2025-05-14 07:48

ADDIS ABABA, May 14 (Reuters) - Ethiopia has signed investment deals for its minerals and energy sectors worth more than $1.7 billion, mostly with Chinese firms, its finance ministry said. The East African nation, which struck a four-year, $3.4 billion program deal with the International Monetary Fund last July, is in the midst of a far-reaching reform drive, including the flotation of its birr currency and a push to complete an $8.4 billion debt restructuring with its official creditors. Sign up here. The Finance Ministry said in a statement late on Tuesday that companies attending a two-day investment conference in Addis Ababa had signed agreements to bring more than $1.7 billion into the country. The deals signed include a planned $500 million investment by Hua Ye Mining Processing Company in minerals exploration and processing, and the development of a special economic zone focused on minerals, the ministry said. Another $600 million will come from Sequoia Mining & Processing Plc to develop coal mining projects, while another $360 million will come from Hainan Drinda New Energy Technology to build a solar cell manufacturing plant. Another $250 million will come from CSI Solar, also for solar energy development, the ministry said. The ministry did not give a timeframe for when the money was expected to come to Ethiopia. https://www.reuters.com/sustainability/climate-energy/ethiopia-agrees-minerals-energy-deals-worth-17-billion-chiefly-with-chinese-2025-05-14/

2025-05-14 07:35

LONDON, May 14 (Reuters) - The Bank of England will start talking to players in the financial services industry about possible reforms to make sure the gilt repo market is resilient, BoE Deputy Governor Sarah Breeden said on Wednesday. The BoE's Financial Policy Committee said in November it wanted to strengthen the market which came under stress in 2022 when British government bond prices slumped following then prime minister Liz Truss's "mini-budget." Sign up here. "We will start a conversation with industry via a Discussion Paper later this year on possible reforms to market structure to enhance gilt repo market resilience," Breeden said in the text of a speech to the annual meeting of the international Swaps and Derivatives Association in Amsterdam. https://www.reuters.com/sustainability/boards-policy-regulation/bank-england-seek-feedback-gilt-repo-reforms-breeden-says-2025-05-14/

2025-05-14 07:06

US crude inventories rose last week as imports jumped, EIA says OPEC trims 2025 non-OPEC+ oil supply growth forecast API data shows crude stocks rose 4.3 million barrels last week US dollar rebounds from earlier declines NEW YORK, May 14 (Reuters) - Oil prices eased on Wednesday after government data showed U.S. crude oil stockpiles rose unexpectedly last week, prompting investor concerns of excess supplies. Brent crude futures settled 54 cents, or around 0.81%, lower to $66.09 a barrel. U.S. West Texas Intermediate crude slipped 52 cents, or 0.82%, to $63.15. Sign up here. Both benchmarks traded close to their highest in two weeks in the previous session, lifted by a temporary cut in U.S.-China tariffs. The benchmarks fell after data from the Energy Information Administration showed crude stockpiles rose by 3.5 million barrels to 441.8 million barrels last week. Analysts in a Reuters poll had expected a 1.1 million-barrel draw. Net U.S. crude imports (USOICI=ECI) , opens new tab rose last week by 422,000 barrels per day, the EIA said. API industry data also showed a large build of 4.3 million barrels in crude stocks last week, market sources said on Tuesday. "Definitely, the crude build in the API numbers was not of help," UBS analyst Giovanni Staunovo said of Wednesday's oil price fall. The Organization of the Petroleum Exporting Countries and allied producers, known as OPEC+, has been increasing supply to the market. On Wednesday, however, OPEC trimmed its forecast for growth in oil supply from the United States and other producers outside the wider OPEC+ group this year. "They are not changing their demand profile but adding more barrels," said Bob Yawger, director of energy futures at Mizuho. "At some point, supply is just going to swamp out demand and drill the market lower." A rebound in the U.S. dollar (.DXY) , opens new tab also weighed on prices on Wednesday. A stronger greenback makes dollar-denominated oil more expensive for investors holding other currencies, hurting demand. https://www.reuters.com/business/energy/oil-prices-hold-near-two-week-highs-trade-war-reprieve-weaker-dollar-2025-05-14/

2025-05-14 06:56

GENEVA, May 14 (Reuters) - U.S. soybean exports may drop 20% and prices will plunge if the United States and China fail to resolve their trade dispute limiting U.S. soybeans from their largest market, agribusiness consultancy AgResource said on Wednesday. The temporary truce in the U.S.-China trade war, announced on Monday, would not help U.S. farmers revive soy sales in China as Chinese duties, even reduced to 10% from 145%, remained too high to make U.S. soybeans competitive, analysts and exporters said on the sidelines of the GrainCom conference in Geneva. Sign up here. U.S. soybean exports could slump to 1.5 billion bushels from an initial estimate of 1.865 billion without a substantive deal, AgResource President Dan Basse said. Meanwhile U.S. corn exports could shed 13% to 2.4 billion bushels, he said. "It's important that any U.S.-China trade deal happens by late summer or the export forecast will become reality, pressuring U.S. farm income. The clock is ticking," Basse told Reuters. Prices would also take a hit. In the absence of a deal, Basse sees U.S. soybean futures on the Chicago Board of Trade falling as low as $9 per bushel, compared to $10.6 a bushel traded on Wednesday. In contrast, if a deal brought tariffs back to their previous level, soybean prices could surge as high as $13 a bushel, he added. "We are creating a major advantage for other origins, mainly Brazil, and origins like Argentina," Alejandra Casillo, president of the North American Export Grain Association, told Reuters, adding that even a 10% tariff would halt U.S. grain exports to China. China has been a critical market for U.S. farmers, representing more than half of U.S. soybean exports in the most recent marketing year. However, American farmers worry the tariff pause will not be enough to help them, as Brazil, the biggest soy supplier to China, has ample supplies from a record harvest, lower prices, and its farmers do not face any Chinese tariffs. China, the world's largest crop importer, already sources roughly 70% of its soybean imports from Brazil. Corn and wheat would fall as low as $3.70 for corn from $4.40 on Wednesday, and $4.90 from $5.56 for wheat, he said. https://www.reuters.com/world/china/us-soybean-exports-may-fall-20-without-china-trade-deal-agresource-says-2025-05-14/

2025-05-14 06:54

Risk of further downside if gold breaks below $3,200, analyst says US PPI due on Thursday Market expects 53 basis points rate cuts by Fed this year May 14 (Reuters) - Gold prices fell on Wednesday as easing U.S.-China trade tensions soothed fears of a potential global recession, boosting investors' appetite for risk and weighing on bullion's safe-haven appeal. Spot gold fell 0.5% to $3,231.08 an ounce, as of 1144 GMT. Prices scaled a record high of $3,500.05 last month amid elevated trade war fears. Sign up here. U.S. gold futures eased 0.4% to $3,234.70. The U.S. and China agreed to a 90-day suspension of reciprocal tariffs following discussions in Geneva over the weekend, with the U.S. planning to reduce the "de minimis" tariff for low-value shipments from China to 30%, according to a White House executive order and industry experts. "After the tariff truce announced over the weekend, we've seen stock markets surge higher, and at least in the short term, this has removed some of the safe haven focus that has helped propel gold to record highs in recent months," said Ole Hansen, head of commodity strategy at Saxo Bank. "There's a risk of further downside if we take out that $3,200 level, then we could fairly quickly test $3,165." Global shares have rallied amid easing Sino-U.S. trade war concerns, while also taking support from relatively benign U.S. inflation data. Traders await U.S. producer price index data, due on Thursday, for cues on the Federal Reserve's interest rate trajectory after cooler-than-expected April consumer price index data fuelled speculation of possible rate cuts later this year. The market is expecting 53 basis points of rate cuts by the Federal Reserve this year, starting in September. While gold is traditionally viewed as a hedge against inflation, it also tends to thrive in a low-interest rate environment which reduces the opportunity cost of holding gold. Spot silver was flat at $32.9 an ounce, platinum rose 0.7% to $994.78 while palladium was steady at$956.65. https://www.reuters.com/markets/commodities/easing-us-china-trade-tensions-send-gold-lower-safe-haven-demand-weakens-2025-05-14/

2025-05-14 06:44

NEW DELHI, May 14 (Reuters) - India's wholesale inflation (INWPI=ECI) , opens new tab in April slowed to a 13-month low on the back of moderating food prices, government data showed on Wednesday. In April, wholesale inflation, a proxy for producer prices, recorded at 0.85% year-on-year, compared to 2.05% in March. Sign up here. The print was lower than the 1.76% projected by economists in a Reuters poll and slowest since March 2024. Wholesale food prices rose 2.55% year-on-year in April, against a 4.66% rise in March. Vegetable prices fell 18.26%, compared to a 15.88% drop in the prior month. On Tuesday, government data showed that India's retail inflation remained below the central bank's 4% target for a third consecutive month, opening up room for more interest rate cuts to support growth. The Reserve Bank of India (RBI) has already cut its key repo rate for a second consecutive time this year. Meanwhile, fuel and power prices fell 2.18% year-on-year, compared to a 0.20% rise in the previous month. https://www.reuters.com/world/india/indias-april-wholesale-inflation-085-yy-2025-05-14/