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SpaceX IPO filing boosts European space stocks
European space stocks rose?on Thursday?after Elon Musk filed for a listing on the stock market. This raised hopes that a historic debut could boost valuations throughout the sector. Eutelsat, the French satellite operator, rose by 20% and reached its highest level in over a year. German satellite manufacturer OHB rose 15%, while Luxembourg-based SES gained 3.7%. SpaceX would become the first U.S. company to list at its reported valuation if the listing is completed. Market debut initial public offerings worth more than $1 trillion. "I do not think that there will be a capital flight. IPOs of large size are generally good for the market. OHB CEO Marco Fuchs said that there is interest and opportunities. SpaceX predicts a substantial increase in the market for space-enabled products and services over the next few years. This is in line with OHB’s assessment: We are at a real space explosion! Analysts said that investors wanted to see a re-rating or higher market valuation for European satellite companies. Stephane Beyazian, an analyst at ODDO BHF, said that SpaceX's IPO is expected to have valuation multiples far above those of SES and Eutelsat. He said that some investors are interested in gaining exposure to this sector and hope for a possible upsizing of European valuations. ING analyst Jan Frederik Slijkerman stated that sentiment towards European?satellite operator? had improved following a weaker 2025 when investors feared low-Earth orbit constellations could disrupt the market and cause overcapacity. This was especially true for geostationary assets. He declined to comment specifically on SpaceX, but said that the narrative has shifted in recent years. SpaceX stated in its filing that it has a total market addressable of $28.5 trillion, which includes $1.6 trillion for Starlink.
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Oil market could reach a'red area' in July and August, IEA chief claims
The International Energy Agency's head said that the combination of the start of summer peak fuel demand, a lack of new Middle East oil exports and dwindling stocks could push oil prices into the "red" zone in July-August. Fatih Birol, speaking at Chatham House London in reference to oil supply problems caused by the Iran War, said: "We could be in the red zone as early as July or August." The Middle East is experiencing the worst oil crisis ever as a result of attacks on energy infrastructure, and the effective closing of the Strait of Hormuz by Iran. THE RED ZONE Birol didn't elaborate on the exact definition of a "red zone". ?But he stated that the combined effect of the IEA coordinated '400 million barrels strategic reserve release and 'commercial stockdraws are not enough to resolve the crisis. Birol stated that the "single most important solution" is to open up the Strait of Hormuz in its entirety and without condition. Birol stated that the 32-member IEA coordinated strategic reserve release is the largest release of its kind in history. It now flows to the market between 2.5 and 3 million barrels a day. Calculations show that if the initial 400 million barrels are released at the same pace, they will reach the market in August. This coincides with Birol's possible red zone. Birol said that the IEA was ready to coordinate any further releases if needed. The recovery of production in the Middle East will be slow Birol stated that it will take time to bring the Middle?East's oil production and refinery capacity back to their pre-war level. The recovery time will vary from one country to another. Birol stated that "my biggest fear is Iraq" as the country's finances were severely damaged by lower oil revenues. Iraq was also forced to close oil fields due to a lack in storage capacity, making it difficult to restart them. He added that countries like Saudi Arabia and the UAE, on the other hand, have access to leading technologies and finance, which could make the recovery easier. Brent oil futures traded at around $108 per barrel on Thursday. This is down from their highs during the war of $126 per barrel, but it's still above the $70 per barrel they were trading before the Iran War began.
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Ebola confirmed in rebel-held Congo far from the outbreak's epicentre
The rebel alliance in the area confirmed a case of Ebola on Thursday. It is located hundreds of kilometres away from the epicenter of the outbreak. The outbreak, which was undetected in Ituri Province, some 300 kilometres north of Bukavu for two months, has now been detected. According to the World Health Organization, 139 deaths have been linked to this outbreak. As of Wednesday, 600 suspected cases had been reported in Ituri province and North Kivu. Two cases were also confirmed in the neighboring country of Uganda. Alliance Fleuve Congo (which includes the Rwandan-backed M23 M23 rebels that seized eastern DRC in the past year) said the 28-year old patient was buried safe after he died. The individual was said to have travelled from Kisangani in the north, but no information on recent movements were provided. Earlier on Thursday, South Kivu's health spokesperson?Claude Bahizire said that two suspected cases were detected in the region. This included the fatal case. He said that the other patient was being held in isolation while he awaited test results. Last week, an Ebola outbreak was confirmed in Goma, capital of the neighbouring North Kivu Province, which is controlled by?M23. KNOWN CASES NOT THE COMPLETE PICTURE Over the weekend, the WHO declared the outbreak of Bundibugyo, the strain of the virus for which there is currently no vaccine available, as a public-health emergency of international concern. Jane Halton is the chairperson of the Coalition for Epidemic Preparedness Innovations. She said that the confirmed cases are likely only the "top of the iceberg". CEPI, a funding agency for vaccine development, evaluates potential candidates to fight Ebola. She said that it might be possible to reach CEPI's goal of having an effective, safe vaccine for major outbreaks in 100 days. However, this would require "a lot of work". The spread of the outbreak in densely-populated urban areas, and the ongoing conflict in eastern DRC have complicated efforts to contain it. The outbreak in 2018-2020 of the Zaire strain was the second deadliest ever recorded, with nearly?2,300 deaths. UGANDA CRITICIZES U.S. TRAVEL BAN First responders are complaining that they don't have the basic supplies. Some have blamed a?cut in foreign aid by?major donor countries, which has weakened local health care and disease surveillance. The UK announced on Thursday that it would allocate up to 27 million pounds (20 million pounds) towards the response. The United States has committed $23 millions to the response. They gave $600 million for 2018-2020. Uganda's Health Ministry said late Wednesday that the United States had not consulted it on plans to set up clinics. It also stressed there was no local transmission. Information Minister Chris 'Baryomunsi said the U.S. "overreacted" when it banned most travelers?from Uganda along with DRC, South Sudan and South Sudan earlier this week. He said, "We have dealt with cases of Ebola in other epidemics over a number years." "There are resources in the country that can contain these epidemics."
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Germany charges two men with plotting to kill Jewish leaders in Iran
German federal prosecutors have announced that they have brought criminal charges against two Danish nationals and one Afghani suspect of helping Iran to plot the murder of prominent Jewish leaders in Germany. According to?German data privacy law, the defendants are accused of committing a 'attempted murder'. The statement claimed that Ali S. worked for the 'intelligence service of Iran’s Revolutionary Guards and had close ties to their special 'unit, the Quds force. The prosecution said that in early 2025, he had been tasked to gather information about the President of Central Council of Jews in Germany Josef Schuster and the Chairman of German-Israeli Society Volker Beck. They also added that he was instructed to spy on Jewish grocers from Berlin. The prosecution said that "all of this was done to facilitate the planning of murders and arson attacks" in Germany. Could not immediately contact the lawyers of the suspects. In July of last year, German and Danish authorities reported that a Danish national was arrested in Denmark on suspicion of snooping for Iran. He was suspected to have collected information about Jewish sites in Berlin and on individuals. (Reporting and editing by Peter Graff.)
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Can Wall Street's boom ease workers' suffering? McGeever
The majority of U.S. householders own stocks and are becoming richer, but the gains are not evenly distributed. U.S. workers’ share of national GDP has fallen to a record low, and there are growing fears about an AI-induced "jobpocalypse". This broad but concentrated ownership of equity is becoming more significant. Can the "wealth" effect - where people feel richer and spend more when asset prices increase - be offset by other economic forces that are more difficult to overcome for a 'Joe on average? Wall Street has never been more important to the financial fortunes and success of Americans. Over 60% of American households either directly or inadvertently own stocks. A record third of the total assets of U.S. household is invested in stocks. Wall Street is still booming, thanks to artificial intelligence. The net U.S. house value as a percent of personal disposable income is at its highest level ever, even if you exclude the pandemic distortions in 2021 and 2022. Why, then, is consumer confidence at an all-time low, according to some closely monitored measures? EXTREME CENTRATION Part of the answer lies in the fact that wealth is not distributed equally. The richest 10% of Americans own 90% of all U.S. equity. Even more is concentrated at the top. The richest 1% owns 50% of the stock market wealth of the entire country. The vast equity hoard of the wealthy is distorting the overall picture, and is helping to perpetuate the "K"-shaped economy where the wealthy are doing well, while the rest is struggling. In fact, workers are lagging behind in several ways. Bureau of Labor Statistics data shows that U.S. worker's share of output is at a record low 54.1%. The Bureau of Labor Statistics figures show that U.S. workers' share of output has dropped to a record-low 54.1%. It's no surprise that American consumers are watching their wallets closely, regardless of what happens on Wall Street. In fact, the earnings reports and outlooks of some of the biggest U.S. retailers indicate a shift is underway in U.S. consumer spending patterns - mainly downwards. Home Depot expects demand to remain volatile as customers scale back on major home improvements. Lowe's, a rival home improvement chain, also indicated a tightening of spending due to sluggish housing markets. TJX, parent company of discount retailer TJ Maxx has raised its outlook, perhaps because cost-conscious customers are flocking from its more expensive competitors to its stores. Walmart has maintained its conservative sales and profit targets as fuel prices continue to rise, driving shoppers to their low-priced essentials and groceries. Has the "wealth" effect become a luxury? WORKERS SHRINK SHARE OF PIE It may have, but it can still keep the economy in general humming. Credit Insights analysts believe that the wealth effect functions as an "economic and political narrative offset" for the current gloomy mood affecting large segments of U.S. consumer. Bank of America also seems optimistic. They argue that equity markets would need to enter a "sustained decline" in order to slow spending by higher-income earners and close the "K" from a 'K-shaped economy' via negative wealth effects. Remember that wealthy Americans are responsible for a large portion of the total U.S. consumer spending. Generali Asset Management's research, however, strikes a cautionary note. It was published even before the Iran War sent energy prices skyrocketing. Generali strategists claim that consumption growth driven by positive wealth effects is likely to be smaller than in the past, and more sensitive to market volatility. The models show that a 8% drop in the stock markets would reduce GDP by 0.4%. "The actual impact is likely to be greater given the current over-abundance of wealth effects." Stock market boom has proven to be a major factor in the falsification of warnings that the U.S. Consumer is on the way out. Wall Street will have a lot of work to do, given the amount of?pressure being put on Americans. You like this column? Open Interest (ROI) is your new essential source of global financial commentary. Follow ROI on LinkedIn and X. Listen to the Morning Bid podcast daily on Apple, Spotify or the app. Subscribe to the Morning Bid podcast and hear journalists discussing the latest news in finance and markets seven days a weeks.
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Indians switch to retail fuel pumps in search of cheaper diesel, causing a shortage
According to a government official, industrial customers are increasingly buying diesel at cheaper retail outlets run by'state-run' companies, rather than from the bulk supply points. This is causing shortages at the pump in some areas. Sujata Singh, joint secretary of the federal oil ministry, stated that diesel sales have increased by 20-30% in some areas. Industrial buyers are paying 40-42 rupees per litre more than retail prices. In New Delhi, the retail price for a litre is 91.58 rupees. Indian Oil Corp., Bharat Petroleum Corp. and Hindustan Petroleum Corp., all state-run companies, are now losing money because they're selling diesel below the market price to retail customers. Sharma said that bulk customers should go to bulk supply points, while retail buyers should visit the petrol pumps. She said that state fuel retailers monitor sales in outlets where there are shortages, and they seek support from local authorities and the police to reduce purchases by bulk purchasers. The preliminary fuel sales data shows that Indian state retailers increased their diesel sales by nearly 11.5% from May 1-15, to approximately 3.8 million metric tonnes. Gasoline sales increased by nearly 19% from 1.8 million tons. She said that the Indian state retailers' sales of diesel are also driven primarily by higher prices charged by private fuel retailers, and an increase in consumption among farmers who use diesel generators to irrigate during harvest season. BPCL said on Thursday that its gasoline sales grew by 16.38% between May 1-20, compared to a year ago. Gasoil sales grew by 16.7% and reached about 1.7 million kilolitres. The company stated that it is focused on maintaining seamless supply across smaller cities and distant markets "where localised demands spiked and precautionary purchasing tendencies were observed in recent weeks". (Reporting and editing by Nidhi verma)
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Copper retreats on the slow progress of U.S. - Iran peace efforts
Copper prices eased on Thursday due to concerns over the'slow progress of the U.S. in negotiating a peace agreement with Iran and a possible 'weaker demand for metals from a prolonged war. The benchmark three-month copper price on the London Metal Exchange fell 1.3%, to $13,480 per metric ton during the official open-outcry trade after rising by 1.8% the previous session. LME copper is up 8% for the year, but it has fallen from its high of $14,196.50 last week. Ewa Mnthey, commodities strategist at ING, said: "For the moment, geopolitics are setting the tone. But without a clear catalyst for demand, copper is struggling to maintain its record-high momentum." The talks to end the conflict have made little progress in six weeks, even though Pakistan has stepped up its diplomatic efforts. Investors try to balance out the effects of possible supply shortages due to mine disruptions, and a lack of sulphuric acids against the threat of demand erosion due to increased inflation and weaker growth. Standard Chartered analyst Sudakshina Unnikrishnan said: "The market for base metals is still wary about the demand loss that could result from high energy prices, and its implications on global growth and 'inflation. LME aluminium increased 0.7% to $3,648 per ton. This was aided by investors who were bullish and bet on more disruptions in Gulf. About 8%-9% of global output is produced in the?region. LME nickel fell 1% to $18,740 per ton, as investors digested details of a?Indonesian?policy to place the exports of certain nickel products under?state?control. Zinc fell 0.6%, to $3,533.50 per ton. Lead edged up 0.5% to $1,990, and tin declined 2%, to $52,950.
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India's electricity demand reaches a record of 270 GW despite outages due to scorching heat
India's peak power demand reached a "record" high of 270.73 Gigawatts Thursday. Some regions in the nation experienced power outages as a scorching heat wave increased demand for cooling. New Delhi has already exceeded its expectations of 270GW in peak power demand. And there is still more than a whole month of summer left. El Nino, a weather pattern that is causing power demand to increase, has caused a heat wave in large swathes on the subcontinent. India's peak power demand has been at a record high for four consecutive days this week, due to the intense heatwaves. The data from the federal power ministry shows that Thursday's total surpassed a previous record of 265.44GW. The Indian weather bureau has predicted that many Indian states will experience heat waves above average in May. Ankit Jain is vice president at ICRA Limited and co-group leader of corporate ratings. He said that the peak demand could increase if "heatwaves continue to be severe in major parts of India." Jain said that the overall energy deficit in India was 0.2%, and the peak deficit reached?0.1% during April. This could have caused power cuts. Grid-India data shows that localised power outages have been reported in certain regions during the night. This indicates a growing'stress' in the system, even though the overall supply is adequate during the day. India's non-fossil energy capacity is about 228 GW, but it still relies on coal for more than 70% of its?power production. Jain explained that the intermittent nature of renewable energy sources could lead to power shortages in some areas due to an unexpected spike in demand. (Reporting and editing by Sethuraman NR)
Ukraine repairs massive Trypilska Power Plant before Centrenergo Sale
The head of the State 'Fund' said on Thursday that Ukraine plans to repair the large thermal power plant owned by the state near Kyiv, after Russian airstrikes, and prepare the?parent company Centrenergo for privatisation in the next year.
Since Russia's full-scale invasion in Ukraine 2022, it has repeatedly attacked Ukraine's power system with drone and missile strikes, striking both power plants that deliver electricity to customers and substations.
Officials in Ukraine have confirmed that up to 80% thermal generation capacity has been lost.
Dmytro Natalukha is the chairman of the State Property Fund which manages the state assets of Ukraine. He said that the State Property Fund intends to proceed in the privatisation of Centrenergo but first the Trypilska Plant would have to be restored.
He said that three parallel processes are underway and should be completed by 2027. These include preparing the facility for the next heating seasons, restoring it, and drafting the documents for future tenders.
Natalukha said, "We are dealing with a number of issues at once and none is easy."
The main obstacle to implementing this ambitious project is the war. Russia intensifies its attacks on energy infrastructure in winter and often destroys what was repaired in the summer.
PRIVATISATION
Mykhailo Honchar, an independent energy analyst, said that the war context would make it unlikely for any privatisation to be successful.
He said that "no one would invest in building or restoring new capacity if they knew it could be destroyed any minute."
Trypilska, a power plant that supplies electricity to Kyiv, the region and beyond, was severely damaged by Russian air strikes during spring 2024. Since then, it has been virtually shut down. The plant has a capacity of 1.8 Gigawatts - roughly two nuclear reactors - and Natalukha says it's a?high risk?target.
The roof of this vast facility has been removed, and inside, dozens of workers are trying to restore the blackened boilers, turbines and pipelines.
Centrenergo owns three power plants, including Trypilska. The other two are located in eastern Ukraine, at?Vuhlehirska & Zmiivska. Vuhlehirska, which was taken over early in the conflict, was severely damaged by attacks in 2024. Natalukha stated that "I believe next year, we will try and reach an understanding (on the timeline for privatisation) - it will depend on how well we manage to get through the winter."
He said he couldn't estimate the cost to restore the plant, or provide a timeline for its resumption of operations. And he didn't give any further details about the privatisation process.
He said that major European and U.S. companies in the energy sector could be interested to buy Centrenergo.
(source: Reuters)