Latest News
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Interior Secretary Burgum: US wants to issue deep sea mining permits in a few months
The Trump administration announced on Monday that it was close to approving permits to'mine' the deep sea as part of an broader effort to increase U.S. access to the vital minerals needed across the U.S. economy. Interior Secretary Doug Burgum told a G20 gathering in Houston of energy ministers that the permits could be issued within months, as the administration pursues its strategy of "energy add" to expand the supply chains of the country and its allies. Donald Trump, since returning to office in 2017, has taken steps to bolster the deep-sea mine industry. However, he still hasn't issued operational permits to allow it to move forward. Many environmentalists are concerned that seabed mining could lead to irreversible biodiversity losses. The Pacific Ocean, and other parts of the world are believed to have large quantities of polymetallic nodules (potato-shaped rocks) that can be used as building blocks for electronic vehicles, weapons and electronics. Burgum stated that "those nodules we have to vacuum up from the sea floor (are filled with?critical minerals we need." Burgum said that part of the solution is to ensure that we have a diverse, reliable, and affordable supply of essential minerals. In the last 18 months, U.S. exports of critical minerals, especially those processed in China by Chinese companies, have been limited as Beijing limits its exports. This has increased pressure on Washington, which is now urging it to support efforts to increase domestic mining. Burgum responded to Burgum's question about when the federal government could issue permits for deep-sea diving: "Those discussions are taking place right now." He added that "you'll hear more in the coming weeks and months because there's exciting developments on that front." Burgum's Interior Department supervises the Marine Minerals Administration which must approve all?permits for mining?U.S. Territorial waters. The MMA review would begin with a lease to allow private companies to have exclusive access to a part of the seabed. Then, a review process would be conducted to determine if an operational permit was needed. This would include a variety of scientific data. Separately Trump wants the Commerce Department to issue international permits. This could lead to a conflict with the United Nations' International Seabed Authority, which has tried to set standards for more than 25 year. The Metals Company, a privately-held company, and Impossible Metals are among the companies that have requested permits for seabed mining. Other companies have also applied for exploration permits.
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Texas penalizes data centers for violating water laws
On Monday, the 'governor' of Texas, a state that is one of the fastest-growing areas for artificial intelligence infrastructure, instructed'state regulators to penalize any data centers who fail to provide details regarding their water usage. Texas, which has halted new data center connections to the state's?electrical grid, pending an assessment of the facilities' water and power use, amongst other issues, re-examines its regulations for server warehouses. Governor Greg Abbott has directed the Texas Water Development Board to "impose legal consequences" to data centers and large water-using entities that fail to report their water usage. Abbott's office issued a statement saying that "major water users including data centers appear to have violated civil and criminal laws by failing to provide TWDB the required information about water usage." The 'Texas water regulator tries to survey data centres about their 'water use and consumption expectations. The data center will be denied new or renewed environmental permits if it fails to submit the survey by the deadline.
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Interior Secretary: US oil export ban unlikely lower energy prices
U.S. Interior Secretary Doug Burgum stated on Monday that a ban on U.S. fuel or oil exports was unlikely to help lower energy prices for consumers in the midst of the Iran War. Burgum, speaking to reporters at the G20 meeting on energy in Houston, said: "We'd consider an export prohibition if it actually could lower prices. But that's not true." Burgum, a Trump appointee, stated that a ban on the export of oil, gasoline, or diesel could result in retaliatory measures from other countries. This could harm consumers in California, whose energy imports are largely dependent on. Burgum stated, "We stopped exporting products, and then someone said, "We're not going to export to California." Burgum stated that California has already shut down several oil refineries which has contributed to the rise in fuel prices. Burgum stated that California already has the highest gas and diesel prices in the nation due to their policies. We don't want to make it worse. The Trump administration has run out of options to reduce prices for diesel and oil, which recently reached a record-high above $6 per gallon, and are even higher in California. The White House is considering how it can use the Cold War Defense Production Act in order to increase U.S. refinery capacity.
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US EPA will undo carbon emissions limits for power plants during G20 meeting
The U.S. Environmental Protection Agency announced Monday rules to repeal former President?Joe Biden?s limits on carbon emission from coal-and-gas-fired power stations and to prevent future climate regulations of these facilities. The move is part President Donald Trump’s effort to undo U.S. Climate Policy, which his administration claims has hampered energy production. The announcement was made at the sidelines of the G20 Energy Ministers' meeting in Houston this week, where global officials will discuss "regulatory efficiencies," expanding baseload power, and energy security. EPA Administrator Lee Zeldin stated that 'new measures to prevent future regulation on greenhouse gas emissions in the power sector would enable the U.S. build new generating infrastructure to meet the skyrocketing demand for electricity. He said that the Americans have demanded more common sense from federal agencies under President Trump’s leadership at a press conference held in Houston. "That means reducing red tape so that we can build a new power-generating system." Environmental groups slammed this new proposal. They said that it would be more expensive in terms of damage to the public and the environment. Nearly a quarter (25%) of U.S. emissions are attributed to the electricity sector. In June 2017, the Trump administration proposed to repeal regulations written by Biden that would have reduced emissions of mercury, carbon dioxide and other air pollutants at power plants. Biden's carbon emissions rules for power plants would reduce greenhouse gas emissions by one billion metric tonnes by 2047 as part of his administration’s fight against climate changes. This rule would have required that coal-fired power stations and new natural gas-fired generators install equipment to capture emissions in the next decade before they reach the atmosphere. This requirement made zero-emissions options like solar and wind attractive. Denying the existence of climate pollution that accounts for a quarter in the United States is reckless. Maggie Coulter said on Monday that it would 'lead to greater suffering and loss of life from extreme heatwaves, severe storms and destructive 'wildfires', similar to those we have seen this summer. According to a report by a reporter, Under Secretary of Energy Kyle Haustveit said that the new regulations would boost 'coal-fired electric power in the U.S. which has been steadily declining due to the availability and cheaper natural gas. He said, "President Trump has ended the war against beautiful, clean coal." "Coal has many advantages: it is affordable, reliable and secure."
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VTB sanctions imposed by the U.S.
Treasury Department: The United States imposed Iran-related Sanctions on Monday against?Russia's VTB Bank Public Joint Stock Company accusing it of involvement in Iranian sanctions evasion. Washington is seeking to increase economic pressure on Tehran. This action is a continuation of the sanctions that were imposed in 2022 against VTB, Russia’s second largest?lender. The bank was targeted following Moscow's full-scale invasion into Ukraine. Treasury Secretary Scott Bessent stated that "Under Operation Economic Outcast Treasury will continue to target those who provide material or financial support to the Iranian regime to enable it to maintain its terrorist enterprise." Treasury will not tolerate any regime support and will continue to expose and isolate Iran’s "enablers." Bessent warned that the Trump administration will sanction a "large bank" as it continues to exert economic pressure on Tehran in order to end a six-month conflict between the U.S. and Iran. Since the conflict began in February, the 'United States' has taken a number of economic measures to target Iran, including oil exports, shipping networks, channels for weapons procurement, financial intermediaries and digital asset exchanges.
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European shares fall on AI concerns and inflation fears
European shares dropped on Monday, as technology stocks were under pressure following leaders of top AI companies who pushed for a slower pace of development. Meanwhile, a surge in global bond yields and oil prices dampened risk appetite. The pan-European STOXX 600 index was down by 0.5%, at 635.99. The majority of regional markets fell, but London and Zurich's indices rose by 0.4% and 0.8% respectively. As AI-linked stocks fell globally, technology shares were among the worst performers, falling 2.1%. Dario Amodei, CEO of Anthropic, called for companies to halt the advancements in AI models due to misuse concerns. This view was backed by xAI’s Elon Musk as well as OpenAI CEO Sam Altman. The STOXX 600 was led by the French chipmaker Soitec, which fell 12.5%. However, software stocks gained. Octave Intelligence, Capgemini, Sage and Relx all rose between 5% and 75%. Chris Beauchamp is the chief analyst at IG. He said, "These stocks were victims of SAASpocalypse on fear AI would wipe their businesses out." "Those fears were exaggerated, but if the AI giants put their foot down, the outlook for revenue for Sage, RELX, and their SAAS brothers globally becomes much brighter. Even if this only delays a long-term loss of biz." European miners declined 2.5% as a result of the weakness in commodity prices. Healthcare stocks rose 2.7%, bucking the trend. GSK grew by 4.7% following the positive results of two lung cancer drugs. This added to the momentum in this sector. Energy stocks fell 0.8% but crude prices rose 2% as supply concerns increased after new strikes on Saudi energy infrastructure, and attacks against ships in the Middle East. Recent oil prices have heightened inflation concerns, which has led to expectations that central banks around the world could raise interest rates this year. The European economies are especially vulnerable to rising oil prices, as they heavily rely on imports. ECB policymakers warned 'on Monday' that euro zone inflation may exceed high forecasts. Traders now price in an additional 25 basis-point ECB rate increase by the end of the year after last?week?s rate hike. Government bond yields soared as a result of the developments. The 10-year bund - considered to be the benchmark for the region - was at its highest level since mid 2009. The benchmark U.S. 10-year Treasury yields also rose to a psychologically important level of 5%. The U.S. Federal Reserve is widely expected to raise its main lending rate by at least 25 basis point this week --?in stark contrast to the split chances between a hike or a pause that were seen only a week earlier. After a close election, which reduced the influence of the far right, Sweden's opposition centre-left appeared most likely to win power on Monday.
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German Finance Minister demands UniCredit CEO to meet certain conditions regarding possible Commerzbank acquisition
On Monday, German Finance Minister Lars Klingbeil outlined a list of demands to UniCredit CEO Andrea Orcel regarding the possible acquisition of Commerzbank by the Italian bank. The German Ministry of Finance said that these included Commerzbank staying listed on the stock market, maintaining its base in Frankfurt, and continuing to fund German medium-sized businesses?at home as well as abroad. After Berlin failed to stop a takeover, the meeting in Berlin marked an important turning point in the two-year struggle for control of Germany's largest bank. Klingbeil said, "In a productive discussion with Mr. Orcel I made it clear to him that future negotiations should be conducted responsibly." Orcel stated in a press release that the meeting was "a good and constructive first discussion that will be quickly followed by others." He said, "Both sides should now reflect on this initial discussion to find a way forward that is in the best interests of all stakeholders and shareholders."
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The UK government is looking to buy out an insolvent steel specialist
The British government announced on Monday that it was drafting a plan to buy Speciality Steel UK, a manufacturer who formerly supplied the automotive, aero, and defence industries and entered liquidation at the end of August 2025. Speciality Steel was a part of Liberty Steel before it went into liquidation. Liberty Steel is owned by the commodities tycoon Sanjeev Gupta. The government announced that it was moving toward public ownership, after it decided it couldn't support a private sector bid. This company?has locations in Northern and Central England and supports more than 1,300 jobs. "We don't interfere in private companies lightly." "We cannot simply sit back and let the future of this company and its 1,300 employees be decided by default," said Jonathan Reynolds, business minister. Working towards public acquisition 'will keep options open while we work with workers, local leaders, industry, and investors to determine the best?long-term?"future? for these sites." The government stated that any purchase would be subject to a due diligence process and would be funded by existing government budgets. The government did not specify how much an acquisition might cost.
MORNING BID AMERICAS - Rise of the robot job-killers?
By Anna Szymanski
Feb. 6 -
What Mike Dolan, the ROI team and I are looking forward to reading, watching and listening to this weekend.
From the Editor
Hello Morning Bid readers! Investors have reevaluated what businesses are worth anything in an AI-driven world. The week started with a sale of some of the oldest forms of value in the world, such as gold and silver. The so-called "software-mageddon" is expected to wipe out roughly $1 trillion in market capitalization for the S&P 500 index of software and services this week. Anthropic's new tool, which could automate legal work, as well as sales, marketing and data analysis, was the catalyst for this drop. This rout cannot be explained by an unproven plug-in. This is a sign that the technology revolution has entered a new phase where AI will no longer be able to lift all boats. Investors will instead increasingly discriminate between disruptors, and those who are merely victims.
Theoretically, managers who are active should welcome this kind of dispersion.
The problem with a "stock picker's' market" is that you need to actually pick the right stocks. This may be more difficult than ever now that previous correlations and trends are not likely to hold.
Investors who worry that AI will take over everything are also worried about the amount of money the 'Magnificent Seven' mega-caps spend to dominate AI. Amazon shares fell 11.5% on Thursday in after-hours trade after the company announced a 50% increase in capital expenditures by 2026. Analysts praised Alphabet for its announcement that it would aim to spend $175 billion-$185 billion on capital expenditures this year, but the shares took a dive. Bitcoin, reflecting the risk-off sentiment, hit a 16-month-low early on Friday. It tested the $60,000?level before recovering slightly. From digital gold to real gold, the yellow-colored metal has fallen about 10% since its recent high. After a massive drop on Friday and on Monday, it recorded its largest one-day rebound since 2008. Gold has risen significantly in the last two years but this volatility is not something that many investors and central banks signed up for.
Silver is now trading at less than $75 an ounce. This is more than 35% lower than its previous high, and after its largest one-day decline in history last Friday. What was the original cause of the metals crash? If you've forgotten, Donald Trump announced on Friday that Kevin Warsh was his choice for the Federal Reserve Chair. Warsh is a former inflation hawk. The announcement of a more-orthodox-than-anticipated nominee supposedly upended the 'dollar debasement' narrative, reducing the attractiveness of previous metals.
It's possible that this explanation is true, but it's more likely to be a result of technical problems and speculation than a real revaluation. Oil prices were volatile, just like all other commodities, this week as tensions between Iran and the U.S. sawsawed. Crude is now set to register?its first drop in seven week. The two factors that are most important to oil prices at the moment - the possible conflict in Iran and China’s oil purchases – are outside the control of OPEC. Tuesday saw the announcement of an important trade agreement between the U.S., India and other countries that could have a significant impact on the oil market. President Trump announced that India has agreed to stop purchasing Russian oil, and will instead buy "much" more oil from the U.S. It's not clear if this will happen as the economics could be illogical. Investors could be forgiven if they missed the central bank announcements amid the turmoil of the past week. The Bank of England, like the European Central Bank, kept its policy rates the same. However the BoE meeting was notable because of the 5-4 unexpectedly close vote. The Reserve Bank of Australia has finally bucked global easing, or pausing, by delivering the first rate increase in over two years. This could be the beginning of a global shift in credit policy. There are signs that the pressure on U.S. inflation is increasing. This heat could increase, given the large amount of AI capex that is projected. Check out Open Interest for more news on commodities and markets. Find out why the U.S. push to gas power may inadvertently accelerate the global shift toward clean energy, what Europe should be asking and why Trump could soon complain about "clueless Kevin Warsh".
Check out what the ROI team recommends you read, watch, and listen to as we enter the weekend. Please contact me via.
This weekend we are reading...
JAMIE MCGEEVER, ROI Markets columnist: Our own Mike Dolan observes shrewdly that U.S. president Donald Trump has a readymade scapegoat if his interest rates aren't cut as much as Trump wants.
ANDY HOME is the ROI Metals columnist. My colleagues Manya Sainsi, Niket Nishant and Ashitha Shivprasad dive into a fascinating exploration of the rapidly growing gold token market where virtual and real worlds meet.
MIKE DOLAN is a columnist for ROI Finance & Markets. A recent BIS Working?paper outlines what it calls "the dangers of shrinking fiscal space". It is clear that central banks are under increasing pressure to relax monetary policy in order to avoid constraining the fiscal capacity. The authors try to identify a fiscal 'tipping point' beyond which further rate increases would have severe macroeconomic consequences and political implications.
CLYDE RUSSELL is the columnist for ROI Asia Commodities. My recommendation for this week: shameless self promotion. Informa interviewed me recently about the outlook of China's iron ore and steel sectors. I explain why the decline in Chinese steel production is not as alarming as it may sound.
GAVIN MAGUIRE is a columnist for the Global Energy Transition. This Cleanview analysis discusses how U.S. Data Centers are bypassing grids and building their power plants in order to have enough electricity.
Listening to...
ANNA SZYMANSKI is the Editor-in-Charge of ROI. In a recent Econ World episode, Ernest Scheyder, senior correspondent, speaks with Carmel Crimmins, the host, about the high stakes race for vital minerals and the implications for the global economic system.
We're always watching...
RON BOUSSO is the ROI Energy columnist. In the most recent episode of The Great Simplification Nate Hagens reflects – and builds on – Anthropic CEO Dario Amedei's essay about the role of AI in the long-arc of human development.
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The opinions expressed are solely those of their authors. These opinions do not represent the views of News. News is bound by the Trust Principles to maintain integrity, independence and freedom from bias. (By Anna Szymanski)
(source: Reuters)