Why New York Will Charge $23/Day To Drive Into Manhattan

Can Superyachts Go Electric?

New York City’s And San Francisco’s Urban Doom Loop

New York City’s And San Francisco’s Urban Doom Loop, Explained

Why olive oil prices are at a record high #Shorts

Why China has its eye on Latin America

Why Tornadoes Are More Destructive Than Ever In The U.S.

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="462" src="https://cms.cnbcafrica.com/wp-content/uploads/2023/10/107311023-1696369600615-gettyimages-1701837503-AFP_33XB68K-820x462.jpeg" alt="" class="wp-image-427904" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2023/10/107311023-1696369600615-gettyimages-1701837503-AFP_33XB68K-820x462.jpeg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2023/10/107311023-1696369600615-gettyimages-1701837503-AFP_33XB68K-300x169.jpeg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2023/10/107311023-1696369600615-gettyimages-1701837503-AFP_33XB68K-160x90.jpeg 160w, https://cms.cnbcafrica.com/wp-content/uploads/2023/10/107311023-1696369600615-gettyimages-1701837503-AFP_33XB68K-768x432.jpeg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2023/10/107311023-1696369600615-gettyimages-1701837503-AFP_33XB68K.jpeg 929w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Britain’s Prime Minister Rishi Sunak listens to a speaker address delegates at the annual Conservative Party Conference in Manchester, northern England, on October 2, 2023. Oli Scarff | Afp | Getty Images</figcaption></figure>



MANCHESTER, ENGLAND — U.K. Prime Minster Rishi Sunak appears a leader on rocky ground as growing disunity from within his Conservative government is giving rise to more radical factions, even as the party gears up for a General Election next year.



The discord Sunak sought to assuage when he assumed leadership of the party last year following a series of Tory psychodramas has resurfaced this week as ministers assembled in Manchester, England, for the annual Conservative Party Conference.



Members of Parliament (MPs), including Liz Truss, Britain’s shortest-serving prime minister, voiced their disapproval of Sunak’s leadership — or perceived lack thereof — while faction leaders have urged donors to defund the party until major reforms are made.



The rebellion comes as the Tories face stiff competition from the opposition Labour Party, which continues to lead in opinion polls, and party pushback promises to dominate Sunak’s leadership in the lead up to the election, likely due this time next year.



<h2 class="wp-block-heading" id="h-truss-leads-the-rebellion"><a></a>Truss leads the rebellion</h2>



Truss, the Ronald Reagan enthusiast who lasted just 44 days in office, stole the show as the conference got underway in earnest Monday, attracting a crowd of hundreds as she admonished Sunak’s policies and again made the case for immediate tax cuts.



The ex-prime minister, whose low-tax agenda led to the implosion of her government last year, retains significant support among party faithfuls — many of whom voted her into power — and at least 60 MPs have now joined her Conservative Growth Group.



The MPs backing Truss’ vision to “make Britain grow again” account for less than a fifth of total elected Conservative MPs, but their number is roughly equivalent to Sunak’s parliamentary majority, posing potential risks to the prime minister’s ability to govern.



Among the rebel members is former Home Secretary Priti Patel, who on Sunday said her party was “at a crossroads,” adding that it was Sunak who had “undermined [the Conservatives’] ability to govern.”



Patel was speaking at a gala dinner hosted by the Conservative Democratic Organisation — a faction closely aligned with former Prime Minister Boris Johnson — whose founder, Lord Peter Cruddas, used the event to urge members to cut donations to the Conservative Party until it undergoes reform.



“I’ve had enough of this,” Lord Cruddas said, adding that members “should not blindly support a Conservative Party that no longer represents our values,” and is “headed for electoral disaster.”



The CDO considers the effective ousting of Truss and Johnson, and the later default installation of Sunak, as anti-democratic and against the will of the party membership.



Brexit proponent Nigel Farage, former leader of the populist, right-wing U.K. Independence Party (UKIP), was also in attendance and later said that a wing of the Conservative Party is “very much coming in [his] direction.”



“That’s what the great battle’s going to be after they lose the next General Election: which wing of the party wins,” Farage said of the Conservatives in a Tuesday interview with the News Agents podcast.



<h2 class="wp-block-heading"><a></a>A struggling Conservative brand</h2>



The rising discord from within the party is also reflected in public sentiment, with many Britons expressing their dissatisfaction with the Tories’ 13-year stronghold.



Recent opinion polls show Labour with a 20-point lead over the Conservatives, only a slight narrowing from July.



“The Conservative brand is struggling,” Gideon Skinner, head of politics research in public affairs at market research firm IPSOS, said Monday. “Two-thirds [of voters] think it’s time for a change, and that’s the real struggle that the Conservative Party has to turn around.”



According to IPSOS’s latest data, almost two-thirds (61%) of voters see the Conservatives as out of date, while just one-fifth (21%) see them as fit to govern. Nearly three-quarters (73%), meanwhile, see Sunak, Britain’s richest prime minister in modern history, as out of touch.



It comes as Britain struggles with still high inflation and falling living standards, which have led to ongoing industrial action over working conditions and pay.



Thousands of medical professionals marched outside of the conference Tuesday, demanding fairer wages, while the latest strikes by train workers on Wednesday will disrupt travel for the second time this week.



“There’s this bleak public mood which is combined with the worsening public brand of the Conservatives, all leading to this sense that it’s time for a change,” Skinner said.



Later Wednesday, Sunak is expected to use his headline speech at the close of the conference to reassert his authority and outline a number of new policies that he hopes will help him win support from both the electorate and his own party.

107311023-1696369600615-gettyimages-1701837503-AFP_33XB68K

UK PM Rishi Sunak’s leadership on rocky ground as party rebellion mounts

Some economists are concerned student loans may cause the next big bubble #Shorts

Olive oil prices surge over 100% to record highs

Olive oil prices surge over 100% to record highs, sparking cooking oil thefts

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="543" src="https://cms.cnbcafrica.com/wp-content/uploads/2023/10/107308902-1695967509603-gettyimages-1561204305-Hong_Kong_Urban_Skyline-820x543.jpeg" alt="" class="wp-image-427846" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2023/10/107308902-1695967509603-gettyimages-1561204305-Hong_Kong_Urban_Skyline-820x543.jpeg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2023/10/107308902-1695967509603-gettyimages-1561204305-Hong_Kong_Urban_Skyline-300x199.jpeg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2023/10/107308902-1695967509603-gettyimages-1561204305-Hong_Kong_Urban_Skyline-136x90.jpeg 136w, https://cms.cnbcafrica.com/wp-content/uploads/2023/10/107308902-1695967509603-gettyimages-1561204305-Hong_Kong_Urban_Skyline-768x509.jpeg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2023/10/107308902-1695967509603-gettyimages-1561204305-Hong_Kong_Urban_Skyline-1536x1017.jpeg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2023/10/107308902-1695967509603-gettyimages-1561204305-Hong_Kong_Urban_Skyline-scaled.jpeg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">An urban view of high-rise buildings at dusk as seen from Hong Kong’s Victoria Peak on July 23, 2023 in Hong Kong, China. Future Publishing | Future Publishing | Getty Images</figcaption></figure>



The World Bank trimmed its growth forecast for developing East Asia and Pacific, citing a sluggish China and global demand amid still-high interest rates and dampened trade.



The World Bank said it now expects developing economies in East Asia and the Pacific to grow 5% in 2023, according to its October report published Monday in Asia. That’s slightly less than the 5.1% it had forecast in April. For 2024, the Washington-based multilateral bank now expects 4.5% growth for the region, down from its forecast of 4.8% in April.



The World Bank left its 2023 economic growth forecast for China unchanged at 5.1%, but lowered its 2024 estimate to 4.4% from 4.8% previously. The organization cited “longer-term structural factors,” elevated debt levels in the world’s second-largest economy and weakness in its property sector as reasons for its downgrade.



“While domestic factors are likely to be the dominant influence on growth in China, external factors will have a stronger influence on growth in much of the rest of the region,” the World Bank said.



Even though East Asian economies have mostly recovered from the series of shocks since 2020 — including the Covid-19 pandemic — and will continue to grow, the World Bank said the pace of growth will likely slow.



<h2 class="wp-block-heading" id="h-growing-debt-levels"><a></a>Growing debt levels</h2>



The World Bank flagged the significant increase of general government debt, as well as the rapid jump in corporate debt levels, particularly in China, Thailand and Vietnam.



It warned that high government debt levels can limit both public and private investment. Elevated debt could lead to higher interest rates, which would increase the cost of borrowing for private businesses, it said.



According to the World Bank’s calculations, a 10-percentage-point increase in general government debt to GDP is associated with a 1.2&nbsp;percentage point decline in investment growth. Similarly, a 10-percentage-point increase in private debt to GDP is associated with a 1.1&nbsp;percentage point decline in investment growth, it said.



The bank also noted relatively high levels of household debt in China, Malaysia and Thailand compared to other emerging markets. High household debt can have a negative impact on consumption, since more income would be used to service debts, which could lead to cuts in spending.



A 10-percentage-point increase in household debt would decrease consumption growth by 0.4 percentage point, the World Bank said.



As it stands, the World Bank said household spending is still below pre-pandemic trends in the developing East Asia and Pacific region.



In China, the current trend of retail sales is flatter than before the pandemic due to falling house prices, weaker household income growth, increased precautionary savings and household debt as well as other structural factors, such as an aging population.

107308902-1695967509603-gettyimages-1561204305-Hong_Kong_Urban_Skyline

World Bank downgrades developing East Asia growth forecast, weighed by a slowing China

The Collapse Of FTX: Insiders Tell All | CNBC Documentary

Why GlobalFoundries’ Chips Are So Important To The U.S.

Why Tesla May Be The Big Winner Of The UAW Strikes

Meet The Drone Start-Up That’s Trying To Change Policing

How ‘The Squadron’ teaches CEOs #Shorts

How Chinese companies are supporting Russia’s military

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="462" src="https://cms.cnbcafrica.com/wp-content/uploads/2023/09/107301361-1694772546411-gettyimages-1645429909-01-dji_fly_20230819_001040_826_1692423298462_photo-_sbqq89ar-820x462.jpeg" alt="" class="wp-image-427512" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2023/09/107301361-1694772546411-gettyimages-1645429909-01-dji_fly_20230819_001040_826_1692423298462_photo-_sbqq89ar-820x462.jpeg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2023/09/107301361-1694772546411-gettyimages-1645429909-01-dji_fly_20230819_001040_826_1692423298462_photo-_sbqq89ar-300x169.jpeg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2023/09/107301361-1694772546411-gettyimages-1645429909-01-dji_fly_20230819_001040_826_1692423298462_photo-_sbqq89ar-160x90.jpeg 160w, https://cms.cnbcafrica.com/wp-content/uploads/2023/09/107301361-1694772546411-gettyimages-1645429909-01-dji_fly_20230819_001040_826_1692423298462_photo-_sbqq89ar-768x432.jpeg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2023/09/107301361-1694772546411-gettyimages-1645429909-01-dji_fly_20230819_001040_826_1692423298462_photo-_sbqq89ar.jpeg 929w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">In an aerial view, oil storage tanks are shown at the Enterprise Sealy Station on August 28, 2023 in Sealy, Texas.
Brandon Bell | Getty Images News | Getty Images</figcaption></figure>



Oil prices surged to their highest level in over a year during Asian trading hours, after crude stocks at a key storage hub fell to their lowest since July last year.



Crude inventories in Cushing, Oklahoma fell to 22 million barrels in the fourth week of September — hovering close to the operational minimum, according to data from the U.S. Energy Information Administration (EIA). That’s a drop of 943,000 barrels compared to the prior week.



The U.S. West Texas Intermediate futures touched $95.03 per barrel during Asia trading hours, marking the highest since August 2022. It was last trading at $94.61 per barrel. Global benchmark Brent rose 1.05% to $97.56 a barrel.



“Today’s price action seems to be Cushing driven, as it reaches a 22 million bbl low, the lowest level since July 2022,” Bart Melek, managing director of TD Securities, told CNBC.



If the inventories continue to dip below those levels, it’s going to be “rough” getting crude out into the market, Melek said on CNBC’s “Street Signs Asia.”



He forecasts that oil prices will continue to remain at “high level” for the rest of the year, with an upside risk if global oil cartel OPEC+ continues to keep supplies tight.



<h2 class="wp-block-heading" id="h-robust-deficit-in-sights"><a></a>‘Robust deficit’ in sights</h2>



The global oil markets are looking at a “pretty robust deficit” on top of an already significant shortfall this quarter, Malek said, citing the oil production cuts implemented by OPEC and its allies.



In September, OPEC+ kingpin Saudi Arabia&nbsp;<a href="https://www.cnbc.com/2023/09/05/saudi-arabia-to-extend-voluntary-cut-of-1-million-barrels-per-day-until-the-end-of-the-year.html">extended its 1 million barrel per day voluntary crude oil production cut</a>&nbsp;until the end of the year. It brings Saudi’s crude output to near 9 million barrels per day.



<blockquote class="wp-block-quote is-layout-flow wp-block-quote-is-layout-flow">
<blockquote class="wp-block-quote is-layout-flow wp-block-quote-is-layout-flow">
We do think that prices could keep up near these levels for quite some time. But I don’t think it’s too permanent. And we might have seen the end of this rally.
<cite>Bart Melek MANAGING DIRECTOR, TD SECURITIES</cite></blockquote>



Additionally, Russia has pledged to extend its 300,000 barrels per day export reduction until the end of December.



Malek also highlighted how refinery throughputs will see a decline in the coming months as refinery maintenance season approaches. The&nbsp;<a href="https://www.lawinsider.com/dictionary/refinery-crude-throughput" target="_blank" rel="noreferrer noopener">refinery crude throughput</a>&nbsp;refers to the volume of crude oil a refinery can produce during a given period of time.



“We do think that prices could keep up near these levels for quite some time. But I don’t think it’s too permanent. And we might have seen the end of this rally.”



It will not be in OPEC’s interest if prices go a lot higher to triple digits, as they will be worried about long term demand destruction, Malek pointed out.



“We do think they will ultimately signal, as we get closer to the end of the year, that they may be very well done with these strong measures to limit supply,” he projected.



<figure class="wp-block-image"><img decoding="async" src="https://fm.cnbc.com/applications/cnbc.com/resources/styles/skin/special-reports/cnbci_promo/images/telegram_24.png" alt=""/></figure>



Get more from CNBC. Breaking news and updates on&nbsp;<a href="https://t.me/cnbci" target="_blank" rel="noreferrer noopener">Telegram</a>.



<a href="https://www.cnbc.com/2023/09/20/goldman-raises-international-oil-price-forecast-to-100-a-barrel.html">Forecasts</a><a href="https://www.cnbc.com/2023/09/15/oil-to-hit-100-analysts-expect-a-return-to-triple-digits-before-2024.html">&nbsp;</a><a href="https://www.cnbc.com/2023/09/20/goldman-raises-international-oil-price-forecast-to-100-a-barrel.html">for $100 per barrel oil</a>&nbsp;have been swirling on the horizon in recent days.&nbsp;<a href="https://www.cnbc.com/2023/09/20/goldman-raises-international-oil-price-forecast-to-100-a-barrel.html">Goldman Sachs recently raised</a>&nbsp;its 12-month Brent forecast from $93 per barrel to $100 on the back of “modestly sharper inventory draws,” the investment bank wrote in a recent note dated September 20.



“Overall, we believe that OPEC will be able to sustain Brent in an $80 to $105 range in 2024,” the Goldman report added, citing strong demand growth from the Asia region.
</blockquote>

CNBC

Why New York Will Charge $23/Day To Drive Into Manhattan

Can Superyachts Go Electric?

New York City’s And San Francisco’s Urban Doom Loop, Explained

Why olive oil prices are at a record high #Shorts

Why China has its eye on Latin America

Why Tornadoes Are More Destructive Than Ever In The U.S.

UK PM Rishi Sunak’s leadership on rocky ground as party rebellion mounts

Some economists are concerned student loans may cause the next big bubble #Shorts

Olive oil prices surge over 100% to record highs, sparking cooking oil thefts

World Bank downgrades developing East Asia growth forecast, weighed by a slowing China

The Collapse Of FTX: Insiders Tell All | CNBC Documentary

Why GlobalFoundries’ Chips Are So Important To The U.S.

Why Tesla May Be The Big Winner Of The UAW Strikes

Meet The Drone Start-Up That’s Trying To Change Policing

How ‘The Squadron’ teaches CEOs #Shorts

How Chinese companies are supporting Russia’s military

Oil prices surge to highest level in more than a year

News Tips

Advertise With Us

CNBC

Why New York Will Charge $23/Day To Drive Into Manhattan

Can Superyachts Go Electric?

New York City’s And San Francisco’s Urban Doom Loop, Explained

Why olive oil prices are at a record high #Shorts

Why China has its eye on Latin America

Why Tornadoes Are More Destructive Than Ever In The U.S.

UK PM Rishi Sunak’s leadership on rocky ground as party rebellion mounts

Some economists are concerned student loans may cause the next big bubble #Shorts

Olive oil prices surge over 100% to record highs, sparking cooking oil thefts

World Bank downgrades developing East Asia growth forecast, weighed by a slowing China

The Collapse Of FTX: Insiders Tell All | CNBC Documentary

Why GlobalFoundries’ Chips Are So Important To The U.S.

Why Tesla May Be The Big Winner Of The UAW Strikes

Meet The Drone Start-Up That’s Trying To Change Policing

How ‘The Squadron’ teaches CEOs #Shorts

How Chinese companies are supporting Russia’s military

Oil prices surge to highest level in more than a year

News Tips

Advertise With Us

Newsletters