2025-07-03 10:24

SINGAPORE, July 3 (Reuters) - Abu Dhabi National Oil Company (ADNOC) has restored most of the Murban crude oil supply going to equity holders in July after making a sharp cut earlier, multiple trade sources said on Thursday. Partners in Murban crude producer ADNOC Onshore, which include BP (BP.L) , opens new tab, TotalEnergies (TTEF.PA) , opens new tab, China National Petroleum Corp, Inpex (1605.T) , opens new tab, Zhenhua Oil and South Korea's GS Energy, are entitled to about 40% of production of the grade that stands at around 2.1 million barrels per day, traders said. Sign up here. During the Israel-Iran conflict last month, ADNOC notified equity holders that it would cut their Murban crude supply by 3 million to 4 million barrels in July, the sources said. It was not immediately clear what led to the changes. Most of these volumes have since been restored, they said. A spokesperson for ADNOC said there had been no cuts to supplies to long-term customers such as refiners. "ADNOC has maintained uninterrupted supply to our customers, with no cessation of Murban sales contracts or nominations in June and July," he added in an email. Japan, Thailand and India are the biggest importers of Murban crude, Kpler data showed. https://www.reuters.com/business/energy/adnoc-restores-most-murban-oil-supply-equity-holders-july-sources-say-2025-07-03/

2025-07-03 10:23

July 3 (Reuters) - Asset manager BlackRock Inc (BLK.N) , opens new tab is in talks with Saudi Aramco (2222.SE) , opens new tab to divest its stake in the leasing rights of a natural gas pipeline network back to the state oil major, Bloomberg News reported on Thursday, citing people familiar with the matter. The stake, which BlackRock acquired in 2021, is likely to be worth billions of dollars, according to the report. Sign up here. Reuters could not immediately confirm the report. https://www.reuters.com/business/energy/blackrock-mulls-selling-stake-saudi-aramco-gas-pipelines-bloomberg-news-reports-2025-07-03/

2025-07-03 10:07

MUMBAI, July 3 (Reuters) - The Indian rupee touched its strongest level in a month on Thursday, lifted by dollar sales from foreign banks and cutting of bearish bets on the local currency, while optimism surrounding a U.S.-India trade deal also aided sentiment. The rupee rose to a peak of 85.20, its best level since late May, before ending the session at 85.31, up 0.4% on the day. Sign up here. Dollar sales from foreign banks in the latter half of Thursday's session boosted the rupee, with the rise above 85.40 also triggering stop-losses on some wagers against the currency, traders said. Asian currencies mostly rose, while the dollar index remained steady ahead of a key U.S. labour market report. Most stock indices in Asia also gained on Thursday, after U.S.-Vietnam trade discussions raised the possibility of breakthroughs for other countries in the region ahead of the July 9 tariff deadline. India's benchmark equity indexes though closed marginally lower. U.S. and India trade negotiators were pushing on Wednesday to try to land a tariff-reducing deal ahead of President Donald Trump's July 9 negotiating deadline, per sources familiar with the talks. "Given the U.S.-Vietnam trade deal and the looming July 9 deadline for the reciprocal tariff pause, markets are also alert to similar trade announcements with India and the European Union," DBS said in a Thursday note. Traders reckon a trade deal with India could push the rupee above 85, but further gains would depend on foreign inflows and if the central bank steps in shore up its FX reserves via dollar purchases. On the day, investors will also keep an eye on the U.S. non-farm payrolls report for cues on the future path of the Federal Reserve policy rates. Economists polled by Reuters expect that the U.S. economy added 110,000 jobs in June, while the unemployment rate ticked up to 4.3%. https://www.reuters.com/world/india/inflows-boost-rupee-one-month-high-trade-deal-optimism-aids-sentiment-2025-07-03/

2025-07-03 10:04

Indonesia facing 32% US tariffs MoU to be signed on July 7 between Indonesia-US companies Indonesia hopes better tariff deal than Vietnam's Garuda Indonesia in talks with Boeing for jets deal, CEO said JAKARTA, July 3 (Reuters) - Indonesia will sign a pact worth $34 billion with business partners next week to boost purchases from the U.S., as part of efforts to strike a trade deal with Washington ahead of the July 9 deadline, Indonesia's chief economic minister said on Thursday. The deal would include increasing imports of fuels and investment by Indonesian companies in energy and agriculture sectors in the U.S. Separately, flag carrier Garuda Indonesia (GIAA.JK) , opens new tab also said it is in talks to buy up to 75 jets from Boeing BA.N. Sign up here. Jakarta is facing a 32% tariff in U.S. markets and has previously offered to increase U.S. imports to facilitate trade talks between the two sides. Indonesia enjoyed a goods trade surplus of $17.9 billion with the United States in 2024, according to the U.S. Trade Representative. Speaking to journalists, Minister Airlangga Hartarto said the memorandum of understanding due to be signed on July 7 will deploy the $34 billion for new Indonesian investments and purchases in the United States. "This shows that government, regulators, state-owned enterprises and the private sector are together in responding to the imposition of U.S. reciprocal tariffs," Airlangga said. He said that by addressing the trade balance with the United States, Indonesia hoped to get a better trade deal than the one struck with Vietnam. The U.S. announced on Wednesday that it will place a lower-than-promised 20% tariff on many Vietnamese exports, down from the original 46% announced by President Donald Trump in April. Meanwhile, Garuda's potential jet purchase may include 737 Max 8 and 787 jets, its chief executive Wamildan Tsani told reporters after meeting Airlangga. It was unclear whether Garuda's discussion with Boeing is part of the tariff negotiations. The airline is struggling to recover from the impact of the pandemic. It secured a $405 million loan from sovereign wealth fund Danantara Indonesia in June for maintenance, repair and overhaul of its fleet. https://www.reuters.com/business/finance/indonesia-sign-34-bln-pact-with-us-partners-ahead-tariff-negotiation-deadline-2025-07-03/

2025-07-03 08:59

MUMBAI, July 3(Reuters) - The Indian rupee rose on Thursday after weak U.S. jobs data bolstered Fed rate cut bets, while a U.S.-Vietnam trade deal lifted regional sentiment. Dollar-rupee forward premiums were helped by increased odds of rate cuts by the U.S. central bank as well with the 1-year implied yield touching an over one-month peak. Sign up here. The rupee rose to 85.55 as of 11:30 a.m. IST, up 0.2% on the day. Asian currencies were mostly rangebound while regional equities traded in the green, with India's benchmark indices, the BSE Sensex (.BSESN) , opens new tab and Nifty 50 (.NSEI) , opens new tab up about 0.4% each. The odds of a Fed rate cut in July rose to one-in-four after a private sector payrolls report released on Wednesday surprised with the first fall in over two years. Those odds were at about one-in-five before the data was released, per CME's FedWatch tool. President Donald Trump also announced on Wednesday that the U.S. has struck a trade deal with Vietnam, including a 20% tariff on exports to the U.S. This helped fuel hopes that more deals may be struck ahead of the July 9 deadline. U.S. and Indian negotiators are pushing try to land a tariff-reducing deal ahead of the deadline but some disagreements remained unresolved, sources familiar with the talks said. Traders expect the rupee to be range-bound in the near-term with resistance pegged around 85.40 and support near the 86 handle. A trade deal "would be a sentimental positive," for the rupee but substantial gains are likely only if it spurs a pick up in portfolio inflows, a trader at a foreign bank said. Later in the day, the focus will be on the U.S. non-farm payrolls report for May which is expected to influence expectations around the future trajectory of benchmark policy rates. "Quite bearish positioning on the broad US dollar index also suggests that a near-term squeeze on dollar shorts may be on the cards, though the broader trend is still for Asian currencies to continue strengthening," MUFG said in a note. https://www.reuters.com/world/india/rupee-forward-premiums-hoisted-by-uptick-fed-rate-cut-wagers-2025-07-03/

2025-07-03 07:05

Chinese tech giants have applied for stablecoin licences Sources say Chinese policymakers receptive to idea of yuan stablecoin Exporters using Tether, undermining yuan in trade settlement July 3 (Reuters) - China's tech giants JD.com and Alibaba affiliate Ant Group are urging the central bank to authorise yuan-based stablecoins to counter the growing sway of U.S. dollar-linked cryptocurrencies, people with direct knowledge of the discussions said. The two firms propose China allow the launch of stablecoins in Hong Kong pegged to its offshore yuan to help promote global use of the Chinese currency and fend off the dollar's growing digital influence, the two sources said. Sign up here. The moves come as Hong Kong races the United States in setting up a regulatory framework for stablecoins, competing for a greater reach in global digital finance and trade. Their lobbying efforts, if successful, would mark a major shift in the way Beijing views cryptocurrencies, which it banned in 2021, and could reshape China's strategy in promoting international use of the yuan. Stablecoins are digital tokens, in the form of cryptocurrencies pegged to liquid assets, so far mostly the U.S. dollar but also in some cases gold or other currencies. Their underlying blockchain technology enables instant, borderless and round-the-clock transfer of funds at low cost, giving them the potential to disrupt traditional cross-border payment systems. Both JD.com and Ant already plan to issue stablecoins backed by the Hong Kong dollar, after the island's new legislation takes effect on August 1. But in closed-door discussions with the People's Bank of China, JD.com has argued that offshore yuan stablecoins are urgently needed as a tool to promote yuan internationalisation, the sources told Reuters. Such a view has also been expressed by other industry players. "The global expansion of U.S. dollar stablecoins is posing fresh challenges to yuan internationalisation," Wang Yongli, co-chairman of Digital China Information Service Group (000555.SZ) , opens new tab said in an article posted on his social media account last month. "It would be a strategic risk if cross-border yuan payment is not as efficient as dollar stablecoins," said Wang, former vice head of Bank of China. The PBOC, JD.com and Ant did not immediately respond to Reuters requests for comment. DOLLAR DOMINATES The global stablecoin market is currently small at about $247 billion, according to crypto data provider CoinGecko. However, Standard Chartered Bank estimates it could grow to $2 trillion by 2028. Over 99% of stablecoins are U.S. dollar-denominated, according to the Bank for International Settlements. China has long harboured ambitions for the yuan to be a global currency, similar to the euro or dollar and reflecting its weight as the world's second-biggest economy. One roadblock to this aim, however, is its reluctance to remove tight capital controls. The yuan's share as a global payment currency fell to 2.89% in May, the lowest in almost two years, according to payment platform SWIFT. The dollar commands a 48.46% market share. "China has reached a point where it can no longer avoid taking action," said Xiao Feng, chairman of Hong Kong-based crypto exchange operator HashKey. Many Chinese exporters now use dollar stablecoins as "more and more overseas merchants are sending payments in USDT", he said, referring to the world's more popular stablecoin Tether. Several exporters told Reuters capital controls at home, geopolitical tensions and the risks of currency volatility in smaller emerging markets have spurred the shift into stablecoins. Crypto HK, Hong Kong's biggest crypto OTC exchange, said the monthly volume of trading in the USDT token by its Chinese clients for trade settlement purposes has jumped five-fold since 2021. INEVITABLE? Marking a major U.S. shift, President Donald Trump backed stablecoins days after his inauguration in January and is establishing a regulatory framework that helps legitimise dollar-pegged cryptocurrencies. Even in China, where cryptocurrencies remain banned, policymakers are becoming increasingly interested in stablecoins. PBOC governor Pan Gongsheng said last month the boom in digital currencies and stablecoins poses huge challenges to financial regulation. PBOC advisor Huang Yiping told local media in a recent interview that an offshore yuan stablecoin in Hong Kong is "a possibility". Ant is preparing to apply for stablecoin licences in both Hong Kong and Singapore, one of the sources said. Ant is also preparing for offshore yuan stablecoins, he said. JD.com chairman Richard Liu has also disclosed plans to apply for such licenses in major currency countries globally, in a bid to facilitate foreign exchange and cross-border payment. In discussions with the PBOC, JD.com argued a yuan-pegged stablecoin was needed because the Hong Kong dollar is pegged to the U.S. dollar, which does not help promote the yuan's use in trade, one of the sources said. JD.com has proposed China allow yuan stablecoin issuance in Hong Kong, before expanding the pilot scheme to offshore markets within China's free trade zones, said a company source, adding the suggestion had been well received by regulators. https://www.reuters.com/world/china/chinas-tech-giants-lobby-offshore-yuan-stablecoin-sources-say-2025-07-03/