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Saudi Arabia’s oil exports hit a 19-month low in May

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Saudi Arabia’s oil exports hit a 19-month low in May

Saudi Arabia’s crude oil exports fell to a 19-month low, data from the Joint Ventures Data Initiative (JODI) showed, as cheaper Russian oil attracted some key Asian buyers.

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Saudi Arabia’s crude oil exports fell about 5.3 percent, from 7.32 barrels per day in April to 6.93 million barrels per day in May, the lowest level since October 2021, Reuters news agency reported.

Saudi Arabia’s crude oil exports fell to a 19-month low, data from the Joint Ventures Data Initiative (JODI) showed, as cheaper Russian oil attracted some key Asian buyers.

Riyadh and other members of the Organization of the Petroleum Exporting Countries (OPEC) provide JUDI with monthly export figures, which it publishes on its website.

Saudi Arabia’s crude oil production fell by 502,000 barrels per day to 9.96 million barrels per day in May from April levels, while inventories fell by 1.16 million barrels to 148.24 million barrels.

Local refineries processed 2.59 million barrels of crude oil per day, down 100,000 barrels per day, while crude direct burning rose 89,000 barrels per day to 478,000 barrels per day in May.

Exports of the country’s petroleum products fell by 174,000 barrels per day to 1.37 million barrels per day in May.

Data from business and industry sources last month showed India’s Russian oil imports rose to a new record high in May, further reducing the share of Middle Eastern and African crudes.

Russian oil imports rose to unprecedented levels in May, Chinese government data showed, as private refiners received discounted shipments from embargoed “Espoo” and “Ural” crudes.

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Earlier this month, Saudi Arabia extended production cuts of one million barrels per day until August. Russia and Algeria voluntarily cut output by 500,000 barrels per day in August and export levels by 20,000 barrels per day in the same month.

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Economy

The central banks’ inflation-busting train reaches a major stop

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The central banks’ inflation-busting train reaches a major stop

London – The central banks of the world’s biggest economies have announced they will keep interest rates at levels necessary to control inflation, even as global policy tightening reaches an unprecedented two-year high.

“Higher for longer” is now the official position of the US Federal Reserve, the European Central Bank and the Bank of England, and is echoed by monetary policymakers from Oslo to Taipei.

For central bankers who were first criticized for being slow to detect rising inflation after the coronavirus pandemic and later warned not to overdo their response, the prize of returning the global economy to stable prices without recession is now in sight.

Their aim is to keep financial markets from backing away from early rate cuts and watch out for new risks such as higher oil prices, hoping to help governments prepare budgets that don’t lead to hyperinflation.

Last Thursday, Bank of England Governor Andrew Bailey said after policymakers decided to keep the key interest rate at 5.25 percent, “we need to keep interest rates high enough for long enough to get the job done.”

Pierre Funche: Monetary policy is now at the right level

A day earlier, US Federal Reserve policymakers had a similar message. They kept benchmark interest rates at 5.25 and 5.5 percent, but insisted they would continue the inflation war until 2026.

In Europe, central bank chief Christine Lagarde was adamant last week that a further hike in the 20-nation euro zone could not be ruled out.

The central banks of Norway and Sweden hinted they may raise rates again on Thursday, and the Swiss central bank kept the possibility of raising interest rates further despite inflation at a comfortable 1.6 percent.

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In Asia, Taiwan’s central bank signaled the continuation of its hawkish policy while the Turkish central bank confirmed its hawkish shift. The South African Reserve Bank kept its key interest rate steady, but policymakers pointed to continued risks to inflation expectations.

Important are the Bank of Japan and China’s central bank, which kept interest rates extremely low on Friday.

“Monetary policy is now at the right level,” Belgian central bank chief Pierre Funche said Thursday, an early voice urging tougher measures to tackle inflation from the end of 2021.

“At some point, we fell behind and I think there’s some catching up to do,” Funch, a member of the European Central Bank’s governing body, told the Reuters Global Markets Forum. But it’s over. “We caught it.”

Despite the gradual slowdown, inflation in most major economies is still above the two percent target level, which central bankers consider healthy.

Last August, the consumer price index in the United States reached 3.7 percent, but inflation in the euro zone remained high despite falling compared to last year, which reached 5.2 percent.

Still, investors remain skeptical, with central banks skeptical about the strength of the world’s second-largest economy and geopolitical concerns over the Ukrainian war and US-China rivalry.

“By this time next year, we expect 21 of the world’s 30 major central banks to cut interest rates,” Capital Economics said in a report titled “A Turning Point for Global Monetary Policy.”

The potential development rattled markets on Thursday as global stocks fell and the dollar rose, with Treasuries rising to levels last seen before the Great Financial Crisis. The pound sterling and Swiss franc fell.

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21 of the world's 30 major central banks will cut interest rates by this time in 2024.
◙ 21 of the world’s 30 major central banks will cut interest rates by 2024

However, the prospect of global interest rates often nearing peak would be a big relief for emerging economies struggling with heavy debt service burdens.

As the U.S. and Europe are expected to one day avoid outright recession, the alluring vision of a “soft landing” for the global economy is returning to the horizon, thanks mainly to unusually buoyant labor markets.

Policymakers admit they still don’t agree on an explanation. Some point to companies keen to avoid a repeat of the skills shortages they experienced when the global economy took off in 2021 after lockdowns aimed at curbing the pandemic and “labour hoarding”.

This unsolved mystery means that opinions are divided about what constitutes real power in the global economy.

Bank of Japan Governor Kazuo Uede cautioned against declaring victory yet. “We have seen growing hopes for a soft landing for the US. But there is still uncertainty as to whether this is actually happening,” he said.

Some experts, therefore, detect a tone of uncertainty in the US Federal Reserve’s stance on the possibility of raising interest rates again this year.

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Economy

Historic strike by US auto workers expands

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Historic strike by US auto workers expands

The intensity of a historic strike by auto workers in the U.S. has entered its eighth day after two major groups were called to join the action, amid fears it could disrupt production, disrupt supply chains and hurt Americans. Economic development.

On Friday, Sean Fine, president of the United Auto Workers union, called on parts distribution centers of General Motors and Stellandis to stop work until Friday afternoon at 38 distribution centers in 20 US states.

Last week, the United Auto Workers union began an unprecedented simultaneous strike at an assembly plant for General Motors, Ford and Stellar, but analysts expect an expansion of the strikes to include factories that make more profitable trucks like Ford’s F-150 and Chevrolet Silverado. GM and Ram from Stellandis.

Fine explained that the three factories that have been on strike since September 15, when collective agreements expire without agreement on new contracts, will continue their operations.

About 12,700 workers went on strike at factories in Missouri, Michigan and Ohio that produce the Ford Bronco, Jeep Wrangler, Chevrolet Colorado and other popular models.

The union leader warned that more of the 146,000 union members working at the three companies in Detroit will join if new contracts are not reached before 1600 GMT on Friday.

The union’s president announced an extension of the strike at General Motors and Stellandis teams, citing a lack of progress in negotiations that had made “real progress” with Ford. He confirmed that a “breach” had been made, but that “serious problems” remained.

The union is demanding a 40 percent pay rise over four years, which is equivalent to what the leaders of these groups have received in the past four years. All three companies proposed a 20 percent wage hike over four-and-a-half years.

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The union called on US President Joe Biden, who has supported the strikers on several occasions, to join the action.

Biden advocated “fair sharing of record profits.” On Wednesday he said he was “proud” that his administration was described as “the most pro-union administration in American history.”

The union is also demanding scrapping of the tiered pay structure, which it says has created a huge gap between new and old employees.

Standard & Poor’s said the strikes, which began on Sept. 15 and will continue for several weeks, could reduce U.S. third-quarter gross domestic product by 0.39 percent and cause “disruptions” to global auto supply chains.

Earlier, all three companies confirmed that they were preparing contingency plans to face further strike action in the US.

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Economy

لمائة قرير البنك القربة المصري تعليقة تعريف العربية?.. برقميون يجيبون

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لمائة قرير البنك القربة المصري تعليقة تعريف العربية?.. برقميون يجيبون

Cairo, Egypt (CNN) — The Central Bank of Egypt decided, Thursday, to keep interest rates at 19.25% and 20.25%, respectively, “attributing inflation to the bank’s expectations,” according to the bank’s view. زیادة فیلم “لم تعریف المنتدى الإناسب للدرترة على الثنفلة في قرآن”, في ذل تفعلهه بكريسة على المنتدى الأجنبي.

And Egypt faced an economic crisis with the outflow of indirect foreign investments and the rise of the import bill in the wake of the wave of global inflation and the outbreak of the Russian-Ukrainian war, and this crisis affected the shortage of foreign currency and the rise of the local inflation rate to unprecedented levels, which prompted the Central Bank of Egypt to increase interest rates by 1100 basis points. منذ شهر March 2022.

Al-Khair Banker Hani Abu Al-Futuh said that the Egyptian Central Bank remained on the interest rate “as a result of the failure to increase the interest rate in controlling the rate of inflation or even close the inflation gap with the bank’s targets at 7% (±2 percentage points) during the fourth quarter of 2024”. It is modeled after the central bank increased the interest rate by 11 percentage points since March 2022 when core inflation reached 40.4% by the end of August, indicating that “raising the interest rate is no longer a viable monetary tool to control inflation”.

The Central Bank of Egypt raised interest rates 6 times between March 2022 and August 2023 by a total of 1100 basis points divided between 800 basis points during 2022 and 300 basis points between March and August of the current year.

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Abu al-Futuh added, in a special statement to CNN in Arabic, that “the reasons for the increase in the rate of inflation in Egypt are related to the crisis of the shortage of foreign currency, which affected the accumulation of goods in the port, and the increase in the cost of importing production supplies and raw materials, and with the continuation of the shortage of the dollar, the increase in the interest rate in Egypt will not be able to control inflation, unlike the United States of America, which succeeded in tightening monetary policy during the past months in order to control inflation, which led the American Fed to stabilize interest rates in the last meeting.

According to the data of the Central Bank of Egypt, the annual rate of inflation in the city rose to 37.4% in August 2023 from 36.5% in July 2023, and saw the annual rate of core inflation drop to 40.7% in July 2023 and 40.4% in August 2023. 2023 compared to 41.0% in June 2023

And I expected the Central Bank of Egypt to increase the interest rate at the last meeting of the Monetary Policy Committee during 2023, and related the decision to the government’s ability to treat the main causes of the increase in the rate of inflation, thus increasing the interest rate will play a role in controlling inflation.

واقدت السيسائي المنذاء بالبنك کنبری 6 meetings during عام 2023 The first day is 2 November and the second day is 21 December.

The expert banker Tarek Mutawli said that fixing the interest rate “comes within the framework of the government’s vision to reduce the impact of the economic crisis on citizens, as the inflation rate is far from the target of the Central Bank of Egypt and the rate has reached unprecedented levels of more than 40%, which would have required an increase in the interest rate to control the “Al-inflation except that the state adopts a vision to mitigate the negative impact of the economic crisis on the Egyptian citizen”.

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During this week, the government allocated a new 60 billion pounds (1.9 billion dollars) to increase the wages of state employees and beneficiaries of the program “تكافل وكرامة”, which is a program of cash support for the most needy people, in order to alleviate the burden on citizens.

Metwalli agreed, with what Hani Abu al-Futuh mentioned, that the interest rate increase is no longer the most appropriate monetary tool to control the inflation rate, which has reached levels far from the target of the central bank, and that the interest rate increase is mainly related to the increase in cost as a result of the foreign currency shortage crisis, adding that The central bank favors to fix the interest rate हित्य युच्च मन तथायाइत करीजी अल्याण अल्याज़ी

And Tarek Mutoli, in a special statement to CNN in Arabic, linked the interest rate increase to zero during the last meeting of the monetary policy committee at the central bank this year, to improve the global economic situation, and to overcome the crisis of foreign currency shortage locally, which may prompt the central bank to continue stabilizing until the end of the year. 2023.

The Federal Reserve Bank of America and the Bank of England stayed on the interest rate during their meeting on Wednesday, leaving the interest rate in the range of 5.25 and 5.50%, the highest level for the United States in nearly 22 years.

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