2023-11-02 22:19

MINNEAPOLIS, Nov 2 (Reuters) - Bunge has filed for regulatory approvals for its merger with crop handler Viterra in "major jurisdictions" in North and South America, Europe and China, and has gotten the green light from some of its smaller markets including Colombia, Chief Executive Officer Greg Heckman said on Thursday. The merger, which would create a company worth $34 billion including debt, would bring the combined company closer in global scale to Bunge's leading rivals Archer-Daniels-Midland (ADM.N) and Cargill (CARG.UL). The proposed combination with Glencore-backed (GLEN.L) Viterra, however, is attracting scrutiny from regulators concerned about consolidation in the agricultural sector. Heckman told Reuters healthy commodities market competition in Canada, the United States, Brazil, Argentina, China and parts of Europe should allow Bunge (BG.N) to avoid having to sell assets to gain approval for the merger from antitrust authorities. But if asset liquidations are required, Bunge believes demand for its assets is very strong, Heckman said at Reuters' Transform Food USA event in Minnesota. "If we have to sell some assets, everybody has called to be on the list to buy them. We'll get a very fair price," he said. Bunge expects to finalize the deal by mid-2024 after closing conditions are met and regulators sign off on the deal. https://www.reuters.com/markets/deals/bunge-seeks-antitrust-approval-viterra-merger-major-jurisdictions-2023-11-02/

2023-11-02 22:01

WASHINGTON, Nov 2 (Reuters) - The Biden administration is launching talks with solar energy companies and nonprofit groups in Puerto Rico on awards of up to $440 million for rooftop solar and battery storage systems in the commonwealth where storms have wiped out the grid in recent years, the Energy Department said on Thursday. The awards will be the first tranche from a $1 billion fund included in legislation President Joe Biden signed in late 2022 to boost energy resilience for Puerto Rico’s most vulnerable households and communities and help the U.S. territory meet its goal of 100% renewable energy by 2050. "Plain and simple, this investment will save lives, all while providing local, good-paying jobs and advancing Puerto Rico’s clean energy transition," said Energy Secretary Jennifer Granholm, who has visited the island several times to talk about the fund and boosting the grid at town halls in cities and remote hamlets. The Energy Department has begun talks with three companies, Generac Power Systems (GNRPS.UL), Sunnova Energy (NOVA.N), and Sunrun (RUN.O), which may be awarded a total of $400 million to deploy residential solar and battery systems. Nonprofits and cooperatives, including Barrio Electrico and the Environmental Defense Fund, may be awarded a total of $40 million. Rooftop solar coupled with battery storage can increase independence from the centralized grid, while cutting emissions blamed for climate change. Up to 4,600 people died in Puerto Rico after 2017's Hurricane Maria, crushed the power grid, studies say. Among the worst hit communities were ones with elderly and low-income people. In some mountain towns, the power was out for 11 months. In September 2022, a weaker Hurricane Fiona again wiped out the grid, heightening concerns about the fragility of a decades-old system dominated by fossil fuel plants. https://www.reuters.com/sustainability/sustainable-finance-reporting/us-award-up-440-million-puerto-rico-rooftop-solar-power-2023-11-02/

2023-11-02 21:54

Nov 3 (Reuters) - A look at the day ahead in Asian markets from Jamie McGeever, financial markets columnist. A powerful rally in U.S. and global stocks on Thursday, sparked by another slump in bond yields as investors cheer what they increasingly believe is the end of the global rate-hiking cycle, paves the way for a strong end to the week in Asia on Friday. There is a strong current of optimism surging through global markets that rate hikes from the Federal Reserve, Bank of England, European Central Bank and others are over. If the Fed delivered a 'dovish' pause on Wednesday, the BoE delivered a 'hawkish' pause on Thursday. But the over-arching reaction across markets was the same - huge rallies in bonds, stocks and risk assets. Investors are now looking to when the easing cycles start and how far they go. Around 70 to 75 basis points of Fed easing next year is priced into the U.S. curve, and almost 50 bps of expected rate cuts is reflected in the UK curve. Fed Chair Jerome Powell and other policymakers around the world may insist that policy needs to remain restrictive and that rate cuts are simply not on the agenda, but markets have the bit between their teeth - the pivot is in place. Bond yields slumped again on Thursday - the U.S. 10-year yield is down around 40 basis points from its peak above 5% only a few days ago - the dollar fell. That's music to emerging market ears. Asian stocks jumped 1.7% for their best day since July. Given the strength of the rally on Wall Street and around the world later in the day, few would bet against another strong rise on Friday. The S&P 500 chalked up its best day in six months, also boosted by strong corporate earnings and guidance - Apple reported forecast-beating quarterly sales and profit, although shares fell slightly in after hours trade. The three main Wall Street indexes are well on course to register their best week of the year, all eyeing weekly gains of around 5%. Japan's Nikkei followed Wednesday's 2.4% leap with a 1.1% spike on Thursday. Although the yen rebounded a bit Thursday, it is still below 150 per dollar near last year's 33-year low and is languishing at its lowest level in over half a century on a real effective exchange rate basis. Chinese markets, however, remain the outliers. Official and unofficial figures this week showed manufacturing sector activity unexpectedly shrank in October, dampening the optimism that had built up after the strong third quarter GDP data. If the Caixin non-manufacturing purchasing managers report on Friday signals contraction in services - September's 50.2 showed slender growth - Chinese stocks could buck the global trend and close lower on the day and the week. Here are key developments that could provide more direction to markets on Friday: - China, India services PMI (October) - Australia manufacturing, services PMIs (October) - Fed's Barr, Barkin, Kashkari speak https://www.reuters.com/markets/asia/global-markets-view-asia-graphics-pix-2023-11-02/

2023-11-02 21:37

ACAPULCO, Mexico, Nov 2 (Reuters) - In the storm-ravaged Mexican coastal city of Acapulco, a candle flickers in the corner of stylist Nelly Valadez's home, where she has set up an altar for Day of the Dead to honor her husband and mother who died of cancer. Hurricane Otis devastated the beach resort last week, leaving around 100 people dead or missing, destroying homes, and severing communications. Like many other residents, Valadez has been left without work and is struggling to find basic necessities. She has had only intermittent electricity in her house since the Category 5 hurricane sparked widespread looting in the city of nearly 900,000 people. But she was not prepared to forego the ritual of honoring departed loved ones on Day of the Dead, one of the most deeply-rooted Mexican traditions. "It's very difficult because there's no work, there's no income, but I couldn't let these days go by, because of the people who have left us: my husband and mother," she said. Authorities said Otis was the most powerful recorded hurricane ever to strike Mexico's Pacific coast. The storm gathered strength with unusual ferocity, wrongfooting initial forecasts. Dozens of people are still missing and aid has been slow to trickle in. Some residents missed out on their usual Day of the Dead gathering at the city's main cemetery because they were busy searching for potable water, food, and power to charge their cellphones. Bouquets of marigolds, a flower traditionally used on the altars to guide spirits to their homes, lined the main streets, alongside heaps of debris from destroyed houses and shops. For many, the marigolds, which were selling for 200 pesos ($11.41), about four times the usual price, were prohibitively expensive. Valadez was able to buy a few bouquets, which she sprinkled on the floor in front of her altar on Tuesday night to mark a path for the spirits of her husband and mother to return to visit, she said. "For me, they haven't gone, they're still with me," she said. "Whatever it took, I was going to make an altar." ($1 = 17.5346 Mexican pesos) https://www.reuters.com/world/americas/amid-acapulco-devastation-mexicans-mark-day-dead-2023-11-02/

2023-11-02 21:24

Nov 2 (Reuters) - Oil and gas firm Southwestern Energy (SWN.N) beat third-quarter profit estimates on Thursday, as higher oil production offset lower prices. The demand for oil remained strong, helped by low levels of inventory in the United States and increased exports, which maintained tight supplies despite Saudi Arabia and Russia, two leading OPEC+ oil producers, voluntarily reducing their production. Southwestern's total oil production in the quarter was up about 12% from a year earlier at 1.31 million barrels of crude oil. Average realized oil price, excluding derivatives, in the quarter was down about 16% from a year earlier at $71.09 per barrel of crude oil. Brent Crude was down about 13% in the third quarter since the peak last year during the Russia-Ukraine conflict, pressuring prices. The company reported an adjusted profit of 10 cents per share for the quarter ended Sept. 30, compared to average analysts' estimate of 7 cents per share. A growth of 5.6% in its production of natural gas liquids, which include ethane, propane and butane, among others, in the quarter also helped the company's earnings. Southwestern's total production was down 4% to 425 billions of cubic feet equivalent (bcfe) due to lower natural gas production as demand was down due to milder weather. The company expects total production for the fourth quarter to be between 400 bcfe and 420 bcfe. https://www.reuters.com/business/energy/southwestern-energy-beats-third-quarter-profit-estimates-higher-oil-demand-2023-11-02/

2023-11-02 21:04

NEW YORK, Nov 2 (Reuters) - NRG Energy (NRG.N) on Thursday reported significantly higher third-quarter profit, helped by lower retail supply costs and insurance payouts, and its shares closed 3% higher. The company reported net income for the quarter of $343 million, up from $67 million a year ago. Lower retail supply costs in Texas and property damage insurance recoveries contributed to the third-quarter earnings, which were somewhat offset by lower contributions from its services business and its power plant at Cottonwood. The Houston Texas-based energy and home services company raised its adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) forecast to the range of $3,150 to $3,300 from $3,010 to $3,250. The company reported $7.95 billion in quarterly revenue, down 6.6% from the same period a year ago. Two analysts polled by LSEG had estimated the company's revenue would be around $10.95 billion. On Wednesday, NRG said it completed the sale of its 44% stake in the South Texas Project Electric Generating Station, a 2,645 megawatt nuclear facility, to Constellation Energy (CEG.O) for $1.75 billion. The company's profit available for common stockholders jumped to $326 million, or $1.42 per share, for the quarter ended Sept. 30, from $67 million, or $0.29 per share, a year ago. NRG shares ended trading on Thursday up $1.27, or 2.9% at $45.13. https://www.reuters.com/business/energy/nrg-energy-misses-revenue-estimates-2023-11-02/