Morning Report Wednesday, December 20, 2017

Integrated Securities Customer service: 8003437 / +971 24 942 777 (Regulated by the Securities & Commodity Authority) Sales & Trading : +971 24 942 666 Al Bateen Towers, C2 Facsimile: +971 26 354 669 P.O.Box 107077, Abu Dhabi, UAE Website: www.integratedsecurities.ae

Global & Regional Benchmarks

GCC Indices Close % Change World Indices Price % Change Currencies Price % Change

ADX 4367.11 -0.69 Dow Jones 24754.75 -0.15 EUR/USD 1.19175 -0.04

DFM 3359.18 -0.37 S&P 500 2681.47 -0.32 EUR/GBP 0.8866 -0.09

TASI 7199.41 0.11 Nasdaq 6963.852 -0.44 Commodities Price % Change

QSI 8522.83 3.79 FTSE 100 7544.09 0.09 Gold 1267.2 0.24

KWSE 6420.64 0.79 DAX 13215.79 -0.72 Brent 63.9 0.16

MSM 5070.35 -0.34 CAC40 5382.91 -0.69 WTI 57.75 0.33

BHSE 1268.89 0.26 Nikkei 225 22898.77 0.13

EGX30 14678.4 -0.29 HSI 29229.8 -0.08

Upcoming Corporate Actions & Events

Emirates Insurance, Dec. 20, BOD Meeting

Al Khazna Insurance, Dec. 24, BOD Meeting

Abu Dhabi Nat. Hotels, Dec. 21, BOD Meeting

Global: Oil edged up towards USD64 a barrel on Tuesday, supported by the Forties pipeline outage in the

North Sea, Opec-led supply cuts and expectations that US crude inventories fell for a fifth week. Rising

output in the United States put a lid on gains, however. Shale production will rise to a record in January,

according to a government forecast published on Monday, as higher prices encourage companies to pump

more. Brent crude, the global benchmark, was up 34 cents to USD63.75 (Dh234) a barrel at 1114 GMT. US

crude also gained 34 cents to USD57.50. The unplanned shutdown of Forties since last week has supported

Brent in particular, as Forties is the largest of the North Sea crude grades underpinning the benchmark.

Brent reached $65.83, its highest since mid-2015, on December 12.

UAE: Housing costs push Dubai YoY inflation down to 1.0% in November. Housing and utility costs fell

0.6% from a year earlier in November, while food and beverage prices edged down 0.1%. Transport prices

rose 4.4%.

UAE: United Arab Emirates-based hospital operator NMC Healthcare has USD800 million (AED2.94 billion)

available to start investing in 2018 in the Gulf and other markets, its chief executive told Reuters in an

interview. The London-listed firm, which is among the beneficiaries from recent growth in the Gulf’s

health care sector, plans to acquire hospitals and other facilities, as well as smaller investments in In-Vitro

Fertilisation (IVF) facilities in Europe, said Prasanth Manghat.

UAE: Bank of Singapore hires private bankers for Mideast wealth. Bank of Singapore plans to hire about

20 relationship managers next year to cater to non-resident Indians and rich people in the Arab world

UAE: The Capital Market Authority said it has approved Al Rajhi Capital’s request to offer, register and list

its Real Estate Investment Fund (REIT), a statement posted on the Tadawul’s website said.

UAE: Aldar Properties completes acquisition of international tower for AED658 million.

Morning Report Wednesday, December 20, 2017

Integrated Securities Customer service: 8003437 / +971 24 942 777 (Regulated by the Securities & Commodity Authority) Sales & Trading : +971 24 942 666 Al Bateen Towers, C2 Facsimile: +971 26 354 669 P.O.Box 107077, Abu Dhabi, UAE Website: www.integratedsecurities.ae

UAE: UAE bourses Dubai Financial Market (DFM) and Abu Dhabi Securities Exchange (ADX) will levy value-

added tax (VAT) on service and products from January 1, 2018. DFM said VAT would be levied on the

invoice value.

UAE: Abu Dhabi's Etihad ending flights to Iran, Uganda next year.

UAE: UAE-based Azizi Developments has announced that it will invest a further AED9.1bn (USD2.5bn)

across its operations in the UAE in 2018, significantly higher than this year.

UAE: DP World, the world’s fourth largest ports operator, has participated in the latest USD50m funding

round for Virgin Hyperloop One, the futuristic transportation company, which appointed Virgin Group

founder Richard Branson as its new chairman.

UAE: Takaful Emarat has agreed a deal to buy Al Hilal Bank's takaful unit in a cash deal it said will create

the biggest Islamic insurance business in the United Arab Emirates, based on 2016 figures. Between them,

the businesses wrote gross written contributions of more than AED900m (USD245.1m) last year.

UAE: Saudi Arabia's economy minister said on Tuesday that his country was studying the idea of creating

a national privatisation fund to facilitate sales of state assets.

KSA: Saudi Arabia's central bank governor said on Tuesday there is no intention to change the country's

exchange rate policy, which pegs the riyal to the U.S. dollar.

UAE: Saudi Arabia will increase government spending next year and slow an austerity drive as it struggles

to lift the economy out of recession in the face of low oil prices, according to a state budget released on

Tuesday. Riyadh plans to boost spending to a record SAR978bn (USD261bn) in 2018, the finance ministry

said. That is up from SAR890bn in the original 2017 budget plan. As a result, the pace of decline in the

government's budget deficit will slow next year. The 2018 deficit is projected at SAR195bn against an

actual SAR230bn in 2017.

UAE: Saudi's SABIC Board Proposes H2 Dividend of SAR2.2 /Share

UAE: The drawdown of the Saudi Arabian central bank's net foreign assets is likely to slow next year and

in years to come, Finance Minister Mohammed al-Jadaan said on Tuesday.

UAE: NCB Capital (DIFC) Limited, a subsidiary of Saudi-based NCB Capital Company, has announced the

acquisition of a portfolio of 21 commercial aircraft from AerCap Holdings, valued at USD800m. AerCap

will retain an equity stake in the portfolio and will provide technical and lease management services in its

capacity as the portfolio servicer, a statement said.

Oman: Oman's state budget deficit for the first 10 months of 2017 narrowed to OMR3.20bn (USD8.31bn)

from OMR4.81bn a year earlier, Finance Ministry data showed on Tuesday. Oman's original 2017 budget

plan projected spending of OMR11.7bn, revenue of OMR8.7bn and a deficit of OMR3.0bn. It assumed an

average oil price of USD45 a barrel.

Egypt: Egyptian Exchange Says Al Baraka Bank Egypt Applies for Listing of Issued Capital Increase.

Egypt: Egypt's Heliopolis Housing and SODIC sells entire first phase of joint project for EGP1.8bn

Egypt: Egyptian Gulf Bank Sees FY 2018 Profit EGP 575m

Morning Report Wednesday, December 20, 2017

Integrated Securities Customer service: 8003437 / +971 24 942 777 (Regulated by the Securities & Commodity Authority) Sales & Trading : +971 24 942 666 Al Bateen Towers, C2 Facsimile: +971 26 354 669 P.O.Box 107077, Abu Dhabi, UAE Website: www.integratedsecurities.ae

(Source: ADX, DFM, Bloomberg, Reuters, Gulf News, The National, Arabian Business)

Institutional Sales and Trading Team

Harshjit Oza harshjit@integratedsecurities.ae Direct Line: +971 2 494 2608 Disclaimer

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