2026-01-12 21:00
Financial stocks fall as Trump calls for cap on credit card rate Walmart shares gain, helping Nasdaq where its shares are now Indexes: Dow up 0.2%, S&P 500 up 0.2%, Nasdaq up 0.3% NEW YORK, Jan 12 (Reuters) - The S&P 500 and Dow registered record closing highs on Monday, with shares of technology companies and retailer Walmart gaining and as investors mostly brushed aside concerns about the U.S. Justice Department's criminal investigation of Federal Reserve Chair Jerome Powell. Shares of Walmart (WMT.O) , opens new tab climbed 3%, boosting to the S&P 500 and the Nasdaq, where the retail giant moved its stock listing last month from the NYSE. Consumer staples (.SPLRCS) , opens new tab rose 1.4% and led sector gainers, while technology (.SPLRCT) , opens new tab also increased. Sign up here. Walmart is set to join the Nasdaq-100 index (.NDX) , opens new tab on January 20, a shift that could draw in billions of dollars from passive index funds. Stocks had opened lower on the news surrounding Powell. The Justice Department's threat of indictment, ostensibly focused on comments Powell made to Congress about a building renovation project, ramped up concerns about the Fed's independence. Powell called the move a "pretext" to gain more influence over interest rates that President Donald Trump has pressed to cut sharply since he took office in January 2025. "The news that Powell is being investigated by the Justice Department was basically telegraphed by Trump, and so I think the market is taking it in stride for now," said Peter Cardillo, chief market economist at Spartan Capital Securities in New York. "The fact that you had former Fed governors come out in support of Powell ... is also comforting to markets," he said. Investors also are looking ahead to the fourth-quarter U.S. earnings season, Cardillo said. Analysts see the technology sector leading S&P 500 earnings growth for the quarter, with a 26.5% year-over-year gain, according to LSEG data. They see overall S&P 500 companies' earnings for the quarter up 8.8% from a year ago. The reporting period unofficially begins Tuesday with results from JPMorgan Chase (JPM.N) , opens new tab and other big banks. The Dow Jones Industrial Average (.DJI) , opens new tab rose 86.13 points, or 0.17%, to 49,590.20, the S&P 500 (.SPX) , opens new tab gained 10.99 points, or 0.16%, to 6,977.27 and the Nasdaq Composite (.IXIC) , opens new tab gained 62.56 points, or 0.26%, to 23,733.90. Shares of lenders and credit card firms came under pressure after Trump called for a one-year cap on credit card interest rates at 10% starting on January 20. Financials (.SPSY) , opens new tab were down 0.8% on the day and led sector decliners in the S&P 500. Citigroup (C.N) , opens new tab tumbled 3%, while credit-card firm American Express (AXP.N) , opens new tab fell 4.3%. Consumer finance firms also dropped, including Capital One (COF.N) , opens new tab, which ended down 6.4%. Buy-now, pay-later firm Affirm Holdings (AFRM.O) , opens new tab fell 6.6%. Investors also await Tuesday's U.S. consumer price index report, which could influence the outlook for Fed rate cuts. Markets for now are betting on at least two more quarter-point cuts before year-end, according to LSEG data. Volume on U.S. exchanges was 17.29 billion shares, compared with the 16.40 billion average for the full session over the last 20 trading days. Advancing issues outnumbered decliners by a 1.68-to-1 ratio on the NYSE. There were 725 new highs and 48 new lows on the NYSE. On the Nasdaq, 2,613 stocks rose and 2,144 fell as advancing issues outnumbered decliners by a 1.22-to-1 ratio. https://www.reuters.com/business/finance/wall-st-futures-slip-worries-over-fed-independence-financial-stocks-slide-2026-01-12/
2026-01-12 20:43
Jan 12 (Reuters) - Danish shipping firm Maersk (MAERSKb.CO) , opens new tab said on Monday that another of its vessels successfully navigated the Red Sea and Bab el-Mandeb Strait, weeks after it tested the route as a ceasefire in Gaza raised hopes for normal shipping traffic. "On 11-12 January 2026, the U.S.-flagged vessel Maersk Denver voyage 552W, currently operating on the MECL service, successfully transited the Bab el-Mandeb Strait and into the Red Sea," Maersk said in a statement. Sign up here. "Assuming that security thresholds continue to be met, we will continue our stepwise approach towards gradually resuming navigation along the East-West corridor via the Suez Canal and the Red Sea. There are no additional sailings to announce at this time," Maersk added. https://www.reuters.com/business/energy/maersk-navigates-red-sea-route-again-gaza-ceasefire-holds-2026-01-12/
2026-01-12 20:18
WASHINGTON, Jan 12 (Reuters) - The American Petroleum Institute supports the Environmental Protection Agency's proposal to repeal the foundation of greenhouse gas regulations for vehicles but not for power plants and other stationary industrial facilities, its president said on Monday. "We would not support repealing the endangerment finding for stationary sources," API President Mike Sommers told reporters, adding that the trade group believes it has "the greatest standing" from a regulatory perspective and it is clear the EPA has authority to regulate greenhouse gas emissions from those sources. Sign up here. The EPA plans to finalize its proposal to repeal its scientific determination that greenhouse gas emissions endanger public health, called the endangerment finding. Such a move would remove within days the legal foundation that underpins all major climate regulations. Reversal of the "endangerment finding" would gut one of the most consequential federal standards that had enabled the U.S. to tackle climate change by regulating vehicles, industries, and energy-producing facilities that emit heat-trapping greenhouse gases. Environmental groups have said that the scientific finding made in 2009 is even less in dispute today and should be left intact, with vehicle emission rules Washington's biggest tool to combat climate change. President Donald Trump has called climate change a hoax and global efforts to reduce emissions a "con job." “The science establishing harm to human health and the environment from global warming emissions was evident in 2009 and it’s even more undeniable today," said Gretchen Goldman, president of the Union of Concerned Scientists. Sommers said API believes that a separate endangerment finding for stationary sources should remain in place, which would require the EPA to regulate the potent greenhouse gas called methane from the oil and gas sector. The industry supports that rule. The EPA has delayed by 18 months implementation of former President Joe Biden's methane rules. "We were appreciative of the delays that EPA announced last year, and what we're doing now is working with them on crafting durable rules that we think are common sense and provide the flexibility needed to maintain production levels while still reducing emissions and incentivizing continued innovation in this space," API's senior vice president for regulatory affairs Dustin Meyer said. https://www.reuters.com/business/energy/venezuela-security-policy-reform-needed-us-oil-industry-move-api-chief-says-2026-01-12/
2026-01-12 20:02
Jan 12 (Reuters) - The state-appointed administrators of Acciaierie d’Italia's steel plants are seeking 7 billion euros ($8.17 billion) in damages from its former owner ArcelorMittal (MT.LU) , opens new tab, the Financial Times reported on Monday. As the government seeks a new buyer for the steelmaker, Acciaierie d'Italia (ADI), formerly known as ILVA, has sued over alleged mismanagement of the steelworks, the report said, citing a complaint filed with a Milan court this month. Sign up here. Italy's Industry Minister Adolfo Urso in December said that the commissioners of the plant would launch a 5-billion-euro damages claim against ArcelorMittal. The government took over administration of the plant in early 2024. "The forensic due diligence carried out by the commissioners has shown that the company's financial imbalances are the result of a wilful and precise strategy, pursued over time, aimed at systematically and unilaterally transferring financial resources from the company to its parent company," the complaint, quoted by the FT, said. ArcelorMittal and Italy's economy ministry did not immediately respond to a Reuters request for comment. In September last year, the steelmaker said it had received 10 bids for the plant, but that only two of the bidders - Azerbaijan's Baku Steel Company working with Azerbaijan Investment Company, and India's Jindal Steel International - were interested in purchasing all of the company's assets. ADI, which is struggling to maintain production amid rising energy costs and weak demand, is a major headache for Italian Prime Minister Giorgia Meloni because its closure would have major knock-on effects for the country's manufacturing sector. ($1 = 0.8569 euros) https://www.reuters.com/business/italy-seeks-over-8-billion-damages-arcelormittal-over-ilva-steelworks-ft-reports-2026-01-12/
2026-01-12 19:54
G7+ discusses price floors for rare earths to cut China's market influence Klingbeil emphasizes cooperation, not confrontation, with China Foreign ministers to meet soon on rare earths strategy WASHINGTON, Jan 12 (Reuters) - Finance ministers from a group of advanced economies meeting in Washington on Monday discussed a possible price floor as well as partnerships to secure strategic rare-earth supplies, Germany's Lars Klingbeil said, adding that many issues remained open. "There are a whole series of questions that remain open and that are to be clarified in the coming weeks —not only among finance ministers, but also among foreign ministers and energy ministers," Klingbeil said. Sign up here. He said discussion had just started but the issue would be a central topic under the French presidency of the Group of Seven advanced economies this year. The meeting in Washington brought finance ministers from the G7 as well as their counterparts from Australia, Mexico, South Korea and India. Klingbeil said a meeting of foreign ministers to address rare earths will take place soon. PRICE FLOORS FOR RARE EARTHS ON THE TABLE The finance ministers discussed price floors for rare earths, a minimum price ensuring producers outside of China receive at least that level even if market prices fall due to China's dominance and ability to flood markets with supply. "This is not about working against anyone, but about strengthening cooperation among partners," Klingbeil said. There has been no reaction from China to the meeting, he said, while stressing that Germany's strategy towards China is de-risking, not decoupling. "The advantage of minimum prices is indeed that the market then knows what prices it can expect, and that we can minimize the influence of countries that may then try to influence market prices," Klingbeil said. Nevertheless, he said countries need to weigh carefully the consequences that price floors could have in the coming years. "The discussion has now begun and we want to bring it to a quick conclusion," Klingbeil said. https://www.reuters.com/world/china/germanys-finance-minister-klingbeil-says-washington-meeting-addressed-rare-earth-2026-01-12/
2026-01-12 19:36
LONDON/NEW YORK/WASHINGTON, Jan 12 (Reuters) - Private equity giant Carlyle (CG.O) , opens new tab, a group comprising oil major Chevron (CVX.N) , opens new tab and Quantum Capital Group as well as UAE-based investor International Holding Company (IHC.AD) , opens new tab are competing for the global assets of Russia's Lukoil (LKOH.MM) , opens new tab as a U.S. deadline to sell them expires this week, sources said. The United States imposed sanctions on Lukoil and its peer Rosneft ROSN.MM in October to push the Kremlin to a peace deal with Ukraine and has given Lukoil until January 17 to sell its global portfolio, valued at $22 billion. Sign up here. The assets include oil fields in many countries including Iraq, Azerbaijan and Kazakhstan as well as refineries and petrol stations in Europe and the United States. The firm's operations have been disrupted around the world due to sanctions and a lack of banking lines while Iraq has nationalised Lukoil's biggest oil field, West Qurna 2. Lukoil has been holding talks with potential investors since November, the four industry sources said. Carlyle declined to comment. IHC did not respond to a request for comment. Chevron and Quantum declined to comment. Once Lukoil reaches a deal, the future buyer needs to obtain clearance from the U.S. Department of the Treasury's Office of Foreign Assets Control, according to U.S. regulations. OFAC may extend the current general licence and allow negotiations between Lukoil and buyers to continue, three of the four sources said. Treasury did not immediately respond to a request for comment. OFAC may opt to grant individual licences to one or several potential buyers before the January 17 deadline, a fifth source said. Treasury has blocked two attempted deals so far, first between Lukoil and Swiss trading group Gunvor in October and a proposed share swap engineered by Xtellus Partners, the former U.S. arm of Russian bank VTB, in December. https://www.reuters.com/business/energy/carlyle-chevron-quantum-partnership-among-frontrunners-lukoil-assets-sources-say-2026-01-12/
