Saudi Arabia Successfully Contains Fallout of Attacks

A Saudi man inspects a screen showing stock prices at ANB Bank, in Riyadh Saudi Arabia September 15, 2019. REUTERS/Stringer
A Saudi man inspects a screen showing stock prices at ANB Bank, in Riyadh Saudi Arabia September 15, 2019. REUTERS/Stringer
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Saudi Arabia Successfully Contains Fallout of Attacks

A Saudi man inspects a screen showing stock prices at ANB Bank, in Riyadh Saudi Arabia September 15, 2019. REUTERS/Stringer
A Saudi man inspects a screen showing stock prices at ANB Bank, in Riyadh Saudi Arabia September 15, 2019. REUTERS/Stringer

Saudi Arabia has succeeded in absorbing the first shock caused by the attacks on two Aramco facilities in Abqaiq and Khurais.

The Wall Street Journal quoted Saudi officials, speaking under the conditions of anonymity, as saying that the Kingdom is racing to restore about a third of the stalled production before the market opens on Monday.

This comes as a first step towards restoring total production at full speed.

“We should be able to have 2 million barrels a day back online…by tomorrow,” said a person familiar with the matter.

Saudi Energy Minister Abdulaziz bin Salman, for his part, had announced that the Kingdom will use its reserve inventories to compensate for any shortfall in supplies.

He also noted that the attacks “resulted in a temporary suspension of production at Abqaiq and Khurais plants.”

The strikes knocked out 5.7 million barrels of daily production, and officials said they still believe they can fully replace it in coming days. That would require tapping oil inventories and using other facilities to process crude.

Rapidan Energy Group estimated Saudi Arabia has 188 million barrels of oil on hand, or roughly 37 days of Abqaiq’s processing capacity.

“Saudi Arabia has sufficient experience and is transparent when reporting damage in details--this reassures customers. The Kingdom also has sufficient stocks to meet customer and market need next to its ability to repair the damage and restore the two facilities to work as soon as possible,” Kuwaiti oil expert Kamel al-Harami told Asharq Al-Awsat.



Gold Rises as Weaker Dollar, Trump's Criticism of Powell Fuel Uncertainty

FILED - 04 April 2025, Bavaria, Munich: A man places a gold bar in a safe deposit box in a vault at the precious metal dealer Pro Aurum. Photo: Sven Hoppe/dpa
FILED - 04 April 2025, Bavaria, Munich: A man places a gold bar in a safe deposit box in a vault at the precious metal dealer Pro Aurum. Photo: Sven Hoppe/dpa
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Gold Rises as Weaker Dollar, Trump's Criticism of Powell Fuel Uncertainty

FILED - 04 April 2025, Bavaria, Munich: A man places a gold bar in a safe deposit box in a vault at the precious metal dealer Pro Aurum. Photo: Sven Hoppe/dpa
FILED - 04 April 2025, Bavaria, Munich: A man places a gold bar in a safe deposit box in a vault at the precious metal dealer Pro Aurum. Photo: Sven Hoppe/dpa

Gold edged higher on Thursday, supported by a weaker dollar and growing uncertainty after reports suggested US President Donald Trump was considering replacing Federal Reserve Chair Jerome Powell as early as September or October.

The reports raised concerns over the future independence of the US central bank, boosting demand for safe-haven bullion, Reuters reported.

Spot gold was up 0.1% at $3,336.02 per ounce, as of 0640 GMT. US gold futures rose 0.2% to $3,349.30.

The dollar fell to its lowest level since March 2022, making greenback-priced gold less expensive for overseas buyers.

Powell told a US Senate panel on Wednesday that while Trump's tariffs may cause a one-time price hike, the risk of persistent inflation is significant enough for the Fed to be cautious about further rate cuts.

"Trump clearly wants a dovish Fed Chairman next time around, so the increased likelihood of an aggressive rate-cutting cycle is pinning down the USD," KCM Trade Chief Market Analyst Tim Waterer said.

Bullion tends to do well during periods of uncertainty and in a low-interest-rate environment.

On Wednesday, Trump called Powell "terrible" and said he is considering three or four candidates for the top Fed post.

Meanwhile, The Wall Street Journal reported that Trump has even toyed with the idea of announcing Powell's potential successor by September or October.

Markets are awaiting US GDP print due later in the day, while also keeping a watch for data on Personal Consumption Expenditures (PCE) on Friday for cues on Fed's rate-cut trajectory.

A ceasefire between Israel and Iran appeared to be holding on Wednesday as Trump, at a NATO summit, praised the swift end to the 12-day conflict and said he would seek a commitment from Iran to end its nuclear ambitions at talks next week.

Spot silver edged up 0.1% to $36.34 per ounce, platinum firmed 1.8% to $1,379.58, while palladium rose 3.4% to $1,093.70.