2025-09-09 11:45

Sept 9 (Reuters) - U.S. refiner Phillips 66 (PSX.N) , opens new tab said on Tuesday it will acquire the remaining 50% stake in WRB Refining from Cenovus Energy (CVE.TO) , opens new tab for $1.4 billion, giving it full ownership of two major U.S. refineries. WRB includes the Wood River refinery in Illinois and the Borger refinery in Texas, which have a combined crude throughput capacity of 495,000 barrels per day (bpd). Sign up here. The refineries — which would add about 250,000 bpd to Phillips 66’s net refining capacity — can process heavy and medium sour crudes as well as light sweet crudes, and produce a high percentage of transportation fuels. Phillips 66 has been streamlining its business to focus on refinery business, following a long-drawn proxy battle with activist investor Elliott Investment Management. Elliott had advocated exploring a sale or spinoff of the midstream business and other divestments to concentrate on refining. Earlier this year, Phillips 66 sold its 65% stake in a German and Austrian fuel retail business. "With full ownership of the Wood River and Borger refineries, we are strengthening our integrated business and expanding our position in a region where we lead the industry," Phillips 66 CEO Mark Lashier said. Meanwhile, the Canadian oil and gas producer has reported underperformance at some of its U.S. refineries. Cenovus said the WRB sale will simplify its downstream business and sharpen its focus on assets tied to heavy oil operations. The companies expect the transaction to close between the end of the third and fourth quarters. After closing, Cenovus’s refining business will include plants in Lloydminster, Lima, Toledo and Superior, with total throughput capacity of 472,800 bpd. Cenovus said it would use the proceeds to reduce net debt and accelerate shareholder returns by boosting share repurchases. https://www.reuters.com/legal/transactional/phillips-66-buys-remaining-stake-major-us-refineries-cenovus-14-billion-2025-09-09/

2025-09-09 11:43

North China's rainy season longest on record, forecaster says Records going back to 1961 also show China had hottest summer Extreme weather increasingly poses challenge for policymakers BEIJING, Sept 9 (Reuters) - China faced its hottest summer since 1961 while the country's north experienced its longest rainy season for the same period, the national weather authority said on Tuesday, atmospheric chaos that scientists have linked to climate change. The summer 'Plum Rains' - named for their timing coinciding with plums ripening along China's Yangtze River during the East Asia Monsoon - began one week earlier than usual, Huang Zhou, deputy director of the China Meteorological Administration, told a news conference. Sign up here. Meanwhile, large swathes of the country experienced extreme heat, with a total of 13.7 high-temperature days, 5.7 days above the average for the same June to August period, Huang added. The national average temperature was 22.3 degrees Celsius (72.14 degrees Fahrenheit), 1.1 C above normal and tied with 2024 as the highest since 1961, he said. This summer, the world's second-largest economy contended with both a stubborn subtropical high-pressure system, which causes warm and dry weather, and the East Asian monsoon. The torrential rains pushing up from Southeast Asia resulted in the deaths of hundreds of people and caused billions of dollars in economic losses. The extreme weather poses a major challenge to policymakers, as heavy rains threaten to overwhelm ageing flood defences and displace millions, while scorching heat strains the power grid and scalds croplands. Beijing's mountainous northern Huairou district and neighbouring Miyun district received a year's worth of rain in a single week in late July, triggering flash floods that devastated villages and killed 44 people in the deadliest flood since 2012. China does not give a tally of heat-related deaths, but a 2023 report published in the medical journal The Lancet estimated heatwave-related mortality in China at 50,900 deaths in 2022, doubling from 2021. Globally, August 2025 was the third-warmest August, with the average temperature 0.49C above the 1991-2020 average for the month, according to the EU-funded Copernicus Climate Change Service (C3S) on Tuesday. The two warmest Augusts on record globally were in 2023 and 2024. Even the seas are hotter. Last month, most of the northern Pacific saw above-average sea surface temperatures, hitting record highs in many areas, C3C said in its monthly bulletin. (This story has been corrected to change the district name to Miyun, from Miyuan, in paragraph 7) https://www.reuters.com/sustainability/climate-energy/north-china-posts-longest-rainy-season-since-1961-country-faces-hottest-summer-2025-09-09/

2025-09-09 11:41

LONDON, Sept 9 (Reuters) - Commuters in London turned to bikes, buses and boats on Tuesday as a staff strike shut down the capital's underground "Tube" network for a second day. With almost no underground trains running until Friday, demand for shared bike services and river transport surged as Londoners looked for alternative ways to get to work, causing longer journeys and crowding on other parts of the transport network. Sign up here. The London-based Centre for Economics and Business Research estimates the strike will have a direct impact on the London economy of 230 million pounds ($310 million), and cost millions more indirectly. Lime, which operates electric bikes across the city, said it saw a 58% increase in trips during Monday's morning peak compared with the same period a week earlier. "Journeys were longer in both distance and duration, indicating that many riders relied on Lime for their entire commute rather than just the first or last mile," a Lime spokesperson said. Forest, another bike-sharing firm which operates 15,000 e-bikes in London, reported a 300% increase in rides during Tuesday's morning rush hour between 7 a.m. (0600 GMT) and 8 a.m. On Monday, Forest reported a 100% increase in rides during the same period. But Mondays have typically been quieter commuting days since the COVID-19 pandemic, with many workers continuing to work remotely at the start of the week. Uber Boat by Thames Clippers, a river bus service operating on the Thames, said its services were "busier than usual," with extra sailings added, including a shuttle between Canary Wharf and London Bridge. The strike, called by the RMT union, centres on pay, working hours and shift patterns. Transport for London has offered a 3.4% pay rise, but the union is pushing for a reduction in working hours. Prime Minister Keir Starmer's government, which vowed to tackle widespread strike action across the economy before it was elected last July, has called for a resolution. ($1 = 0.7362 pounds) https://www.reuters.com/sustainability/sustainable-finance-reporting/london-commuters-turn-bikes-boats-tube-strike-enters-second-day-2025-09-09/

2025-09-09 11:36

Investors await preliminary U.S. jobs data revisions Odds of 50 basis-point Fed cut in September at 12% Gold hits record high on Fed cut wagers Political developments in focus for EUR, JPY MUMBAI, Sept 9 (Reuters) - The dollar hit a seven-week low on Tuesday as investors braced for U.S. data revisions that could point to a jobs market in worse shape than initially thought, shoring up the case for even deeper Federal Reserve interest rate cuts. The dollar slumped 0.7% against the Japanese yen to 146.32, its weakest level since mid-August while sterling was up 0.2% at $1.3558. The euro slipped to $1.1752 after touching its strongest level since July 24. Sign up here. A Bloomberg news report that Bank of Japan officials believe it may be possible to raise the benchmark interest rate again this year also helped boost the Japanese currency. The yen is likely to be exposed to heightened volatility due to ongoing political uncertainty and was likely helped along on Tuesday by market participants bringing forward expectations of a BoJ rate hike, said Samy Chaar, chief economist at Lombard Odier. Against a basket of peers, the dollar slipped to a low of 97.25, its weakest since late July, ahead of the release of preliminary benchmark revisions , opens new tab for jobs data covering the period from April 2024 to March 2025. Economists anticipate a downward revision of as much as 800,000 jobs, which could signal that the Fed is behind the curve in efforts to achieve maximum employment. While the job revisions data could heighten expectations of an outsized rate cut, inflation data due later in the week could also temper those expectations, Chaar said. U.S. producer price inflation data is due on Wednesday followed by the consumer price inflation reading on Thursday. The data points will be in focus to gauge the impact of tariffs on prices in the world's largest economy. Traders' expectations of more aggressive Fed easing are gradually increasing. Money markets have fully priced in a 25 basis-point cut, and the odds of an outsized 50 basis-point reduction have drifted higher to nearly 12% as well, per CME's FedWatch tool. Burgeoning expectations of policy easing by the Fed have also helped lift the spot gold price to a record high of $3,659.10 per ounce on Tuesday. Among other currencies, the Norwegian crown advanced about 0.2% against both the dollar and the euro after Norway's minority Labour Party government won a second term in power on Monday. Political developments from Tokyo to Buenos Aires are likely to stay in focus for investors after the resignation of Japanese Prime Minister Shigeru Ishiba, the ouster of French Prime Minister Francois Bayrou and the abrupt removal of Indonesia's finance chief, all over the past few days. "While the political uncertainty is an unfavourable development, we continue to believe that it is unlikely to be sufficient on its own to trigger a weaker euro," Lee Hardman, senior currency analyst at MUFG, said in a note. Later this week, the European Central Bank is widely expected to keep rates unchanged at its policy meeting on Thursday. Economists were split last month on the likelihood of further rate reductions by the ECB, but sentiment has shifted with recent data showing inflation holding close to the 2% target and unemployment at a record low. Meanwhile, the Indonesian rupiah weakened 1% after the government replaced its finance minister on Monday. Bank Indonesia was seen buying longer-dated government bonds on Tuesday in an attempt to stabilise the market, according to two traders. https://www.reuters.com/world/middle-east/dollar-slips-7-week-low-jobs-gloom-bolsters-fed-cut-wagers-2025-09-09/

2025-09-09 11:29

Gold hits record high at $3,659.10/oz U.S. dollar at near seven-week low Focus on US CPI data on Thursday Sept 9 (Reuters) - Gold hit another record high on Tuesday, holding well above the $3,600-mark crossed in the previous session, as growing bets of a U.S. rate cut weakened the dollar and pushed bond yields lower, boosting demand for the precious metal. Spot gold was up 0.5% at $3,653.25 per ounce, as of 1120 GMT, after hitting a record high of $3,659.10 earlier in the session. Sign up here. U.S. gold futures for December delivery rose 0.4% higher to $3,692.40. Gold prices have gained nearly 39% this year, following a 27% jump in 2024, bolstered by a soft dollar, strong central bank accumulation, dovish monetary policy and heightened global uncertainty. The dollar index (.DXY) , opens new tab fell to a near seven-week low against rivals, making gold more attractive to other currency holders, while benchmark U.S. 10-year Treasury yields held near five-month lows. "Bulls have been energized by the market’s rate cut convictions, sending gold to fresh record highs. The softer dollar also helped pave the way for $3,600, while bullion-backed inflows and central bank purchases add to the strong mix of tailwinds," said Han Tan, chief market analyst at Nemo.money. Traders expect an 88% chance of a 25-basis-point Federal Reserve rate cut next week and a 12% probability of a jumbo 50-bp reduction, CME Group's FedWatch tool showed. This comes after Friday's data showed U.S. job growth weakened sharply in August. Lower interest rates pressure the dollar and bond yields, raising the appeal of the non-yielding bullion. Investors now await U.S. producer price data on Wednesday and consumer price data on Thursday for further rate cut cues. "We may see spot gold flirting with $3,700 this week if markets are shown drastically lowered revisions to U.S. jobs data and shockingly low CPI prints," Tan said. "$4,000 gold in 2025 may likely require faster-than-expected Fed rate cuts, along with a rapid deterioration in the Fed's independence or trust in U.S. fiscal policies," Tan added. Elsewhere, spot silver edged 0.3% lower to $41.21 per ounce. Platinum gained 0.9% to $1,396.30 and palladium climbed 0.4% to $1,138.16 https://www.reuters.com/world/india/gold-marches-fresh-record-high-propelled-by-fed-rate-cut-bets-2025-09-09/

2025-09-09 11:20

Norway Labour PM re-elected despite right-wing surge Labour must manage broad left-wing 'tutti frutti' coalition Some parties in the coalition oppose oil, gas exploration OSLO, Sept 9 (Reuters) - Norway should continue to explore for oil and gas and remain a reliable energy supplier to Europe, the country's newly re-elected Prime Minister Jonas Gahr Stoere said on Tuesday, despite having to rely on the Green Party for support. The minority Labour Party government narrowly won a second term in power on Monday while the populist right-wing achieved its best-ever election result, in a ballot dominated by concerns over rising living costs and wars in Ukraine and Gaza. Sign up here. With the left-wing victory, attention turns to how the loose bloc of five political parties, dubbed the "tutti frutti" coalition, will govern fiscal policy, oil and gas production and the country's $2 trillion sovereign wealth fund. "It's a good result. It's a clear result. It demonstrates that centre-left social democrats can win elections even when there are winds blowing from the right," Stoere told reporters outside his official residence in Oslo. Since 2021, Labour had governed with the help of just two smaller parties, the agrarian Centre Party and the Socialist Left, but it must now also rely on the Greens and the far-left Reds to win a majority for policies in parliament. While all five parties agree Stoere should stay in office, they differ on policy priorities around energy, the environment and taxes. Labour is expected to govern alone in a minority government, made possible because the Norwegian parliament has a fixed, four-year term. Governments cannot call early elections nor dissolve parliament, meaning the parties are forced to seek compromises within the set parliamentary term. The Greens want a gradual phasing out of Norway's oil industry, with an immediate stop on exploration, while the Socialist Left and the far-left Red Party also seek to curtail the industry. Labour, however, and the agrarian Centre Party, both want to continue to explore for oil and gas, as do the major parties on the right. While identifying with Stoere and Labour, the anti-EU Centre Party is far more conservative and nationalistic than the other small parties on the left, said Jonas Stein, an associate professor in political science at the University of Tromsoe. "If the demands from Red and the Greens become too much for the Centre Party, it will be difficult, so that is the balancing act that Stoere will face," Stein told Reuters. The first major hurdle for Stoere and Labour is to pass the government's fiscal budget for 2026, which all five parties on the left will need to agree on. The Israeli investments of Norway's $2 trillion sovereign wealth fund, controversial because of the war in Gaza and the expansion of West Bank settlements, are a likely flashpoint in the talks, as is Norway's oil and gas industry. Stoere on Tuesday said Labour will work with the other parties to seek solutions in parliament, adding that Norway has a tradition for finding compromises. Stoere added that as it supplies one-third of Europe's natural gas, Norway should continue to explore for more hydrocarbons. "We will continue to be a reliable partner, but also to take forward technological steps, cut emissions and live up to our climate obligations," he said. The prime minister reiterated his campaign promise not to compromise on Norway's NATO membership, its close partnership with the European Union, of which it is not a member, and on responsible economic management. European Commission President Ursula von der Leyen wrote in a social media post that she would continue to work closely with Stoere to advance a shared commitment to energy independence and a clean energy future, as well as support for Ukraine. https://www.reuters.com/business/energy/norway-must-remain-reliable-energy-supplier-pm-says-after-election-win-2025-09-09/