2024-10-11 22:55

JPMorgan, Wells Fargo rally after Q3 results Tesla reverses after unveiling robotaxi Monthly PPI unchanged Indexes up: Dow 0.97%, S&P 500 0.61%, Nasdaq 0.33% Oct 11 (Reuters) - The S&P 500 and the Dow scored record closing highs on Friday, with the big boosts from financial stocks after banks reported strong quarterly results while the latest inflation data fueled expectations for a U.S. Federal Reserve rate cut in November. Major financial companies kicked off earnings season with JPMorgan Chase (JPM.N) , opens new tab finishing the session up 4.4% after the lender reported higher-than-expected third-quarter profit and raised its annual interest income forecast. Shares in Wells Fargo (WFC.N) , opens new tab rallied 5.6% after its profit also beat analysts' expectations. BlackRock (BLK.N) , opens new tab stock gained 3.6% after the asset manager reported that its assets under management had hit a record high for the third straight quarter. Other stocks in the industry rose broadly, making the S&P 500 Financials index (.SPSY) , opens new tab the biggest index points boost for the benchmark. "We'd some good earnings reports from some leading financial companies. That's a good start to earnings season," said Evan Brown, Portfolio Manager and Head of Multi-Asset Strategy, UBS Asset Management, adding that it bodes well for the economy. "When financials do well, this is what a soft landing looks like. It's a positive overall sign for the economy and sets a positive tone for earnings releases in other industries in the next few weeks." For the day, the Dow Jones Industrial Average (.DJI) , opens new tab rose 409.74 points, or 0.97%, to 42,863.86, the S&P 500 (.SPX) , opens new tab gained 34.98 points, or 0.61%, to 5,815.03 and the Nasdaq Composite (.IXIC) , opens new tab gained 60.89 points, or 0.33%, to 18,342.94. For the week, the S&P 500 added 1.1% while the Dow climbed 1.2% and the Nasdaq added 1.1% with all three notching their fifth weekly gain in a row. Earlier in the day, data from the U.S. Department of Labor showed the Producer Price Index (PPI) for final demand was unchanged on a monthly basis in September, compared to the 0.1% rise expected by economists polled by Reuters. Friday's PPI data follows Thursday's Consumer Price Index (CPI) reading, which was slightly higher than forecast, although weekly jobless claims rose more than expected. "The market's pretty convinced that we're going to have a soft landing and that inflation, even with CPI being a little bit higher than expected yesterday, is going to be moderate," said Scott Wren, senior global market strategist at Wells Fargo Investment Institute in St. Louis, Missouri. "If you look at today's PPI data, the core and final demand were both a little lower than expected ... Inflation's certainly been moderating and that's a positive that the market paid attention to." Meanwhile, a preliminary reading of the University of Michigan's October consumer sentiment index stood at 68.9, compared with analysts' estimate of 70.8. With the week's data under their belts, traders kept bets steady for a roughly 88% probability the Fed would cut rates by 25 basis points at its November meeting, and a 12% chance it will leave rates unchanged, according to CME's FedWatch tool , opens new tab. During the session the consumer discretionary index (.SPLRCD) , opens new tab was under pressure from an 8.8% slump in shares of Tesla (TSLA.O) , opens new tab after the EV maker unveiled its long awaited robotaxi, but did not provide details on how fast it could ramp up production or deal with potential regulatory hurdles. With S&P 500 financial services stocks adding 1.95%, the S&P 500 Banks index (.SPXBK) , opens new tab added 4.2%. During the session it hit its highest level since February 2022. The KBW regional bank index (.KRX) , opens new tab closed up 3.4%. Advancing issues outnumbered decliners by a 3.96-to-1 ratio on the NYSE where there were 455 new highs and 44 new lows. On the Nasdaq, 3,142 stocks rose and 1,088 fell as advancing issues outnumbered decliners by a 2.89-to-1 ratio. The S&P 500 posted 69 new 52-week highs and one new low while the Nasdaq Composite recorded 139 new highs and 84 new lows. On U.S. exchanges 10.27 billion shares changed hands compared with the 12.06 billion moving average for the last 20 sessions. Sign up here. https://www.reuters.com/markets/us/futures-fall-investors-brace-earnings-season-tesla-dips-2024-10-11/

2024-10-11 22:55

Oct 11 (Reuters) - U.S. and California health officials confirmed two new cases of H5N1 bird flu in dairy farm workers in the state on Friday, bringing the total of infected dairy workers in that state to six, and the total of human cases nationwide this year to 20. Ten of the U.S. cases were tied to exposure to infected poultry, nine were tied to sick or infected dairy cows, and one case in Missouri occurred in a person who had no known contact with infected animals, the U.S. Centers for Disease Control and Prevention said in a statement on Friday. The CDC said all six of the cases in California appear to be caused by animal-to-human spread. So far, the infected workers had mild symptoms, which included eye redness or conjunctivitis. None were hospitalized. The agency said it believes the immediate risk to the general public from bird flu remains low, but people with exposure to infected animals are at higher risk of infection. Genetic sequencing of three virus samples from the California cases show they are closely related to those detected in dairy cattle, the CDC said. Sequencing of the first two cases shows no changes in the virus to suggest it can spread more easily between people or that it is becoming resistant to antiviral medications, the agency added. The California Department of Public Health said in a statement they are working closely with local public health laboratories and departments to provide health checks for exposed individuals and ensure testing and treatment are available as needed. Of the six California cases, all occurred in workers exposed to the virus. California health officials said they expect additional cases to be identified among individuals who have regular contact with infected dairy cattle. The state said it has received 5,000 additional doses of seasonal flu vaccine for farm workers from the CDC with the aim of reducing the risk of becoming infected with both bird flu and seasonal influenza. Infections with both types of virus simultaneously could increase the risk of changes that could make bird flu spread more easily in people. According to the U.S. Department of Agriculture, 298 dairy herds in 14 U.S. states have confirmed cases of H5 bird flu virus infections in dairy cows. Sign up here. https://www.reuters.com/world/us/two-additional-human-bird-flu-cases-confirmed-california-2024-10-11/

2024-10-11 21:52

CHICAGO, Oct 11 (Reuters) - Mosaic Co (MOS.N) , opens new tab said on Friday that water supporting the chemical company's storage of a waste byproduct from fertilizer manufacturing in Florida probably made its way into Tampa Bay following a downpour from Hurricane Milton. The discharge of possibly more than 17,500 gallons from Mosaic's facility in Riverview, a fast-growing Tampa suburb, raised potential environmental concerns. The industrial byproduct, phosphogypsum, is known to emit radon, a cancer-causing radioactive gas. Mosaic said a storage system for water around a pile of phosphogypsum became overwhelmed in Riverview. The site received nearly 15 inches of rain during Hurricane Milton less than two weeks after Hurricane Helene, the company said in a statement. Water quality impacts in Tampa Bay are expected to be "modest," if any, Mosaic said. The company addressed the overflow issue on Thursday and it was not continuing on Friday, it said in the statement. "We've been in constant communication with regulators who are onsite today." The affected phosphogypsum pile is closed, meaning the company is not adding new material to it, Mosaic said. Phosphogypsum contains radium, which decays to form radon gas, the U.S. Environmental Protection Agency said, noting that radium and radon are radioactive and can cause cancer. The EPA requires that phosphogypsum be managed in engineered piles or stacks to limit public exposure from radon emissions. The EPA told Reuters the Florida Department of Environmental Protection regulates the design, construction, operation and maintenance of phosphogypsum stack systems and they must continue to comply with all regulatory requirements. The Florida Department of Environmental Protection had no immediate comment. Mosaic, which mines phosphate rock in Florida and produces about three-quarters of North America's phosphate fertilizers, said it idled Florida operations in anticipation of Milton. Sign up here. https://www.reuters.com/markets/commodities/mosaic-says-fertilizer-waste-facilitys-water-entered-tampa-bay-after-hurricane-2024-10-11/

2024-10-11 21:33

Global warming increased wind speeds by 10% and rainfall by 20-30% Milton intensified to Category 5 in less than 24 hours Milton is the third-fastest intensifying Atlantic hurricane on record Oct 11 (Reuters) - The brutal wind and torrential rainfall of Hurricane Milton that killed 16 people in Florida this week were worsened by human-caused climate change, a team of international scientists said on Friday. Global warming made wind speeds around 10% stronger and rainfall greater by between 20% and 30%, according to an analysis by World Weather Attribution. The group of climate scientists studies the role of climate change in fueling extreme weather. Milton intensified from a Category 1 storm into a tempestuous Category 5 in less than 24 hours, feeding off record- and near-record-warm waters in the Gulf of Mexico. It made landfall in Florida as a Category 3 hurricane. Previous scientific analyses have shown climate change has made such temperatures in the Gulf between 400 and 800 times more likely. This extra heat made Milton the third-fastest intensifying Atlantic hurricane on record, the U.S. National Hurricane Center said, with maximum sustained wind speeds reaching 180 mph (290 kph). The scientist group noted that rainfall storms similar to Milton are now about twice as likely as they would be without human-induced warming. “This study has confirmed what should already be abundantly clear: climate change is supercharging storms, and burning fossil fuels is to blame," said Ian Duff, a campaigner at environmental nonprofit Greenpeace. "Millions of people across Florida - many of whom lack insurance - now face astronomical costs to rebuild shattered homes and communities." Scientists have previously identified a concerning trend of rapid hurricane intensification in the Atlantic over the past 50 years, which they said may be tied to climate change. In light of extremely warm surface-water temperatures around Florida and the Caribbean, forecasters had expected a supercharged Atlantic hurricane season, with between four and seven major storms. Milton is the second Category 5 hurricane this season, which runs from June through November. There have only been five other years since 1950 that registered more than one Category 5 hurricane in one season, the U.S. National Oceanic and Atmospheric Administration said. Sign up here. https://www.reuters.com/business/environment/climate-change-made-hurricane-milton-worse-scientists-say-2024-10-11/

2024-10-11 20:54

MEXICO CITY/HOUSTON, Oct 11 (Reuters) - U.S. and Mexican investigators have begun probes of a fatal chemical leak at a Houston area oil refinery on Thursday owned by Mexico's state oil firm Pemex, officials said on Friday. Two contract workers were killed and up to 35 others treated for exposure to hydrogen sulfide gas during work on a unit at the 312,500-barrel-per-day (bpd) refinery located near Houston. Thirteen workers remained hospitalized, Pemex said. Pemex, as Petroleos Mexicanos is best known, launched an investigation into what caused the leak, the company's chief executive said. The U.S. Chemical Safety and Hazard Investigation Board (CSB), which investigates industrial accidents and makes recommendations to prevent future incidents, also has begun a probe of the "very serious incident," it said. Pemex Chief Executive Officer Victor Rodriguez told a media briefing that the bodies of two workers were recovered early on Friday morning after the toxic gas had dissipated enough to allow emergency workers to approach the affected area. "The deceased are not Pemex workers, nor are any of those affected," said Rodriguez, who noted it remains unclear what caused the chemical release. The fatalities were externally-contracted maintenance workers at the refinery, Rodriguez said. He did not disclose the contractor that employed them. Work was underway on a sulfur recovery unit at the time, according to people familiar with the matter. Pemex took full ownership of the Deer Park refinery in early 2022, acquiring Shell SHEL.L's stake in a refining joint venture. Mexico had acquired the facility to become more self-sufficient in gasoline and diesel. The CEO, who took over earlier this month, said three or four units were shut at the refinery. Pemex aims to determine the root cause of this incident and the actions that will allow the processing units involved to be restored to operation as soon as possible, it said. In 2021, Shell disclosed the agreement to sell its interest in Deer Park to its former partner Pemex for some $596 million. Pemex's domestic refineries have for years suffered a series of accidents, including explosions and fires, that have caused deaths in Mexico. Sign up here. https://www.reuters.com/world/us/bodies-recovered-after-deadly-texas-refinery-incident-says-pemex-ceo-2024-10-11/

2024-10-11 20:41

WASHINGTON, Oct 11 (Reuters) - The United States expanded sanctions against Iran's petroleum and petrochemical sectors on Friday in response to an Iranian missile attack on Israel, the administration of President Joe Biden said. The U.S. move adds petroleum and petrochemicals to an executive order that targets key sectors of Iran's economy with the aim of denying the government funds to support its nuclear and missile programs. "The new designations today also include measures against the 'Ghost Fleet' that carries Iran’s illicit oil to buyers around the world," Jake Sullivan, the national security adviser, said in a statement. "These measures will help further deny Iran financial resources used to support its missile programs and provide support for terrorist groups that threaten the United States, its allies, and partners." Israel is vowing to respond to Iran's Oct. 1 missile attack, launched in retaliation for Israeli strikes in Lebanon and Gaza and the killing of a Hamas leader in Iran. The U.S. Treasury can now "impose sanctions on any person determined to operate in the petroleum and petrochemical sectors of the Iranian economy," it said in a statement. Biden has said Israel should seek alternatives to attacking Iran's oil fields. Gulf states are lobbying Washington to stop Israel from attacking oil sites because they are concerned their own facilities could come under fire from Tehran's proxies if the conflict escalates, three Gulf sources told Reuters. The Treasury Department also said it was designating 16 entities and identifying 17 vessels as blocked property, citing their involvement in shipments of petroleum and petrochemical products in support of the National Iranian Oil Company. Concurrently, the State Department took steps to disrupt the money flow into Iran's weapons programs and support for "terrorist proxies and partners." It imposed sanctions on six entities involved in Tehran's petroleum trade and identified six ships as blocked property. Iran's oil exports have risen under Biden's tenure as Iran succeeds in evading sanctions and as China has become Iran's major oil buyer. The Eurasia Group risk consultancy said on Friday the U.S. could cut Iran's oil exports through tighter enforcement of previously imposed sanctions, for instance through satellite imaging for stricter monitoring of tankers that have turned off transponders. The U.S. could also pressure countries to support enforcement efforts such as Malaysia, Singapore and the United Arab Emirates, it said. But that approach "would require strong diplomatic pressure on two partners, Malaysia and UAE, which are both reluctant to support efforts favoring Israel," it said. Tougher enforcement of sanctions would likely require targeting Chinese firms shipping Iranian crude, it said, as China buys nearly 90% of Iran's crude-oil exports. Sign up here. https://www.reuters.com/world/middle-east/us-expands-sanctions-against-iran-treasury-dept-says-2024-10-11/