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Police say that 12 forest guards were killed by bandits in the north-central Nigeria.
Police said that at least 12 forest guards were killed in the attack on Oke-Ode, a town located in Kwara State, North-Central Nigeria. The attack highlights the worsening security situation in central and northwest Nigeria where armed groups known as bandits are responsible for mass killings, abductions and raids in rural communities. Adetoun Ejire Adeyemi, the Kwara Police spokesperson, said that gunmen stormed an office of a local government at around 0600 GMT Sunday and fired at random. Police reported that four people were injured in the attack. They are being treated in hospitals. The traditional chief of the area was among those killed. AbdulRahman AbdulRazaq, the governor of Kwara State, condemned the attack and demanded an increase in military presence. The governor's office announced that the Nigerian Army Headquarters had sent troops to Kwara in response to the Governor's request to supervise operations. The police said that forest security and troops were searching for the attackers in a joint effort. Ejire Adeyemi stated that "those responsible will be brought before the justice system".
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Malaysian steel industry roadmap targets "fully green" sectors by 2050?
Tengku Aziz, Malaysia's trade minister, said that the country is reorganizing its steel industry to reduce overcapacity and decarbonisation, with a view to achieving a "fully-green" sector by 2050. The 10-year plan includes clear licensing guidelines for steel manufacturers, the implementation of a carbon pricing framework and increased transparency, as well as expanding access to financing for the transition towards greener and higher-valued production. Tengku Zafrul stated that steel is one of Malaysia's carbon-intensive industries. This exposes it to regulatory barriers on the market and makes decarbonisation necessary. In addition, the industry faced a severe imbalance in domestic supply and demand. Projections showed that upstream capacity would reach 40.8 millions tonnes by 2030 while demand was only estimated at 14.7 million tons. He said: "This gap highlights excess capacity - assets that are not being used, low returns on investments and market conditions that weaken competitiveness and resilience." Tengku Zafrul proposed also that the regional ASEAN block establish a database of capacity and usage that could assist in addressing steel overcapacity and dumping. He said that Southeast Asian countries must also explore the possibility of setting up hubs to produce green steel and a common pathway for decarbonisation. ? (Reporting and editing by David Stanway, John Mair, and Rozanna Latiff)
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Italy rules Sinochem, the Chinese investor of Pirelli, did not violate 'golden powers' rules
The tyre maker said that the Italian government determined Sinochem, which is the largest shareholder of Pirelli, had not violated "golden powers" measures in 2023. The historic Italian company is now a Chinese-owned business. Recent months have seen a sensitive issue. Camfin, the second largest shareholder of Pirelli, claimed that this would threaten its plans to expand into the United States. Washington tightens restrictions on Chinese automotive technology, banning software and hardware produced by Chinese-controlled firms in vehicles connected to U.S. roads. A statement from the Italian government said that it had concluded that actions taken by directors who were not independent and appointed by Sinochem (which holds a 37% share in Pirelli) did not compromise management autonomy. Italian authorities began an investigation in November last year to determine whether Sinochem's presence on the board of directors violated the rules intended to protect Pirelli's independence from its Chinese investor. Marco Tronchetti Provera, the boss of Camfin, has recently called for further restrictions.
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Malaysian palm oil stock will drop as production slows, and exports increase
The industry regulator expects Malaysia's palm oils to decrease in the next few months. They will end the year with around 1.7m metric tons. This is due to a seasonal slowdown of production, which coincides in part with an increase in exports in order to meet the festive season demand. Expected drops in palm oil inventories could help support benchmark futures. These have been under pressure lately due to cheaper soyoil supplies. Ahmad Parveez Ghulam Kadir said that the Malaysian Palm Oil Board's (MPOB) director general, Ahmad Parveez Ghulam Kadir stated on Monday, "We expect exports to increase in the next months due to festive season demand." Malaysian palm oil production usually drops off at the end of the year after a good September quarter. The MPOB reported that palm oil stocks in Malaysia increased by 4.18% month-on-month to 2.2 millions tons in August, which is the highest level since December 2023. In recent weeks, palm oil prices were under pressure due to a steep drop in the price of soy oil. India, the world's largest palm oil consumer, increased its soy oil purchase for the next few months. Kadir stated that despite this, the palm oil price is likely to remain stable in the months to come due to uncertainty over Indonesian supply. He said that the proposed implementation of a B50 biodiesel program and government seizure of oil palm plantations could affect exports from Indonesia. Indonesia currently mandates that biodiesel contain a minimum of 40% palm oil and plans to increase this to 50% as early as next year. Agrinas Palma Nusantara, a state-owned firm, received 674,178 acres (1.7 million acres), or palm oil plantations, from Indonesia earlier this month. This brings the total land area given to Agrinas Palma Nusantara to 1.5 million hectares. He said that oil palm replanting is slow in Malaysia. To speed it up, the MPOB has asked the government to increase the allocation from 100 million to 280 millions ringgit by 2026. (Reporting and editing by Subhranshu sahu; Rajendra Jadhav)
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MORNING BID EUROPE - Who needs a government?
Wayne Cole gives us a look at what the future holds for European and global markets. Treasury yields, the dollar and most Asian stocks are all slightly higher as investors await to see if the last-minute talks will stop the U.S. Government from shutting down on Wednesday. Both sides are aiming for political gain by allowing the government to close. Analysts from BofA estimate that a shutdown would cost 0.1% per week of the GDP, but this would be recovered when it reopened. Investors may have assumed that public pressure would eventually force a deal. A prolonged shutdown would leave the Federal Reserve in the dark when they meet on October 29, and it could also delay the release of the September payroll report, which is due this Friday. The markets have priced in an 89% probability of a Fed cut, assuming that the shutdown would not prevent them from doing so. Trump is also expected to implement his new tariffs, which will affect big trucks, patented medicines, and other products. However, there are still many questions about the exact scope of these tariffs, or if existing country agreements will take precedence. Reports indicate that the Trump administration may consider imposing tariffs on electronic devices imported from abroad based on their number of chips, but how this would actually work is still a mystery. Trade partners are probably wondering why they should do deals with Trump, when he is able to impose new taxes on anything at any time. Trump is having a busy time. He will reportedly attend the top U.S. military brass meeting on Tuesday, which was called last week by Defense Secretary Hegseth. In an interview with CNN, Trump said, "I want them to know that we love and respect them. They're leaders who are cherished. Be strong, be tough, be smart, and be compassionate." The meeting was not made clearer. The social media is ablaze with theories. They range from Hegseth urging the generals to adopt a "warrior culture" to his asking military leaders to swear a personal oath before Trump. Even rumors have circulated that the White House is pulling the U.S. Military from Europe and Asia in order to focus on the Americas. Investors are hoping that nothing dramatic happens this week, as it could cloud the fourth-quarter outlook for stocks. Nasdaq has, on average, returned gains greater than 6% during the December quarter. The world stock market is up 17% this year and worth $15 trillion. Gold and Chinese technology are the two biggest winners. Both have gained almost 40%. Market developments on Monday that may have a significant impact - EU consumer surveys and business surveys. Various EU countries report CPI data for September ECB speakers include Madis Müller, Martins Kazaks, Piero Cilpollone, Isabel Schnabel, and Philip Lane. Speakers include Christopher Waller (Fed), Beth Hammack (Fed), John Williams, Alberto Musalem, and Raphael Bostic
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Iron ore prices fall on the back of weak steel demand and rising China port stocks
Iron ore prices fell on Monday due to a sluggish demand for steel and a buildup of inventories in Chinese ports. As of 0241 GMT, the most-traded contract for January iron ore on China's Dalian Commodity Exchange was 1.5% lower at 784.5 Yuan ($110.18). The benchmark iron ore for September on the Singapore Exchange fell 0.07% to $105.25 per ton. Analysts from ANZ noted that iron ore futures dropped sharply during the week of October 1-8 due to a slowdown in steel mills restocking. Hexun Futures, a Chinese broker, said that a combination of high steel supplies and weak demand was impacting the market. SteelHome data show that the total iron ore stocks at Chinese ports increased by 0.29% in a week to 132.5 million tonnes. Everbright Futures said that the current high levels of molten-iron production combined with the strong port arrivals suggest that port stocks are likely to increase further. Brokers said that if steel demand declines, the narrowing margins of steel companies may lead to voluntary production cuts. This could result in a buildup of iron ore stocks. According to Mysteel, blast furnace operation at integrated steel mills has remained robust in recent years. Mysteel's data shows that the average furnace capacity utilization rate increased for the third consecutive week in the week of September 19-25, a rise of 0.51 percent points from the previous weeks. The DCE also saw a drop in other steelmaking ingredients, including coking coal, which fell by 4.03%, and coke, which dropped by 3.75%. All steel benchmarks at the Shanghai Futures Exchange have lost ground. Rebar dropped 0.92%, while hot-rolled coil fell 0.81%. Wire rod also declined 0.53%, and stainless steel was down 0.39%. ($1 = 7.1201 Chinese yuan) (Reporting by Lucas Liew; Editing by Subhranshu Sahu)
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Gold reaches record highs as rate-cuts and a soft dollar boost appeal
Gold prices reached a record high on Monday. This was largely due to a weaker US dollar and the growing expectation that interest rates will be cut by the Federal Reserve later in this year. As of 0251 GMT the spot gold price was up 0.8% to $3,789.39 an ounce, after reaching a session high of $3798.32. U.S. Gold Futures for December Delivery rose by 0.3% to $3.818.30. The U.S. Dollar Index eased by 0.2% against its competitors, lowering the price of greenback bullion for overseas buyers. Commerce Department reported on Friday that the Personal Consumption Expenditures (PCE) Price Index rose by 0.3% in August compared to the 0.2% increase in July. This is in line with the estimates of economists polled. Capital.com analyst Kyle Rodda said, "The benign inflation print in the United States gives the markets reason for believing that further Fed reductions are coming in December and October." "Sentiment has been very bullish, and we're on track to test another record high in this week." Gold is currently positioned very long and this may be a reason for caution about future gains. According to CME FedWatch Tool, traders are pricing in a 90% probability of a Fed reduction in October and a 65% chance of another one in December. In times of geopolitical or economic uncertainty, safe-haven gold bullion flourishes. Investors in Asia were cautious on Monday, as they prepared for the possibility of a shutdown of the U.S. federal government. Investors are now awaiting U.S. data about job openings and private payrolls as well as the ISM Manufacturing PMI, Friday's nonfarm payrolls report, for more clues about the economy's state. SPDR Gold Trust (the world's biggest gold-backed exchange traded fund) said that its holdings increased by 0.89% on Friday to 1,005.72 tons from 996.85 on Thursday. Other metals rose in price as well. Spot silver rose by 1%, to $46.47 an ounce. Platinum climbed 2.6%, to $1.608.90, and palladium grew 1.4%, to $1.287.19.
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Sony Financial shares soar 40% on their debut market
Sony Financial shares jumped up to 40% on their Tokyo debut after being spun off from the entertainment and technology conglomerate Sony. Sony, which focuses on entertainment, distributed shares of its finance division, including banking and insurance, through dividends-in-kind to shareholders. This is the first partial spinoff in Japan to take advantage of the 2023 tax changes and the first direct listing for more than two decades. After trading for the first hour and thirteen minutes in Tokyo at 10:13 am, the shares reached 210 yen before trading at 201.6 at 10:30 am. The reference price is 150 yen. Direct listing is a stock market listing without the traditional initial public offer. Sony Financial announced that it would buy back shares worth up to 100 billion Japanese yen (671.1 million dollars). Sony wants to expand into movies, music and games and continue to be the leader in image sensors.
Iron ore prices fall on the back of weak steel demand and rising China port stocks
Iron ore prices fell on Monday due to a sluggish demand for steel and a buildup of inventories in Chinese ports.
The January contract for iron ore on China's Dalian Commodity Exchange ended the daytime trading 1.57% lower, at 784 Yuan ($1010.11) per metric ton.
As of 0705 GMT, the benchmark September iron ore traded on Singapore Exchange was down by 0.02% to $105.3 per ton.
Analysts from ANZ noted that iron ore futures dropped sharply during the week of October 1-8 due to a slowdown in steel mill restocking.
Hexun Futures, a Chinese broker, said that a combination of high steel supplies and weak demand was impacting the market.
SteelHome data show that total iron ore stocks at Chinese ports increased by 0.29% in a week to 132.5 million tonnes.
Everbright Futures said that the current high levels of molten-iron production combined with strong arrivals at ports suggest that port inventories will likely rise further.
Brokers said that if steel demand declines, the narrowing margins of steel companies may lead to voluntary production cuts. This could result in a buildup of iron ore stocks.
According to Mysteel, blast furnace operation at integrated steel mills has remained robust in recent years.
Mysteel's data shows that the average furnace capacity utilization rate increased for the third consecutive week in the week of September 19-25, a rise of 0.51 percent points from the week before.
Coking coal and coke, which are used to make steel, also fell, by 4.98% and 4.16 percent, respectively.
All steel benchmarks at the Shanghai Futures Exchange have lost ground. Rebar dropped 1.34%, while hot-rolled coil fell 1.23%. Wire rod also declined 1.21%, and stainless steel was down 0.7%. ($1 = 7.1201 Chinese yuan) (Reporting by Lucas Liew; Editing by Subhranshu Sahu)
(source: Reuters)