2024-02-27 07:29

DUBAI, Feb 27 (Reuters) - The Dubai government is selling a 24.99% stake in Parkin, which oversees public parking operations in the emirate, through an initial public offering in the emirate's first privatisation deal this year, Parkin said in a statement on Tuesday. Parkin's shareholder, Dubai Investment Fund, plans to sell all of the 749.7 million shares in the offering, the firm said, adding it expects to make its bourse debut next month. The offering begins on March 5, with a price range announced on the same day, and the subscription period ends on March 12 for retail investors and on March 13 for qualified investors. Reuters was first to report in June last year that the Roads & Transport Authority (RTA) was considering strategic options for its parking business and invited banks to pitch for roles in a potential IPO. Parkin operated about 179,000 paid public parking spaces across the Dubai emirate as of the end of last year, of which 4,000 or so were at multi-storey car parks. It also manages an additional 18,000 spaces at developer-owned facilities, it said. The RTA is monetising assets on behalf of the Dubai government as part of a wider privatisation programme to list state-linked companies and boost attention to its exchange. The RTA raised $1 billion from the sale of a 25% stake in toll-road operator Salik in 2022 and another $315 million in December from the sale of another 24.99% stake in Dubai Taxi Corporation, its public taxi business. Both deals garnered strong demand from investors; books were oversubscribed multiple times. A post-COVID economic rebound, neutral political stance, ease of doing business, convenient time zones, and tax-free status have all contributed to Dubai's attracting droves of wealthy individuals in recent years. The number of residents in the city jumped by 100,240, official statistics show, reaching 3.65 million people on at the end of last year, compared with 3.55 million people on Jan. 1, 2023. Rothschild was appointed as independent financial adviser while Emirates NBD, Goldman Sachs and HSBC are acting as joint global coordinators and joint bookrunners. After the offering, Parkin plans to pay a semi-annual dividend in April and October, chief financial officer Khattab Abu Qaoud said. He added that the minimum dividend payout for 2024 would be more than the net profit for the year, or exceed free cash flow to equity. Companies domiciled in the Gulf Cooperation Council raised $11 billion in IPO proceeds in 2023, down 45% from 2022. GCC IPOs accounted for 40% of proceeds raised in EMEA during 2023, down from 56% during 2022, LSEG data showed. Parkin reported revenues of 779 million dirhams ($212.11 million) in 2023, up 14% from a year earlier, while its core profit rose 23% to 414 million dirhams. ($1 = 3.6726 UAE dirham) https://www.reuters.com/markets/deals/dubais-parkin-sell-2499-stake-ipo-gulf-news-reports-2024-02-27/

2024-02-27 07:11

BERLIN, Feb 27 (Reuters) - German consumer sentiment is expected to stabilize at a low level in March as households are confronted with great uncertainty due to constantly rising prices and a weaker outlook for Europe's largest economy, a survey showed on Tuesday. The consumer sentiment index published jointly by GfK and the Nuremberg Institute for Market Decisions (NIM) rose slightly heading into March, to -29.0 from a revised -29.6 the month before, in line with a forecast by analysts polled by Reuters. "There is great uncertainty among consumers. In addition to the constantly rising prices, the weaker economic forecasts for the German economy this year are likely to be another important reason for this," said Rolf Buerkl, consumer expert at the NIM. The German government recently slashed its economic growth outlook for this year to just 0.2% from 1.3% previously. "For the time being, Germany must continue to wait for an economic recovery," he said, which means a rapid recovery in consumer spending is not in sight. Despite February income expectations increasing to their highest value since February 2022 - before the war in Ukraine broke out - consumers' willingness to buy was still extremely low as households remain cautious about making major purchases. NOTE - The survey period was from Feb. 1-12, 2024. The consumer climate indicator forecasts the progress of real private consumption in the following month. An indicator reading above zero signals year-on-year growth in private consumption. A value below zero indicates a drop compared with the same period a year earlier. According to GfK, a one-point change in the indicator corresponds to a year-on-year change of 0.1% in private consumption. The "willingness to buy" indicator represents the balance between positive and negative responses to the question: "Do you think now is a good time to buy major items?" The income expectations sub-index reflects expectations about the development of household finances in the coming 12 months. The additional business cycle expectations index reflects respondents' assessment of the general economic situation over the next 12 months. https://www.reuters.com/markets/europe/german-consumer-sentiment-stabilizes-low-level-march-finds-gfk-2024-02-27/

2024-02-27 06:57

NEW YORK, Feb 27 (Reuters) - A global equities index advanced slightly on Tuesday as investors weighed the outlook for central bank rate cuts after the latest batch of economic data and ahead of a key U.S. inflation reading due Thursday, while the dollar fell against the yen. Oil prices rose after reports that producer group OPEC+ was considering extending voluntary oil output cuts into the second quarter to provide additional support. Earlier in the day, the Conference Board said U.S. consumer confidence retreated in February after three straight monthly increases as households worried about the labor market and the domestic political environment. Its consumer confidence index slipped to 106.7 this month versus economist expectations of 115.0 and a downwardly revised 110.9 for January. Also, orders for long-lasting U.S. manufactured goods fell by the most in nearly four years in January amid a sharp drop in bookings for commercial aircraft, while the outlook for business investment on equipment was mixed. The next key data investors are looking to is Thursday's release of January's U.S. personal consumption expenditures index (PCE), which is the Federal Reserve's preferred inflation measure. "We've a bit of a defensive tone in the market today with the utilities sector leading gains," said Chris Zaccarelli, chief investment officer at Independent Advisor Alliance in Charlotte, North Carolina. "Investors are looking ahead to Thursday's inflation reading. If it remains sticky it will impact how soon and how many times the Fed will cut rates," and because of this "markets are relatively flat because investors are in wait-and-see mode," he said. Currently, about 63% of traders expect the Fed to start cutting rates by June, down from nearly 98% at the end of January, according to the CME Group's FedWatch tool. Federal Reserve Governor Michelle Bowman signaled that she was in no rush to cut U.S. interest rates, particularly given upside risks to inflation that could stall progress or even cause price pressures to resurge. In equities, the Dow Jones Industrial Average (.DJI) , opens new tab fell 96.82 points, or 0.25%, to 38,972.41, the S&P 500 (.SPX) , opens new tab gained 8.65 points, or 0.17%, to 5,078.18 and the Nasdaq Composite (.IXIC) , opens new tab gained 59.05 points, or 0.37%, to 16,035.30. Among the S&P's 11 major sectors, utilities (.SPLRCU) , opens new tab was the biggest percentage gainer, up 1.9%. MSCI's gauge of stocks across the globe (.MIWD00000PUS) , opens new tab rose 1.43 points, or 0.19%, to 760.60. In currencies, the dollar was down slightly against the Japanese yen after data showed Japan's core consumer inflation exceeded forecasts and the greenback also reacted to January's bigger than expected decline in U.S. durable goods orders. The dollar index gained 0.04% at 103.81, with the euro down 0.02% at 1.0845. Against the Japanese yen , the dollar weakened 0.14% at 150.49. "We're waiting for the PCE data to give us a stronger sense of direction perhaps," said Shaun Osborne, chief currency strategist at Scotiabank in Toronto. And because investors are already expecting strong numbers, it would probably "have to be a big upside surprise to really get the dollar strengthening," Osborne added. In U.S. Treasuries, yields rose moderately in choppy trading, as investors waited for Thursday's inflation data. In energy markets, oil prices were also supported by notes of caution from Israel, Hamas and Qatari mediators about progress towards a truce in Gaza, after U.S. President Joe Biden said he believed a ceasefire could be reached in under a week to halt the war for Ramadan. U.S. crude settled up 1.66% at $78.87 a barrel while Brent finished up 1.36% at $83.65 per barrel. Gold prices held steady with the U.S. inflation reading and comments from Fed officials on investors' radar this week. Spot gold lost 0.04% to $2,029.82 an ounce. U.S. gold futures gained 0.36% to $2,035.90 an ounce. In cryptocurrencies, bitcoin rose 3.90% to $56,795.00. https://www.reuters.com/markets/global-markets-wrapup-1-2024-02-27/

2024-02-27 06:45

PCE inflation data due Thursday About 10 Fed officials due to speak this week Solid physical demand, cenbank purchases keeping gold above $2,000/oz-analyst Feb 27 (Reuters) - Gold prices inched up on Tuesday, buoyed by a weaker U.S. dollar and bond yields, ahead of a key inflation report and comments from Federal Reserve officials for further clues on when interest rate cuts will commence. Spot gold was up 0.4% at $2,038.15 per ounce as of 1229 GMT, hovering near its highest since Feb. 7 hit on Friday. U.S. gold futures rose 0.4% to $2,047.30 per ounce. The dollar index (.DXY) , opens new tab extended its losing run, and benchmark 10-year Treasury yield fell, making greenback-priced bullion more appealing for other currency holders. "It is a modest uptick in gold, likely driven by slightly lower U.S. long-term interest rates and a moderately weaker dollar. Solid physical demand and central bank purchases are keeping gold above the $2,000 per ounce," said UBS analyst Giovanni Staunovo. "We continue to expect the Fed to cut rates around mid-year, that will likely support demand from financial investors and lift the gold price to $2,250 per ounce by the end of this year." Recent remarks from Fed policymakers suggested the U.S. central bank was in no rush to cut interest rates, largely cementing bets against any rate cuts before June. Markets are currently pricing in a 63% chance of a Fed rate cut in June, according to the CME FedWatch Tool , opens new tab. Lower interest rates boost the appeal of holding non-yielding bullion. At least 10 Fed officials are due to speak this week, while investors are focussed on the core personal consumption expenditures price index, the Fed's preferred inflation gauge, due on Thursday. China's net gold imports via Hong Kong jumped about 51% in January from the previous month, data showed. Spot platinum climbed 1.7% to $895.10 per ounce, palladium rose 1.1% to $960.88, and silver edged 0.8% higher to $22.70 per ounce. https://www.reuters.com/markets/commodities/gold-prices-rise-softer-dollar-focus-us-inflation-data-2024-02-27/

2024-02-27 06:44

NEW DELHI, Feb 27 (Reuters) - India's steel imports touched a six-year high in the first 10 months of the fiscal year to March, led by Chinese shipments, and India was a net importer of finished steel, according to provisional government data seen by Reuters on Tuesday. The demand for steel was strong in India, the world's second-biggest crude steel producer, as the country remained a bright spot globally with robust demand from its construction and automotive sectors. Steel consumption in India jumped 14.5% to a six-year high of 112.5 million metric tons during the period, reflecting buoyant demand for the alloy in one of the world's fastest-growing economies. India's steel demand is likely to stay strong as the government expects economic growth will outpace the global economy in the next fiscal year. India imported 6.7 million metric tons of finished steel between April and January, up 35% from a year earlier, the data showed. India's steel mills have called for government interventions and safeguard measures against surging imports. However, the federal Ministry of Steel has resisted calls for curbs, citing strong local demand. China was the top exporter of finished steel to India between April and January, shipping 2.18 million metric tons of the alloy, up 80% from the same period a year earlier to hit a six-year high. China primarily exported hot-rolled and cold-rolled steel products followed by galvanised plain and corrugated sheets as well as plates and pipes among others. South Korea was the second-biggest exporter, whose shipments of finished steel to India reached a four-year high of 2.15 million metric tons during the period. India's finished steel exports were at 5.5 million metric tons between April and January, up 3.6% on year. Crude steel output stood at 119 million metric tons, up 13.5% from a year earlier. https://www.reuters.com/markets/commodities/indias-apr-jan-steel-imports-six-year-high-china-shipments-surge-2024-02-27/

2024-02-27 06:40

WASHINGTON/LONDON, Feb 27 (Reuters) - Bitcoin hit a two-year high on Tuesday, on track for its biggest two-day rally this year, on signs large players were buying the cryptocurrency, while smaller rival ether topped $3,200 for the first time since 2022. Bitcoin has rallied more than 10% in two sessions, helped by Monday's disclosure from crypto investor and software firm MicroStrategy (MSTR.O) , opens new tab that it had recently purchased about 3,000 bitcoins for an outlay of $155 million. The original and largest cryptocurrency by market value has also been buoyed recently by the approval of bitcoin-owning exchange-traded funds (ETFs) in the United States. On Monday, trading volumes in several of the funds spiked and crypto-linked firms rallied too, in contrast to nervous broader markets. Bitcoin was last up 4.7% at $57,232, while ether reached as high as $3,290, its highest since April 2022. "There's only so much supply ... but the demand unleashed by the U.S. spot ETFs seems to be relentless," said Justin d'Anethan, head of partnerships in Asia at Keyrock, a digital asset market maker. A major incentive right now is the bitcoin halving event in April. This process is designed to slow the release of bitcoin, whose supply is capped at 21 million - of which 19 million have already been mined - by cutting the reward for producing the tokens in half. Bitcoin has gained 32% in value so far in February, heading for its largest one-month gain since January 2023, and momentum is building beyond the investment community. Social media platform Reddit, which on Feb. 22 filed to list its shares on the New York Stock Exchange, said it had invested a small portion of its excess cash reserves in bitcoin , opens new tab, ether and matic, the native token of the Polygon network, as a form of payment for sales of certain virtual goods. Ether has risen at an even faster pace this month, heading for a 41% gain. Anticipation is growing among market participants over the possible regulatory approval of spot ether ETFs, which has helped this latest rise in price. "The prospect of a spot ethereum ETF is a further development for traders and investors alike after the recent launch of a variety of bitcoin ETFs," DailyFX senior strategist Nick Crawley said in a note. "It represents a further maturation of the cryptocurrency market and a recognition of ethereum's role in the future of cryptocurrencies within the financial system." Still, regulatory experts and industry sources expect the U.S. Securities and Exchange Commission to move cautiously on the filings for spot ether ETFs, noting that the agency's approval of the bitcoin ETFs might not indicate its willingness to move forward with other crypto products. Crypto stocks also enjoyed a boost on Tuesday, with shares of crypto exchange Coinbase (COIN.O) , opens new tab up 5.8%, while bitcoin miners Marathon Digital (MARA.O) , opens new tab and Riot Platforms (RIOT.O) , opens new tab climbed 5.7% and 0.7%, respectively. The largest bitcoin ETF Grayscale Bitcoin Trust (GBTC.P) , opens new tab was last up 4.4%. https://www.reuters.com/technology/bitcoin-breaks-57000-big-buyers-circle-2024-02-27/