2026-01-28 00:41
Brazil's Vale aims to regain iron ore crown Strong quarterly output spurs analysts to raise profit forecasts Copper and nickel output exceed projections SAO PAULO, Jan 27 (Reuters) - Brazilian miner Vale's (VALE3.SA) , opens new tab iron ore production rose to 336.1 million metric tons in 2025, the company said on Tuesday, marking the first time since 2018 that its output surpassed that of rival Rio Tinto's Pilbara operations in Australia. Vale's production rose 2.6% last year from 2024, in line with the company's projection in December that it would produce around 335 million metric tons. In the fourth quarter of 2025, output stood at 90.4 million tons, up 6% year-on-year. Sign up here. Analysts said the results from Vale, which also mines copper and nickel, beat expectations. Citi and RBC projected a 2% and 7% upside consensus revision, respectively, for Vale's fourth-quarter core profit, which will be released in February. VALE VS RIO TINTO Vale lost its position as the world's largest iron ore producer in 2019 to Rio Tinto, following the collapse of a dam in the Brazilian city of Brumadinho, which killed over 250 people and triggered a safety review of the firm's projects. However, Vale has been scaling up its iron ore production in the last few years, and in 2025 achieved its highest output since 2018. Chief Executive Gustavo Pimenta has said the firm is aiming to regain the title of world's largest iron ore producer. Rio Tinto reported last week 2025 iron ore production of 327.3 million metric tons extracted from its flagship Pilbara mines. Its total iron ore output, including operations in Canada, reached 336.6 million tons, just topping Vale's, and is poised to stay ahead in 2026 with new production from Guinea. In 2018, the last time Vale surpassed Rio Tinto's Pilbara output, the Brazilian company produced 384.6 million tons of iron ore, while Rio Tinto's Pilbara mines produced 337.8 million tons. Vale affirmed it expects to produce between 335 million and 345 million tons of iron ore this year. In its report, Vale said its quarterly iron ore production was driven by a robust performance in its Brucutu mining complex and a ramp-up at its Capanema and VGR1 projects, all of them located in Brazil. Vale said it sold 314.4 million tons of iron ore in 2025, a 2.5% rise from 2024. In the September-December quarter, shipments rose 4.5% to 84.9 million tons. COPPER ALSO AT SEVEN-YEAR HIGH Vale's copper output surged nearly 10% in 2025, to about 382,400 tons, also marking the company's highest since 2018. The figure beat the most recent projection from the company, which stood at 370,000 tons. The miner, which aims to nearly double its copper production by 2035, said output at its main copper mining complex of Salobo, in Brazil, reached a record high in the fourth quarter. Vale also produced some 177,200 tons of nickel in 2025, the highest since 2022 and an almost 11% increase. It came above the company's projection of 175,000 tons. https://www.reuters.com/business/energy/vales-iron-ore-production-rises-3-2025-surpassing-rio-tintos-pilbara-2026-01-27/
2026-01-28 00:34
Dollar steadies after sharp drop S&P 500 crosses 7,000 level Fed keeps rates steady as expected NEW YORK, Jan 28 (Reuters) - Global stocks touched an intraday record for a third straight session on Wednesday, while the U.S. dollar largely held on to gains after the Federal Reserve kept rates steady, as widely expected. In keeping rates unchanged, the Fed cited still-elevated inflation alongside solid economic growth. The U.S. central bank's policy statement gave little indication of when it might reduce borrowing costs again. Sign up here. Fed Chair Jerome Powell, in comments following the central bank's statement, dispelled any notion the central bank might consider a rate hike in the near future. "A steadier job market and sticky inflation made the Fed wait to see how previous rate cuts will support U.S. economic growth," said Matthias Scheiber, head of the multi-asset team at Allspring Global Investments in London. "That said, the investment and capital spending boom caused by artificial intelligence and the sharp rise of commodity prices, including industrial metals, might result in a stickier inflation path for this year." Markets are not pricing in more than a 50% chance of a rate cut until the Fed's June meeting, according to CME's FedWatch Tool. After the Fed statement, the S&P 500 closed virtually unchanged after crossing above 7,000 for the first time during the session. Investors awaited earnings from megacap companies Microsoft (MSFT.O) , opens new tab, Tesla (TSLA.O) , opens new tab and Meta Platforms (META.O) , opens new tab after the closing bell, with results from Apple (AAPL.O) , opens new tab due on Thursday. The Dow Jones Industrial Average (.DJI) , opens new tab rose 12.19 points, or 0.02%, to 49,015.60, the S&P 500 (.SPX) , opens new tab fell 0.57 points, or 0.01%, to 6,978.03 and the Nasdaq Composite (.IXIC) , opens new tab rose 40.35 points, or 0.17%, to 23,857.45. MSCI's gauge of stocks across the globe (.MIWD00000PUS) , opens new tab edged up 0.69 points, or 0.07%, to 1,051.77 after climbing to an intraday record of 1,055.04, marking its third straight intraday record. The index was on track for a sixth straight daily advance, its longest streak since a seven-session run in late December. The pan-European STOXX 600 (.STOXX) , opens new tab index closed down 0.75%, weighed by a drop of about 8% in LVMH (LVMH.PA) , opens new tab after the Louis Vuitton and Tiffany owner reported quarterly results, but CEO Bernard Arnault said he was cautious about the year ahead. FX WATCH The dollar showed signs of steadying after its biggest daily percentage drop since August 1, as U.S. President Donald Trump on Tuesday seemed to shrug off its recent weakness, which sent the greenback to a four-year low. The dollar has stumbled recently on expectations of continued Fed rate cuts this year, tariff uncertainty, policy volatility, including threats to the central bank's independence, and rising fiscal deficits, all of which have dented investor confidence in U.S. economic stability. The dollar index , which measures the greenback against a basket of currencies, gained 0.49% to 96.37, but pared gains after the Fed statement, with the euro down 0.78% at $1.1947 after breaching the $1.20 mark on Tuesday. European Central Bank policymakers flagged increasing concerns over the euro's quick appreciation against the dollar, warning it could drag inflation down even as price growth is already set to undershoot the ECB's 2% target. Against the Japanese yen , the dollar strengthened 0.74% to 153.32, while sterling weakened 0.33% to $1.38. The U.S. has a strong dollar policy and that means setting the right fundamentals, U.S. Treasury Secretary Scott Bessent said, while denying that Washington was intervening in currency markets to support the yen after the Japanese currency surged against the greenback last week. The recent dollar weakness has given support to commodities, helping gold hit a record above $5,300 an ounce. U.S. crude rose 1.31% to settle at $63.21 a barrel, and Brent settled at $68.40 per barrel, up 1.23% on the day after hitting a four-month high of $68.62. https://www.reuters.com/world/china/global-markets-wrapup-1-2026-01-28/
2026-01-28 00:16
WASHINGTON, Jan 27 (Reuters) - Farm-equipment maker Deere & Co (DE.N) , opens new tab is making a $70 million factory investment in North Carolina, U.S. President Donald Trump said in a speech on Tuesday, as the company stated it will open two new U.S.-based facilities, each creating 150 jobs. The White House later posted on social media the company would be building two new factories in the U.S. including a $70 million factory in North Carolina. Sign up here. On Tuesday, the company said it recently broke ground on a new distribution center near Hebron, Indiana, and was setting up a new $70 million excavator factory in Kernersville, North Carolina. The company, also known as John Deere, previously announced in 2024, when former Democratic President Joe Biden was in office, its commitment to an investment of the same amount in Kernersville, that would create the same number of jobs. When asked if Tuesday's statement by the company and remarks by Trump referred to the same plans for North Carolina announced in 2024, the company said that some of its plans for North Carolina had been disclosed earlier by officials. "John Deere is doing $70 million in factory in North Carolina," Trump said in his speech in Iowa. "I think it is going to pay off very, very big." Both facilities will open in the next year, the company said. https://www.reuters.com/business/trump-notes-70-million-factory-investment-by-tractor-maker-deere-north-carolina-2026-01-27/
2026-01-28 00:08
LONDON, Jan 28 (Reuters) - Britain's National Wealth Fund said on Wednesday carbon capture, the power grid and battery manufacturing are among the ten sectors it will focus on over the next five years to help the country's relatively sluggish economy pick up. CEO Oliver Holbourn is aiming to deploy 4 billion pounds ($5.49 billion) to 5 billion pounds in investments per year in projects from now until 2030/31, which he said should create or support 200,000 jobs. Sign up here. "We're going to go faster and in a more focused way," Holbourn told reporters on Wednesday as the fund published its five-year strategic plan. LABOUR GOVERNMENT STRUGGLING IN THE POLLS Set up by the current Labour government in 2024 to drive economic growth and support the UK's net zero transition, the NWF is aimed at providing debt or equity financing for projects in areas such as clean energy and transport, alongside investment partners. Prime Minister Keir Starmer's government has so far failed to turn around Britain's economy and is struggling in the polls, putting pressure on initiatives like the NWF for economic revival. Ports, nuclear, energy storage and green steel are part of the NWF's main targeted sectors, but it will also consider investments in defence, advanced materials and critical minerals, Holbourn said, aiming to strengthen Britain's domestic supply chains to make the country more self-sufficient. FUND HAS ABOUT 28 BILLION POUNDS TO INVEST Operating as the UK Infrastructure Bank prior to 2024, the NWF is owned by the government but run independently. It has about 28 billion pounds to invest, of which about 30% has already been allocated to about 70 projects. Holbourn said the return targeted by the fund was not being made public. To date, the fund has invested in Britain's new nuclear power station, Sizewell C, which is currently being built, and loaned Iberdrola-owned ScottishPower 600 million pounds to help fund upgrades to the country's power grid. It has also provided a financial guarantee to SSEN Transmission's plans for grid upgrades. ($1 = 0.7280 pounds) https://www.reuters.com/sustainability/climate-energy/uks-national-wealth-fund-targets-carbon-capture-batteries-hydrogen-drive-growth-2026-01-28/
2026-01-28 00:00
NEW YORK, Jan 27 (Reuters) - U.S. intelligence reports have raised doubts about whether interim Venezuelan President Delcy Rodriguez will cooperate with the Trump administration by formally cutting ties with U.S. adversaries, four people familiar with the reports said in recent days. U.S. officials have said publicly they want the interim president to sever relations with close international allies like Iran, China and Russia, including expelling their diplomats and advisers from Venezuela. Sign up here. But Rodriguez, whose swearing-in ceremony was attended by representatives of those countries early this month, has yet to publicly announce such a move. She became president after the U.S. captured former Venezuelan President Nicolas Maduro on January 3. The U.S. intelligence reports said it was not clear if she is fully on board with the U.S. strategy in her country, according to the sources, who declined to be identified by name. CIA Director John Ratcliffe traveled on January 15 to Caracas, where he discussed the country's political future with Rodriguez. Reuters could not determine if those conversations changed the intelligence agencies' opinion. Washington wants to rein in its foes' influence in the Western hemisphere, including in Venezuela, where Trump seeks to exploit the OPEC nation’s vast oil reserves. If Rodriguez were to break ties with the U.S. rivals, it would open more opportunity for U.S. investment in Venezuela’s energy sector. But failure to control Rodriguez could undercut Washington’s efforts to direct the country’s interim rulers from afar and avoid a deeper U.S. military role. The Central Intelligence Agency and the Venezuela government did not respond to requests for comment. Asked for comment, a senior Trump administration official, who declined to be identified, said U.S. President Donald Trump "continues to exert maximum leverage" over Venezuela's leaders and "expects this cooperation to continue." ABANDON LONGTIME ALLIES? The CIA has previously assessed that officials loyal to Maduro, including Rodriguez, were best positioned to govern the country following his ouster. But critics of Trump's Venezuela strategy have expressed doubts about the wisdom of keeping Maduro's loyalists in place as the country's interim leaders. The concerns about Rodriguez' reliability were present prior to the U.S. military operation, said two sources. For Venezuela, the U.S. directive means abandoning its closest allies outside the region. Iran has helped Venezuela repair oil refineries while China has taken oil as repayment for debt. Russia has supplied weaponry, including missiles, to Venezuela's military. Trump has also cited communist-led Cuba as another U.S. foe he wants Venezuela to abandon. Havana has provided security and intelligence support while receiving cut-rate Venezuelan oil. Since Maduro's removal, Rodriguez, whose deep ties to the oil sector are crucial to keeping the country stable, has taken steps to stay in favor with Washington including releasing political prisoners and authorizing the sale of 30 million to 50 million barrels of oil to the United States. In a speech on Sunday, Rodriguez said she has had “enough” of U.S. intervention. Still, U.S. officials have also held positive calls with her in recent days, according to two of the sources. The Trump administration does not see an immediate alternative to working with Rodriguez, given it has publicly backed her so strongly, two of the sources said. But U.S. officials are developing contacts with senior military and security officials in case they decide to change their approach, a source briefed on Venezuela policy said. MACHADO CONSIDERED A LONGER-TERM OPTION TO RUN VENEZUELA The recent intelligence reports also found that opposition leader Maria Corina Machado is not currently able to run the country successfully in part because she lacks strong ties to the country’s security services or oil sector, the sources said. Some observers and Machado's movement say it won a 2024 election that year by a huge margin, though the state backed a Maduro victory. She remains popular with Venezuelans. Trump told reporters last week he wanted Machado “involved” in the country’s leadership, without providing details. One person familiar with the administration’s discussions with Machado said she is well-liked by the White House and is considered a longer-term option for a leadership position in Venezuela. The separate source briefed on Venezuela policy suggested that for now, Machado could be considered for an advisory role but no firm decision had been made. Representatives for Machado did not respond to a request for comment. https://www.reuters.com/world/china/us-intelligence-raises-doubts-about-venezuela-leaders-cooperation-2026-01-28/
2026-01-27 23:51
MEXICO CITY, Jan 27 (Reuters) - Grupo Mexico (GMEXICOB.MX) , opens new tab, one of the world's largest copper producers, nearly doubled its fourth-quarter net profit on higher metals prices and stronger volumes, it said on Tuesday, more than offsetting weaker infrastructure results tied to suspended oil platforms and foreign-exchange headwinds. The conglomerate, which last year became the largest listed company on the Mexican market, saw net profits reach $1.43 billion, above the $1.32 billion estimate from analysts polled by LSEG. Sign up here. Earnings were boosted by increased production, with copper output climbing 2% and gold jumping 14%. Prices also leaped, with copper up 22%, silver up 74% and gold up 56%, Grupo Mexico said. Revenues for the group climbed 34% to $5.15 billion, above analysts' $4.87 billion estimate. The miner is eyeing billions of dollar in investments over the next decade, with projects pending at home and in the U.S., Peru and Spain. Grupo Mexico said its U.S. unit, Asarco, could double mine production due to new copper policies outlined by President Donald Trump. It added that it was moving forward with an assessment to reopen and expand its Hayden smelter and Amarillo refinery in the U.S. In Mexico, the firm said it is in talks with the current administration to resume more than $10 billion in investments after permits were paused under the previous government. Grupo Mexico's infrastructure division swung to a net loss in the quarter, weighing down results, pressured by the suspension of four of offshore oil platforms by state-owned producer Pemex (PEMX.UL) and foreign-exchange effects. https://www.reuters.com/world/americas/mining-giant-grupo-mexicos-net-profit-doubles-fourth-quarter-2026-01-27/
