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Ruto: Kenya and US are close to a critical mineral deal
Kenya is nearing a deal to process its own minerals in the U.S., said its president on the'sidelines of the G7 Summit on Thursday. He called for a wider reset between Africa and the 'West. In recent years, countries across Africa have been pushing to process more minerals produced domestically. This is a move towards keeping more value in Africa. William Ruto, who represented one of the several partner countries at the summit held on the shores Lake Geneva, told an interviewer that the agreement covering rare earths, other strategic minerals and the like was already being worked on and could be completed soon. He said that he and G7 leaders including Donald Trump, the U.S. president, had agreed to process the minerals in Kenya. "We have agreed with them what is mutually beneficial for Kenya and the United States, and President Trump as well as the American administration are pleased with that." WESTERN STATES competing with CHINA The agreement reflects an effort by African nations to shift away from the decades-old model of exporting raw materials. This is because competition between Western nations, and China for access to resources required for energy transitions and advanced technologies has intensified. Ruto stated that "it's the exact same thing they do in DRC" (Democratic Republic?Congo), to ensure that any agreements or deals crafted are ones that will benefit the country. These natural resources cannot be processed and exported elsewhere. These resources must be processed within the country and continent. "We have to create value from them," said he. Kenya also has untapped deposits of lithium, graphite and copper, in addition to rare earths. INVESTMENT IS BETTER THAN AID The G7 leaders decided on Wednesday to increase coordination in order to reduce their countries' dependence on China for essential minerals. This includes plans to align stocks and launch a platform with a larger role for the International Energy Agency. Ruto agreed with Trump, saying that partnerships should be built around investment and not aid. He added that the continent did not want relationships based on dependency or resource extraction. Ruto stated that "we will reject any relationship based on the extraction of our natural resource," calling for a shift towards job creation, industrial growth and shared returns. Ruto stated that Kenya and other African countries would not choose between Washington or Beijing but rather pursue multiple partnerships aligned to their own economic priorities. "There are many opportunities for everyone," he said. He added that Africa recently concluded trade agreements with China, and that he hoped there would be a deeper engagement now with the United States of America and Europe. BARRIERS BLOCKING CAPITAL Ruto told reporters that he has told G7 leaders to support the changes in global financial system. He argued that Africa's biggest constraint is not a shortage of capital but rather barriers to accessing this capital. "We do not lack capital... we just need a framework for mobilising it", he said. He pointed to the trillions of dollars in African pension funds and insurance assets, as well as reserves. He urged G7 countries to provide guarantees and risk sharing mechanisms that would help unlock capital and reduce borrowing costs. He said that the G7 leaders have signaled their support for developing and strengthening African financial institutions, such as African Trade & Investment Development Insurance. Ruto stated that "Africa isn't a problem which needs to be resolved." "It's an opportunity for global progress." (Reporting and editing by Jan Harvey; John Irish)
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Trump claims that 'nobody attacked Iran girls school on purpose'
U.S. president Donald?Trump stated on Wednesday that a?girls' school in Iran was not attacked deliberately in February. He cited?an investigation of the incident. First reported that an initial internal U.S. Military investigation indicated U.S. Forces were most likely responsible for the deadly strike in Minab, southern Iran. Since then, the Pentagon has elevated its investigation but hasn't acknowledged any preliminary results. According to Iranian officials, the strike on February 28th, the first day in the conflict, resulted in the deaths of more than?175 teachers and children. Trump said, "That is under investigation" at a press event held on the sidelines of a Group of Seven meeting in Evian-les-Bains in France. He added, "Mistakes are made in war." "Nobody did it on purpose." Trump claimed at first, "without any evidence," that Iran was to blame. Since then, he has said that he doesn't know enough about the attack, that an inquiry is underway and that he accepts the results. The head of U.S. Central Command stated last month that the investigation into the attack on the girls' school was "complex", given that the school?was situated on an active Iranian missile base, but he said the probe is nearing its conclusion. The school's website shows that the school is located 'next to' a compound run by the 'Islamic Revolutionary Guard Corps', the military force which reports directly to Iran's Supreme Leader. Citing sources familiar with the issue, it was reported that U.S. officials who were responsible for creating targeting packages used outdated intelligence.
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Nippon Steel's US Steel earnings are boosted by a strong American steel market
Nippon Steel is the world's third largest steelmaker. Vice Chairman Takahiro Mori, the vice chairman of U.S. Steel, said that he expects the American steel market to be buoyant. This is supported by import tariffs and resilient consumer demand. "We're confident that the U.S. "We are confident that?U.S. He predicted that U.S. Steel will generate a profit of between 300 billion and 400 billion yen per year in the long term. Mori described U.S. market conditions as favourable. Hot-rolled steel sheets are priced at more than $1,200 per ton. This is double what they cost in Asia. U.S. steel reopened an Illinois blast furnace that had been idle in March to take advantage of the favorable pricing environment. It is now operating it at full capacity. His comments follow a year after Nippon Steel completed the $14.9 billion purchase of U.S. Steel, following an 18-month battle in Washington over political and regulatory issues. Mori stated that about 100 Nippon Steel employees seconded to Japan are working on operational improvement initiatives. These initiatives help boost yields and create synergies. Mori said that U.S. Steel has approved about one-third the $11 billion Nippon Steel investment package through 2028. Returns are expected to grow to $3 billion per year by 2035. Mori acknowledged the risks of inflation-driven costs pressures and labour shortages, as projects compete to attract workers. But he said that?U.S. The government has not interfered with management decisions since the deal closed, even though it holds a golden stake. Mori stated that Nippon Steel will continue to pursue overseas growth, "focusing on the U.S.A., India Thailand and Europe." Mori stated that the company aims to increase its overseas profit to 500 billion yen (nearly five times fiscal 2025 level) by 2030. Mori, the person who led negotiations for U.S. Steel's acquisition, stated that global structural changes had made it more important for overseas companies to establish relationships with government officials, and align their investments and operations with industrial policies.
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Aramco is lining up asset sales to raise tens and tens billions, according to sources.
Sources say that Aramco invited banks to bid for Project Yellowstone last month. Sources estimate that the sulphur stake sale could generate up to $7 billion. Sources claim that Aramco also considers the sale of oil terminals and real estate, as well as power plants. By Hadeel Al Sayegh, Federico Maccioni and ?Yousef Saba DUBAI, 17 June - Saudi Aramco is considering selling a stake in the sulphur business, according to three sources familiar with the matter. This would be part of its strategy of tapping into its infrastructure assets for tens and tens billions of dollars. Aramco is the crown jewel of world's biggest crude exporter. It has been looking for outside capital in order to fund the kingdoms ambitious diversification program amid mounting financial pressure. Exclusively reported last year, the oil giant was actively looking to sell assets, improve efficiencies and reduce costs. According to sources and calculations, the total value of assets that it could tap into for fundraising purposes would be around $50 billion. Sources say that Aramco invited banks last month to pitch for the sulphur project, internally known as Project Yellowstone. One source added that the deal could raise $7 billion. Aramco,?the world's largest energy company, declined to make a comment. Sulphur is produced when raw gas is stripped off hydrogen sulphide in order to export it. Aramco's trading arm sells sulphur, and describes itself as one of the biggest exporters in the Gulf and Red Sea regions on its website. Three people confirmed that the assets for possible?sale are sulphur export and storage terminals. The three people said that Aramco was still reviewing the assets to be included in a sale and a deal wouldn't be announced before next year. Other Assets for Sale Aramco, which is owned by the Saudi government, the sovereign wealth fund, and other related entities to the company, is the largest source of revenue for the Kingdom through dividends and royalty payments. The $100 billion Jafurah project is the company's main goal to become a global player in natural gas. It signed a $11 billion lease-and-leaseback agreement with Global Infrastructure Partners, a consortium headed by BlackRock. Two sources say Aramco has also considered a deal that involves its oil export terminals. One source estimates the value of these assets to be up to $25 billion. Aramco is awaiting a easing of regional tensions before launching this process. This will likely happen in the second half. Aramco’s real estate portfolio, including its campus headquarters, is also being considered, according to one of three sources. A fourth source indicated that the property was valued at around $10 billion. Two people have said that it could raise $500 million by selling water infrastructure assets linked to its crude oil operations (code name Project Hydro). One of the sources and one of the people said that the UAE-based Metito Utilities and Miahona, a water and wastewater infrastructure company, are interested. Metito refused to comment on Aramco's assets, but stated that it evaluates "opportunities" across all of its markets. Miahona didn't immediately respond to an inquiry for comment. Four sources requested anonymity as the discussions are private. Aramco had been reported to be working on selling gas-fired plants worth at least four billion dollars.
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Oil and stocks are higher following recent losses.
The U.S. Dollar and major stock indexes gained on 'Wednesday, ahead of Kevin Warsh making his debut as Federal Reserve Chair. Oil prices also rose after doubts arose over the U.S. Iran peace deal. At the first Fed meeting, which will be chaired Warsh, the Fed is expected hold the interest rate steady. A new policy statement as well as economic projections are likely to reflect the growing concern over the inflation caused by the Iran War even after the recent peace agreement. In March, most committee members projected that they would cut rates. Adam Sarhan of 50 Park Investments, New York said: "This is Warsh’s first time in the Fed chair. There's a great deal of anticipation not only on what he'll do today... but also his communication." Donald Trump, the U.S. president, said that his new ceasefire with Iran was not final. He could resume war if unsatisfied. Israel has launched new airstrikes on Lebanon. Prices of oil rose this week after dropping earlier in the week. Prices had started to lower fears of an economic slowdown, especially in Europe which imports energy. According to the?International Energy Agency, the oil market will move into a significant surplus in 2027 once it recovers from the Strait of Hormuz closure. U.S. crude climbed 0.85% to $76.70 per barrel. Brent rose to $79,51 per barrel. This is a 0.7% increase on the day. The Dow Jones Industrial Average rose by 202.89, or 0.39 percent, to 52.202.56. The S&P 500 gained 6.80 points or 0.09% to 7,518.15 while the Nasdaq Composite grew by 17.05 points or 0.07% to 26,393.40. The MSCI index of stocks around the world rose by 2.81 points or 0.25 percent to 1,131.11. The pan-European STOXX 600 rose by 0.52%. BMW shares fell after the German carmaker slashed their 2026 outlook. They cited a 'downturn in China' and the U.S./Israeli war against Iran. SpaceX shares are down for the first time since the stock debuted on the market last Friday. Last week, the stock fell 2.3%. DOLLAR HOLDS FIRMS The dollar rose in anticipation of the comments Warsh would make. The dollar index (which measures the greenback versus a basket including the yen, the euro and other currencies) rose by 0.14%, to 99.69. Meanwhile, the euro fell 0.14%, to $1.1591. The dollar fell 0.16% against the Japanese yen to 160.19. The yield on the benchmark 10-year U.S.?notes increased 0.75 basis points to 4.436% from?4.428% at late Tuesday. The euro zone government bond market rallied for a fifth consecutive day on the back of lowered inflation expectations. This is their biggest rally since February. German 10-year yields, which are used as a benchmark in the Eurozone, fell to their lowest level since early April. (Reporting from Caroline Valetkevitch and Danilo Maasi in New York; additional reporting by Tom Westbrook, Editing by Thomas Derpinghaus and Kirsty Donovan; Nia Williams and Thomas Derpinghaus)
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Aramco is lining up asset sales to raise tens and tens billions, according to sources.
Sources say that Aramco invited banks to bid for Project Yellowstone last month. One source said that the sale of sulphur stakes could generate up to $7 billion. Sources said that Aramco also considers the sale of oil terminals and real estate, as well as power plants. By Hadeel Al Sayegh, Federico Maccioni and Yousef Saba DUBAI, 17 June - Saudi Aramco 'is evaluating the sale of its sulphur division, according to three sources familiar with the matter. This is part of a strategy that aims to tap into the infrastructure assets of the company in order for it raise tens and tens billions of dollars. Aramco is the crown jewel of world's biggest crude exporter. It has been looking for outside capital in order to fund the kingdoms ambitious diversification program amid mounting financial pressure. Exclusively reported last year, the oil giant was actively looking to sell assets, improve efficiencies and reduce costs. According to sources and calculations, the total value of assets that it could tap into for fundraising could be around $50 billion. Sources say Aramco invited banks last month to bid for the sulphur project, also known as Project Yellowstone. One source added that the deal could raise $7 billion. Aramco is the largest energy company in the world. It did not respond immediately to a comment request. Sulphur is produced when raw gas is stripped from hydrogen sulphide in order to export it. Aramco's trading arm sells sulphur, and describes itself on its website as being one of the biggest exporters in the Gulf and Red Sea regions. Three people have said that the assets for sale are centered around terminals and storage facilities for sulphur. Aramco, according to one source, is still deciding which assets will be included in the deal and it won't be announced before next year. Other Assets for Sale Aramco, which is owned by the Saudi government, the sovereign wealth fund, and other related entities to the company, is the largest source of revenue for the Kingdom through dividends and royalty payments. The company's goal is to be a global leader in natural gas, and the $100 billion Jafurah project is the center of its ambitions. The company signed an $11 billion agreement with Global Infrastructure Partners, a consortium headed by BlackRock, to lease the Jafurah Gas Processing Facilities. Two sources say Aramco has also considered a deal that involves its oil export terminals. One source estimates the value of these assets to be up to $25 billion. Aramco is waiting for "regional tensions" to ease before launching this process, which will likely happen in the second half year. Aramco’s real estate portfolio, including its campus headquarters, is also being considered, according to one of three sources. A fourth source indicated that the property was valued at around $10 billion. Two people have said that it could raise $500 million by selling water infrastructure assets linked to crude oil operations. One source and another person said that the UAE-based Metito Utilities and Miahona, a water and wastewater infrastructure company, are interested. Metito refused to comment on Aramco's assets, but stated that it evaluates "opportunities" across all of its markets. Miahona didn't immediately respond to an inquiry for comment. Four sources requested anonymity as the discussions are private. Aramco had been reported to be working on selling gas-fired plants worth at least four billion dollars.
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Trump defends the Iran Deal saying he didn't want an economic catastrophe
Donald Trump, the U.S. president, made his comments at the end of a G7 summit in France on Wednesday. He said he didn't want an economic disaster that could have resulted from a prolonged war in the Middle East. "The one thing I did not want to see was an economic catastrophe. Trump said to reporters at the resort on Evian-les-Bains' lake that if you had kept going with this, "that could have happened." The?U.S. The?U.S. The conflict, which began on February 28, with U.S.-Israeli strikes against Iran, and has since spiraled out of control, has caused energy prices to rise sharply. It also has increased inflationary pressures, and raised concerns about food shortages in developing countries. Economists claim that the peace agreement is good news for the global economy. However, they warn of the risks involved if it fails and the conflict intensifies. The economists say that restoring trade?flows will take at least months, and possibly longer. Fuel sector analysts and maritime experts also believe it could take up to a year to restore bunker fuel supplies. (Reporting and editing by Michelle Nichols; Additional reporting from Daphne Psaledakis in Washington, and Andrea Shalal).
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Trump and Modi discuss the safety of Indian sailors, trade and commerce in Gulf region
Donald Trump, the U.S. President, said that he and Indian Prime Minister Narendra Modi had a "very positive" discussion during the G7 Summit in France. He also stated that both countries are working to reach a trade agreement. Trump described Modi as a "tough negotiator" and told reporters he would visit India "sometime soon". India has been pressing for months that Trump visit the United States, perhaps as part of an event with Japan and Australia. This is the first time the two leaders have met since February 2025 when Modi visited Washington just weeks after Trump returned to the White House and both sides agreed to settle their differences on trade and tariffs. The relationship has deteriorated since then, as Washington imposed high tariffs on Indian products, punished New Delhi for buying Russian oil and engaged closely with India's arch rival?Pakistan. U.S. State Secretary Marco Rubio, who visited India in November to try and repair relations, has now strained the relationship again after the U.S. Navy killed three Indian sailors during an attack on commercial ships in the Gulf. Modi said to Trump in front of reporters that the safety of Indian sailors working in the Strait of Hormuz was of "utmost concern" for New Delhi. MODI WANT IRAN DEAL TO INCLUE SAFETY OF SAILORS. "You are aware of the fact that hundreds of thousands of Indians are employed around the globe, performing their duties on international maritime trade routes -- including the Strait of Hormuz. Their safety is of the utmost concern to us," Modi stated. Modi, in reference to the U.S. peace agreement with Iran, said: "You made tremendous efforts to achieve this understanding. I am confident that seafarers' safety will be given the highest priority when this agreement is implemented." When asked by reporters whether he shared the condolences of the Indian sailors' deaths, Trump replied: "It is a tough profession, no doubt?about it. And we work together to solve it. We love all those people. They're great people." Trump said that the United States will also defend India. When asked about the U.S. and Indian defense relationship, Trump replied, "We would help them if they were attacked." Trump said, referring to Modi, "If anyone attacks that man, we will be there." "Now, if a new leader is in place, I am not certain about it."
US hybrid car sales are on the rise, as is gas prices
According to new industry data and dealers, many American car buyers are turning to hybrid vehicles in order to offset the recent spike in gas prices due to the Iran War.
Motor Intelligence, a research firm, says that hybrid sales in the U.S. have risen 37% over the past two months. This was a faster growth than the general car market's 15% increase in sales during that time period. According to the American Automobile Association, fully electric cars did not attract the same level consumer interest even though U.S. gas prices reached $4 in late April and hit a four-year peak. Motor Intelligence data shows that U.S. EV sales have risen just 11% over the past two months, below the broader pace of sales. EV sales are still far below what they were one year ago. This is due to the fact that a $7500 federal tax credit expired last fall.
The relative apathy of Americans towards EVs is a stark contrast to the trend in Europe where sales of electric vehicles are booming despite higher fuel prices. In Europe, there are more affordable EVs for sale because the tailpipe emissions rules are stricter than in the U.S.
In the United Kingdom EV sales jumped by 79% in the two months following the Iran conflict, a much greater increase than on the broader market. Germany's fully electric car sales also outpaced industry growth, increasing 39% during that time period.
HYBRIDS ARE EASIER FOR SOME SHOPPERS TO HOLD
Analysts and dealers have pointed out several reasons for why hybrids, which are vehicles that use a battery and an electric motor in conjunction with a gas engine to save fuel, have become the preferred choice of U.S. consumers looking for a "green" car.
Hybrids tend to be less expensive than EVs and offer more options. Owners don't have to change their routines to adapt to a new technology, such as plugging a car in at night.
Kevin Roberts said that hybrids were popular even before the gas prices began to rise. He is director of economics and market intelligence for online marketplace CarGurus. "Higher gasoline prices only kind of increased this interest."
Data from digital shopping shows that consumers are increasingly interested in hybrids and electric vehicles. In April, CarGurus saw a 14% increase in hybrid searches, compared to 12% the month before. Searches for electric vehicles (EVs) increased from 3.4% to 5% in April.
Brad Sowers is a car dealer in St. Louis who sells Kias, Stellantis, and General Motors. Hybrids made up 35% of sales at Brad Sowers'?Kia dealer in April. This is an increase from 30% in March.
Toyota Motors has benefitted from the increasing popularity of hybrids. The Prius, which was introduced in the late 90s, pioneered this technology. Toyota Motor has been focusing on hybrids for two of its best-selling models, the RAV4 and Camry.
Toyota's U.S. electrified vehicle sales have grown 34% in the 'two months following the Middle East conflict. This is mainly due to the 'growing hybrid business and a small number of fully electric vehicles. Toyota's U.S. overall sales increased by 23% during that time period.
TRUCKS STILL ROLL OUT EVEN WITH HIGH GAS PRICES
Some car buyers have not been affected by the rise in fuel costs. According to CatalystIQ, a company that sells data to dealerships, the number of large trucks purchased in March and April was up 20% from before the war.
Todd Szott is a car dealership in Michigan with Toyota, Ford Motor, and Stellantis. He said that customers are aware of gas prices but more interested in the deals offered by carmakers. Gas-powered cars are often the ones that offer the largest discounts.
He said, "We are still selling a lot of pickup trucks."
(source: Reuters)