2025-04-30 11:46
LONDON, April 30 (Reuters) - Swiss bank UBS (UBSG.S) , opens new tab had an "okay-ish" start to the second quarter due partly to market volatility induced by U.S. tariffs, but if increased uncertainty persists it "will have an impact on our activity levels with our clients," UBS Chief Financial Officer Todd Tuckner told reporters on Wednesday. Investment banks faced heightened market volatility at the beginning of April in response to the U.S. tariffs, which increased opportunities for traders to make profits, but also heightened the risks of losses as a result of wild and unexpected moves in certain products. Sign up here. The Swiss franc, for example, rapidly appreciated against the U.S. dollar, surging roughly 7% in April, and is set for its biggest rise in over a decade. A Swiss media outlet , opens new tab reported earlier this month that some UBS clients had lost money which was invested in currency derivatives products. UBS declined to comment on the report at that time. When asked about the report of the possible currency product losses during a call with reporters on Wednesday after UBS published its results, Tucker said that "when there's volatility, there's going to be clients that generate gains from that volatility and clients to generate losses." "We can't comment on and won't comment on the matter, but, you know, certainly in a volatile market, one can expect there will be swings, one would expect volatility in investment accounts," he added. https://www.reuters.com/business/finance/ubs-had-okay-ish-start-q2-uncertainty-could-impact-client-activity-cfo-says-2025-04-30/
2025-04-30 11:44
OSLO, April 30 (Reuters) - Europe's need to refill storages, left two-thirds empty after the winter, will keep the gas market tight and require a rise in liquefied natural gas supply, the CEO Anders Opedal of Equinor, the continent's largest gas supplier, said on Wednesday. European gas storage sites ended the winter heating season at their lowest level since 2022 as a result of colder weather and lower wind speeds, which increased demand for gas. Sign up here. Opedal said Europe would need around 200-300 more cargoes of LNG than last year. "In Europe, gas storages are at a low level and we expect a tight market when these are being replenished," he said when presenting the company's first-quarter earnings, which were lifted by higher gas prices. Equinor (EQNR.OL) , opens new tab sends its gas via a vast pipeline system, with 70% of volumes sold on a day-ahead basis, and ships LNG from its own plant in Hammerfest in Arctic Norway, also known as Melkoeya. The latter shut down on April 22 for annual maintenance scheduled to last until July 19. Equinor in 2022 overtook Russia's Gazprom (GAZP.MM) , opens new tab as Europe's biggest supplier of natural gas when Moscow's invasion of Ukraine disrupted decades-long energy ties, but speculation has increased over a potential return of some Russian pipeline gas. Opedal said the latter was "a possibility, but it's a low probability, I think, and the volumes will be limited". In February, Equinor pegged additional Russian volume potential at 40 billion cubic metres per year, a figure that stands, Opedal said. "But that also requires a lot of change in politics to start up the Nord Stream pipeline and then also open up the Yamal pipeline over Poland again, and also the Ukraine pipeline needs to re-open," he added. https://www.reuters.com/business/energy/equinor-expects-tight-european-summer-gas-market-2025-04-30/
2025-04-30 11:41
WASHINGTON, April 30 (Reuters) - U.S. House Republicans on Wednesday advanced a new $250 annual fee on electric cars but dropped a $20 federal yearly registration fee on all vehicles starting in 2031 to fund road repairs as part of a tax reform bill under consideration. The House Transportation and Infrastructure Committee voted 36-30 to approve a proposal from Representative Sam Graves, who heads the panel. The proposal includes $12.5 billion for air traffic control reform efforts, down from $15 billion in an early draft. Sign up here. The bill also includes a $100 fee on hybrids. The highway trust fund faces a $142 billion shortfall over five years. "The system for funding our federal surface transportation is broken," Graves said. Some Republicans and Senate Democratic Leader Chuck Schumer had sharply criticized the proposed $20 fee on all vehicles. The Electrification Coalition, an EV advocacy group, said the $250 fee was unfair since an average gas-powered vehicle pays just $88 yearly in federal gas taxes. Most revenue for federally funded road repairs is collected through diesel and gasoline taxes, which EV drivers do not pay. Some states charge fees for electric vehicles to cover road repair costs. Congress for the past three decades has opted not to hike fuel taxes to pay for rising road repair costs. Some Republican senators in February proposed a $1,000 tax on EVs for road repair costs. The bill also includes $12.5 billion in new funding through 2029 for replacing aging Federal Aviation Administration facilities including air traffic control towers, radar systems and telecommunications infrastructure, and air traffic controller hiring. A persistent shortage of controllers has delayed flights and at many facilities controllers are working mandatory overtime and six-day weeks. The FAA is about 3,500 air traffic controllers short of targeted staffing levels. A quarter of all FAA facilities are at least 50 years old and aging systems have repeatedly sparked delays, including major issues at Newark on Monday. Transportation Secretary Sean Duffy plans to ask Congress for tens of billions of dollars for a multi-year effort to revamp FAA air traffic control infrastructure and boost hiring. The January 29 collision between an Army helicopter and an American Airlines (AAL.O) , opens new tab plane that killed 67 people and other recent safety incidents have sparked calls for reform. https://www.reuters.com/world/us/us-house-republicans-drop-20-vehicle-registration-fee-boost-proposed-ev-fee-250-2025-04-30/
2025-04-30 11:39
Gold expected to average $3,065/oz in 2025, $3,000 in 2026 Silver expected to average $33.10/oz in 2025, $34.58/oz in 2026 Individual forecasts , April 30 (Reuters) - Analysts in a quarterly Reuters poll have forecast an average annual gold price above $3,000 for the first time, with global trade friction and a swing away from the U.S. dollar powering demand. The poll of 29 analysts and traders returned a median forecast of $3,065 per troy ounce of gold for this year, up from $2,756 predicted in a poll three months ago. The estimated price for 2026 rose to $3,000 from $2,700. Sign up here. Spot gold prices have risen by a quarter so far in 2025, almost equalling the 27% increase recorded for the whole of 2024. Bullion, often seen as a store of value during uncertain times, has averaged $2,952 so far this year, according to LSEG data. "Gold looks set for what can only be described as another epic year," said independent analyst Ross Norman. "Like in the early 2000s, gold is seeing buying on price strength which can have the effect of feeding upon itself." Bullion broke above the $3,000 mark for the first time in mid-March and topped $3,500 last week as the trade battle between the United States and China, the world's two largest economies, boosted safe-haven demand, on top of persistent central bank buying. Although the gold price has since eased to $3,273, analysts expect it to remain supported by the wild swings in U.S. tariff policies and what are likely to be protracted trade negotiations. "Gold's fortune will continue to depend on other markets' misfortune," said Ole Hansen, head of commodity strategy at Saxo Bank. Bullion will remain supported, according to Hansen, as long as the focus remains on de-dollarisation and the impact of U.S. tariffs on global growth and fiscal stability. At the same time, analysts warned of a crowded trade, while the high prices are curbing jewellery sector demand. "Price risks persist given the physical market is wavering and central bank flows – while positive – are slowing, while an unwinding of tariff risk and fading recession risk can stall gold's safe-haven appeal," said Standard Chartered analyst Suki Cooper. Silver, meanwhile, has underperformed gold with a rise of 12% so far this year, as it doesn't benefit from central bank buying while investment demand has been dampened by growth worries. Half of total demand for silver comes from the industrial sector. The poll forecast an average 2025 silver price of $33.10 per ounce, unchanged from the previous survey. It has averaged $32 so far this year. Analysts lifted their 2026 silver price forecast to $34.58 from $33.45, expecting a structural market deficit and the global clean energy transition to provide support. "Industrial demand is currently a little hampered by oversupply of solar cells but this should work its way through. Strengthening demand from autos and AI will also help to keep the market in a deficit of supply vs fabrication demand, which will widen in 2026," said StoneX analyst Rhona O'Connell. https://www.reuters.com/markets/commodities/annual-gold-price-forecast-tops-3000-first-time-2025-04-30/
2025-04-30 11:35
LONDON, April 30 (Reuters) - More than 50 companies and business groups across Europe have called on Britain and the EU to start talks at an upcoming summit on linking their carbon markets which they say will help curb costs for consumers. Britain is seeking enhanced cooperation on security, law enforcement and on removing trade barriers with the EU, when leaders meet on May 19. Sign up here. Both the EU and UK Emission Trading Systems (ETS) charge power plants and other industrial entities for each ton of carbon dioxide they emit as part of wider efforts to cut emissions and reach climate targets. “The EU and UK ETS linkage would create price convergence between the two schemes, whilst avoiding competitive distortions, preventing carbon leakage and reducing costs for both EU and UK consumers,” a letter signed by companies including Equinor (EQNR.OL) , opens new tab, Orsted (ORSTED.CO) , opens new tab and RWE (RWEG.DE) , opens new tab seen by Reuters said. Linking the two schemes would also likely mean Britain would avoid penalties under Europe’s Carbon Border Adjustment Mechanism which will impose an emissions fee on imports to the EU of steel, cement, aluminium, fertilisers, electricity and hydrogen from 2026. Energy groups have warned the design of the CBAM could see exports of clean, renewable power from Britain to the EU subject to extra costs which would add to already-high EU power prices and even lead to higher emissions. Currently, prices in the UK scheme trade around 48 pounds ($64.13) per metric ton lower than in the EU, where the equivalent benchmark contract trades around 66 euros ($75.01) a ton. Analysts have said linking the two systems would likely see UK prices rise to meet those of the EU which could increase direct carbon costs for UK businesses in the short term. In the longer term they say it will save costs because it will remove the proposed import levies. ($1 = 0.7484 pounds) ($1 = 0.8799 euros) https://www.reuters.com/sustainability/climate-energy/industry-groups-business-call-britain-eu-link-carbon-markets-2025-04-30/
2025-04-30 11:32
Repsol beat expectations in 1Q Shareholders' payout confirmed even in worsening scenario Company will reduce capex if necessary MADRID, April 30 (Reuters) - Spanish energy company Repsol (REP.MC) , opens new tab pledged on Wednesday to maintain its dividend payout policy and planned buyback for the year, even if market conditions deteriorate in coming quarters, after it reported better-than-expected first-quarter results. Adjusted net profit in the quarter dropped 48% from a year earlier to 651 million euros ($741 million), beating the company-provided average forecast of 642 million euros. Sign up here. The higher-than-expected results came despite oil refining margins more than halving from a year earlier, lower oil prices, a drop in margins in its chemical business and market volatility, it said. "During the first quarter of 2025, we have laid the groundwork to meet our objectives for the year, ensuring our commitment to shareholder remuneration, optimising investments and improving our portfolio through divestments that will represent a cash inflow of around 700 million euros," Chief Executive Josu Jon Imaz said in a statement. The company confirmed its shareholder payout target of between 30% and 35% of cash flow from operations. Shares in Repsol traded 0.2% higher in late morning - while Spain's blue chip index was down 1.5% - after opening in the red. The target would stand even if market conditions deteriorate - with oil refining margins falling to $4 per barrel and with a Brent crude oil price declining to $65 a barrel, down from a margin of $5.3 and crude at $76 during the first quarter. "Under this scenario, we will be able to maintain the control of net debt and respect our distribution commitments in any case," Imaz told analysts in a call to present the results. Even under this scenario, the company guarantees a buyback of at least 700 million euros this year, as previously pledged, he added. To offset the lower cash flow from operations, it would trim investments, he said. The company's net profit, including items relating to provisions, divestments and inventory, fell to 366 million euros from 969 million euros in the same period last year. ($1 = 0.8788 euros) https://www.reuters.com/business/energy/repsol-confirms-shareholder-payouts-after-first-quarter-beats-expectations-2025-04-30/
