Latest News
-
Four dead in suspected gas explosion at Taiwan mall
The fire department reported that a suspected gas explosion occurred at a department shop in central Taiwanese Taichung on Thursday. At least four people were killed and 24 injured. In a press release, the department stated that the blast took place on the 12th-floor of the building where construction was underway, and the damage began at the 9th-floor. It was reported that the food court on the 12th-floor of the Taichung Shin Kong Mitsukoshi Department Store had been closed due to construction work. According to the health ministry, one of the injured is in intensive care at the hospital. Taiwan's President Lai Ching Te, in a Facebook post, demanded a rapid investigation into the cause. (Reporting and editing by Jacqueline Wong; Kim Coghill, Michael Perry, and Jacqueline Wong)
-
Stocks surge in Russian rouble after Trump-Putin meeting
The Russian rouble, and its stocks, surged Thursday following a phone conversation between U.S. president Donald Trump and Russian president Vladimir Putin. In the call the two leaders discussed how to end the Ukraine War. According to data on the over-the counter market, at 0745 GMT the rouble had risen 3% against the dollar and was trading at 90.90, its highest level since September 2024. During the trading session, the rouble briefly reached the highest level since September 11 at 89.90. The rouble has gained 20% against the dollar since the beginning of the year. The Moscow Exchange index (MOEX), which is a measure of the stock exchange, grew by 5.8% on Tuesday and 4.2% on Wednesday. The moment investors were waiting for is now here. Analysts at Sinara brokerage said that the next step in easing geopolitical conflicts is now. The market was led by Russia's sanctioned companies, such as the gas giant Gazprom whose shares fell after losing the European market for gas, the dominant lender Sberbank, and the liquefied gas producer Novatek. MOEX is not open to foreign investors due to Western sanctions imposed in 2024. All trade in dollars and euro has moved to the OTC market due to sanctions. This makes the yuan, the currency of China, the most traded foreign exchange. (Reporting and editing by Guy Faulconbridge; Gleb Bryanski)
-
Steel tariffs and tax concerns overshadow supply problems as iron ore prices decline
Iron ore futures in Dalian ended a two-day rally on Thursday as fears over U.S. Steel Tariffs and possible India taxes trumped supply problems from Western Australia. The May contract for iron ore on China's Dalian Commodity Exchange ended the daytime trading 1.52% lower at 808 yuan (US$110.87) per metric ton. After reaching its highest level in almost four months, the benchmark March iron ore traded on the Singapore Exchange dropped 1.59% to $106.1 per ton. Investors are concerned about a potential domino effect caused by Trump's new tariffs, said Zhuo Guqiu. Analyst at Jinrui Futures. H.D. Steel Minister H.D. Kumaraswamy said that India could implement a temporary tariff of 15-25% on Chinese steel in six months due to the "serious threat" posed by cheap imports following Trump's new tariffs. Kumaraswamy stated. This was after U.S. president Donald Trump's steep duties on steel and aluminum imports. Industry insiders warned that this could cause imports to surge as exporters ship to India. Trump said that he would also impose reciprocal duties as early as Wednesday night, increasing fears of an expanding global trade war. Hexun Futures, a Chinese consultancy, said that trade frictions could disrupt the iron ore markets as increased tariffs might aggravate export concerns. Storms affected Australian shipments, tightening supply, Hexun added. Port Hedland closed on Wednesday and the ports of Dampier, Varanus Island, and Varanus Island on Thursday. Coking coal and coke, which are both steelmaking ingredients, have also lost ground. They fell by 1.96% apiece and 1.63% respectively. The Shanghai Futures Exchange saw a decline in most steel benchmarks. Rebar fell nearly 0.5%. Hot-rolled coil dropped 0.32%. Wire rod lost 0.4%. Stainless steel rose 0.61%. $1 = 7.2876 Chinese Yuan (Reporting and editing by Amy Lv, Michele Pek and Subhranshu sahu; Sumana nandy and Subhranshu sahu)
-
Outokumpu Finland reports Q4 core losses in a weak stainless steel market
Outokumpu, Finland, reported on Thursday a small loss in its core business for the fourth quarter. The company had previously warned of a weak stainless-steel market and high import pressure. It also predicted that steel prices will remain low in the first quarter 2025. The adjusted loss of the stainless steel manufacturer before interest, tax, depreciation, and amortisation was $3 million in October-December, compared to a profit 72 million euros one year earlier. A consensus provided by the company showed that analysts had predicted a loss in average of 1 million Euros. Outokumpu CEO Kati Ter Horst stated in the earnings report that "the stainless steel demand in Europe is historically low." European steelmakers are struggling to make profits due to a weak demand, rising costs and cheap imports from Asian competitors. Stainless steel deliveries by the company fell 8% in the previous quarter and 6% compared to the same period a year ago. Outokumpu stated that they expect to see an increase of 10% to 20% from the third quarter to the first three months in 2024. The group proposed that a dividend be paid of 0.26 euros per share in 2024. $1 = 0.9585 euro (Reporting and editing by Milla Nissi in Gdansk)
-
Adani, the Indian company, has announced its withdrawal from wind energy projects in Sri Lanka
According to a letter the company sent to a Sri Lankan agency, India's Adani Green Energy has announced that it will pull out of two proposed wind energy projects in Sri Lanka. Sri Lankan officials announced last month that they have begun talks with Adani Group in order to reduce the cost of electricity from projects costing an estimated $1 billion. The company informed the Chairman of Sri Lanka’s Board of Investment that a new Cabinet-appointed negotiations committee would be formed, as well as a Project Committee, to renegotiate a project proposal. A copy of the letter was provided to us. The letter dated February 12 stated that "this aspect was discussed at our Board and it was decided to respect the sovereignty rights of Sri Lanka as well as its choices while withdrawing from said project." Sri Lanka's Board of Investment refused to comment, while the secretary of the Ministry of Power could not be immediately reached. Adani didn't respond to a comment request immediately. Sri Lanka began reviewing the Adani Group’s local projects in December after U.S. officials accused billionaire Gautam Adani, along with other Adani Group executives, of participating in a scheme that involved paying bribes for Indian power supply contracts. Adani denies the allegations. Adani Green had agreed to build two wind-power projects in Mannar and Pooneryn villages, located in the north of Sri Lanka's island nation. Adani Group also has a $700-million terminal project in Sri Lanka's biggest port, Colombo. Sri Lanka is trying to accelerate renewable energy projects in order to offset the rising costs of imported fuel. Reporting by Uditha Jayasinghe; additional reporting in Bengaluru by Hritam Mukerjee; writing by Sudipto Ganuly; editing by YPrajesh
-
Australia's 50 wealthiest now control $153 billion as Rinehart again tops the list
Forbes reported on Thursday that the combined wealth of Australia’s 50 richest individuals has increased by nearly 10%, to A$243.92 billion ($152.92 Billion), in the last 12 months. Mining magnate Gina Rinehart topped the list once again. Forbes reported that technology executives benefited from the continued growth of the sector, whereas mining fortunes have been bumpier over the past year due to rising costs and falling commodity prices. Rinehart's wealth, which is controlled by Hancock Prospecting and amounts to A$29.4 billion, fell 4% but she retained her title of the richest person in Australia. In the last year, she purchased the energy assets of Mineral Resources. The company's founder Chris Ellison was dropped from Forbes 2025 list after a decade-long scandal involving tax evasion. Rinehart is lobbying Australia’s center-left Labor Government and its conservative Coalition to adopt industrial policies and resource policies modeled after U.S. president Donald Trump, in preparation for a May national election. She was also pictured at Trump’s victory party. Harry Triguboff, a property tycoon who has risen to A$18.8billion in net worth after a 5-year absence, reclaimed second place. Forbes reported that the Meriton Group, owned by Triguboff, was able to increase its residential build-to rent portfolio in Australia with several new constructions over the last year due to a strong rental housing market. Atlassian cofounders Mike CannonBrookes (18,3 billion dollars) and Scott Farquhar (17,9 billion dollars) both saw their shares soar by over A$4 billion. Andrew Forrest was ranked fifth after Fortescue Metals Group stock fell by more than one-third, reducing his wealth from A$5.4 billion (now A$16.1billion) to A$5.4billion. (1 Australian dollar = 1.5891 dollars) (Reporting and editing by Rashmi aich; Christine Chen)
-
Maguire: Recovering wind power may cool Europe's hot gas market
The wind-powered electricity produced in Europe in January 2024 was down by more than 7%, denying regional power producers a vital source of clean energy just as the demand for heating reached its peak. This wind shortage triggered an increase in Europe's natural gas-based electricity generation to its highest level in three years. It also supported a rally which has driven benchmark regional gas prices up by more than 15% this year. Models of wind forecasts now predict a recovery in regional production. This should lift overall electricity generation in Europe in the coming weeks and could set the stage for lower gas prices and usage. WINDS WEAK According to the energy think tank Ember the total wind-powered electricity produced in Europe in January was just under 67 terawatts hours (TWh). This is a drop of roughly 7% from the same period in 2024, and also the lowest January total in the last 2022. Wind farms are Europe's fifth largest source of electricity (after coal, gas, and nuclear). The drop in production compared to expectations has forced regional power companies to replace the lost supply by output from alternative sources. Gas-fired electricity production jumped nearly 6 percent in January compared to a year ago, the highest figure for a month since January 20,22, right before Russia invaded Ukraine and slowed regional gas flow. The increased gas consumption sparked a reduction in regional gas stocks, which in turn has fueled the bullish sentiment on the gas market so far this season. REBOUND The latest wind forecast models from LSEG predict an increase in wind power generation in major markets in the next few weeks. This should alleviate the tight energy supply situation in Europe. Germany, Europe's biggest wind power producer, is expected to maintain its wind production below the long term average until February 20. Then, it will rebound and be mainly above this long-term standard through the end March. The United Kingdom is Europe's largest gas-fired generator and second-largest wind power producer. If the wind power generation increases as predicted, power producers from both countries could reduce their gas-fired power production levels while maintaining power output. As local wind production increases, both countries could also reduce their power imports. This would free up energy supplies in Europe. This could lead to a drop in the regional benchmark TTF prices. These have reached their highest level since early 2023, and are causing new concerns about energy inflation in Europe. These are the opinions of a market analyst at.
-
Oil drops as a potential Ukraine peace agreement may ease supply disruptions
The oil prices dropped on Thursday as a result of expectations that a possible peace agreement between Ukraine and Russia will end the sanctions that have disrupted supplies, while crude stocks in the United States grew. Brent futures fell 68 cents or 0.9% to $74.50 per barrel at 0515 GMT. U.S. West Texas Intermediate crude (WTI), however, dropped 65 cents or 0.9% to $70.72. Brent and WTI both fell by more than 2% after U.S. president Donald Trump claimed that Russian President Vladimir Putin, and Ukrainian President Volodymyr Zelenskiy had expressed a wish for peace to him in separate telephone calls. Trump also ordered top U.S. government officials to start talks about ending the conflict in Ukraine. The price of oil has risen because Russia is the third largest oil producer in the world. Sanctions imposed by the United States on Russia's crude exports following its invasion of Ukraine almost three years ago are also contributing to this. In a Thursday note, ANZ analysts stated that oil prices had eased following the news of potential peace talks due to "optimism" about the risks to crude supply easing. They pointed to the U.S. The sanctions are reducing Russia's production. They said that signs of a tightening in supply had pushed up the price of oil in recent weeks. The US sanctions against Russian oil companies, and their vessels are believed to have worsened the situation. The market was also affected by the increase in crude oil stocks in the United States. This is the largest crude oil consumer in the world. The Energy Information Administration (EIA), which released data on Wednesday, showed that U.S. crude oil stocks increased more than expected in the past week. The EIA reported that crude inventories increased by 4.1 millions barrels, to 427.9million barrels for the week ending February 7. This was higher than the analysts' expectation of a 3-million barrel increase in a survey. "This recent decline in crude oil futures is the result of a period where there were consecutive stock builds," said Darren Lim a commodities analyst at Phillip Nova. The price of crude oil could be further impacted by geopolitical developments such as the end of the conflict in Ukraine. Trump's threat to impose additional tariffs on U.S. trading partners also pushed up prices because of fears that this could reduce economic growth, and therefore oil consumption. Trump announced that he would begin imposing reciprocal tariffs on Wednesday evening against every country that levies duties on U.S. imported goods. This move has heightened fears of an expanding global trade war, and could accelerate inflation in the United States. (Reporting from Georgina McCartney, in Houston; and Emily Chow, in Singapore; editing by Christian Schmollinger & Clarence Fernandez).
US data on gold and trade wars is in focus
Gold prices rose on Thursday as investors watched developments regarding President Donald Trump's proposed tariffs, which could spark a global trading war. They also awaited important U.S. economic data that was due later in day.
As of 0240 GMT, spot gold was up by 0.2%, at $2,908.50 an ounce. Bullion reached a record high of $2,942.70 per ounce on Tuesday. U.S. Gold Futures rose 0.3% to $2.936.50.
Trump announced that he will impose reciprocal duties as early as Wednesday night on all countries that charge duties on U.S. imported goods. This move has heightened fears of an expanding global trade war, and could accelerate U.S. inflation.
"Gold is a key asset to diversify portfolios amid trade uncertainty, and market participants are seeking to reduce volatility," said IG's market strategist Yeap Jun-Rong.
The U.S. Consumer Price Index increased more than anticipated in January, reinforcing Federal Reserve's statement that it is not in a hurry to cut interest rates despite growing economic uncertainty.
Jerome Powell, the Chair of the House Financial Services Committee, said that the Fed's fight against rising prices was not over. Any further rate reductions would need to be delayed until inflation returns to the Fed's target of 2%.
Investors will now turn their attention to the Producer Price Index data (PPI), scheduled for 1330 GMT. This data can provide further insight on monetary policies.
Yeap stated that "markets are largely ignoring the higher-than-expected CPI reading, and the upcoming PPI report may have a less pronounced impact on sentiment given the fact that rate expectations had already been adjusted to the prolonged high-for longer-rate environment."
Bullion is a good hedge against inflation. However, higher interest rates make it less attractive.
Trump has ordered the top U.S. officials on the geopolitical side to start talks about ending the conflict in Ukraine.
Spot silver increased 0.2%, to $32.29 an ounce. Platinum rose 0.2%, to $994.75. Palladium climbed 0.5%, to $978.46.
(source: Reuters)