PANDEMIC EFFECT: Page 2 Credit Suisse pain isn’t likely to end with fi rst-quarter woes

Thursday, April 22, 2021 Ramadan 10, 1442 AH AVIATION SPECIAL: Page 8 Curbing carbon footprint GULF TIMES through sustainable BUSINESS aviation fuels

Qatar participates in 113th Meeting of GCC Financial UDC posts QR57mn net profi t and Economic Co-operation Committee on QR351mn revenues for Q1

nited Development Company (UDC) re- U ported a net profit of QR57mn on revenues of QR351mn for the first quarter of 2021. The net profit attributable to the equity shareholders stood at QR46mn with basic earnings per share of QR0.013. UDC chairman Turki bin Mo- hamed al-Khater said UDC “is moving steadily” in 2021 to achieve good revenues and profits “despite the challeng- ing real estate market.” UDC chairman Turki bin UDC president and CEO Ibrahim He said, “We will endeav- Mohamed al-Khater. Jassim al-Othman. our to continue delivering across all our projects while land, which will pave the way witnessed an increase of 19% remaining committed to our for the launch of a variety of compared to the first quarter overall development plans unique residential and com- of 2020, in addition to the re- that will ensure UDC’s sus- mercial properties.” UDC duction in expenses. tainable growth and the crea- president and CEO Ibrahim This demonstrates the com- tion of new opportunities and Jassim al-Othman, who is pany’s efficiency in managing revenue sources over the long also a member of the board, and diversifying the source term. said the profits achieved in of revenues and reducing ex- “We hope the State of Qatar the first quarter of 2021 are penses even with the current will overcome this pandemic considered good in terms of difficult circumstances. and will regain safety and sta- their close resemblance to “It is the combination of in- bility for life to take its normal the profits of the first quarter novative properties placed in a course. of 2020, where the coronavi- first-class community setting HE the Minister of Finance Ali Sherif al-Emadi participated in the 113th Meeting of the GCC Financial and Economic Co-operation In this context, we are rus pandemic had no signifi- is what distinguishes UDC’s Committee, which was held online yesterday. During the meeting, the committee discussed ways to further enhance economic and looking forward to the fu- cant negative impact on the projects and gives the company financial co-operation among GCC members and increase returns. The committee also discussed the General Secretariat of the GCC ture as we continue devel- real estate market at the time. the flexibility it needs to navi- States’ report on the resolutions implemented at its previous meeting to enhance the confidence in the GCC states’ economies, and oping new projects at The He said, “Further, revenues gate its business in these diffi- achieve financial sustainability. Pearl-Qatar and Gewan Is- for the first quarter of 2021 cult times.” To Page 7

Qatar’s total housing stock at 304,715 units in Baladna chalks out plans to first quarter: ValuStrat

By Pratap John said. Villa rents continue to reduce Business Editor at a slower pace compared to strengthen core business; apartment rents, which have expe- rienced rapid drops over the last The total housing stock in Qatar year. The median monthly asking stood at 304,715 units with the rent for apartments was QR6,290, addition of 1,700 apartments and declining 1.9% quarterly and 6% villas in the first quarter (Q1) of this annually. Three-bedroom apart- eyes geographical expansion year, researcher ValuStrat has said ments experienced the highest in a report. quarterly falls in rent of up to 5.3%. By Santhosh V Perumal Apartment supply consisted of West Bay, Fereej Bin Mahmoud Business Reporter 1,650 units coming from project and Al Mansoura experienced the handovers in Lusail (Fox Hills highest quarterly drops in rents and Marina District), The Pearl, varying 3.5% to 5%. atar’s most successful greenfi eld Al Dafna, Mirqab Al Jadeed and The median monthly asking dairy farm Baladna has chalked Fereej Abdul Aziz. rent for villas was QR10,460, which Qout an ambitious strategy for this Contracts of residential build- fell by 1.2% QoQ and 3.9% YoY. year to not only strengthen its core busi- ings awarded during the first quar- Three-bedroom villas experi- ness by entering new product lines but ter in Lusail Waterfront, Marina enced the highest quarterly drop also explore geographical expansion, es- and Fox Hills, were estimated to in rents of up to 2.8%. pecially South East Asia and beyond. add 450 units by the end of 2022. Villas in compounds in Al “Baladna intends to continue explor- Some 6,300 units are currently Aziziya and Ain Khaled experi- ing opportunities to enter new product in the pipeline for the remaining enced the highest QoQ rental falls categories, if identifi ed by our teams to quarters of 2021, ValuStrat said. by an estimated 3.3%. be profi table within our capabilities” its The median transacted ticket The first quarter 2021 ValuStrat chief executive Malcolm Jordan elabo- size for residential houses was Price Index (VPI)-Residential, rated on the strategy for 2021 in the com- QR2.7mn, increased by 3.4% quar- displayed overall 6.2% annual and pany’s annual report that was presented terly and 6.8% annually, ValuStrat 1.5% quarterly declines in capital at the recently held annual general as- noted. Transactional volumes for values. Villa and freehold apart- sembly meeting of shareholders. houses declined 3.3% quarterly, ment prices saw quarterly price The general assembly approved the but were 52.8% higher when com- drops of 1.3% and 2.4%, respective- board proposal to distribute dividends at pared to the same period last year. ly. Amongst freehold apartments, a rate of 5.3% of the nominal value of the A view of the Baladna plant. Qatar’s most successful greenfield dairy farm has chalked out an ambitious strategy for this year to not only Amongst all areas, Umm Garn The Pearl witnessed the sharpest share for the year ended 2020. strengthen its core business by entering new product lines but also explore geographical expansion, especially South East Asia and beyond. had the highest volume of transac- decline in values. Highlighting that the company intends tions for residential houses and Amongst villas, the highest to continue to focus on its successful core revenue growth, a key priority remained port business as well as transferring our future as Qatar’s most successful dairy Fereej Al Amir had the highest quarterly depreciation of 5.6% in business, he said the strategy will be to driving margin growth via extracting ef- experience and knowledge to business farm; Baladna chairman Moutaz al- ticket size. Some 68 transactions capital values was experienced in grow Baladna’s dairy and juice portfolio fi ciency gains across the value chain. The models in South East Asia and beyond,” Khayyat said this translated into “sig- were recorded for residential Al Wakrah cluster. Five locations in a value accretive manner through in- investments in additional farming and Jordan said. nifi cant” improvement in the yield per buildings, as Old Airport and (Umm Salal Ali, Old Airport, The novation and experience. Pointing out manufacturing capacity continued to de- He said 2021 is expected to be an “ex- cow, enhanced product portfolio through Umm Ghuwailina had the highest Pearl, West Bay Lagoon and Ain that its product portfolio had grown by liver material benefi ts. citing” year during which Baladna would the development of more stock keeping number of transactions. Khaled) saw a marginal QoQ 40.7% in 2020; he said Baladna achieved The company reported that herd yield continue preparations to meet the “ex- units or SKUs and led to growth momen- During the first two months change of less than a percent “signifi cant” growth in terms of sales improved by 14.9% whilst manufacturing tensive demand” dynamics of the 2022 tum through key initiatives in marketing, of 2021, the volume and value of in capital values. The remaining volume, revenue and net profi t. conversion costs reduced by 13%. FIFA World Cup in Qatar, which is ex- modern and traditional trade. annual transactions in The Pearl areas experienced quarterly falls The identifi ed markets with high profi t He said Baladna has plans to repli- pected to result in a “signifi cant” in- As of end-2020, Baladna maintains an and West Bay Lagoon fell 6.8% and of between 0.5% and 2.5%. Gross margins such as processed cheese, whip- cate it successful model elsewhere in the crease in Qatar’s population in the lead extremely strong asset base; this is pri- 11.7% respectively. yields for residential units aver- ping/cooking cream and long life juice world as it eyes expansion geographically. up to and during the event. marily funded by equity, which is also The median monthly asking aged at an overall 5.4%, adjusted were the key success factors of its revenue “We continue to assess opportunities Continuing its focus on over the course strong, as evidenced by the net debt-to- rent for residential units dropped by 6.5% for apartments and 4.8% growth (of 68% year-on-year) and in- for geographical expansion – leveraging of 2020 to achieve signifi cant top- and total-capital employed ratio of 34.5%, 1.8% QoQ and 5.7% YoY, ValuStrat for villas, the review said. crease in margins in 2020. In addition to our existing asset base to develop an ex- bottom-line increases and secure its according to him. Gulf Times 2 Thursday, April 22, 2021 BUSINESS

HSBC pivot stokes tension between Hong Kong, London bankers

Bloomberg about the costs of the relocations, one power for HSBC,” said Ismail Erturk, more of our global leadership roles in factions in the city. Wong has been Asia Global Institute at the University of Hong Kong of the people said. a senior lecturer in banking at the our key growth region,” Chief Executive preparing for his eventual retirement Hong Kong. “What had been expected At the same time, some staff are University of Manchester. “But its Off icer Noel Quinn said in an April 14 by mentoring David Liao and Mark to happen after 1997 is starting to encouraged by the move to shift more main institutional shareholders are memo. Some roles that work directly Yunfeng Wang, the heads of Asia Pacific happen,” Chen said, referring to the HSBC Holdings Plc is shipping leadership to Hong Kong, the bank’s still international, not from China. This with the top executives will also move global banking and its China operations, year Britain handed the colony back to senior executives from its London Asian hub, the people said. creates a complex situation for HSBC.” to Hong Kong, according to Quinn. people familiar with the matter have China. “Moving some executives from headquarters to Hong Kong to seal The status of local leadership is a The potential for friction hasn’t gone The transfers coincide with another said. Any discord between the incoming London to Hong Kong won’t change a pivot by Europe’s largest lender to sensitive topic for HSBC, whose unnoticed in London. On a global call transition: the bank has started an executives and Wong could complicate that trajectory.” Asia. The moves are also stoking some board and C-suite are dominated by on April 14, Greg Guyett, the co-head of informal search to identify a successor that eff ort. Liao, for example, reports to Either way, HSBC’s leadership presence discontent. westerners even as it makes almost all the investment bank who’s one of the for the 69-year-old Wong, its long-time both Guyett and Wong. in Hong Kong, where it was founded in Already smarting from a cut to the its profits in Asia and counts Hong Kong executives moving, said unprompted chief executive for Asia Pacific, people HSBC is casting a wide net both within 1865, will now be the strongest since it bonus pool after losses in Europe, as its biggest market. that the reason for his relocation wasn’t familiar with the matter said in January. its ranks and beyond in its hunt for moved its headquarters to London in some senior executives in Greater For HSBC, the changes are intended because of poor management in Asia, A member of China’s top political- a replacement, a person familiar has 1993. China worry their push into the world’s to demonstrate its commitment to a according to people on the call. He advisory body – the Chinese People’s said, with Wong viewed as diff icult to Along with Guyett, Nuno Matos, second-largest economy could be historic turnaround plan centred on emphasised that he would continue to Political Consultative Conference replace. chief executive off icer of wealth and slowed by added bureaucracy and Asia and help speed up local decision keep his eyes on Europe and the US as – Wong’s ties have been pivotal to Quinn signalled in his memo that personal banking, and Barry O’Byrne, blurred reporting lines, according to making. The bank has earmarked well, the people said. mending relations with Beijing, frayed relocating the executives could boost chief executive of global commercial people familiar with the discussions investments of about $6 billion for While some were puzzled by his by the lender’s role in a US probe of the bank across the region. “The move banking, are expected to be on the who asked to remain anonymous the region, on top of billions more in comment on performance, others on Huawei Technologies Co. will also create significant opportunities ground in the second half of this year. discussing a sensitive issue. risk-weighted assets it intends to shift the call said they felt it was intended With most of the bank’s top for collaboration across the businesses Together, the three executives control With the global heads of investment from moribund operations in Europe to reassure staff and highlight the management in London, away from its in Asia,” he wrote. HSBC currently HSBC’s main divisions, with only the banking, commercial banking and and the US. It’s targeting becoming a contribution from Asia. The bank is biggest market of Hong Kong, Wong makes more than 80% of its Asia profits corporate centre remaining. Nicolas wealth relocating to Hong Kong this market leader in managing wealth in an scheduled to release first-quarter has pressed for quicker engagement from just two markets: Hong Kong and Moreau, who runs HSBC Global Asset year, senior bankers expect friction with increasingly aff luent part of the world. earnings on April 27. with Beijing’s concerns. He publicly mainland China Management, is also relocating. regional chief Peter Wong, who has so The growing strength of markets “Asia Pacific is central to the long-term endorsed the security law that China It’s unlikely that China wants HSBC to Georges Elhedery, co-head of far enjoyed a high degree of autonomy. and the economy in Greater China is growth plans” of the bank and the move imposed on the financial hub last year, maintain its dominant position in Hong investment banking and markets, will Wong has expressed his unhappiness “shifting the geographic balance of reflects HSBC’s intention to “locate quietening criticism from pro-Beijing Kong, said Chen Zhiwu, director of the remain in London.

Bank of Canada pares Credit Suisse pain isn’t bond purchases, sees rate hikes earlier

Bloomberg of Canada revised higher its Toronto growth estimate for 2021 by more than two percentage likely to end with points, to 6.5%, and brought he Bank of Canada forward into 2022 its fore- announced that it casts for when excess supply Twill pare back asset would be absorbed. purchases by one-quarter Projections for econom- and indicated that it’s mov- ic slack are a critical input ing up its expected time- into their forward guid- fi rst-quarter woes line for interest-rate hikes, ance, which is not to raise citing a stronger-than- raise their key benchmark Bloomberg debt fi rms, according to people expected rebound from the interest rate, currently at Zurich familiar with the matter. pandemic. 0.25%, until the economy The Swiss bank is also lean- The Ottawa-based central has fully recovered and ing toward letting clients foot the bank will reduce its purchas- inflation is sustainably at redit Suisse Group AG is bill for eventual losses because it es of federal government 2%. set to report the biggest considers that the risks around bonds to C$3bn ($2.4bn) a The growth revisions Cpretax quarterly loss in Greensill were known and the week, from the current pace bring them more into line more than four years following a funds were only marketed to in- of C$4bn, policy makers led with economist projections. string of costly errors. vestors able to assess such risks, by Governor Tiff Macklem Markets had already been Investors want to know how a person familiar with the matter said Wednesday in a written pricing in a rate increase in much more pain is to come. has said. statement. 2022 before today’s forecast The Swiss bank has already Credit Suisse is now planning They also said the econ- changes. fl agged that it expects a 900mn- a sweeping overhaul of the hedge omy would fully heal from The Canadian dollar franc ($983mn) pretax loss in fund business at the centre of the the pandemic more quickly jumped 0.5% to C$1.255 per the fi rst quarter, after booking Archegos Capital blow up. than expected, a track that US dollar. a $4.8bn hit on exposure to Bill The lender is weighing signifi - could prompt them to raise The market consensus Hwang’s Archegos Capital Man- cant cuts to its prime brokerage their key benchmark in- was for the Bank of Canada agement. arm in coming months, people fa- terest rate as early as next to pare back its government That may not be the end of it, miliar with the plan have said. year versus previous guid- of Canada bond purchases as JPMorgan Chase & Co sees The bank has already tightened ance pointing to no move to C$3bn a week, without further markdowns and ques- fi nancing terms with some funds before 2023. altering expectations for no tion marks remain over the extent and instigated personnel changes. The statement was more rate hike before 2023. of losses tied to the collapse of The co-heads of the unit, John hawkish than expected, sug- The central bank is still Greensill Capital. Dabbs and Ryan Nelson, are to gesting that the central bank underscoring it needs to re- The one-two punch that start- step down. is keen to quickly start a main cautious. It said there’s ed last month with the collapse of A Credit Suisse Group bank branch in Zurich. Analysts surveyed by Bloomberg expect the bank to post a net Investors will be watching for process of policy normalisa- more uncertainty than usual a $10bn fund group run with Lex loss of 790mn Swiss francs when it reports earnings today. further changes to mitigate the tion that could take years to around its estimates for Greensill’s trade fi nance fi rm has risk of more blow-ups, as the unit fi nish. slack. sent shock-waves through what this month replaced its invest- transactions since the end of in the strategy when it froze the is typically a signifi cant source of The move is one of the Offi cials also highlighted was supposed to be a steadier era ment bank head and chief risk March weren’t included in the money pools in March over valu- revenue for investment banks. biggest steps yet by a de- concern about the uneven under chief executive offi cer Tho- offi cer, along with a handful of fi rst-quarter results, a person fa- ation uncertainties. Credit Suisse may soon take veloped country to reduce recovery and the potential mas Gottstein. other executives. More executives miliar with the matter has said. Investors in the funds, includ- further action at its 440bn-franc emergency levels of mon- for scarring in the labour The lender was forced to cut in the prime brokerage followed Analysts at JPMorgan estimate ing some of the lender’s wealthi- asset-management unit, the epi- etary stimulus. market. its dividend and suspend share through the exit this week. that further second -quarter est clients, are facing potentially centre of the Greensill debacle. “We remain committed Just on technical grounds, buybacks, pummelling the stock Last week, Credit Suisse un- markdowns could total $400mn. steep losses after the bank last The business is too small to to holding the policy in- it needs to be pared back as at a time when investment banks loaded about $2bn of stocks tied “Overall, we see these sales week indicated that it may not get compete globally and its leaders terest rate at the effective the government’s fi nanc- around the world are being bu- to the Archegos Capital Manage- putting further question marks full recovery on about $2.3bn of are distracted by the fallout from lower bound until econom- ing requirements drop. Its oyed by the market volatility of ment blowup in the second such around risk management and size assets. the trade-fi nance fi rm’s collapse. ic slack is absorbed so that quantitative easing pro- the coronavirus pandemic. block sale since the bank wrote of exposure to Archegos as we do It’s unclear what that means for While a variety of outcomes are the 2% inflation target is gramme is too large given Without the hits, it would have down the bulk of its exposure in not know if there are further such the bank’s bottom line in the near possible, including a partial sale sustainably achieved,” the the size of Canada’s bond been Credit Suisse’s strongest the fi rst quarter. sales still coming — we believe term, and litigation costs may pile or listing, selling the entire unit bank said in its Monetary market. quarter in more than a decade, ac- Shares of Credit Suisse fell as Credit Suisse needs to draw a line up over time. could fetch as much as 5bn francs Policy Report. It now owns more than cording to analysts at Citi. the sale added to evidence that under this issue and the fi nal scale The bank has warned previ- — a fi gure based on previous deals “Based on the Bank’s lat- 40% of outstanding bonds Analysts surveyed by Bloomb- the Archegos collapse could im- of charges it could take on Arche- ously that there could be a further in the industry. est projection, this is now and is on pace to go above erg expect the bank to post a net pact the bank beyond the 4.4bn gos,” analysts Kian Abouhossein fi nancial hit, and is considering Allianz SE is among fi rms that expected to happen some- 50% in a few months as loss of 790mn Swiss francs when franc write-down, its worst trad- and Amit Ranjan wrote in a note selling some of the troubled assets have signalled interest in Credit time in the second half of Prime Minister Justin Tru- it reports earnings on Thursday. ing hit in more than a decade. to clients. in the funds linked to Greensill. Suisse’s asset-management busi- 2022.” deau’s government re- Acknowledging the need for While the Swiss bank has sub- Credit Suisse has so far repaid It’s weighing the sale of the ness, according to people briefed In new quarterly eco- duces its issuance by about deep change, Credit Suisse earlier stantially reduced its exposure, about half of the $10bn invested notes at a discount to distressed on the discussions. nomic projections, the Bank C$90bn this year. Netfl ix falls after pandemic boom reverses to rare weakness

Bloomberg the fourth quarter. “We had those 10 households to sell to, subscription ing market. Disney+, HBO Max and New York years where we were growing smooth video-on-demand services must brace Peacock don’t yet compete with Net- as silk,” executive chairman and co- themselves for a much slower 2021,” fl ix in many parts of the world. Still, chief executive offi cer Reed Hastings she added. the company is facing more rivals than etfl ix Inc credited the pan- said on a webcast for investors. “It’s a Production snags: The pandemic ever, and some of the services are less demic with delivering record little wobbly right now.” has pushed the release of many of the expensive than Netfl ix, which raised its Ngrowth in 2020. Now it’s blam- Netfl ix added 3.98mn subscribers in company’s key titles into the back half US prices in October. While produc- ing the pandemic for the worst fi rst the fi rst quarter, compared with an av- of this year. Production was interrupted tion has resumed in every country but quarter in eight years. erage analyst estimate of 6.29mn and in 2020 due to fallout from the pandem- Brazil and India, that won’t help Net- The streaming service added far its own forecast of 6mn. That marked ic. Netfl ix was able to sustain its release fl ix until later this year. Its slate in the fewer new customers than Wall Street the weakest start of a year since 2013, schedule for the fi rst several months of current quarter is also light. expected in the fi rst three months of when Netfl ix added about 3mn cus- Covid lockdowns because it had already Better shape: The company’s an- 2021, even missing its own forecast by tomers. If the company’s forecast for fi nished many projects. But most mov- swer to the challenges remains the millions of subscribers. And the cur- the current quarter holds, it will be the ies and programmes that were supposed same as ever: produce more shows. rent quarter will be more challenging, worst three-month stretch for Netfl ix to be in shooting last year were either Netfl ix plans to spend $17bn in cash Netfl ix said, predicting a gain of just since the early days of its streaming postponed or cancelled. on programming this year, up from 1mn new customers – or a fraction of service. “There was nothing to watch this $12.5bn last year and $14.8bn in 2019. the 4.44mn projected by analysts. Netfl ix blamed a “Covid-19 pull- quarter,” said Michael Nathanson, an It’s prioritising investments in pro- The dismal growth sent Netfl ix forward” eff ect, meaning the pan- analyst with Moff ettNathanson LLC. gramming outside the US, where most shares down as much as 8.4% in New demic accelerated its growth in 2020 “It’s important not to confuse near- of its new customers live. York trading on Wednesday. while everyone was stuck at home and term noise in user gains with Netfl ix’s Europe continues to be a bright spot Netfl ix has been warning for months needed something to watch. Now that longer-term thesis, which we believe, for Netfl ix. The streaming service add- that growth would slow after custom- surge is taking a toll on the company’s remains stronger than ever”, says ed 1.81mn customers across Europe, ers emerged from their Covid-19 hi- 2021 results. to the slump, the company said. While should consider reaching new custom- Geetha Ranganathan, senior media the Middle East and Africa, making bernation, but few expected the com- “It really boils down to Covid,” there were popular hits available, like ers by signing more bundling and inte- analyst. it the leading region for the company. pany to stall so dramatically. The fi rst Spencer Neumann, the company’s Bridgerton and Cobra Kai, fresh re- gration deals with pay-TV and broad- Netfl ix rejected the idea that com- Lupin, a French heist thriller, was the quarter of 2020 was the strongest in its chief fi nancial offi cer, said on the we- leases tailed off after mid-January and band companies, Omdia analyst Maria petition factored into its results, not- service’s most popular new series in history, reeling in 15.8mn new custom- bcast. growth faltered. Rua Aguete said by e-mail. ing that its growth slowed globally the quarter. Asia is the company’s sec- ers, and Netfl ix’s pace was still brisk in A lack of new shows also contributed To boost subscriptions, Netfl ix “Having exhausted the pool of new – not just in the crowded US stream- ond-fastest growing region. Gulf Times Thursday, April 22, 2021 3 BUSINESS

KUWAIT KUWAIT OMAN

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

Kuwait Real Estate Holding C 35.00 16.67 8,245,073 Oman Qatar Insurance Co 0.09 -4.17 10,000 Al Salam Group Holding Co 24.80 -0.80 2,912,646 Kuwait Reinsurance Co Ksc 383.00 -9.67 251 Oman Packaging 0.31 0.00 - Al Tamdeen Investment Co 221.00 -1.34 24,522 Kuwait Remal Real Estate Co 17.00 0.00 702,877 Oman Oil Marketing Company 0.72 0.00 - Al-Ahleia Insurance Co Sakp 514.00 5.82 15 Kuwait Resorts Co Kscc 67.30 0.45 3,050,518 Oman National Engineering An 0.09 0.00 26,785 Al-Deera Holding Co 195.00 -2.50 73,067 Kuwait Telecommunications Co 895.00 -0.33 16,261 Oman Investment & Finance 0.10 8.70 10,095,314 Al-Eid Food Ksc 193.00 0.00 1,296,803 Kuwaiti Syrian Holding Co 36.00 2.86 203,801 Oman Flour Mills 0.68 0.00 8,500 Al-Enma’a Real Estate Co 61.80 0.82 1,894,514 Livestock Transport & Tradng 184.00 0.55 33,380 Oman Fisheries Co 0.09 0.00 40,000 Al-Madar Finance & Invt Co 107.00 -2.73 1,564,875 Mabanee Co Kpsc 705.00 -0.28 337,197 Oman Europe Foods Industries 1.00 0.00 - Al-Massaleh Real Estate Co 43.80 0.00 - Manazel Holding 50.00 2.04 5,412,503 Oman Education & Training In 0.24 0.00 - Al-Mazaya Holding Co 69.30 1.17 1,226,070 Mashaer Holding Co Ksc 68.10 -2.01 892,261 Oman Chromite 3.64 0.00 - QATAR Alargan International Real 109.00 0.00 - Mena Real Estate Co 39.40 1.03 8,135,836 Oman Chlorine 0.25 0.00 - Alimtiaz Investment Group 114.00 -0.87 5,294,505 Metal & Recycling Co 170.00 -2.86 19,000 Oman Ceramic Company 0.42 0.00 - Company Name Lt Price % Chg Volume Alkout Industrial Projects C 642.00 0.00 - Mezzan Holding Co Kscc 577.00 0.35 146,171 Oman Cement Co 0.23 -0.43 115,150 Alrai Media Group Co Ksc 27.60 -4.17 359,000 Mobile Telecommunications Co 606.00 -0.66 1,888,670 Oman Cables Industry 0.72 -2.19 49,560 Zad Holding Co 15.16 -0.07 31,413 Amar Finance & Leasing Co 48.10 0.00 - Mubarrad Holding Co Ksc 93.50 0.11 9,497,485 Oman Arab Bank Saog 0.15 0.00 - Widam Food Co 5.60 -0.34 344,521 Amwal International Investme 16.30 -4.12 19,213 Munshaat Real Estate Project 75.00 -1.32 130,000 Oman & Emirates Inv(Om)50% 0.05 0.00 266,173 Vodafone Qatar 1.81 2.03 8,538,971 Aqar Real Estate Investments 69.90 4.48 66,233 National Bank Of Kuwait 828.00 -0.36 3,372,922 Natl Aluminium Products 0.12 0.00 483,500 United Development Co 1.67 -0.12 2,881,800 Arkan Al Kuwait Real Estate 99.90 0.91 22,145 National Cleaning Company 58.00 13.06 4,861,133 National Real Estate Develop 5.00 0.00 - Salam International Investme 0.86 1.77 82,419,971 Arzan Financial Group For Fi 107.00 0.94 2,260,312 National Consumer Holding Co 44.80 4.92 129,803 National Mineral Water 0.09 0.00 - Qatar & Oman Investment Co 0.93 0.22 8,861,729 Asiya Capital Investments Co 40.00 8.70 13,141,008 National Industries Co Ksc 153.00 0.66 9,465 National Life & General Insu 0.39 0.00 - Qatar Navigation 7.50 -0.01 74,944 Automated Systems Co Kscc 97.90 0.93 15,400 National Industries Grp Hold 214.00 1.90 4,242,860 National Gas Co 0.14 0.00 2,500 Qatar National Cement Co 5.00 -0.08 89,648 Aviation Lease And Finance C 212.00 1.44 3,555,028 National International Co 71.30 0.42 553,730 National Finance Co 0.12 4.35 30,000 Qatar National Bank 17.91 2,223,449 -0.50 Bahrain Kuwait Insurance 191.00 0.00 - National Investments Co 191.00 1.06 1,109,946 National Detergent Co Saog 0.67 0.00 - Qlm Life & Medical Insurance 5.12 193,242 0.00 Bayan Investment Co Kscc 41.90 2.44 14,668,699 National Mobile Telecommuni 644.00 -0.46 7,608 National Biscuit Industries 3.96 0.00 - Qatar Islamic Insurance Grou 7.90 0.25 24,869 Boubyan Bank K.S.C 643.00 -0.31 1,515,382 National Petroleum Services 1,000.00 0.00 - National Bank Of Oman Saog 0.15 0.00 2,967 Qatar Industrial Manufactur 2.93 -2.98 353,787 Boubyan Petrochemicals Co 950.00 0.00 478,341 National Real Estate Co 113.00 6.60 9,689,868 Muscat Thread Mills Co 0.08 0.00 - Qatar International Islamic 9.39 -1.12 453,176 Boursa Kuwait Securities Co 1,110.00 -0.09 231,401 National Shooting Company 36.00 -0.83 344,200 Muscat Insurance Co Saog 0.35 0.00 - Qatari Investors Group 2.15 -0.05 1,347,935 Burgan Bank 223.00 -1.76 3,931,695 Noor Financial Investment Co 243.00 2.53 2,193,646 Muscat Gases Company Saog 0.19 0.00 - Qatar Islamic Bank 17.48 -0.96 1,546,917 Burgan Co For Well Drilling 139.00 0.00 558,975 Osos Holding Group Co 87.90 0.23 201,595 Muscat Finance 0.05 7.14 1,098,466 Qatar Gas Transport(Nakilat) 3.18 -0.47 2,945,158 Coast Investment Development 45.40 5.09 5,530,094 Osoul Investment Kscc 76.50 0.00 - Muscat City Desalination Co 0.09 0.00 - Qatar General Insurance & Re 2.37 -1.21 31,751 Combined Group Contracting 273.00 7.06 3,069,688 Oula Fuel Marketing Co 117.00 0.00 7,938 Musandam Power Co 0.32 0.00 - Qatar German Co For Medical 2.98 1.09 3,249,870 Commercial Bank Of Kuwait 500.00 0.00 - Palms Agro Production Co 66.50 0.00 - Majan Glass Company 0.18 0.00 - Qatar Fuel Qsc 18.25 -1.08 419,166 Commercial Facilities Co 191.00 1.06 580,538 Privatization Holding Compan 42.90 -0.23 2,096,313 Majan College 0.15 0.00 - Qatar First Bank 1.94 -1.27 3,368,027 Commercial Real Estate Co 98.60 -0.30 10,867,457 Qurain Petrochemical Industr 6.10 1,217,236 Hsbc Bank Oman -0.98 47,284 Qatar Electricity & Water Co 17.01 0.35 119,309 435.00 0.10 Credit Rating & Collection 28.40 0.00 - Ras Al Khaimah White Cement Hotels Management Co Interna - Qatar Exchange Index Etf 10.71 -2.80 200,000 68.00 0.00 - 1.25 0.00 Danah Alsafat Foodstuff Co 11.80 0.00 - Real Estate Asset Management Gulf Stone Qatar Cinema & Film Distrib 3.81 0.00 - 90.20 0.00 - 0.12 0.00 - Dar Al Thuraya Real Estate C 58.00 1.93 18,931 Real Estate Trade Centers Co Gulf Mushroom Company Al Rayan Qatar Etf 2.58 -0.62 35,032 42.70 13.87 656,303 0.25 0.00 - Dulaqan Real Estate Co 0.00 Qatar Insurance Co 2.50 0.69 997,095 274.00 - Salbookh Trading Co Kscp 41.00 0.00 1,052,416 Gulf Invest. Serv. Pref-Shar 0.00 0.00 - Educational Holding Group Qatar Aluminum Manufacturing 1.42 0.21 14,571,460 558.00 1.45 186,312 Salhia Real Estate Co Ksc 530.00 0.38 31,850 Gulf International Chemicals 0.10 0.00 - Ooredoo Qpsc 7.03 -0.86 1,496,354 Eff ect Real Estate Co 20.50 0.00 - Sanam Real Estate Co Kscc 44.00 3.29 424,300 Gulf Hotels (Oman) Co Ltd 3.88 0.00 - Alijarah Holding Company Qps 1.23 0.41 7,561,598 Egypt Kuwait Holding Co Sae 359.00 0.00 - Securities House/The 52.70 3.54 11,720,756 Global Fin Investment 0.05 0.00 - Mazaya Real Estate Developme 1.21 -0.82 25,137,646 Ekttitab Holding Co Sak 16.90 4.32 336,161 Shamal Az-Zour Al-Oula For T 267.00 0.00 911,235 Galfar Engineering&Contract 0.05 3.92 5,532,630 Mesaieed Petrochemical Holdi 1.85 -0.54 3,526,654 Energy House Holding Co Kscp 28.80 2.13 795,158 Sharjah Cement & Indus Devel 42.10 -4.97 50,000 Galfar Engineering -Prefer 0.39 0.00 - Al Meera Consumer Goods Co 19.27 -0.62 359,424 Equipment Holding Co K.S.C.C 30.40 0.66 271,298 Shuaiba Industrial Co 195.00 0.00 - Financial Services Co. 0.18 0.00 - Medicare Group 9.59 -0.10 111,378 First Dubai Real Estate Deve 53.90 2.08 3,551,913 Sokouk Holding Co Sak 23.30 0.00 - Financial Corp/The 0.08 0.00 - Mannai Corporation Qsc 3.90 -1.39 139,405 First Investment Co Kscc 74.70 0.54 14,945,417 Soor Fuel Marketing Co Ksc 117.00 0.86 21,529 Dhofar Tourism 0.49 0.00 - Masraf Al Rayan 4.49 -0.11 4,672,379 First Takaful Insurance Co 49.00 0.00 - Specialities Group Holding C 86.90 2.24 2,002,914 Dhofar Poultry 0.18 0.00 - Al Khalij Commercial Bank 2.17 -0.05 9,400 Fujairah Cement Industries 31.50 0.00 - Sultan Center Food Products 105.00 -0.94 662,626 Dhofar Intl Development 0.27 0.00 - Industries Qatar 12.92 -2.12 395,375 Future Kid Entertainment And 82.00 0.00 - Taameer Real Estate Invest C 22.40 -1.32 7,804,612 Dhofar Insurance 0.16 0.00 - Inma Holding Company 5.23 0.95 726,113 Gfh Financial Group Bsc 60.50 -2.42 9,897,747 Tamdeen Real Estate Co Ksc 242.00 0.00 22,811 Dhofar Generating Co Saoc 0.16 0.00 4,000 Investment Holding Group 1.17 2.45 43,939,943 Gulf Bank 206.00 -0.48 16,278,717 Tamkeen Holding Co 0.00 0.00 - Dhofar Fisheries & Food Indu 1.28 0.00 - Gulf Warehousing Company 5.14 0.49 659,550 Gulf Cable & Electrical Ind 836.00 1.70 290,008 Tijara And Real Estate Inves 48.00 -1.23 3,410,768 Dhofar Cattlefeed 0.09 0.00 - Gulf International Services 1.53 1.93 40,007,994 Gulf Franchising Holding Co 60.40 0.00 - Umm Al Qaiwain General Inves 76.90 0.00 - Dhofar Beverages Co 0.26 0.00 - Al Faleh Education Holding 2.27 -2.58 824,511 Gulf Insurance Group Ksc 634.00 0.00 - Unicap Investment And Financ 52.70 -3.13 37,944,792 Construction Materials Ind 0.03 0.00 - Ezdan Holding Group 1.78 -0.22 6,007,388 Gulf Investment House Ksc 130.00 0.00 881,621 Computer Stationery Inds 0.26 0.00 - Doha Insurance Co 1.89 0.05 2,680,309 Gulf North Africa Holding Co 61.00 0.83 111,500 Bankmuscat Saog 0.39 0.00 1,200,905 Doha Bank Qpsc 2.35 -0.51 325,119 Gulf Petroleum Investment 20.80 -3.26 24,911,376 OMAN Bank Nizwa 0.09 -2.11 151,000 Dlala Holding 1.79 0.56 2,210,241 Hayat Communications 70.40 -1.40 204,200 Bank Dhofar Saog Company Name Lt Price % Chg Volume 0.10 0.00 500,000 Commercial Bank Psqc 5.36 0.49 1,048,496 Heavy Engineering And Ship B 428.00 0.23 190,533 Arabia Falcon Insurance Co 0.10 0.00 - Barwa Real Estate Co 3.27 -0.76 4,957,978 Hilal Cement Co 77.00 0.00 - Aman Real Estate Inve Reit 0.10 2.15 15,000 Baladna Voltamp Energy Saog 0.14 2.14 270,958 1.63 -1.87 18,278,966 Humansoft Holding Co Ksc 3,834.00 -0.16 154,364 Aloula Co 0.04 0.00 - Al Khaleej Takaful Group 3.36 1,714,860 Vision Insurance Saoc 0.08 0.00 76,583 -1.52 Ifa Hotels & Resorts Co. K.S 43.90 -4.98 5,382,480 Al-Omaniya Financial Service 0.08 6.67 3,838,928 Aamal Co 0.97 3,104,629 United Power/Energy Co- Pref 0.90 0.00 - -1.12 Independent Petroleum Group 495.00 1.02 10 Al-Hassan Engineering Co 0.01 0.00 - Al Ahli Bank 3.78 3,000 United Power Co Saog 1.02 0.00 126,193 0.00 Injazzat Real State Company 71.00 0.00 28,105 Al-Fajar Al-Alamia Co 0.69 0.00 - United Finance Co 0.05 4.65 2,854,759 Inovest Co Bsc 87.60 1.27 3,615,233 Al-Anwar Ceramic Tiles Co 0.32 -1.22 336,000 Ubar Hotels & Resorts 0.13 0.00 - KUWAIT Integrated Holding Co Kcsc 425.00 0.47 794,698 Al Suwadi Power 0.06 -1.79 224,237 Takaful Oman 0.11 0.00 - Intl Financial Advisors 106.00 0.00 1,331,910 Al Sharqiya Invest Holding 0.09 4.82 2,319,735 Taageer Finance 0.08 -3.85 138,518 Company Name Lt Price % Chg Volume Investors Holding Group Co.K 15.60 0.00 2,330,426 Al Maha Petroleum Products M 0.57 0.00 - Sweets Of Oman 0.55 0.00 - Jazeera Airways Co Ksc 618.00 0.00 261,386 Al Maha Ceramics Co Saoc 0.27 -0.37 94,300 A’ayan Real Estate Co Sak 100.60 0.40 6,459,657 Sohar Power Co 0.05 0.00 - Jiyad Holding Co Ksc 38.50 -2.53 225,500 Al Madina Takaful Co Saoc 0.09 1.14 332,500 Aan Digital Services Co 11.40 0.00 2,003,391 Sohar International Bank 0.09 0.00 510,734 Kfh Capital Reit 1,069.00 0.94 330 Al Madina Investment Co 0.02 0.00 10,480 Aayan Leasing & Investment 151.00 2.72 9,783,730 Smn Power Holding Saog 0.07 0.00 - Kgl Logistics Company Kscc 31.80 4.26 9,345,754 Al Kamil Power Co 0.25 0.00 - Acico Industries Co Kscc 88.80 1.72 152,624 Shell Oman Marketing - Pref 1.05 0.00 - Kipco Asset Management Co 90.00 -2.07 1,759,790 Al Jazerah Services -Pfd 0.55 0.00 - Advanced Technology Co 520.00 0.00 - Shell Oman Marketing 0.80 0.00 1,600 Kuwait & Gulf Link Transport 52.00 2.97 2,848,847 Al Jazeera Steel Products Co 0.29 0.00 954,000 Agility 777.00 -0.26 2,043,382 Sharqiyah Desalination Co Sa 0.12 0.00 - Kuwait & Middle East Fin Inv 144.00 0.00 398,462 Al Jazeera Services 0.31 0.00 3,120 Ahli United Bank (Almutahed) 314.00 0.32 206,303 Sembcorp Salalah Power & Wat 0.08 0.00 43,000 Kuwait Business Town Real Es 74.50 6.73 7,615,033 Al Buraimi Hotel 0.88 0.00 - Ahli United Bank B.S.C 214.00 -0.93 18,237,700 Salalah Port Services 0.60 0.00 - Kuwait Cement Co Ksc 232.00 0.00 156,825 Al Batinah Power 0.06 -3.51 179,600 Ajial Real Estate Entmt 201.00 1.01 200,000 Salalah Mills Co 0.55 0.00 2,343 Kuwait Co For Process Plant 567.00 0.00 20,520 Al Batinah Hotels 1.13 0.00 - Ajwan Gulf Real Estate Co 10.70 0.00 - Salalah Beach Resort Saog 1.38 0.00 - Kuwait Finance & Investment 100.00 -6.54 1,131,773 Al Batinah Dev & Inv 0.05 -10.00 1,054,900 Al Ahli Bank Of Kuwait 201.00 0.50 799,658 Sahara Hospitality 2.78 0.00 - Kuwait Finance House 730.00 0.00 5,913,389 Al Anwar Investments Co Sao 0.09 -1.12 688,451 Al Arabi Group Holding Co 198.00 0.00 - Renaissance Services Saog 0.38 0.00 - Kuwait Financial Centre Sak 92.10 1.21 3,157,794 Al Ahlia Insurance Co Saoc 0.31 0.00 - Al Arabiya Real Estate Co 30.30 1.00 3,176,658 Raysut Cement Co 0.27 0.37 94,313 Kuwait Foundry Co Sak 270.00 -1.82 7,501 Ahli Bank 0.10 1.96 124,106 Al Bareeq Holding 90.00 -3.02 24,700 Phoenix Power Co Saoc 0.05 2.17 125,114 Kuwait Hotels Sak 55.60 0.00 - Acwa Power Barka Saog 0.48 0.00 - Al Madina For Finance And In 16.20 0.00 - Packaging Co Ltd 2.21 0.00 - Kuwait Insurance Co 390.00 2.63 79 Abrasives Manufacturing Co S 0.05 0.00 - Al Maidan Dental Clinic Co K 1,240.00 0.00 - Ooredoo 0.38 0.00 206,000 Kuwait International Bank 211.00 1.44 9,872,388 A’saff a Foods Saog 0.50 0.00 - Al Mal Investment Company 5.90 0.00 - Ominvest 0.31 0.00 63,549 Kuwait Investment Co 162.00 0.00 456,435 0Man Oil Marketing Co-Pref 0.25 0.00 - Al Manar Financing & Leasing 64.00 1.43 20,010 Oman United Insurance Co 0.38 -0.53 50,000 Kuwait National Cinema Co 738.00 0.00 - Al Masaken Intl Real Estate 35.20 -1.12 1,866,539 Oman Telecommunications Co 0.75 0.00 161,850 Kuwait Portland Cement Co 893.00 0.68 117,454 Al Mudon Intl Real Estate Co 20.60 0.00 - Oman Reit Fund 0.10 0.00 25,810 Kuwait Projects Co Holdings 165.00 0.00 301,006 Al Safat Energy Holding Comp 34.80 1.16 1,496,116 Oman Refreshment Co 1.32 0.00 - Kuwait Real Estate Co Ksc 137.00 0.00 1,668,428 LATEST MARKET CLOSING FIGURES

A $1tn liquidity surge is morphing into a leverage boom

Bloomberg New York

It was supposed to be a temporary buff er — more than $1tn of debt taken on by US companies last year to ride out the economic devastation caused by Covid-19. But with the economy rebounding and interest rates still near all-time lows, it’s becoming increasingly tempting for corporations including Home Depot Inc and Verizon Communications Inc to spend those cash cushions on acquisitions and dividend hikes. In many cases, they’re now borrowing more. The risk is that unfettered access to cheap debt — even for less creditworthy companies — will ease the pressure on executives to pay down their liabilities. That could extend a decade-long trend of swelling cor- porate debt levels, increasing the chances of a greater reckoning once interest rates rise or the next time capital markets seize up. “Today’s liquidity becoming tomorrow’s leverage is going to be the story of 2021 for at least some compa- nies,” said David Brown, co-head of global investment The volume of acquisitions has also been growing. Verizon said in April 2020 that it was issuing notes to three steps above junk, pays about 0.47 percentage measure. The ratio of corporations’ earnings to their grade fixed income at Neuberger Berman, which has Generally, companies with higher credit ratings, in par- boost its cash levels, describing the move on a call points more yield than companies in the A tier, or four interest costs has been climbing for the last few $405bn in assets. ticular those at least four steps above junk, are likely with investors as a step to help it “manage through the to six steps above speculative grade, according to quarters, signalling they have more income available Rising cash: Total debt loads for US companies out- to feel comfortable maintaining higher debt levels, the impacts of the Covid pandemic.” Bloomberg Barclays index data. to pay their debt. side the financial industry rose 10% in 2020 to $11.1tn, strategists said. Then last month it sold more than $30bn of bonds That’s close to the lowest diff erence in a decade, For investment-grade firms in aggregate, that ratio is according to the Federal Reserve, in part because Those with lower grades are more likely to pay down in multiple currencies, swelling its total debt to a and according to Barclays strategists, reflects the now better than it was pre-Covid-19, while the metric lower interest rates have made it less burdensome for obligations. record high in the process, to help finance pur- fact that insurance companies have been buying for junk-rated companies has almost returned to many companies to shoulder more debt. Home Depot sold $5bn of bonds in March 2020, chases of 5G spectrum. more BBB debt. That shrinking penalty may be levels before the pandemic, according to Bloomberg So far, corporations have largely been hoarding the saying soon after that it wanted to make sure it had The company views the rise in leverage as a tem- why more than half of investment-grade corporate Intelligence. money rather than spending it. enough cash to tide it over during the pandemic. porary move to fund a strategic asset that positions bonds by market value are in the BBB tier, versus High cash levels at companies make indebtedness Non-financial companies in the S&P 500 index that Then in January it borrowed $3bn more for its acquisi- the company for growth, according to an e-mailed just 27% in the early 1990s. look lower now by some measures. reported results before March 31 had about $2.13tn of tion of HD Supply Holdings Inc, its former subsidiary statement from Treasurer Scott Krohn in response to Typically, most investment-grade companies can Net leverage, which subtracts cash from debt and cash and marketable securities on their books in the serving professional contractors. an inquiry from Bloomberg. choose to pay down debt and merit higher ratings if compares that net debt level to a measure of earn- most recent quarter, up more than 25% from a year In February, the retailer said it was increasing its quar- “For many industries, this liquidity was supposed to they wish. ings, is near pre-Covid-19 levels for both blue chip earlier, according to data compiled by Bloomberg. terly dividend by 10%. Meanwhile, total debt jumped be temporary,” said Terence Wheat, senior portfolio “Companies have chosen to lever up,” said Richard companies and riskier speculative grade corporations But that’s likely to change, according to strategists at by about $5.8bn over the company’s fiscal year. manager of investment-grade corporate bonds at Hunter, global head of corporate ratings at Fitch on average. Barclays Plc. Higher earnings: Investors don’t always get hurt PGIM Fixed Income, who declined to comment on any Ratings. “The wild card is going to be companies’ Total leverage, which doesn’t subtract out cash, With the US giving Covid-19 jabs to more than 3mn when a company boosts its borrowings. specific corporation.“Now some companies may use it choices now.” remains significantly higher that it was pre-pandemic, people a day now, and the economy showing signs of In the case of Home Depot, its earnings have risen for acquisitions rather than paying down debt.” Acquisition time? For some North American compa- according to a Bloomberg Intelligence analysis of a resurgence as more consumers feel safe to go out alongside its liabilities, as the pandemic has spurred Lower penalties: Corporations are borrowing more nies, buying competitors looks like a good use of cash, the investment-grade and high-yield corporate bond and spend, companies are likely to be more aggres- house-bound people to fix up their properties. now for the same reason they’ve been boosting debt as it can allow them to boost future earnings. Bloomberg Barclays indexes. sive in deploying cash. The retailer prepaid $1.35bn of bonds in March, and levels for years: because they can. Canada’s Rogers Communications Inc said last month If companies keep spending their money instead That’s likely to show up in the form of dividends, share credit-rating firms aren’t looking at downgrading the The average yield on an investment-grade corporate that it plans to acquire Shaw Communications Inc for of paying down debt, net leverage will rise, buybacks, acquisitions, capital expenditure, and debt company, which is ranked five steps above junk by bond was just 2.2% as of Monday, far below the mean $16bn. said Noel Hebert, director of credit research at repayments, Barclays strategists led by Shobhit Gupta Moody’s Investors Service and S&P Global Ratings. of the last decade of around 3.17%, according to Its debt levels are expected to rise to more than five Bloomberg Intelligence. wrote in a report on Friday. But analysts have said the boom in home improve- Bloomberg Barclays index data. times a measure of earnings, a leverage ratio com- “Ratings agencies have become comfortable with Their analysis of comments on company confer- ment may fade in the coming year as people finish And companies are finding that adding on more debt monly associated with junk credit ratings. higher and higher leverage, thus companies are more ence calls shows that more management teams their projects and spend more time outside the home doesn’t necessarily hurt them much. But the company said it plans to delever to a ratio of and more happy to take advantage of it,” Hebert said. have been talking about making one-time divi- as the pandemic eases. The penalty for a ratings downgrade is generally 3.5 times over the next three years. “There’s an incentive to hold leverage at elevated dend payments in recent months, and have been Most money managers viewed companies’ extra debt minimal. Rising profits for companies have helped make levels because there’s no real mechanism that’s discussing buying back shares. as being short-term. A corporation in the BBB tier, or between one and their debt levels look less worrisome by at least one punishing you.” Gulf Times 4 Thursday, April 22, 2021 BUSINESS

DJIA WORLD INDICES Company Name Lt Price % Chg Volume Indices Lt Price Change Dow Jones Indus. Avg 34,013.27 +191.97 Apple Inc 133.15 0.03 5,307,773 S&P 500 Index 4,158.13 +23.19 Amgen Inc 258.55 -0.23 188,009 Nasdaq Composite Index 13,891.38 +105.11 American Express Co 146.71 1.11 167,182 S&P/Tsx Composite Index 19,069.80 +29.02 Boeing Co/The 234.51 0.19 994,983 Mexico Bolsa Index 48,656.06 +127.09 Caterpillar Inc 230.70 1.35 160,180 Brazil Bovespa Stock Idx 120,062.00 -871.80 Salesforce.Com Inc 229.50 0.68 324,094 Ftse 100 Index 6,895.29 +35.42 Cisco Systems Inc 51.92 0.25 1,139,038 Cac 40 Index 6,210.55 +45.44 Chevron Corp 102.37 1.03 619,940 Dax Index 15,195.97 +66.46 Walt Disney Co/The 182.45 -0.19 811,625 Ibex 35 Tr 8,519.80 +60.40 Dow Inc 64.21 2.77 292,668 Nikkei 225 28,508.55 -591.83 Goldman Sachs Group Inc 332.26 0.11 196,469 Japan Topix 1,888.18 -38.07 Home Depot Inc 327.12 0.98 193,718 Hang Seng Index 28,621.92 -513.81 Honeywell International Inc 229.30 0.87 95,243 All Ordinaries Indx 7,258.89 -23.24 Intl Business Machines Corp 141.66 2.53 840,119 Nzx All Index 2,052.71 -21.75 Intel Corp 63.12 0.67 1,571,924 Bse Sensex 30 Index 47,705.80 -243.62 Johnson & Johnson 166.16 -0.19 522,884 Nse S&P Cnx Nifty Index 14,296.40 -63.05 Jpmorgan Chase & Co 149.49 0.15 962,473 Straits Times Index 3,155.06 -37.11 Coca-Cola Co/The 54.65 0.88 944,752 Karachi All Share Index 30,720.21 -143.16 Mcdonald’s Corp 232.57 -0.19 194,867 Jakarta Composite Index 5,993.24 -45.08 3M Co 199.35 0.53 96,167 Merck & Co. Inc. 79.16 0.74 639,364 Microsoft Corp 259.75 0.58 2,381,356 Nike Inc -Cl B 129.76 2.08 660,644 TOKYO Procter & Gamble Co/The 136.94 -0.59 920,685 Travelers Cos Inc/The 156.59 0.55 65,170 Company Name Lt Price % Chg Volume Unitedhealth Group Inc 396.86 0.08 242,815 Japan Post Holdings Co Ltd 896.10 -3.35 11,363,000 Visa Inc-Class A Shares 227.31 1.80 580,575 Canon Inc 2,486.00 -2.70 4,055,500 Verizon Communications Inc 58.38 -0.02 1,465,509 Sumitomo Corp 1,489.50 -1.91 3,465,200 Walgreens Boots Alliance Inc 53.64 0.56 316,834 Mitsubishi Estate Co Ltd 1,798.50 -1.96 3,886,800 Walmart Inc 141.57 0.55 422,000 Shiseido Co Ltd 7,515.00 -3.08 1,723,600 Mitsubishi Heavy Industries 3,164.00 -3.27 1,666,400 Sysmex Corp 11,290.00 -0.04 335,900 FTSE 100 Shionogi & Co Ltd 5,545.00 -1.79 970,400 Terumo Corp 3,973.00 -2.69 2,756,400 Traders work at the Frankfurt Stock Exchange. The DAX 30 closed up 0.4% to 15,195.97 points yesterday. Company Name Lt Price % Chg Volume Tokyo Gas Co Ltd 2,254.50 -0.49 1,196,800 Tokyo Electron Ltd 47,430.00 -3.01 1,085,200 Anglo American Plc 3,068.50 0.05 2,476,752 Panasonic Corp 1,328.50 -2.75 7,406,500 Associated British Foods Plc 2,308.00 -0.26 844,280 Nintendo Co Ltd 62,620.00 -0.71 594,500 Admiral Group Plc 3,204.00 1.97 626,988 Eisai Co Ltd 7,216.00 -1.76 854,000 Ashtead Group Plc 4,650.00 1.57 773,888 Unicharm Corp 4,307.00 -2.11 917,700 Antofagasta Plc 1,841.00 0.00 1,220,432 Shin-Etsu Chemical Co Ltd 18,700.00 -1.76 1,306,400 Auto Trader Group Plc 561.20 -1.85 2,136,174 European stock markets Smc Corp 63,610.00 -3.47 168,700 Aviva Plc 399.80 0.78 8,817,616 Mitsubishi Corp 2,992.00 -0.66 4,040,200 Avast Plc 470.80 -1.42 2,180,325 Asahi Group Holdings Ltd 4,454.00 -2.09 1,466,000 Aveva Group Plc 3,835.00 1.78 173,472 Keyence Corp 49,920.00 -1.32 426,000 Astrazeneca Plc 7,620.00 1.68 2,385,889 Nidec Corp 13,370.00 -1.91 1,547,900 Bae Systems Plc 526.40 1.62 8,770,295 Japan Exchange Group Inc 2,662.50 -0.13 1,378,200 rebound on strong Barclays Plc 180.74 -0.58 62,723,006 Nomura Holdings Inc 564.60 -2.06 16,129,700 British American Tobacco Plc 2,736.50 1.63 4,381,561 Daiichi Sankyo Co Ltd 2,954.50 1.13 4,293,600 Barratt Developments Plc 770.00 0.55 1,449,137 Subaru Corp 2,056.00 -1.60 3,290,900 Bhp Group Plc 2,178.50 0.53 2,600,895 Sumitomo Realty & Developmen 3,534.00 -2.27 922,800 Berkeley Group Holdings/The 4,560.00 -0.20 176,650 Orix Corp 1,745.00 -2.02 4,610,500 British Land Co Plc 502.00 -1.57 1,329,644 Sumitomo Metal Mining Co Ltd 4,537.00 -4.88 2,072,200 corporate earnings B&M European Value Retail Sa 551.60 -2.99 2,332,315 Daiwa Securities Group Inc 562.80 -2.51 3,884,500 Bunzl Plc 2,424.00 -3.19 1,035,935 Softbank Group Corp 9,922.00 1.03 15,285,000 Bp Plc 295.70 1.35 35,952,026 a stock market correction are starting suits by the persistence of low inter- Mizuho Financial Group Inc 1,505.50 -1.83 8,823,200 Reuters, AFP Burberry Group Plc 2,054.00 2.44 784,044 to become more dominant than the est rates and tons of impatient cash Sony Group Corp 11,575.00 -2.44 4,459,400 London Bt Group Plc 153.25 0.10 14,954,040 Hoya Corp 13,040.00 -2.47 938,700 pandemic, a top offi cial at Norway’s looking for higher-yielding returns,” Coca-Cola Hbc Ag-Di 2,498.00 1.17 342,536 Z Holdings Corp 540.50 -3.81 21,400,000 $1.3tn wealth fund said. he added. Compass Group Plc 1,562.00 0.71 1,995,567 Sumitomo Mitsui Trust Holdin 3,650.00 -1.51 1,407,100 uropean stocks bounced back German fashion house Hugo Boss Asian markets posted big falls on Croda International Plc 6,778.00 0.86 190,009 Japan Tobacco Inc 2,065.00 -0.58 5,816,000 Crh Plc 3,423.00 0.94 469,465 on Wednesday after their worst jumped 6.7% to a one-year high, fears over a renewed coronavirus Sumitomo Electric Industries 1,615.50 -3.41 2,230,100 Dcc Plc 6,350.00 -0.41 89,583 sell-off this year as optimism with traders citing a media report surge. Ajinomoto Co Inc 2,178.00 0.35 1,739,400 E Diageo Plc 3,228.00 0.92 2,211,130 about a strong earnings season coun- of takeover interest in the company, Countries around the world are Mitsui Fudosan Co Ltd 2,308.50 -3.37 3,433,500 Evraz Plc 618.20 1.68 1,812,036 including from French luxury goods urgently working to accelerate vac- Ono Pharmaceutical Co Ltd 2,855.00 -0.87 1,008,600 tered worries about a rapid rise in Experian Plc 2,689.00 0.07 855,803 Daikin Industries Ltd 21,630.00 -1.73 750,300 Covid-19 cases in some countries. maker LVMH. cination campaigns and revive their Ferguson Plc 9,212.00 0.04 323,050 Astellas Pharma Inc 1,633.50 -1.21 4,494,000 The pan-European STOXX 600 in- The world’s second-largest brewer pandemic-ravaged economies, with Flutter Entertainment Plc-Di 14,695.00 0.14 132,153 Bridgestone Corp 4,330.00 -1.72 1,932,700 Heineken NV and French luxury goods new variants of the pathogen driving Fresnillo Plc 929.20 0.67 1,221,611 dex rose 0.7% after a blistering seven- Toray Industries Inc 670.90 -2.71 5,311,300 Glencore Plc 292.90 0.74 26,312,370 week rally ran into a bout of profi t- group Kering were among other stocks unprecedented infection numbers in Eneos Holdings Inc 467.50 -1.99 18,218,600 Glaxosmithkline Plc 1,348.00 1.72 7,275,633 taking on Tuesday, when it fell 1.9%. to rally after upbeat results. some of the worst-hit nations. Nippon Steel Corp 1,812.50 -5.40 8,800,400 #N/A Invalid Security 0.00 0.00 - Healthcare stocks gave the STOXX Among decliners, Italian football Tokyo led the sell-off with the Nikkei Suzuki Motor Corp 4,375.00 -4.18 2,182,000 Hikma Pharmaceuticals Plc 2,445.00 2.82 387,593 Nippon Telegraph & Telephone 2,777.50 -0.91 5,127,600 600 its biggest boost, with Swiss club Juventus slumped 13.7% after down 2% by the close after the port city Hargreaves Lansdown Plc 1,670.00 0.09 558,018 Daiwa House Industry Co Ltd 3,197.00 -1.93 1,551,900 drugmaker Roche jumping 3% after breakaway European Super League of Osaka — where hospital beds for se- Halma Plc 2,576.00 0.55 372,010 Sompo Holdings Inc 4,000.00 -1.86 1,173,300 predicting a surge in demand for its founder and Juventus chairman An- riously ill coronavirus patients have Hsbc Holdings Plc 415.85 -0.34 15,097,933 Komatsu Ltd 3,149.00 -2.96 3,073,000 Homeserve Plc 1,130.00 -1.22 1,178,494 drugs for the remainder of 2021. drea Agnelli said the league can no run out — asked the central govern- West Japan Railway Co 5,581.00 -0.20 1,044,500 Intl Consolidated Airline-Di 193.94 0.44 32,994,432 Semiconductor equipment maker longer go ahead after six English clubs ment to impose a state of emergency. Murata Manufacturing Co Ltd 8,730.00 -2.40 2,384,500 Intermediate Capital Group 2,001.00 1.63 592,285 ASML jumped 4.1% to lift tech stocks withdrew. Infections there are rising just three Kansai Electric Power Co Inc 1,070.00 0.09 2,971,900 Intercontinental Hotels Grou 5,022.00 1.41 384,177 after it raised its full-year sales fore- Meanwhile the collapse of the Super months before the country hosts the Denso Corp 6,878.00 -3.53 1,615,800 3I Group Plc 1,223.00 0.70 964,677 Dai-Ichi Life Holdings Inc 1,917.50 -3.23 4,795,500 cast, citing strong demand amid a glo- League football project comprising a virus-delayed Olympics, and Tokyo Imperial Brands Plc 1,498.00 2.22 1,832,650 Mitsui & Co Ltd 2,263.00 -0.59 3,918,800 bal computer chip shortage. dozen of the world’s richest clubs hit and several other areas are expected to Informa Plc 564.20 -0.67 2,622,773 Kao Corp 7,064.00 -0.72 1,589,000 Smaller rival ASM International shares in Italy’s Juventus. follow in Osaka’s footsteps. Intertek Group Plc 6,046.00 0.33 196,587 Otsuka Holdings Co Ltd 4,244.00 -0.77 1,035,200 Jd Sports Fashion Plc 896.40 1.72 1,095,582 rose 1.2% on forecasting a rise in sec- London stocks rose 0.5% one day after Mumbai fell another 0.5% on Sekisui House Ltd 2,266.00 -1.84 2,137,000 Just Eat Takeaway 7,716.00 -2.70 233,738 ond-quarter orders. slumping 2.0% in a Europe-wide selloff Wednesday as India battles a worry- Oriental Land Co Ltd 15,050.00 -2.46 732,900 Johnson Matthey Plc 3,187.00 0.16 307,598 European company earnings are ex- on intensifying pandemic concerns. ing virus surge and record daily case Tokio Marine Holdings Inc 5,271.00 -1.20 2,091,400 Kingfisher Plc 359.00 -0.31 7,222,552 Paris jumped 0.7% and Frankfurt numbers overwhelm already stretched Secom Co Ltd 8,927.00 -0.88 719,900 pected to rise a record 61% in the fi rst Land Securities Group Plc 703.60 -1.59 1,477,191 Aeon Co Ltd 2,997.00 -3.04 3,178,600 quarter of 2021, based on Refi nitiv added 0.4%. hospitals. Legal & General Group Plc 271.10 0.63 11,865,978 Itochu Corp 3,406.00 -0.82 3,666,300 IBES data, placing Europe on course “European markets are in recovery The capital New Delhi was locked Lloyds Banking Group Plc 41.62 -1.02 155,956,501 East Japan Railway Co 7,186.00 -1.75 1,086,500 for a rare outperformance versus cor- mode today, with stocks turning up- down Monday for a week, and the gov- #N/A Invalid Security 0.00 0.00 - Fujifilm Holdings Corp 6,850.00 -0.94 1,446,100 Mondi Plc 1,967.50 1.05 690,495 porate America. ward to regain lost ground after sharp ernment said all adults would be eligi- Chubu Electric Power Co Inc 1,297.50 -0.88 1,722,300 M&G Plc 210.90 -0.42 5,685,809 “(But, markets) remains all-too- declines yesterday,” said analyst Josh- ble for a vaccine from May as it tries to Marubeni Corp 881.80 -2.09 5,463,200 Melrose Industries Plc 160.05 -1.33 7,988,372 aware that earnings season provides ua Mahony at trading fi rm IG. get a grip on the crisis. Mitsubishi Ufj Financial Gro 571.30 -2.34 68,817,700 Wm Morrison Supermarkets 180.00 -0.72 6,421,692 Mitsubishi Chemical Holdings 818.60 -2.55 5,117,300 the potential for some more downside “Markets are caught between op- “Crude oil prices have remained National Grid Plc 904.10 -0.79 3,993,947 Fanuc Corp 25,830.00 -3.40 753,600 as companies fi nd themselves strug- timism over vaccination progress at under pressure as surging coronavirus Natwest Group Plc 192.80 -0.10 11,729,258 Resona Holdings Inc 440.20 -2.70 13,844,000 gling to spin a positive case to jus- home, and the fact that global eff orts cases in India dent expectations about Next Plc 7,910.00 1.49 368,225 Asahi Kasei Corp 1,188.50 -2.58 3,556,100 Ocado Group Plc 2,171.00 -0.32 595,583 tify further appreciation in their stock to combat the pandemic remain reliant future demand” in the world’s third- Kirin Holdings Co Ltd 2,015.00 -1.87 3,203,000 Phoenix Group Holdings Plc 731.00 -0.33 922,762 prices,” said Chris Beauchamp, chief upon economic restrictions until vac- largest oil market, said analyst Michael Fujitsu Ltd 15,615.00 -4.03 744,600 Pennon Group Plc 1,024.50 -1.91 705,345 market analyst at IG. cines are widespread.” Hewson at CMC Markets UK. M3 Inc 7,950.00 -2.88 2,501,200 Polymetal International Plc 1,579.00 0.06 1,541,391 With global equities trading at all- On Wall Street, stock indices opened The latest data on US oil inventories Central Japan Railway Co 15,195.00 -1.40 606,000 Prudential Plc 1,492.50 -0.40 3,767,662 Nitori Holdings Co Ltd 19,970.00 -0.72 334,600 time highs and earnings expectations lower, but then moved higher, with the also dampened sentiment, showing an Persimmon Plc 3,130.00 -0.29 440,415 Recruit Holdings Co Ltd 4,895.00 -2.26 3,147,900 surging as vaccination drives and Dow up 0.5% in late morning trading. increase in stockpiles, confounding Pearson Plc 790.00 0.13 837,532 stimulus programmes support global Analyst Patrick O’Hare at Briefi ng. expectations of a drop, Hewson added. Reckitt Benckiser Group Plc 0.00 0.00 - Royal Dutch Shell Plc-A Shs 1,366.20 1.19 3,161,422 recovery, concerns about stretched com said it was normal for the stock EURO STOXX 50 closed up 0.9% to Royal Dutch Shell Plc-B Shs 1,306.60 1.21 3,536,006 valuations remain. markets to pull back as they did on 3,977.62 points; London — FTSE 100 Relx Plc 1,919.50 0.10 1,804,155 SENSEX On Wednesday, the European Union Monday and Tuesday following the ended up 0.5% to 6,895.29 points; Rio Tinto Plc 5,974.00 0.32 1,467,869 crossed one its last major hurdles to gains racked up in recent weeks. Frankfurt — DAX 30 closed up 0.4% Rightmove Plc 599.80 -0.46 1,656,912 Company Name Lt Price % Chg Volume launch a 750bn euro ($900bn) recov- “What it also typically does in the to 15,195.97 points and Paris — CAC Rolls-Royce Holdings Plc 99.87 0.59 52,763,001 Adani Ports And Special Econ 720.45 -0.07 21,315,167 ery fund. wake of selling after big runs is buy on 40 ended up 0.7% to 6,210.55 points Rsa Insurance Group Plc 682.40 0.00 1,467,700 Asian Paints Ltd 2,553.65 -0.71 1,489,287 But, other risks such as infl ation and the weakness, fortifi ed in such pur- yesterday. Rentokil Initial Plc 512.00 -0.85 2,957,662 Axis Bank Ltd 651.75 0.56 12,296,248 Sainsbury (J) Plc 249.60 0.44 4,508,469 Bajaj Finance Ltd 4,613.65 2.99 3,394,597 Schroders Plc 3,529.00 -1.07 215,734 Bharti Airtel Ltd 530.20 0.71 7,233,304 Sage Group Plc/The 643.00 0.31 2,617,108 Bajaj Auto Ltd 3,600.90 2.43 676,558 HONG KONG HONG KONG Segro Plc 993.80 -1.07 1,872,442 Bajaj Finserv Ltd 9,819.40 3.69 798,732 Smurfit Kappa Group Plc 3,521.00 0.00 325,647 Bharat Petroleum Corp Ltd 408.10 -0.16 3,513,444 Company Name Lt Price % Chg Volume Company Name Lt Price % Chg Volume Standard Life Aberdeen Plc 274.80 -0.47 2,889,911 Britannia Industries Ltd 3,729.90 -0.34 331,477 Ds Smith Plc 413.90 -0.36 2,320,273 Ck Hutchison Holdings Ltd -2.08 Cipla Ltd 949.30 0.32 10,205,616 63.55 7,116,551 Hong Kong & China Gas 12.52 0.48 12,737,595 Smiths Group Plc 1,620.50 0.97 429,855 Hang Lung Properties Ltd 0.47 Coal India Ltd 124.50 -0.08 7,738,871 21.45 3,026,094 Bank Of Communications Co-H 5.04 -0.98 28,650,319 Scottish Mortgage Inv Tr Plc 1,207.00 1.43 1,850,666 Ck Infrastructure Holdings L -0.31 Divi’s Laboratories Ltd 3,779.70 -0.72 594,570 47.75 861,555 China Petroleum & Chemical-H 4.00 -5.88 234,879,548 Smith & Nephew Plc 1,466.00 3.68 2,417,593 Hengan Intl Group Co Ltd -0.19 Dr. Reddy’s Laboratories 5,156.75 3.80 3,484,976 51.50 2,352,071 Hong Kong Exchanges & Clear 479.60 -1.48 3,977,736 Spirax-Sarco Engineering Plc 12,195.00 0.33 75,415 Cspc Pharmaceutical Group Lt -0.94 Eicher Motors Ltd 2,340.00 -1.28 1,040,931 9.51 31,315,919 Bank Of China Ltd-H 3.11 -0.96 300,110,785 Sse Plc 1,458.50 -1.52 1,412,013 Hang Seng Bank Ltd -1.37 Gail India Ltd 134.40 -1.47 18,926,713 150.70 1,102,782 Hsbc Holdings Plc 45.20 -1.95 20,373,435 Standard Chartered Plc 474.50 -0.11 2,819,260 China Resources Land Ltd -0.13 Grasim Industries Ltd 1,291.90 -2.48 3,688,197 37.10 5,193,676 Power Assets Holdings Ltd 47.45 0.21 2,372,759 St James’s Place Plc 1,301.50 -0.31 654,414 Ck Asset Holdings Ltd -0.51 Hcl Technologies Ltd 961.30 -3.35 9,742,418 48.50 4,365,916 Mtr Corp 43.85 -0.34 2,461,204 Severn Trent Plc 2,432.00 -1.18 487,897 Sino Biopharmaceutical 0.12 Housing Development Finance 2,415.90 -3.07 7,365,765 8.20 33,392,146 Techtronic Industries Co Ltd 139.10 -0.57 3,636,953 Tesco Plc 227.20 0.09 13,936,280 Henderson Land Development -0.85 Hdfc Bank Limited 1,391.40 -1.49 11,593,135 35.00 1,674,770 China Overseas Land & Invest 19.86 -0.70 12,737,742 Taylor Wimpey Plc 183.35 -0.68 9,787,527 Aia Group Ltd -2.19 Hdfc Life Insurance Co Ltd 685.20 2.89 5,373,233 95.90 17,198,267 Tencent Holdings Ltd 609.00 -2.17 20,660,889 Unilever Plc 4,139.50 0.28 2,444,270 Ind & Comm Bk Of China-H -1.82 Hero Motocorp Ltd 2,823.70 1.37 740,095 5.40 181,691,778 China Unicom Hong Kong Ltd 4.54 0.22 46,182,743 United Utilities Group Plc 957.40 -1.68 1,127,944 Sun Hung Kai Properties -0.58 Hindalco Industries Ltd 359.35 -0.57 15,526,407 119.10 2,729,868 Link Reit 74.10 -0.67 2,995,415 132.84 1.03 33,180,569 New World Development -1.64 Vodafone Group Plc Hindustan Unilever Ltd 2,397.45 -1.61 1,589,508 42.05 1,914,353 Petrochina Co Ltd-H 2.74 -2.49 195,206,197 Wpp Plc 947.00 0.55 2,844,103 Geely Automobile Holdings Lt 22.50 -2.60 58,400,188 Icici Bank Ltd 559.10 -0.12 24,425,842 Cnooc Ltd 8.23 -1.56 80,680,051 Whitbread Plc 3,375.00 0.75 693,989 Xiaomi Corp-Class B 26.45 -1.31 126,241,587 Indusind Bank Ltd 845.00 1.56 8,240,669 China Construction Bank-H 6.50 -0.76 280,194,799 - Swire Pacific Ltd - Cl A 61.30 -0.57 2,098,338 Infosys Ltd 1,351.35 -0.82 8,560,766 China Mobile Ltd 52.45 0.19 34,599,999 Sands China Ltd 37.10 -1.72 12,190,269 Indian Oil Corp Ltd 87.80 -0.34 10,866,044 Alibaba Group Holding Ltd 221.80 -2.80 21,338,590 Wharf Real Estate Investment 45.00 -0.44 1,587,891 Itc Ltd 203.55 -1.00 21,364,882 Clp Holdings Ltd 76.95 0.20 2,251,712 TOKYO Jsw Steel Ltd 620.60 0.78 13,626,064 Country Garden Holdings Co 9.62 -1.64 12,617,466 Kotak Mahindra Bank Ltd 1,697.70 -0.18 3,317,008 Aac Technologies Holdings In 45.40 -1.30 7,307,231 Company Name Lt Price % Chg Volume Larsen & Toubro Ltd 1,331.50 1.61 2,989,204 Wuxi Biologics Cayman Inc 107.60 -0.92 10,461,308 Mahindra & Mahindra Ltd 811.15 2.04 4,830,957 GCC INDICES Fast Retailing Co Ltd 85,680.00 -1.97 689,400 Shenzhou International Group 169.20 -3.26 3,438,891 Maruti Suzuki India Ltd 6,646.65 2.07 914,142 Indices Lt Price Change Ms&Ad Insurance Group Holdin 3,129.00 -0.92 1,127,600 Ping An Insurance Group Co-H 88.70 -1.88 41,244,204 Nestle India Ltd 17,095.65 0.03 103,687 Kubota Corp 2,464.00 -3.43 2,978,900 China Mengniu Dairy Co 43.25 -1.14 11,224,181 Ntpc Ltd 99.05 0.00 16,528,675 Doha Securities Market 10,839.93 -74.19 Seven & I Holdings Co Ltd 4,455.00 -2.22 2,189,000 Sunny Optical Tech 190.00 -2.46 5,145,770 Oil & Natural Gas Corp Ltd 102.85 -0.19 23,082,015 Takeda Pharmaceutical Co Ltd 3,606.00 -1.85 7,554,300 Boc Hong Kong Holdings Ltd 27.20 -1.81 7,967,453 Power Grid Corp Of India Ltd 203.70 1.24 8,138,061 Kuwait Stocks Exchange 4,898.36 +16.18 Chugai Pharmaceutical Co Ltd 4,230.00 -0.59 2,018,300 China Life Insurance Co-H 15.58 -1.02 41,149,603 Reliance Industries Ltd 1,901.15 -0.03 7,939,490 Ana Holdings Inc 2,306.00 -0.41 4,652,200 Citic Ltd 7.84 -2.61 25,088,335 Sbi Life Insurance Co Ltd 898.95 -0.81 3,593,124 Oman Stock Market 3,697.35 +0.72 Mitsubishi Electric Corp 1,598.00 -3.79 4,441,000 Galaxy Entertainment Group L 67.90 -2.37 24,614,113 State Bank Of India 329.50 -0.50 41,296,147 Sumitomo Mitsui Financial Gr 3,742.00 -2.22 7,086,100 Wh Group Ltd 6.69 -0.45 27,337,965 Olympus Corp 2,163.50 -4.31 3,826,600 Shree Cement Ltd 29,320.70 -2.45 72,618 Shimano Inc 26,575.00 -1.06 203,300 Sun Pharmaceutical Indus 645.15 0.70 13,831,258 Honda Motor Co Ltd 3,189.00 -2.60 3,640,500 Tata Steel Ltd 894.00 0.67 16,915,293 Bandai Namco Holdings Inc 7,889.00 -3.08 963,000 Tata Consultancy Svcs Ltd 3,144.55 -0.55 3,141,893 Hitachi Ltd 4,973.00 -1.64 2,987,200 Tech Mahindra Ltd 983.40 -1.67 4,028,636 “Information contained herein is believed to be reliable and had been obtained from sources believed to be reliable. The Toyota Motor Corp 8,212.00 -2.45 7,985,200 Titan Co Ltd 1,522.90 0.28 1,789,104 accuracy and completeness cannot be guaranteed. This publication is for providing information only and is not intended Kddi Corp 3,356.00 -0.33 4,835,300 Tata Motors Ltd 298.05 -1.11 56,740,291 as an off er or solicitation for a purchase or sale of any of the financial instruments mentioned. Gulf Times and Doha Bank Kyocera Corp 6,874.00 -2.57 1,222,900 Upl Ltd 591.75 -0.95 3,403,144 or any of their employees shall not be held accountable and will not accept any losses or liabilities for actions based on Nissan Motor Co Ltd 546.90 -1.85 19,227,200 Ultratech Cement Ltd 6,200.85 -4.75 1,272,134 this data.” Softbank Corp 1,427.00 -0.66 7,909,600 Wipro Ltd 470.10 -0.56 17,730,691 Gulf Times 6 Thursday, April 22, 2021 BUSINESS

Bank Indonesia China considers plan to cuts its outlook for economic growth

Bloomberg “There was little from the decision Jakarta to impact on the rupiah, which support Huarong Asset Bank Indonesia continues to see as undervalued but subject to Indonesia’s central bank left market uncertainties,” said Khoon its benchmark interest rate Goh, head of Asia research at unchanged, and cut its outlook for Australia & New Zealand Banking economic growth, as expanded Group Ltd. “The recent pullback mobility curbs limit consumption in the dollar has provided some with central bank funds and foreign outflows pressure the respite for the rupiah, which will currency. continue to be driven by external Bloomberg Bank Indonesia kept the seven- factors.” Beijing day reverse repurchase rate at a Mobility Curbs Governor Perry record low of 3.5% on Tuesday, Warjiyo and his board have cut the as expected by all 35 economists benchmark interest rate by 150 hina is considering a plan that surveyed by Bloomberg. basis points since the beginning of would see the central bank assume The central bank also said it 2020 amid Southeast Asia’s worst Cmore than 100bn yuan ($15bn) of now forecasts gross domestic coronavirus outbreak. assets from China Huarong Asset Man- product to expand 4.1%-5.1% this Much of the country remains agement Co, helping the state-owned year, down from 4.3%-5.3% previ- under mobility restrictions company clean up its balance sheet and ously. through May 3. refocus on its core business of managing While the decision to stand pat “Even though vaccines are roll- distressed debt, people familiar with the was widely expected, “it has been ing out, mobility is still limited so matter said. adopted with currency stability consumption is not recovering as Under a proposal that’s still being fi - in mind, in the midst of the still- fast as we projected,” Warjiyo said. nalised and could change, a unit of the unsettled global yield environ- “Bank Indonesia will optimise the People’s Bank of China would assume as- ment,” said Wellian Wiranto, an mix of accommodative monetary sets from some of Huarong’s unprofi table economist at Oversea-Chinese and macroprudential policies and operations, the people said, asking not to Banking Corp in Singapore. “The accelerate the digitisation of the identifi ed as the discussions are private. hold has come despite the fact payment system” to support the Further details on how the arrange- that, arguably, the need to support recovery. ment would work couldn’t immediately growth has gone up.” Off icials expect Southeast Asia’s be learned. As recoveries take hold in largest economy to grow as much Separately, China Huarong Inter- advanced economies, investors as 7% this quarter, but so far the national Holdings Ltd, the off shore have fled emerging markets like recovery has been tentative. unit that issues or guarantees most of Indonesia, sapping demand for Export and import growth is at Huarong’s dollar bonds, is in the process its assets. multi-year highs and manufactur- of transferring distressed assets worth The rupiah is one of Asia’s worst ing is expanding, but indicators of tens of billions of yuan into a separate performing currencies so far this demand such as retail sales and off shore entity called China Huarong year, down 3.2% against the US core inflation remain sluggish. Overseas Investment Holding Co, one of dollar despite repeated central “The weakness of the recent the people said. A pedestrian walks past the China Huarong Asset Management Co off ice in Hong Kong. China is considering a plan that would see bank interventions. data, including for industrial The move is aimed at improving the the central bank assume more than $15bn of assets from China Huarong, helping the state-owned company clean up its balance As of mid-April, global funds production and retail sales, sug- fi nancial health of China Huarong Inter- sheet and refocus on its core business of managing distressed debt. had sold net $1.2bn in Indonesian gest the recovery is proving slow national, the group’s main link to over- government securities this year. going,” Gareth Leather, senior Asia seas funding, the person said. government is examining options to pro- have been most acute among off shore of the nation’s sovereign wealth fund that Currency volatility has compli- economist for Capital Economics Bloomberg has previously reported vide bail-out solutions to Huarong,” said bondholders, in part because most of has more experience resolving debt risks, cated Bank Indonesia’s eff orts to Ltd, said in a research note. “On that Huarong proposed an overhaul plan Dan Wang, an analyst at Bloomberg In- Huarong’s dollar debt contains a form of a person familiar with the matter said in support an economy still seeking the virus front, although new daily to Chinese regulators that would involve telligence in Hong Kong. credit protection called a keepwell agree- mid-April. its footing after last year, which cases have dropped back recently, offl oading its money-losing, non-core “The potential involvement of the ment that has yet to be fully tested in Regulators have held several meetings was its worst showing in more social distancing is likely to remain businesses. PBoC, which is experienced in handling court. to discuss Huarong’s fate, people familiar than two decades. a drag on growth for some time If the PBoC proposal comes to frui- distressed fi nancial institutions, also It’s unclear whether Huarong would have said. Inflation remains below target to come.” tion, it would mark a signifi cant show of gives the market more hope that the be compelled to make good on more than The PBoC plan is the latest develop- and the economy is expected With consumption making government support for a company that Huarong saga will be dealt with in an or- $20bn in dollar bonds if its off shore units ment in a saga that has enthralled China to contract further in the first up more than half of Indone- has faced intense investor scrutiny after derly way that is less likely to incur losses — especially China Huarong Interna- watchers since 2018, when Huarong’s quarter, but the rise in US yields sia’s economy, the government missing a deadline to report earnings at for off shore bondholders.” tional — were unable to repay. then-chairman Lai Xiaomin was ac- leaves Indonesian monetary is seeking ways to help, such the end of March. The company’s 4.5% perpetual bond Huarong and China’s three other main cused of bribery in one of the country’s authorities with limited room to as covering shipping costs Speculation about a looming debt re- gained 6.4 cents on the dollar to 79.8 bad-debt managers have nearly $50bn in biggest-ever fi nancial scandals. cut rates further. The rupiah was for online purchases during structuring sent Huarong’s dollar bonds cents on Wednesday, while its 3.75% dol- outstanding dollar bonds, or about 8% Under Lai, who was executed earlier up 0.3% to 14,498 per dollar after Ramadan. to record lows last week, stoking fears of lar bond due in 2022 climbed 5 cents to of China’s overseas investment-grade this year, Huarong moved far beyond its the decision. It’s also seeking to reopen key market contagion and prompting some 87.7 cents. credit market, data compiled by Bloomb- original mandate of helping banks dis- It earlier gained as much as tourist areas such as Bali by July. investors to reconsider assumptions With nearly 1.6tn yuan of liabilities erg show. pose of bad debt. 0.5% to 14,483 per dollar, its Loan Growth Bank Indonesia about implicit government guarantees and a vast web of connections with other Huarong is the third largest Chinese The company raised billions of dollars strongest level since March 30. has turned to macroprudential that have underpinned China’s credit fi nancial institutions, Huarong is among fi nancial issuer in international markets, from off shore bondholders and expanded The benchmark stock index measures to spur borrowing and market for decades. China’s most systemically important according to S&P Global Ratings. into everything from trust companies pared losses to close down 0.2%. encourage domestic activity. Huarong’s bonds have swung wildly companies outside the nation’s state- The plan being discussed for Huarong to securities trading and illiquid invest- “Bank Indonesia may have its The central bank’s move in in recent days amid confl icting signals owned banks. has some similarities with the one en- ments. hands tied on rates for some time, February to relax requirements about the company’s fate. It’s also majority-owned by China’s acted for troubled Chinese lender Bank Despite Huarong’s history of misman- having to prioritise rupiah stabil- for vehicle loans has helped push While the China Banking and Insur- fi nance ministry, making it a closely of Jinzhou Co in 2020. agement, some market observers have ity over growth. More recently, automotive sales to their highest ance Regulatory Commission said last watched barometer of the government’s Two state-run entities, including one said the costs of allowing the company to though, banks and the govern- level in 15 months. week that Huarong was operating nor- willingness to backstop debt of troubled backed by the PBoC, injected 12.1bn yuan suff er a major default probably outweigh ment have helped ease the central Warjiyo noted that lending rates mally and had ample liquidity, authori- state-owned enterprises. of capital into the bank and assumed the benefi ts. bank’s dilemma. Banks have cut have come down in line with Bank ties have remained quiet about whether Policy makers have been trying to dial 150bn of its distressed assets. “We see little for the government to borrowing costs in the last month, Indonesia’s rate cuts and liquidity the government will off er any fi nancial back support for unprofi table SOEs to The support package was widely gain in letting such a major crisis hap- and the government embraced injections, but lending itself hasn’t support. reduce moral hazard in recent years, but viewed as an attempt to minimise rip- pen in an eff ort to eliminate moral hazard higher bond yields at its auction responded. It’s unclear whether Chinese regula- they’ve yet to allow a default by a compa- ple effects on the financial system, af- in SOEs,” Citigroup Inc analysts includ- last week. Even so, we still believe Bank loans contracted 4.13% in tors have given Huarong any specifi c ny controlled by the central government. ter authorities jolted markets in 2019 ing Eric Ollom wrote in a recent research the next move in rates will be March from a year earlier, the sixth guidance related to its off shore bonds. While Chinese SOEs reneged on a by seizing control of Baoshang Bank Co report.“A fi nancial crisis would likely re- up — possibly before year-end if straight month of declines. The PBoC said it couldn’t immediately record 79.5 bn yuan of local bonds in and forcing some corporate creditors to sult in a return to substantial monetary reforms that hamstring Bank Indo- “It is evident that BI’s focus is comment when contacted by Bloomberg 2020, most of the defaulters were linked take haircuts. stimulus to counter any fi nancial insta- nesia’s ability to deliver price sta- squarely on cajoling the banks on Wednesday. to regional governments and none were Among the other Huarong measures bility. bility are approved by parliament”, to pass on its previous rate The CBIRC and Huarong didn’t imme- considered as systemically important as under consideration by regulators is the The more likely policy outcome seems says Tamara Mast Henderson, cuts,” OCBC’s Wiranto said in a diately respond to requests for comment. Huarong. transfer of the Chinese government’s to be to remind investors of these risks Asean economist at Bloomberg. note to clients. “The news suggests that the central Worries about the company’s fate stake from the fi nance ministry to a unit but keep the fallout well contained.” Asia bourses a sea of red EM stocks index falls 1.1%

on renewed virus fears Reuters London

AFP city of Osaka — where hospital beds back into safe-haven investments. Hong Kong for seriously ill coronavirus patients “A further setback in US stocks merging market stocks tum- have run out — asked the central following Monday’s decline has read bled on Wednesday as a sec- government to impose a state of through to a modest reversal in the Eond wave of Covid-19 infec- Asian markets saw big falls on emergency. USD’s dwindling fortunes thus far tions threatened further disruption Wednesday with fears over a renewed Infections there are rising just three in April, and also a fresh set-back in in major economies, while Russia’s coronavirus surge weighing on global months before the country hosts the US bonds yields back after a fleeting rouble weakened ahead of a speech investor sentiment and US equities virus-delayed Olympics, and Tokyo attempt at a rally either side of the on economic growth by President deepening their retreat from last and several other areas are expected weekend,” said Rodrigo Catril of NAB. Vladmir Putin. week’s record highs. to follow in Osaka’s footsteps. Pandemic fears also weighed on The MSCI’s index of emerg- Countries around the world are Mumbai fell another 0.5% on commodities, with both major oil ing market stocks fell 1.1% and was urgently working to accelerate Wednesday as India battles a worrying benchmarks falling nearly around poised for its worst day since March vaccination campaigns and revive virus surge and record daily case 0.2% after a rally the previous day. 24, with bourses across Asia weigh- their pandemic-ravaged economies, numbers overwhelm already stretched “Worrying Covid resurgence as the ing the most. New Covid-19 related with new variants of the pathogen hospitals. epicentres of crises fall on two of Asia restrictions in India threatened to driving unprecedented infection The capital New Delhi was locked largest importers of crude oil, India, throw a wrench into an otherwise numbers in some of the worst-hit down Monday for a week, and the and Japan, which make up over 16% of steady global economic recovery. nations. government said all adults would be global oil demand,” Innes said. The EM space has been hit hard While both the Dow and the S&P 500 eligible for a vaccine from May as it “With new Covid waves bringing by a second wave of Covid-19 infec- finished last week at new peaks and tries to get a grip on the crisis. risks onshore unless there is a quick tions this year, with India and Brazil also posted their fourth consecutive Hong Kong was down 1.8% with reversal of tide, it would likely require ranking among the worst hit. weekly gains, shares have fallen over Chinese entertainment giant and index a rerating lower of global oil demand The prospect of more curbs has the past two days as earnings season heavyweight Tencent tracking the forecasts for this year.” threatened to upset an already tenu- enters its second week. market fall, though Shanghai finished Innes added that the “optimistic tone” ous recovery in EM. “Global stocks are still plumbing the flat. from Iran nuclear talks could also The dollar recovered from seven- lows after renewed virus concerns Sydney was down 0.3% despite bolster crude supply. week lows amid waning appetite for to make progress, albeit more slowly, prices. Turkey’s lira led losses across spooked markets overnight,” said stronger than expected retail sales “A lifting of US sanctions and an risk-driven assets, though the unit re- so that an end of the pandemic re- EM currencies in Europe, the Middle Stephen Innes of Axi. data while Seoul, Wellington and accelerated return to total production mained constrained by low US Treasury mains foreseeable.” East and Africa on Wednesday, after “The surge has led to increased travel Singapore all fell more than 1%. for Iran would mean some near to yields. “The recent vaccine setbacks Russia’s rouble traded a touch President Tayyip Erdogan replaced restrictions and severely dented parts London recovered 0.6% in opening medium-term pressure on prices,” he caused some uncertainty and might lower as investors awaited a speech the Turkish trade minister, increas- of the priced to perfection reopen trade a day after sharp losses in said. therefore have increased demand for US from Putin, amid elevated tensions ing speculation over a broader cabi- trade, leading to renewed concern Europe saw the FTSE 100 finish 2% In Tokyo, the Nikkei 225 closed down Treasuries as a hedge against a return of with Ukraine and the West, which net shakeup. over the continued economic impact, lower. 2.0% to 28,508.55 points; Hong Kong the crisis,” Thu Lan Nguyen, FX and EM had resulted in US sanctions on Rus- The South African rand was flat shrouding a batch of solid corporate Faltering market sentiment saw the — Hang Seng Index ended down 1.8% analyst at Commerzbank said. sian debt markets last week. as inflation accelerated, as expect- results.” greenback rise for the first time in to 28,621.92 points and Shanghai “That also means though, that Still, recent strength in oil markets ed, last month. Investors are wary Tokyo led the sell-off with the Nikkei seven trading days while 10-year US — Composite ended flat at 3,472.93 sentiment could change again quick- has supported the rouble, while Rus- of any surprise jumps in inflation down 2% by the close after the port Treasury yields fell as traders moved points yesterday. ly once it becomes clear that the glo- sian stocks hit record highs as major putting pressure on the central bal vaccination campaigns continue oil exporters benefi ted from strong bank to tighten policy. Gulf Times Thursday, April 22, 2021 7 BUSINESS

Qatar tops Mena region in WEF’s Energy Transition Index 2021

Qatar also leads the global demand for medium term demand for an impressive global top ten rank in 12 recent changes in the global energy in an energy transition that can unlock The annual global investment in the en- rankings on the economic fossil fuels is expected to decline, which indicators of the report Fostering Eff ec- landscape and the increasing urgency of significant cross-system benefits. ergy transition surpassed $500bn for the development and growth might create economic growth challenges tive Energy Transition 2021, which was climate change action. “As we enter into the decade of action first time in 2020, despite the pandemic. component of the ETI, supported for resource dependent countries. The dip released by the World Economic Forum. Globally, Sweden (1) leads the ETI for and delivery on climate change, the focus The number of people without access by the strong role played by in oil and gas demand, and resulting price In its 10th edition, the report, published the fourth consecutive year, followed by must also encompass speed and resilience to electricity has declined to less than domestic energy sector in the volatilities, during the Covid-19 pandemic in collaboration with Accenture, believes Norway (2) and Denmark (3). of the transition. With the energy transi- 800mn, compared to 1.2bn people 10 economy are a cogent reminder of the need to that as countries continue their progress Regionally, Qatar ranks first, followed by tion moving beyond the low hanging fruit, years ago (2010). diversify the economy to limit exposure to in transitioning to clean energy, it is critical the UAE and Morocco, while Saudi Arabia sustained incremental progress will be Increasing renewable energy capacity By Pratap John fossil fuels. to root the transition in economic, political remains 8th among its Arab neighbours. more challenging due to the evolving has in particular helped energy importing Business Editor Creating a robust enabling environment, and social practices to ensure progress is Overall, scores in the Middle East and landscape of risks to the energy transi- countries achieve simultaneous gains on backed by a stable long-term roadmap, irreversible. North Africa fell last year but the overall tion,” said Roberto Bocca, head (Energy environmental sustainability and energy strong political commitment, investments The report draws on insights from the trajectory remains moderately positive. and Materials) at the World Economic security. Qatar has topped the Middle East and in low carbon energy value chain, and sup- Energy Transition Index (ETI) 2021, which Heavy reliance on oil revenue continues to Forum. However, the results also show that North Africa region, securing 53rd rank in porting reskilling of labour, will be critical in benchmarks 115 countries on the current present challenges to sustainable growth. The results for 2021 show that 92 out of only 10% of the countries were able to WEF’s Energy Transition Index 2021. this process. Moreover, Qatar can leverage performance of their energy systems Diversification of the economy and the 115 countries tracked on the ETI increased make steady and consistent gains in their Qatar also leads the global rankings on the existing resource base and legacy across the three dimensions of the energy energy system can improve prospects. their aggregate score over the past 10 aggregate ETI score over the past decade. the economic development and growth infrastructure to create opportunities in triangle: economic development and Challenges remain in access and security, years, which aff irms the positive direction “A resilient and just energy transition component of the ETI, supported by the the new energy landscape – for example by growth, environmental sustainability, and with heavy concentration in primary and steady momentum of the global that delivers sustainable, timely results strong role played by domestic energy investing in capacity to localise processing energy security and access indicators – energy sources. energy transition. will require systemwide transformation, in- sector in the economy. and manufacturing of higher value add and their readiness to transition to secure, Several countries in the region have Strong improvements were made on cluding reimagining how we live and work, However, this also poses challenges products in the fossil fuel value chain, and sustainable, aff ordable, and inclusive set out ambitious renewables targets for the Environmental Sustainability and power our economies and produce and that are common to all resource rich by supporting innovation and infrastruc- energy systems. 2030. Energy Access and Security dimensions. consume materials,” said Muqsit Ashraf, countries. As more and more countries ture development for green hydrogen. This year’s report uses a revised ETI For this region, WEF noted the coming Eight out of the 10 largest economies have senior managing director who leads Ac- embark on their net zero journeys, the The United Arab Emirates secured itself methodology, which takes into account decade presents opportunities to invest pledged net-zero goals by mid-century. centure’s energy practice.

Arab individuals and Airbus shakes up aero Gulf funds turn net parts manufacturing buyers on Qatar bourse

Reuters By Santhosh V Perumal The foreign institutions’ net buying de- Paris Business Reporter clined significantly to QR0.43mn against QR65.68mn on April 20. Local retail investors’ net buying shrank irbus has launched the big- he Arab individuals and the Gulf notably to QR14.24mn compared to gest shake-up of its manu- funds were increasingly net buyers QR30.83mn the previous day. Afacturing network in more T amidst an overall bearish overhang in However, the Arab individuals’ net buying than a decade, with large-parts the Qatar Stock Exchange yesterday. increased markedly to QR24.45mn against activities reorganised in France Notwithstanding the buying interests QR13.32mn on Tuesday. and Germany and some small- at the insurance and telecom counters, the The Gulf institutions’ net buying parts production hived off ahead 20-stock Qatar Index settled 74 points or strengthened perceptibly to QR9.3mn com- of a possible sale. 0.68% lower at 10,839.93 points, having pared to QR7.71mn on April 20. The European planemaker touched an intraday high of 10,912 points. The Gulf individuals turned net buyers to yesterday said it would combine The Islamic index was seen declining the tune of QR0.53mn against net sellers of aerostructure assembly in France slower than the main index in the bourse, QR11.06mn the previous day. under one entity, bringing major whose year-to-date gains were at 3.87%. The Arab funds were net buyers to the ex- fuselage parts plants in St Naza- The domestic institutions’ net selling tent of QR0.03mn compared with no major ire and Nantes together with the pressure substantially weakened in the mar- net exposure on Tuesday. worldwide operations of its Stelia ket, whose capitalisation saw more than Domestic funds’ net profit booking weak- subsidiary. QR4bn or 0.68% decline to QR626.06bn, ened substantially to QR48.95mn against In Germany, its Premium Aero- mainly owing to mid and microcap seg- QR98.94mn on April 20. tec unit will be split, with part of ments. The foreign individuals’ net selling it combined with manufacturing A higher than average selling pressure was shed noticeably to QR0.21mn compared to plants in Stade and some of the seen in the industrials sector in the bourse, QR7.54mn the previous day. large Hamburg factory, and the where the Gulf individuals were seen bull- Total trade volume lost 41% to 304.16mn rest folded into a new business ish, albeit at lower levels. shares, value by 37% to QR531.52mn and specialising in small mass-pro- About 62% of the traded constituents transactions by 21% to 10,827. duced “detail” parts. were in the red in the market, which saw The transport sector reported 58% plunge “We are in the process of re- (File photo) The Airbus logo pictured at the company’s headquarters in Blagnac near Toulouse, France, a total of 235,032 exchange traded funds in trade volume to 3.68mn equities, 54% in viewing diff erent ownership (Masraf Al Rayan sponsored QATR and Doha value to QR13.34mn and 16% in deals to 357. structures to identify the best ered vital to the aerodynamically nifi cant costs and investment, Jef- and Spain, with fi nal assembly out- Bank sponsored QETF) valued at QR2.26mn The consumer goods and services sector’s possible solution,” a spokesman complex, decarbonised designs of feries analyst Sandy Morris wrote. posts in China and the US. changed hands across 30 deals; while in the trade volume plummeted 57% to 105.35mn said, referring to the new Germa- the future. The new industrial blueprint, The company has traditionally debt market, there was no trading of sover- stocks, value by 50% to QR130.11mn and ny-based detail-parts spin-off . The rethink draws a line under which coincides with a broader been forced to accommodate po- eign bonds and treasury bills. transactions by 30% to 2,616. Those parts can range from eff orts to sell the whole of Ste- restructuring involving up to litical demands from its core Eu- The Total Return Index shrank 0.64% to There was 49% shrinkage in the insurance small generic items like metal lia and PremiumAerotec — both 15,000 core Airbus jobs triggered ropean backers to protect manu- 21,458.29 points, All Share Index by 0.54% sector’s trade volume to 5.64mn shares, 57% brackets costing a few dollars to carved out in 2009 as part of a by the coronavirus pandemic, is facturing sites under deals dating to 3,425.97 points and Al Rayan Islamic In- in value to QR14.44mn and 24% in deals to complex machined items costing restructuring plan called Power8. subject to talks with unions. back decades. dex (Price) by 0.57% to 2,519.83 points. 358. tens of thousands, such as those Initial sale hopes were dashed It will go into eff ect at the start But the coronavirus crisis has The industrials sector index tanked 1.12%, The banks and financial services sector’s made in the highly automated by the fi nancial crisis and few of next year and its implemen- forced it to cut costs while giving consumer goods and services (0.52%), banks trade volume tanked 45% to 33.1mn equi- Varel plant in Germany. buyers have emerged since. tation will be a priority for the it the opportunity to reorganise at and financial services (0.46%), real es- ties, value by 41% to QR130.5mn and trans- Also included in the new spin- However, some industry sourc- company’s new operations chief, a time when output is 40% slower tate (0.3%) and transport (0.22%); whereas actions by 33% to 2,816. off are part of the Augsburg plant es noted Airbus had backed away Alberto Gutierrez, who moved up than usual due to the drop in air insurance and telecom gained 0.18% and The industrials sector saw 24% contrac- in Germany and the Brasov facility from reviewing the Bremen plant from running the military aircraft travel demand. 0.06% respectively. tion in trade volume to 107.46mn stocks, in Romania. in Germany, whose future has business in a reshuffl e last week. The shake-up appears to shy Major losers included Industries Qatar, 17% in value to QR154.76mn and 13% in The shake-up comes two long been the subject of internal Discussions continue about away from factory closures but Ooredoo, Baladna, Qatar Industrial Manu- deals to 2,651. months after chief executive debate as it handles aircraft wing manufacturing operations in leaves the door open to greater facturing, Al Khaleej Takaful, Mannai Cor- The real estate sector’s trade volume Guillaume Faury declared aero- work overlapping with operations Spain, which has been hard hit by internal competition whenever poration, QIIB, Qatar First Bank, Woqod, shrank 15% to 38.98mn shares and value by structures, which includes the in Britain. the halt of production of the A380 Airbus launches future projects, Aamal Company, Qatar General Insurance 32% to QR62.42mn, while transactions were manufacturing of fuselage parts, Stelia and PremiumAerotec superjumbo and a slump in de- industry sources said. and Reinsurance; even as Investment Hold- up 4% to 1,313. to be “core”. have combined sales of 3.6bn eu- mand for wide-body aircraft. Airbus and US rival Boeing are ing Group, Vodafone Qatar, Gulf Interna- However, the market witnessed a 56% Once considered the less valu- ros and 15,000 staff . Airbus commercial jetmaking is increasingly locked in a battle over tional Services, Salam International Invest- surge in the telecom sector’s trade vol- able end of the aerospace spec- Bringing them back under direct spread out across a dozen or more production strategy after a long ment and Qatari German Medical Devices ume to 10.04mn equities, 55% in value to trum, aerostructures are consid- Airbus control could result in sig- plants in France, Germany, Britain sales boom. were among the gainers. QR25.94mn and 27% in deals to 716.

UDC posts QR57mn net profi t on QR351mn Yellen fl ags private capital’s role in climate-change battle revenues for Q1 Bloomberg hurdles, including eff orts to improve -fi New York nancial reporting and increasing the reli- ability of climate-related disclosures. From Page 1 the strict implementation of The Financial Stability Oversight Coun- the highest safety measures reasury Secretary Janet Yellen said cil, a multi-agency body of regulators Acording to al-Othman, this with no lost time injury cases private fi nancing, and not just gov- chaired by Yellen, will be the Treasury’s distinction is becoming “more recorded, which gives the Ternment spending, will be needed principle tool in attempting to minimise and more apparent” with the company a firm basis to tackle the “existential threat” of climate fi nancial-sector risks associated with cli- start of the units handover pursue development activities change. mate change, she said. process at Al Mutahidah smoothly in 2021. The overall cost of achieving net-zero “It’s FSOC’s job to understand these Towers, and the continuing He added: “The financial results carbon emissions by 2050 – in line with risks, to coordinate across US regulatory works on Giardino Village and achieved by UDC during the the 2015 Paris Agreement that the US has agencies in assessing the risks and, if nec- Floresta Gardens residential first quarter of 2021 are accept- rejoined – could run to $2.5tn over 10 years essary and appropriate, acting to mitigate compounds, as well as UDC’s able in light of the tremendous for the US alone, according to one esti- risks to overall US fi nancial stability,” she latest and Doha’s most pres- challenges, but we are continu- mate, Yellen said in a speech to a virtual said in the Q&A. tigious development, Gewan ing with the course of action conference Wednesday organised by the Yellen said US offi cials will also work Island, which started taking set by the company to meet the Institute of International Finance. with the multilateral Financial Stabil- shape, in addition to upcom- expectations of our sharehold- “It’s going to be tremendously impor- ity Board and other international bodies ing commercial projects that ers, who have placed their faith tant for the financial services industry to make reporting requirements consist- include the new Corinthia and trust in UDC.” to marshal and allocate capital that’s ent and comparable across borders. She Yacht Club in Porto Arabia, UDC, the master developer of needed to make the transition toward endorsed a “solid framework” for climate- Corinthia Gewan Island Qatar The Pearl-Qatar and Gewan Is- net-zero” emissions, she said in a ques- Treasury Secretary Janet Yellen. related disclosures from an FSB task force Hotel, United International land, is a leading Qatari public tion-and-answer segment that followed chaired by Michael R Bloomberg, founder School, and Giardino Mall, as shareholding company with a the speech. “Massive investments are fi nancial promises on that front. The in- with a focus on how to galvanise finance and majority owner of Bloomberg News well as completing construc- mission to identify and invest likely to be needed and the bulk has to be frastructure-focused economic proposal in the endeavour. While many recent in- parent Bloomberg LP. tion works of The Pearl-Qatar in long-term projects contrib- private.” that President Joe Biden unveiled last ternational climate-change discussions Yellen didn’t off er any specifi c new Commercial Showrooms. uting to Qatar’s growth and The Treasury chief also highlighted the month, including money to address cli- have focused on the role of multilateral pledge of additional US government fund- “We are ambitious about what providing good shareholder need to strengthen fi nancial risk disclo- mate change, “will be the most signifi cant development banks and formal climate- ing to help developing nations adapt to these development projects value. Established in 1999, the sures – making them more reliable, con- public investment in America since the assistance programmes, the conversation a warming planet or build clean-energy will bring as they will allow company was first listed on the sistent and comparable across markets 1960s, dramatically reducing US emissions at the summit will include a more expan- projects. UDC to realise its great poten- Qatar Exchange in June 2003. and countries – so investors can accurately by greening the electricity and transporta- sive look at the role of private funds in Rich countries promised in 2009 that tial,” al-Othman said. It has an authorised share gauge risks and opportunities. tion sectors,” Yellen said. propelling clean energy and building re- by 2020 they’d collectively devote $100bn Al-Othman also pointed to the capital of QR3.5bn and total Yellen pledged that the US will help de- Yellen’s comments come as Biden con- silience, administration officials said on annually to climate fi nance, but have fallen consistency in the completion assets of QR19.9bn as of March veloping countries that are especially vul- venes the leaders of 40 nations, corporate Wednesday. far short. As the world’s No 2 emitter of of the ongoing projects, with 31, 2021. nerable to threats from climate change, executives and union leaders in a two-day Yellen said the Treasury is involved in a greenhouse-gas emissions, the US is under but stopped short of making any specifi c virtual summit on the climate change, number of initiatives aimed at removing pressure to loosen its purse strings. Gulf Times 8 Thursday, April 22, 2021 AVIATION BUSINESS Curbing carbon footprint Will the A380 fly again?

on those routes. Qantas’s through sustainable international business is currently burning through around A$5mn ($3.8mn) a week. And even if international aviation fuels demand returns earlier than expected, A380s will still By Pratap John require a reactivation period of three to six months, at least. In Doha, Qatar Airways Group The global aviation industry has set a CEO Akbar al-Baker said “Qatar climate target of cutting emissions to 50% Airways is parking its 10 A380s of 2005 levels by 2050. and they will not return for at Air transport accounts for about 2% of least a year, and maybe never.” global man-made CO2 emissions. In 2017, In July 2020, Qatar Airways civil aviation, as a whole, emitted around released analysis showing that 859mn tonnes of CO2, which is roughly 2% its A380s emitted 95% more of man-made carbon emissions. carbon dioxide per block-hour It is estimated that (under the industry’s By Alex Macheras on its Melbourne, New York trend setting initiative CORSIA or Carbon and Toronto routes than its Off setting and Reduction Scheme for A350s, and an average of 80% International Aviation — a global carbon The A380 frightened airline more across all services. off setting scheme) aviation will have to financial chiefs long before Al-Baker described the A380 off set 2.6bn tonnes of CO2 between 2021 the pandemic. But faced with a as “one of the worst aircraft, and 2035. global crisis, and with air travel when it comes to emissions, Therefore, the aviation industry has demand shattered by storm that is flying around today”. pinned its hopes on sustainable aviation Covid-19, most airlines are Singapore Airlines said they fuels (SAF), which it believes will help quite clear on the future of this will have a total of 12 A380s in reduce airlines’ global emissions and jet: There isn’t one. the future. Singapore Airlines industrial carbon footprint. Ultimately, the risk of failing added: “We are reviewing the It is proven that SAF can cut CO2 lifecy- to sell so many seats is just potential shape and size of our cle emissions up to 80% compared with too high, and this has always network over the longer term conventional jet fuel. It uses sustainable The global aviation industry has set a climate target of cutting emissions to 50% of 2005 levels by 2050. Air transport left the A380 as the ‘white given Covid-19 and its impact fuel sources, which do not compete with accounts for about 2% of global man-made CO2 emissions. In 2017, civil aviation, as a whole, emitted around 859mn tonnes elephant’ of the worldwide on our passenger traffic and food or water, or damage biodiversity. of CO2, which is roughly 2% of man-made carbon emissions. commercial fleet. revenue, which will provide Sustainable aviation fuels are currently The switch in the aviation better clarity on the fleet size certified by regulators for up to 50% use in to aviation expert Andrew Stevens. SAF times more expensive than jet fuel,” says mitment to its emissions reduction goals. world towards smaller, more and mix that the group will commercial flights. has been around since 2008. More than Boyd. “We still have a long way to go but Current SAF production is 50mn litres efficient aircraft (such as the need”. Over 250,000 flights have already taken 300,000 flights have used it blended with the momentum is moving in the right annually, according to an IATA estimate. Boeing’s 787 or Airbus A350) Of the 233 A380s that were in off with a blend of Sustainable Aviation regular aviation — without the need for any direction to reach critical production mass, To reach a tipping point, where the scale will drive pandemic recovery – service around the world on Fuels, IATA noted. modification of engines or aircraft — and and when that happens it will be a game- of production will see SAF costs drop to but we’re not there yet. January 1, 2020, just 23 were US university researchers are now look- production continues to grow. changing moment for airlines.” levels competitive with jet fuel, the pro- However, while the chances of operating on March 31, 2021. ing at whether “waste products from craft The amount of SAF used by commercial Boyd estimates that on the current tra- duction needs to reach 7bn litres or 2% of all of the now-grounded A380 British Airways chief executive brewing” can power low emissions flight, aircraft rose 65% between 2019 and 2020, jectory, SAF production could hit 2% of the 2019 consumption, the global trade body returning to the skies over Sean Doyle said in March that IATA said in a recent report. Scientists have despite the devastating financial impact of total fuel demand by 2025. At that level, of airlines say. the coming years is now zero, the A380 “works very well in just published research on carbon nega- Covid-19 on airlines. In 2021, it is expected the price gap between SAF and regular Obviously, the current production rates some airlines expect to return a number of larger markets”. tive aviation fuel, and Shell is investing in of Sustainable Aviation Fuels are too low the superjumbo to commercial The type is therefore “an LanzaJet to scale up production of sustain- for aviation to reach its goal despite SAF’s service – either because important part of our fleet, able aviation fuel (SAF). proven potential and airline eff orts to date. they’re stuck with too many and at the minute our plans All three announcements came within Beyond the Tarmacc The world must “build back better” from of them (think: Emirates), or are to obviously fly it again” he days of each other, adding to the steady the Covid-19 crisis with attention focused because it may make sense explained. drumbeat of news about SAF. Since the on investment in carbon reduction tech- for certain airlines, on certain British Airways’ 12 A380s had start of the year rarely a week passes with- nologies and in SAF, which according to routes, with only a handful of been deployed to destinations out new reports of research into low emis- to jump another 70%, according to Robert kerosene would be starting to close. the International Air Transport Associa- A380s (think: Qantas). including Los Angeles, Hong sion fuels or deals to boost production. Boyd, IATA assistant director of Aviation “There is no substitute to liquid fuel on tion, will create jobs at this critical time “We think we will reactivate all Kong and Singapore, prior to It is the most important weapon in the Environment and head of SAF. long haul flights on the horizon yet so SAF and boost aviation’s progress towards its of the A380s. We spent a lot the crisis. industry’s quest to meet its target. Although Although the uptake rate looks impres- will be critical in the industry reaching its goal to cut aviation emissions to half 2005 of money on them,” Australia’s Back in Australia, Joyce added hydrogen-powered electric flight and sive it is still a drop in the ocean. SAF ac- emissions targets,” notes Boyd. Experts af- levels by 2050. Qantas chief executive officer another benefit to resuming battery-powered flight potentially delivers counts for less than 0.1% of total jet fuel. firm post-Covid-19 “green recovery” must Alan Joyce said at a CAPA Live A380 operations. “If you’ve zero emissions, scaling up these technolo- “Production has increased steadily in embrace Sustainable Aviation Fuels (SAF)  Pratap John is Business Editor at Gulf virtual conference last week. ever been in LA between gies could still take decades, according recent years despite it being two to four in line with the aviation industry’s com- Times. Twitter handle: @PratapJohn “Once demand is there, they’re 10pm and midnight, you see going to be good aircraft.” The six or seven Qantas aircraft Australian airline grounded departing for Australia, all 12 of its four-engined because it’s the only time that behemoths in June, saying works with curfews,” he says. they’d be useless for at least “So, instead of flying multiple Middle Eastern carriers to benefi t from ‘relatively three years. frequencies right on top of Elsewhere, Lufthansa has each other, an A380 that’s warned that its A380s may fully or nearly fully written rapid’ vaccination rates on home markets: IATA never fly again, and Air France- down, if it generates cash, will KLM said last year it would absolutely work.” By Pratap John bounds in markets without internal travel aviation will energise the travel and tour- There is a definite role for governments phase its fleet out early. China Southern said in April restrictions. Government imposed travel ism sectors and the wider economy. With in providing relief measures that ensure Air France had planned on that it is reviewing the future restrictions, however, continue to dampen the virus becoming endemic, learning to critical employees and skills are retained retiring its A380 fleet by of its A380s amid concerns Middle Eastern carriers will benefit from the strong underlying demand for interna- safely live, work and travel with it is critical. to successfully restart and rebuild the 2022, but the airline has now about the slow recovery of relatively rapid vaccination rates on home tional travel. Despite an estimated 2.4bn That means governments must turn their industry,” said Walsh. confirmed they will never fly international travel, citing markets, IATA said yesterday. They will people travelling by air in 2021, airlines will focus to risk management to protect liveli- Cost containment/reduction: The the superjumbo again — an the type’s excessive size and be hampered, however, by continued burn through a further $81bn of cash,” said hoods as well as lives,” said Walsh. whole industry will come out of the crisis early grounding amid the high operating costs. For travel restrictions on many of the routes Willie Walsh, IATA’s director general. Employment support: Industry losses financially weakened. Cost containment pandemic. Japan’s ANA, the airline took to emerging economies that are served Immediate Priorities: The outlook points of this scale imply a cash burn of $81bn in and reductions, wherever possible, will be Klaus Froese, head of delivery of its third and final through Gulf hub connections. to the start of industry recovery in the lat- 2021 on top of $149bn in 2020. Govern- key to restoring financial health. Lufthansa’s Frankfurt base, A380 in October last year and Net losses in 2021 are forecast at -13.8% ter part of 2021. ment financial relief measures and capital “Containing and reducing costs will be as saying “In Frankfurt, the immediately placed it into of revenues (reduced from -28.9% of rev- In the face of the ongoing crisis, IATA markets have been filling this hole in airline top of mind for airlines. Governments and chance that we will again storage. enues in 2020). It will be the third smallest calls for: balance sheets, preventing widespread partners must have the same mentality. operate any A380 is close to In Bangkok, Thai Airways’ regional loss. International Air Transport As- Plans for a restart in preparation for a bankruptcies. The industry will recover but And that must be reflected in items big zero. restructuring of the airline is sociation (IATA) expects net airline industry recovery: IATA continues to urge govern- more government relief measures, particu- and small. There can be no tolerance That’s all but decided. In likely to see A380s removed losses of $47.7bn in 2021 (net profit margin ments to have plans in place so that no larly in the form of employment support for monopoly infrastructure suppliers Munich we will have to see. from Thai’s fleet permanently. of -10.4%). This is an improvement on the time is lost in restarting the sector when programmes, will be needed this year. gouging their customers to recoup losses Planning is very difficult in The carrier was just recently estimated net industry loss of $126.4bn in the epidemiological situation allows for a “Owing to government relief measures, through higher charges. Equally, we de- these times.” “gauging market interest” in 2020 (net profit margin of -33.9%). re-opening of borders. “Most governments cost-cutting, and success in accessing mand an end to the extortionate costs for Joyce is more upbeat on the the acquisition of two of its “This crisis is longer and deeper than have not yet provided clear indications of capital markets, some airlines appear Covid-19 testing with governments taking world’s largest jetliner, saying superjumbos — with no public anyone could have expected. Losses will the benchmarks that they will use to safely able to ride out the storm. Others are less their cut on top of that with taxes. Every- Wednesday the speed of interest declared. be reduced from 2020, but the pain of give people back their travel freedom, In well-cushioned and may need to raise one must be aligned in understanding that vaccinations in the UK and the crisis increases. There is optimism the meantime, a significant portion of the more cash from banks or capital markets. increased travel costs will mean a slower the US, both major markets  The author is an aviation in domestic markets where aviation’s $3.5tn in GDP and 88mn jobs supported by This will add to the industry’s debt burden, economic recovery. Cost reduction eff orts for Qantas, bode well for a analyst. Twitter handle: hallmark resilience is demonstrated by re- aviation are at risk. Eff ectively restarting which has ballooned by $220bn to $651bn. on all sides are needed,” said Walsh. rebound in passenger traffic @AlexInAir

Airlines see Covid-19 setbacks driving industry to $48bn loss

Bloomberg that have ramped up vaccinations  North American carriers are best London most quickly have become cautious placed to take advantage of rapid about restarting travel to prevent the vaccination programs because of the import of new variants that could large domestic market in the US The airline industry’s chief lobby prove resistant to jabs.  Testing and increasing the pace of group widened its estimate for losses This week, the US State Department an unsteady vaccine roll-out is the key this year by about a quarter, saying said it would declare about 80% of to recovery for the struggling market new Covid-19 flare-ups and mutations the world’s nations no-go zones. in Europe. The return to profit will take have pushed back the timeline for a In Europe, the UK has held off on longest in this region restart of global air travel. confirming a plan to restart travel in The new estimates assume a partial Carriers will lose about $48bn in mid-May, saying it will decide closer reopening of some markets in Europe 2021, the International Air Transport to the date. While some countries in time for summer flying, and also Association said on Wednesday in are starting to open up to vaccinated of some trans-Atlantic services, IATA an online presentation. It had earlier tourists, progress toward so-called Chief Economist Brian Pearce said. forecast a $38bn deficit. vaccine passports has proven slow These routes should be fully open in “This crisis is longer and deeper than and complex. the fourth quarter, with more than 75% anyone could have expected,” said Hopes dashed: After the industry lost of relevant populations vaccinated, Willie Walsh, the former chief of British about $126bn in the teeth of the crisis he said. Airways owner IAG SA, who’s now during 2020, there were high hopes Travellers at a baggage drop and check-in area in Terminal 3 at Orly Airport in Paris. The International Air Transport While optimism for the second half IATA’s director general. “Losses will be for a rebound in air travel during the Association widened its estimate for losses this year by about a quarter, saying new Covid-19 flare-ups and hinges mainly on the continuing reduced from 2020, but the pain of the first half of this year. IATA now says the mutations have pushed back the timeline for a restart of global air travel. rebound of large domestic markets crisis increases.” crucial summer season is at risk. like the US and China, Walsh said he’s a The downward pivot comes as airlines Demand will reach 43% of 2019 levels At that time IATA saw traff ic this year a Standard & Poor’s index of major said on Wednesday that it won’t get its little more upbeat about Europe than contend with new travel bans and during 2021 – a more optimistic recovering to about half of pre- airlines to 10 straight days of declines fleet fully back in the air until October IATA’s off icial projections. restrictions arising from outbreaks in outlook than issued in February, but pandemic levels. In the US, investors this month, the longest streak since or November. Testing of the group’s Travel Pass large aviation markets such as India less bullish than in December, when have turned sour on the chance of a at least 1989. In Europe, trans-Atlantic Regional highlights of the IATA app is continuing with more than 50 and Brazil. Governments of countries vaccines were first being rolled out. quick recovery in aviation, sending specialist Virgin Atlantic Airways Ltd forecast: airlines signed up.