Latest News
-
Aluminium firms following EU ban on Russian imports
London aluminium prices rose on Thursday, after the European Union proposed to ban imports of this metal from Russia as part of a new package of sanctions in response to its invasion of Ukraine. The price of three-month aluminum on the London Metal Exchange rose 0.3%, to $2.627 per metric ton at 0407 GMT. The proposal stated that the EU ban would cover aluminium alloys, and there would be a phase-in of one year. Imports "necessary", amounting to 275,000 metric tonnes, were exempted during this time. Trade Data Monitor reports that the 27-member bloc imported 330,000 tonnes of Russian primary aluminum and alloys between January and November last year. Daniel Hynes senior commodity strategist at ANZ Bank said that aluminium led base metals to rise after the EU proposal. Hynes stated that the threat of additional sanctions on Russia's aluminium led to an increase in metal heading to China. The benchmark copper price remained at $9,073 after Wednesday's drop to its lowest level since January 8 The dollar index dropped 0.1% from the one-week high reached in the previous session, as the Federal Reserve stopped its easing cycle over night. The greenback is cheaper to those who hold other currencies. In an earlier statement, Donald Trump, the U.S. president, said that he planned to impose tariffs against aluminium, steel, and copper. The White House reiterated this position on Tuesday, saying that Trump will still impose tariffs against Canada and Mexico on the following Saturday. He is also considering new tariffs against China. Citi stated in a report that "we continue to expect LME flat metal prices to weaken in response to confirmations of larger tariffs." We expect the Comex copper price to be higher than LME as soon as tariffs have been confirmed and implemented. LME Zinc held steady at $2.782.5 per ton. Lead rose 0.6% at $1.972, tin increased 0.2% to $30,175, and nickel fell 0.6% at $15,400. The Shanghai Futures Exchange will be closed during the Lunar New Year holidays. (Reporting and editing by Subhranshu S. Sahu, with Ashitha Shivaprasad reporting from Bengaluru).
-
Petronas Preps for Sabah-Sarawak Gas Pipeline Decom Op
Malaysia's Petronas will decommission the Sabah-Sarawak gas pipeline, the state energy firm said on Tuesday in its activity outlook report.The 500 km natural gas pipeline in Malaysia connects Kimanis in Sabah to Bintulu in Sarawak and has been operational since early 2014.For the next three years, Petronas' decommissioning plans include the plugging and abandonment of about 153 wells and the abandonment of about 37 offshore facilities, according to the report.In November last year, the company lifted the force majeure on gas supply to the Dua Malaysia LNG terminal after it was shut in 2022 following a leak in the Sabah-Sarawak pipeline.(Reuters- Reporting by Nikita Maria Jino in Bengaluru; Editing by Shounak Dasgupta)
-
Vattenfall Pens PPA for Nordlicht 1 Offshore Wind Farm
Vattenfall has signed a power purchase agreement (PPA) with the chemicals group LyondellBasell (LYB) to provide it with fossil free electricity from the Nordlicht 1 offshore wind farm off the German coast.The agreement includes the supply of electricity from the Nordlicht 1 offshore wind farm over a period for 15 years, starting in 2028.LYB will then purchase around 450 GW hours of electricity per year for plastics production - equivalent to the annual electricity consumption of around 128,500 German households.Vattenfall is currently developing the Nordlicht 1 wind farm, which is still pending a final investment decision.The offshore wind farm is located around 85 kilometres north of the island of Borkum in the German North Sea. It will have a total output of 980 MW from 68 wind turbines.The project is due to be completed and connected to the grid in 2028. Vattenfall holds 51% of the shares, while BASF owns 49%. Vattenfall plans to use its share of future electricity generation to supply customers in Germany with fossil free energy.BASF Takes 49% Share in Vattenfall’s Nordlicht Offshore Wind Farms“With this electricity partnership with LYB, we at Vattenfall are sending a strong signal for our long-term strategy: We do not only want to decarbonize ourselves, but we also support our suppliers, partners and customers in leading a life without fossil fuels,” said Martijn Hagens, Head of Markets at Vattenfall.Vattenfall and BASF Pick Havfram for Nordlicht Offshore Wind Cluster Job
-
Oil prices fluctuate as markets wait for clarity on Trump's tariffs against Canada and Mexico
The oil prices were not much different on Thursday, as the markets prepared for the threat of tariffs from U.S. president Donald Trump against Mexico and Canada, two of United States' largest crude oil suppliers. They also awaited a OPEC+ meeting. Brent crude futures fell 7 cents or 0.1% to $76.51 per barrel at 0411 GMT. U.S. Crude Futures were barely changed, with a 2 cent increase, or 0.03% to $72.64. On Wednesday, U.S. Crude Futures settled at the lowest price of this year. Karoline Lavitt, White House spokesperson, told reporters Tuesday that Trump will still follow through on his promise on Saturday to impose tariffs against Canada and Mexico. Howard Lutnick is Trump's nominee for the Commerce Department. He said that Canada and Mexico could avoid tariffs by closing their borders quickly to fentanyl. Lutnick also promised to slow China's artificial intelligence advancement. The U.S. crude oil stocks rose 3.46 million barrels during the week. This is in line with the analysts' estimates of a 3.19 million-barrel rise, due to the winter storms which swept across the country. After the recent U.S. sanctions, traders and calculations show that crude oil exports in Russia's west ports are expected to drop by 8% compared to the January plan, as Moscow increases refining. Investors also look forward to a meeting of the Organization of the Petroleum Exporting Countries (OPEC+) and its allies scheduled for February 3. Kazakhstan announced on Wednesday that the OPEC+ group, which includes major oil producers, will discuss Trump's attempts to increase U.S. production of oil and adopt a common stance. Russia is also a part of the OPEC+. Trump publicly called for OPEC, and its leader, Saudi Arabia to lower oil price, saying that this would put an end to the conflict in Ukraine. He also has a plan to maximize the U.S. production of oil and gas, which is already the largest in the world. Analysts believe that a price battle between the U.S., OPEC+ and other countries is unlikely because it could hurt both. In a recent note, analysts at BMI (a division of Fitch Group) said that a price war would see OPEC+ producers increase their output in order to reduce prices and push shale oil production down. According to them, Brent crude oil could fall below $50 because OPEC+ has the capacity to deploy 5 million barrels per day of spare oil. This would lead to a drop in U.S. shale production and prices. Reporting by Arathy Golubkova and Katya Somasekhar, both in Houston; editing by Sonali and Kim Coghill.
-
Gold at a tight range as Trump's policies and inflation data focus attention
Investors focused on the tariff plans of U.S. president Donald Trump and an important inflation report to get a sense of monetary policy. As of 0402 GMT, spot gold rose 0.1% to $2,761.44 an ounce. U.S. Gold futures rose 0.1% to $2.773.30. The premium was nearly $12 over the spot rate. Investors will now be awaiting Friday's release of the Personal Consumption Expenditures (PCE) Price Index report to determine the trajectory of inflation. Jerome Powell, the chairman of the Federal Reserve, said that there was no hurry to reduce interest rates until inflation and job data indicated it would be appropriate. Bullion is a good hedge against inflation. However, higher interest rates reduce the appeal of non-yielding gold. Soni Kumari is a commodity analyst at ANZ. She said that the investment demand must increase in order to keep gold prices from falling below $2,900. The outcome will depend on the policy changes, inflation and geopolitical risk, according to Kumari. The White House announced earlier this week that Trump plans to impose steep tariffs against Mexico and Canada on Saturday, and is "very much considering" imposing some on China. London's bullion players are racing to borrow from central banks gold, after a surge of gold deliveries to the U.S. amid fears about tariffs. The European Central Bank will almost certainly cut rates in the afternoon and keep the door open to more policy easing. Silver spot was up by 0.2%, at $30.88 an ounce. Platinum rose 1.2%, to 957.67. Palladium was up by 0.9%, to $970.58. (Reporting and editing by Rashmia Aich and Subhranshu Shu in Bengaluru.
-
Aluminium firms following EU ban on Russian imports
London aluminium prices rose on Thursday, after the European Union proposed to ban imports of this metal from Russia as part of a new package of sanctions in response to its invasion of Ukraine. The price of three-month aluminum on the London Metal Exchange rose 0.3%, to $2.626 per metric ton at 0215 GMT. The proposal stated that the EU ban would cover aluminium alloys, and there would be a phase-in of one year. Imports "necessary", amounting to 275,000 metric tonnes, were exempt from this ban. Trade Data Monitor reports that the 27-member bloc imported 330,000 tonnes of Russian primary aluminum and alloys between January and November last year. Daniel Hynes senior commodity strategist at ANZ Bank said that aluminium led base metals to rise after the EU proposal. Hynes stated that the threat of additional sanctions on Russia's aluminium led to an increase in metal heading to China. The benchmark copper price remained at $9072 after Wednesday's drop to its lowest level since January 8 The dollar index dropped 0.1% from the one-week high reached in the previous session, as the Federal Reserve put a pause on its easing program overnight. The greenback is cheaper to those who hold other currencies. In an earlier statement, Donald Trump, the U.S. president, said that he planned to impose tariffs against aluminium, steel, and copper. The White House reiterated this position on Tuesday, saying that Trump will still impose tariffs against Canada and Mexico this Saturday. He is also considering new tariffs against China. Citi stated in a report that "we continue to expect LME flat metal prices to weaken in response to confirmations of larger tariffs." We expect the Comex copper price to be higher than LME as soon as tariffs have been confirmed and implemented. LME zinc rose by 0.2%, to $2,787.5 per ton. Lead rose by 0.4%, to $1,967.5, and tin gained 0.3%, to $30,195. Nickel fell 0.5%, to $15,425. The Shanghai Futures Exchange will be closed during the Lunar New Year holidays. (Reporting and editing by Subhranshu S. Sahu, with Ashitha Shivaprasad reporting from Bengaluru).
-
Oil prices steady while markets wait for clarity on Trump's tariffs on Canada and Mexico
Early trading on Thursday saw little change in crude oil prices as the markets awaited tariffs from U.S. president Donald Trump against Mexico and Canada, two of the largest suppliers of crude to United States. Brent crude futures were up 7 cents or 0.1% at $76.71 per barrel as of 0122 GMT. U.S. Crude Futures rose 17 cents or 0.2% to $72.79 On Wednesday, U.S. Crude Futures settled at the lowest price of this year. Karoline Leavitt, White House spokesperson, told reporters Tuesday that President Donald Trump plans to fulfill his promise on Saturday to impose tariffs on Canada & Mexico. Howard Lutnick is Trump's nominee for the Commerce Department. He said that Canada and Mexico could avoid tariffs by closing their borders quickly to fentanyl. Lutnick also promised to slow China's artificial intelligence advancement. The U.S. crude oil stocks rose 3.46 million barrels during the week ending January 29, roughly in line analysts' estimates of a 3.19 million-barrel rise, due to the winter storms which ravaged the country. Jerome Powell, Federal Reserve chairperson, said that the U.S. Central Bank held interest rates at their current level on Wednesday. He added that there was no rush to reduce them until new data indicated a return of falling inflation or a rise in risks in employment. Lower borrowing costs increase economic activity and fuel demand. Investors are also looking forward to a meeting of the Organization of the Petroleum Exporting Countries (OPEC+) and its allies scheduled for February 3. Kazakhstan announced on Wednesday that the OPEC+ group, which includes leading oil producers, will discuss Trump's attempts to increase U.S. production of oil and adopt a common stance. Trump also publicly urged OPEC, and its largest member Saudi Arabia, lower oil prices to end the conflict in Ukraine. The group has already drafted a plan to gradually undo previous cuts and start increasing oil production in April. This plan was delayed multiple times due to weak demand. (Reporting and editing by Sonali Paul in Houston, Arathy Smasekhar)
-
Powell: Fed is guided by law and economics, not politics.
Responding to a variety of questions on the impact of the Trump Administration on the U.S. Central Bank, Federal Reserve Chairman Jerome Powell said on Wednesday that politics was not the reason for the Fed's departure from a global group focused on climate change, and it would not influence its interest rate decisions. Powell said that while the Fed was working to align their workforce policies with the executive order of President Donald Trump banning diversity and inclusion promotion, any changes would only be minor, and they will be in line with the applicable laws. Powell also stated that he is still convinced that diversity is the hallmark of successful organisations. The Fed is very careful to protect its independence in monetary policy, as it believes that any political influence on the central bank's interest rate setting will undermine its ability control inflation. Trump, who criticized Powell and Fed frequently during his first term is again testing these limits. He said last week that he will "demand" immediate rate cuts. Powell, when asked Wednesday about the President's remarks, said: "It is not appropriate to comment." He added that "the public can be assured that we will do our work in the same way we have always done it, using our tools and focusing on our goals, while keeping our heads down." He said that with inflation still exceeding its 2% target, the Fed will wait to see if there is any further progress in inflation or a weakening of the labor market before cutting interest rates. He declined to make any predictions about how Trump's trade, immigration, tax and regulation policies would impact the economy. He said that the committee was waiting to see which policies were implemented. DODD-FRANK: EXECUTIVE ORDINANCE Trump launched a new attack shortly after the press conference. Trump posted on Truth Social that if the Fed spent less time on DEI and gender ideology, "green" energy, and fake global warming, inflation would not have been an issue. He promised to fix it with his policies. Around the time of Trump’s Jan. 20, 2017 inauguration, and his executive order, which directed government agencies to stop efforts to promote DEI, or diversity, equity, and inclusion (DEI), The Fed and its 12 regional banks removed sections of their websites devoted to racial diversity and gender diversity. Changes include the removal of data about the number of women and minority economists at the Fed, and standards for diversity in the workforce. These standards were developed to meet the requirements of the Dodd-Frank Financial Reforms, passed by Congress in 2010. Maxine Waters (Democrat) has argued that a Dodd-Frank executive order can't undo the legal requirement under Dodd-Frank to promote diversity and inclusivity. Powell said that "we're reviewing orders and associated details" for the new diversity policy. "As we have done in previous administrations, our goal is to align our policies as necessary with executive orders, consistent with the applicable law." He didn't mention any possible policy changes in recruitment or hiring at Central Bank. FED LEAVES CLIMATE RISE GROUP Three days before Trump’s inauguration, Fed withdrew its membership from a global organization of central banks devoted to exploring methods to reduce climate risks in the financial sector. In 2020, after the election of Democrat Joe Biden as president and the end of Trump's term, the Fed joined the Network of Central Banks and Supervisors to Green the Financial System. Powell explained that the decision was not driven by politics. "I am aware of how it may appear, but it wasn't," Powell said. Powell said that he decided to discuss the possibility of leaving "some months ago," because the group's mandate had expanded and it "wasn't a good match for the Fed anymore." Some analysts still see the recent Fed actions as a way to undermine Fed independence. Michael Barr, Fed Vice-Chair for Supervision, announced earlier in January that he would step down from his regulatory oversight position by the end next month. This will allow Trump to replace him with someone who has a more lenient approach, in line with Trump’s preferences and the Republican majority of Congress. Derek Tang, a LH Meyer analyst, wrote that "Republican pressure on the Fed would be felt in all areas of its activity," even though Powell's strategy seemed to be to maintain monetary policy autonomy even at the expense of giving up autonomy in other fields. (Reporting and editing by Ann Saphir; reporting by Michael S. Derby, Howard Schneider, and Dan Burns)
Zara to use its secondhand clothes service in US by October
Zara will provide its service for selling, fixing or contributing pre-owned clothes in the United States by the end of October as a way of lengthening their life process and decreasing waste, its owner Inditex stated on Wednesday.
Zara's 'Used' platform is currently running in 16 European nations, after launching in Britain in November 2022.
Inditex formerly said it was devoted to running the platform in all tactical markets by 2025 as part of its method to likewise help reduce raw material consumption.
The service is offered through Zara shops, its site and an app in nations including Spain, France and Germany.
Zara has actually not yet revealed data on the number of consumers have utilized the service in the markets where it is offered, but Inditex CEO Oscar Garcia Maceiras stated its online platforms receive more than 22 million visitors daily.
Other quick fashion retailers such as H&M also use products for resale. Secondhand H&M items are readily available in the U.S. by means of a. stand-alone website through a partnership with ThredUp.
Zara will likewise release live shopping shows in the U.S., as. well as other crucial markets such as Spain, Canada, France, Italy,. Germany, Britain, Ireland and The Netherlands in the coming. months, the Inditex CEO stated after reporting first-half. incomes.
Five-hour long live shopping programs in China, broadcast. weekly on Douyin, TikTok's Chinese sibling site, have helped. increase Zara's sales given that they introduced in November, retail. analytics firm EDITED stated.
(source: Reuters)