UAE can overcome Dubai debt challenges - official
DUBAI: Top Emirates officials rallied together Wednesday, extolling the strength of the country’s economy in a show of bravado that ignored the debt woes facing the one-time Arab boomtown of Dubai. In speeches on the national holiday marking the unification 38 years ago of seven small desert fiefdoms into the United Arab Emirates, they stressed the country’s push to grow and diversify its economy to face any adversity. Their speeches did not mention the crippling billion debt owed by Dubai World, the city state-owned conglomerate with interests ranging from ports to luxury retailer Barney’s New York that have powered the emirate’s growth. Dubai World shocked global markets last week by announcing it would Ask creditors for at least a six-month reprieve in payments on billion of its debt as it undergoes a restructuring process. The announcement sent ripples of fear throughout the world as investors worried both about Dubai World’s possible Default and that it was an indication of broader global problems that could undermine the world’s shaky recovery from the worst recession in decades. Dubai had built itself up from a desert hamlet to a Middle Eastern Disneyland on borrowed cash. Cheap Credit over the past few years provided developers with the money they needed for soaring skyscrapers and luxury residential compounds on man-made islands. The global meltdown dried up that Liquidity and property prices collapsed as the bills came due. Fears about Dubai’s inability to pay sent global markets tumbling sharply last week and hammered ones in the Gulf region earlier this week, with the UAE’s main bourses posting losses as high as 8 percent in one day. But on the national holiday, UAE officials were upbeat. “There is no doubt that the drastic changes and challenges which the global economy is facing prove that the (UAE) economy is strong, built on a solid foundation able to withstand crisis, no matter how difficult,” said Economy Minister Sultan al-Mansouri. “We reaffirm the strength of the economy, and its ability to overcome upcoming challenges,” Mansouri added, according to the official news agency, WAM. Nasser al-Sweidi, chief of the Abu Dhabi Economic Department, reaffirmed the country’s pride in the “wise political leadership” that has steered the economy toward Diversification and development of non-oil sectors. “The economy was able to maintain its strength and steadfastness throughout 2009 amid the international financial and economic crisis,” Sweidi said. However, authorities have fueled investor concerns by saying that Dubai World’s debt crunch was its own – and not something for which the Dubai government was responsible. The uncertainty over how Dubai World and Dubai itself will deal with the debt sent global markets spiraling late last week, while the two biggest UAE bourses and others in the Gulf Arab region recorded sharp drops starting Monday, the first day of business after an extended Islamic holiday. Dubai World recently said it launched debt restructuring talks with creditors on billion of its dues. The company said that the restructuring would include about billion in Islamic bonds issued by its real-estate arm, Nakheel, the company behind Dubai’s iconic, palm-shaped artificial islands. About .5 billion of the bonds come due on December 14, and Nakheel was viewed as the litmus test for how the company would deal with its debt woes. The company did not address the broader issue of how it would meet its entire crushing debt burden. Excluded from the process were debts from Infinity World Holding, Istithmar World and Ports & Free Zone World. That subsidiary includes ports and terminal operator DP World, Economic Zones World, P&O Ferries and Jebel Ali Free Zone, which on Tuesday said it paid a roughly billion Islamic bond on time. Among other unanswered questions were whether and with how much Abu Dhabi, the oil-rich seat of the UAE’s federal government, would step in with some sort of bailout. Analysts have said the government would likely not allow a major default, but that any steps taken by Abu Dhabi would come at a price for Dubai, whose meteoric and glitzy rise to fame far overshadowed Abu Dhabi’s more conservative, oil Revenue driven development push.
Thursday, December 3, 2009
DUBAI WORLD - UAE HAS REASON TO BE PROUD
UAE has every reason to be proud, UAE paper
Dec 3, 2009 - 09:41 - WAM Sharjah, Dec, 3rd 2009 (WAM) -- As the United Arab Emirates (UAE) celebrates its 38th National Day, the leadership and people of the country have every reason to be proud of what they have achieved. From windswept oases has sprung a vibrant country that is a match to any advanced state in the East or West, commented a UAE daily. At the same time, the UAE has not allowed modernism to have any impact on the Arab culture and traditions that its people hold so dear and near and His Highness Sheikh Mohammed Bin Rashid Al Maktoum, Vice- President, Prime Minister and Ruler of Dubai and indeed the Supreme Council Members assured everyone on the occasion of the National Day, the UAE is stronger and better off because its economy is fine and the society is founded on integrity, transparency, rights, freedom and respect, opined Sharjah based-English language newspaper " The Gulf Today" in its today's editorial "UAE has every reason to be proud". "Indeed, the prosperity that the UAE enjoys is a source of envy for many around the world who lack the vision and foresight of the leadership of the UAE. And it is behind the Trend of some to grab and take any opportunity to try to taint the UAE's image", it added."We have been seeing this happening since the global economic recession that hit late last year. We have seen a consistent pattern of attempts to paint the UAE in a negative light. It was as if someone had a hidden agenda and a dictated game was being played out by people who appeared to be giving vent to their frustrations through badmouthing", the paper underscored.Well, those attempts did not really have an impact because both local and foreign residents of the region and beyond know that the UAE's economy remains as strong as ever and is poised to grow faster than most others elsewhere.Of course, no country is spared from the effects of the global economic recession. The UAE is not an exception to the global chain of events. However, the UAE has not only withstood the impact of the recession but has also adjusted and accommodated itself to the changes in the global economic scene. "It is looking forward to continued economic growth and prosperity for its people with confidence. And that stands out as one of the country's most notable achievements as it celebrates its National Day with a united voice and determination to march ahead in full force", it concluded. WAM/AMIR
Dec 3, 2009 - 09:41 - WAM Sharjah, Dec, 3rd 2009 (WAM) -- As the United Arab Emirates (UAE) celebrates its 38th National Day, the leadership and people of the country have every reason to be proud of what they have achieved. From windswept oases has sprung a vibrant country that is a match to any advanced state in the East or West, commented a UAE daily. At the same time, the UAE has not allowed modernism to have any impact on the Arab culture and traditions that its people hold so dear and near and His Highness Sheikh Mohammed Bin Rashid Al Maktoum, Vice- President, Prime Minister and Ruler of Dubai and indeed the Supreme Council Members assured everyone on the occasion of the National Day, the UAE is stronger and better off because its economy is fine and the society is founded on integrity, transparency, rights, freedom and respect, opined Sharjah based-English language newspaper " The Gulf Today" in its today's editorial "UAE has every reason to be proud". "Indeed, the prosperity that the UAE enjoys is a source of envy for many around the world who lack the vision and foresight of the leadership of the UAE. And it is behind the Trend of some to grab and take any opportunity to try to taint the UAE's image", it added."We have been seeing this happening since the global economic recession that hit late last year. We have seen a consistent pattern of attempts to paint the UAE in a negative light. It was as if someone had a hidden agenda and a dictated game was being played out by people who appeared to be giving vent to their frustrations through badmouthing", the paper underscored.Well, those attempts did not really have an impact because both local and foreign residents of the region and beyond know that the UAE's economy remains as strong as ever and is poised to grow faster than most others elsewhere.Of course, no country is spared from the effects of the global economic recession. The UAE is not an exception to the global chain of events. However, the UAE has not only withstood the impact of the recession but has also adjusted and accommodated itself to the changes in the global economic scene. "It is looking forward to continued economic growth and prosperity for its people with confidence. And that stands out as one of the country's most notable achievements as it celebrates its National Day with a united voice and determination to march ahead in full force", it concluded. WAM/AMIR
Thursday, November 19, 2009
TREND CAN BE YOUR ENEMY TOO !
True, Trend is you friend but it can be your enemy too.
Do not follow blindly.
Do not follow blindly.
Wednesday, November 18, 2009
FBMKLCI - TRADING POSITION - NOVEMBER
Indicator 1
- Long at 1243, liquidate at 1273 - 30 points
- Short at 1273, liquidate at 1282 - minus 9 points
Total points - 21
- Long at 1282, still holding on 19th
Indicator 2
- Long at 1243, still holding on 19th
- Long at 1243, liquidate at 1273 - 30 points
- Short at 1273, liquidate at 1282 - minus 9 points
Total points - 21
- Long at 1282, still holding on 19th
Indicator 2
- Long at 1243, still holding on 19th
FBMKLCI - PERFORMANCE - OCTOBER 2009
Performance of FBMKLCI - Month of October
Indicator 1 and 2
- Long at 1206, liquidate at 1260 - 54 points
- Short at 1260, liquidate at 1243 - 17 points
Total points - 71
Indicator 1 and 2
- Long at 1206, liquidate at 1260 - 54 points
- Short at 1260, liquidate at 1243 - 17 points
Total points - 71
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