Latest News
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Hudbay Minerals, a Canadian company, resumes operations at Snow Lake following the lifting of evacuation orders
Hudbay Minerals, a Canadian mining company, announced on Wednesday that it had resumed its operations in Snow Lake (Manitoba) following the decision by authorities to lift the mandatory evacuate order on August 22, Snow Lake surface infrastructure, according to the company, has not been damaged structurally. Hudbay temporarily suspended Snow Lake operations early in July because of a wildfire that raged in Northern Manitoba. Manitoba declared an emergency in late May, and advised thousands of people to evacuate from the northern and eastern areas of the province as wildfires spread across central and western Canada. Last week, officials from the federal government said that Canada's second worst wildfire season in history has already burnt 7.8 million acres and could continue to do so for several weeks. Since the lifting of the evacuation orders, the company has added that it has completed a safety review of infrastructure including an inspection of the shaft and restarted underground electrical infrastructure. Hudbay is on track to meet its 2025 forecast in Manitoba, despite wildfires. (Reporting from Bengaluru by Pooja menon; editing by Vijay Kishore).
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Iraqi Kurdish PUK Security Force Alleges a plot to kill Party Leader
The Patriotic Union of Kurdistan in Iraq's semiautonomous Kurdistan Region said that on Wednesday they had discovered a plot against PUK leader Pavel Talabani. They shared a video purporting to show six guards claiming they received an order to murder him. A PUK-affiliated Kurdistan security service broadcast the video in which the fighters described their plans to rent a flat in a highrise building close to the PUK leader’s headquarters. The footage showed snipers holding silencers near a window that overlooked the office of the PUK leader. The guards on the video claim that they were given their orders by Lahur Talabani. Lahur Talabani is a prominent Kurdish political figure who is the cousin and leader of the People's Front, the party of opposition to Pavel Talabani. The office of Lahur Talabani was not immediately accessible for comment. A member of People's Front has accused the PUK using security and judicial institutions to suppress political opponents. Lahur Talabani, a fighter loyal to Lahur Talabani, was arrested by PUK forces on Friday after they raided an hotel in Sulaymaniya on Thursday night and fought for four hours. Three PUK commandos, as well as two Lahur Talabani fighters, were reported dead by police and hospital sources. According to security officials, more than 160 Lahur Talabani loyalists have been detained with him. Officials from the Sulaymaniya court confirmed that a warrant had been issued for Lahur Tallahani on charges of destabilizing security in the city and attempted murder. Sources familiar said that the arrest was part a larger struggle to control Sulaymaniya. This is a stronghold for the PUK. Lahur Talabani had been the joint president of PUK before a power battle led to his removal in 2021. The representative of the People's Front, who spoke under condition of anonymity for fear of arrest, said that "deploying tanks and hundreds armored cars to arrest a leader of a political party is completely unrelated to legal methods or democratic methods." This is the most serious conflict between Kurdish groups in Iraq since Saddam Hussein's fall in 2003. Regional officials and analysts are concerned that the violence could threaten the relative peace enjoyed by Iraq's semiautonomous Kurdish Region, which had largely been insulated from other areas of unrest in the country. (Reporting and editing by Rosalba o'Brien, Ahmed Rasheed)
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Dollar recovers as stocks climb in anticipation of Nvidia results
The major stock indexes rose Wednesday, ahead of artificial intelligence leader's results Nvidia The dollar has recovered from its previous session's decline despite concerns over the independence of the U.S. Federal Reserve. Lisa Cook's lawyer said that she would sue Donald Trump for threatening to fire her after Trump said he was going to do so. Investors were concerned by Trump's remarks about the independence and stability of the U.S. Central Bank. The yield curve steepened, as traders assessed the possibility that Trump could make more dovish Fed appointments. The dollar recovered from its previous session's drop and closed the day up 0.36% to 147.93 Japaneseyen. Meanwhile, the euro fell 0.48% to $1.1586. The three main U.S. indexes are slightly higher. Nvidia's report on the second quarter, which is due after the closing bell today, will be a test for the AI optimism, which has driven markets in the last couple of years. The strong performance of a number technology-related companies exposed to AI has helped propel major equity indexes this year to new highs. "Trump's been on the Fed’s back from Day One and this (Cook's firing) is a continuation to that strategy." Jake Dollarhide is CEO of Longbow Asset Management, Tulsa. Investors wonder if Nvidia will be able to continue to meet Wall Street's expectations. "My expectation today is that it will." Nvidia shares last fell 0.1%. According to LSEG, the company will report that its second-quarter revenues jumped up to $46.06 Billion. Investors will be paying close attention to the business it has in China, after the company agreed with the U.S. government to pay 15% of sales in exchange for export licenses which are not defined. Investors have noted that technology shares, including some AI leaders, are tumbling this month. The Dow Jones Industrial Average rose by 190.54, or 0.4%, to 45.608.19. The S&P 500 gained 20.02, or 0.3%, to 6,486.06, and the Nasdaq Composite climbed 55.61, or 0.2%, to 21599.98. Investors are closely monitoring the political risks in France. European stocks have recovered slightly from their previous day's drop. French assets were hit by a sell-off on Tuesday due to concerns over the potential collapse of Prime Minister Francoise Bayrou's French government next month. The MSCI index of global stocks rose by 1.64 points or 0.17% to 954.36. The pan-European STOXX 600 rose by 0.1%. Market watchers have interpreted Fed chair Jerome Powell's remarks at the annual Jackson Hole Symposium last week as an indication that interest rate cuts may be coming. Fed funds futures are pricing 84% odds that a rate cut will occur in September according to CME Group's FedWatch Tool. The outlook for U.S. rates will likely still depend on the strength of the labor market and inflation trends. The yield on two-year notes was at 3.625% last, down about five basis points for the day. The benchmark 10-year yield dropped to 4,236%, its lowest level since August 14. The yield curve between the two-year and 10-year note was at its lowest point of 61.3 basis points. It had reached 63.5 basis points earlier, which is the steepest since March 22. Gold and oil prices both rose. The price of oil rose on the back of a drop in U.S. crude stocks that was larger than expected. U.S. crude gained 90 cents and settled at $64.15 per barrel. Brent gained 83-cents to settle $68.05. Spot gold increased 0.09%, to $3.395.33 per ounce.
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KoBold Metals awarded seven Congo Lithium exploration permits
KoBold Metals - the mining company owned by U.S. billionaires Jeff Bezos & Bill Gates - has been granted seven permits for the search of lithium and other minerals within the Democratic Republic of Congo. This was announced on Wednesday. In July, the Central African nation signed a contract with KoBold that allowed it to begin a large-scale exploration program for minerals. KoBold also acquired Manono, a lithium deposit that is considered to be one of the largest in the world. A company official said that "our exploration efforts will be centered on lithium" across the seven new licenses. Four of the permits, according to the data on the website of the mining registry, are located within the Manono territory, in Tanganyika Province, and three are in the Malemba Nkulu Territory, in Haut-Lomami Province. Licenses are available for exploration of a dozen minerals including lithium, coltan and rare earths. The Manono Lithium Deposit is the subject of a dispute between AVZ Minerals and the Congolese Government over the failure of the authorities to grant a mine permit. (Reporting and writing by Jessica Donati, Sonia Rolley and Anait Miridzhanian. Editing and reviewing by David Goodman, Rod Nickel and Rod Nickel.)
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Europe's STOXX 600 closes at a higher level, with the focus now on Nvidia results
Investors waited for earnings from Nvidia, the leader in artificial intelligence chips and political risks in France to see if Europe's STOXX 600 would recover on Wednesday. The pan-European STOXX 600 closed 0.1% higher, just a day after it registered its biggest drop in almost a month. The majority of regional bourses closed in red, however. The CAC 40 in France bounced back by 0.4% after a sell-off that sparked fears of a possible collapse of the government headed by Prime Minister Francois Bayrou next month. Three major opposition parties announced on Monday that they would not support Bayrou's plans to cut the budget, as he had announced in his confidence vote for September 8. If the government falls apart, President Emmanuel Macron can name a new premier immediately, or ask Bayrou to remain as leader of a caretaker administration, or call a snap general election. Christophe Hautin is the equity portfolio manager of Allianz Global Investors. He said: "A lot has been priced in already, especially for French names... French banks and utilities, business services. But I expect uncertainty to continue for the next couple of weeks." Investors await earnings from Nvidia - the world's largest company - for new cues about the AI trade after a blistering tech stock rally hit a bump in August. The European corporate earnings are resilient, with over 52% of companies reporting second quarter earnings to date exceeding analyst's estimates. Nicholas Brooks is the head of ICG's economic and investment research. He said that investors want to know how tariffs and uncertainty in the last few months has affected business confidence. Sectoral losses were led by heavyweight banks, which fell 1.3%. After a Goldman Sachs rating downgrade, shares of Germany's Deutsche Bank, Commerzbank and HSBC fell by 3.4%, 4.9% and 5.9% respectively. The personal and household products sector, on the other hand, gained 1.5%. Luxury stocks were the main drivers, and the index hit a new high. Swatch gained 6.3% to lead the STOXX 600 after its CEO stated that the company would be able to meet the demands of the future. Partly offset Analysts said that the U.S. tariffs would have an impact on prices. DiaSorin dropped 5.8%, the highest on STOXX600, after J.P. Morgan Coverage initiated The Italian Medical Diagnostics Group at "Underweight" JD Sports' stock rose by 3.6% as a result of improved sales in the U.S.
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Ukraine launches tender for Lithium Deposit Site in Kirovohrad Region, PM says
Yulia Shvyrydenko, Ukraine's Prime Minister, announced on Wednesday that the country has begun a public tender to acquire the rights to mine a deposit of lithium in Kirovohrad. The tender for "Dobra" is expected to represent the first project of a joint fund of investment with the United States, which was signed in April in Kyiv as part Kyiv’s efforts to keep Washington in line in its war on invading Russian troops. The U.S. has a preferential deal with Ukraine on new mineral deals, and can invest in Ukraine's reconstruction. This is a deal that was heavily promoted by U.S. president Donald Trump. Svyrydenko posted on Telegram that the site contained significant lithium reserves, which are of strategic importance to energy and technology. We are searching for an investor that will not only ensure extraction but also development of value added production in Ukraine. She stated that an official announcement will be made in the next two month, followed by a period of three months for bids to be accepted, and finally a decision on the winner. Ukraine's Economy Ministry said on its website the winning bidder would sign a contract for 50 years and commit to invest at least $179 millions. The document stated that the amount included both funding for geological research and production and enrichment. The agreement also stipulates the compliance with environmental standards and the use of Ukrainian products and labour as well as investment in the local communities. (Reporting done by Yuliia Dyesa and Max Hunder. Toby Chopra, Mark Potter and Toby Chopra edited the story.
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Investors wait for Nvidia to recover the dollar before stocks rise
The major stock indexes rose on Wednesday as upcoming results by artificial intelligence leader Nvidia offset concerns about the Federal Reserve’s independence. Meanwhile, the dollar recovered after its previous session's decline. After Donald Trump said that he would dismiss Lisa Cook, Lisa Cook's lawyer said she would sue him. Investors were concerned by Trump's remarks about the independence and stability of the U.S. Central Bank. The yield curve steepened and interest-rate sensitive yields on two-year bonds fell to a nearly four-month-low as traders assessed the possibility that Trump could make more dovish Fed appointments. The dollar was up 0.36% last session at 147.93 Japanese Yuen while the euro fell 0.48% to $1.1586. The three main U.S. indexes are slightly higher. Nvidia's report on the second quarter, which is due to be released after the closing bell was seen as a test for the AI optimism, which has driven markets in the last couple of years. "Trump's been on the Fed’s back from Day One and this (Cook's firing) is a continuation to that strategy." Jake Dollarhide is CEO of Longbow Asset Management, Tulsa. Investors wonder if Nvidia will be able to continue to meet Wall Street's expectations. "My expectation today is that it will." Investors have noted that technology shares, including some AI leaders, are tumbling this month. The Dow Jones Industrial Average climbed 93.12 or 0.20% to 45,509.88. The S&P 500 rose 10.61 points or 0.16% to 6,476.31 while the Nasdaq Composite gained 33.25 points or 0.15% to 21,580.05. Investors are closely monitoring the political risks in France. European stocks have recovered slightly from their previous day's drop. French assets were sold off on Tuesday due to concerns about the possible collapse of Prime Minister Francoise Bayrou's French government next month. The MSCI index of global stocks rose by 0.49 points or 0.05% to 953.21. The STOXX 600 pan-European index rose by 0.09%. Market watchers have interpreted Fed chair Jerome Powell's remarks at the annual Jackson Hole Symposium last week as an indication that interest rate cuts may be coming. Fed funds futures are pricing 88% odds that a rate cut will occur in September according to CME Group’s FedWatch Tool. The outlook for U.S. rates will still depend on the strength of the labor market and inflation trends. The yield on two-year U.S. Treasury bonds, which moves typically in line with interest rate expectations and was at 3.654% last, it was down about two basis points for the day. The benchmark 10-year yield increased to 4.289%, up from 4.256%. The yield curve between 2-year and 10-year bonds was at its steepest point since April 22, when it reached 63.3 basis points. U.S. crude climbed 0.79%, to $63.74 per barrel. Brent rose 0.62% to $67.64 a barrel.
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The first-half profits of Greek refiner Motor Oil have more than doubled
Motor Oil, a Greek refiner, reported on Wednesday a 54.9% drop in its first-half net profits as a result of a reduced refinery utilization following a refinery fire that occurred in September 2024 and lower refining margins. Insurance proceeds from this incident were outweighed by the reduction. The Athens listed group reported a net loss of 163.4 millions euros ($191.3million), down from 362 million euro a year ago. The group revenue dropped 15.6% on an annual basis to 5.27 billion euro, from 6.24 billion euro in the first half 2024. This was due to lower sales volumes as well as a drop in the average price of petroleum products. The earnings before interest, tax, depreciation and amortization fell 39.3%, to 387.4 millions euros. Insurance compensation contributed 150.8 million euro. Motor Oil reported that its refinery was operating at more than 80% capacity in the first half of the year. The crude distillation unit affected will resume operations by August 2025. The refinery, which is Greece's 2nd largest, accounts for over a third the total refining capability of the country. Motor Oil's EBITDA is "satisfactory", as the utilisation of refining equipment improves and the seasonal margins. Capital expenditures for 2025 are expected to be 200 million euros.
Analysts' reactions to the US-China Trade Agreement
U.S. officials and Chinese officials announced that they had reached an agreement on a framework for re-establishing their trade truce and removing China's restrictions on exports of rare earths. However, there was little indication that the long-standing trade disputes would be resolved.
Li Chenggang, Vice Minister of Commerce in China, said that the two teams agreed to implement their Geneva consensus. They would then take the framework agreed upon back to their respective leaders.
An official at the White House said that the agreement allows the U.S. a tariff of 55% on imported Chinese products. The tariff includes a baseline "reciprocal tariff" of 10%, a fentanyl-trafficking tariff of 20% and a 25 percent tariff that reflects existing tariffs. China would impose a tariff of 10% on U.S. imported goods.
MARKET REACTION:
S&P 500 was up 0.1% as investors waited for more details and to see if the decision would be implemented.
QUOTES:
GENE GOLDMAN IS THE CHIEF INVESTMENT OFFICER FOR CETERA INVESTMENT MANAGEMENT IN EL SEGUNDO CA.
The equity markets breathed out a sigh after hearing about a possible US-China deal. This news should be taken with caution. While President Trump announced that the imports of Chinese goods would increase from 30% to 50% and Chinese rare-earths exports could resume, little is known about what China will get in return. "I doubt that this is a one way deal, and therefore the market caution observed overnight."
SAM STOVALL IS THE CHIEF INVESTMENT STRATEGIST AT CFRA RESEARCH IN ALLENTOWN PENNSYLVANIA.
"We have seen a relatively tepid reaction to news of the 'deal' made with China. To me, that indicates indifference. The market is saying, ok, you've agreed to keep talking and have set up a structure for future discussions, but there hasn't been anything really significant resolved. Tell me something I should know. We all know it won't be good if there isn't a comprehensive solution. We would have to buy our dolls elsewhere, and that will cost more.
The market has struggled to hold on to its gains despite better than expected inflation figures today. I can only assume that the people wanted to hear more about the China negotiations. Investors may have sold because they thought we were overbought.
OLIVER PURSCHE SENIOR VICE-PRESIDENT, ADVISOR WEALTHSPIRE ADVISE, WESTPORT CONNECTICUT
The market hasn't reacted to the deal yet because we haven’t seen details. The devil lies in the details, as with most things. Another big news item is that the U.S. has a framework in place for future discussions with China, which contradicts a previous statement that it was a done deal.
The report on inflation this morning, although softer than expected was due to lower energy prices, and also an indication of further slowdowns in the U.S. economy.
ADAM BUTTON, CHIROP CURRENCY ANATOMIST, FOREXLIVE TORONTO
Trump certainly has tried to spin the news positively. "Obviously, this is good news. China and the U.S. reached an agreement. It's unclear what the U.S. is doing and what China wants to achieve. Trump made a hint at this when he said he wanted to expand China's trade. The U.S.-China negotiations have in some ways raised more questions than they have answered. Will this tariff rate stick? What are the U.S. & China working on?
The ultimate conclusion about China is that it's not getting worse. So, that's good. "We probably built in some expectation of maybe material progress."
JOHN PRAVEEN MANAGING DIRECTOR PALEO LEON PRINCETON NJ
"The worst case scenario is likely behind us. Both sides are trying to save face. The U.S. thought the issue of rare earths was important. They reached an agreement. It is a question of whether or not it will be implemented. "The fact that they have an agreement at all is likely to be a relief for market.
Both sides got something. It's important that the situation is de-escalating. It's likely a relief to the markets."
We'll need to wait to see if the tariffs are further reduced. After the dust settles, it'll probably be a bit lower because this tariff level will likely cause inflationary pain to the consumer."
When Trump and Xi get together, they will probably reduce it further. "You need to keep something aside for the meeting."
PETER CARDILLO, CHIEF MARKET ECONOMIST, SPARTAN CAPITAL SECURITIES, NEW YORK:
"That is good news, of course. It's still a while away, and both Trump and Xi have to ratify it, but it's a given that this will happen. This is good news, and it eases concerns... But the real deal is that there's an agreement which would allow China to resume exports of rare-earth products, something I believe was crucial to this."
ROBERT PAVLIK SENIOR PORTFOLIO MANAGEMENT, DAKOTAWEALTH, FAIRFIELD CONNECTICUT
It's a positive headline at least. It's positive that both countries are working together to exchange technology for rare-earth materials. We'll wait to see if Xi approves it, and what Trump says."
WASIF LATIF, PRESIDENT, AND CHIEF INVESTOR, SARMAYA PARTNERS PRINCETON NEW JERSEY
"It is becoming clearer that the initial high tariffs and large scales of tariffs were a negotiation tactic. When you saw the cards that each side brought to the table, China with rare earths and the US with other trade-related chips including the impact on students here at universities, you could see how they both wanted to reach an agreement. This is good news for investors.
"However the market already anticipated this because the rally we saw at the low tariffs was already baking in a better result than what was initially being put out. The futures started to fall when the agreement was announced in the early hours of this morning. It felt more like a situation of selling the news than a market impact, because many of the expected benefits were already backed in.
The CPI is currently the news that moves markets. It will be interesting to observe the long-term trade impact of tariffs. Tariffs have been a hot topic for many years. Some people say they are inflationary, while others claim it is deflationary. "But I think that the truth is somewhere between.
CHRIS WESTON HEAD OF RESEARCH PEPPERSTONE MELBOURNE
The devil is in the detail, but the lack reaction indicates that this outcome was fully expected.
The Geneva agreement is a good thing, but the fact that there was no reaction on S&P500 Futures and only small movements in CNH and AUD suggests the outcome was expected. Details matter, particularly the amount of rare earths going to the US and the freedom of US chips to go East. But for now, as long as headlines about the talks between both parties are positive, risk assets will be supported.
LIN GENGWEI is the co-founder and CEO of RAIN TREE PARTNERS in Singapore.
Both sides are willing and under pressure to reach an accord. The Sino-U.S. Rivalry will continue to persist despite the temporary success of these talks.
The U.S. may ease restrictions on chip exports from China in response to both pressures from Beijing and the domestic semiconductor industry.
MARK DONG, CO-FOUNDER OF MINORITY ASSET MANAGEMENT, HONG KONG:
This is good news for the market. There's now a bottom-line that neither side will cross.
Both sides will work to reduce the trade deficit.
ZENG WENKAI, CHIEF INVESTMENT OFFICER, SHENGQI ASSET MANAGEMENT, HONG KONG:
The market probably anticipated this -- Trump always chickens out (TACO).
"Look at the way countries negotiate with the U.S. today; it is no longer how Vietnam did things in the early days. Japan and South Korea have taken a more aggressive stance. "Kneeling is not the answer. It only leads to more bullying."
CHARU CHANANA CHIEF INVESTMENT STRATEGIST SAXO SINGAPORE
The markets will welcome the change in tone, from confrontation to cooperation. We're still not out of danger, even though there are no more meetings planned. Next, Trump and Xi must endorse and enforce the framework.
It's important to not confuse this tactical deescalation with a complete reversal in strategic decoupling. The competition in technology, supply chain, and national security is still very strong. There will always be new issues, and it is the implementation of this "old deal" that will determine how far we go.
TAN XIAOYUN IS THE FOUNDING PARTNER FOR ZONSO, GUANGDONG.
"Talks will proceed under the framework agreed upon, and I think the U.S. is more willing to compromise than China in order to reach an agreement."
"Under current circumstances, U.S. faces more pressing issues, while the Chinese have more breathing room. China used to be defensive but now is offensive by leveraging rare earths and market access. This marks a shift in power and strength."
MICHAEL McCARTHY, CHIEF OFFICER MOOMOO AUSTRALIA SYDNEY
"I will be watching how bonds trade on this day in light of it." Currency markets seem to be taking this in stride and equity markets have returned to their all-time highs.
Since weeks, the market has been anticipating this deal. It will be positive for the market, as the dollar will weaken and equities will rise, but this is not a major change.
CAROL KONG CURRENCY STRATEGIST, COMMONWEALTH BBANK OF AUSTRALIAN, SYDNEY
"I believe in this environment...any hints of progress on a possible trade agreement will be beneficial for markets.
"It's going to be hard for both sides and take a very long time before they can reach a comprehensive agreement." This type of comprehensive agreement usually takes years to reach, so I am skeptical that the framework agreed upon at the London meeting will be comprehensive. "Tensions may have de-escalated temporarily, but will escalate in the coming months."
RAY ATTRILL HEAD OF FOREX STRATEGY, NATIONAL AUSTRALIA BANK SYDNEY
It's too early to declare that a new US-China trading agreement is imminent. We've heard a lot of positive things about agreements, but we've not seen any real progress.
"Our view remains that, whatever is agreed upon in the next few weeks and months - the baseline view - is that the global tariff situation will be far worse than it was before Trump became president. We'll still have a tariff climate we believe is detrimental to global growth."
TONY SYCAMORE MARKET ANALYST IG SYDNEY
If we maintain the terms of the Geneva Agreement we will see US tariffs for Chinese goods remaining at 30% for some time, and Chinese tariffs for US goods remaining at 10%. This is a reduction from 145% and 125%, respectively. This would be amazing.
"I think that was the consensus of the market... now people are trying to decide whether they want to buy or sell the US Dollar and I believe that reflects a little bit of this indecision.
The U.S. equity market is holding up at the moment because of this. I still think they are overcooked and need to pullback. "It's been an incredible run, and we're pushing up against the records from February. For me, it makes sense that they take a break."
DAVID CHAO, GLOBAL MARKET STRATEGIST, ASIA PACIFIC, INVESCO, HONG KONG:
"Recent headlines have shown that both the US and China are ready to reach a deal. This is good news for both markets and policymakers. We believe that cooler heads will prevail and the path has been set for a closer dialogue between top leaders in both countries.
The news that the US and China may have reached a deal over rare earths, semiconductors, or jet engine parts is a good indicator that we are past peak tariff uncertainty. (Compiled by Global Finance & Markets Breaking News)
(source: Reuters)