Saudi Arabia

UN Admits Extortion Behind Removal Of Saudi Arabia From Child-Killer Blacklist

No indications for what - if anything - will result from the secretary general’s acknowledgement that extortion played a key factor in the highly contentious removal of the Saudi-led, U.S.-backed coalition from the blacklist. Considering the enormity of the announcement and the heft of the financial weapon wielded, that question is imperative going forward.

Goldman Prepares To Turn Bearish On Oil Again; Boosts 2016 Bond Default Target By 25%

"After a quiet Jan/Feb, E&P bankruptcies picked up steam in late 1Q ahead of spring borrowing base redeterminations. By our math, about $30bn of par value debt has defaulted in the HY E&P space YTD, representing about a 17% default rate. On the back of our bottom up analysis we are now raising our full year default forecast to 21% from 17% previously."

Saudis Threaten To Leave U.N. Over Human Rights Criticism In Yemen

Saudi Arabia warned The U.N. this week that it would pull hundreds of millions of dollars from programs if it was singled out for killing and maiming children in Yemen. Shockingly, as ForeignPolicy reports, the threat - which has not been previously reported - worked, and the U.N. subsequently dropped the Saudis from a rogues’ gallery of the world’s worst violators of children’s rights in conflict zones.

Saudi Arabia To Tax Millions Of Foreign Residents To Raise Cash

Although oil has rebounded off the recent lows, the Saudi budget remains stretched and in an attempt to help raise revenues in the short term (and transition away from dependency on oil in the longer term), the government is weighing an income tax on expat workers. There are nine million foreigners living and working in Saudi Arabia said Mufrej Al-Haqbani, the country's labor minister, and Finance Minister Assaf said that there are no plans to tax Saudi nationals.

Frontrunning: June 7

  • Soothing Fed sounds send stocks to five-week high (Reuters)
  • Clinton reaches magic number in fight for Democratic nomination (Reuters)
  • Euro-Area Economy Grows Faster as Consumption Gathers Pace (BBG)
  • Trump unyielding on Hispanic judge uproar (Reuters)
  • European Firms Find ‘Increasingly Hostile’ Environment in China (WSJ)
  • China tells U.S. to play constructive South China Sea role (Reuters)

S&P Nears All Time High, Global Stocks Rally As Dovish Yellen Unleashes Animal Spirits

Stock whisperer Yellen said all the right things yesterday, when she sounded more optimistic than pessimistic on the economy but while the economy is "strong" it is most likely not strong enough to weather a rate hike in the immediate future. As a result, the S&P 500 climbed toward a record on Monday (and continued rising overnight) after Yellen said she expects to raise interest rates only gradually and held off from specifying any timeframe, a shift from her May 27 stance that a move was probable “in the coming months.” This was interpreted that both a June and July rate hike are now off the table, with September odds rising modestly.

Jeffrey Sachs Destroys Hillary Clinton's Foreign Policy Speech

"Clinton is a deeply flawed and worrisome candidate. Her record as Secretary of State was one of the worst in modern U.S. history; her policies have enmeshed America in new Middle East wars, rising terrorism and even a new Cold War with Russia. Clinton is intoxicated with American power. She has favored one war of choice after the next: bombing Belgrade (1999); invading Iraq (2003); toppling Qaddafi (2011); funding Jihadists in Syria (2011 till now). The result has been one bloodbath after another, with open wounds until today fostering ISIS, terrorism, and mass refugee flows"

Iran Oil Exports Soar As Offshore Tanker Armada Comes To Tehran's Rescue

More than 25 European and Asian-owned supertankers are shipping Iranian oil, data seen by Reuters shows, allowing Tehran to ramp up exports much faster than analysts had expected following the lifting of sanctions in January. Iran was struggling as recently as April to find partners to ship its oil, but after an agreement on a temporary insurance fix more than a third of Iran's crude shipments are now being handled by foreign vessels.

"Do I Have A Problem With That, Ya I Do" - Sanders Slams Hillary's Clinton Foundation Conflict Of Interest

"You asked me about the Clinton Foundation, do I have a problem when a sitting secretary of State and a foundation run by her husband collects many millions of dollars from foreign governments, governments which are dictatorships, you don't have a lot of civil liberties or democratic rights in Saudi Arabia. You don't have a lot of respect there for gay rights, for women's rights - do I have a problem with that, ya I do"

Hillary Clinton Is The Clear Candidate Of The War Party

Last week, Hillary Clinton gave up trying to compete with Bernie Sanders on domestic policy. Instead, she zeroed in on the soft target of Donald Trump’s most “bizarre rants” in order to present herself as experienced and reasonable. Evidently taking her Democratic Party nomination for granted, she is positioning herself as the perfect candidate for hawkish Republicans.

Does Iran Have The Upper Hand In OPEC Oil War

The fight between the two for supremacy in the Middle East region is unlikely to end anytime soon. Currently, supply outages to the tune of 3.5 million b/d are supporting the oil prices by creating a balance between demand and supply. Once Nigeria, Libya, and Canada resume pumping at their normal levels, the effects of the struggle between Iran and Saudi Arabia will be felt. If both increase production, the world will be awash with oil, pulling prices back to the mid $30/barrel levels.

Futures Flat Following Friday's Jobs Fiasco: All Eyes On Yellen Again

Every ugly jobs report has a silver lining, and sure enough following Friday's disastrous jobs report, global mining and energy companies rallied alongside commodities after the jobs data crushed speculation the Fed would raise interest rates this month.  “The disappointing U.S. jobs report on Friday means that a summer Fed rate hike is off the table,” said Jens Pedersen, a commodities analyst at Danske Bank. “That has reversed the upwards trend in the dollar, supporting commodities on a broader basis. The market will look for confirmation in Yellen’s speech later today.”

What Most Syrians See Of Their War

Not only are the various jihadist groups despised by from two-thirds to around 80% of the Syrian public, but at least 55% of Syrians would vote for Bashar al-Assad to be the country’s leader, in any free and fair election — and Obama knows this, which is the reason why he has strenuously opposed democracy in Syria, and even Ban ki-Moon has (though very quietly) condemned Obama’s position that rejects democracy in Syria. Furthermore, the Syrian people overwhelmingly (by 82%, to be exact) cite the U.S. as being the main source of the immense suffering they face.