The global economy is headed for “this soft landing we have been dreaming of,” IMF Managing Director Kristalina Georgieva said yesterday at the World Government Summit, according to Reuters. Georgieva also expects global monetary policy will begin to loosen in the coming months, with major economies such as the US set to start cutting interest rates by mid-2024. However, a prolonged war in Gaza, coupled with the Red Sea crisis, will threaten to bring about “unintended consequences in terms of where the fighting goes, then it can become much more problematic for the world as a whole,” Georgieva warned.

Despite regional tensions, a “decent year” is ahead, BofA says: Regardless of geopolitical crises, which have not “impacted flows in any material way,” global markets were off to a good start this year, president of International for Bank of America Bernard Mensah said, agreeing with Georgieva that 2024 is expected to be a “decent year” for market growth, Reuters reports.

The UAE’s economy is on an upward trajectory, along with the broader regional economy, Mensaid said, pointing to the “acceleration in terms of their economic outlook and their economic agenda and the good IPO activity.” Mensah also lauded the UAE’s economy for its resilience and “dynamism” in an interview with Wam.

ADX

9,324

-0.2% (YTD: -2.7%)

DFM

4,210

+0.7% (YTD: +3.7%)

Nasdaq Dubai UAE20

3,730

+0.3% (YTD: -2.9%)

USD : AED CBUAE

Buy 3.67

Sell 3.67

EIBOR

5.0% o/n

5.1% 1 yr

TASI

12,295

+0.7% (YTD: +2.8%)

EGX30

28,494

+1.1% (YTD: +14.5%)

S&P 500

5,022

-0.1% (YTD: +5.3%)

FTSE 100

7,574

0.0% (YTD: -2.1%)

Euro Stoxx 50

4,746

+0.7% (YTD: +5.0%)

Brent crude

USD 82.00

-0.2%

Natural gas (Nymex)

USD 1.77

-4.3%

Gold

USD 2,033

-0.3%

BTC

USD 50,062

+3.8% (YTD: +18.5%)

THE CLOSING BELL-

The ADX fell 0.2% yesterday on turnover of AED 885.6 mn. The index is down 2.7% YTD.

In the green: Fujairah Cement Industry (+8.8%), Foodco National Foodstuff (+8.0%) and Easy Lease Motorcycle Rental (+3.9%).

In the red: Ooredoo (-7.7%), Gulf Cement (-6.5%) and Eshraq Investments (-5.1%).

Over on the DFM, the index rose 0.7% on turnover of AED 312.7 mn, while Nasdaq Dubai rose 0.3%.

Asian markets are a mixed bag this morning: The Nikkei and Kospi are handily in the green, but Chinese markets remain closed for the Lunar New Year holiday, so there’s nothing to report out of Hong Kong or Shanghai. Looking ahead: Futures suggest a weak open in both Europe and on Wall Street later today.

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