• Asian shares rise again on Monday
  • Oil prices gain on tightening supplies
  • Middle East markets were mixed on Sunday
  • Dollar remains unchanged, gold adds gains

Global markets

Asian shares rose early on Monday following signs of progress in the United States and China trade talks and on positive Chinese factory data.

According to a Reuters report, U.S. officials held “constructive” talks in Beijing, Treasury Secretary Steven Mnuchin said, concluding the latest round of dialogue with China aimed at resolving the trade dispute between the world’s two largest economies.

China’s official purchasing managers’ index (PMI) released on Sunday showed factory activity unexpectedly grew for the first time in four months in March.

MSCI’s broadest index of Asia-Pacific shares outside Japan added 1 percent and the Shanghai Composite Index rallied 1.7 percent.

On Friday on Wall Street, the Dow Jones Industrial Average rose 119.22 points, or 0.46 percent, to 25,836.68, the S&P 500 gained 9.93 points, or 0.35 percent, to 2,825.37 and the Nasdaq Composite added 40.15 points, or 0.52 percent, to 7,709.31.

Oil prices

Oil prices rose again on Monday on tightening supplies.

OPEC issued a list of oil production cuts by its members and other major producers for six months starting January 1, to boost confidence in its oil supply reduction pact.

Oil prices have also been boosted by lower supply from Venezuela, as the U.S. introduced petroleum export sanctions against state-owned Venezuelan energy firm PDVSA.

Brent crude for June delivery was up by 43 cents, or 0.6 percent, at $68.01 a barrel by 0214 GMT, having risen 27 percent in the first quarter.

U.S. West Texas Intermediate (WTI) futures rose 32 cents, or 0.5 percent, to $60.46 barrel, after posting a rise of 32 percent in the January-March period.

However, future gains will be limited by potential softness in the global economy as well as the ability of U.S. oil producers to ramp up production when prices spike, Phin Ziebell, senior economist at National Australia Bank in Sydney, told Reuters.

“It’s tough to see a really big rally from here,” he said.

Middle East markets

Saudi Arabia’s index added 0.4 percent on Sunday, with Al Rajhi Banking & Investment Corporation up 1.7 percent and registering the highest trading volume on Sunday.

The Dubai index added 0.1 percent, lifted by heavyweight Emaar Properties, which gained 2.1 percent and was the most heavily traded stock on Sunday.

Abu Dhabi's index shed 0.5 percent with heavyweight First Abu Dhabi Bank falling 0.4 percent and Abu Dhabi Commercial Bank (ADCB) losing 1.6 percent.

In Qatar, the index fell 0.4 percent as Masraf Al Rayan gave up 1.8 percent, Qatar International Islamic Bank lost 2.9 percent, and Barwa Real Estate fell 1.8 percent.

Egypt’s blue-chip index EGX30 rose 0.5 percent, Kuwait’s premier market index added 0.5 percent while Bahrain’s index was flat and Oman’s index dropped 0.6 percent.


The dollar was mainly flat early on Monday.

The dollar index, which measures the greenback against a basket of six major currencies, was little changed at 97.260 after going as high as 97.341 on Friday.

Precious metals

Gold prices gained early on Monday.

Spot gold was up 0.1 percent at $1,293.15 per ounce by 0337 GMT, after touching its lowest since March 8 at $1,286.35 in the previous session.

U.S. gold futures were down about 0.1 percent at $1,297.90 an ounce.

(Reporting by Gerard Aoun; Editing by Mily Chakrabarty)


Gain a deeper understanding of financial markets through Thomson Reuters Eikon

Our Standards: The Thomson Reuters Trust Principles

Disclaimer: This article is provided for informational purposes only. The content does not provide tax, legal or investment advice or opinion regarding the suitability, value or profitability of any particular security, portfolio or investment strategy. Read our full disclaimer policy here.

© ZAWYA 2019