Bitcoin trades near record after topping $60,000 for first time in 6 months

Bitcoin trades near record after topping $60,000 for first time in 6 months
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Updated 16 October 2021

Bitcoin trades near record after topping $60,000 for first time in 6 months

Bitcoin trades near record after topping $60,000 for first time in 6 months

Bitcoin topped $60,000 for the first time in six months on Friday, nearing its all-time high, as hopes grew that U.S. regulators would allow a futures-based exchange-traded fund (ETF), a move likely to open the path to wider investment in digital assets.

Cryptocurrency investors have been waiting for approval of the first U.S. ETF for bitcoin, with bets on such a move fuelling its recent rally.

The world's biggest cryptocurrency rose to $61,869.05, its highest since mid-April, at 10:30am Riyadh time. It has risen by more than half since Sept. 20 and is closing in on its record high of $64,895 hit in April.

The U.S. Securities and Exchange Commission (SEC) is set to allow the first American bitcoin futures ETF to begin trading next week, Bloomberg News reported on Thursday. Such a move would open a new path for investors to gain exposure to the emerging asset, according to traders and analysts.

"Crypto ETFs are inevitable. A product like this will eventually come to fruition since there is a demand for it," said Chris Kline, chief operating officer and co-founder of Bitcoin IRA.

"It seems clear that regulators will approve some version of a crypto ETF soon, most likely by Monday," Kline added. "As regulators become more familiar with the space, the SEC is starting to understand how these assets are stored, secured and reconciled so that it makes sense in traditional finance."

Bitcoin's moves on Friday were spurred by a Twitter post from the SEC's investor education office urging investors to weigh risks and benefits of investing in funds that hold bitcoin futures contracts, said Ben Caselin of Asia-based crypto exchange AAX.

Several fund managers, including the VanEck Bitcoin Trust, ProShares, Invesco, Valkyrie and Galaxy Digital Funds, have applied to launch bitcoin ETFs in the United States.

The Nasdaq on Friday approved the listing of the Valkyrie Bitcoin Strategy ETF.

After months of back-and-forth between the SEC and potential bitcoin futures ETF issuers, the regulator appears prepared to greenlight a handful of filings that will open the door to wider access to cryptocurrencies to retail and institutional investors alike.

Under the rule sets used by the ETF issuers, the SEC does not have to give explicit approval to the ETFs, which can be launched at the end of a 75-day period if the U.S. regulator has no objections.

The 75-day time period for the ProShares Bitcoin Strategy ETF ends on Monday, and the ETF can be launched on Tuesday.

The SEC declined to comment.

Crypto ETFs have launched this year in Canada and Europe, growing in popularity amid surging interest in digital assets.

Futures exchange operator Cboe Global Markets Inc applied for a rule change with the SEC that would allow it to list certain complex ETFs. The SEC approved that application on Oct. 1.

SEC Chair Gary Gensler has previously said the crypto market involves many tokens that may be unregistered securities and leaves prices open to manipulation and millions of investors vulnerable to risks.

Citing people familiar with the matter, the Bloomberg report said proposals by ProShares and Invesco, based on futures contracts, were filed under mutual fund rules that Gensler has said provide "significant investor protections".

"It's one of the final frontiers for mandate access," said Joseph Edwards, head of research at crypto broker Enigma Securities. "Plenty of Americans in particular have strings attached to how they deploy a lot of their wealth. It allows bitcoin to get in on the sorts of windfall that keep U.S. equities as consistently strong as they are."


Key market signals ahead of Thursday’s trading session: Premarket

Key market signals ahead of Thursday’s trading session: Premarket
Updated 11 sec ago

Key market signals ahead of Thursday’s trading session: Premarket

Key market signals ahead of Thursday’s trading session: Premarket

RIYADH: The new coronavirus variant, omicron, has left markets, including the Saudi stock exchange, prone to volatility as investors assess the severity of the strain.

The previous month has been particularly rough, with Saudi’s main benchmark index TASI sliding down by 6.48 percent to hit 10991.8 points. TASI was down almost one percent in the latest trading session.

Meanwhile, the parallel market Nomu fell 5 percent in a month. The index’s last close amounted to 23564.11 points, up 0.49 percent intraday.

Registering the highest volume and value traded, Saudi Tadawul Holding Group came first in the top gainers on its listing day.

The share price of the group last closed at SR118 ($31.5), having traded between an intraday low of SR115.4 and an intraday high of SR127.6 on debut.

Sadr Logistics extended its gains, rising an additional ten percent to close at a record high of SR114.6 as of the previous session.

Bank Saudi Fransi led the lowest-performing stocks, down 4.5 percent.

Companies in the Kingdom’s energy sector weighed the index down with stocks of Petro Rabigh and Saudi Arabia Refineries Co. falling 2.5 percent and 3.92 percent respectively.

Petro Rabigh’s stock price declined for a second consecutive day, after a 7.8 percent fall in the prior session following the company’s capital decrease and rights issue recommendation.

Naseej International Trading Co. announced that it will raise SR150 million worth of capital to limit the accumulated losses to 19.4 percent of capital.

This came as its shares hit a 52-week low in terms of price on Dec.2.

Bank Aljazira issued a SR2 billion tier 2 sukuk with a ten-year duration and a par value of SR1 million, according to a bourse filing.

Saudi Basic Industries Corporation announced its decision to leverage organic and inorganic growth whilst strengthening capital expenditure to align with Vision 2030, according to SABIC chief Youssef Al-Benyan.

Jarir Marketing Co. launched a showroom worth SR28 million in Najran. The company’s stock has remained almost flat for a month, last closing at SR194.

Saudi Real Estate Co., or Al Akaria, sold land plots worth SR127.34 million in Riyadh.

The company expects the investment to boost its profit to SR121.9 million, according to a bourse filing.

Al Moammar Information Systems Co. won a three-year contract worth SR54.89 million to offer computer maintenance solutions for the Royal Commission for Jubail and Yanbu.

The expected date of contract signature is Feb.8, 2022.

Dec. 9 is the last day to subscribe to Maadaniyah’s new shares.

The subscription period to Saudi Economic and Development Securities Co.’s capital REIT fund will start on Dec.12 and end on Dec.16.

Batic Investment and Logistics Co.’s SR300 million rights issue trading will start on Dec.13 and end on Dec.23.

The tradable rights have been deposited into the Securities Depository Center as of Dec.9, the center announced in a bourse filing.


Saudi industrial production hits highest level since April 2020

Saudi industrial production hits highest level since April 2020
Updated 11 min 23 sec ago

Saudi industrial production hits highest level since April 2020

Saudi industrial production hits highest level since April 2020
  • Jumps in the output of the mining and quarrying sector were mainly responsible for the expansion as it went up by 9.1 percent

Saudi industrial production expanded by an annual rate of 7.7 percent in October  to reach its highest level since April 2020, data published by Gastat showed. 

This was also the highest growth rate since June of this year.

Jumps in the output of the mining and quarrying sector were mainly responsible for the expansion as it went up by 9.1 percent.

Oil production rose from 8.9 million barrels per day in October last year to 9.7 million bpd in October 2021.

 


ADNOC Drilling bags $3.8 billion contract 

ADNOC Drilling bags $3.8 billion contract 
Updated 35 min 18 sec ago

ADNOC Drilling bags $3.8 billion contract 

ADNOC Drilling bags $3.8 billion contract 
  • The contract outlines the company’s work to drive efficiency in crews, rig move time, maintenance schedules, as well as other well services

RIYADH: The Abu Dhabi-listed ADNOC Drilling Co. has signed a five-year services contract with ADNOC Onshore for a total value of $3.8 billion. 

The contract outlines the company’s work to drive efficiency in crews, rig move time, maintenance schedules, as well as other well services.

“I am delighted, that working together, we will continue to drive value for ADNOC and the UAE, delivering on the 2030 strategic production capacity and gas self-sufficiency targets,” Abdulrahman Abdullah Al-Seiari, CEO of ADNOC Drilling, said. 

The contract comes as the Abu Dhabi firm pursues geographical expansion and further development in its offerings. 


Saudi-Qatari business forum reviews economic, investment ties

Saudi-Qatari business forum reviews economic, investment ties
Updated 09 December 2021

Saudi-Qatari business forum reviews economic, investment ties

Saudi-Qatari business forum reviews economic, investment ties
  • Cooperation in economic and investment fields was among a range of topics discussed

Saudi and Qatari companies signed agreements in the hospitality and tourism sectors at the Saudi-Qatari Business Forum in Doha on Wednesday.

The forum was organized by the Federation of Saudi Chambers and Qatar Chamber, with participation from private and public bodies and businesspeople.

Cooperation in economic and investment fields was among a range of topics discussed.

“Although the two countries have advantages for economic integration in many industries, the volume of trade exchange is still below ambition, as official Saudi statistics indicate that the volume of trade exchange between the two countries amounted to about SR1.67 billion ($450 million) in Q3 of this year,” said Ajlan Al-Ajlan, chairman of the Federation of Saudi Chambers.

Mohammed bin Ahmed bin Tawar Al-Kuwari, the first vice-chairman of Qatar Chamber, said that the two countries have strong and distinguished relations, as the volume of trade exchange during the first nine months of 2021 reached 386 million Qatari riyals, which is an encouraging start after, despite the COVID-19 repercussions and the absence in recent years.”


Saudi Arabia and Greece sign cooperation agreement on maritime transport

Saudi Minister of Transport and Logistics Services Saleh Al-Jasser and Greek Minister of Maritime Affairs and Island Policy Giannis Plakiotakis sign an agreement. (SPA)
Saudi Minister of Transport and Logistics Services Saleh Al-Jasser and Greek Minister of Maritime Affairs and Island Policy Giannis Plakiotakis sign an agreement. (SPA)
Updated 09 December 2021

Saudi Arabia and Greece sign cooperation agreement on maritime transport

Saudi Minister of Transport and Logistics Services Saleh Al-Jasser and Greek Minister of Maritime Affairs and Island Policy Giannis Plakiotakis sign an agreement. (SPA)
  • The deal includes developing commercial maritime navigation, increasing traffic of commercial ships
  • It also aims to provide facilities to maritime transport companies

RIYADH: Saudi Arabia and Greece on Wednesday signed a joint cooperation agreement in the field of maritime transport, Saudi Press Agency reported.
The deal was signed by Saudi Minister of Transport and Logistics Services and Chairman of the Public Transport Authority Saleh Al-Jasser and Greek Minister of Maritime Affairs and Island Policy Giannis Plakiotakis in the British capital, London.
The agreement aims to strengthen relations between the Kingdom and Greece at the strategic level and open new horizons for cooperation in various fields, especially maritime transport.
It includes developing commercial maritime navigation, increasing traffic of commercial ships to transport passengers and goods, as well as supporting and encouraging trade exchange and facilitating the requirements and procedures for accessing the ports of both countries.
The agreement also aims to enhance the exchange of expertise and technologies between companies, institutions and maritime organizations in this field.
The deal also included a mechanism for the treatment of ships of both countries when accessing their ports, stay and departure, and in cases of emergency and maritime accidents in their territorial waters.
Al-Jasser said the agreement aims to provide facilities to maritime transport companies, their ships and crews, and will mutual recognize the documents of ships and seafarers of both countries.
He said it will held develop joint investment opportunities in the field of maritime transport and logistics services to achieve strategic goals and diversify the sources of income for the total output of both countries’ economic sectors.