Latest News
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Wildfires in Bordeaux force evacuation of suburbs
The French authorities evacuated a large number of people from the suburbs around 'Bordeaux' on Saturday, as wildfires remained active in those areas. Sophie Brocas, the head of the local administration for La Nouvelle-Aquitaine et de la Gironde, which includes the Bordeaux region, stated on X, that the areas of Le Haillan, Eysines, and Merignac are being cleared out. Sebastien Lecornu, the French Prime Minister, said that so far more than 141,000 residents have been?evacuated? from the Gironde?and Landes?regions?which are?close to Bordeaux and where the fires first broke out?this week. Lecornu, writing on X Saturday, said: "The fires that are ravaging our country have reached a?level never before seen." French troops have also been called in to assist. Climate Monitor data shows that temperatures in the Aquitaine region have been on average 32.2 degrees Celsius this month. This is 13.1 degrees Fahrenheit (7.3 degrees Celsius) higher than normal for July between 1961 and 1990. Reporting by Camille Raynaud and Stephane Mahe; editing by Susan Fenton
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Trump refuses to proceed with nuclear agreement unless Saudis sign Abraham Accords
On Friday, President Donald 'Trump said he wouldn't go ahead with a civil nuclear agreement with Saudi Arabia unless?Saudi Arabia agreed?to a re-normalization of relations with Israel in accordance with the Abraham Accords. The U.S. Department of Energy announced on Wednesday that Energy Sec. Chris Wright and Prince Abdulaziz bin Salman, his Saudi counterpart, had signed an accord on the development of commercial nuclear reactors in oil rich Saudi Arabia. It said that Congress would review it. Since his first term, Trump has worked on a deal to build a nuclear power plant in Saudi Arabia. Joe Biden, the former president of the United States, also wanted a deal to be tied to accords that would normalize Saudi Arabia-Israel relations. Saudi Arabia, however, has not signed the accords because it is seeking an irreversible route to a Palestinian State before recognizing Israel. Trump added a condition to the agreement on Thursday. He said in a social media post that Saudi Arabia had to sign the accords. Trump made this point Friday at the Oval Office. Trump told reporters that they must be Abraham Accords members to get the deal. Trump claimed he did not discuss the Abraham Accords with Wright prior to the Cabinet member signing the deal. Trump stated that "but it was always understood and Chris knew and Saudi Arabia knew." Saudi Arabia hasn't responded to any requests for comment on the additional conditions to?the deal. Trump was confident it would all come together eventually. Trump stated that at some point, they would join together and "do their civil nuclear, to repeat it," they will do. Westinghouse, owned by Canadian companies Cameco & Brookfield Asset Management, is a beneficiary of a deal between the U.S. & Saudi Arabia. (Reporting and editing by David Ljunggren, Alistair Bell and Timothy Gardner)
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Gold edged up as Brent eased, Mideast developments on the agenda ahead of Fed meeting
Brent crude oil fell from over $100 per barrel on Friday, while investors assessed the Middle East conflict to determine its impact on inflation in advance of next week's U.S. rate decision. Gold spot was up by 0.1% to $4,052.78 an ounce at 4:10 pm EDT (2010 GMT) after a 2% drop in the previous session. Prices are up 0.9% this week, thanks to dip-buying early in the week. U.S. Gold Futures for August Delivery settled 0.5% higher at $4,070.80. "Gold and Silver are carving out bases around $3,950 each and $55, separately, despite the relentlessly rising yields. Gold feels ready to move higher. While a stop-loss below $3,950 can't be excluded, a sharp war escalated, a?Fed on hold next weekend would help, said Tai Wong. Brent crude oil?fell more than 4% after rising by over 7% in the previous session to reach above $100 for the first since May. This was after Iran-aligned Houthis claimed they had struck two Saudi oil tanks in the Red Sea. Bullion is down about 23% in the last few months since the U.S. war against Iran began late February. This has been a result of expectations that inflation due to war could keep interest rates high for longer. Gold is often seen as an inflation hedge, but higher interest rates can be detrimental to the metal. Investors are now awaiting the outcome of a U.S. Federal Reserve policy meeting next week. It is widely?expected that it will?keep rates unchanged. According to the CME?FedWatch Tool, traders are pricing in an approximately 82% chance that a U.S. interest rate increase will occur in September. The recent strength in bullion seems to be largely driven by dip-buying, and short covering. The sharp decline in gold prices from the record highs of earlier this year has been followed by a recovery. Silver spot rose by 0.8% per ounce to $58.11, platinum dropped 0.8% at $1,587.17 and palladium fell by 1.4% to $1.239.20.
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Report: Guardiola rejects Soccer-Pirlo for Italy's job
The Italian Football Federation (FIGC), reported La Repubblica on Friday, has reached an agreement with Andrea Pirlo, a former Italy midfielder. Pirlo will become the coach of the national team on a four year deal. Pirlo is widely regarded as the greatest Italian midfielder in history. He won the 2006 World Cup and had a distinguished career at Inter Milan, AC Milan, and Juventus. The 47-year-old currently manages Dubai United in the UAE First Division League. Pirlo managed Juventus in the 2020-21 season. He led the Turin club's Coppa italia and Italian Super Cup victories. ? The FIGC has been contacted for comment. GUARDIOLA TURNS DOWN JOB A source familiar with the?discussions on?Friday said that the reported agreement was reached hours after former Manchester City manager?Pep guardiola rejected a proposal to become Italy's head coach. The 55-year old Spaniard had talks about becoming Italy's coach. FIGC President Giovanni Malago suggested that financial flexibility could have been shown to a candidate with his stature. Italy has been looking for a new manager since Gennaro Gattiso quit in April, after failing to qualify for the third consecutive World Cup finals. The FIGC has also spoken to Brazil coach Carlo Ancelotti. Guardiola, who left City last season, had a successful decade as manager. He won six Premier League titles including four consecutively, three FA Cups, five League Cups, and the Champions League. Guardiola won three LaLiga titles, two Champions League titles, and two Champions League titles at Barcelona before he arrived at City. He also added three Bundesliga titles during his time at Bayern Munich. The Italian football system is in crisis. A new national team coach has been appointed to help rebuild the youth development and talent pipeline systems that have deteriorated in this country, where football is still a national obsession. Reporting by Pearl Josephine Nazare from Bengaluru, and Elvira pollina from Milan. Editing by Toby Davis & Ed Osmond.
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Investors watch MidEast developments before Fed meeting as Brent falls over 4%.
Brent crude fell on Friday as it retreated from above $100 per barrel. Meanwhile, investors analyzed the Middle East conflict to determine its implications for inflation in advance of next week's U.S. rate decision. By 11:50 am EDT (1550 GMT), spot gold had risen 0.6% to $4,073.23 an ounce after falling 2% the previous session. Prices are up 1.4% so far this week, thanks to dip-buying early in the week. U.S. Gold Futures for August Delivery gained 0.6% to $4,075.90. "Gold and Silver are carving out bases around $3,950 each and $55 respectively, despite the relentlessly rising yields. Gold feels ready to move higher. While a stop-loss below $3,950 can't be excluded, a sharp war escalated, a?Fed on hold next weekend would help, said Tai Wong. Brent crude oil fell by?over 4 percent after it rose over 7 percent to reach $100 for the first session since May. This was after Iran-aligned Houthis claimed they had hit two Saudi oil tanks in the Red Sea. Bullion is down about 23% in the last few months since the U.S. war against Iran began late February. This has been a result of expectations that inflation due to war could keep interest rates high for longer. Gold is often seen as an inflation hedge, but higher interest rates can be detrimental to the metal. Investors are now awaiting the U.S. Federal Reserve policy meeting result next week. It is?largely anticipated that it will?keep rates unchanged. According to the CME FedWatch Tool, traders are pricing in an 80% probability of a U.S. interest rate hike in September. Recent strength in bullion seems to be driven by dip-buying and short covering. The sharp decline from the record highs of earlier this year has been followed by a recovery. Silver spot rose by 1.9%, to 58.77 dollars per ounce. Platinum fell by 0.5%, to 1,592.89 dollars, while palladium gained 0.2%, to $1259.42.
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European stocks gain as SAP boosts tech stocks, Middle East on the watch
Investors took comfort in some corporate earnings and weighed the potential impact of higher oil prices on monetary policy. The STOXX 600 index, which measures the performance of all European markets, rose 0.6% to 644.67 for a second consecutive week. SAP, the software giant, gained 10% on Germany's DAX after it reported that second-quarter cloud backlog growth was ahead of analyst expectations. The technology index gained 1.7% after STMicroelectronics' and BE Semiconductor's quarterly reports failed to impress investors on Thursday. Investors are trying to balance AI growth with stretched valuations and returns on large investments in technology. This has led to recent swings in share prices. The two biggest problems for big tech companies is that capex can no longer be financed by free cash flow and that open-source AI, which is cheaper, is seriously threatening their business models," said analysts at Deutsche Bank led by Jim Reid. STOXX 600 technology stocks are up about 17% this year. This is just behind the energy stocks, which have risen by 32%. Oil and gas stocks did not 'capitalise' on Brent crude prices which remained above $100 per barrel on Friday. A 6.4% fall in Neste, the Finnish biofuel manufacturer and oil refiner, was a factor. "We have moved from pricing during a period with weak growth and high inflation to possibly even a recession." Chris Beauchamp is the chief market analyst for IG. "We're not there yet...but we could reach that point very soon," he said. Three policymakers on Friday said that the European Central Bank may have to increase interest rates once again due to the high inflation risk. The bank had left rates unchanged on Thursday, but still kept the September rate hike on the table. According to LSEG data, markets are still pricing in a 25% increase. There is also a 70% probability of another similar 'hike' by the end of 2026. The U.S. government imposed new tariffs on 60 trading partners of 10% and 12.5% over accusations of lax enforcement regarding?forced labor bans. This was just before a temporary global tariff of 10% expired. Volkswagen, among other stocks fell about 1% after the automaker lowered its previous revenue forecast due to a 9.5% drop in second-quarter profits. Valmet, a pulp, paper and energy technology company that announced second-quarter results above expectations -and announced the possibility of separating its business - soared by 22%. Securitas, a security services provider in Sweden, fell 11% on its first day since August 2006. The company reported a lower than expected second-quarter core income. (Reporting from Tharuniyaa and Purvi in Bengaluru; additional reporting by Medha, and editing by Sonia Cheema and Maju Samuel)
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Sources say Pakistan and Iran are exploring a path to new talks with the US, in response to a China-initiated effort.
Three Pakistani sources have confirmed that Pakistan is looking at a way to resume the stalled U.S.-Iran war talks, which were halted after a Chinese push. Sources said that exploratory?discussions?took place this week during the visit of Iran's interior minister Eskandar Momeni to Islamabad, his second in the past 10 days. According to Pakistani government officials, Momeni met this week with Asim Munir, the army chief of Pakistan, and other government leaders in Pakistan. Three sources warned that obstacles to talks with the U.S. remained high. STRAIT OF HORMUD CLOSURE HITTING CHINA Pakistan is in a difficult position as a possible future mediator. Yemen's Iran backed Houthi Movement declared a Naval Blockade this week against Saudi Arabia. Saudi Arabia is a close ally to Islamabad and signed a Mutual Defence Treaty with Pakistan in last year. Pakistan depends on Saudi Arabia for financial support. Islamabad also has condemned the recent Houthi attacks against Saudi Arabia. Riyadh could be frustrated if it is perceived as being too receptive towards Iranian arguments. Beijing is also a major financial supporter of Islamabad and has an economic interest in finding a diplomatic resolution to reopening important Middle Eastern trade routes. All three sources in Pakistan said that Ishaq dar, Pakistan's foreign minister, had also discussed the new Middle East efforts with Chinese officials during his visit to China last week. All three sources said that they spoke under the condition of anonymity because they weren't authorized to speak publicly about the issue. A Pakistani official stated that "the Chinese are upset because Iran's attack on other Gulf States and the closing of the Strait of Hormuz is hitting their interests." Beijing would be affected by disruptions in the Red Sea, another important trade route. Dar and Pakistan's military public relations arm did not respond when asked for comments. China's Foreign Ministry said in a press release that "China supports mediation efforts by Pakistan and other Parties." China added that it will "continue to play an active role in restoring the peace and tranquility in Middle East Gulf Region as soon as possible." OFFICIAL: HALT IN ATTACKS REQUIRED Beijing, despite the international sanctions against Tehran, is Iran's biggest trading partner and its primary buyer of crude oil exported by Tehran. It benefits from a steep discount. China has increased its support for Iran's security by providing dual-use components and chip equipment, as well as satellite navigation systems. Beijing has consistently backed Pakistan’s mediation efforts, and in March it sent its special envoy on a Middle East shuttle diplomacy trip. In June, the U.S. signed a Memorandum of Understanding with Iran to end the war through mediation by Pakistan and Qatar. The 60-day period was meant to allow for negotiations towards a permanent agreement. However, indirect negotiations did not yield any progress. The conflict continued as both sides blamed one another for the violations. The Houthis announced on Thursday that two Saudi oil tanks were destroyed as part of their "naval blockade", threatening to close the Strait of Hormuz and create a second choke point for global oil supplies. The latest diplomatic efforts of Pakistan have been hampered by the escalation. Pakistani official said that a halt to attacks against Saudi Arabia and the other Gulf nations was now a "prerequisite" for any future talks. The official said that Pakistan had sent a message to Iran. Reporting by Asif Bukhari, Mubasher in Lahore, and Liz Lee from Beijing. Editing by Rick Noack & Andrew Heavens.
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JPMorgan warns that a'super El Nino' and oil shock may cause global inflation to rise
JPMorgan economists in a Friday report said that a rapidly intensifying El Nino climate pattern, combined with higher energy prices, could add 0.3 percentage point to global inflation. This would hit emerging markets especially hard. Forecasts indicate that there is an 81% chance that this El Nino episode will develop into a "very powerful" or "super El Nino at the end of this year, and that conditions are likely to persist next year. This event would be among the most severe in recent years - and raise the risks of disruptions to the global food supply chain. JPMorgan estimated a super El Nino would increase global food inflation at its height by 0.7 percentage points. The biggest impact is usually felt four to eight months after the weather shock. When combined with energy prices that have risen due to the Iran War, and which have increased the cost of fuel, fertilizer, and food packaging, global food inflation can double. Analysts at JPMorgan said that the resulting increase in food inflation would be a 5% annualised level in 1H27, adding 0.6 percentage point to global headline inflation. This would slow down next year's anticipated inflation decline by about 0.3 percentage points. Emerging Markets to?Bear the Brant The impact would be felt most in emerging markets in Asia and Latin America, where food is a bigger part of consumer baskets. Agriculture is also more weather sensitive. They identified India, Indonesia and Brazil as being particularly vulnerable, and added that Taiwan and South Korea were also vulnerable. In contrast, the direct impact of El Nino on food inflation in Europe and other developed economies is expected to be smaller. In these countries, it is likely that higher energy costs will be the primary driver of food price increases. The bank stated that the current situation is more favorable than previous El Nino episodes. Global grain stocks are adequate, rice supplies in Asia are relatively healthy, and food inflation is currently relatively low. Food inflation could become a major source of divergence among countries and regions if a powerful El Nino is combined with a period of sustained high energy prices. (Reporting and editing by Kirsten Doovan; Marc Jones)
Wildfires in Bordeaux force evacuation of suburbs
Wildfires in the area around Bordeaux, southwest France, showed no sign of stopping.
Sophie Brocas, the head of the local administration for La Nouvelle-Aquitaine et de la Gironde which includes the Bordeaux region, has said that the areas of Le Haillan and?Eysines are being cleared. Bordeaux is known for its vineyards, and the city of Bordeaux is a major 'transport hub' for tourists who are visiting the nearby resorts along the Atlantic coast. Sebastien Lecornu, Prime Minister of France, said that more than 141,000 people have been evacuated so far from the Gironde and Landes region near Bordeaux where wildfires erupted this week. The region was advised not to be driven in.
Lecornu posted on X Saturday that "the fires that have hit our country are at a level never before seen." To?help, the army has been called in. Smoke from wildfires was seen and felt in the Haute-Vienne area north of Bordeaux. Local authorities asked people to close their doors and windows. Climate Monitor data shows that temperatures in the Aquitaine region have averaged 32 degrees Celsius (90 degrees Fahrenheit) so far this month. This is 7.3C (13.1F), compared to the norm for July 1961-1990. Reporting by Camille Raynaud and Stephane Mahe; editing by Susan Fenton, Kevin Liffey and Elizabeth Howcroft
(source: Reuters)