2025-01-20 10:08
KAMPALA, Jan 20 (Reuters) - The Ugandan shilling firmed against the dollar on Monday, underpinned by healthy hard currency inflows from charities and commodity exporters, traders said. At 0920 GMT commercial banks quoted the shilling at 3,668/3,678, compared to Friday's closing of 3,680/3,690. Sign up here. https://www.reuters.com/markets/currencies/ugandan-shilling-firms-healthy-fx-flows-2025-01-20/
2025-01-20 10:07
KARACHI, Jan 20 (Reuters) - The Reko Diq copper and gold project in Pakistan is expected to generate approximately $74 billion in free cash flow over the next 37 years, based on consensus long-term prices, the CEO of joint owner Barrick Gold said in a media interview. Barrick Gold owns a 50% stake in the Reko Diq mine and the governments of Pakistan and the province of Balochistan own the other 50%. Barrick considers the mine one of the world's largest underdeveloped copper-gold areas, and its development is expected to have a significant impact on Pakistan's struggling economy. The project, which was delayed due to a long running dispute that ended in 2022, is expected to start production by the end of 2028. It will produce 200,000 tons of copper per year in its first phase, with an estimated cost of $5.5 billion. The first phase is expected to be completed by 2029, Barrick's CEO Mark Bristow told Pakistani digital media outlet Dawn News English. A second phase, estimated to cost $3.5 billion, will double production, he added. The mine is estimated to have reserves lasting 37 years but Bristow said that through upgrades and expansions it could potentially be mined for much longer. A free cash flow of $74 billion could generate significant dividends, royalties and taxes for Pakistan, which currently has only around $11 billion in foreign reserves. Barrick is also in talks with railway authorities and infrastructure providers to revamp the coal terminal in Port Qasim, on the outskirts of Pakistan's port city Karachi, to develop infrastructure to transport copper in the country and for export. Bristow said the project's timeline is on track, with fencing, accommodation, and surveys already completed. Saudi Arabian mining company Manara Minerals could invest in Pakistan's Reko Diq mine in the next two quarters, Pakistani Petroleum Minister Musadik Malik said last week. Executives from Manara visited Pakistan in May last year for talks about buying a stake in the project. Pakistan is also in talks with other Gulf countries about mining opportunities, Malik said. Sign up here. https://www.reuters.com/markets/commodities/pakistans-reko-diq-mine-generate-74-billion-free-cash-flow-over-37-years-barrick-2025-01-20/
2025-01-20 10:07
MUMBAI, Jan 20 (Reuters) - The Indian rupee closed modestly stronger on Monday as a softer dollar gave Asian currencies some breathing room ahead of U.S. President-elect Donald Trump's inauguration later in the day. The rupee closed at 86.5675 against the U.S. dollar, up from its close at 86.61 in the previous session. The dollar index was down 0.2% at 109.1 while Asian currencies were mostly higher between 0.1% and 0.7%. The offshore yuan rose to a two-week high buoyed by a friendly call between Trump and Chinese President Xi Jinping on Friday and better-than-expected fourth-quarter Chinese economic data. With Trump set to return to the White House, financial markets are expected to take their cues from policy announcements coming out of Washington this week. U.S. markets are closed on Monday for the Martin Luther King Jr. Day holiday. The dollar-rupee pair's implied volatility, a gauge of future expectations, has risen to a multi-month high across tenors, reflecting the uncertainty surrounding Trump's policies. The 1-month implied volatility rose to a peak of 4.3% on Monday, its highest level since August 2023. "There will be the risk of a correction in the dollar should it look like Trump will be more selective on tariffs after all – but that should probably come at a later stage," ING Bank said in a note. Trump previously pledged to impose 10% duties on all U.S. imports and 60% on goods from China. While Trump's policy measures may steal the limelight in the near term, persistent foreign portfolio outflows have been a sore point for the rupee. Overseas investors have net sold about $6.5 billion of local stocks and bonds in January so far, the steepest monthly outflow since October 2023. Sign up here. https://www.reuters.com/markets/currencies/rupee-ends-slightly-higher-dollar-dips-ahead-trumps-inauguration-2025-01-20/
2025-01-20 10:01
Feb 10 (Reuters) - The Kenyan shilling was flat against the dollar on Monday, data from the London Stock Exchange Group (LSEG) showed. At 0831 GMT, the shilling was quoted at 129.00/129.20 per dollar, the same level it closed on Friday. Sign up here. https://www.reuters.com/markets/currencies/kenyan-shilling-unchanged-against-dollar-lseg-data-shows-2025-02-10/
2025-01-20 07:50
SYDNEY, Jan 20 (Reuters) - Australia's Port Hedland, the world's largest iron ore export hub, has resumed operations after cyclone Sean moved away from the port, the Pilbara Ports Authority said on Monday. The port off the coast of Western Australia's Pilbara region, an iron ore-rich area twice the size of the United Kingdom, was closed on Saturday night over the threat from the cyclone. Port Hedland is used by BHP Group (BHP.AX) , opens new tab, Fortescue (FMG.AX) , opens new tab and billionaire Gina Rinehart's Hancock Prospecting. "We recommenced loading of vessels after Pilbara Ports Authority gave the all-clear, and our Port and Rail teams are returning to normal operations after high rainfall in Port Hedland," a BHP spokesperson told Reuters. A spokesperson for Fortescue said that no major damage had been reported across any of its Pilbara operations, while Rio Tinto (RIO.AX) , opens new tab, (RIO.L) , opens new tab said it will restore its operations after assessing the impact of flooding in its rail and port infrastructure. Sign up here. https://www.reuters.com/markets/commodities/australia-iron-ore-hub-resumes-operations-after-cyclone-threat-2025-01-20/
2025-01-20 07:48
Jan 20 (Reuters) - Goldman Sachs on Monday said the copper market is pricing in odds of about 50% that there will be a 10% U.S. tariff on the metal by the end of the first quarter of this year. Analysts at the U.S. investment bank said in a client note that the estimate is similar to their own 50% subjective probability of a 10% effective tariff on copper by year-end. Three-month copper on the London Metal Exchange eased 0.3% to $9,167 a metric ton as at 0706 GMT after reaching a one-month peak last week. President-elect Donald Trump returns to the White House later in the global day with an inauguration speech which traders will parse for policies to be enacted on day one. Trump has talked of tariffs of as much as 10% on global imports as well as 60% on Chinese goods and a 25% import surcharge on Canadian and Mexican products. Goldman also noted that the oil market is pricing in a nearly 40% chance of a 25% U.S. tariff on Canadian goods including oil, versus the bank's 15% subjective probability of a 25% effective tariff by the end of the year. Brent crude futures traded around $80.69 a barrel, while the more active U.S. West Texas Intermediate crude April contract was steady at $77.36. The investment bank assigned a 10% chance to a 10% effective tariff on gold being introduced within the next 12 months. It said bullion's status as a financial asset makes it likely to be exempt from broad-based tariffs. Spot gold prices were up 0.3% at $2,708.77 per ounce while U.S. gold futures were little changed at $2,749.70. The amount of gold stocks in COMEX-approved warehouses has jumped by one-third in the past six weeks as market players sought deliveries to hedge against the possibility of tariffs. Sign up here. https://www.reuters.com/markets/commodities/copper-market-sees-half-chance-10-us-tariff-by-first-quarter-end-goldman-says-2025-01-20/
