2025-05-02 19:44

NEW DELHI, May 2 (Reuters) - Four members of a family were killed during a thunderstorm in New Delhi on Friday after a tree collapsed on top of the room in which they were sleeping, and one person was injured, the capital territory's chief minister said. The city experienced wind speeds ranging between 70-100 kph, along with lightning and its heaviest May downpour since 2021, according to the India Meteorological Department (IMD). Sign up here. "Instructions have been given to the district administration to provide all necessary assistance (to the affected family) immediately," Chief Minister Rekha Gupta said in a post on X. Flight operations at the city's airport were also disrupted due to low visibility and waterlogging, while metro services were delayed and traffic snarls reported in several places. A study commissioned by charity WaterAid last month pointed to a trend of weather in some of the world's most densely populated cities swinging from droughts to floods and back again, as rising temperatures wreak havoc on the global water cycle. Unseasonable heavy rain also swept across eastern and central India and parts of Nepal last month, killing more than 100 people. https://www.reuters.com/world/india/four-dead-one-injured-heavy-rains-gusty-winds-batter-indian-capital-2025-05-02/

2025-05-02 19:27

May 2 (Reuters) - U.S. President Donald Trump's administration agreed on Friday to refrain from unilaterally cutting off Maine's access to federal funding used to feed school children, ending one of several legal fights stemming from the state's refusal to comply with his demands to ban transgender athletes from girls' sports teams. The U.S. Department of Agriculture settled , opens new tabwith the Democratic-led state three weeks after a federal judge issued a temporary restraining order blocking it from cutting off federal funds used for nutrition programs. Sign up here. "We are pleased that the lawsuit has now been resolved and that Maine will continue to receive funds as directed by Congress to feed children and vulnerable adults," Maine Attorney General Aaron Frey, a Democrat, said in a statement. USDA did not respond to a request for comment. The settlement does not affect the Trump administration's decision to sue Maine over allegations that it is violating Title IX, which prohibits sex-based discrimination in education programs, or the U.S. Department of Education's decision to launch an administrative proceeding to cut off all federal education funding for Maine's public schools. The U.S. departments of Education and Justice claim that Maine is violating Title IX by allowing transgender athletes to participate in girls' and women's sports. The Education Department proceeding puts about $250 million Maine receives annually for school funding into jeopardy. The funding at issue with USDA was a smaller sum, about $3 million. Democratic Maine Governor Janet Mills clashed with the Republican president over the issue of transgender athletes during a White House event in February. At a February 21 meeting with governors, Trump threatened to withhold funds from Maine if it did not comply with an executive order he signed banning transgender athletes from playing girls' and women's sports. "We're going to follow the law, sir," Mills responded. "We'll see you in court." USDA was the first agency to actually cut funding to Maine. But U.S. District Judge John Woodcock on April 11 concluded it likely did not comply with legal procedures when it froze funding and declared Maine was violating Title IX. Rather than litigate over whether a longer-term injunction should be issued, USDA agreed to not freeze or terminate the state's access to federal funds going forward without following all legally required procedures. https://www.reuters.com/legal/usda-agrees-not-freeze-maine-nutrition-funds-over-transgender-athletes-2025-05-02/

2025-05-02 15:40

Environmentalists criticize approval over deforestation, emissions claims Groups highlight JBS's history of legal issues Wall St sees boost to world's top meatpacker stock price Global Witness warns of limited ESG influence for minority shareholders SAO PAULO, May 2 (Reuters) - The U.S. financial regulator's approval last month of a proposal by the world's largest meatpacker JBS (JBSS3.SA) , opens new tab to list on the New York Stock Exchange is drawing strong criticism from climate and animal rights groups but praise from Wall Street. In multiple statements after April 22, when Brazil's JBS said the U.S. Securities and Exchange Commission (SEC) greenlit its dual-listing plan to broaden its investor pool and raise its valuation closer to peers, environment activists and animal rights lobbies have unleashed a campaign condemning it. Sign up here. They cited sprawling criminal investigations into JBS or its controllers in Brazil and in the U.S., as well as concerns over the deforestation of the Amazon and the company's outsized role as a large global emitter of greenhouse gases in the course of its operations. "Given the company's long rap sheet of illegal and corrupt conduct, it's hard to see how the SEC could have confidence that JBS won't deceive U.S. investors," Glenn Hurowitz, CEO of Mighty Earth, a Washington D.C.-based advocacy group, said in a statement. JBS was deeply implicated in a bribery scandal in 2017 that shook Brazil's political and economic landscape. In the U.S., the company or related parties were fined millions of dollars in 2020 for corruption in Brazil , opens new tab and for bribery , opens new tab related to its 2009 acquisition of Pilgrim's Pride (PPC.O) , opens new tab, another top U.S. meat company. U.S. lawmakers have also raised concerns over the listing and JBS's criminal and environmental track record. The SEC did not respond to several requests for comment. JBS said it believes its U.S. listing presents a compelling investment option and increased opportunities for farmers and ranchers, employees, consumers and the communities where it operates. The company, which partly funded its aggressive global expansion by issuing bonds traded internationally, pointed out that it has been subject to the information and reporting requirements of the U.S. Securities Exchange Act of 1934 and other U.S. federal securities laws for years. Global Witness, a London-based organization which investigates industries' links to climate change, called SEC's approval of the listing "a disaster" for both the planet and its people. Other groups have alleged that JBS purchases cattle grazed on deforested areas of the Amazon. In a statement to Reuters, JBS rejected that claim, citing a "rigorous, zero-tolerance agricultural commodity sourcing policy with strong anti-deforestation measures." But climate activists are unimpressed. "Allowing it to list on the world's largest stock exchange —unlocking vast opportunities for expansion and profit— shows the deep failures of the U.S. financial regulatory system," Global Witness said. SUPER VOTING SHARES This year, JBS stock rose some 24% on the Sao Paulo Stock Exchange on expectations that the SEC would approve the U.S. listing, something the company has been seeking in various forms since 2009. The company announced the structure of the current listing proposal in July 2023. For Brazilian investment bank BTG, access to a larger pool of investors after listing in the U.S. would offer JBS "unprecedented firepower to drive growth." Citi and other banks have repeatedly said the move will close a valuation gap with rivals, like Tyson Foods (TSN.N) , opens new tab. Under the plan, the meatpacker's shares will be primarily listed in New York through a Netherlands-based company, but the stock will also continue to trade in Sao Paulo via Brazilian Depositary Receipts (BDRs), which are certificates representing shares of foreign companies traded in Brazil. JBS NV, the Dutch company created for the dual listing, will issue Class A and Class B shares. The Class B shares will have 10 times the voting power of Class A shares, and only Class A shares will be publicly traded. All shareholders will be able to convert Class A into Class B shares through December 2026. That will define JBS' final free float on the NYSE and voting power distribution. On May 23, an extraordinary assembly of JBS shareholders will vote on the dual listing plan. JBS' second largest shareholder, the equity arm of Brazil's development bank, BNDESPar, said it would abstain from voting. JBS shares could start trading on the NYSE as soon as June. After all steps are complete, the controlling shareholders could end up with 85% of voting power in one potential scenario, said Genial Investimentos, a Sao Paulo-based investment firm. Global Witness said such power concentration would limit opportunities for minority shareholders to steer the company on environmental, social and governance (ESG) issues. https://www.reuters.com/sustainability/climate-energy/environmental-groups-blast-jbss-us-listing-approval-wall-street-praises-it-2025-05-02/

2025-05-02 14:47

CBOE posts record options volumes in Q1 Profit, revenue top Wall Street expectations Q2 off to robust start, outgoing CEO says May 2 (Reuters) - Derivatives exchange Cboe Global Markets (CBOE.Z) , opens new tab reported a record first-quarter profit on Friday and boosted its annual revenue growth forecast as tariff news drove up market volatility and fueled strong growth in options trading. Exchanges thrive during times of market turmoil as trading volumes surge and investors hedge their portfolios to manage risk, driving up transaction and clearing fees for companies such as Cboe. Sign up here. Rivals CME Group (CME.O) , opens new tab and NYSE-parent Intercontinental Exchange (ICE.N) , opens new tab also had record-breaking quarters as headlines about rapid changes in U.S. trade policy and the emergence of Chinese startup DeepSeek's low-cost AI model led to heightened market volatility. Shares of Cboe rose 1.4%. Revenue from its options trading arm jumped 15% to an all-time high of $352.4 million. Average daily volume in index options hit a quarterly record of 4.8 million contracts. Cboe now expects full-year revenue growth in the mid- to high-single-digit percentage range, up from its previous forecast of mid-single-digit growth. "It is a remarkable outcome given the macro challenges," Oppenheimer analyst Owen Lau said. Outgoing CEO Fredric Tomczyk told analysts Cboe had a robust beginning to the second quarter and while volumes may ease from the exceptional levels seen in recent months, the market ecosystem remains healthy and supportive of volume growth moving forward. Executives said retail investors remain engaged, but with a disciplined approach to the market, accounting for less of the volume increases around the volatility spikes. NEW GUARD Cboe late on Thursday named rival CME's former top boss Craig Donohue as its new CEO, effective May 7. He succeeds Tomczyk, who has been at the helm since September 2023 and steered Cboe through a challenging time after the abrupt departure of former CEO Edward Tilly. Jefferies analysts said organic growth outside the U.S. was likely to remain unchanged as a strategic priority, but it expects additional M&A to compliment the strategy. Excluding one-time costs, Cboe earned a record $2.50 per share for the quarter, beating analysts' expectations of $2.36, according to estimates compiled by LSEG. Revenue jumped 13% to a quarterly record of $565.2 million. https://www.reuters.com/business/exchange-operator-cboe-posts-record-profit-hedging-rush-2025-05-02/

2025-05-02 14:38

Traders now see the Fed waiting until July to start rate cuts Tariffs' effect on labor market not yet felt Firm jobs report means Fed's focus remains on containing inflation May 2 (Reuters) - Federal Reserve policymakers on the alert for possible cracks in the labor market as businesses adjust to President Donald Trump's erratic trade policy got some reassurance on Friday that so far there's little weakness, and no reason to rush on rate cuts. U.S. employers added a more-than-expected 177,000 jobs in April, the Labor Department reported, and the unemployment rate was unchanged at 4.2%. Both are signs the labor market remains in balance during a month when Trump announced the steepest tariffs in a century, sending stocks downward and convulsing the bond market before the administration paused many of those levies until July. Sign up here. With the job market holding up and inflation still running above their 2% target, Fed policymakers are expected to stick to their plan to leave short-term borrowing costs where they are while they wait to see how the tariffs affect prices and economic growth. Hourly earnings rose 3.8% from a year earlier, the jobs report showed, the same pace as in March and in the range of what the Fed considers to be consistent with its 2% inflation target. "In the here and now, solid labor market data provides the Fed with scope for patience," said Lindsay Rosner, head of multisector fixed income investing at Goldman Sachs Asset Management. "With the forward-looking outlook having deteriorated, however, today’s data feels somewhat backward looking and the risks remain that a weakening economy could see the Fed resume its easing cycle later in the year." Traders are now betting the Fed will wait until July to start cutting interest rates; earlier they had thought a June move was more likely. And they now see the Fed delivering a total of three quarter-point interest rate cuts by year-end, one fewer than previously. Shortly after the report Trump reiterated his own call for the Fed to lower rates. Fed policymakers, who say it will be the economy's needs not the president's desires that will dictate their moves, want to be sure that inflation won't resurge. With the tariffs expected to drive prices higher, at least temporarily, they have signaled they'll keep the policy rate in the current 4.25%-4.50% range to keep downward pressure on inflation, as long as the job market doesn't crumble. And so far it's not, despite sinking consumer and business sentiment on fears that tariffs will hamstring U.S. growth. In April, the net number of people joining the labor market exceeded those leaving by the most since August 2023, a sign of a resilience. "Big picture, the U.S. labor market has not yet capitulated to the negative sentiment building among consumers and businesses, though the full weight of the tariffs shock remains directly ahead of us," wrote BMO Economics' Scott Anderson. https://www.reuters.com/world/us/fed-gets-no-reason-rush-rate-cuts-still-stable-job-market-2025-05-02/

2025-05-02 13:47

May 2 (Reuters) - President Donald Trump on Friday said the U.S. economy is in a transition stage, citing strong employment and his tariff plan while reiterating his call for the U.S. Federal Reserve to lower its interest rate. "We’re only in a transition stage, just getting started!" he said in a Truth Social post. The post followed the release of U.S. data that showed job growth slowed marginally for April. Sign up here. https://www.reuters.com/world/us/trump-says-us-economy-transition-urges-fed-cut-rates-2025-05-02/