2025-01-29 12:41
Dollar strengthens against Swiss franc Canadian dollar weakens as Bank of Canada cuts rates Euro loses ground ahead of ECB decision NEW YORK, Jan 29 (Reuters) - The U.S. dollar was firmer against major currencies on Wednesday after the Federal Reserve left interest rates unchanged as widely expected but gave scant clues about further reductions in borrowing costs this year. Fed officials made a unanimous decision to keep the overnight interest rate in the current 4.25%-4.50% range, putting the central bank in a holding pattern as they await further inflation and jobs data and clarity on the impact of President Donald Trump's policies. During his press conference, Fed Chair Jerome Powell it is too soon to say what Trump's policies will do and the central bank's 2% inflation target will remain in place. "It seems pretty understandable and comprehensible that they are feeling confident that they may not need any rate cuts," said Juan Perez, director of trading at Monex USA in Washington. "And they're not making any promises. But at least in the questions that he's being asked, Powell is being very cautious that until there is some more evidence they're going to be on a wait-and-see mode. That is why you didn't see the FX market collapse. But you're seeing the dollar steady," Perez added. The dollar strengthened 0.35% to 0.907 against the Swiss franc . Against the Japanese yen , the dollar weakened 0.17% to 155.25. The euro was down 0.17% at $1.041. The dollar index , which measures the greenback against a basket of currencies including the yen and the euro, rose 0.09% to 108.02. The index touched a one-month low on Monday at 106.96 amid a global selloff in technology stocks and rush to safe-haven currencies such as the Japanese yen and Swiss franc, but the index is still up more than 4% since the U.S. election won by Trump in November. Howard Lutnick, a billionaire Wall Street CEO and Trump's nominee to head the Commerce Department, said at his U.S. Senate confirmation hearing on Wednesday that he has advised the president to pursue across-the-board tariffs country-by-country to restore "reciprocity" to America's trading relationships. The Bank of Canada cut its key policy rate by 25 bps to 3% on Wednesday, and told Canadians that a tariff war triggered by the United States could cause major economic damage. The Mexican peso < MXN=> strengthened 0.17% versus the dollar at 20.529. The Canadian dollar weakened 0.16% versus the greenback to C$1.44 per dollar. Bank lending to firms in the euro area picked up last month, indicating that rapid interest rate cuts have started to flow through to the real economy, European Central Bank data showed. The ECB is widely expected to cut rates on Thursday. Bitcoin gained 3.73% to $104,067.20. Ethereum rose 2.71% to $3,135.41. "The one thing that is established is that in comparison to everything else, the U.S. economy continues to be solid - and to the point where now the Federal Reserve, unlike most central banks, does not need to be stimulus driven," Perez said. Sign up here. https://www.reuters.com/markets/currencies/dollar-steadies-ahead-fed-decision-2025-01-29/
2025-01-29 12:36
Jan 29 (Reuters) - India's Deepak Fertilisers and Petrochemicals (DPFE.NS) , opens new tab posted a more-than-four-fold rise in its quarterly profit on Wednesday, aided by strong demand for its crop nutrition products and higher margins. The company's consolidated net profit increased to 2.51 billion rupees ($29 million) in the third quarter, from 575.6 million rupees a year earlier. Deepak Fertiliser's earnings before interest, taxes, depreciation and amortization (EBITDA) surged 72%, with margins increasing about 18%. The company said revenue in its crop nutrition business surged 55%, as an above-average monsoon improved crop yields. The company's chemicals business posted a relatively smaller 22% increase in revenue, which tempered overall revenue growth to 39.2% to a total of 25.79 billion rupees from a year ago. Deepak Fertilisers' year-ago results were impacted due to higher inventories, squeezing sales and profit. The company's shares jumped 11.4% to 128 rupees after the results. Sign up here. https://www.reuters.com/world/india/indias-deepak-fertilisers-posts-bigger-q3-profit-strong-fertiliser-demand-2025-01-29/
2025-01-29 12:36
NEW DELHI, Jan 29 (Reuters) - Nearly 40 people were killed in India's northern state of Uttar Pradesh on Wednesday and several others injured in a pre-dawn stampede at the Maha Kumbh Mela - a Hindu religious festival touted to be the largest human gathering in the world. Here are some details about the incident and the situation on the ground. WHEN The stampede occurred between 1 a.m. and 2 a.m. (1930 - 2030 GMT Tuesday) as tens of millions gathered at the confluence of holy rivers in Prayagraj city to take a 'holy dip' in the waters on the festival's most auspicious day. WHERE The incident occurred in the 4,000 hectare (9,900 acres) temporary city near the arena for ascetics on the 'Akhada Marg' (Arena Road) that is used by the ascetics to go in a procession to the river. WHAT HAPPENED The stampede occurred when several devotees tried to jump the barricades put up to manage the crowds during the ascetics' holy dip, officials said. Some witnesses spoke of routes to the water being closed, bringing the large crowd to a standstill and causing some people to collapse due to suffocation, while others began pushing, pulling, and climbing over them in an effort to escape. Others spoke of a huge push from the back that left them wedged between barricades on one side and police personnel wielding batons on the other. An official at a hospital where some of the injured were rushed said several victims had fractures and broken bones, and some of those who died had suffered heart attacks. THE CROWD A "large number" of people began descending upon Prayagraj on Tuesday evening as the most auspicious day of the festival - which saw almost 200 million attendees in its first two weeks - approached. More than 57 million people had taken a dip by 4 p.m. local time (1030 GMT) on Wednesday alone, officials said, and although the situation was eventually brought under control, the crowd remained "massive". CONTROLLING THE SITUATION Additional security has been deployed, including a special police unit trained to manage crisis situations, and police are regulating entry into the city to control the crowd. Authorities also streamlined the rituals on Wednesday, facilitating dips for devotees first, with ascetics starting their processions, which took place on a smaller scale than planned, only after the number of other attendees had come down. Sign up here. https://www.reuters.com/world/india/what-caused-stampede-indias-maha-kumbh-festival-that-killed-dozens-2025-01-29/
2025-01-29 12:29
BRUSSELS, Jan 29 (Reuters) - The European Commission has proposed Russian primary aluminium imports be included in its 16th package of sanctions on Russia over its invasion of Ukraine, the proposal document seen by Reuters showed. The proposal was circulated to member states on Tuesday with discussions due to start on Wednesday afternoon. "Additionally, decision ... introduces further restrictions on the import of primary aluminium which generates significant revenues for Russia, thereby enabling the continuation of its war," the document said. The ban would include aluminium alloys and have a one-year phase-in period, the proposal said, with "necessary" imports of 275,000 metric tons exempt for this period. Sign up here. https://www.reuters.com/markets/commodities/eu-commission-proposes-ban-russian-aluminium-new-sanctions-package-2025-01-29/
2025-01-29 12:18
Jan 29 (Reuters) - The pound fell against the dollar on Wednesday, while British finance minister Rachel Reeves outlined plans for growth, and as currency investors shifted their focus to the U.S. Federal Reserve's upcoming policy decision. Reeves backed on Wednesday the construction of a long-delayed new runway at London's Heathrow Airport, and also said Britain will boost its economy by resetting ties with the European Union and building on its special relationship with the United States. Reeves is under pressure to address investors' concerns about Britain's economy after a bond market selloff this month that drove government borrowing costs to their highest in decades. Later in the day, markets expect the U.S. Fed to hold rates steady at its policy meeting, with the dollar stabilising against a range of currencies ahead of the decision while uncertainties around U.S. trade tariffs linger. "The bigger question is rather what further cuts can be expected over the course of the year," said Commerzbank foreign exchange analyst Antje Praefcke. "Contrary to expectations, the new U.S. president did not immediately want to impose tariffs on 'everyone' after his inauguration, meaning that the possible inflationary effect of rising import prices in the U.S. and the corresponding (hawkish) reaction of the Fed have to be reassessed." Sterling fell for a second day against the dollar , trading down 0.2% at $1.2417. The currency took a hit against the U.S. unit and the euro at the beginning of January, when concerns mounted around Britain's economic outlook amid a global bond selloff. But some of the pressure on the British government has eased after yields on UK government bonds, called gilts, retreated from their recent highs. The pound edged up slightly against the euro , strengthening for a fifth day, with one euro at 83.76 pence. While investors have added to their bets on Bank of England rate cuts this year with 71 basis points priced in, they still expect the BoE to cut less than the European Central Bank, where markets see 90 bps of easing. Sign up here. https://www.reuters.com/markets/currencies/sterling-edges-down-uks-reeves-outlines-growth-plans-2025-01-29/
2025-01-29 12:15
PARIS, Jan 29 (Reuters) - Lithuania has reported an outbreak of highly pathogenic H5N1 avian influenza, commonly called bird flu, on a laying hen farm in the western part of the country, the World Organisation for Animal Health (WOAH) said on Wednesday. The outbreak killed 20,000 birds out of a flock of 246,387 in the Silute district, the Paris-based body said, quoting information from Lithuanian authorities. All remaining birds were culled. The spread of avian influenza, commonly called bird flu, has raised concerns among governments and the poultry industry after it ravaged flocks around the world in recent years, disrupting supply, fuelling higher food prices and raising the risk of human transmission. Sign up here. https://www.reuters.com/business/healthcare-pharmaceuticals/lithuania-reports-outbreak-h5n1-bird-flu-laying-hen-farm-woah-says-2025-01-29/
