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European shares fall as AI slowdown calls hits tech and oil surge weighs
European shares dropped on Monday, as technology stocks fell after leaders of top AI firms urged a'slower pace of development.' Meanwhile, another surge in oil prices dampened risk appetite. As of 0840 GMT the pan-European STOXX 600 index was down 0.3%, at 637.5, in choppy trade, with many major regional bourses trading downward. Technology shares were among the worst performers, with a 2% decline in line with their Asian and U.S. counterparts. Dario Amodei, CEO of Anthropic, called on AI companies on Saturday to slow down?the pace at which they advance their model capabilities because of fears about misuse. Benjamin Picton is a senior market strategist with Rabobank. He said: "That's an opinion that many of his tech peers?apparently hold. This puts founders in a unique position, not only agreeing but also favoring tighter regulations for their own businesses. Future growth will be throttled." Soitec, a French semiconductor company, was the biggest decliner in the STOXX with a 12.6% drop. Infineon, a German company, fell 7.6%. ASML, a Dutch firm, and ASMI, based in the Netherlands, both lost 5.2%. European miners declined 2.1% as they followed the weakness in commodity prices. London-listed Antofagasta fell 4%, while Germany's Aurubis dropped 3.2%. Healthcare stocks rose 2.2%, bucking the trend. GSK jumped 3.6% following the positive results of two lung cancer drugs. This added to the momentum in this sector. Oil stocks were not affected by the latest Houthi attacks in Saudi Arabia or Iranian attacks against ships in the Gulf, which compounded concerns about supply arising from a closed Saudi pipeline. Recent oil price spikes have brought inflation concerns to the forefront, further confirming expectations that central bankers?worldwide may increase interest rates in this year. The European economies are especially vulnerable to rising oil prices, as they rely heavily upon imports. The U.S. Federal Reserve will likely raise its main lending rate this week by at least 25 basis point -- a marked change from the split chance of a hike or a pause that was seen a week earlier. Last week, the European Central Bank raised rates. LSEG data shows that traders expect at least 25 bps more by year's end. The 10-year bond -- the benchmark for the region -- is at its highest level since August 2009. The centre-left opposition in Sweden looked to be on track to form the new government after preliminary results showed that it had a three-seat advantage over the ruling right-wing parties, with the majority of votes counted following Sunday's election.
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Nigerian billionaire Dangote launches Africa's largest share sale, the IPO of an oil refinery.
Aliko Dangote, a Nigerian billionaire, launched the largest ever share sale in Africa on Monday with his initial public offering (IPO) of oil refinery. This opened up ownership to retail investors while raising funds for the expansion of the refinery. The sale of 4.1 billion ordinary share at 525 Naira each began at 8am local time (0700 GMT), and will close on October 13th. The offer would raise 2,15 trillion naira (about $1.6 billion) if it were fully subscribed. However, this could rise to approximately $2.1 billion if oversubscribed. Chris Chijioke is a businessman based in Lagos, the commercial capital of Nigeria. He said that he will buy 2,000 shares because?the size and track record of Dangote as a successful businessman makes a strong argument. He expressed concern about the price of the shares, however. He said that the price offered would not be justified if the plans to double refinery capacity were delayed. "I personally believe it is overvalued," said he. The war in Iran has benefited refineries The refinery, built on the outskirts Lagos at a cost around $20 billion, has changed the fuel market in Nigeria since it began operations in 2024. The company supplies the majority of Nigeria's gasoline. It has also benefited from supply disruptions caused by the Iran War, which led to an increase in demand for Dangote jet fuel throughout Africa and Europe. Africa's richest person has advertised?the offer? to ordinary Nigerians who can take part by purchasing as little as 10 shares via fintech and digital investment platforms. Ibrahim Abubakar is a journalist who said he would buy approximately 2,850 shares, because he thought the refinery was "too large to fail". The plant currently processes 700,000 crude barrels per day. It hopes to reach 1.4 million barrels by 2029. According to calculations, the offer values the facility at $47 billion. Dangote has said he anticipates the IPO will be 3.7 times more popular than a July private placement that was 3.7-times oversubscribed.
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India approves the export of electricity to Nepal following deadly flood
India has approved the export of electricity to Nepal for 18 hours per day until December 31 after a devastating flood in the Himalayan nation last month destroyed about a 10th of its capacity. The deluge, caused by the collapsed glacier in Nepal and Tibet, killed more than 1,400 people and destroyed over 12 hydroelectric plants?in Nepal. More than?5,300 missing people include 900 workers from power stations. The ministry announced that it had approved the export of up to 654 Megawatts. It added that the amount of power exported from January will be reviewed in December. The approval would help Nepal meet its energy requirements during this difficult time and strengthen the long-standing and close energy cooperation between India & Nepal, it stated. The export of Nepalese hydropower, which provides?almost the entire electricity in Nepal, has been growing rapidly. The 'country' halted its power exports after the floods ravaged the Bagmati Province, which is the main hydropower producing region. It said that it would purchase electricity from India in the coming months to cover any domestic shortages. Last week, Nepali officials announced that they will ask wealthy countries and international agencies for financial assistance. They argued that they should contribute the $5 billion needed to begin the initial reconstruction.
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Kazimir, ECB's Kazimir, shifts his focus on gas prices and sees inflation risks rising
Peter Kazimir, a policymaker at the European Central Bank, said that euro zone inflation could be higher than projected and the growth of power and natural gas prices is a growing concern. The ECB increased interest rates on Thursday for a second time this year and also raised its inflation forecasts. This has fueled market speculation that there could be up to three rate increases in the next year. Kazimir is a policy hawk who has been outspoken in his calls for higher interest rates. However, unlike other colleagues, he did not call for a rate increase. He said policymakers should be open to new ideas and that the bank would act decisively when the evidence warranted it. Kazimir, Slovakia’s central bank head, said in a recent blog that his attention was now focused less on fuel and oil prices and more on the prices of gas and electricity. Food inflation, which is so important to perceptions and expectations of the future, is also expected to increase. Gas prices have reached a record high of four years, as European nations waited to fill their gas storages in the summer months hoping that the conflict with Iran would end. Gas storage is now being rushed to fill the gap left by historic levels. Prices are soaring, which will likely increase heating and electricity prices and cause inflation. The growth in food prices is unexpectedly low, but a "perfect storm" of factors including the European drought, El Nino weather phenomenon, and the soaring prices for diesel and fertiliser, which are key inputs to agriculture, will likely push prices up in the next few months. Kazimir stated that "the inflation risks are clearly skewed to the upside." The 'energy shock' has already lasted much longer than expected. But its full effects haven't yet filtered through to the economy. Financial markets expect a rate increase by the end the year, but the ECB's next meeting is on October 29.
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Solar Industries of India to purchase Omnia from South Africa for $1.36 Billion
India's?Solar Industries announced on Monday that its unit would acquire South Africa's?Omnia Holdings for?about $1.36billion in a?all cash?deal. The explosives and ammunition manufacturer is looking to expand their global mining business. Solar SA Investments is an indirect wholly owned subsidiary of Solar Industries. It will acquire all the outstanding shares of Johannesburg listed Omnia. This acquisition is subject to regulatory approvals and Omnia shareholders' approvals. African countries are stepping up their efforts to increase output and attract?investment in critical minerals. Zambia, a country rich in copper, is aiming to triple its production at a time when metal prices are rising. Solar expects that the expansion of its footprint will increase Africa's mining revenues by multiples from fiscal 2028. Solar Industries, based in Western India, manufactures industrial explosives, initiating systems, and other products for mining, construction, defence, and space industries. It operates more than?40 production facilities worldwide. Omnia is a company that provides services and products to the mining and agriculture industries. It operates in 23 countries, and has customers in over 40 other countries. The company reported revenue of $1.41 billion for the year ending March 31.
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European shares tempered as oil surge, tech slide weighs
On Monday,?European stocks were?subdued? as?technology shares fell? after executives from leading AI companies called on a slowdown in development? while another rise in oil prices? dampened the broader risk appetite? As of 0810 GMT the pan-European STOXX 600 was little changed, at 638.95, in choppy trading, with most major regional exchanges trading lower. Anthropic CEO Dario Amedei called for 'AI companies to slow down the rate at which model capabilities are advanced due to concerns of misuse. Shares in technology firms fell 1.4% in line with weakness among Asian peers. Infineon, a German company, lost 5.8% of its value, while ASML, a Dutch firm, and ASMI, based in the Netherlands, each suffered losses of 4.4% and 5%. Oil prices were up more than 2% as a result of the Houthi attacks on Saudi Arabia, and Iranian attacks against ships in the Gulf. This exacerbated supply concerns after the closure of an important Saudi oil pipeline. With a 0.4% increase, the European energy sector was one of the brightest spots. The focus now shifts to the U.S. Federal Reserve and its upcoming?policies decision. Traders are increasingly betting on a rate increase of 25 basis points. Last week, the European Central Bank raised interest rates.
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What role does Aliko Dangote’s oil refinery play in his conglomerate business?
Nigeria's Dangote Group sells a 3,3% stake in the 700,000 barrels per day?oil refining plant to the public in what will be the largest such transaction on the continent. Answers and questions regarding the business conglomerate owned by Africa’s richest man, Aliko?Dangote. What is the size of Dangotes' business group? The 69-year-old entrepreneur is the owner of Dangote Industries Limited. This industrial group, which produces cement, sugar, and salt, is one of Africa's biggest. The company is also involved in the refining of crude oil, as well as other activities such as the production and distribution of petrochemicals, fertilisers, and power. Dangote Industries is his primary holding vehicle for the majority of operating companies which are privately owned. This changes with the listing the "refinery complex" located near Lagos. Which parts of the group are most important? Dangote Cement, Africa's leading cement manufacturer, has a capacity of 51.8 millions metric tons per year. Nigeria is responsible for 35.3 millions tons of this capacity. The company is also active in Cameroon and other countries such as the Congo Republic, Ivory Coast (Ivory Coast), Ethiopia, Ghana Senegal Sierra Leone South Africa Tanzania Zambia. It aims to increase total?capacity by 2030 to 80 million tons. The group's most ambitious expansion is in its refining division, the newest business. The refinery started processing crude oil in 2024. It produces petrol, jet fuel and liquefied petroleum gases, as well as by-products of chemicals such polypropylene. An adjacent plant, which produces fertiliser, has a capacity of 3,000,000 tons per year of urea and ammonia. It supplies Nigeria as well as export markets such Brazil, India Mexico and the United States. Sugar, salt seasonings, and other food items are among the group's consumer products. These activities are supported by the Dangote Group's storage facilities, pipelines, power plants and marine terminals. How did Dangote build the group? Dangote’s strategy is based on the import substitution, which means offering locally produced goods for Nigerians to replace those they have traditionally purchased from overseas. Cement was Nigeria's first big success. The investments in plants, quarries, and logistics have helped Nigeria to become a regional supplier. Dangote then applied the same strategy in his latest ventures in?refining, petrochemicals and fertilisers to reduce reliance on imports and serve the domestic and international markets. The group's investments are aimed at controlling costs and ensuring supplies. However, these investments come with a large capital expenditure and risks, such as construction delays and significant debt costs.
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Nigerian billionaire Dangote launches Africa's largest share sale, the IPO of an oil refinery.
Aliko Dangote, the Nigerian billionaire who owns the oil refinery in question, launched the 'public offering' of the company on Monday. The sale opened up the plant to retail investors and raised money for the expansion. The offer to buy 4.1 billion ordinary shares for 525 Naira each began at 8am local time (0700 GMT), and will end on October 13th. The offer would have raised 2.15 trillion Naira ($1.6 billion) if fully subscribed. However, this could increase to $2.1 billion should the offer be?oversubscribed' and the company choose to use the greenshoe option in order to issue additional?shares. The refinery, built at a cost around $20 billion in the suburbs of Lagos has changed the fuel market of Nigeria since its start-up operations in 2024. Dangote supplies the majority of Nigeria's gasoline. The Iran War has also benefited Dangote financially, as it increased demand for Dangote jet fuel in Africa and Europe. Africa's richest person has made the offer to Nigerians who can buy as little as 10 shares via fintech and digital investment platforms. There is no restriction on who can buy these shares. "We want everyone... to own a share," Dangote stated at a signing event last week. The refinery currently processes 700,000 barrels of crude oil per day. It hopes to increase that to 1.4 millions barrels by the year 2029. Calculations show that the offer values this plant at $47 billion. Dangote said he expected interest in the IPO?to mirror a July private placement that was 3.7-times oversubscribed.
Andy Home: China is feeling the ripple effects of US copper tariffs
China's net copper imports fell to an all-time low in July, as the world's biggest buyer competed with the United States for the metal.
China's warehouse stocks are now included in the scramble to export copper to the U.S. before threatened tariffs.
In the first seven month of 2025, China "exported 121,000 metric tonnes of copper to the U.S." The shipments began after President Donald Trump announced in February a national-security investigation into U.S. dependence on copper imports.
Since U.S. Customs only counted 15 tons of Chinese refined copper in the first half 2025, we can conclude that China's so-called "exports", were re-exports from non-Chinese metals.
China has been able to increase its own imports due to the depletion of bonded inventories, but it has also had to diversify the supply base in order to offset the U.S. demand for refined copper.
Record Flows
China's exports of refined copper in the period January-July totaled 426,000 tonnes, which is higher than any other calendar year except for last year's 458,000 tonnage.
A short squeeze in the CME contract caused the mid-year spike in exports in 2024. The U.S. premium was increased over the London Metal Exchange price (LME), which was at the time an unprecedented $1100 per ton.
Chinese smelters took advantage of the global price disparity by shipping metals to LME storage warehouses in Taiwan, South Korea and Taiwan.
In February 2024, the LME held only 400 tons of Chinese copper. By August, they had risen to 164,000 tonnes.
In retrospect, it was a practice run for the even bigger tariff disparity of this year.
The CME premium over the LME reached almost $3,000 by July, before falling to less than $1,000 in August. This was when the U.S. Administration confirmed tariffs on products made of copper but delayed a decision about refined copper to next year.
Chinese smelters once again sent metal to the LME where the registered stocks of Chinese Copper jumped from 25,000 to 98,000 tonnes over the month of July.
In addition to the turnaround in Chinese bonded storage, there has been an increase in outright exports of metals to Thailand and Vietnam. The fact that neither country has LME warehouses suggests China is filling the supply-chain gap created by the rush to obtain the right type of copper for U.S. deliveries.
CHILEAN DIVERSION
CME's deliverable brand list is largely restricted to South American and domestic brands, Chilean brands in particular.
U.S. copper imports in the first six months of this year exceeded 500,000 tonnes, compared to 650,000 tons by calendar 2024.
The physical supply chain and LME warehouses were stripped of a large amount of the extra metal.
Since the tariff trade began, China's copper imports have plummeted.
For the first time in 2006, metal imports from Chile fell below 20,000 tonnes in June and July. Year-to-date, the 203,000-ton total is almost half of what it was in 2024.
Chinese buyers are now looking to Russia, the Democratic Republic of Congo and Zambia as compensation for the loss of Chilean Copper.
In the past two years, the Congo has become China's largest supplier of refined copper. This position was cemented in this year by the cumulative imports of nearly 820,000 tons during the period of January to July.
The pace of imports from Russia to China has increased significantly in the past year.
The monthly imports of Russian Copper now regularly exceed those of Chile. Cumulative arrivals from January to July of 269,000 tonnes were up 123% compared to last year.
China's imports from Zambia of metal has also doubled, to 95,000 tonnes as buyers seek alternative non-Chilean materials.
Import Appetites
China's massive exports and reexports hide the country's continuing need for refined copper.
Imports reached 2.2 million tonnes in the first seven month of 2025. This closely matched last year's level.
In fact, China's appetite for imports has grown over the past couple of months as a result of the combination of reduced port stocks and direct sales from smelters to both the LME (London Metal Exchange) and other Asian consumers.
A shortage of copper scrap is also affecting the country, which will increase demand for refined metal. Imports of scrap decreased by 1% between January and July compared to the previous year.
China has included copper scrap as part of its reciprocal tariffs against the U.S., and the U.S. trade has been drastically reduced this year.
China's imports of U.S. scrap from the United States have fallen by 49% in one year. The total of 930 tonnes for July was the lowest monthly figure since over 20 years.
Chinese buyers diversify their purchases by reducing imports of refined copper from Europe. This may only be a temporary solution, as the European Union is currently considering export restrictions for recyclable metal.
After the U.S. tariffs were resisted, the geopolitical disruption of the refined copper market was likely to be nearing its end. However, the disruption in global scrap flows could only have just begun.
These are the opinions of a columnist who writes for.
(source: Reuters)