Latest News
-
Eni and BlackRock’s GIP jointly control a carbon capture unit
Eni announced on Thursday that it had sold a 49.99% share of its carbon storage and capture unit to BlackRock’s infrastructure fund Global Infrastructure Partners. This gives the two groups joint control over the business. This deal is part Eni's plan to spin-off specific businesses, and to bring in partners who can help fund investment for these units. The deal is a larger share than previous deals with its low-carbon units Plenitude and Enilive, where it restricted the'share of partners' to 30%. Eni's CCUS Holding is responsible for the Liverpool Bay?and Bacton project in Britain in addition to the L10 -CCS in the Netherlands. The CCUS Unit?also has a right to purchase the 50% owned by Eni in the 'carbon capture project' it launched in Italy with gas grid operator Snam. The Italian group did not disclose the value of any additional projects that could be added to the portfolio in the medium-term. This strategic partnership will enhance the industrial potential and value of portfolio projects. It will also reinforce Eni's ambitions to be the leading global player in the carbon capture and storage industry. Carbon capture and Storage technology is a way to remove CO2 from the air or store it underground. It does this by capturing it at the point of emissions. International Energy Agency claims that the technology can be a key component in meeting global climate goals. Critics have questioned the commercial viability of this technology and claim that it could prolong fossil fuel use. (Reporting and editing by Barbara Lewis; Francesca Landini)
-
Gold prices rise as inflation data drives rate-cut bets
Gold prices held firm on 'Thursday', reversing earlier losses, as U.S. inflation figures were softer than expected, confirming expectations for Federal Reserve rate reductions in 2026. As of 1424 GMT, spot gold was down by 0.1% to $4,333.57 per ounce. U.S. Gold Futures were also down 0.2% at $4,366.80. Data showed that U.S. consumer price index rose 2.7% on an annual basis in November. This was below the 3.1% rise forecast by economists?surveyed. After the data, futures on the federal fund rate increased the probability that the Federal Reserve would lower interest rates during its meeting in January. David Meger said, "The CPI report was dollar negative and gold positive... The Fed will remain in the spotlight going into 2026, as the market attempts to determine how many rate reductions are planned for the 'next year. Gold and other non-yielding investments benefit from a low-interest rate environment. LSEG data shows that traders expect the Federal Reserve to cut rates by 63 basis points next year. Donald Trump, the U.S. president, said that he expects to announce early next year who will be the next Federal Reserve Chair. He stated that a person?who supports dramatically lower interest rates" would be chosen. Silver spot fell 0.4%, to $66.04 per ounce. This is a retreat from the record high of $66.88 set in the previous session. Meger stated that "both gold and silver saw magnanimous moves over the past few weeks. It's therefore not surprising to see a little profit-taking or consolidation on the market." Silver has outperformed the gold market this year. Its price is up?129% on an annual basis due to investment demand and fears over a shortage of supply. Platinum rose by 0.7% to $1.924.05, which is a record high for more than 17 years. Palladium gained 2.9%, reaching a new high of $1.695.68, which is a three-year-old high. Commerzbank stated in a report that "the wave of price increases has now spread from Silver to Platinum... The platinum price is buoyed up by strong demand coming from China."
-
Saudi Arabian crude exports reach a two-and-a half year high in October
Saudi Arabian crude oil exports reached their highest level since?two-and-ahalf years in October. Data from the Joint Organizations Data Initiative, or JODI, was released on Thursday. Crude oil exports increased from 6.460 million barrels a day in September to 7.100 millions barrels a day (bpd), their highest level since the beginning of April 2023. Saudi Arabian crude production, on the other hand, reached its highest level since April 2023 in October. Output ?in September stood at 9.966 million bpd. Saudi Arabia and the other OPEC countries submit monthly?export data to JODI which publishes it on its platform. JODI data show that the refinery crude throughput fell to 2.712 mbpd in September, down 7.8% from 2.940 mbpd. Direct crude burning also decreased 92,000 bpd and is now 393,000 bpd. UBS analyst Giovanni Staunovo said that the OPEC+ members of the Group of Eight lowered their production further in October, and with local demand seasonal declining, there was more crude available for export. Eight OPEC+ member countries have agreed to halt production increases for the first quarter of 2026. Other producers such as Brazil and the U.S. are also increasing their supply, which is adding to fears of a glut. OPEC predicted earlier this month that the demand for OPEC+ oil will average 43 millions bpd 'in 2026. This is unchanged from last?month and similar to what OPEC+ was producing in November. If OPEC+ continues to pump at?November’s rate in 2026, and all other factors remain the same, production?would 60,000 bpd more than demand. This calculation is based on an OPEC report. Saudi Arabia's crude oil exports to China will reach a three-month peak in January, according to sources early last week. The kingdom has lowered its official selling price to Asia. Reporting by Sherin Elizabeth Varighese in Bengaluru, Noel John in New York and Anmol Chaubey at Bengaluru. Editing by Kirby Donovan.
-
Industry says EU carbon tax changes are not sufficient for metals
Industry representatives say that the proposed changes to the European Union’s carbon border adjustment mechanisms are a step in the correct direction but not an ideal solution for the steel and aluminum sectors of Europe. The European Commission announced Wednesday proposals to extend the scope of CBAM, which will impose carbon taxes on Europe's steel imports and aluminium as well as a few other commodities starting January 1, to include some downstream products that contain a large amount of these?metals. It took into account the warnings of metal industry players from Europe about "carbon leakage", or the risk of industries worried about losing their competitiveness moving operations outside of the region in order to avoid the cost of climate policies. Eurofer, the European steel association, said that the proposals were flawed and failed to provide "a comprehensive?and durable?response to carbon?and jobs?leakage." They described the number of downstream products as being "very limited." Norsk Hydro, a Norwegian aluminium manufacturer, was the leader in lobbying to expand CBAM so that it would cover downstream and scrap. Norsk Hydro claimed that 35% EU aluminium recycling capacities could be closed if remelted aluminum scrap entered the EU without a carbon tax. It stated on Wednesday that the inclusion of preconsumer waste was a "big leap forward". "However,?post-consumer scrap ?must also be ?added to the scope," a company spokesman said. "If we don't, then half the scrap loophole remains open." Post-consumer?metal is the end-of-life metal such as aluminum beverage cans. The industry association European Aluminium agreed on Thursday that CBAM needs more work. Paul Voss said that the direction was right but more adjustments were needed to close the remaining loopholes. "We are committed to working with co-legislators in a constructive manner to produce a CBAM which supports the climate ambitions while maintaining Europe's competitiveness." (Reporting and editing by Barbara Lewis; Tom Daly, Kate Abnett)
-
Stocks rebound from AI-led damage; US inflation eases
Investors digested central bank decisions that highlighted divergent monetary policies around the world. Global shares rose Thursday, after?benign U.S. data on inflation. U.S. consumer prices rose less than expected during the year ending November. This initially hurt the dollar, but lifted equities on the hope of U.S. interest rate cuts in 2019. The pound rose after the Bank of England reduced interest rates, but indicated that further easing was unlikely. As expected, the European Central Bank left euro zone rates unchanged and took a more optimistic tone about the economy. Bank of Japan expected to raise rates on Friday. However, traders are still uncertain about the rate of tightening in 2026. STOCKS GET DATA-DRIVEN BOOST European stocks rose, with the STOXX600 up 0.3%. U.S. futures increased 0.7%-1.4%. This suggests a respite from Wednesday's tech led selloff. The U.S. The Labor Department reported that the Consumer Price Index increased 2.7% on an annual basis in November. This was below the economists' expectations of 3.1%. Import tariffs are partly to blame for affordability concerns, but the technical moderation is still evident. Some people may dismiss this report because it is less reliable than usual. But ignore it at your own risk. Brian Jacobsen is the chief economist at Annex Wealth Management. He said that other indicators such as rent prices and used car values are in line with the idea that old inflation drivers are not the current sources of inflation. Federal Reserve Governor Christopher Waller said that the central bank could cut rates if it saw signs of weakness in the labour market. Donald Trump, the U.S. president, said on Wednesday that the next Fed Chair would be someone "who believed in lowering rates by a lot." The Fed has indicated that it will only make one rate reduction next year. BOE CUTS AND ECB HOLDS The BoE reduced rates by 25 basis point in a vote that was narrower than expected. "There are enough people on the rate-setting panel who think: 'I don't want this to be a trend'. Chris Beauchamp is the chief market analyst at IG Markets. He said: "I'd rather wait and see if this turns into a trend." "I believe the reasoning is there? Probably, but you need to be patient for it to turn green. "I suppose you're only getting the amber light right now," he said. As ECB president Christine Lagarde started her press conference, the euro rose 0.12% to $1.1752. Treasuries firmed up, with yields on two-year bonds down by 2 basis points to 3.464%. Yields on 10-year bonds were also lower by 1.8 basis points to 4.133%. The price of oil rose for the second consecutive day, as Trump's blockade on Venezuelan exports continued and there were reports of new U.S. sanction against Russian oil. U.S. crude oil rose by 0.6% to $56.12 per barrel while Brent crude climbed 0.4% to $59,93. (Additional reporting by Stella Qui in Sydney. Kate Mayberry, Mark Potter and Kate Mayberry edited the article.
-
Cannabis stocks increase ahead of possible Trump order to relax marijuana restrictions
Stocks of cannabis companies rose on Thursday in premarket trading, fueled by expectations that U.S. president Donald Trump will sign an executive order easing federal regulations on marijuana. The debate about marijuana regulation is dominated by calls to reclassify marijuana as a safer drug. This would be the "most significant" change in marijuana policy ever since 1970. This reclassification would not legalize marijuana, but it could reduce tax burdens on firms, speed up research, allow for standard drug development, and improve access to capital. Tilray shares listed in the U.S. gained?nearly 5%. SNDL rose 3%. Canopy grew more than 5%. AdvisorShares Pure US Cannabis ETF rose 6.5%. Reclassification of marijuana would shift it from Schedule I (which includes substances like heroin, ecstasy, and peyote) that are not accepted for medical purposes to Schedule?III which covers substances with a moderate or low?risk?of physical or psychological dependency. According to reports, Trump is considering a Medicare Pilot Program?that could provide seniors with?access CBD. Rearranging Medicare coverage and attracting investments from other investors and financial institutions would be likely.
-
EDF France raises the maximum cost estimate of six reactors from 62 billion to 72.8 milliards euros
EDF, France's largest utility, said that the construction of six new nuclear reactors would cost a maximum of?72.8 billion euro ($85.29billion) based on values in 2020. This is higher than the 52 billion euro estimate made when the plans for a new fleet was first announced. Macron announced in early 2022 plans for'six new nuclear reactors, with a production capacity totaling?about ten gigawatts. This will partly replace older plants and secure future energy supplies. France produces about 70% of its electricity from nuclear power. EDF aims to reduce its costs by building reactors in a series. The costs will drop by 30% when the last one is completed, Xavier Gruz said at a press briefing. EDF will be given a loan to cover 60% of the construction costs. Contracts for Difference?on power generated are used?to repay the loan. Gruz said that a final investment decision will be made on the project by the end 2026.
-
Silver nears record high as gold falls on dollar firmness ahead of US inflation data
Silver hovered at record highs, as gold prices fell on Thursday. The dollar strengthened, and investors were 'cautious' ahead of U.S. inflation figures that could influence the Federal Reserve policy. As of 1210 GMT, spot gold was down 0.4% at $4,323.57 per ounce. U.S. Gold Futures fell 0.4% as well to $4,356.10. Dollar index increased after reaching a near-one-week-high on Wednesday. This made greenback-priced gold more expensive for foreign buyers. Spot silver dropped 0.1% to $66.19 per ounce after reaching a record high at $66.88 the previous session. The slightly stronger dollar is a headwind to both gold and silver )... Some cautious investors prefer to be on the safer side and avoid 'running into the inflation report with an opened position,' said UBS analyst Gian?Staunovo. White metal has, however, increased 129% this year due to a stronger industrial demand as well as a continuing supply deficit. Donald Trump, the U.S. president, said that the next Fed chair will be someone with a "significant" belief in lower interest rates. Trump will announce his choice to replace current Fed chair Jerome Powell early next year. Fed Governor Christopher Waller said that the Fed still has the ability to "cut interest rates" in light of the deteriorating job market. Data released earlier this week showed that the U.S. unemployment rate increased to 4.6% in the month of November. This was higher than the poll-predicted 4.4%, and the highest level since September 2021. Investors await the release of the November U.S. consumer price index later that day. A survey projects a 3.1% increase year-on-year. The markets are already pricing in two more 25-basis point rate cuts for next year. Gold and other non-yielding investments benefit from a low-interest rate environment. Palladium rose 2.8% to $1,693.55, which is a record high for nearly three years. Platinum rose 1.3%, to $1,924.05, an all-time high.
INDIA BUDGET - India to provide $647 Million to support strategic reserves oil purchases in 2025 and 26
The budget document released on Saturday revealed that India will spend $646.88 million to purchase oil for its Strategic Petroleum Reserves (SPRs).
Indian Strategic Petroleum Reserve Ltd. (ISPRL), the company that manages federal oil stocks, operates three SPRs with a combined production capacity of approximately 5 million tons in southern India.
Abu Dhabi National Oil Co. (ADNOC) and other companies use a portion of this capacity for commercial operations.
Budget proposals include allocations of about 1.8 billion rupies for the operation and maintenance SPRs, and approximately 3.35 billion rupies for land purchase and construction of caverns.
India, which is the third largest oil consumer and importer in the world, imports more than 80% of its oil requirements and is increasing its SPR capability to protect itself against any disruptions in global oil supply.
ISPRL is seeking private interest in building and operating a 2.5 million ton storage facility for petroleum reserves near Padur, Karnataka.
India also plans to build a SPR of 4 million tons at Chandikhol, in the eastern state Odisha.
(source: Reuters)