MENA | OPEC+ talks break down, Saudi tariffs, PMIs
OPEC+ negotiations to raise oil production in the coming months are in
deadlock as the UAE opposed an extension of the deal beyond the current end date of April 2022. Talks were abandoned with no date set for the next meeting and oil prices jumped to a three-year high of almost US$78pb, before retreating.
What you will learn:
- Saudi Arabia revised its import rules in a further sign of rising competition with the UAE, where free-zones are a key part of the economy.
- Imports from GCC free-zones and from Israel will now be excluded from preferential tariff agreements, signalling another move by Saudi Arabia to encourage international firms to relocate to Riyadh.
- Regional PMIs for June indicate recovery from the pandemic is under way in the non-oil private sector. The PMIs for Saudi Arabia and the UAE both remained firmly in expansionary territory at 56.4 and 52.2 respectively.
Tags:
Related Services
Post
Japan – Next rate hike soon, but politics gets murky
The Bank of Japan's decision to maintain the policy rate at 0.25% today surprised no-one. Although the quarterly outlook report shows the economy is on track to achieve the 2% inflation target, the central bank is waiting for more data to confirm household income and consumption are recovering, and the US economy is on track for a soft landing.
Find Out MorePost
Markets have soured on the UK Budget, but calm should return
Following Wednesday's UK Budget, gilt yields have risen sharply as financial markets appear concerned over the scale of the extra borrowing, that some of it will fund current spending rather than investment, and the narrow headroom it leaves.
Find Out More