2025-05-05 11:06

BRUSSELS, May 5 (Reuters) - The European Union will present a roadmap plan on May 6 on how to wean itself off Russian energy, European Commission spokesperson Stefan de Keersmaecker said on Monday. "Tomorrow, the College will discuss a roadmap to end Russian energy imports," he said, referring to the EU's college of commissioners from the 27 EU countries. Sign up here. The details of the plan will be presented on Tuesday in Strasbourg by Dan Jorgensen, EU Commissioner for Energy and Housing. The European Commission has pledged that the EU will quit Russian fossil fuels by 2027 in response to Moscow's 2022 invasion of Ukraine. U.S. President Donald Trump has also said he wants the EU to buy more American gas and EU officials see that as a possible bargaining chip in negotiations about tariffs. https://www.reuters.com/world/europe/eu-present-plan-tuesday-how-wean-itself-off-russia-energy-2025-05-05/

2025-05-05 11:02

May 5 (Reuters) - Berkshire Hathaway's (BRKa.N) , opens new tab board voted unanimously to name Greg Abel president and CEO starting next year, while Warren Buffett will stay on as chairman, CNBC reported on Monday, citing sources. The move officially initiates the transition that will see Buffett step aside after six decades at the helm of the conglomerate. Buffett surprised shareholders on Saturday, when he said he would step down as CEO at the end of the year. Sign up here. Abel and most of Berkshire's board of directors were not aware of his plans prior to the announcement. Buffett had said the conglomerate's board would meet on Sunday to discuss the transition. Having Buffett in the chair role could add a layer of stability and reassure investors as Abel takes over from an iconic figure whose reputation and legacy loom large. Class B shares of the company were down nearly 2% in premarket trading. https://www.reuters.com/sustainability/boards-policy-regulation/berkshire-board-names-greg-abel-ceo-2026-unanimous-vote-cnbc-reports-2025-05-05/

2025-05-05 11:01

Wall Street mixed, European shares rise slightly Oil prices fall on OPEC+ news, gold rises Bond yields rise, Taiwan dollar surges vs greenback NEW YORK/ LONDON, May 5 (Reuters) - MSCI's global equities index lost ground on Monday on the latest uncertainty around tariffs while oil prices fell on the prospect of production increases and U.S. bond yields rose. U.S. Treasury yields were marginally higher after data showed that the services sector in the world's largest economy remained resilient last month, with prices paid, an inflation gauge, hitting a two-year high. Sign up here. Gold prices rallied, driven by a weaker U.S. dollar and safe-haven demand ahead of the U.S. Federal Reserve's interest rate policy decision due later in the week. MSCI's gauge of stocks across the globe (.MIWD00000PUS) , opens new tab fell 3.04 points, or 0.36%, to 846.21 after nine sessions of gains. But overall trading was subdued with public holidays in countries including Britain, China and Japan. The pan-European STOXX 600 (.STOXX) , opens new tab index earlier closed up 0.16%. On Wall Street, all three major averages ended lower with S&P 500 (.SPX) , opens new tab and the Dow Jones Industrial Average (.DJI) , opens new tab breaking nine-session winning streaks. "Stocks are taking somewhat of a breather (Monday) after two weeks of effectively moving higher from the early April lows," said Sahak Manuelian, managing director, head of equity trading at Wedbush Securities, adding that trading volume was low. Equities had opened lower on renewed uncertainty about U.S. President Donald Trump's trade policies after he announced a 100% tariff on movies produced outside the United States but offered little clarity on how the levies would be implemented. "Markets like certainty, and investors woke up (Monday) morning with more uncertainty as to what might happen with tariffs," said Adam Sarhan, CEO of 50 Park Investments in Orlando, Florida. The news on movie tariffs hit shares in video streaming providers such as Netflix (NFLX.O) , opens new tab and Paramount Global (PARA.O) , opens new tab. Sarhan said investors are concerned that more industries could be targeted "if investors wake up to another 100% or 200% levy on some other industry which is integral to our economy." Trump said on Sunday that the United States is meeting with many countries, including China, about trade, and that his main priority with China is to secure a fair deal. Optimism around a potential de-escalation of trade tensions between the United States and China had boosted markets in recent days, with European shares trading just below levels seen before Trump's April 2 major tariff announcement roiled markets. In Wall Street equities, the Dow Jones Industrial Average (.DJI) , opens new tab fell 98.60 points, or 0.24%, to 41,218.83, the S&P 500 (.SPX) , opens new tab fell 36.29 points, or 0.64%, to 5,650.38 and the Nasdaq Composite (.IXIC) , opens new tab fell 133.49 points, or 0.74%, to 17,844.24. In energy markets, oil prices fell more than $1 a barrel after OPEC+ decided over the weekend to expedite oil output hikes, spurring investor concerns of more supply when the outlook for demand is uncertain. U.S. crude settled down $1.16 or 1.99% at $57.13 a barrel and Brent ended at $60.23 per barrel, down $1.06 or 1.73% on the day. In currency markets, the Taiwan dollar marked a second consecutive session of sharp gains against the U.S. dollar, which touched a low of 28.815 against Taiwan's dollar and was last at 29.104. The rise of the Taiwan currency stoked speculation of a revaluation of Asian currencies to win U.S. trade concessions. The dollar index , which measures the greenback against a basket of currencies including the yen and the euro, fell 0.06% to 99.82. The euro was up 0.13% at $1.131 while against the Japanese yen , the dollar weakened 0.8% to 143.77. In U.S. Treasuries, the yield on benchmark U.S. 10-year notes rose 2.9 basis points to 4.349%, from 4.32% late on Friday, while the 30-year bond yield rose 4.1 basis points to 4.8356%. The 2-year note yield, which typically moves in step with interest rate expectations for the Fed, rose 0.3 basis points to 3.843%, from 3.84% late on Friday. In precious metals, spot gold rose 2.82% to $3,331.35 an ounce. U.S. gold futures rose 2.42% to $3,310.10 an ounce. https://www.reuters.com/markets/global-markets-global-markets-2025-05-05/

2025-05-05 11:00

May 5 (Reuters) - Sterling rose against a weaker dollar on Monday, ahead of the Bank of England's next policy decision due later this week. The pound was up 0.29% versus the dollar to 1.33045 at 1107 GMT, broadly in line with moves across broader currency markets. Sign up here. Newsflow in Britain was thin due to a bank holiday, and there are few major scheduled domestic events until the Bank of England's Thursday meeting. The BoE is widely expected to cut rates a further 25 basis points to 4.25%, but the statement accompanying its decision will be closely watched as some investors say it needs to accelerate its gradual approach to rate cuts as global growth takes a hit from Trump's tariffs. "We anticipate the BoE will downgrade its GDP forecasts due to the trade war," Samara Hammoud, a currency strategist at Commonwealth Bank of Australia (CBA) wrote in a note to clients, adding she expected the BoE to stick to a gradual interest rate cutting cycle because inflation remains too high. "There is a risk the BoE may remove the reference to a 'gradual' cutting cycle," Hammoud said, which would lead the markets to possibly price more cuts from the BoE and cause the GBP/USD pair to fall closer to support at 1.3127. Markets currently are pricing at least two more 25 basis point BoE rate cuts this year in addition to Thursday's move, and see a good chance of a third. The U.S. Federal Reserve is also meeting this week and is widely expected to leave rates steady on Wednesday following a solid March payrolls report. Sterling traded a touch lower against the euro, at 85.26 pence to the common currency. https://www.reuters.com/world/uk/sterling-gains-against-dollar-ahead-this-weeks-boe-meeting-2025-05-05/

2025-05-05 10:23

Taiwan president decries 'false' information about forex Taiwan dollar at more than two-year high against greenback Taiwan repeatedly denies talking forex rate with US Taiwan central bank calls for speculation to end, calm to return Taiwan held tariff talks with US last week TAIPEI, May 5 (Reuters) - Taiwan's president on Monday called for an end to "false" news about talks with the United States on foreign exchange rate policy, after the Taiwan dollar surged against the U.S. dollar on speculation Washington had asked for it to appreciate. The Taiwan dollar on Monday and last Friday appreciated strongly against the greenback on market speculation that the U.S. had asked Taiwan to allow its currency to appreciate as part of the tariff talks, and is at a more than two-year high. Sign up here. After Taiwan's central bank and Office of Trade Negotiations issued denials that tariff talks in Washington last week had involved the topic of foreign exchange, President Lai Ching-te took the unusual step of weighing in with a video message. Taiwan's trade surplus with the United States is because of soaring demand for the tech products the island specialises in, like semiconductors, and Taiwan has never been listed by Washington as a currency manipulator, Lai said. "Precisely because the cause of the Taiwan-U.S. trade deficit has nothing to do with the exchange rate, the exchange rate issue will naturally not be mentioned in negotiations between Taiwan and the United States," he added. "Therefore, I would also like to ask malevolent people to stop deliberately spreading false information," Lai said, without offering any names. Taiwan's economy is doing well and people should have confidence, he added. "I would also like to ask all my good friends to share what I have reported, and to share the correct information with your friends and family." On Saturday, the government said that Taiwan had concluded its first round of "substantive" tariff talks with the United States, describing the atmosphere as frank and cordial. It did not mention exchange rate issues. Speaking to reporters at a hastily arranged news conference earlier on Monday, the exasperated sounding central bank governor Yang Chin-long repeatedly said there had been no exchange rate talks with the United States. "If this had been a topic, we would have attended," Yang said, adding a call for the market to calm down and speculation to end. Taiwan has told the United States it would not manipulate the exchange rate, but the Taiwan dollar has been fluctuating excessively and some people are trying to engage in large-scale speculation, he said. "The abnormal situation of the past two days we hope can end here," Yang added. The central bank has intervened in recent days to maintain market stability, he said. Taiwan runs a large trade surplus with the United States, which surged 83% last year, with the island's exports to the U.S. hitting a record $111.4 billion, driven by demand for high-tech products such as semiconductors. https://www.reuters.com/business/finance/taiwan-says-tariff-talks-with-us-did-not-discuss-exchange-rate-currency-soars-2025-05-05/

2025-05-05 10:17

May 5 - What matters in U.S. and global markets today By Anna Szymanski, Editor-in-Charge, Reuters Commentary Sign up here. Trading in global markets was fairly quiet at the start of this central bank-packed week, with holidays today in Britain, Hong Kong, China, Japan and South Korea. But the oil market has garnered headlines, with prices falling more than 2% on Monday , opens new tab after oil producing group OPEC+ agreed to accelerate oil production hikes. Mike is off for the UK bank holiday, but check out his latest column about the deep gulf in Federal Reserve rate forecasts, which are clouding an already uncertain U.S. economic outlook. Today's Market Minute * Oil prices fell more than $1 a barrel on Monday as OPEC+ is set to further speed up oil output hikes, spurring concerns about more supply coming into a market struggling with an unclear demand outlook. For more on this story, check out Reuters' columnist Clyde Russell's piece on why the OPEC+ group's stated reasons for supply increase are likely not the real reasons. * Berkshire Hathaway shareholders mourning the departure of legendary investor Warren Buffett anticipate the conglomerate he built over 60 years will retain its long-term focus and culture but worry about the loss of Buffett's vision and star power. * U.S. President Donald Trump on Sunday announced a 100% tariff on movies produced outside the country, saying the American movie industry was dying a "very fast death" due to the incentives that other countries were offering to lure filmmakers. * President Trump said he will not remove Jerome Powell as Federal Reserve Board Chairman before his term ends in May 2026 while describing the central banker as "a total stiff" and repeating calls for the Fed to lower interest rates. * Australia’s Anthony Albanese claimed a historic second term as prime minister on Saturday in a dramatic comeback against once-resurgent conservatives that was powered by voters' concerns about the influence of U.S. President Donald Trump. Crude awakening Brent crude and U.S. West Texas crude futures both fell more than $1 a barrel after the weekend announcement that OPEC+ would speed up oil output hikes. The group is adding more supply at a time when the oil demand outlook is highly uncertain. This week all eyes will be on the meetings of the U.S. Federal Reserve and the Bank of England, as investors try to assess how major central banks' outlooks for growth and inflation have been impacted by the erratic U.S. tariff policy. Staying on trade, President Donald Trump said on Sunday that the United States was meeting with many countries, including China, on trade deals. He noted that his main priority with China was to secure a fair deal. Investor optimism about potential de-escalation in trade tensions between the U.S. and China has boosted markets in recent days. Europe's broad STOXX 600 index is up around 15% from lows hit last month, while the S&P 500 index has rebounded around 17% from its lows last month following Trump's 'Liberation Day' tariff announcement. In currency markets, the Taiwan dollar was poised for its biggest one-day gain against the U.S. dollar since the 1980s, rising to as high as 29.59 per U.S. dollar. Its 3% surge on Monday has increased speculation that some Asian countries could allow their currencies to strengthen against the U.S. dollar to win trade concessions from the Trump administration. However, Taiwan's office of trade negotiations said on Monday that tariff talks with the U.S. last week did not discuss the exchange rate and Taiwan's central bank also did not take part in the talks. Chart of the day Friday's relatively robust April payrolls report surprised some by showing overall government hiring up by 10,000, with federal government employment only down 9,000 for the month and down 26,000 since January amid the Trump administration's campaign to drastically shrink the government. Despite headlines of mass firings at government agencies, the decline in federal payrolls has been relatively modest and Federal jobs as a percentage of the workforce remained unchanged at 1.5% last month. That is partly because fired employees who have been reinstated by court and subsequently put on paid leave are counted as employed. The same applies to those who have accepted buyout offers. Economists expect federal payrolls to drop significantly after September, when severance pay runs out for many. Today's events to watch * U.S. April service sector surveys from S&P Global (9:45EDT) and ISM (10:00EDT), April employment trends (10:00EDT) * U.S. corporate earnings: Ford, Loews, Tyson Foods, Clorox, Palantir, Vertex, Diamondback, Coterra, Williams, ON Semiconductor, Cummins, Simmer Biomet, Henry Schein * U.S. Treasury sells $58 billion of 3-year notes https://www.reuters.com/markets/us/global-markets-view-usa-2025-05-05/