negative, with credit impulse UK household financial stress is increasing: It is election or even a second referendum. running at minus 1.55% of GDP versus minus 7.5% well-illustrated by the flow of new personal loans In this context, downside risks to UK growth of GDP in previous quarter, but it is still firmly and overdrafts since the referendum. As we can see remain very high, mainly for three reasons: downbeat. Though the correlation between credit in the graph below, it has been heading south, en- Leading indicators still points to lower growth: impulse and some activity indicators is rather poor tering in contraction last Spring. In our view, this is Most recent soft and hard data tend to confirm (correlation with final domestic demand is at 0.52), one of the most worrying trends since it is a brutal that the rather positive momentum that the UK has this sharp negative trend will surely pose some signal the credit boom that drove the UK economy experienced over the summer was mainly weather- headwind to GDP growth in the medium term. We in the post-crisis years is definitively over. related. Q4 GDP is set to be weak and this trend is expect more negative data in 2019 but it is still too Unless a last-minute surprise, it is hard to see what expected to continue over the course of next year. early to consider a serious risk of recession as this could change the negative medium-term trend of UK UK OECD leading indicator, which is designed to an- will depend on the deal/no-deal being confirmed growth. This fantasy vision of an absolute and unlim- ticipate turning points in the economy 6-9 months and implemented. ited sovereignty will certainly lead to one of the most ahead, fell in September for the 14th straight month. UK business investment is on a worrying path: striking destruction of wealth, power and confidence The YoY rate started the year at minus 0.6%; now Without much surprise, Brexit has a sharp negative in a Western European country since WWII. stands at minus 1.45%. This is quite a swing over impact on business investment in a context of lower nine months! And the level, at 98.9, is the lowest flow of new credit. Looking at the disappointing path The author is head of Macro Analysis, Saxo since September 2012. of business investment over the past quarters, we Bank. Gulf Times Friday, November 16, 2018 11 BUSINESS UK CEOs’ sigh of relief over Brexit deal already in question

Bloomberg keep her job, with a no-confidence vote clarity over the UK’s post-Brexit trade perfect, there have to be compromises labour pools and ability to continuing chain Young & Co’s Brewery Plc came London mooted. Work and Pensions Secretary arrangements since the referendum, and he was clear that the EU will not go trading without barriers with the EU. out swinging against May’s Brexit plans, Esther McVey also quit. with uncertainty leading many to spend back to the table and start talks again, Telecom executives outlined steps saying he worries about accessing On Wednesday evening, the mood was millions of pounds on contingency said two people with knowledge of the they’re taking to avoid problems workers. British business leaders’ relief that much brighter. Hammond and Clark plans to protect themselves in case matter, asking not to be identified as Wednesday at a conference in “Being based in London and southern a Brexit deal was in sight may be were cheered on a half-hour call with Britain crashed out of the bloc. If it they weren’t authorized to discuss the Barcelona. England, it is more than our cocktails short-lived, as Theresa May faces fresh executives, in their eff orts to protect the succeeds, the draft deal will go some conversation publicly. BT Group Plc’s outgoing CEO Gavin that are cosmopolitan,” chief executive threats to her plan and leadership. interests of business. way to easing those fears, but it’s Barclays Bank Plc Chairman Gerry Patterson said the phone carrier is off icer Patrick Dardis said in a Less than 24 hours after Chancellor “There was a sigh of relief,” among unlikely many companies will row back Grimstone, Airbus SE’s UK chief building stockpiles of equipment in statement Thursday, noting that 38% of of the Exchequer Philip Hammond those on the call, said Aston Martin from plans yet as the government faces Katherine Bennett and Aviva chairman case there is no deal and preparing its workforce are EU nationals. and Business Secretary Greg Clark Lagonda Ltd chief executive officer an uphill battle to get the deal through Adrian Montague were among for a possible recession. Telefonica SA Still, after months of debate, business reassured company executives that Andy Palmer, who took part. If ratified, parliament. executives on the call, one of the people chief operating off icer Angel Vila said lobby groups said the agreement the Brexit agreement avoids the chaos the agreement will be “significantly “What companies need in Brexit is said. John McFarlane, chairman of the the Spanish company will continue to represents progress. they feared, the deal is already at risk of better” than a so-called hard Brexit certainty,” Rico Back, the CEO of Royal finance industry’s TheCityUK lobby hold off on an initial public off ering of “It moves the UK one step away from unravelling. and includes requests put forward Mail Plc, said in an interview yesterday. group and Barclays Plc — also on the its UK unit, O2, with uncertainty tied the nightmare precipice of no deal,” Brexit Secretary Dominic Raab stepped by auto leaders including tariff-free “The paper, which is now a couple call — said in an earlier statement that to Brexit. Carolyn Fairbairn, CBI director-general, down from his post yesterday morning, borders, Palmer said in an interview of hundred pages heavy, has given a the agreement shows “constructive Questions also remain for businesses said in a statement Wednesday night. saying he “cannot in good conscience” yesterday. “This deal appears to direction and helps us on the way to progress and presents a pragmatic and around immigration policy, with final “The UK has had many months of support the deal. His resignation will deliver on the things that we as the certainty.” workable solution.” details potentially being hammered discussion and division. A long journey add to questions over whether May can industry asked.” Hammond told executives on the British companies have been bracing on in the future trade deal, raising still lies ahead but now is the time for win approval for the agreement or even Business has been clamouring for evening call that while the deal isn’t for disruptions to their supply chains, concerns for some. The chief of UK pub decisions.”

Polish Central Bank mulls ‘non-standard’ Germany to invest more tools: Kropiwnicki Bloomberg Warsaw

Poland’s central bank is working on “non- standard” policy alternatives to raising off icial than $3.39mn by 2025 to borrowing costs that would help curb inflation without harming the economy, according to policy maker Jerzy Kropiwnicki. Kropiwnicki, a member of Poland’s Monetary Policy Council, declined to reveal details of the plans, but said that such unorthodox policies should be coordinated with the Finance beef up AI capabilities Ministry. The new tools are needed since regular interest rates increases aren’t eff icient Cabinet agrees to invest €3bn on at curbing so-called cost-push inflation, which AI research; opposition Greens is caused by increasing input prices including say plan is ‘more than fuzzy’; of labor and energy, he said. German economy risks losing The comments signal a turning point in the out if fails to embrace change thinking of the 10-member MPC, which has so far avoided unorthodox monetary policy Reuters tools used by east European peers Hungary Berlin and the Czech Republic. Poland has kept its benchmark interest rate steady at a record low of 1.5% since 2015 even as economic growth ermany plans to invest has topped 5% for more than a year. The more than €3bn ($3.39mn) bank’s inflation projection shows price growth Gby 2025 to beef up its arti- exceeding its target next year. “Changing ficial intelligence capabilities and interest rates isn’t a ‘cure all.’ As long as cost- appoint 100 professors to lecture push inflation doesn’t translate into higher about it, as it seeks to close a digital inflation expectations, monetary policy isn’t technology gap with other leading helpful.” economies. “Instead, we’ve been working on non-standard Chancellor Angela Merkel has measures we could use if we still want to made fi xing the country’s digital refrain from raising borrowing costs, and yet defi ciencies a priority for her fourth we agree that some type of intervention is and almost certainly fi nal term, and necessary.” called that a prerequisite for its fu- Kropiwnicki said Poland needs to maintain low ture prosperity. rates to help “keep borrowers confident” about “Germany can’t say that it is a their ability to pay off debts. Support is also world leader in artifi cial intelli- needed for some government projects, he said, gence,” she told a news conference including a housing development program after a two-day cabinet brainstorm- for the less aff luent. He isn’t concerned about ing on AI. potential zloty depreciation as the central “So our aim is for ‘Made in Ger- bank charts an increasingly dovish policy path, many’ to be a brand in artifi cial in- saying that a “weaker zloty sounds good to telligence as well.” exporters.” Germany has been at the forefront Poland faces a period of significant increases of industrial innovation for decades, in energy costs as its domestic fuel and energy but policymakers have been late to markets are highly monopolised and prices realise its export model, based on will additionally be lifted by growing costs of traditional manufacturing, is vul- carbon emissions, he said. This year’s surge in nerable, and it is struggling to catch wholesale electricity prices will unavoidably up. be passed on to consumers, even if the Solid growth — the economy is in government is promising some protection, its ninth year of expansion — has left according to Kropiwnicki. many businesses too busy meeting The job market is also likely to stoke inflation, orders today to have time to plan for A cyclist is colour-coded on a monitor inside a Mercedes-Benz S-Class automobile during the Daimler Tech Day autonomous driving and artificial intelligence with Germany expected to ease access to its a digital future. (AI) demonstration on a town street in Immendingen, Germany on July 17. Chancellor Angela Merkel has made fixing the country’s digital deficiencies a markets for Ukrainians by the end of next year, Merkel said the federal govern- priority for her fourth and almost certainly final term, and called that a prerequisite for its future prosperity. which could pull some migrant workers away ment would provide 3bn euros of AI from Polish companies and boost their costs as funding and regional governments The government’s plans ran into (ruling) coalition in recent years, has yet to produce a world-beating internet connections. To coordi- they seek replacements, he said. would add extra. immediate criticism from the oppo- especially as concerns broadband start-up that pioneers the use of nate the government’s digital strat- “All of this makes me less optimistic about The “leverage effect” of addi- sition Greens. expansion, has taught us the bitter AI, although 120 companies have egy, Merkel has appointed Dorothee inflation than the central bank’s projection,” tional investments from the private “More than a year after the federal lesson that implementation strate- formed a lobby group to further the Baer as minister of state for digital said Kropiwnicki, who sees average annual sector would be at least double the election, a lot remains more than gies and rhetoric often don’t lead to process. aff airs. price growth near 3.5% next year, compared total public money deployed, she fuzzy,” said Tabea Roessner, party tangible results.” A 2017 Organisation for Econom- Baer said this week that a false with 3.2% charted by the bank. “Inflation said. spokeswoman for network policy Hampered by an outdated re- ic Cooperation and Development sense of economic security was hin- expectations may awaken, but I don’t know Germany would also create posi- and consumer protection. search infrastructure and restric- study ranked Germany 29th out of dering government eff orts to close when.” tions for 100 new professors in AI. “The experience of the black-red tive data protection laws, Germany 34 industrialised economies for fast the digital technology gap. Boeing, FAA weigh software fi x on 737 Max plane after crash

Bloomberg cluding operating procedures and train- the pilots, and we’ve been very trans- Washington ing,” the regulator said in the statement. parent on providing information and The FAA on November 7 issued an emer- being fully cooperative on the investiga- gency airworthiness directive ordering tive activity.” oeing Co and US aviation regula- US airlines to incorporate information While the investigation into the Lion tors are weighing whether to issue about the feature in their pilot manuals. Air crash is far from complete, investi- Ba software fi x for the 737 Max, the Boeing fell less than 1% $348.05 gators believe that an erroneous sensor aircraft type involved in a deadly crash ahead of regular trading in New York. prompted a computerized safety sys- in Indonesia last month, to ensure that The shares dropped 2.1% on Tuesday as tem to aggressively push the jet into a the plane won’t dive aggressively with- weak deliveries for Boeing’s 737 jetliner dive, according to Indonesia’s National out pilot commands. family added to pressure from reports Transportation Safety Committee. The manufacturer and the Federal about the recent crash. Other factors, such as maintenance on Aviation Administration “continue to Two US pilot unions at carriers fl y- the plane and the pilots’ performance, evaluate the need for software and or ing the Max said on Monday that Boeing may also become factors in the acci- other design changes to the aircraft,” the didn’t adequately spell out how the new dent. agency said in a statement on Tuesday. system worked in training and manuals. Boeing and the FAA last week issued A safety feature added to the updated The Chicago-based aerospace giant directives to airlines to alert their pilots 737 Max, which was designed to prevent didn’t immediately respond a request that they can resolve such a problem us- pilots from losing control, has been im- for comment on the FAA statement. The ing an existing emergency procedure. plicated by Indonesian investigators in company said on Monday it is confi dent The Maneuvering Characteristics a Lion Air jet’s sudden dive into the Java in the safety of the 737 Max family of Augmentation System, which was add- Sea after taking off from Jakarta on Oc- jets, a message echoed on Tuesday by ed to the Max to make it less likely that tober 29. The pilots were attempting to chief executive offi cer Dennis Muilen- pilots point the plane’s nose so high that deal with several malfunctions when the burg. the wings lose lift, takes data from sen- crash occurred, the investigators said. “The bottom line here is the 737 Max sors and in limited circumstances com- All 189 people aboard died in the is safe,” Muilenburg said on Fox Busi- mands a dive. The software in the com- A Boeing 737 Max 7 jetliner sits on the tarmac during preparations ahead of the Farnborough International Airshow (FIA) high-velocity impact. ness Network. “This airplane went puter system that drives the MCAS can 2018 in Farnborough, UK, on July 15. A safety feature added to the updated 737 Max, which was designed to prevent pilots The FAA and Boeing are also evalu- through thousands of hours of tests and be altered without having to redesign from losing control, has been implicated by Indonesian investigators in a Lion Air jet’s sudden dive into the Java Sea after ating the need for other upgrades, “in- evaluations, certifi cation, working with components on the plane. taking off from Jakarta on October 29. Friday, November 16, 2018 GULF TIMES BUSINESS

Retail sales in US rebound on autos, Powell says economy building materials

Retail sales increase 0.8% in the number of Americans in October; core retail filing for unemployment sales rise 0.3%; weekly benefits last week. jobless claims up 2,000 to Strong domestic demand and faces headwinds as 216,000 a tightening labour market support views that the Reuters Federal Reserve will increase Washington interest rates in December for the fourth time this year. The US central bank US retail sales rebounded last Thursday kept rates Fed mulls rate hikes sharply in October as unchanged, but noted that purchases of motor vehicles the labour market “continued Bloomberg and building materials to strengthen and...economic New York surged, likely driven by activity has been rising at a recovery eff orts in areas strong rate.” devastated by Hurricane The dollar held at higher levels ederal Reserve chairman Florence. against a basket of currencies Jerome Powell said the The report yesterday from after yesterday’s data, while FUS economy is strong but the Commerce Department US Treasury yields fell. could face headwinds next year also showed broad gains in The trend in retail sales, if as policymakers weigh how far sales ahead of the holiday sustained, could keep the and fast to raise interest rates. shopping season, which economy on a solid growth “We have to be thinking about bodes well for consumer path even as business how much further to raise rates, spending and the overall investment is slowing, the and the pace at which we will economy as the fourth trade deficit is expected to raise rates,” Powell said during a quarter gets under way. deteriorate further and the question and answers session on Retail sales increased housing market continues to Wednesday in Dallas moderated 0.8% last month after a weaken. by Dallas Fed chief Robert Ka- downwardly revised 0.1% dip Consumer spending plan. The goal is to “extend the in September. expanded at its fastest pace recovery, expansion, and to keep Economists polled by Reuters in nearly four years in the unemployment low, to keep in- had forecast retail sales third quarter. fl ation low.” increasing 0.5% in October The economy grew at a 3.5% While generally upbeat about after the previously reported annualised rate in the July- the US economic outlook, Pow- 0.1% gain in September. Sales September quarter. ell listed potential challenges in- rose 4.6% from a year ago. While the Commerce cluding slowing demand abroad, Excluding automobiles, Department said it could fading fi scal stimulus and the gasoline, building materials not isolate the impact of lagged eff ect on the economy and food services, retail sales Hurricane Florence, which of the Fed’s eight rate increases increased 0.3% last month. lashed North and South since late 2015. These so-called core retail Carolina in mid-September, “These are things we are well sales correspond most closely on the retail sales, the storm aware of though. We know that with the consumer spending probably boosted purchases when we’re making policy and component of gross domestic of automobiles and building we think about those and kind of product. materials last month. have a sense of what they might Data for September was Auto sales jumped 1.1% last be,” he said. revised lower to show core month likely as residents in The chairman’s comments retail sales rising 0.3% instead areas aff ected by Florence highlight the growing complex- of gaining 0.5% as previously replaced damaged cars. ity the Fed faces as it sets policy Federal Reserve chairman Jerome Powell arrives to a Fed Board meeting in Washington, DC. on October 31. While generally upbeat about the reported. Auto sales fell 0.1% in and stays on course to hike in- US economic outlook, Powell has listed potential challenges including slowing demand abroad, fading fiscal stimulus and the lagged eff ect on Consumer spending, which September. terest rates for a fourth time this the economy of the Fed’s eight rate increases since late 2015. accounts for more than Sales at building material year in December. The central two-thirds of US economic stores surged 1.0% in October. bank’s rate increases are starting ahead of the European trad- ing a policy of gradualism, yet equity price moves were only The chairman also stressed activity, is being underpinned There were also increases in to bind on some segments of the ing day, with yields suggest- the higher rates have attracted one of many factors that the Fed that his move to press confer- by a strong labour market, sales at clothing stores, online economy such as housing, and ing Powell didn’t alter investor the ire of President Donald takes into account. ences following all eight of the characterised by a 3.7% retailers and service stations fi nancial conditions are tighten- expectations. Ten-year yields Trump. The Fed chairman said offi - Fed’s meetings in 2019 will help unemployment rate. last month. ing. But the jobs market remains were at 3.12% as of 6:15am in “We are absolutely committed cials are “looking really careful- policy agility, and get markets The lowest unemployment Americans also spent more red-hot and infl ation is at the London. to serving the public in a non- ly” at how fi nancial markets, the away from the idea that the Fed rate in nearly 49 years is on hobbies and at bookstores, Fed’s 2% target. The US expanded at a 3.5% partisan, professional way, in a economy and business contacts only has the potential to change boosting wages, with annual while cutting back on “Powell tried to come across annual pace in the third quarter way that communicates what are responding to rising rates. policy four times a year, lining wage growth recording its furniture purchases. as neutral, in our view, which on the back of strong consumer we’re doing and why we’re doing “One of the key things he has up with the current press con- biggest increase in 9-1/2 years But spending at restaurants may be perceived as dovish by spending, which has in turn it as clearly as possible” Powell done is try to shift away from the ference cycle. in October. and bars slipped 0.2%, likely the markets,” said Sonia Meskin, been fuelled by the lowest un- said. forecast and forward guidance,” “The markets defi nitely got in Jobs market strength was hurt by Hurricane Michael, an economist at Standard Char- employment rate since 1969. He played down recent tur- said Michael Hanson, chief US the habit of having us only move underscored by a separate which soaked the Florida tered Bank. “He opted to try to “I do believe our economy can bulence in the stock market. macro strategist at TD Securi- on press conference meetings,” report from the Labour Panhandle in mid-October. calm the markets, at least from grow and grow faster,” Powell Though US equity prices suf- ties USA. Powell said. Department yesterday Sales at restaurants and bars the Fed’s side.” said. fered their steepest loss last He “is trying to be nimble as “Over time the market’s going showing a marginal increase dropped 1.5% in September. Treasuries were unchanged US central bankers are pursu- month since 2011, Powell said the data come in.” to have to get used to that.”

Airspace Technologies Vodafone eyes selling stake in Europe’s biggest tower portfolio raises $20mn as investors

Bloomberg at the European level, he said. “It’s im- €18.4bn ($21bn) purchase of Liberty network in Italy, people familiar with pile into logistics startups Madrid portant to maintain strategic control; Global Plc assets. the matter had said. That deal could in- they are important assets to us,” Read Experience with a tower joint ven- clude sharing towers and radio equip- said on Wednesday. ture in the UK could serve as a blue- ment and granting each other access to Reuters Airspace Technologies works with odafone Group Plc is weighing “At this point we are considering print for deals elsewhere, Read said. each others’ spectrum licences, which San Francisco Delta Air Lines, American Airlines selling a minority stake in its diverse options.” The company would While the company would prefer to cost a combined €4.8bn in an auction Inc, Southwest Airlines Co, United Vtower portfolio, Europe’s larg- use the stake sale to improve the net- be an active partner in managing the this year, they said. Airlines Inc and other major est, as the British mobile carrier looks work’s effi ciency rather than cut debt, masts in large cities, it’s willing to take Read, who’s been with Vodafone The latest startup aiming to bring airlines, Bulcao said. for ways to control costs and maintain he said. a more passive role in less dense areas, since 2001 in a number of roles, is also new technology to the business “Amazon has changed the way its dividend. Read this week announced plans to he said. contending with activists as he weighs of moving around cargo has that consumers buy and expect Vodafone would keep control of squeeze more value from Vodafone’s Vodafone’s counterparts in Europe what to do with the carrier’s infra- raised $20mn in fresh funding, their shipments in the same day,” its 57,000 towers if a sale goes ahead, infrastructure, committing to split- have already started hiving off their structure. Elliott Management Corp bolstering an already record year Bulcao said.”But the businesses Chief executive offi cer Nick Read said ting the towers off into a separate en- towers, which hold antennas that has built a stake in Vodafone, a person of fundraising for companies in the really haven’t caught up to that at the Morgan Stanley TMT confer- tity within the company and saying transmit wireless traffi c on their net- familiar with the matter has said, but shipping and logistics sector. until now.” ence in Barcelona, his fi rst major in- he’d weigh deals for the new unit. The works. they’re yet to comment publicly on The chief executive of Airspace The funding brings the company’s vestor event since taking the top job in new CEO is under pressure to reduce Vodafone is already in talks with Tel- their intentions. Elliott’s agitations at Technologies, a nearly 3-year- valuation to about $100mn, up October. The carrier could sell hold- expenses as he maintains Vodafone’s ecom Italia SpA about sharing the costs Telecom Italia led to the ousting of the old startup based in Southern from about $20mn in its last ings on a country-by-country basis or dividend growth and digests the fi rm’s to build out a next-generation wireless fi rm’s CEO on Tuesday. California, told Reuters it raised funding round in August, according the money in a funding round to data firm PitchBook Inc and a led by Silicon Valley-based firm separate source with knowledge of Scale Venture Partners, with help the matter. from existing investors including The opportunity to transform large, Ford CEO open to investors in autonomous vehicles Qualcomm Ventures. critical industries that at times still The company plans to extend the depend on handwritten logs and round and raise more money from fax machines has captivated tech Reuters ca, would have to be done carefully, and learned from nearly a year of testing in additional interested investors, said investors. Miami no broader deal had been agreed. Miami: Customers who live in high rise Airspace co-founder and CEO Nick Venture capitalists have so far this “We compete in a bunch of areas as well,” apartment buildings are less willing to Bulcao. year poured $10.5bn into startups he said. make a trip to the street to pick up a The company is part of a roster of in the field, not quite triple the Ford Motor Co chief executive Jim Hack- Ford’s share price has sunk 22% this year, package stored in a locker built into a more than 125 startups working $3.9bn invested last year, and ett told Reuters the company was open reflecting investor frustration with the vehicle, Marakby said. on technology for shipping, fleet more than any of the previous to investment by automakers and others company’s pace of rolling out plans to At the same time, people living in subur- management, warehousing, three years, according to CB in its autonomous vehicle business, but restructure money-losing operations in ban neighbourhoods are often interested logistics and last-mile delivery Insights. cautioned that expanding partnerships Europe, Latin America and China, and in getting food or goods delivered from services, according to a tally by “Anything where you just need with German automaker Volkswagen AG a strategy for funding investments in businesses in the city. data firm CB Insights. something in a time-sensitive way, was a “delicate dance.” autonomous and electrified vehicles. Signs that the US auto market is heading Airspace Technologies’ focus is where time is money, there is an Volkswagen’s supervisory board is Ford earlier this year created a separate for a cyclical downturn, coupled with on time-critical shipping, getting opportunity here,” said Stacey scheduled to meet today to review a unit for its autonomous vehicle opera- higher steel costs due to US tariff s, have blood samples delivered to a lab, an Bishop, a partner at Scale Venture 10-year strategic plan by chief execu- tions, which include a majority stake in ratcheted up pressure on all three Detroit organ to a hospital or a mechanical Partners who will join Airspace’s tive Herbert Diess that is expected to self-driving car software company Argo automakers. part to a grounded airplane or board of directors. propose using alliances with rivals to AI. General Motors Co chief executive Mary stalled manufacturing plant. But Airspace and its fellow startups cut development costs for electric and Potential investors could put money into Barra last month launched a sweeping The startup’s technology includes are up against large incumbents autonomous vehicles and potentially either Ford’s autonomous vehicle unit, or Hackett: In discussions. cost-cutting program, including off ering a Web-based application where including UPS Inc, DHL, FedEx other types of vehicles. Argo, Ford executives said. buyouts to 18,000 North American sala- shippers can get prices and route Corp and Walmart Inc that are also Ford and VW have acknowledged that Ford and Argo are currently testing ve- be used to carry people and goods. ried staff , and warning of outright layoff s information, and real-time tracking experimenting with technology they are in discussions. hicles in four cities — Miami, Pittsburgh, In Miami, for example, the company is if not enough employees leave. for companies receiving the such as robotics and blockchain to Hackett said on Wednesday a previously Detroit and Washington, D.C. collaborating with local businesses to Since May, GM and its Cruise self-driving shipment. make delivery more eff icient and announced partnership to share develop- Argo chief executive Bryan Salesky said, test designs for vehicles that can deliver car unit have landed $5bn in investment Another piece is a smartphone app easier to track. ment of future light commercial vehicles and the companies plan to expand the food, laundry or flowers. commitments from Japan’s SoftBank for drivers who, similar to Uber Their eff orts have already forced was “going better than we thought it number of test cities in 2019. On Wednesday, Ford said it would work Group Corp and Honda Motor Co Ltd to drivers, have their locations tracked some consolidation among would.” Ford has said it expects to launch self- with Walmart Inc to design automated develop a robot taxi service. and are dispatched to pick up startups. “Herbert and I had a great discussion,” driving vehicles for sale by 2021, when delivery services. Hackett acknowledged investor con- goods to be brought to and from “What you worry about is about the commercial vehicle business, a new vehicle architecture designed “We see equal opportunity between cerns, but said he wanted to be sure that airports for air travel. what the incumbents can do,” Hackett said. specifically for autonomous systems is moving people and moving goods,” said Ford had worked out how to redesign its The drivers have security clearance Bishop said.”Can Airspace get However, Hackett said expanding col- expected to be ready. Sherif Marakby, head of Ford’s autono- business before cutting anything. to transfer the goods at airport enough market share before the laboration to other areas, such as electric In the meantime, Ford is testing diff erent mous vehicle unit. “Hacking off limbs of the organisation cargo facilities. incumbents wake up?” vehicles or consolidation in Latin Ameri- ways in which self-driving vehicles can Among the lessons Ford executives have gets you nowhere,” he said.