Latest News
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Shooting in southern Spain leaves at least two dead and four injured
Spanish police announced on Tuesday that they had arrested a 25 year old?man accused of?killing his two parents?and injuring four others including his son in an overnight shooting in the southern city El Ejido in Almeria Province. Guardia Civil said that the four injured are hospitalized and in "serious condition". The suspect's child was not the only injured person. A woman, a man and a minor were also hurt. The statement said that the shooting was reported for the first time after?11 pm (2100 GMT) Monday. The suspect was arrested by specialist units at 4 am on Tuesday. The police were looking into the motive of the shooting. They initially thought it was domestic violence. Also, they wanted to know the origin?of the gun that he used as he did not have a gun licence. Spain is relatively free of shootings, as firearms and gun ownership are strictly regulated. According to the United Nations Office on Drugs and?Crime (UNODC), Spain recorded 53 firearm homicides?in?2023. That's 0.1 deaths for every 100,000 people - the lowest rate anywhere in Europe and the entire world. (Reporting and editing by Jacqueline Wong; Andrew Heavens, Sharon Singleton, and Jacqueline Wong)
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Oil prices drop after Trump's Iran remarks, but shares and bonds remain steady
The global stock and bond market stabilized on Tuesday after U.S. president Donald Trump postponed an attack against Iran and stated that there was a high chance of a nuclear agreement, which sent oil prices lower. Trump announced on Monday that he has halted the?planned? resumption? of attacks against Iran in order to give time to negotiate a peace deal. This comes after Tehran sent Washington a new proposal for peace. The U.S. has a "very high chance" of reaching an agreement with Iran that would prevent Tehran from getting a nuclear bomb. Investors were cautious after a drone strike on the weekend in the United Arab Emirates had roiled them in the previous session. Early trading in Europe saw stocks rise 0.7%, regaining ground lost on Friday. They had fallen 1.5% after bond market volatility spread to equity markets. The futures for the U.S. S&P 500 index were not much changed on Monday after the index had flattened?after a 1.2% decline on Friday. "We have seen a lot back and forth," said Fabien Yips, a IG analyst. "Until we see real action (in the Strait of Hormuz) whereby ships pass through safely and see a material resurgence in traffic through the Strait, the market is ignoring the comments from both sides." Brent crude futures dropped 1.4% to $105.50 per barrel, while U.S. crude remained flat at $108.70 a barrel. Both were?more that 50% higher than their pre-war level. The broadest MSCI index of Asia-Pacific stocks outside Japan fell more than 1% while Japan's Nikkei Index eased by 0.4%. Earnings from Nvidia, the world's largest chipmaker, are expected to be released on Wednesday. Expectations for this company are sky-high. Richard Reyle is chief investment officer of Questar Capital Partners. He said that "Nvidia has become the market's shorthand term for all things AI. This market's gains over the last few years have been driven largely by AI." BOND SELLOFF ABITES The drop in oil prices helped to stop a massive sell-off of global bonds on Monday, but concerns remain over any inflationary shock that may result from the Iran War. The yields on the benchmark U.S. Treasury 10-year note have fallen from a high of more than 4.63% to 4.597%, a drop of over one year. British government bond yields dropped the most, followed by those of European and Japanese bonds. Prices and yields are inversely related. As they met in Paris, the G7 Finance Ministers expressed their concern about rising public debt and volatility on the bond markets. The markets are pricing in major central bank rate increases this year based on the expectation that policymakers will tighten their policy to combat an inflation resurgence driven by high energy prices for longer. Florian Ielpo is the head of macro for Lombard Odier Investment Managers. He said that the micro story was still strong and AI was still acting as a main support for US equity markets. However, "the macro story" is less forgiving, referring to rising oil prices, bond yields, and other factors. The?dollar, which has been a safe-haven since the start of the war, was up by 0.1% to 159.04yen. This puts traders on high alert for any Tokyo intervention in order to support its currency. The euro fell 0.2% to $1.16. The pound also fell by 0.2%, to $1.34. Rae Wee and Harry Robertson reported from Singapore, and Jamie Freed and Tom Hogue edited the article.
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Minister: Italy will extend the fuel excise tax cut that expires this week
A top government minister announced on Tuesday that Italy would extend a 'cut in fuel excise duty due to expire May 22 as part of efforts to curb the soaring energy prices caused by the Middle East conflict. Matteo Salvini, Deputy Prime minister and Transport & Infrastructure Minister, said during an interview with RTL 102.5 that "we will definitely have to extend the excise reduction." It has spent about?1 billion Euros ($1.16 billion), so far, to reduce?excise duty on?petrol or diesel pump prices. The measure was first introduced in March, and then extended for the first time in late April. Italy, which is highly dependent on imported oil and gas, is especially vulnerable to disruptions in supply linked to the U.S./Israeli conflict against Iran. Salvini claimed that the excise discount was not enough to satisfy truck drivers who are planning a strike across the country next week. He said that the government would meet with freight transport associations on Friday in order to revive the tax credit measure. Salvini stated that the strike was justified. ($1 = 0.8596 euro) (Reporting and editing by Alvise Armillini, Francesca Piscioneri)
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China tightens steel capacity controls, causing iron ore to increase losses
Iron ore prices fell a further 5% on Tuesday, to their lowest level in more than two months. The reason was China's new stricter plan to curb overcapacity?in the steel sector. This dampened the prospects for demand?for feedstocks. However, near-term consumption has capped these losses. Iron ore, the most traded contract at China's Dalian Commodity Exchange(DCE), closed daytime trading down 0.87% to 798.5 Yuan ($117.38) per metric ton. This was a decline for a 4th consecutive session. The contract hit its lowest?level since the 30th of April at 794 Yuan during the daytime session. By 0814 GMT?the benchmark July iron ore traded on the Singapore Exchange had fallen 0.51%, to $107.65 per ton. Earlier, it had reached its lowest level at $107.2. China announced a more stringent steel capacity swap plan on Monday in order to combat the overcapacity that is plaguing this industry and causing it to lose profitability. This has also fueled a growing backlash against trade protectionism worldwide. For every ton new steel capacity, at least 1.5 tons old capacity must be removed. Morgan Stanley analysts said that the new, stricter policy would help to reduce steel capacity and result in more consolidation of the industry over the long-term. Analysts said that the implementation of a new plan will determine how much capacity is reduced. According to data from Mysteel consultancy, the daily transaction volumes of seaborne iron-ore cargoes have more than doubled since Friday, reaching 1.51 million tonnes on Monday. This indicates a persistent buying appetite for this steelmaking ingredient. Coke and other steelmaking materials, such as coking coal, fell by 0.78% and 0.49%, respectively. The Shanghai Futures Exchange's steel benchmarks have mostly extended losses due to lower raw materials costs. Rebar fell 0.53%; hot-rolled coils dropped 0.32%; wire rod fell 0.33%. Stainless steel showed little change. ($1 = 6.8028 Chinese Yuan) (Reporting and editing by Amy Lv, Lewis Jackson)
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Chinese copper smelters met with officials from the Beijing government
Sources said that several major Chinese copper smelters met in Beijing on Tuesday to?discuss with government officials. The?industry is preparing for mid-year discussions with global miners about processing fees for the year beginning in July. According to anonymous sources, the meeting included representatives from the China Nonferrous Metals Industry Association and a number of'major' smelters. The processing fees are also called treatment and refining costs. They are paid by the miners to the smelters in order to refine concentrate. National Development and Reform Commission and the industry association did not immediately respond to our requests for comments. Smelters prepare for another round contract negotiations with Chilean miner Antofagasta. The fees negotiated with Antofagasta will be used as a benchmark in processing agreements between Chinese Smelters and other miners. Last year, the China Nonferrous Metals Industry Association called on industry to reject negative fees. Antofagasta and Chinese copper smelters agreed to set the processing fees for 2026 at zero, a new record. This fee was the same as the mid-year fees in 2025. Argus Media, a data provider, reports that spot treatment charges for imported copper concentrates in?China are negative and have been for over 16 months. On May 15, they were minus $102,60 a metric tonne, compared to minus $96 a metric tonne the 'previous week. China's largest copper smelters agreed last November to reduce concentrate-fed supplies by more than 10 percent this year in order to combat overcapacity and low fees. The refined copper output in first quarter rose by 9.3%, and the guidance of some leading smelters does not indicate a reduction in production. The NDRC stated in March that the capacity of copper smelting, and alumina production would be managed. However, it did not provide any details. One of the sources said that the meeting on Tuesday included a discussion regarding the output for the first quarter, and the plans for the next. (Reporting and editing by Tom Hogue; Staff Reporting)
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The rupee has some footing against dollar offers by state-run foreign banks
The Indian rupee was slightly 'higher' on Tuesday after recovering from a slide that had?taken it to a new -low. State-run lenders made dollar offers, perhaps for the central bank, as well?as lending support by foreign banks. At 11:15 am IST the rupee was trading at 96.3325 to a dollar, after closing at 96.3450 Monday. The rupee opened slightly weaker at 96.3850. This was just one tick away from its previous session's all-time low, which was 96.3875. Some traders interpreted the fact that a large state-run lender, along with others in the public sector, were offering dollars in USD/INR as a sign of central bank intervention. The Reserve Bank of India intervenes regularly to support rupee. It aims to maintain a measured pace of depreciation without defending a specific level. A currency trader stated, "Alongside this, I've heard the names of a few foreign banks on offers." The rupee is under constant pressure from the central banks to strengthen against the dollar. This pressure comes from limited exporters' hedging interests and an ongoing mismatch between daily flows, which highlights a market imbalance. India's merchandise trade deficit increased to $28.38billion in April. This was largely due to an increase in crude oil imports, which reached a six-month high. The news comes as capital inflows are'subdued' and oil prices have not shown any signs of easing since the start of the Iran conflict late in February. The rupee has been further weakened by the sustained foreign outflows from Indian stocks of over $20 billion. Brent crude is now near $110 per barrel and up 50 percent since the start of the war. Over 6% of the rupee has been lost in that time. Amit Pabari is the managing director of CR Forex. He said: "When capital leaves in waves, currencies seldom stand still - and the rupee bears this full weight." (Reporting and editing by Rashmi aich, Ronojoy Mazumdar, and Nimesh vora)
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MORNING BID EUROPE-Markets uneasy as inflation fears take hold
Rae Wee gives us a look at what the European and global markets will be like tomorrow. The market sentiment was fragile on Tuesday, even after U.S. president Donald Trump said he had?paused an attack against Iran and there were now "very good chances" of achieving a 'deal' limiting Tehran’s nuclear program. The 'oil' prices fell, but at $110 per barrel they are still more than 50% higher than their previous levels. Stocks are in a downbeat mood. Asian shares have fallen and U.S. Futures have given up gains made earlier, while European Futures just edged a little higher. Analysts attribute the drop in South Korea's Kospi index, which was a high-flying index, to profit-taking. The artificial intelligence darling Nvidia will report its results on Wednesday. Expectations are high for the most valuable company in the world. The UK employment data will be released on Tuesday. Investors are becoming more concerned about the possibility of a long-lasting inflationary shock as the yields on sovereign bonds have reached a decade high. This could threaten the spending power of government, businesses, and households. G7 Finance Ministers met in Paris, France on Monday to discuss the growing concern about public debt and volatility on bond markets. They also sought a common ground for tackling global tensions on economics and coordinating vital raw material supplies. On Tuesday, the bond selloff in Asia slowed down. U.S. Treasury and Japanese government bond rates are easing but still not far off their historic highs. The average rate that governments pay for borrowing over 10 years in the G7 nations is now approaching 4%. This was around 3.2% just before the war began in late February. Data released on Tuesday revealed that Japan's economy grew more than expected during the first quarter of this year, thanks to?solid exports, and consumption. However, the momentum will be severely tested as the full impact of the Iran War energy shock reaches businesses and consumers. The positive numbers didn't help the yen which was still hovering around 159 dollars per yen. This kept traders alert to any possible intervention by Japanese authorities. Minutes of the May meeting of Australia's central bank showed that policymakers deemed interest rates restrictive after three hikes in this year. This gave them room to observe how the war played out, despite inflation being expected to rise and economic growth slowing. The following are key developments that may influence the markets on Tuesday. - UK employment data (March)
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Ukraine launches drones toward Moscow after Russia attacks Ukraine’s Danube Port City
In the early hours of Tuesday morning, a Russian air strike damaged port infrastructure in Ukraine’s?Izmail City. Meanwhile, Russian authorities claimed that they had shot down four drones fired by Ukraine and heading towards Moscow. Izmail is home to the biggest Ukrainian port on the Danube River. It's a strategic location that's often hit. Local officials reported on Telegram that "Port infrastructure in the city Izmail was damaged," adding that almost all aerial attack weapons had been destroyed. "Fortunately,? there were no significant damage or casualties." The Telegram posted showed firefighters battling an blaze at a building whose windows had been blown out. Ihor Terekhov, the mayor of Kharkiv in northeastern Ukraine, said that two people had been rescued, and another person could still be trapped under rubble, following a Russian drone strike on the city. The peace efforts to end the war that began in 2022 with Russia's invasion of Ukraine are stalled. Both sides have accused the other of regularly attacking?military and civilian targets, as well as energy sources. Both sides deny deliberately targeting civilians. RUSSIA: DRONE ATTACKS Sergei Sobyanin, the Moscow mayor, said via Telegram that 4 drones headed for the capital were downed. He also stated that emergency services have been dispatched. However, he did not provide any further details. This attack follows a major Ukrainian drone strike on Moscow at the weekend. After that, Russia attacked the Ukrainian cities Odesa and Dnipro using missiles and drones. The attacks damaged residential buildings and inflicted injuries on dozens of people. The Kursk operational headquarters announced on Telegram that a woman died in the Russian Kursk region bordering Ukraine and two others were injured by an attack from Ukraine on Monday night. Regional authorities on Telegram reported that drone attacks also targeted the southern Rostov Region of Russia and Yaroslavl to the northeast of Moscow. Mikhail Yevrayev, the governor of Yaroslavl where Russia has oil-refining facilities, warned drivers traveling towards Moscow about drone attacks. Ukraine is trying to deny Russia its?energy revenue. Volodymyr Zelenskiy, Ukrainian President, wrote 'on X over night that Russian refinery capacity had dropped by 10% in the last few months and oil wells were closed. Zelenskiy stated that "(Russian president Vladimir) Putin, has built up a war chest, but it is not enough for him to continue fighting indefinitely." (Reporting from Tokyo by Jekaterina Glubkova; Editing by Edwina gibbs)
Germany begins sales of the bailed out energy company Uniper
Germany started a'sales process' for the bailed out?energy company?Uniper, Tuesday. This could be one of Europe’s largest deals this year.
Berlin nationalised Uniper in Europe's energy crisis of 2022 for a total amount of 13.5 billion euro ($15.7 billion), to prevent it from collapsing after its former main gas supplier, Gazprom stopped supplying the company.
The government announced in a Financial Times?note that the deadline for submitting a letter to JPMorgan or UBS is June 12 at 1200 CET (1200 GMT). It also said it was considering a sale of its?99.12% share in Uniper.
Last month, two people with knowledge of the situation told? Two people familiar with the matter told?letzten last month that a tender note could be issued before summer to start the process, which is likely to result in a sale of the company outright or an initial public offering.
"We have become more stable, resilient and strategically positioned." Uniper CEO Michael Lewis stated that the company has consistently aligned its business to reliable earnings, and "have a solid balance sheet".
"This means we are once again in a position of paying dividends and can invest in growth?and transformation?in an?targeted way - guided by clear strategy for sustainable supply security and value creation."
Lewis stated that the government would decide the scope, form and timing of reprivatisation.
According to sources, Brookfield in New York, Daniel Kretinsky’s EPH, Norway’s Equinor, and Abu Dhabi’s Taqa were among the parties that had expressed interest in Uniper.
According to European Union regulations, Berlin is required to reduce its Uniper stake by a maximum 25% plus one additional share before the end of 2028.
(source: Reuters)