We will break it down with all of the details. It is it 00 a. M. In dubai. 5 00 a. M. In london and midday in hong kong. You are watching bloombergrg markets middle east. What a genetic finale to the week with strong earnings coming out from amazon. Not just setting the tone for next week, but helping a lot of key benchmark industries in the u. S. Let me run you through the numbers. Nasdaq 100 is a record on its biggest gain since march of last year. We had the s p 500 hitting a new high after the u. S. Gdp numbers came in stronger than expected. Strongest executive orders in three years. It was not all rosy. Ge still under pressure, down 13 for the last week. Strong gains for nasdaq up 2. 2 percent. In terms of where we are with u. S. Tenure paper, speculation continues on who will be the next fed chair. Treasury yield falling. They are at 2. 41 . And showss the board you other key Asset Classes that have been on the move as of friday closes. Brent topping 60 a barrel for the First Time Since july 2015. Up almost 2 . We had shell explores not getting into any gear. They added a single rig over the course of the last seven days. The stoxx 600 continues to be on our watch for investors. Up 6 10 of 1 . Points out something fascinating. European companies are showing profit growths twice the pay in the fourth quarter. That is propelling the stoxx 600 for the best annual performance its 2016. Eurodollars down to six of 1 . Price. S yet to be that will feature highly when the market comes back online monday morning. 14. 1, two rand at month implied volatility, the highest among em currency. We will get into the south africa story later on. Lets check in with first word headlines from around the world. U. S. Grand jury has reportedly approved the first charges for special cancel Robert Muellers probe into rushing madalyn in the 2016 election. They are fueled by a federal judge and it is unclear who is implicated. Cnn reported the arrest could come as early as monday. The wall street journal reported that at least one person has been charged. Catalans have been urged to peacefully protest after fridays declarations of independence. Civil servants and teachers may decide to uphold Spanish Government takeover win schools and offices reopen tomorrow. The president was fired by the Prime Minister and called for his resistance in a prerecorded statement on regional television. Do not have, and we do not want to have reason to use force. I ask you to be convinced that this is the demand everybody is expecting, even outside our country we will continue working to build a free country. To guarantee society with less ladyce, more a, more solid with more fraternities more solidarity and fraternities. We want to establish bonds based on respect and mutual recognition. Desley egypt has carried out a major shakeup of security forces. The president named mohammed as the new armed forces chief of staff without giving a clear reason. The interior Ministry Announced that the head of National Security forces was removed from his post, as well as other high ranking officials. The reshuffle takes place a week after Police Officers were killed in a militant ambush. Secretary had speculation that he werent turkish officials of possible sanctions. He told reporters that there is no truth to the rumors. Earlier this month a local newspaper reported that six turkish banks may face penalties. The report has since been pulled by the publisher and has been denied by regulators. Day,l news, 24 hours a powered by more than 27 hundred journalists and analysts in more than 120 countries. This is bloomberg. Big week for global markets. It is a big week in terms of what could happen at the fed. Markets are awaiting president trumps decision on who will be the next fed chair. Bloomberg says that the chance that the president is leaning towards a Federal Reserve governor, Jerome Powell. Video, teasinga an announcement he said would come next week. Awaiting myump decision as to who the next head of the fed will be. I will announce it sometime next week. It will be a person who, hopefully, will do a fantastic job. Yousef trump has been working trump has been working from a short list of five candidates. Thats get more perspective on the story with the head of macro strategy for emirates nbd. Welcome to the program. There is a lot at stake for the next few days. Tenure papers around 2. 4 . Your thoughts on Jerome Powell and the implications it could have, perhaps in a slight shift in the Balance Sheet run off plans are in. Run off for plans. Boring newsbeen followed by economist on who the next fed chairman would the. Right now we are seeing excitement being built around that. Do we have continuation of fed policy caring on post janet yellen, or do we have a change in policy . Addition, the makeup of the fed for the vice chair of the fed, who will get that position . Will it be a twoway race and how do we end up in terms of Going Forward post 2018 . In terms of the region, the implication are to whether we would see a widening out of spreads as we have seen them last year. In 2017 we had a widening out in spreads in cyber. Yousef i want to bring it back to the bloomberg and the chart on what is going on with u. S. Inflation. Three 081, which shows inflation that came in below estimates. Ust. 1 it will be hard for the fomc to break out of its gradualism, toen that inflation is stuck it regardless of who is being fed chair, it is not that much room to move, is there . Shady inflation has been the hardest number to call on. 3 u. S. Economy has seen gdp, on friday. Despite the effects of the hurricane, you could to do to u. S. Housing and Consumer Spending our business investment. All of these factors are supporting i think you will. Ee the uptick in Inflation Oil prices are holding up at certain levels. Yousef it is a very different stage of its economic cycle. Medicatethey do to that kind of impact, given that that kind of world is not ready to hike . Shady this has been the case for the gcc, the Monetary Policy flexibility was never really there. You will continue to have a position where the gulf policy makers are going to be forced to raise Interest Rates at the time of the economies are picking up on the back of lower oil prices. Sureu look at the economic in the gcc, you are having positive signals where the oil sector is performing quite well despite the contraction in oil output. This is an important point because what you are having is better quality for the gcc driven by the sector. You will have an impact to the headline. Yousef the fact of the matter is, they are unlikely to be ready to match u. S. Monetary policy. Shady fiscal policy is the only other option at the table. In light of the fact that oil prices are starting to stabilize, and light of the fact that you are seeing projects being laid out by countries such as saudi arabia, you will probably start to see a pickup in spending post 2018. Theave gone through adjustment cycle in 2016 into 20 17. Now the economy better at an oil price of 50 to 60. Does go policy is better tuned to pick up the slack where Monetary Policy cannot. Yousef we want to get into detail about your views of crude oil and saudi aramco. He stays with us around the table. Lets get a quick preview of a very important function. The interactive tv function on tv. I pulled it up on my bloomberg. On the right family of all the key functions and factoids as they happen. You could scroll back to any part of this show you will like to watch again. On the bottom left you can click the link. We want to hear from you if you want to weigh in on the conversation. Rates, oil, commodity cycle, let us know. This is for bloomberg subscribers only at tv. We still have plenty to get through. This is bloomberg. Yousef you are watching Bloomberg Markets middle east. Lets get the business headlines with densely desley. Considering are merger of equals according to the wall street journals. On friday, the Worlds Largest maker of auto refinished paint surged the most ever after reports of a takeover. The ecb is said to be examining 21 billion bad loan. Bloomberg sources say some of the commissioning italian banks will paid to buy for managing the loans could be inflating the price. In january they agreed to sell a majority of the loans at an average price of 13 of gross work values, a figure that a figure that is in dispute. The Egyptian Government expects to pay around 3 billion to help the National Airline by new planes. According to the aviation commissioner, egypt air is in talks with lenders about the deal. He said that in terms of purchase, it could be finalized in about a month. That is your bloomberg. Back to you. Bysef we are still joined ahead of macro strategy for emirates nbd. We want to get back to the story around crude oil. Barrel,ook to 60 a lets take a quick look at the bloomberg right here. For the first time in almost two years it is flying above that level. A critical juncture for the price of oil, by how sustainable is it given that most was driven by rhetoric that is not really new . What is the market rallying on . Think the fact that the level of commitment is coming from the saudi government, that they are going to push for cuts beyond 2018. That was a commitment, the saudi prince is probably supporting that outlet. Look at the Economic Growth at of the u. S. , you are seeing Economic Growth at of germany, japan. The data has been positive. China is looking more construct it. Factors are playing into a picture were Global Economy is playing better and probably on a demand for oil. In thegest Oil Producers world are committed to keeping cuts in place. Yousef lets hear from the ceo, who we spoke to late friday in terms of where they see the oil price going. Ok, clearly that is not ready yet, getting a little over excited. Price range, talk to me about where you see a going from here. 60 has been breached. Hady 60 is our outlook it probably could go a bit higher and could range within that level. By market demand and supply demand dynamics. That will underpin that. Thekey story here is that region, at these price levels, is being for is being forced to look at their first being forced to look at diversifying. Yousef it looks like we are now ready to hear from the ceo. What we are planning for is that oil price could rise and will rise to 75 by 2022. That is the base case. I think but we expect is volatility. Cyclical. Mmodity, i think we will see the industry still continue to optimize production and take down costs. Of statoil ceo making it clear that he sees the upside of rest of oil. We have been speaking to Decision Makers on the ground and we were not able to get much clarity out of them. Through for to push their plans, part will be domestic and the other part will be international. Have you thought this process through from your end . Shady in terms of the issue with ipo, whether it comes out for a market ipo, whether market speculate a data purchase by a saudisn wealth fund, are looking at an injection of funds into the Public Investment fund, which is a saudi sovereign wealth fund. They talked about doubling the size of the pif from 230 billion to 400 billion by 2020. The listing, any form that comes in will probably support with that asset realization. Yousef we have a viewer question as we speak. , what will be the key sectors to watch over the next six months . Shady the uae has historically benefited. If you look at trade, 55 of goods coming into the gcc come through dubai ports. The tray sectors will be a key beneficiary exports of Building Material or else Building Materials. All of these sectors are really simulated stimulated by activities in the region, given for the gcc. Yousef what will that do for portfolios . Shady we will see outperformance in certain sectors. Aviation will outperform trade. Sectors that are linked to the tourism sectors, such as hotels, will continue to outperform. Great having you on the program. He is ahead of macro strategy for emirates nbd. Lets get you a preview of what is still to come. Back to the future of Investment Initiative in riyadh. We hear about the next opportunity in the kingdom. This is bloomberg. Is no sign of a letup in abu dhabi financial group. The ceo spoke to Tracy Alloway at the future Investment Initiative in riyadh about the next opportunity. Here and saudi arabia, there is a letup optimism about opportunities as the country opens up. What opportunities are you seeing . In the past 12 months we have been very at his. Basically, we have recently large project. A we are working with cma right now to list that in saudi arabia. That will market very soon. Tracy why did you trade to the tadawul specifically . Jassim the assets will be in saudi. The tadawul is a very robust market. It is a great market with large volume. It is fabulous. Tracy do you feel like the reforms are beginning to pay off opening up to Foreign Investors . Jassim absolutely. The cma was in abu dhabi last week to ask us about our opinions, what we are looking at and what we are looking for. Has dashed openness a long time ago. Has a longtime ago. Trista how far have talks of stakes progressed . Jassim we have been speaking to them for a wild. They have always made it clear that there are looking to acquire this organically. This is a very difficult situation. I think there are many other bidders. Few, ifne of the very not, the only one looking at this transaction. We are ready to close. The ball is in their court. Tracy are you still planning ipos of your Real Estate Investment fund . Jassim absolutely. We have one of the largest in the uae and we are sticking to different exchanges in the uae on listing this in the next few months. Acquisitions, a lot of people are here to make deals. Do have any acquisitions . Jassim we are always opportunistic. Presenttunities themselves, we always go after them. The region is extremely interesting for us in terms of acquisition. Few of our platforms have announced that they are looking to acquire companies for synergy and growth. This is absolutely the thing that we are focusing on. Tracy how do you feel about technology at the moment . Riyadh there is a lot of enthusiasm about whether it is softbanks vision fun, or any number of smaller deals. Jassim this is an actual in question. Earlier this year it announced its technology platform. Algorithm is a couple of years old. A artificialhed intelligence education system. We have him put it in one Public School in abu dhabi. We are looking to enter the saudi market at the moment and the other markets in the region. , a strongn really start for us. Other initiatives we have done, we have announced the launch of crypto labs, which is it custombuilt state of art incubator. This is gotten a lot of attention. Tracy in terms of acquisitions, you say you are always evaluating opportunities. How do you finance those opportunities . If the opportunity is there. One of the source of funding system bond markets. Other sources are bringing in other investors. Which is what we will continue do. And of course proprietary Balance Sheet. Is there a particular funding makes you have in mind . Jassim i think the market is becoming more developed in the region. I think we will be looking at more bonds issuances in the near future. More different structures than the bond structures we have been issued in the region for a while. Tracy thank you for joining us. Speaking in Tracy Alloway in riyadh. The three days of deliberations in the saudi capital at a notable impact on saudi stocks. Jump into the bloomberg with me. In terms of the performance of golf equities. This is the s p gcc index. Mrr is a key function on your bloomberg. Look at that housing developer up 9. 4 . Cement stocks up 6. 6 . Banque saudi fransi up 2. 4 . Interesting call talking about how this new city and saudi arabia is the triumph of rhetoric. Make sure you check check that out. We will get deeper and to the saudi story with ongoing conversations from the regulator. This is bloomberg. Retail. Under pressure like never before. And its connected technology thats moving companies forward fast. Ecommerce. Real time inventory. Virtual changing rooms. Thats why retailers rely on comcast business to deliver consistent Network Speed across multiple locations. Every corporate office, warehouse and store near or far covered. Leaving every competitor, threat and challenge outmaneuvered. Comcast business outmaneuver. Is 8 30 a. M. In dubai. We are 90 minutes away from the market opening in the emirates. We are paring for a new trading week with more key corporate earnings expected to give us a better sense of where some of these corporates are going with the ongoing challenges across this part of the world. Lets go to the first word headlines. Markets are awaiting president trumps decision on who the next fed chair will be. Bloomberg sources say the president is leaning toward Federal Reserve government, Jerome Powell. He started drama by tweeting out a video teasing an announcement he said would come next week. Waiting myrump decision as to who the next head of the fed will be. I will be announcing it sometime next week. It will be a person who, hopefully, will do a fantastic job. Yellens term ends in february and trump has been working from a shortlist of five candidates. Cattle catalans have been urged to peacefully protest after fridays declaration of independence. Civil surgeons Civil Servants and teacher