The Malaysian palm oil futures recorded losses despite rebounded on Friday, hitting a two-year low, due to concerns about a trade war between China and US as well as weaker exports demand and related oil. The benchmark crude palm oil futures (FCPO) contract fell 2.31 per cent to RM2,282 on Thursday, which is RM54 lower […]
DUBAI, June 23 — Saudi Arabia promised to act decisively to keep oil prices under control, signalling a real supply boost approaching 1 million barrels a day is on the way to global markets. “We will do whatever is necessary to keep the market…
NEW YORK: World stock markets mostly climbed Friday despite rising trade tensions, with petroleum-linked shares gaining after OPEC agreed to only a modest production increase.
The Dow snapped an eight-session losing streak, with oil producers Exxon Mobil and Chevron both rising more than two percent on higher oil prices.
Ministers with the Organization of the Petroleum Exporting Countries agreed to ramp up oil production by around a million barrels a day from July.
However, some ministers acknowledged that the actual amount of additional produced will be lower than that amount. US oil prices rose nearly five percent following the agreement, with analysts saying the output increase would be smaller than expected.
The rally in oil prices also gave a lift to French giant Total and London-listed Royal Dutch Shell.
Bourses in Paris and London both rose more than one percent , while Frankfurt rose a more modest 0.5%.
The gains came as the European Union slapped revenge tariffs on iconic US products including bourbon, jeans and motorcycles in its opening salvo in a trade war with President Donald Trump.
Customs agents across Europe's colossal market of 500 million people will now impose the duty, hiking prices on US-made products in supermarkets and across factory floors.
Trump wasted little time in responding, threatening on Twitter to impose 20% tariffs on European-made cars exported to the US, pressuring European automakers including Italy's Fiat Chrysler and Germany's Daimler.
“The underlying tensions between the US and China continue to escalate, and while neither wants a trade war, the US won't accept the status quo, and China won't change its industrial policy,” Rabobank senior strategist Michael Every told AFP.
Many analysts have expressed scepticism that a trade war is inevitable. Still, anxiety is rising.
“The hope is that the Trump administration's tough approach towards its trading partners is a negotiating tactic and the growth-killing implications of an all-out trade war will be avoided,” said Bob Schwartz, senior economist at Oxford Economics. “The latest salvo by Trump on Friday, threatening to impose a 20% tariff on European auto imports, is clearly not encouraging”.
Key figures around 2100 GMT
New York – Dow Jones: UP 0.5 % at 24,580.89 (close)
New York – S&P 500: UP 0.2 % at 2,754.88 (close)
New York – Nasdaq: DOWN 0.3 % at 7,692.82 (close)
London – FTSE 100: UP 1.7 % at 7,682.27 (close)
Frankfurt – DAX 30: UP 0.5 % at 12,579.72 (close)
Paris – CAC 40: UP 1.3 % at 5,387.38 (close)
EURO STOXX 50: UP 1.1 % at 3,441.60 (close)
Tokyo – Nikkei 225: DOWN 0.8 % at 22,516.83 (close)
Hong Kong – Hang Seng: UP 0.2 % at 29,338.70 (close)
Shanghai – Composite: UP 0.5 % at 2,889.76 (close)
Euro/dollar: UP at US$1.1658 from US$1.1604 at 2100 GMT
Pound/dollar: UP at US$1.3260 from US$1.3240
Dollar/yen: DOWN at 109.98 yen from 109.99 yen
Oil – Brent Crude: UP US$2.50 at US$75.55 per barrel
Oil – West Texas Intermediate: UP US$3.04 at US$68.58 per barrel — AFP
NEW YORK, June 23 — Oil prices soared yesterday after oil producers agreed to modest crude output increases to compensate for losses in production at a time of rising global demand. The Organisation of the Petroleum Exporting Countries and other…
NEW YORK, June 23 — The S&P 500 and Dow Jones Industrial Average climbed yesterday, as the Dow put to rest an eight-day losing streak with a boost from energy stocks, but losses in the technology space kept the Nasdaq in check. US crude…
LONDON, June 22 — World stock market rose today, seemingly unworried by a global trade war that got underway when Brussels slapped retaliatory tariffs on the United States. Oil prices continued to rise after the Organisation of the Petroleum…
NEW YORK, June 22 — Energy and bank stocks led the S&P and Dow higher today, though a decline in technology shares capped gains and pushed the Nasdaq slightly lower. The benchmark Brent crude jumped 1.9 per cent to US$74.48 (RM298) a barrel,…
LONDON, June 22 — Oil prices rose sharply today as Opec agreed a modest increase in output to compensate for losses in production at a time of rising global demand. Benchmark Brent crude jumped US$2.29 a barrel, or 3.1 per cent, to a high of…
VIENNA, June 22 — Opec agreed today on a modest increase in oil production from July after its leader Saudi Arabia persuaded arch-rival Iran to cooperate amid calls from major consumers to help reduce the price of crude and avoid a supply…