When Can I Buy Shares of...? - Saudi Aramco Listing Still On

The public listing of Saudi Arabia's state-owned oil titan,Saudi Aramco,is still going to happen,insisted CEO Amin Nasser to CNBC on 23 September 2018.The plan to make an Initial Public Offering of Saudi Aramco shares has been postponed indefinitely while the company pursues a large 70% stake in Saudi Basic Industries,a petrochemicals concern.
According to Mr.Nasser:
From our side,I just want to say-reiterate-that the Government has announced that they are committed to the IPO.
It's a major deal.We are doing the due diligence currently.And you cannot list while you are going through an acquisition of this size.*
Saudi Aramco explains:
To achieve our vision,we continue to make progress on our journey to grow additional value and strengthen our resilience to crude oil market volatility through the strategic integration of our downstream operations and the development of our chemicals business.
The scale of our upstream and downstream operations,and our expertise across the hydrocarbon value chain,position us to identify and capitalise on new opportunities and enter new markets.
The expansion of our downstream activities will increase our global presence,creating greater sustainable competitive advantage.*
Mr.Nasser adds:
The National Transformation Programme,designed to build the institutional capacity needed to achieve the ambitious goals of Saudi Arabia's Vision 2030,reaffirms Saudi Aramco's role as an important driver of the Kingdom's growth and enables the expansion of our commercial ecosystem.

Alaska's New Treasure Trove - massive oil reserves

Alaska residents get a percentage of each year's oil revenue in the form of an annual check from the state government,so those checks could be noticeably larger in the years ahead,in light of recent energy discoveries in the 50th state.For one,the Caelus field,off Alaska's North coast,was declared in October 2016 by Caelus Energy Alaska to have the potential of providing 200,000 bbl a day for the Trans-Alaska Pipeline,which has seen a 37% decrease over the past decade.What is more,it is a light sweet crude reserve.This type of oil is in high demand because it is easier to pump and extract-and it makes up only 30% of the world's reserves.*
Oil and gas comprise 90% of Alaska's revenue,but the Trans-Alaska Pipeline is three-quarters empty,said Alaska Governor Bill Walker.This should be remedied by such finds as that by Spanish firm Repsol and its partner Armstrong Energy.Their onshore Nanushuk play could hold up to 3.76 billon bbl,according to an independent assessment.Repsol gives a conservative 1.2 billion barrel estimate for the entire complex.Geologists say it is in a long-overlooked,shallow formation.Senator Dan Sullivan,R-Alaska,said:
This announcement,with the state working together as a partner with Congress;the new administration;and the private sector,could usher in a new renaissance of economic growth and job creation in Alaska.*
Indeed,ConocoPhillips has also made a discovery in the same National Petroleum Reserve-Alaska that could yield up to 100,000 bbl a day.*
ConocoPhillips Inc (COP),Repsol SA (ADR):(REPYY)

Top Holdings of Billionaire Carl Icahn

Billionaire activist investor Carl Icahn's top holdings,according to SEC Form 13F and InsiderSense, include:
1.Icahn Enterprises LP (IEP) 27.54%
2.Apple Inc (AAPL) 20.87%
3.CVR Energy (CVI) 10.48%
4.Paypal Holdings Inc (PYPL) 5.15%
5.Cheniere Energy Inc (LNG) 4.94%
6.Hologic Inc (HOLX) 3.95%
7.Nuance Communications (NUAN) 3.56
8.Freeport McMorAn (FCX) 3.47%*
Mr.Icahn's two nominees are to become members of Freeport McMorAn's board of directors.The company has been hit hard by the global decline of core commodity prices.It is the leading publicly traded miner of copper and the leading miner of molybdenum,with significant gold,oil and natural gas projects as well.Based in Phoenix,Arizona,Freeport has a global workforce of about 80,000 in North and South America,Africa and Indonesia.It has exploration targets in the Americas and Morocco.*
Carl Icahn,79,was educated at Princeton University,New York University and NYU School of Medicine.His New York-based firm,Icahn Enterprises,is a diversified holding company.Mr.Icahn,who sometimes appears on business television,has a net worth of 22.5 billion dollars.He is married to Gail Icahn and the father of Brett and Michele Icahn.

Looking At Big Oil In Light of Crude's Price Increase

Since oil prices bottomed on 17 March,closing at 43.88 bbl for NYMEX crude and 53.94 bbl for Brent,analysts have been re-examining oil industry profit forecasts for Q2,raising the estimates as prices climbed back up.Now they are calling for 20% higher profits on average.Shares of most oil industry stocks are predicted to rise 17% over the next 18 months.
For example,oil services firm Transocean has an earnings estimate that has been raised a hefty 80.9%;while Exxon Mobil's has been raised 13.7 % and Chevron's earnings estimate has been hiked 8.7%.Transocean stock is considered overvalued at this time,so it has an average analysts' recommendation of underweight.Exxon has an average recommendation of hold with a price target of 94.35,and Chevron has a hold rating as well and a price target of 113.20.
Transocean has exceeded its price target of 14.19;while Exxon and Chevron are still below theirs-they have room to climb.On the dividend front,Transocean pays 0.85%;Exxon 3.49%;and Chevron leads the pack with a 4.31% payout.*
Today,15 June,NYMEX crude closed at 59.61,and Brent at 62.70.Transocean stock closed at 17.61;Exxon at 83.72;and Chevron at 99.29.All three stocks,as well as crude oil itself,were down on the day from Greek default fears and an oil supply glut.While Transocean stock has risen sharply since the price of oil bottomed out on 17 March,rising from 14.02 up to today's 17.61,Exxon's stock has been flat and Chevron's has declined 3.2%.Only Transocean stock has responded to the oil price climb as of yet,but to the point of rising too much.*
Transocean (RIG),Exxon Mobil (XOM),Chevron (CVX)

Hedge Fund Founder Disses Pioneer Resources

David Einhorn,founder and president of the Greenlight Capital hedge fund,has bitterly criticised shale oil extractor Pioneer Resources.The fracking company loses about 12.00 for each barrel of oil equivalent production,by Mr.Einhorn's reckoning,and its cash flow generation is falling,even as it spends too much on such amenities as cars and buildings.He conducted a discounted cash flow analysis that revealed a negative value.Among other problems,Pioneer has not adjusted its resource estimates to account for lower oil and gas prices.
Mr.Einhorn is consequently shorting several shale oil companies such as Pioneer and Whiting Petroleum.He thinks Pioneer's stock will drop precipitously.*
Such companies get better at drilling wells,counters Leo Mariani of RBC Capital Markets.Over time,we expect materially better returns.I certainly don't believe you're seeing losses of that magnitude;you're seeing operating and personnel costs drop.Certainly we've seen more than 16 billion of equity raised.Pioneer is selling some assets from the Eagle Ford,Texas shale holdings.There certainly is no issue with the balance sheet of Pioneer.It's one of the strongest companies in the sector.
All shale is not created equal.There are haves and have-nots.He makes some valid points,but there's no doubt that the strongest plays can make good returns in certain parts of the country.Even if the stock were to tank,I don't see the company selling itself.I guess it's possible,but I don't think it's a certainty Pioneer would sell itself,Mr.Mariani concluded.*
Pioneer Resources Inc (PXD)

Saudi Aramco Raises Asian Oil Prices;Brent and WTI Prices Follow Suit

Saudi Aramco Oil Co. has raised its prices for all crude grades to be sold to Asia in May by thirty cents,based on strong refining margins in the region and a strong Dubai crude benchmark price.These factors could reflect strong Asian demand for oil.It is the second month in a row the state-owned energy titan has raised crude prices.
Other factors boosting crude prices may include the continued fighting in Yemen between a Saudi-led coalition of states and Iranian-backed Houthi Shiite rebels,and a weaker US dollar on Friday's lackluster employment report;as well as the realisation that sanctions on Iranian oil will not be meaningfully lifted for at least a year,even if the recently achieved framework agreement receives final approval from US and Iranian authorities.Morgan Stanley issued a report saying that,while clearly a bullish headline,a final deal and full lifting of sanctions still faces a number of obstacles.Even if a final deal is reached,we do not expect any physical market impact before 2016,said Adam Longson,head of oil research at the investment bank.
Oil prices on both sides of the Atlantic rose sharply Monday.NYMEX WTI crude futures rose 6.1 % to close at 52.14 bbl;while London Ice Futures Brent crude climbed 5.8% to 58.12 bbl.These were the largest one-day percentage increases since 3 February.
Another factor being cited in the oil price rise was a decline in the US dollar versus the euro Monday.The EURUSD pairing rose 0.06%.New York Federal Reserve Bank president William Dudley also made some concerning remarks,noting that a stronger dollar has given a significant shock to the US economy and low oil prices will exact a meaningful drag on growth as they shackle the energy industry's exploration plans.

Is It Time To Invest In Energy?

I'm not ready to call a bottom in oil prices yet,said Richard Tallis,an energy analyst at Capital One,but it is a good time to focus on oil stocks.Currently I'd go with individual names rather than an etf.You want names with a strong balance sheet.Concho Resources works in the Permian basin.They have a long track record and a very strong balance sheet.They will add acreage over the next few years.*
The general consensus on the price of oil is,it may go down even to the upper 30s,but will rebound to the 60s 0r 70s in the second half of the year.*
Now is a good time to get in,says Chad Brownstein of Rocky Mountain Resource Holdings.It's time to hit the oil services sector.For the retail player,find oil services companies that are trading at one to two times cash flow,and with late-term debt at not more than two times leverage;prudent balance sheets;and long-term contracts.
The equity trades for mid-size companies are down 70%.They're at bottom,bargain basement prices.Start with your toe in the water here.Mid-40s is the bottom of oil prices.OPEC played their card in early November.They hurt the American companies,but they're not going to hurt themselves.I can see that in mid-summer the cards will be in place,Mr.Brownstein observed.*
Concho Resources(CXO),Market Vectors Oil Services Fund ETF(OIH)

Santa Claus Rally Continues;Where Oil Is Headed

I want to wish all of you a Happy and Merry Christmas.Thank you for coming to the blog.It's a Christmas party day.
Wall Street was in a party mood,with tech stocks leading the way as investors gobbled up shares of Intel,Qualcomm,Apple and Facebook.The S&P 500 reached its 50th record high of 2014 today,closing at 2078.54,up 0.38%.The Dow Jones Industrial Average also broke its record,closing at 17959.44,up 0.87%;and the NASDAQ closed up for the day at 4781.42,up 0.34%.*
I think oil probably does stay down here-maybe just a tad lower,says Dennis Gartman of The Gartman Letter.I think the time for being overly bearish on crude oil has probably passed.I doubt that we're going to see a great good deal lower from here.Clearly we see demand has decreased a good bit,and supply has increased a good deal.Libya and Kurdish have come back on the market.This was very complicated.There were a lot of things happening.
The Keystone Pipeline would have an amazing response.It can only be beneficial to us and to our Canadian friends to the north.*
I'm really skeptical about China,said author and investment banker Chis Whalen.China is pulling in credit.I think we're pretty stable into next year.I think oil will stabilise in the mid-60s.There are two stories here:large cap oil got sold off;I think you'll see the majors recover.The small ones that have been in the loan markets are going to have to deal with this.
I think in a lot of ways,consumers have still been suffering,because the cost of living still goes up.While low oil prices are good for the US,they're not good for the rest of the world.What's the catalyst for growth in the emerging markets if commodity prices are flat?Mr.Whalen inquired.*
Apple Computer(AAPL),Intel(INTC),Qualcomm(QCOM),Facebook(FB)

The Problem With Falling Oil Prices

Plummeting oil prices are affecting those who deal in bundles of loans to energy companies.Collateralised Loan Obligation managers are being forced to sell.We're seeing a lot of pressure on these businesses that have automatic sell programs.I believe we're at a technical level here that's being forced to be sold by the global markets,said Chad Brownstein,CEO of Rocky Mountain Resource Holding Inc.I clearly believe that a stable number for the energy industry is about 70.00 a barrel.*
The problem they're going to have is,the large offshore oil drillers are going to feel it.The real victims are the large drillers at a cost of 50.00 a barrel to produce.Oil services are going to get hurt,the technical levels and the prices of the debt that are attached to the major oil companies.Currencies of oil dependent countries such as Canada,Mexico and Norway are getting crushed,Mr.Brownstein pointed out.*
Sustained low prices could halt some drilling projects,postpone others,squeeze certain fracking operations and even lead to the loss of certain jobs within the energy sector,wrote contributor Kevin Mahn in the December 3 issue of Forbes magazine.The net long-term effect could actually become somewhat of a drag on US GDP if oil prices drop further and/or remain at those lower prices for an extended period of time.*
If credit dries up for energy companies,restaurant chains may suffer in oil-dependent states like Texas and California.Every major restaurant chain has high exposure in these states.*
Rocky Mountain Resource Holdings is a limited liability company that acquires and develops natural resource assets such as oil and gas reserves,agribusiness,energy infrastructure,and industrial minerals and chemicals.With offices in Los Angeles and Denver,it seeks to leverage its deep relationships in the industry to facilitate off-market acquisitions of private assets,including family-owned assets,in the midst of both asset and generational transitions,the company says.*
In Monday trading,WTI crude closed at 55.91 a barrel,down 2.14,or 3.70%;while Brent crude closed at 61.06 a barrel,down 1.83,or 2.96%.

Prospects in Energy and Tech

The Permian Basin is an energy-rich sedimentary formation primarily in West Texas and Southeast New Mexico.Permian Basin shale oil is said to be second only to Saudi Arabia.Pioneer Energy is the Permian,said CNBC host Jim Cramer.EOG Resources is there,too,and so is Cemerex Energy.
Energy is the hottest IPO sector,up 27% in 2014.*
Google made 20 acquisitions in robotics in 2013-also in artificial intelligence.It's no longer just search.It's a way to be diversified without buying a bunch of names.This is truly a robotics company.They have their eye on the future.Ten to fifteen years out,it seems Google has gobbled up all the talent.
IBM and CISCO also buy into artificial intelligence,while Intel is now into wearable tech and robotics.3-D imagery and artificial intelligence are disruptive.
Intel has raised its guidance and was upgraded by Morgan Stanley.Intel's going right to 40.Business is much stronger,the yield's still three and change.We have a leader in old tech.You have to dust off the old playbook of what to do when Intel gets it right.The engineers are in charge-a 100% change in leadership.They are in gaming;they are in mobile.Look out,Samsung.*
Sony is bringing PlayStation TV out this fall.*
I think that Yahoo is a buy off of Alibaba going public soon,Cramer noted.*
Goldman Sachs has upgraded Hewlett-Packard from sell to neutral.HP's management has executed far better than we anticipated,Goldman said.The stock has appreciated 50% since it was downgraded.*
Twitter's COO Ali Rowghani has resigned-perhaps on a lack of user growth.Twitter does not intend to hire a replacement.On day to day usage and monetising,Twitter isn't in the same league as Facebook,CNBC's John Forte pointed out.*
The merged Sprint/T-Mobile company is to be branded T-Mobile.A definitive agreement is still weeks away.They agreed on a two billion breakup fee.They have to develop a playbook for DOJ opposition.Without the merger,neither firm is capitalised enough to compete with the other two telecoms,CNBC colleague David Faber said.
Sprint(S),T-Mobile US Inc(TMUS),Intel(INTC),Hewlett-Packard(HPQ),Pioneer Energy(PXD),Google(GOOG),Facebook(FB),Cemerex Energy(XEC),EOG Resources(EOG)

Monday Newsline:China Manufacturing;Sinopec

The HSBC China PMI Index came in even lower in March than it did in February,falling to 48.1 from 48.5.Below 50 means the manufacturing sector is contracting.Still,this poor number raised expectations that China would enact stimulus measures,sending the MSCI Asia Pacific index up 0.85% in Monday trading.*
Sinopec's Q4 net profit fell 35% year on year as improved refining profits lost out to lower upstream earnings.The 13.8 billion yuan profit was way lower than the 20.5 billion consensus forecast.
Profits were squeezed by a drop in oil exploration and production profit partly caused by lower world oil prices.Lower prices also hurt its chemical division,as did an increase in domestic production capacity.
To improve its performance,the oil and gas major will sell up to 30% of its marketing and distribution division,which is a vast network of some 3,000 petrol stations,plus convenience stores,pipelines and storage facilities.The sale could raise up to 20 billion.It will also cut capex by 4.2%.*
South Korea's KOSPI index surged 10.61%,bolstered by shipbuilding stocks rising on the day.Daewoo Shipbuilding soared 4.61%,while Hyundai Heavy Industries added 1.98%.*
Sinopec Shanghai Petrochemical Co Ltd(SHI),Daewoo Shipbuilding&Marine(DWOTF:OTC US),Hyundai Heavy Industries Co Ltd(HYHZF:OTC US)

Monday Newsline:Ukraine and Market Risk

Overnight,the Asian markets reflected anxiety over the Ukraine crisis as shares dropped in Japan and Hong Kong,along with US stock futures,and gold crested to a six month high.Oil rose as well.Now the vote for Crimea's annexation by Russia-totally dismissed by the West as a charade-has gone Moscow's way,unresolved issues both within Crimea itself and in Eastern Ukraine could rivet the attention of global markets in the days ahead.
The Crimean vote went 95% for seceding from Ukraine and joining Russia in an atmosphere of haste and armed intimidation by Russian troops,who were posted in armoured personnel carriers outside polling places.Anti-Putin activists and even some journalists were harassed,beaten and branded as traitors in the days leading up to the election.It was only safe for peaceful protestors on the outskirts of town,fearful of club-wielding toughs inspired by the Kremlin.
Largely unreported on TV news,the tension between Ukraine and Russia over Eastern and Southern Ukraine could make Crimea look like a picnic,with concentrations of troops on both sides mobilising in recent days.In Southern Ukraine,80 Russian troops occupied a village with a natural gas station over the weekend.The Eastern cities of Donetsk,Kharkiv and Lugansk are also potential flashpoints,threatening to become the biggest challenge to market sentiment since the dark days of the Eurozone crisis,as Nicholas Spiro of Spiro Sovereign Strategists put it.
A Russian invasion of Eastern Ukraine could raise geopolitical strife to a new high and ripple strongly through the global markets.
With worries around certain emerging markets,notably China and Ukraine at present-2014 is already shaping up as a more volatile year for shares,said Shane Oliver,head of investment strategy and chief economist at AMP Capital.
Investors may be looking over their shoulders at these exogenous events for the foreseeable future.

Asia This Day: Australia's Energy Assets;Japan's Economic Outlook

PetroChina is seeking 3.7 billion dollars of Australian energy deals.Overall,the state-owned oil and gas enterprise is looking to acquire 60 billion of overseas assets in the next 10 years.
Beach Energy Ltd is exploring an Australian shale gas field with Chevron.The company said the Cooper Basin region in the Australian outback will be a major onshore petroleum province.The gas in the basin could meet New South Wales needs for the fuel well into the future,plus be delivered into export markets through liquified natural gas facilities.
China's January-February industrial production was up 9.9 %,the weakest start to a year since 2009.The country is consolidating its 27 government ministries into 25.The ministry of railways,which employs 2 million people,will be split in two,between a policy arm and an executive arm.This is in line with railway ministries in other parts of the world.
In historical terms,the silver market is quiet,said Greg Smith,Director at Global Commodities Ltd in Adelaide,Australia.You're pretty close to more buyers than sellers.Solar panels are consuming it.
Silver is also used in electronics and medical applications.
I like sugar,coffee and soy meal.The inflationary impact of food could light the inflationary fire.
In Japan,the Nikkei was up at midday Monday on strong exports from the weaker yen and US employment figures.It was the eighth straight day of Nikkei gains.
Japan is doing the right thing,according to Mike Kurtz of Nomura Securities.The election on December 16 was a referendum on policy change.Kuroda-san,the Bank of Japan governor nominee,will reflate the economy.Japan could see a 30% upside over the next 12-18 months.
Hiruhiko Kuroda said he will consider continuing asset purchases.Buying derivatives is an option.
iShares Silver Trust(SLV),iShares Japan Index Fund(EWJ),Beach Energy Ltd(BPT:ASX),Chevron(CVX)

Canada Approves Foreign Energy Takeovers

The Canadian government has approved the controversial 15.1 billion dollar takeover of oil and gas firm Nexen by China's state-owned offshore oil company CNOOC.Restrictions were placed on any future foreign deals,however.
To be blunt,said Canadian Prime Minister Stephen Harper,Canadians have not spent years reducing the ownership of sectors of the economy by our own governments,only to see them bought and controlled by foreign governments instead.Foreign state control of oil sands assets has reached the point at which further foreign state control would not be of net benefit to Canada.
From now on,state-owned enterprises may only own minority stakes in Canadian enterprises,except in exceptional circumstances.
What we are doing here is preventing a situation which I see developing and have been worried about for a while now,where in the name of an open,globally competitive economy,we could see the transformation of our economy into a state-run economy-just a state-run economy not run by our own government.
Besides the CNOOC deal,Canada also approved the takeover of gas company Progress Energy Resources by Malaysia's state-owned firm Petronas for 5.3 billion dollars.
The CNOOC deal is the Chinese firm's largest offshore acquisition ever.CNOOC is also asking the US government to review its bid for Nexen's Gulf of Mexico assets.
Canada needs about 657 billion dollars of investment in the natural resources sector in the next decade.There were no Canadian bidders for Nexen.
CNOOC made significant commitments on transparency,employment and capital investments in exchange for government approval of the deal.
Nexen,Inc.(NXY),CNOOC Ltd(CEO),Petronas Gas Bhd(KUL:PETGAS)

Asia This Day:Chinese Investors Make Biggest Ever US Purchase;Tensions Mount With Vietnam

In an historic move,an investing consortium has made the biggest ever US purchase by Chinese investors.The Chinese group has acquired an 80.1% stake in AIG's International Lease Finance Corporation subsidiary,which is a plane-leasing operation,for 4.23 billion dollars.
IFLC is China's largest aircraft lessor,with a 30% market share.The sale is part of AIG CEO Robert Benmosche's plan to reduce the company's debt and refocus on its insurance business.The firm will be concentrating on its global property-casualty insurance and domestic life insurance lines.
Japan's GDP numbers show the country remains mired in a recession.The Nikkei stock index fell 0.5% in response.
China's November export figures rose 2.9%,which was less than expected,while Australia's iron ore exports rose on Chinese demand.
Indian stock futures were up on policy reform expectations.
Vietnamese marched in the streets to protest Chinese claims on territory in the South China Sea.Vietnam had charged that  two Chinese ships harassed and damaged one of its oil and gas survey vessels in the South China Sea,cutting its cables.The incident occurred  off Vietnam's central coast in the last week of November.The Vietnamese foreign ministry said China must respect Vietnam's sovereignty and immediately stop all these wrong actions,and make sure they are not repeated.
Asian shares were mostly higher in early Monday trading,with the MSCI Asia Pacific index up 0.33%.

Big Oil and Gas Deal:CNOOC Accedes To Government Requests

It looks as though a major Canadian natural resources firm will soon be in Chinese hands.State-controlled CNOOC,China's largest offshore oil and gas company,has agreed to key conditions for government approval of its planned 15.1 billion dollar takeover of Canadian energy firm Nexen.The requests were submitted by Alberta Premier Alison Redford in October,according to sources familiar with the matter.Positive sentiment about the deal has also been coming out of the Canadian capital,Ottawa.
CNOOC will reportedly tow the line and accept  management and employment conditions.At least 50% of Nexen's board and management slots must be filled by Canadians once the acquisition is completed.Matters related to capital spending requirements and CNOOC's state enterprise status remain under negotiation.
Nexen is an upstream energy company that explores and develops major oil and gas basins globally.It has projects in the UK North Sea;offshore West Africa;the Gulf of Mexico;and Western Canada.The company is active in both conventional and unconventional resources,including shale and oil sands.
Nexen,Inc.(NXY),CNOOC,Ltd.(CEO)

Asia This Day:Petronas To Make Big Canadian Acquisition

The Malaysian state-owned oil and gas company,Petronas,intends to make a major Canadian acquisition.The firm is expected to spend about five billion dollars for a substantial foothold in North America.It's following China's lead in seeking global energy assets.In June 2011,the company aqcuired a stake in Canadian shale gas assets for just over a billion dollars.
China's purchasing managers' index came in stronger than expected.The PMI reading was at 53.1,with 50 showing economic expansion.The index is focused on large enterprises and is affected by seasonality.Natural resources such as rubber and copper will be more in demand on the China and U.S. outlooks.
Tropical Storm Pakhar has hit the coast of Vietnam.The first storm of the year,it will also be troubling Thailand.
Mainland Chinese and Vietnam markets are closed today,Monday,for holidays.It is Tomb Sweeping in China and the Hung Kings' Anniversary in Vietnam.China's markets will remain closed through Wednesday.The rest of the Asian markets opened largely higher this morning,with the MSCI Asia Pacific Index up 0.28%.Japan's markets rose despite a gloomy Bank of Japan Tankan survey of business sentiment,which logged a -4 reading,showing more pessimists than optimists among large businesses.
It was partly cloudy in Kuala Lumpur,Malaysia this morning,with a temperature of 82F.

Asian Markets Open For Business-issue 3

Asian markets opened lower this morning,Monday.China has set 7.5% for its growth target as the European debt crisis continues.It's the lowest target in eight years.The MSCI Asia Pacific Index declined 0.88 % on the news.
The CNOOC Chairman sees the Chinese energy titan's 2012 oil and gas output being the same as in 2011.
Rising oil prices are being considered the principal threat to the global pocketbook today.It would be hard to have any further increses without damage to the world economy.For example,Airline profits are expected to drop 50% because of them.Singapore Air is already seeing weakness in forward bookings.
Oil futures rose on news of an Enbridge Inc. oil pipeline fire in Illinois.Enbridge says it will try to work around the mishap.The pipeline carries oil from Canada to the U.S. Meantime,China intends to increase retail sales by 14% in 2012.It will also keep pursuing its low birth rate policy,President Wen Jiabao said.
India's Nifty Fifty Index fell 0.80% this morning.The local election results in Utar Pradesh come out tomorrow,and there is fear of a possible change in government.
Enbridge Inc.(ENB)

Exxon Mobil To Unload Japan Refining

Exxon Mobil has agreed to sell its Japanese refining unit to its Tokyo partner,Tonengeneral,for 3.9 billion dollars.The move is part of a trend by integrated oil companies to sell or spin off refinery operations in order to concentrate on more profitable exploration and production.
U.S. oil companies are bracing for a United Steel Workers union strike at their refineries.The strike could begin on Wednesday in the absence of progress in the contract talks.If the strike went three months,U.S. refinery output could be cut up to 11%.
A major concern of the union is worker safety.Eighteen workers have died in refinery accidents since the last agreement in 2009.
Asian shares opened lower on Monday on concern over an EU summit in Brussels on the Euro debt crisis,as well as the failure of U.S. growth to meet estimates.The MSCI Asia Pacific Index was down 0.37.
The New Zealand service sector saw slower growth in December.
India's Nifty Fifty futures index was down on concern that the recent rally in equities was excessive.
Exxon Mobil(XOM)
Update:Agreement between the United Steel Workers union and oil refiners including Exxon Mobil,Chevron and Valero,was reached late Tuesday,averting a strike.The ratification or rejection of the deal by a vote of union members could take weeks.

Hyundai Heavy Busy In Africa

South Korean industrial titan Hyundai Heavy Industries has won an approximately 900 million dollar contract to build two offshore gas platforms in Nigeria.The deal is with a U.S. integrated oil company such as Exxon Mobil or Chevron,a person familiar with the matter disclosed.
Hyundai Heavy will carry out the entire project,from engineering,procurement,construction and installation to commissioning of the offshore platforms.
Hyundai Heavy was founded in 1972.It leads the world in shipbuilding tonnage,and is also active in the engineering and building of industrial plants;engines and machinery;construction equipment;electrical systems;and green energy.
The Hyundai Spirit is defined as Creative Wisdom;Positive Thinking;and Unwavering Drive.
iShares MSCI South Korea Index Fund(EWY)