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Angola bids to buy majority stake in De Beers according to source
Angola bid on Friday for the majority of Anglo American De Beers. This could lead to a standoff between Botswana and Angola.Botswana also wants control over De Beers. The company has operations in Botswana Namibia Angola South Africa and Canada. According to a June report, Anglo put it up for sale amid falling diamond prices. At least six consortiums had expressed interest. Bloomberg News reported that the source confirmed that Angola’s state-owned diamond firm Endiama submitted an offer to De Beers for a majority share. Botswana owns 15 percent of De Beers and considers it a strategic asset for the country, despite a global slump in diamond prices that has severely hurt the economy. The mining minister In July, The Southern African country wants to control De Beers. Angola had Sayings in September It said it wanted a minority stake and that the company should be run by a private sector firm.
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Spain investigates steelmaker for violating Israel Sales Ban
The Spanish High Court has opened an investigation into privately owned steelmaker Sidenor, which is accused of selling steel to a firm in Israel for the purposes of manufacturing weapons. This is one of the potential legal consequences that could result from Spain's ban of such deals. According to a statement, Judge Francisco de Jorge will lead the investigation against Sidenor CEO Jose Antonio Jainaga Gomez as well as two other executives. They are accused of smuggling drugs and being complicit in crimes against humanity and genocide. On November 12, they were called to testify. The court said Sidenor had sold steel to Israel Military Industries (a subsidiary of Elbit Systems) in a deal that was allegedly done without proper government authorization or registration. The High Court ruled that the executives "went forward with the deal knowing that (the company) was a producer of both heavy weapons and light weapons and that the materials sold were to be used in the manufacture of weapons." Sidenor stated in a press release that it has referred the case to its attorneys and will give the judge any information available. The Spanish government had decided in April to stop all contracts with Israel. This led to the steelmaker's announcement on July 1, that it would suspend all commercial relationships with Israel. Elbit Systems has declined to comment. The investigation is a result of a complaint that was filed by the Association of the Palestinian Community of Catalonia in July. Spain, which recognized a Palestinian state in Gaza last year, was a vocal critic, describing Israel's actions as genocide multiple times, an accusation that the Israeli government denies. In September, Spain banned aircraft and ships carrying jet fuel or weapons to Israel from entering Spanish airspace or calling at Spanish ports. This was done to put pressure on Israel to stop its Gaza offensive. It also reinforced the prohibition on Spanish companies selling weapons and materials to Israel. Washington mediated a fragile ceasefire in Gaza that came into effect on 10 October. The restrictions were maintained. Emma Pinedo, David Latona (Reporting). Emily Rose contributed additional reporting from Jerusalem. Editing was done by Andrei Khalip, Joe Bavier and Joe Bavier.
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Ribera, EU's Ribera, calls for stronger France-Iberia links to boost competition
The European Commission's Vice President Teresa Ribera stated on Friday that stronger electricity links between France, Spain and Iberia are crucial to Europe's competiveness. She urged France to play its part to allow long-delayed investments to flow. In April, a crippling blackout in Spain & Portugal exposed their poor connections with the rest of Europe. Analysts say the power outage in Spain and Portugal would have been less serious if they had more interconnectors for exchanging electricity with other countries. Ribera stated that an interconnected Europe is essential for the competitiveness of European industry. She told reporters that she hoped a pro-European nation, like France has always been, would understand that this was something that could not be denied. She added that she would pay as much attention to some projects, such as the expansion of links to Iberia, as it would new ones aimed at modernising grids in Europe. "It's very important to fully develop the interconnections between France and the Southwest of Spain through cooperation among the regional governments." Iberia's electricity capacity is only 3% connected to European neighbors, which is far below the EU target of 15% by 2030. Spain and Portugal has blamed France since years for blocking new interconnections. Maria da Graca Carvalho, Portugal's Minister of Energy, said that France showed a much greater level of openness after the outage. A meeting between the Commission and the three countries is expected to happen soon. She said, "We hope that the problem will be resolved." The European Investment Bank announced in June that it would invest 1.6 billion euro ($1.9 billion) to support a planned interconnector of power between Spain and France via the Bay of Biscay. Red Electrica, a Spanish company, and RTE, a French company, will receive loans from the European Union to help them launch their 400-kilometer project by 2028.
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Carney, Canada's Carney, visits Asia in order to form new alliances with Asia and reduce US dependency
Mark Carney, Canada's prime minister, will make his first official trip to Asia this Friday. He is hoping to strengthen trade and security links at a moment when North America struggles to reduce its dependence on the U.S. Canadian officials have said that Carney's trip could include a meeting between him and Chinese President Xi Jinping in an effort to restore a relationship previously strained by a trade war. Donald Trump, President of the United States Termination of trade talks Canada responded to a political ad in Ontario that featured Ronald Reagan, the Republican icon who said tariffs caused economic disaster. Analysts believe Carney must explain to Asian leaders why Canada is not aligned to the U.S. president, who has threatened to annex Canada. Vina Nadjibulla is vice president of Asia Pacific Foundation of Canada. She said that Carney must make it clear to the world that Canada is not fragmenting and still supports rules-based globalization and trade. Canada signed a deal last month with Indonesia to provide duty-free access to up to 95% its exports to Indonesia in the coming year. Maninder Singh Sidhu, Canada's Trade Minister, said that the country is now focusing on agreements with Malaysia, South Korea, and Japan. Carney will attend meetings in Singapore, the Association of Southeast Asian Nations Summit in Kuala Lumpur and the Asia-Pacific Economic Cooperation Summit in South Korea. The White House announced that Trump will also leave for Malaysia on Friday evening and meet Xi next Thursday in South Korea. Carney may say he wants Canada to diversify its exports in the next decade but the country still depends on the U.S. about 75% for its goods. Fen Hampson is a professor at Ottawa's Carleton University who specializes in international affairs. She said that Canada has more business opportunities in Asia than Europe. Carney visited Europe three times since he became prime minister in march. Hampson stated that the economies of Southeast Asia were more dynamic, and therefore compatible with Canada's energy and commodity trade. Hampson noted that, despite this, any deal Canada makes with China would be affected by the geopolitical dynamics of the U.S.-China. Hampson stated that as tensions between the U.S.and China escalate, Prime Minister Carney will have less room to maneuver. Hampson said that he believed it would be hard to resolve Canada’s ongoing tariff disputes against China, such as those over canola or electric vehicles, without improved relations between the world's two superpowers. Hampson stated that the Americans put a lot of pressure on him to refuse to concede to his perceived rival. Former banker raises hopes for improved relations Many Canadians also fear closer economic ties with China. A recent poll conducted by Angus Reid for the Asia Pacific Foundation of Canada revealed that 59% of respondents still have a negative view of China, and only 14% believe Canada should pursue closer economic ties with China. Justin Trudeau, Carney's predecessor as prime minister, was responsible for the deterioration of relations between Canada and China. Canadian citizens were executed and detained by the Chinese government. Canada's security agencies concluded that China interfered with at least two federal election. Xi publicly scolded Trudeau for allegedly leaking their conversations to the media. Analysts believe Carney's experience as a central banker, and his credentials as an ex-central banker give him credibility that his predecessor lacked. Carney met with Chinese Premier Li Qiang in the last month, and said that he would be meeting senior Chinese leaders soon to "see how the trade relationship develops." In a region where protocol and customs are of great importance, the Prime Minister may still need to tread with caution. Isaac Stone Fish is the CEO of Strategy Risks a Chinese-focused business intelligence company. He said that whatever deals are made, it will be important to see how Carney behaves with Xi Jinping. Carney knows that if he appears to bow down to Xi, it will make him look weak. (Reporting and editing by Caroline Stauffer and Marguerita Choy)
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Wall Street to open with a higher opening after US inflation data
The European stock market struggled to find direction on Friday but was still on course for another weekly increase. Wall Street futures were boosted by data showing that U.S. Inflation rose less than anticipated last month. Wall Street closed higher on Friday, after the White House confirmed that U.S. president Donald Trump will meet Chinese President Xi Jinping as part of his Asia trip next week. The pan-European STOXX 600 index was flat at 1242 GMT, but it is still on course for a weekly increase. London's FTSE 100 rose by about 0.1%. INFLATION DATA Wall Street futures rose following the inflation data. S&P 500 E-minis were up 0.6%, and Nasdaq E-minis were up 0.9%. The MSCI World Equity Index was up 0.1% for a total gain of 1.3% on the overall week. The Consumer Price Index increased by 0.3% in September, after rising 0.4% in August. This was less than expected at 0.4%. Brad Conger said in an email that he expected the reading to be higher than usual due to tariffs being passed through into consumer prices. Our base case is that CPI will remain high over the next six months as final price adjustments." The U.S. Stock Markets have surged in this year and reached record highs, as traders invest money in artificial intelligence while betting that the U.S. Federal Reserve continues to reduce rates. Analysts claim there are signs that a bubble is forming. At its meeting next Monday, the Fed is expected cut rates by 25 basis point. After Friday's inflation report, traders increased their bets on rate cuts. Peter Fitzgerald, Chief Investment Officer for Macro at Aviva Investors, said: "It is a continuation in a generally supportive environment for equity markets where interest rates have been broadly falling across developed markets with Japan being the notable exception. Volatility has begun to drop again after a short spike, and there are no major earnings surprises." He said that it was impossible to know when or how a bull market would end. TRUMP CANCELS CANADA TRADE NEGATIONS The dollar index was 98.863, unchanged on the day. Trump's announcement on Twitter that he would be ending all trade talks with Canada had a limited impact on the Canadian dollar. The euro remained steady at $1.1628. Data showed that the euro zone's business activity grew more rapidly than expected in October. After the data, yields on euro zone government bonds rose. Germany's Bund reached 2.612%. The oil prices that had increased by 5% following the U.S. sanctions against major Russian oil companies have now eased down, but are still on course for a gain of 5% per week. Gold fell around 1.2% per day to $4,075.39 an ounce. It is on course for a weekly decline, ending its nine week winning streak. Apple and Microsoft are among the five companies that will be reporting earnings next week. Intel's earnings beat expectations on Thursday.
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VW says production secure for coming week despite chip dispute
Volkswagen's German plants will continue to operate normally in the next week, as it seeks to protect its supply chain against a dispute involving Dutch chipmaker Nexperia. However, the automaker warned that short-term impacts were possible. Sources told Reuters on Thursday that Volkswagen's main Wolfsburg plant production would continue as planned next week but there were uncertainties beyond that. The Chinese ban on Nexperia chips in automotive and other industries has caused supply chains to be shaken. Companies are now looking for alternatives, as they wonder how long their stockpiles will last. UNCERTAINTY RESURRES EVEN NEXT WOEEK. Volkswagen said that production at its German sites was secure until Thursday, October 30. In parts of Germany, where Volkswagen's Wolfsburg and Zwickau factories are located, the following day is a holiday. Volkswagen's spokesperson stated on Friday that "operations for the next week at all other German sites of the Volkswagen Group are also secured today as the current situation". Skoda, Seat and Porsche are all part of the group. The spokesperson added that the Volkswagen Group was in touch with potential suppliers and examining other sourcing options. CHIP SHORTAGES HITTING SUBSIDIARIES Nexperia does not supply Volkswagen or other automakers such as BMW and Mercedes directly. Its relatively simple computer chip is used in large numbers in car parts and impacts the supplier networks of companies more widely. On Friday, a regional representative of the German IG Metall union expressed concern about deteriorating conditions. Horst Ott said that some automotive suppliers have already announced furlough plans for their workers. He was speaking at an industry conference in Munich. Mario Gutmann, a member of the works council at IG Metall and a parts supplier Bosch, announced at an event that the company will be furloughing workers in its Salzgitter plant. When contacted, Bosch did not immediately comment on this matter. The union representatives did not name any other companies. Rachel More reported. (Editing by Jan Harvey, Mark Potter and Jan Harvey)
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Spain investigates steelmaker for violating Israel Sales Ban
The Spanish High Court has opened an investigation into privately owned steelmaker Sidenor, which is accused of selling steel to a firm in Israel for the purposes of manufacturing weapons. This is one of the potential legal consequences that could result from Spain's ban of such deals. According to a statement, Judge Francisco de Jorge will lead the investigation against Sidenor CEO Jose Antonio Jainaga Gomez as well as two other executives. They are accused of smuggling drugs and being complicit in crimes against humanity and genocide. On November 12, they were called to testify. The court ruled that Sidenor sold metal to Israel Military Industries (a subsidiary of Elbit Systems) in a transaction that was allegedly done without the approval or registration by the government. The High Court ruled that the executives "went forward with the deal knowing that (the company) was a producer of both heavy weapons and light weapons and that the materials sold were to be used in the manufacture of weapons." Sidenor didn't respond immediately to a comment request. Elbit Systems refused to comment. The investigation is a result of a complaint that was filed by the Association of the Palestinian Community of Catalonia in July. Spain, which recognized a Palestinian state in Gaza last year, was a vocal critic, describing Israel's actions as genocide multiple times, a charge the Israeli government denies. In September, Spain banned aircraft and ships carrying jet fuel or weapons to Israel from entering Spanish airspace or calling at Spanish ports. This was done to put pressure on Israel to stop its Gaza offensive. It also reinforced the prohibition on Spanish companies selling weapons and materials to Israel. Washington mediated a deal that brought Gaza into a fragile truce on 10 October. The restrictions were maintained. Emma Pinedo, David Latona (Reporting). Emily Rose contributed additional reporting from Jerusalem. Editing was done by Andrei Khalip, Joe Bavier and Joe Bavier.
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China proposes a more stringent plan for steel capacity swaps to curb overcapacity
China unveiled on Friday a proposal to implement a more strict steel capacity swap plan. This comes 14 months after the country halted its old programme, which failed to curb the rapid expansion of the industry, and left it with an overcapacity, which impacted profitability and led to a protectionist backlash. halted The existing steel capacity replacement program will be implemented on August 23, 2024. China's Ministry of Industry and Information Technology issued a statement that said the addition of new capacity to steel in key areas, transfer of capacity from non-key regions to key areas and capacity transfer between key areas were all strictly prohibited. Key areas refer to the Beijing-Tianjin-Hebei and surrounding areas, the Yangtze River Delta region, and the Fenwei Plain, according to the statement. It said that provinces and cities where the country has set clear targets for the total steel capacity of the country are not allowed accept transfer of capacity from another region. For every ton of new steel capacity, at least 1.5 metric tonnes of the old capacity must be removed. More efficient utilization of scrap steel to develop the cleaner electric-arc-furnace-based steelmaking in an organized way and the development of hydrogen metallurgy in appropriate regions are encouraged, it added. Reporting by Amy Lv and Ethan Wang, Editing by Louise Heavens
Norway's Cognite shifts HQ to U.S., co-founder states at Davos
Norwegian industrial software company Cognite strategies to move its head office to the U.S. this year to gain access to fastergrowing markets in North America, Asia, and the Middle East, its cofounder John Markus Lervik told Reuters on Tuesday.
Lervik told the Reuters Global Markets Forum that Europe's. regulative environment was hindering growth.
We are doubling down in the U.S., and with the new. president's concentrate on financial investment, we're growing additional. strongly, with over 100 open positions, he stated.
Donald Trump's second presidency, marked by trade hazards. and sweeping executive actions, positions fresh threats for European. players as tariffs and regulatory changes loom large.
Lervik stated he had had concerns about Europe's growth for a. decade, and hoped tailwinds in the U.S. would prompt European. regulators to take action also.
I believe Ursula (von der Leyen) just stated earlier today that. she wants to minimize regulations, he stated.
Cognite is majority-owned by Norwegian commercial investment. corporation Aker ASA, which also manages the oil and. gas firm AkerBP. Accel, TCV and Saudi Aramco are among. financiers given that its creation in 2016.
The company sells software application that aggregates and analyses. industrial information to clients including AkerBP.
Speaking together with Lervik, AkerBP's chief digital officer. Paula Doyle said smarter regulation or deregulation would be. essential for Europe's players to progress in. commercializing innovation and software.
We know that Europe hasn't had the ability to make the strides. into technology and software compared to ... the U.S., Doyle. said.
Following Saudi Aramco's purchase of a 7.4% stake in the. company, Cognite's evaluation has been approximated at $1.6 billion.
(source: Reuters)