Good morning! Here’s what you need to know in markets on Monday.
Oil is rebounding. After recovering in trade on Friday, oil prices continue to hold up. Brent is up 1.74% to $33.41 (£23.36) at the time of writing (6.30 a.m. GMT/1.30 a.m. ET) and US crude is up 1.38% to $32.62 (£22.81).
Asian markets are higher thanks to oil prices. Japan’s Nikkei closed up 0.90% on Monday, Hong Kong’s Hang Seng is currently up 1.30% at the time of writing (6.30 a.m. GMT/1.30 a.m. ET), and China’s benchmark Shanghai Composite is 0.10% higher.
HSBC is poised to make a decision on whether it will stay in the UK as early as this week. The Telegraph reports that a 20-person group board is due to hold a two-day meeting at the end of this week in Hong Kong, after a nine-month review of where the bank should have its headquarters.
Siemens AG, Europe’s biggest industrial group, has agreed to buy CD-adapco, a privately held US engineering software firm, for close to $1 billion (£700 million) in cash, according to a person familiar with the matter. Siemens’s deal with CD-adapco could be announced as early as Monday, the person said, asking not to be identified because the agreement is not yet public.
Saudi Arabia aims to at least double annual inflows of foreign direct investment (FDI) over the next 10 years by focusing on new sectors such as mining, healthcare, and information technology. The plan outlined on Sunday by Abdullatif al-Othman, governor of the Saudi Arabian General Investment Authority (SAGIA), is part of a radical revamp of economic policy as the kingdom seeks to adapt to an era of cheap oil.
Britain’s banks need to dedicate far greater resources toward securing their IT infrastructure and should have a designated board member overseeing the issue. Andrew Tyrie, chairman of parliament’s Treasury Committee, made the call and also suggested that Andrew Bailey, the deputy governor of the Bank of England who heads its banks supervisory arm, should be tasked with ensuring the banks develop more resilience.
Four of Twitter’s top execs are leaving the company. Twitter’s product head Kevin Weil, media head Katie Jacobs Stanton, senior vice president of engineering Alex Roetter, and Vine head Jason Toff are all leaving the company, according to the reports.
Tech giant Samsung Electronics will consider all possible options to grow its home appliances business including mergers or acquisitions, a senior company executive said on Monday. Suh Byung-sam, head of Samsung’s appliances business, also told reporters at a company event that Haier Group’s acquisition of General Electric’s appliances business will have no serious impact on its business in the near term.
Mario Draghi is speaking in Germany this evening. The European Central Bank President, who buoyed markets last week with his promise of “no limits” on monetary policy intervention, is giving the keynote speech at the Deutsche Börse New Year’s reception at 6.00 p.m. GMT (1.00 p.m. ET).
28 oil and gas service firms entered insolvency in 2015, up from 18 in 2014, according to research by accountancy firm Moore Stephens. The company says the increase was “an almost inevitable result” of the drop in the oil price and the consequent cancellation of projects worldwide, the BBC reports.
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