2024-09-30 11:31

MUMBAI/HANOI, Sept 30 (Reuters) - Global rice prices fell on Monday after India, the world's No.1 exporter of the grain, gave the go-ahead for exports to resume, boosting global supply and helping poor Asian and African buyers secure more affordable supplies, exporters said. India on Saturday allowed exports of non-basmati white rice. That came a day after New Delhi cut export duty on parboiled rice to 10%, buoyed by a new crop in the offing and higher inventories in state warehouses. "Suppliers from Thailand, Vietnam, and Pakistan are responding to India's move by lowering their export prices," said Himanshu Agarwal, executive director at Satyam Balajee, a leading rice exporter. "Everyone's trying to stay competitive to hold their spot in the market." Global rice prices soared to their highest level in over 15 years following India's decision last year to ban the export of white rice and impose a 20% duty on parboiled rice exports. Last year's export curbs imposed by India allowed competing suppliers like Vietnam, Thailand, Pakistan, and Myanmar to increase their market share and command higher prices in the global market. On Monday, India's 5% broken parboiled variety was quoted at $500-$510 per metric ton, down from the last week's $530-$536. Indian 5% broken white rice was offered around $490. Exporters in Vietnam, Pakistan, Thailand and Myanmar also lowered prices by at least $10 per ton on Monday, dealers said. The Philippines, Nigeria, Iraq, Senegal, Indonesia, and Malaysia are among the key importers of Asian rice. Buyers and sellers are evaluating the potential impact of increased Indian rice supplies and accordingly prices would settle this week, said Nitin Gupta, senior vice president of Olam Agri India. India accounted for more than 40% of the world's rice exports in 2022, a record 22.2 million metric tons out of a total 55.4 million metric tons of global trade. Thai rice prices were quoted at $540-$550 on Monday, down from last week's $550 to $560 per ton. Thailand's rice export prices could decrease due to increased supplies in the market, but the extent of the decline would depend on several factors, including the appreciating Thai currency, said Chukiat Opaswong, honorary president of the Thai Rice Exporters Association. Rice prices have started to correct, even in Vietnam, but traders caution that the full impact of Indian supplies has yet to be seen. "(Vietnamese) exporters should stay calm and avoid reducing prices to secure contracts," said Truong Tan Tai, chief executive of Vinarice Co., a rice exporter. Sign up here. https://www.reuters.com/markets/commodities/global-rice-prices-drop-after-india-allows-white-rice-exports-2024-09-30/

2024-09-30 11:22

Sept 30 (Reuters) - Canada's main stock index wrapped up its strongest quarter in four years on Monday, as it ended higher with gains for energy and technology shares offsetting declines for metal miners. The Toronto Stock Exchange's S&P/TSX composite index (.GSPTSE) , opens new tab ended up 43.55 points, or 0.2%, at 24,000.37, after a late rally took it into positive territory. It stopped just short of the record closing high it notched on Thursday. For September, the index rose 2.8%, while it was up 9.7% in the third quarter, as the Bank of Canada cut interest rates three times since June and after the Federal Reserve began its own easing campaign this month. The S&P 500 also ended higher on Monday after briefly falling as Fed Chair Jerome Powell said the U.S. central bank is not in a hurry to lower interest rates. "Canadian stocks responded positively to the three Bank of Canada rate cuts we've seen," said Colin Cieszynski, chief market strategist at SIA Wealth Management. "That's helped to boost the interest rate sensitive sectors ... On top of that, we've had this run in the gold price which has helped boost the gold stocks as well." The TSX's technology sector rose 1.1% on Monday, helped by a gain of 5.6% for the shares of BlackBerry Ltd (BB.TO) , opens new tab. Energy was up 0.7% as the price of oil settled nearly unchanged at $68.17 a barrel. The materials sector, which includes fertilizer companies and metal mining shares, ended 1.2% lower as gold and copper gave back some recent gains. Still, the sector has been the standout performer this year, jumping 25.8%. Sign up here. https://www.reuters.com/markets/tsx-futures-edge-higher-ahead-fed-chair-powells-comments-2024-09-30/

2024-09-30 11:21

Sept 30 (Reuters) - The Pioneer tanker, sanctioned by the United States over its links to Russia-sourced liquefied natural gas (LNG), has passed through the Suez Canal with an LNG cargo, LSEG data showed on Monday. The source of the LNG and Palau-flagged Pioneer's destination were not immediately clear. The tanker is registered to Zara Shipholding Co, which has offices in Dubai and India's Mumbai. Shippers have largely shunned the Suez route since late last year to avoid attacks by Iran-aligned Houthis in the Red Sea. The canal is a key trade link between Europe and Asia, channeling nearly 12% of global cargo. The current crisis is forcing shipping companies to use longer routes, disrupting their schedules and adding to their costs. Global fuel producers, including Russia, have been forced to change the way they deliver to Asia and go around Africa. Last month, the United States imposed sanctions on two companies and two vessels, including Pioneer, which are linked to Russia's Arctic LNG 2 project, in one of Washington's latest move to penalise Moscow for its invasion of Ukraine. According to U.S. the State Department, Pioneer was involved in a ship-to-ship transfer of gas from Arctic LNG 2 on Aug. 25. Sign up here. https://www.reuters.com/world/middle-east/sanctioned-tanker-with-lng-cargo-passes-via-suez-canal-data-shows-2024-09-30/

2024-09-30 11:05

Brent 2024 forecast lowest since February poll OPEC cut its 2024 oil demand growth forecast for the second time OPEC+ panel meets on Oct. 2 For table of crude price forecasts, click Sept 30 (Reuters) - Analysts have cut their 2024 oil price forecasts for a fifth consecutive month, citing weaker demand and uncertainty over OPEC’s plans, with prices expected to remain under pressure despite geopolitical risks, a Reuters poll found on Monday. A Reuters poll of 41 analysts and economists conducted in the past two weeks projected Brent crude would average $81.52 per barrel in 2024, the lowest poll projection since February and down from $82.86 projected in August. U.S. crude prices are expected to average $77.64, below last month’s forecast of $78.82. "The recent weakness in oil prices is partly attributable to market concerns over how and when OPEC will return barrels to the market, alongside weaker Chinese demand indicators," said Roger Read, Senior Energy Analyst at Wells Fargo. Global oil demand is now expected to grow by 0.9 to 1.2 million barrels per day (mbpd) in 2024, down from previous estimates of 1 to 1.3 mbpd, as per the poll. Both OPEC and the International Energy Agency (IEA) have cut their forecasts, citing slower Chinese demand, with OPEC reducing its 2024 oil demand growth outlook for the second time. "Slower economic growth in major economies such as China and Europe, coupled with expectations of weak demand, are pushing prices down despite geopolitical uncertainty," said Sehul Bhatt, Director of Research at CRISIL Market Intelligence and Analytics. Most analysts believe that the war-related risk premium in oil prices has diminished due to plentiful supply, but some analysts said the premium could return if tensions escalate, particularly in the Middle East. Florian Grunberger, senior analyst at data and analytics firm Kpler, said if hopes for a ceasefire (in Gaza) remain unfulfilled a higher risk premium for oil could return. Oil prices surged past $90 a barrel in April, driven by Middle East tensions and OPEC+ supply cuts. But they have sharply reversed course, dipping below $70/bbl this month, as weak demand trends have led to an supply overhang. OPEC+ is still expected to move forward with a planned production increase in December, but output cuts are needed first to address overproduction by some members. "We expect OPEC+ to go ahead with a production increase in December," said Societe Generale commodity strategist Mike Haigh. "However, given the disappointing demand outlook and rising OECD commercial stocks, the full cuts cannot be completely unwound as prices will begin to deteriorate." Currently, OPEC+ is cutting output by 5.86 million bpd, or about 5.7% of global demand. Earlier this month, the group delayed its plan to boost output after oil prices hit a nine-month low. Sign up here. https://www.reuters.com/markets/commodities/oil-forecasts-cut-5th-straight-month-demand-opec-uncertainty-2024-09-30/

2024-09-30 11:03

CAIRO, Sept 30 (Reuters) - Libya’s eastern-based parliament agreed on Monday to approve the nomination of Naji Mohamed Issa Belqasem as the new governor of the central bank, part of efforts to end a crisis which has slashed the country's oil output. In a televised session, the parliament also approved Mari Muftah Rahil Barrasi as his deputy. The two names were nominated in a recent U.N.-facilitated meeting. Belqasem was previously the central bank's director of banking and monetary control. Sign up here. https://www.reuters.com/world/africa/libyas-eastern-parliament-approves-new-central-bank-governor-deputy-2024-09-30/

2024-09-30 10:53

LONDON, Sept 30 (Reuters) - The pound paused around multi-year highs on the dollar and the euro on Monday, supported by the Bank of England's relative hawkishness, at the start of a week where, barring dramatic surprises, its fortunes will largely depend on moves elsewhere. Sterling was up 0.16% on the dollar at $1.3394, sitting just shy of a two-and-a-half year high hit the previous week. The euro was up 0.1% on the pound at 83.54 pence, but could not break far from last week's 83.19 pence, its lowest since April 2022. Boosting sterling has been traders' expectations that the Bank of England will be relatively cautious in cutting interest rates compared to the Federal Reserve and European Central Bank. The BoE kept rates on hold in September, after cutting in August, and markets are only fully pricing one further 25 basis- point rate cut by year end. In contrast, the ECB has cut rates twice this cycle, and analysts expect two more 25 bp cuts by December, while markets are pricing round 70 bps of further cuts across the Fed's remaining two meetings, after September's large 50 bp move. "The pound’s recent strength has partly relied on the 'no news is good news' narrative, as quiet calendars allowed markets to look elsewhere for easing bets while happily keeping the Bank of England in the group of relatively hawkish outliers," said Francesco Pesole, currency strategist at ING in a note. The pound looked through Monday data showing British economic output expanded by 0.5% in the April-to-June period, slightly weaker than a preliminary estimate for 0.6% growth, but there were positive signs from household finances and business investment. There is little other major economic data due from Britain this week, meaning the main sterling pairs will be driven by other factors. Euro zone inflation data, due on Tuesday, will shape euro/sterling, while this week's U.S. jobs data, particularly non farm payrolls on Friday will be the main driver of the pound against the dollar. Sign up here. https://www.reuters.com/markets/currencies/sterling-holds-near-recent-highs-euro-dollar-2024-09-30/