2025-10-13 20:47
WTI backwardation narrows to 47 cents, lowest since Jan 2024 OPEC+ hikes output, feeding worries of supply glut Demand at prompt falls on physical builds, maintenance HOUSTON, Oct 13 (Reuters) - Front-month U.S. crude oil futures ended Monday's trading at their smallest premium since January 2024 over the seventh-month contract, as OPEC+ ramps up supply while seasonal refinery maintenance in the U.S. pressures demand for prompt barrels. Narrowing backwardation, the market term for immediate deliveries fetching a premium over later deliveries, suggests investors are making less money selling their oil in the spot market because near-term supply is perceived to be ample. Sign up here. A reversal of the spread from a premium to a discount would put U.S. oil futures in a contango for the first time since last January. WTI crude futures for November delivery settled at $59.49 per barrel on Monday, while the May 2026 contract settled at $59.02 per barrel, creating a 47 cent premium for prompt barrels , the narrowest since January 16 last year. "This narrowing is indicative of excess supplies in the near term, and then concerns that when demand increases in the future, supplies will get tighter again," said Andrew Lipow, president of consultancy Lipow Oil Associates. "We are seeing increased supply from OPEC+, which combined with reports of more oil in floating storage is putting pressure on the front end of the curve, as well as seasonal refinery maintenance in the U.S.," Lipow added. OPEC+, made up of the Organization of Petroleum Exporting Countries and its allies, has increased its oil output targets by more than 2.7 million barrels per day this year, equating to about 2.5% of global demand, stoking supply glut concerns. This is flattening the WTI curve as the market is now pricing in less tightness in early 2026 balances, Shohruh Zukhritdinov, a Dubai-based oil trader said. Meanwhile, U.S. refinery utilization on a four-week average fell for the fourth straight week to 92.5% in the week to October 3, to its lowest since the first week of June, considered the start of the U.S. summer driving season, according to the Energy Information Administration. "Physical builds and refinery slowdowns equate to less need to pay up for prompt barrels," Zukhritdinov said. https://www.reuters.com/business/energy/us-oil-futures-backwardation-narrows-20-month-low-mounting-fears-glut-2025-10-13/
2025-10-13 17:55
Hot-cold air fronts brought unexpectedly strong rainfall Emergency response was focused on tropical storms in Pacific Many terrains, rivers already soaked by months of rainy season Over 100,00 homes affected, power knocked out across 5 states MEXICO CITY, Oct 13 (Reuters) - Torrential rains that lashed Mexico last week killed at least 64 people and 65 more are missing, the government said on Monday, after a tropical depression triggered landslides and flooding in parts of the Gulf Coast and central states. The unnamed depression came toward the end of the rainy season, battering land and bursting rivers that had already been soaked by months of rains, while forecasters were focused on tropical storms and two hurricanes on the Pacific coast. Sign up here. "This intense rain was not expected to be of such magnitude," President Claudia Sheinbaum told reporters. Admiral Raymundo Morales, Mexico's Navy secretary, said the flooding was the result of the coming together of warm and cold air fronts over rivers that were already filled to the brink and mountains weakened by months of rain. Around 100,000 homes were affected, Sheinbaum said. She is set to meet with the finance ministry later in the day to discuss rebuilding efforts, and visit some hard-hit states. Laura Velazquez, national coordinator of civil protection, said Hidalgo and Veracruz were the states worst affected, with 29 deaths and 18 missing reported in Veracruz, and 21 deaths and 43 missing in Hidalgo. The rain also destroyed infrastructure such as bridges and left streets filled with mud. Videos and images from last week showed emergency responders wading through deep waters to find stranded residents and get supplies to affected communities. Authorities have deployed thousands of personnel to help evacuate, clean up and monitor the places that were hardest hit. Electricity, which had been knocked out in towns across five states, has largely been restored. Authorities said they will also focus on containing the spread of viruses such as dengue, carried by mosquitoes that breed in stagnant water. https://www.reuters.com/business/environment/torrential-rains-flooding-leave-least-64-dead-65-missing-mexico-2025-10-13/
2025-10-13 17:43
Oct 13 (Reuters) - Federal Reserve Bank of Philadelphia President Anna Paulson said on Monday that if inflation pressures do not moderate as she expects the central bank should be willing to take action. If inflation shows “a burst of, you know, shows some life, then the Fed's going to have to react appropriately, whether that's, you know, keeping the policy rate at, you know, current levels or whether that's increasing” the rate, Paulson said at an event held by the National Association for Business Economics in Philadelphia. Sign up here. https://www.reuters.com/business/feds-paulson-says-fed-would-react-burst-inflation-2025-10-13/
2025-10-13 17:43
PARIS, Oct 13 (Reuters) - French nuclear operator EDF said on Monday that it raised its estimates for nuclear production for the full-year 2025 to between 365 terawatt hours to 375 TWh due to improvements in the maintenance program. The estimate for 2026 and 2027 remains unchanged between 350 TWh and 370 TWh, the utility said. Sign up here. https://www.reuters.com/sustainability/sustainable-finance-reporting/edf-raises-2025-nuclear-production-estimates-2027-unchanged-2025-10-13/
2025-10-13 17:37
KYIV/WASHINGTON, Oct 13 (Reuters) - Ukrainian President Volodymyr Zelenskiy said on Monday that he would meet U.S. President Donald Trump in Washington on Friday, where the two would discuss Ukraine's air defence and long-range strike capabilities. The two leaders spoke on both Saturday and Sunday amid intensifying discussions about the potential provision of long-range Tomahawk missiles to Kyiv, and a Ukrainian delegation led by Prime Minister Yulia Svyrydenko is slated to visit Washington before the Friday meeting. Sign up here. Kyiv has been lobbying Washington to supply the U.S.-produced missiles, which have the capacity to hit Moscow, but which Ukrainians say would be used only on military targets. Moscow has said such a move would represent a serious escalation. Zelenskiy said he had given Trump, who has increasingly signalled frustration with Russia in recent weeks, an idea of how many of the coveted Tomahawks Ukraine needs. "Frankly, I've already shared our vision with Trump... but some of these things are not for a phone conversation, so we'll meet," he told reporters in Kyiv. Trump has said he is considering sending the missiles to Ukraine, though he has also said he might talk to Russian President Vladimir Putin about it. Ukraine and the U.S. are also closing in on a landmark drone deal in which Ukraine would share drone technology with the United States. European diplomats see such a deal as an important tool for keeping the mercurial U.S. president engaged and supportive of Ukraine. Diplomatic efforts to end the war, now in its fourth year, have stalled as Russia steps up strikes on Ukrainian energy facilities and presses forward with grinding gains on the battlefield. Zelenskiy said he will also meet with representatives of U.S. energy companies to discuss Ukraine's current needs amid what he described as shifting Russian tactics in strikes on Ukrainian energy infrastructure. Russian forces have recently targeted Ukrainian gas production and the country's power grid, with Zelenskiy adding that Kyiv could soon be forced to begin importing electricity. Ukraine has also carried out strikes on Russian oil refineries, causing gasoline shortages. https://www.reuters.com/world/trump-meet-zelenskiy-friday-talk-air-defense-new-weapons-2025-10-13/
2025-10-13 16:14
Stellantis strategic plan now expected in Q2 2026 CEO Filosa faces U.S., EU regulatory uncertainty. Over 40% of U.S. Stellantis sales are imports Stock rebounds after closing down 7.3% Friday MILAN, Oct 13 (Reuters) - Stellantis (STLAM.MI) , opens new tab is set to delay the unveiling of its new strategic plan to the second quarter of next year to give CEO Antonio Filosa more time to address major uncertainties in the carmaker's key markets. The decision, which Stellantis flagged in an analyst call on Friday, underscores the challenges facing Filosa, who took over in June, as the French-Italian-American automaker grapples with rising trade barriers in the U.S. and evolving regulation in the European Union. Sign up here. "While we had initially indicated Q1 2026, it would now be more accurate to say H1 2026," Stellantis global head of investor relations Ed Ditmire told analysts late on Friday, according to a transcript of the call. The delay will give the automaker a chance to better address "critical exogenous factors" such as U.S. tariffs and "the robust engagement of our industry with policymakers in Europe", the transcript showed. Filosa warned in July of a 1.5 billion euro ($1.73 billion) hit from U.S. tariffs in 2025. Last year more than 40% of the 1.2 million vehicles the company sold in the U.S., its main market, were imports, mostly from Mexico and Canada, on which Washington has imposed tariffs of 25%. The CEO, who in recent weeks has reshuffled the group's top management ranks, promoting close associates to key positions, said last month he did not yet see the U.S. tariff scenario as final. He has pledged new vehicle launches to reconnect with customers as he aimed to get the automaker back on track after a dismal 2024. "We expect to make final decisions on timing relatively soon and communicate it promptly," Ditmire said. In Europe, Filosa needs to wait for the outcome of the EU Commission's review of its 2035 zero-emission regulation for the auto industry, due at the end of this year. Stellantis shares closed down 7.3% on Friday after a positive first half of the session in which the company released preliminary sales data for the third quarter. Shares had rebounded 2.9% by 1237 GMT on Monday. Barclays analysts said Friday's share drop had followed the call and highlighted "another nervous reaction (by the market) - and again on limited new news." In a note on Monday Barclays said there had been "strongly increasing investor interest in Stellantis", pointing to positive elements recently such as U.S. September market share and comments on order momentum. However, Barclays also sounded a note of caution. "We think it still seems premature to fully re-engage while adjusted operating income and free cash flow visibility remain limited and the all-new management team is performing a significant strategic pivot," the broker said. Stellantis is due to release its third-quarter shipment and revenue data on October 30. ($1 = 0.8646 euros) https://www.reuters.com/business/retail-consumer/stellantis-pushes-back-timing-new-ceos-strategic-plan-2025-10-13/
