Oil prices dip after rising 3% on easing of demand concerns

Oil prices were down in morning trading on Thursday after rising nearly 3 per cent a day earlier on easing concerns over demand.

Brent, the benchmark for two thirds of the world’s oil, was trading 0.22 per cent lower at $76.79 a barrel at 10.28am UAE time.

West Texas Intermediate, the gauge that tracks US crude, was down 0.25 per cent at $72.65 a barrel.

On Wednesday, Brent settled 2.74 per cent higher at $76.96 a barrel, while WTI was up 2.78 per cent $72.83 a barrel.

“Oil prices had a solid boost on the hope that a debt ceiling deal in the US will be concluded,” Emirates NBD economists said in a research note.

On Wednesday, US President Joe Biden said he was confident about the prospects of reaching a budget agreement with senior Republican legislators to avert a default on the country's debt for the first time in its history.

The US is weeks away from a potential default on its debt, an outcome that would adversely hit American consumers and send shock waves across the entire global financial system.

The debt ceiling, or debt limit, is the maximum amount of debt the Treasury Department can borrow to fulfil its financial commitments.

US crude stocks, an indicator of fuel demand, rose by five million barrels last week, the US Energy Information Administration said.

But total petroleum stocks fell by 1.4 million barrels to 218.3 million barrels in the week ending on May 12.

“Oil has found a firmer tone after the US administration said it’s seeking bids for crude to help refill the much-depleted Strategic Petroleum Reserves (SPR),” Ehsan Khoman, head of commodities, ESG and emerging markets at MUFG, said in a research note on Thursday.

“While the volume in question is modest, it’s a reminder the task at hand is significant, which should support prices and offset the drag from any US slowdown.”

Last week, US Energy Secretary Jennifer Granholm said the country could start to refill its emergency reserve by next month after a congressionally mandated sale of 26 million barrels was completed.

The Japanese bank expects the oil market to return to sustained deficits from June, supported by demand recovery in emerging economies such as China and India and sluggish growth in US crude supply.

“These forces, together with severe Opec+ cuts, in tandem with tight micro fundamentals – thin spare production capacity and acutely low inventories amid a dearth of structural underinvestment is set to drive oil prices constructively higher by the summer,” Mr Khoman said.

UBS on Wednesday lowered its Brent oil price forecast by $10 to $95 a barrel for the end of 2023, citing higher-than-expected supply and recession fears.

The Swiss lender previously forecast Brent crude at $105 a barrel for the end of the year.

“Many market participants had a positive price outlook at the start of this year, but investors have avoided the underlying recession fears in the US and, more recently, weak economic data out of China,” UBS strategists said in a research note.

MATCH INFO

Uefa Champions League semi-final, first leg
Bayern Munich v Real Madrid
When: April 25, 10.45pm kick-off (UAE)
Where: Allianz Arena, Munich
Live: BeIN Sports HD
Second leg: May 1, Santiago Bernabeu, Madrid

While you're here

The National editorial: Turkey's soft power weighs heavy on Europe's Muslims

Con Coughlin: How extremists use Zoom and other tools to exploit pandemic

Nicky Harley: Peace TV preacher Zakir Naik prompts UK hate laws review

Evacuations to France hit by controversy

Over 500 Gazans have been evacuated to France since November 2023
Evacuations were paused after a student already in France posted anti-Semitic content and was subsequently expelled to Qatar
The Foreign Ministry launched a review to determine how authorities failed to detect the posts before her entry
Artists and researchers fall under a programme called Pause that began in 2017
It has benefited more than 700 people from 44 countries, including Syria, Turkey, Iran, and Sudan
Since the start of the Gaza war, it has also included 45 Gazan beneficiaries
Unlike students, they are allowed to bring their families to France

Key recommendations

Fewer criminals put behind bars and more to serve sentences in the community, with short sentences scrapped and many inmates released earlier.
Greater use of curfews and exclusion zones to deliver tougher supervision than ever on criminals.
Explore wider powers for judges to punish offenders by blocking them from attending football matches, banning them from driving or travelling abroad through an expansion of ‘ancillary orders’.
More Intensive Supervision Courts to tackle the root causes of crime such as alcohol and drug abuse – forcing repeat offenders to take part in tough treatment programmes or face prison.

On Women's Day

Shelina Janmohamed: Why shouldn't a spouse be compensated fairly for housework?

Samar Elmnhrawy: How companies in the Middle East can catch up on gender equality

The National Editorial: Is there much to celebrate on International Women's Day 2021?

Justin Thomas: Challenge the notion that 'men are from Mars, women are from Venus'

The specs

Engine: 4.0-litre V8 twin-turbocharged and three electric motors

Power: Combined output 920hp

Torque: 730Nm at 4,000-7,000rpm

Transmission: 8-speed dual-clutch automatic

Fuel consumption: 11.2L/100km

On sale: Now, deliveries expected later in 2025

Price: expected to start at Dh1,432,000

6 UNDERGROUND

Director: Michael Bay

Stars: Ryan Reynolds, Adria Arjona, Dave Franco

2.5 / 5 stars

What the law says

Micro-retirement is not a recognised concept or employment status under Federal Decree Law No. 33 of 2021 on the Regulation of Labour Relations (as amended) (UAE Labour Law). As such, it reflects a voluntary work-life balance practice, rather than a recognised legal employment category, according to Dilini Loku, senior associate for law firm Gateley Middle East.

“Some companies may offer formal sabbatical policies or career break programmes; however, beyond such arrangements, there is no automatic right or statutory entitlement to extended breaks,” she explains.

“Any leave taken beyond statutory entitlements, such as annual leave, is typically regarded as unpaid leave in accordance with Article 33 of the UAE Labour Law. While employees may legally take unpaid leave, such requests are subject to the employer’s discretion and require approval.”

If an employee resigns to pursue micro-retirement, the employment contract is terminated, and the employer is under no legal obligation to rehire the employee in the future unless specific contractual agreements are in place (such as return-to-work arrangements), which are generally uncommon, Ms Loku adds.

A MINECRAFT MOVIE

Director: Jared Hess

Starring: Jack Black, Jennifer Coolidge, Jason Momoa

Rating: 3/5

Don't judge us solely on burqa ban, says Danish ambassador to UAE

New Danish ambassador wants to boost profile of Danes in the UAE

The Dane who dug up the UAE's earliest history

Five%20calorie-packed%20Ramadan%20drinks

%3Cp%3E%3Cstrong%3ERooh%20Afza%3C%2Fstrong%3E%0D%3Cbr%3E100ml%20contains%20414%20calories%0D%3Cbr%3E%3Cstrong%3ETang%20orange%20drink%3C%2Fstrong%3E%0D%3Cbr%3E100ml%20serving%20contains%20300%20calories%0D%3Cbr%3E%3Cstrong%3ECarob%20beverage%20mix%3C%2Fstrong%3E%0D%3Cbr%3E100ml%20serving%20contains%20about%20300%20calories%0D%3Cbr%3E%3Cstrong%3EQamar%20Al%20Din%20apricot%20drink%3C%2Fstrong%3E%0D%3Cbr%3E100ml%20saving%20contains%2061%20calories%0D%3Cbr%3E%3Cstrong%3EVimto%20fruit%20squash%3C%2Fstrong%3E%0D%3Cbr%3E100ml%20serving%20contains%2030%20calories%3C%2Fp%3E%0A

Killing of Qassem Suleimani

National Editorial: Suleimani has been killed, now we must de-escalate

Mina Al Oraibi: Air strike casts a long shadow over the decade ahead

Jack Moore: Why the assassination is such a monumental gamble

Matthew Levitt: Iran retains its ability to launch terror attacks

Damien McElroy: A CEO tasked with spreading Iran's influence

Simon Waldman: Cautious Israel keeping a low profile

((Disclaimer))

The Liechtensteinische Landesbank AG (“Bank”) assumes no liability or guarantee for the accuracy, balance, or completeness of the information in this publication. The content may change at any time due to given circumstances, and the Liechtensteinische Landesbank AG is under no obligation to update information once it has been published. This publication is intended for information purposes only and does not constitute an offer, a recommendation or an invitation by, or on behalf of, Liechtensteinische Landesbank (DIFC Branch), Liechtensteinische Landesbank AG, or any of its group affiliates to make any investments or obtain services. This publication has not been reviewed, disapproved or approved by the United Arab Emirates (“UAE”) Central Bank, Dubai Financial Services Authority (“DFSA”) or any other relevant licensing authorities in the UAE. It may not be relied upon by or distributed to retail clients. Liechtensteinische Landesbank (DIFC Branch) is regulated by the DFSA and this advertorial is intended for Professional Clients (as defined by the DFSA) who have sufficient financial experience and understanding of financial markets, products or transactions and any associated risks.

On Women's Day

Dr Nawal Al-Hosany: Why more women should be on the frontlines of climate action

Shelina Janmohamed: Why shouldn't a spouse be compensated fairly for housework?

Samar Elmnhrawy: How companies in the Middle East can catch up on gender equality

Justin Thomas: Challenge the notion that 'men are from Mars, women are from Venus'

Electric scooters: some rules to remember

Riders must be 14-years-old or over
Wear a protective helmet
Park the electric scooter in designated parking lots (if any)
Do not leave electric scooter in locations that obstruct traffic or pedestrians
Solo riders only, no passengers allowed
Do not drive outside designated lanes

UAE currency: the story behind the money in your pockets

The National Archives, Abu Dhabi

Founded over 50 years ago, the National Archives collects valuable historical material relating to the UAE, and is the oldest and richest archive relating to the Arabian Gulf.

Much of the material can be viewed on line at the Arabian Gulf Digital Archive - https://www.agda.ae/en

UAE v Gibraltar

What: International friendly

When: 7pm kick off

Where: Rugby Park, Dubai Sports City

Admission: Free

Online: The match will be broadcast live on Dubai Exiles’ Facebook page

UAE squad: Lucas Waddington (Dubai Exiles), Gio Fourie (Exiles), Craig Nutt (Abu Dhabi Harlequins), Phil Brady (Harlequins), Daniel Perry (Dubai Hurricanes), Esekaia Dranibota (Harlequins), Matt Mills (Exiles), Jaen Botes (Exiles), Kristian Stinson (Exiles), Murray Reason (Abu Dhabi Saracens), Dave Knight (Hurricanes), Ross Samson (Jebel Ali Dragons), DuRandt Gerber (Exiles), Saki Naisau (Dragons), Andrew Powell (Hurricanes), Emosi Vacanau (Harlequins), Niko Volavola (Dragons), Matt Richards (Dragons), Luke Stevenson (Harlequins), Josh Ives (Dubai Sports City Eagles), Sean Stevens (Saracens), Thinus Steyn (Exiles)

The%20specs

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Pharaoh's curse

British aristocrat Lord Carnarvon, who funded the expedition to find the Tutankhamun tomb, died in a Cairo hotel four months after the crypt was opened.
He had been in poor health for many years after a car crash, and a mosquito bite made worse by a shaving cut led to blood poisoning and pneumonia.
Reports at the time said Lord Carnarvon suffered from “pain as the inflammation affected the nasal passages and eyes”.
Decades later, scientists contended he had died of aspergillosis after inhaling spores of the fungus aspergillus in the tomb, which can lie dormant for months. The fact several others who entered were also found dead withiin a short time led to the myth of the curse.