2025-01-13 20:33
Santa Ana winds could reach 75 mph, threatening firefighting efforts More than 90,000 in Los Angeles area under evacuation orders At least 24 people dead, 12,000 structures damaged or destroyed Biden announces more disaster aid; banks ease mortgage terms LOS ANGELES, Jan 13 (Reuters) - Los Angeles firefighters braced for high winds overnight into Tuesday, gusts that could fuel two monstrous wildfires that have already leveled entire neighborhoods, killed at least two dozen people, and burned an area the size of Washington, D.C. A red flag warning was in effect late on Monday as dry, dangerous Santa Ana winds picked up speed. Gusts could hit 75 mph (120 kph) starting at around 4 a.m. Tuesday (1200 GMT), said David Roth, a meteorologist with the National Weather Service's Weather Prediction Center. More than 8,500 firefighters attacked the fires from the air and on the ground, preventing the conflagrations at either end of Los Angeles from spreading overnight. "This setup is about as bad as it gets," Los Angeles City Fire Chief Kristin Crowley told local residents. "We are not in the clear." Officials said California state authorities were pre-positioning firefighting crews in Los Angeles as well as other Southern California counties that were also under elevated fire danger. Highlighting the risks, a new small but fast-moving fire erupted in scrubland in the bed of the Santa Clara River in Ventura County, northwest of Los Angeles. Ground crews and several helicopters were working to contain what had been dubbed the Auto Fire, which was burning near a golf course but not yet threatening homes. The two main wildfires erupted last week, fueled by hurricane-force winds bringing dry air from inland deserts. At least 24 people have died in the fires since then, according to the Los Angeles County Medical Examiner. The wildfires have destroyed or damaged more than 12,000 structures, turning entire neighborhoods into smoldering ash and piles of rubble, leaving an apocalyptic landscape. As of Monday, more than 92,000 people in Los Angeles County were under evacuation orders - down from a previous high of more than 150,000 - while a further 89,000 faced evacuation warnings. The Palisades Fire, which wiped out upscale communities on the western flank of Los Angeles, burned 23,713 acres (96 square km) and was 14% contained, a figure representing the percentage of the fire's perimeter that firefighters have under control. The Eaton Fire in the foothills of the San Gabriel Mountains east of the city consumed another 14,117 acres (57 sq km) and was 33% contained, the California Department of Forestry and Fire Protection (Cal Fire) reported. A third fire of 799 acres (3.2 sq km) north of town was 95% contained and three other fires in the county have been fully brought under control in recent days. The Eaton fire damaged the Altadena home of Lorraine Bryan, 63, and destroyed two other dwellings on her property. She told Reuters she worries about getting additional doses of insulin that she needs to manage her diabetes. "I'm worried about insurance and about rebuilding and getting back on my feet," Bryan said Monday, standing in the doorway of her charred home. "I need my medication. I'm trying to see who can help us." DEATH AND ARRESTS Deputies are finding human remains every day as they search through burned-out parts of Altadena, where the Eaton fire first ignited, Los Angeles County Sheriff Robert Luna said. "It is a very grim task," Luna said, adding that he expected the confirmed death toll to rise in the days ahead. California Governor Gavin Newsom has said the firestorm could rank as the most devastating natural disaster in U.S. history. It is already the costliest wildfire in terms of insured losses. Los Angeles County District Attorney Nathan Hochman on Monday said 10 people had been arrested in connection with the fires. Nine people were arrested for residential burglaries of fire-stricken areas. One other person was arrested for arson, for allegedly attempting to set a tree on fire in the city of Azusa, about 20 miles (32 km) northeast of downtown Los Angeles. U.S. Senator Adam Schiff, a Democrat from California, said during a Monday press conference there was "a special place in hell" for looters. Flanked by law enforcement personnel, he added: "And if the folks behind me have anything to say about it, there'll be a special place in jail for you too." Meanwhile, the Los Angeles Department of Water and Power was sued on Monday on claims that it failed to properly manage water supplies critical to fighting the deadly Palisades Fire, a court filing showed. Residents who sued allege the department should have maintained water in a nearby reservoir, which was dry at the time the fire first erupted last Tuesday. AID AND POLITICS "Our hearts ache for the 24 innocent souls we have lost in the wildfires across Los Angeles," said U.S. President Joe Biden, who announced additional disaster assistance for California, covering costs for debris removal and emergency protective measures. But top Republicans in the U.S. Congress are considering imposing conditions on disaster aid, accusing the state's Democratic leadership of mismanaging water resources and forests. California Governor Newsom and other top Democrats in the state have come under withering criticism for their handling of the fires. President-elect Donald Trump planned to visit the disaster zone after he is inaugurated next week, a source familiar with the planning said. With thousands of homeowners facing costly rebuilding, large commercial banks including JPMorgan Chase and Bank of America have announced plans to ease mortgage repayment conditions for those affected. Insurers are looking at historic losses. Sign up here. https://www.reuters.com/world/us/los-angeles-high-alert-with-extreme-winds-due-return-2025-01-13/
2025-01-13 20:22
Canadian dollar gains 0.1% against the greenback Trades in a range of 1.4393 to 1.4447 Price of U.S. oil settles 2.9% higher 10-year yield rises to a six-month high TORONTO, Jan 13 (Reuters) - The Canadian dollar edged up against its U.S. counterpart on Monday and bond yields climbed to multi-month highs, with the currency recouping a small part of its recent declines that were owed in part to the threat of U.S. trade tariffs. The loonie was trading 0.1% higher at 1.4405 to the U.S. dollar, or 69.42 U.S. cents, after moving in a range of 1.4393 to 1.4447. In December, the currency touched a near 5-year low at 1.4467. "It does feel like the market is paying a lot of tribute to the potential incoming tariffs from the United States and also what that could mean for the Bank of Canada," said Bipan Rai, head of ETF and structured solutions strategy at BMO Global Asset Management. "There is a lot priced in already with respect to the loonie in terms of incoming risk." The Bank of Canada has said the possibility of U.S. tariffs represented a major new uncertainty. Still, investors have become slightly less confident the BoC will continue cutting interest rates this month after data on Friday showed that the Canadian economy added many more jobs than expected in December. Speculators have raised their bearish bets on the Canadian dollar to historically high levels, data from the U.S. Commodity Futures Trading Commission has shown in recent weeks. The U.S. dollar (.DXY) , opens new tab extended its recent gains against a basket of major currencies as investors scaled back bets of Federal Reserve rate cuts this year. The price of oil, one of Canada's major exports, settled 2.9% higher at $78.82 a barrel on expectations that wider U.S. sanctions on Russian oil would force buyers in India and China to seek other suppliers. The Canadian 10-year yield was up 6.5 basis points at 3.507%, its seventh straight day of increases and its highest level since July 9. Sign up here. https://www.reuters.com/markets/currencies/canadian-dollar-ends-daily-losing-streak-bond-yields-climb-2025-01-13/
2025-01-13 20:04
Cliffs examining bid for U.S. Steel in high-$30s per share-source Would then sell Big River Steel mill to partner Nucor-source Follows Biden blocking Nippon Steel's $55 a share cash bid for U.S. Steel Cliffs CEO said on Monday he wanted to bid again for U.S. Steel but did not give details Jan 13 (Reuters) - Cleveland-Cliffs (CLF.N) , opens new tab is partnering with peer Nucor (NUE.N) , opens new tab to prepare a potential all-cash bid for U.S. Steel (X.N) , opens new tab, with an offer in the high $30s per share, a person familiar with the matter said on Monday. Cliffs is aiming to purchase all of U.S. Steel and then sell its Big River Steel mill to Nucor if the deal is completed, the person added on condition of anonymity because the details have not been made public. Cliffs CEO Lourenco Goncalves reiterated in a wide-ranging press conference on Monday in Butler, Pennsylvania, that he wanted to bid again for U.S. Steel after making a rejected offer in 2023 and had a plan, but declined to elaborate on details. "I'm happy that I'm in a position to make an offer that will execute on the wishes of the board and the management," Goncalves said. "They sell, they go away. We take over. We do good. America will be better, America will be stronger," he added. U.S. Steel shares closed at $36.34 on Monday. Nucor did not respond immediately to a request for comment. Cliffs' potential bid, first reported by CNBC, appeared aimed at ratcheting up pressure on Japan's Nippon Steel (5401.T) , opens new tab, whose imperiled $14.9 billion bid for U.S. Steel was blocked by President Joe Biden in a Jan. 7 executive order that cited unspecified national security concerns. Nippon Steel, which had offered $55 a share cash for U.S. Steel, declined to comment. U.S. Steel said in a statement it remained "committed to completing" its merger with Nippon Steel. "Only Nippon Steel's partnership will deliver $55 per share to our shareholders and guarantee the significant capital investments and technology sharing needed to ensure a strong U.S. Steel for generations to come and protect jobs," it added. Enforcement of Biden's order, which gave the parties 30 days to unwind the transaction, was postponed until June after the companies sued the U.S. president, alleging he violated the constitution by depriving them of due process when he blocked the deal. Nippon Steel and U.S. Steel also sued Goncalves and Cliffs, alleging "illegal and coordinated actions" aimed at scuttling the deal in order to "monopolize the domestic steel markets." Cliffs described the lawsuit as "baseless." EARLIER CLIFFS OFFER Steelmaker and iron ore miner Cliffs, which has been led by Brazilian-born Goncalves for more than a decade, made an unsolicited bid for U.S. Steel in August 2023 at $54 per share, with half offered in company stock. It won the support of the United Steelworkers union, arguing the companies combined would "create a lower-cost, more innovative, and stronger domestic supplier." But U.S. Steel raised concerns that a tie-up with Cliffs risked being shot down by antitrust regulators because it would consolidate the supply of steel to U.S. automakers and put up to 95% of U.S. iron ore production under the control of one company. U.S. Steel's board rejected the offer. Nippon Steel's December 2023 all-cash offer was higher than Cliffs' and the Japanese company later promised to revitalize U.S. Steel's aging mills with investment from an allied nation. But the offer became politicized, with both Biden and Republican President-elect Donald Trump pledging to kill the deal as they wooed voters in the swing state of Pennsylvania where U.S. Steel is headquartered. Trump and Biden both asserted the company should remain American-owned after USW President David McCall expressed his opposition to the tie-up. Citing media reports that "other companies" were considering a bid for U.S. Steel, USW said in a statement on Monday that it would "subject the potential transaction to the same scrutiny as any other bid, with our measuring stick, as always, being its impact on our facilities and jobs, as well as the long-term security of our industry." GONCALVES TAKES AIM AT JAPAN Goncalves also took aim at Japan in his press conference Monday, describing it as "worse than China," as he sought to disparage Nippon Steel's homeland. "China is bad, China is evil, China is horrible, but Japan is worse, Japan is a lot worse," he said, saying Japan taught China how to "dump, how to have over-capacity, how to overproduce" steel in the U.S. market, driving down prices. The Japanese embassy and the Chinese embassy in Washington did not immediately respond to requests for comment. U.S. Steel said it was "incredibly disappointed in the verbal attacks levied by Mr. Goncalves", including those against Nippon Steel and the people of Japan, "a critical U.S. ally." Sign up here. https://www.reuters.com/markets/deals/cleveland-cliffs-partners-with-nucor-potentially-bid-us-steel-cnbc-reports-2025-01-13/
2025-01-13 18:56
Mali seizes $245 million in gold from Barrick's Loulo-Gounkoto complex -sources Court order says Barrick-run mines owe $5.5 billion to Mali's economy ministry Barrick disputes financial demands by Mali govt Suspension could cut Barrick's earnings by 11% in 2025, Jefferies analysts estimate DAKAR, Jan 13 (Reuters) - Canadian miner Barrick Gold (ABX.TO) , opens new tab said it will have to suspend mining operations in Mali after the government seized gold stocks from the company's Loulo-Gounkoto complex and flew them out by helicopter over the weekend. Around three metric tons had been taken from the mining complex in western Mali on Saturday, two sources told Reuters on Monday, with one putting the value of the gold at $245 million. In a letter to the Malian government on Monday, Barrick said the seizure meant it would now be "obliged" to temporarily suspend mining operations at the Loulo and Gounkoto mines. The seized gold will be transported to the state-owned Banque Malienne de Solidarite (BMS) in the capital Bamako, two sources said. Barrick shares on the Toronto stock exchange were down 1.9% shortly before the close of trading on Monday. One source said eyewitnesses at the mining complex had described gold being shipped in two separate air force helicopter loads. The second source said the seizure was part of a confiscation order that a judge issued last week. In its letter to the Malian government, Barrick said the seizure of the gold meant it was no longer covered by Barrick's insurance. It added that it was waiting for confirmation that the gold removed from its site had arrived at the Banque Malienne de Solidarite and for proof that the gold held there was insured. In a separate court order, dated Jan. 2 and also seen by Reuters on Monday, Judge Boubacar Moussa Diarra had ordered the seizure of the stock and said Mali's economy ministry claimed the two mines operated by Barrick in the country owed a total of $5.5 billion to the government, a much higher figure than previously estimated. Barrick has been in a dispute with Mali's government since 2023 over a contract based on new mining rules. The row has escalated several times, with Mali detaining senior executives and issuing an arrest warrant for Barrick CEO Mark Bristow. On Friday, the International Centre for Settlement of Investment Disputes registered Barrick's request for arbitration proceedings against Mali, according to public documents. Military governments in Mali, Burkina Faso and Niger are all seeking to renegotiate terms to gain a bigger share of mining revenue at a time when gold prices have hit record highs. Neither Barrick nor the Malian authorities immediately responded to requests for comment. The sources spoke on condition of anonymity as they were not authorised to discuss publicly the confidential orders. Barrick said in a note to Malian staff on Sunday that the government had begun enforcing an order to seize the gold, and warned again that it may have to suspend operations at the complex over the long-running dispute. Jefferies analysts have estimated that suspending production at the mine could cut Barrick's earnings before interest, tax and amortisation by 11% in 2025. Mali had previously demanded about $500 million in unpaid taxes from Barrick, sources told Reuters. Barrick denies any wrongdoing. The company's quarterly earnings report says it did pay $85 million to the Malian government in October. Barrick warned last month of a significant deterioration of conditions at Loulo-Gounkoto, with employees detained without cause and shipments of bullion blocked. The company owns 80% of the mining complex, with the Mali government owning 20%. Sign up here. https://www.reuters.com/markets/commodities/mali-started-flying-gold-stocks-out-barrick-site-saturday-sources-say-2025-01-13/
2025-01-13 18:19
Jan 13 (Reuters) - Southern Japan was hit by a strong earthquake on Monday that authorities said did not warrant the kind of megaquake warning that was triggered for the first time last year. A quake with a preliminary magnitude of 6.9 struck the Kyushu region at 9:19 p.m. (0019 GMT) on Monday, the Japan Meteorological Agency said. After an investigation, the JMA said the quake did not warrant special measures related to seismic activity in the Nankai Trough. The Nankai Trough, where the Philippine Sea Plate is slipping under the Eurasia Plate at the bottom of the sea off the southwest coast of Japan, produces massive earthquakes about every 100-150 years. Strong quakes nearby are seen as a potential indication that a megaquake could be more likely. The JMA in August issued a week-long advisory for a "relatively higher chance" of a megaquake as powerful as magnitude 9 after a magnitude-7.1 quake hit the country's southwest. After Monday's quake, tsunami advisories for waves of a maximum height of one metre (3.3 ft) were issued for the southern prefectures of Miyazaki and Kochi. A 20-centimetre (7.8 inches) tsunami was later recorded reaching Miyazaki city, public broadcaster NHK reported. All tsunami advisories were lifted around 0250 GMT. There were no abnormalities reported at the Ikata Nuclear Power Plant in western Japan or the Sendai Nuclear Power Plant in Kagoshima prefecture, NHK said, referring to the two plants nearest to where the quake occurred. Sign up here. https://www.reuters.com/business/environment/magnitude-66-earthquake-strikes-kyushu-japan-emsc-says-2025-01-13/
2025-01-13 18:19
BRUSSELS, Jan 13 (Reuters) - Ten European Union countries have called for the 27-nation bloc to ban imports of pipeline gas and liquefied natural gas (LNG) from Russia, a document seen by Reuters showed, as Europe debates fresh sanctions on Moscow over the war in Ukraine. The EU is preparing its 16th package of sanctions targeting Russia's economy, ahead of the third anniversary of Moscow's full-scale invasion of Ukraine in February 2022. The 10 countries, including the Czech Republic, Denmark, Estonia and Finland, want Europe to go further in targeting Russia's fuel exports, to cut the revenues flowing to Moscow. "As an end goal, it is necessary to ban the import of Russian gas and LNG at the earliest date possible," the countries said in a joint paper seen by Reuters. It was also signed by Ireland, Latvia, Lithuania, Poland, Romania and Sweden. "An alternative to the full ban could be to gradually reduce the use of Russian gas and LNG as has also already been set out in the RePowerEU Roadmap," the document said, referring to the EU's existing aim to end its use of Russian fossil fuels by 2027. The EU has already sanctioned seaborne oil imports from Russia, but so far not banned gas imports from Moscow because some EU countries continue to rely on them. The 10 countries said Russian LNG tankers should also be banned from docking inside the EU. The document was reported earlier on Monday by Bloomberg News. The European Commission is drafting a more detailed plan to wean countries off Russian energy. Sanctions - the most direct way to shut off Russian fuel imports - would require unanimous approval from all EU countries. Hungarian Prime Minister Viktor Orban has previously opposed Russian energy sanctions, while Slovak Prime Minister Robert Fico said last week he had secured Slovakia's gas supply during a visit to meet Russian President Vladimir Putin in December. Europe's gas imports from former top supplier Russia have plunged since 2022, and the bloc has hiked imports of U.S. LNG and expanded its use of renewable energy to help fill the gap. Russian gas imports dropped further this month, when a contract bringing Russian fuel to Europe via Ukraine expired. Slovakia has vowed to try to resume that deal. Sign up here. https://www.reuters.com/world/europe/ten-eu-countries-call-sanctions-russian-gas-lng-document-shows-2025-01-13/
