2024-10-17 20:34

TSX ends up 0.5%, at 24,690.48 Eclipses Wednesday's all-time peak Energy rises 1.2%; oil settles higher Materials gains 0.7%; gold hits record high Oct 17 (Reuters) - Canada's main stock index extended its record-setting run on Thursday, led by gains for resource and financial shares, as commodity prices rose and U.S. retail sales data bolstered investor optimism about the economy. The Toronto Stock Exchange's S&P/TSX composite index (.GSPTSE) , opens new tab ended up 129.28 points, or 0.5%, at 24,690.48, eclipsing the record closing high it posted on Wednesday. U.S. retail sales increased solidly in September, supporting the view that the economy maintained a strong growth pace in the third quarter. "You have an economy that remains on solid footing, corporate profits on the rise, and central banks letting off the brakes," said Angelo Kourkafas, investment strategist at Edward Jones Investments. "And all of that adds to the soft-landing optimism that has fueled the market gains so far here to date." Canada sends about 75% of its exports to the United States, including oil. Oil settled 0.4% higher at $70.67 a barrel after data showed falling crude and fuel inventories in the United States. The energy group rose 1.2%, while materials, which includes fertilizer companies and metal mining shares, added 0.7% as gold climbed to an all-time high. Financials, the Toronto market's most heavily weighted sector, advanced 0.6% as bank stocks added to their recent gains. "The mostly upbeat earnings reports we've seen from U.S. banks has helped support Canadian financials", along with expectations of an aggressive interest rate cut in Canada, said Douglas Porter, chief economist at BMO Capital Markets. The BoC will cut its benchmark interest rate by an unusually large 50 basis points next week as price pressures ease, according to two-thirds of economists polled by Reuters. BRP Inc (DOO.TO) , opens new tab said it's initiating a process for the sale of its marine businesses. Its shares ended 0.7% higher. Sign up here. https://www.reuters.com/markets/tsx-futures-rise-strength-oil-gold-prices-2024-10-17/

2024-10-17 20:29

CHICAGO, Oct 17 (Reuters) - Archer-Daniels-Midland Co (ADM.N) , opens new tab intentionally failed to test and maintain safety systems on its grain equipment for years, which contributed to an explosion that immolated a worker and put him in a coma last year, according to a lawsuit filed against the company. The explosion was part of a string of safety incidents at ADM facilities in Decatur, Illinois, site of the global grain trader's North American headquarters. ADM on Thursday declined to comment on the lawsuit. The company's shares have been under pressure this year from a global glut of grain supplies, and it is also facing U.S. government investigations related to accounting irregularities. The lawsuit, filed on Wednesday in Macon County Circuit Court in Illinois, alleges that worker Antonio McElrath was in a Decatur facility known as the West Plant in April 2023 when a supervisor told him to shut down a grain "leg" tube that started smoking. An explosion occurred when the tube was opened, and McElrath was standing in its direct path, according to the lawsuit. McElrath, now 44, was in an induced coma for two to three weeks following the accident, his attorney Timothy Shay said. "He has suffered significant injuries and is still in recovery." Investigators with the U.S. Department of Labor's Occupational Safety and Health Administration found that ADM failed to inspect or test critical safety systems in the explosion that injured McElrath and two other workers. ADM had fire and explosion suppression systems in place to prevent problems and keep workers safe, but the systems were not working, the lawsuit alleges. ADM's sprawling grain and oilseed processing complex in Decatur also suffered dust explosions in 2018 and 2019, fires in 2019, and a smoldering event this summer at the West Plant, according to the lawsuit. Separately, workers were injured from an explosion at the site's East Plant in September 2023. And on Monday, an industrial fire broke out at ADM's sorbitol production department of its East Plant, according to the Decatur Fire Department. ADM has focused on safety efforts companywide, ADM spokeswoman Jackie Anderson said in an email statement late on Thursday. At its Decatur complex over the past year, the company has hired process safety engineers and taken other steps to improve safety in its processes, among other steps, Anderson said. "We are fully committed to learning and improving when an operational event occurs so that it does not happen again." Sign up here. https://www.reuters.com/business/adm-accused-misconduct-lack-safety-inspections-after-explosion-hurt-us-worker-2024-10-17/

2024-10-17 19:46

CHICAGO, Oct 17 (Reuters) - Hurricane Milton caused an estimated $1.5 billion to $2.5 billion in damage to Florida's crops and agricultural infrastructure, according to a preliminary assessment released by the state's Department of Agriculture and Consumer Services on Thursday. The majority of Florida's citrus producing counties were hit with high winds and flooding, along with areas that raise dairy cattle and produce products like cotton, peanuts, rice, blueberries, strawberries and other tropical fruits, the agency said. Milton came ashore as a Category 3 hurricane on Oct. 9 and carved a swathe of destruction across 51 counties, 34 of which were declared disaster areas, with widespread flooding and wind damage. Florida's citrus sector sustained "significant production losses" and likely long-term impacts, the agency said. "Most of these losses are due to fruit drop, damage to branches, and impacts from heavy precipitation and flooding. Growers are also reporting heavy infrastructure damage, and there are major concerns of flood-caused tree mortality in the near-future," it said in the preliminary report based on initial reporting and communication with farmers. "Minor to catastrophic damages" were expected in cotton, peanut and rice areas. The state's dairy and cattle operations were also severely hit with "significant infrastructure damages" while power outages in the storm's wake disrupted cow milking and production. More complete damage assessments will be released at more information is gathered, the agency said. Sign up here. https://www.reuters.com/markets/commodities/milton-caused-15-25-bln-losses-florida-agriculture-state-dept-ag-says-2024-10-17/

2024-10-17 19:07

Storm-ravaged southeastern United States starts voting in Nov. election Parties try to assess impact of storm on voter turnout Georgia, North Carolina could tip presidential race HENDERSONVILLE, North Carolina, Oct 17 (Reuters) - Polls opened for early voting on Thursday in North Carolina - a critical battleground in the Nov. 5 U.S. presidential election - just weeks after Hurricane Helene left some residents still without power, running water or phone service. North Carolina could be crucial in determining a winner in the race between U.S. Vice President Kamala Harris, a Democrat, and Republican former President Donald Trump because its voting preferences could swing either way. Polls show a very tight race overall with a handful of swing states likely to determine the winner. Hurricane Helene, which killed more than 200 people across six states and caused billions of dollars in damage, has sparked questions on how it might impact voter turnout. Harvey Neal, a 71-year-old retiree, voted at the lone early voting site in Hendersonville, North Carolina, as a steady stream of voters filed in and out of the center on Thursday morning. Neal cast his vote for Harris. "She's young, she's a Democrat," he said. "And, you know, what's the alternative?" Neal considers himself relatively fortunate following the hurricane as nothing hit his house, though he had been without power for four or five days. First-time voter Trevor Miller, a 21-year-old student, said he voted for Trump. "I just want to be able to live the best way possible, and I felt like with my vote that that could happen." Trump and Harris are in a dead heat in North Carolina, with Trump showing 48% support in state polls, versus 47.5% for Harris, according to poll aggregator FiveThirtyEight. Some of the state's hardest hit counties lean both Republican and Democratic. For instance, Buncombe County - home to the city of Asheville - supported President Joe Biden in the 2020 election versus Trump, while neighboring Yancey County favored Trump. North Carolina's state elections board has spent weeks assessing storm damage to polling locations. On Thursday, 76 early voting sites were set to open to voters in the 25 western North Carolina counties listed in the federal disaster declaration. That compares to 80 planned before the storm. Early voting has been the most popular way for North Carolinians to cast a ballot in both the 2020 and 2016 elections, according to the state. Early voting started on Tuesday in Georgia, another closely contested state that was hit by storm damage. Still, near polling sites in western North Carolina were reminders of the destruction the region has faced, with trees uprooted and debris piled on the sides of roads. In Swannanoa, buildings still lay reduced to rubble and a house-sized chunk of the ground was caved in along a main street. Gene Dickinson, a 75-year-old resident of Asheville, said he had been planning to vote for Trump this year but has been too busy helping run supplies to those in need since the hurricane to think about voting. "With everything that's going on, I haven't even thought about that," he said outside of a FEMA recovery center. "I've heard about it, but we don't have any TV or anything." In Burnsville, Tina Veitch, a 49-year-old graphic designer, said the road to her family's house was destroyed by the storm. But one of the reasons she has stayed in the area, instead of seeking refuge with family in Florida, is so she can vote. She said on Wednesday that the process to vote by absentee ballot was too arduous, adding: "The amount of hoops you have to jump through to just do it was not worth it ... So we were like, 'We're just going to stay 'til tomorrow at least and vote'." Sign up here. https://www.reuters.com/world/us/early-voting-set-begin-storm-ravaged-north-carolina-2024-10-17/

2024-10-17 19:06

Oct 17 (Reuters) - General Motors (GM.N) , opens new tab is eyeing further North American investments in lithium and other critical minerals used to build electric vehicles after boosting its investment in a Nevada mine to nearly $1 billion earlier this week, an executive said on Thursday. The U.S. automaker on Wednesday said it would form a joint venture with Lithium Americas (LAC.TO) , opens new tab to develop the Thacker Pass lithium mine, North America's largest source of the battery metal. The move increases GM's investment in the project by an additional $325 million to $950 million after an initial investment announced last year. It also gives the automaker a partial ownership stake in the mine and doubles its access to production to at least 20 years. While the Thacker Pass JV should supply GM with a "significant" amount of its lithium, the company is open to other critical minerals deals on the continent, Jeff Morrison, GM's senior vice president of global purchasing and supply chain, said in an interview on Thursday. A majority of GM's deals are for minerals supply, not necessarily JVs, and the automaker likely would continue that approach, he added. "We don't want to become a mining company," Morrison said. "Our main goal is to build out a North American based, Western-allied, reliant supply chain. To do that, we have to pick partners and assets and figure out what they need to do to industrialize and be successful." GM also has agreements to buy cobalt from Glencore (GLEN.L) , opens new tab, an investment in nickel and cobalt miner Queensland Pacific Metals (QPM.AX) , opens new tab, and a lithium supply deal with Arcadium Lithium (ALTM.N) , opens new tab, among others. The automaker in 2021 invested in Controlled Thermal Resources Hell's Kitchen geothermal brine project in California, although that project has experienced delays. Morrison said GM is "still working with them and still staying close with them." Sign up here. https://www.reuters.com/business/autos-transportation/after-nevada-lithium-deal-gm-eyes-other-sources-ev-minerals-supply-2024-10-17/

2024-10-17 18:20

Canadian dollar falls 0.3% against the greenback Two-thirds of analysts expect BoC to cut 50 bps Price of U.S. oil steadies Bond yields rise across the curve TORONTO, Oct 17 (Reuters) - The Canadian dollar weakened against its U.S. counterpart on Thursday as stronger-than-expected U.S. retail sales data contrasted with recent signs of continued slack in the domestic economy. The loonie was trading 0.3% lower at 1.3790 to the U.S. dollar, or 72.52 U.S. cents, moving closer to the 10-week low it touched on Tuesday at 1.3838. "The big story has been the U.S. dollar and U.S. yields," said Aaron Hurd, senior portfolio manager in the currency group at State Street Global Advisors. "We went from clear signs of softer U.S. activity, a softer labor market, to really a string of no landing, very strong U.S. data." In a no landing scenario, strong growth that stalls improvement in inflation reduces prospects of Federal Reserve interest rate cuts. The U.S. dollar (.DXY) , opens new tab jumped to an 11-week high against a basket of major currencies after the retail sales data supported the view that the economy maintained a strong growth pace in the third quarter. "You have USD-CAD that's followed the broad dollar closely," Hurd said. "There's still a lot of slack in the Canadian economy. The Bank of Canada is still looking to cut rates." The BoC will reduce its overnight rate by 50 basis points on Oct. 23 as price pressures ease, according to two-thirds of economists polled by Reuters. It would be the first move greater than 25 basis points since the central bank's easing campaign began in June. Data on Tuesday showed Canadian inflation slowing more than expected to a rate of 1.6% in September. The price of oil , one of Canada's major exports, steadied at about $70.40 a barrel as investors waited on developments in the Middle East. Canadian bond yields moved higher across the curve, tracking moves in U.S. Treasuries. The 10-year was up 6.3 basis points at 3.162%. Sign up here. https://www.reuters.com/markets/currencies/canadian-dollar-weakens-us-data-boosts-greenback-2024-10-17/