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Bessent: US won't hit China over Russian oil with tariffs unless Europe first goes.
U.S. Treasury secretary Scott Bessent stated on Monday that the Trump administration will not impose any additional tariffs on Chinese products to stop China's purchase of Russian oil, unless European countries impose steep duties on China and India. Bessent and Bloomberg agreed in a joint-interview that European countries should play a greater role in cutting Russian oil revenue and ending its war in Ukraine. Bessent replied, "We expect Europeans to contribute now and we cannot move forward without them." Bessent was asked if the U.S. will impose Russian oil tariffs on Chinese products after President Donald Trump imposed an additional 25% duty on Indian imports. Bessent stated that he had pointed out to Chinese officials during discussions on TikTok and trade in Madrid that the U.S. has imposed tariffs against Indian goods. Trump also urged European countries to impose 50% to 100% tariffs on China and India in order to stop Russian oil revenues. He said that the Chinese response was that the purchase of oil is a "sovereign issue." Bessent criticised the purchases of Russian crude oil by certain European countries. Other countries buy petroleum products refined from Russian crude in India at discounted prices, he said, and that they were financing a conflict on their own soil. Bessent stated that "I guarantee that the war will be over within 60 to 90 days if Europe imposes substantial secondary tariffs against the buyers of Russian Oil" as it would eliminate Moscow's primary revenue source. The Treasury chief stated that the tariffs placed on Indian goods due to Russian oil purchases have brought about "substantial" progress in negotiations with India. New Delhi and Washington are holding another round of discussions with the U.S. Tuesday, amid a recent thawing in rhetoric between Trump's and Indian Prime Minster Narendra Modi. Bessent stated that the U.S. was willing to work with European nations to consider harsher sanctions against Russian entities, such as oil majors like Rosneft or Lukoil. He also said that steps would be taken to prepare for a greater use of Russian assets which have been frozen after Moscow's invasion of Ukraine in 2022. He said that this could be done by first seizing small amounts of the $300 billion frozen assets, or by placing them into a special-purpose vehicle which could serve as collateral to a loan for Ukraine. (Reporting and editing by Lisa Shumaker, Daniel Wallis, and David Lawder)
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Blue Water has been denied the right to extend Citgo's parent sale hearing by a US judge
A Delaware judge denied a request by Blue Water Acquisition Corp, a special purpose acquisition firm, to extend the final sale hearing at a U.S. court ordered auction of Citgo Petroleum’s parent company. Blue Water, a Venezuelan refiner owned by Blue Water, submitted last week a bid worth $10 billion. This included a $3.2-billion settlement proposal for holders of Venezuelan bonds that had defaulted. The company requested that the hearing be extended to allow its part to be taken into consideration by the court. Blue Water representatives informed the court that funding for the offer was not yet committed. The offer came after the deadlines to submit and improve bids. "Perhaps (Blue Water) could spend this week to see if they can commit the financing," Judge Leonard Stark stated, adding that later he may request that an auction officer engage the company about its bid. The company has not responded to any requests for comment. Robert Pincus, a court officer, selected last month a $5.9 Billion An affiliate of hedge fund Elliott Investment Management was named the frontrunner in the auction. Judge Stark stated that he will make a decision about the auction winner following the hearing. (Reporting and editing by Nathan Crooks, Nick Zieminski, and Marianna Pararaga)
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WTO ratifies agreement to reduce billions of dollars in overfishing subsidy
The World Trade Organization announced that a landmark agreement was signed on Monday to reduce billions of dollars worth of subsidies contributing to the overfishing. This is a positive step for global fish stock recovery. The WTO's first agreement since 2017 was signed after years of infighting and stalled discussions. More recently, the U.S. tariff surge has left many critics wondering if the Geneva-based organization still had a future. A WTO spokesperson stated that the formal ratification of the agreement by Brazil, Kenya Tonga, and Vietnam on January 14 meant the deal was now supported by two-thirds of the members. The original agreement, which took place in 2022, had been reached. The government is now forbidden from subsidizing overfished stock and fishing in international waters outside their jurisdiction. Poorer countries will have access to a fund that helps ease their transition into the agreement. Megan Jungwiwattanaporn, from the Pew Charitable Trusts, said: "Fish stock around the world have a chance of recovering. This will benefit local fishermen who depend on an ocean that is healthy." A 2019 Marine Policy study showed that governments around the globe pay $35.4 billion per year to their fishing fleets. This includes fuel subsidies, which allow them to fish on distant oceans. The top five subventioners were listed as China, EU, United States, South Korea, and Japan, though not all are covered by the WTO agreement. The negotiations on new fishing rules that cover divisive topics excluded from the original deal have failed, as India and many other developing economies are seeking carve-outs they see as impossible. The first part, which came into effect on Monday after more than 20 years' negotiations, will expire four years from now if no more comprehensive rules can be agreed. In an interview conducted earlier this month, Director-General Ngozi Okonjo Iweala expressed optimism that the organization could either end the talks or find ways to prevent the first agreement from expiring. (Reporting and editing by Andrew Heavens, Emma Farge)
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Sources say that China's former climate ambassador will meet with EU in order to revive the flailing UN pact
Three sources have confirmed that China's veteran climate envoy who secured two important climate agreements with the United States will meet the EU's top official for green transition on Tuesday in order to revive the floundering international climate talks ahead of the COP30 Summit in Brazil. Xie zhenhua, a former climate envoy who retired after the COP28 talks in Dubai, in late 2023, is scheduled to visit Brussels on 16 September and meet Teresa Ribera, the executive vice-president for the European Commission for a Clean, Just, and Competive Transition. He will encourage the EU to announce ambitious climate goals, and coordinate diplomatic efforts in advance of a preliminary climate summit at U.N. headquarters scheduled for September 24. Two sources said that the purpose of the meeting was to boost the COP30 Climate Summit, which will start in Belem in Brazil in November. Due to the lack of hotel rooms and the high cost, there could be a low turnout at the summit. The United States has also withdrawn from the negotiations process. Three sources confirmed that Xie would meet Ribera who he's known for a very long time. However, they couldn't confirm if the meeting was official or if it would result in a joint agreement or statement. Two sources confirmed that the current climate envoy Liu Zhenmin will not attend the meeting, but the ecology minister Huang Runqiu would. In the run-up to Belem, the U.N. wants to exert pressure on major economies such as China and Europe. Last week It urged all countries In September, the United States will set up more ambitious climate plans to achieve goals previously pledged in 2015 under the Paris Agreement. These are known as Nationally Determined Contributions. The EU is struggling to reach a consensus on its proposed plan. This month, countries such as France and Poland have called for a postponement of the approval of 2040's goal. Two sources have confirmed that China will announce its new NDC on September 24. The U.S., China and their U.S. counterparts John Kerry & Todd Stern had achieved great victories in climate diplomacy before President Donald Trump. However, the U.S. - China relationship is now defined by national security competition and trade tension. (Reporting and editing by Nia William, Kate Abnett in Brussels, Valerie Volcovici & Liz Lee; Additional reporting by Kate Abnett)
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Kazakh miner Solidcore expects a gold rally to offset production decline
Solidcore Resources, a Kazakh gold miner, expects that high gold prices will offset a large part of the production decline due to sanctions related disruptions in concentrate shipments into Russia. The gold price has risen by about 40% in the past year. It reached a record-high of $3,673.95 per ounce, last week, on expectations that the U.S. will soon cut interest rates. Solidcore, previously Polymetal International sold its Russian assets after the U.S. imposed sanctions on its business in Russia. However, it continues to send gold concentrator to Russia to be processed with U.S. approval. The company's profit nearly doubled in 2024 due to high gold prices, but sanctions against concentrate deliveries to Russia caused a 58% decline in the first six months of the year. Vitaly Nesis, CEO of the company, said that the situation had improved significantly in July and August. The company also plans to reduce its inventory in the first quarter 2026. The gold price in 2025 will offset the downward revision of 11% to the production forecast. He said that the gold price rise this year is not sustainable. He said, "I believe there will be a decline." "I wouldn’t be surprised (if the price of gold drops to $3.200 by the year's end). Solidcore, the second largest gold miner of Kazakhstan, has postponed previously discussed acquisitions in Central Asia. These were not likely to be completed this year. "Both deals are not in good shape, if they're not totally off." The gold price has risen, as have sellers' expectations. We are not ready to raise our offer significantly yet. Solidcore will continue to process gold concentrate in Russia under an agreement toll at the Amursk Pressure Oxidation Plant until Solidcore launches its own Ertis plant scheduled for 2028. Nesis stated that the company expected to reach an agreement in the first quarter 2026 with international institutions to secure $500-$600m in project funding for the Ertis facility. The deal could be finalized by the second quarter. (Editing by Gleb Brnski and Jan Harvey).
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Gold reaches record highs as yields and dollar ease. Focus on Fed meeting
The price of gold rose to a record high on Monday. This was largely due to a weaker dollar and lower Treasury yields. Investors were positioning themselves ahead of an important Federal Reserve meeting that will take place this week, which could set the tone of the rest of the calendar year. As of 1151 am EDT (1551 GMT), spot gold was up by 0.9%, at $3,674.09 an ounce, after reaching a session high of $3674.63 in the earlier part of the session. Bullion rose about 1.6% in the past week. U.S. Gold Futures for December Delivery were up 0.7% to $3,712.70. The dollar index dropped to its lowest level in a week, which made gold more appealing for holders of other currencies, while the yield on the benchmark 10-year Treasury note edged down. According to CME's FedWatch, markets are almost certain that the Fed will announce a 25 basis-point rate reduction on Wednesday. This is the first cut since December. However, some investors still hope for a 50-basis point move. Peter Grant, senior metals analyst at Zaner Metals and vice president, said that the expectation of a rate cut of 25 basis points is largely baked in at this stage. He added that one or two rate cuts could occur before the end year. In a low-interest rate environment, non-yielding gold bullion is often considered to be a safe haven asset in times of uncertainty. Grant said that the $3,700 level is the next important target. Other levels to watch in the near term include $3,730, $3,743, and $3,730. The Fed is under unusual pressure as a result of a leadership dispute, and Donald Trump's push for more influence over policy. The Senate also opened the door for Trump's economist Stephen Miran, to join the committee that sets rates in time to vote Wednesday. The Fed is on track to reduce rates, as recent data shows that the U.S. consumer price index rose in August at its fastest rate in seven months. Other than that, silver spot was up by 1% to $42.59 an ounce. Platinum gained 0.5%, to $1.397.80, and palladium fell 1.4%, to $1.181.09. (Reporting from Anushree mukherjee in Bengaluru and Sherin Elizabeth varghese). Emelia Sithole Matarise and Mark Potter edited the story.
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India's highest court-appointed panel clears Ambani's son's Wildlife Centre of wrongdoing
The Supreme Court of India announced on Monday that a wildlife rescue center run by a philanthropic branch of Mukesh Ambani’s group was cleared of accusations of animal mistreatment and illegal acquisition. It cited findings of a committee appointed by the court. In August, India’s top court appointed an investigation team to investigate complaints by non-profits and wildlife groups alleging mistreatment of animals at Vantara. Questions were raised about how the animals had been brought to the centre. The court ruled that the evidence does not support the claims of abuse or illegal acquisition. Vantara, a project led by Anant Ambani - the son of the billionaire - is located in the western Gujarat state. It's a major undertaking for the Reliance Foundation as well as the Ambani Family. The facility, which claims to house more than 150,000 animals of more than 2,000 different species, says its 998-acre 404-hectare elephant welfare trust is world's largest facility for rescued eagles. The Supreme Court stated on Monday that the SIT's investigation had covered allegations related animal acquisition, smuggling and welfare, conservation, breeding climate suitability, financial misconduct but found no violations of wildlife rules. The SIT report and the order of the Supreme Court have shown that doubts and accusations raised against Vantara’s animal welfare mission are without basis. Vantara released a statement. Nishit Navin, Bengaluru (Reporting; Pooja Deai, editing)
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Goldman T. Rowe will sell co-branded alternatives investments to wealthy clients by the end of the year
Goldman Sachs, T. Rowe Price and other asset managers, who announced their partnership this month, will offer new alternative investments to wealthy clients before the end of the calendar year. This plan follows an executive order issued by Donald Trump that broadened the access to 401(k), retirement accounts for alternative investments, such as private equity, private credit and others. This move could allow private asset managers to access about $9 trillion in 401(k), or retirement, accounts. Goldman and T. Rowe have recently signed a deal where Goldman becomes a shareholder of the asset manager. The stake could be up to $1 billion. Both companies will offer retail investors products in partnership. T. Rowe is responsible for managing $1.6 trillion of which approximately $1 trillion is related to retirement. T. Rowe CEO Rob Sharps said in an interview that the alternatives would be tailored for different types of customers at the end the year and through the first quarter. Investors like funds that have a specific retirement date. Portfolios will have a small amount invested in alternative assets, and the remainder in liquid and public investments. As the investor approaches retirement, the proportion of alternative assets may decrease. Alternative portfolios combining private credit and equity or equity funds combining private equity with stocks will be available to wealthy clients. These products will initially be available to Goldman T. Rowe and Goldman Sachs clients, but they may be made more widely available. Marc Nachmann is Goldman's director of wealth management and asset management. Analysts warned of risks like lack of transparency and liquidity after the approval of alternative investment in retirement funds. Sharps stated that "new structures can provide an element of liquidity and pricing on a daily basis to give individual investors more comfort." Managers will allocate a limited proportion of funds to alternative investments, with the goal of maximizing returns. Nachmann stated that "it's still early days. Today, investors in alternative investments are mostly large institutions such as endowments and high-net worth individuals." Sharps stated that alternative investments could reach 10% to 20% in retirement accounts over the long-term. Sharps and Goldman's President John Waldron began the initial talks for the deal a year before, talking about convergence in markets and the growth of private assets. Sharps stated that the companies have had a long-standing relationship and that substantive talks about the deal began early this summer. (Reporting and editing by Lananh Nguyen, Sharon Singleton and Lananh Nguyen)
Tesla turns to Musk's little investor fans to back $56 billion payday
With significant Tesla shareholders appearing divided over whether to endorse Elon Musk's $56. billion pay bundle, the company also is searching for assistance. from retail financiers who make up an abnormally high portion. of the electric carmaker's ownership base.
Little financiers tend to prefer management, but they typically. do not bother to vote, specialists said.
The company's June 13 yearly conference is shaping up as a. referendum on Musk's leadership, following a Delaware court's. ruling striking down the substantial pay plan. The business has. asked financiers to vote to declare it and Musk stands to. control more than 20% of the business if he gets it. A 'no' vote. would be a rebuke with unknown repercussions.
Tesla also proposes reincorporating in Texas instead of. Delaware and re-electing 2 directors, consisting of Musk's. brother, Kimbal.
While there are a dozen items up for a vote, Tesla is. concentrated on the pay vote and the relocate to Texas in a continuous. outreach campaign to little investors that consists of a site,. engagement with online influencers, and factory trips for a couple of. of those who vote.
Big financiers have actually sent mixed signals. T. Rowe Rate. has stated the bundle showed strong positioning with. financier interests. But the California Public Worker'. Retirement System on the other hand has stated it will likely oppose. Musk's pay as not commensurate with Tesla's efficiency, and. Norway's sovereign wealth fund came out versus the pay bundle. on Saturday.
Although small investors have a range of opinions, specialists. in business vote campaigns state the size and CEO-friendly nature. of numerous private investors at Tesla make them an apparent. target.
The man winds up 10x-ing my investment and he's given. nothing? It does not appear ideal or fair, said Andrew Theyken. Bench, a lawyer in Allentown, Pennsylvania with fewer than 5,000. Tesla shares, who voted by proxy with management on all items at. the conference, consisting of Musk's pay.
In a post on his social networks platform X on Saturday Musk. composed: So far, roughly 90% of retail shareholders who have. voted have actually enacted favor of both resolutions, obviously. including the one on his pay.
Bruce Goldfarb, president of Okapi Partners, a proxy. solicitor not associated with this vote, stated 90% support from. retail financiers would be about normal considering that the category. generally favors management. But such investors normally do not. vote, presenting a difficulty for Tesla.
Retail shareholders are hugely apathetic even if they're. encouraging, Goldfarb stated.
Mom-and-pop investors only voted about 30% of their shares. in 2023, according to vote-processing business Broadridge,. compared to 80% for institutional financiers.
The theme of fairness to Musk is the heart of Tesla's. project. Chair Robyn Denholm explained the vote as being about. fairness, respect and the future of Tesla. She also alerted. Musk has actually limited time and a range of interests.
We want those ideas, that energy and that time to be at. Tesla, for the benefit of you, our owners. But that requires. mutual regard, she composed in a June 5 letter.
A Tesla agent declined to comment.
LEADING THE PACK
Data and research firm S&P Global Market Intelligence discovered. that since June 5, about 43% of Tesla's typical stock is held by. the public and other category of shareholders that includes. retail investors and others outside of the main classifications of. institutional investors and company insiders.
That is the most of any of the 15 largest companies in the. S&P 500.
Musk's own stake in the company is around 13%. Amongst top. outside financiers, Vanguard has 7.2% of the shares and BlackRock. has 5.9%, according to Tesla's proxy. Neither would. remark about their voting intentions.
GUT ASSESSMENT: 50% OPPORTUNITY
Both major proxy consultants, Institutional Investor. Solutions and Glass Lewis, have actually recommended financiers vote. against ratification of the pay plan, calling it extreme.
That's a bad indication for Tesla. Among Russell 3000 companies. from 2010 to 2020 just 66% of state on pay resolutions passed. when both proxy advisors advised votes against them,. compared to 99% when both supported the pay, said University. of Utah financing teacher Chong Shu.
Omar Qazi, an X.com user with 475,300 fans who posts. using the deal with @WholeMarsBlog and often gets public replies. from Musk on the platform, stated his gut assessment existed. is only a 50% opportunity that a bulk of Tesla investors back the. re-ratification of Musk's pay.
Many assistance Musk and see the importance of compensating. him but numerous are likewise distressed about a range of factors:. politics, slowing sales, stock cost etc, Qazi said by direct. message on X.
Shares at Tesla closed Friday at $177.48, well below the. $ 248.48 where they ended trading in 2023, as the company deals with. growing competition and concerns about its plans for brand-new. designs.
A DEAL'S A DEAL
Nevertheless Musk still delights in support online from. prominent users. In addition to Qazi these include Alexandra. Merz, who posts as @TeslaBoomerMama on X.com and has actually had a number of. posts reposted by Musk to call attention to voting.
Those posts urged non-U.S. banks and brokerages to enable. Telsa investors to vote, something the companies' systems did. not previously allow. Numerous subsequently did so including. Sweden's Nordnet.
I have actually been bought other companies before and I've never ever. seen the amount of effort by a casual neighborhood to go out. the vote like there is on this one, stated Troy Dillon, a retired. U.S. Air Force officer in Florida and Tesla investor.
As for the pay bundle, The offer was the deal, Dillon. said. He is electing it.
(source: Reuters)