2024-08-06 19:38
Aug 6 (Reuters) - The Canada Energy Regulator (CER) on Tuesday said the Trans Mountain final interim tolls oral hearing related to its pipeline expansion is scheduled to start on May 14 with final argument to take place in the summer of 2025. Trans Mountain pipeline expansion (TMX) entered partial operation in May, years behind schedule and at more than four times the original cost. TMX has had to raise tolls to recoup some costs. The shippers are disputing the rate increase. In April, the CER approved a request from shippers to disclose additional detailed cost and expense information. "The Commission adjusted the timeline proposed by the parties, due to the increased volume and complexity of records that must be assessed during this proceeding," the regulator said in a statement. Sign up here. https://www.reuters.com/markets/commodities/trans-mountain-pipeline-interim-tolls-hearing-scheduled-may-2025-cer-2024-08-06/
2024-08-06 19:35
MEXICO CITY, Aug 6 (Reuters) - The Bank of Mexico will likely hold its benchmark interest rate at 11% later this week, according to a majority of analysts in a on Tuesday, as inflation and the recent weakness of the local currency muddle expectations for the key lending rate. Holding the benchmark rate was backed by 12 of 22 analysts polled, while the 10 others forecast a 25 basis point cut. In late June, the central bank's board voted to keep the rate at 11% after cutting it in March for the first time since launching its monetary tightening cycle in 2021. But the bank has signaled that a slowing inflation rate could pave the way for future cuts. Since then, Mexico's consumer price index has shown upward pressure on inflation. Prices monitored by the index shot up during the first half of July to their highest rate in nearly a year, even as core inflation has slowed and currently hovers close to the central bank's target of 3%, plus or minus one percentage point. This week, Mexico's peso currency weakened to its lowest level in more than two years versus the U.S. dollar, due largely to volatility in global markets, a development seen by most analysts supporting a potential decision to leave the benchmark rate unchanged. The central bank will publish its monetary policy statement on Thursday at 1:00 p.m. local time (1900 GMT), shortly after official data on July's full-month inflation rate is set to be released. Poll data: Sign up here. https://www.reuters.com/markets/divided-survey-shows-mexico-central-bank-likely-hold-interest-rate-11-2024-08-06/
2024-08-06 19:31
ATLANTA, Aug 6 (Reuters) - Tropical Storm Debby inundated coastal Georgia and South Carolina with a deluge of rain that could bring "catastrophic flooding" to Charleston, Savannah and other cities on Tuesday, a day after it slammed into Florida's Gulf Coast as a hurricane. At least six people have died in Florida and Georgia in the wake of the storm, which is expected to linger over the southeastern and mid-Atlantic coasts for days. "Debby is expected to produce potentially historic rainfall totals of 10 to 20 inches (25 cm and 51 cm), with maximum amounts of 25 inches (63.5 cm), bringing areas of catastrophic flooding across portions of the eastern half of South Carolina, and southeast North Carolina through Friday," the National Hurricane Center said. The governors of those states have declared states of emergency. The storm featured 40-mile-per-hour (64 kph) winds as it moved slowly just south of Savannah, Georgia, on Tuesday afternoon. Heavy rainfall could cause flooding in parts of the mid-Atlantic through Sunday, the Miami-based center said. More than 8 inches (20 cm) of rain have already fallen on Savannah and Valdosta, Georgia, the National Weather Service said. Charleston and Hilton Head, South Carolina, have received between 10 and 12 inches (25 and 30 cm) of rain so far, the weather service said, with more on the way. In Savannah, rain was coming down hard outside the landmark Bellwether House, a 16-room bed-and-breakfast in the city's historic district, but general manager Victoria Hill was not too concerned. "This place was built in 1876," she said. "It's built rock-solid, and you can imagine how many storms have hit over the last century." Hill said many tourists had canceled their reservations because of the storm, but a handful of guests were staying on. "We here, we're open and we're holding up. We'll all ride this out together." Charleston Mayor William Cogswell said more than 2 feet (61 cm) of rain was expected in his city before the storm passes. Even at low tide, storm surges of between 4 and 6 feet (1.2 and 1.8 meters) will prevent floodwaters from draining into the sea, he said. There are "not enough pumps in the world" to handle that much rain, Cogswell said late on Monday. He has since extended a citywide curfew until Wednesday morning. "Nobody should be out on the streets in these conditions unless it is an absolute emergency," the mayor said. About 50 miles (80 km) west of Charleston, fears of a breach at the McGrady Dam in Colleton County, part of the state's Lowcountry, prompted the county sheriff's office to warn residents to evacuate immediately on Tuesday morning. Debby made landfall as a Category 1 hurricane in the Big Bend region of Florida's Gulf Coast on Monday morning, dumping 8 to 16 inches (20 to 41 cm) of rain in parts of central Florida, according to local reports. The storm has been blamed for five deaths in Florida and one near Valdosta, Georgia. More than 88,000 customers were without power in Florida as of Tuesday afternoon, according to poweroutage.us, down from a peak of 350,000 on Monday. And more than 10,000 were without power in Georgia. Hundreds of flights to and from the state were canceled. Weather conditions could spawn tornadoes as well, according to the National Hurricane Center (NHC). A suspected twister flipped over cars and damaged restaurants in Moncks Corner, South Carolina, about 30 miles (48 km) north of Charleston, early on Tuesday morning. Mayor Thomas Hamilton said there were minor injuries. The NHC said Debby would slow down and move east and off Georgia's shore on Tuesday before turning north and drifting inland over South Carolina near Charleston on Thursday. Vice President Kamala Harris postponed a presidential campaign stop scheduled this week in Savannah, the Savannah Morning News reported. Savannah Mayor Van Johnson said the city could expect a "once-in-a-thousand-year" rain event. "This will literally create islands in the city," Johnson said. Cedrick King, a businessman from coastal Brunswick, Georgia, said he and his family had packed up their belongings on Tuesday and were ready to make the five-hour drive to Atlanta. "We're headed north, far away from this storm," he said. Sign up here. https://www.reuters.com/world/us/debby-crawls-near-georgia-coast-bringing-deluge-flooding-threat-2024-08-06/
2024-08-06 19:30
Aug 6 (Reuters) - Environmental groups filed a lawsuit against Suncor Energy (SU.TO) , opens new tab on Tuesday, alleging that pollution from the company's Commerce City refinery in Colorado has resulted in long-lasting harm to surrounding communities. The lawsuit was filed by Earthjustice on behalf of GreenLatinos, the Sierra Club and 350 Colorado in a federal court in Denver. The organizations said in a statement they had documented more than 9,000 instances of alleged Clean Air Act violations by Suncor over a five-year period and the refinery had exceeded federal limits of airborne particulate matter and toxic emissions like benzene and formaldehyde. Calgary-based Suncor said in an email it was aware of the complaint and was reviewing the matter. Commerce City is Colorado's only oil refinery and processes about 98,000 barrels per day. The facility has been dogged by problems in recent years including a fire in December 2022 and complaints from residents about air-quality issues. In February, the state of Colorado fined Suncor $10.5 million for violating air pollution laws between 2019 and 2021. "Suncor has repeatedly exceeded its air permit limits for years and is sending that pollution into the surrounding neighborhoods," said Ian Coghill, a senior attorney with Earthjustice. Sign up here. https://www.reuters.com/business/environment/environmental-groups-sue-suncor-colorado-refinery-pollution-2024-08-06/
2024-08-06 18:19
BRASILIA, Aug 6 (Reuters) - Brazilian President Luiz Inacio Lula da Silva was right to tone down his criticism of the central bank and if he taps Gabriel Galipolo to head the monetary authority later this year that would be an excellent choice, his former finance czar told Reuters. Guido Mantega, who was finance minister during part of Lula's 2003-2010 government, said in an interview on Monday that the leftist leader has "periodically" sought his advice on economic matters. In June, Mantega was among economists who met with the president and advised him to stop attacking central bank chief Roberto Campos Neto for what Lula saw as Brazil's excessively high interest rates, currently at 10.50%. Lula and Campos Neto, who was appointed by far-right former President Jair Bolsonaro, had a public spat in June after the central bank paused a monetary easing cycle despite government pressure to continue reducing rates. Lula did lower his tone on the advice of the economists. "There was too much noise due to Lula's criticism, so I thought this kind of thing had to stop," said Mantega, a long-time advocate of more development spending, which did not endear him to financial markets. Mantega was Brazil's longest-serving finance minister, from 2006 to 2015, working under both Lula and his successor, Dilma Rousseff, who presided over a major economic crisis and was impeached in 2016. Mantega, who believes the Lula administration is on a path to balance public accounts, said he supports Lula's potential nomination of Gabriel Galipolo as central bank governor when Campos Neto's term expires in December. Galipolo, a former executive secretary at the finance ministry, has been the central bank's monetary policy director since 2023, when Lula appointed him a director. He is widely seen as the front-runner to replace Campos Neto. Mantega argued that the next central bank head should be experienced and have a deep understanding of macroeconomics, in addition to being close to Lula and having his trust. "Galipolo has that profile," said Mantega. "He would be an excellent choice." NO BRASKEM, NO VALE Lula has kept Mantega as an "informal adviser" but had the intention of appointing him for a position at a company. In recent months, Mantega was sounded out by the government about becoming a board member at petrochemical producer Braskem (BRKM5.SA) , opens new tab, which is controlled by conglomerate Novonor and state-run oil giant Petrobras (PETR4.SA) , opens new tab. But the talks have not progressed, he said. "I don't know what's going on, I haven't received any additional information about it," Mantega said. In January, media reports - including by Reuters - indicated that Lula engaged in discussions about mining giant Vale (VALE3.SA) , opens new tab and wanted Mantega to be appointed to the company's board or even as its CEO. Vale was privatized in the 1990s and has a dispersed ownership, but the government still exerts significant influence as its main shareholders include a pension fund operated by state-run lender Banco do Brasil (BBAS3.SA) , opens new tab. Mantega said he would not accept a role at the firm. "There is no chance," he said when asked about Vale. "I have no wish to work there." Sign up here. https://www.reuters.com/business/finance/brazils-mantega-praises-lula-lowering-attacks-central-bank-2024-08-06/
2024-08-06 17:09
Canadian dollar gains 0.3% against the greenback Canada posts a surprise trade surplus in June Price of oil increases 0.5% Bond yields rise across the curve TORONTO, Aug 6 (Reuters) - The Canadian dollar extended its recovery from a near two-year low against its U.S. counterpart on Tuesday as a measure of calm returned to global financial markets and economic data showed Canada posting a surprise trade surplus in June. The loonie was trading 0.3% higher at 1.3785 to the U.S. dollar, or 72.54 U.S. cents, after on Monday touching its weakest intraday level since October 2022 at 1.3946. "Today, the market is getting its head around some of the risks that are out there and having a sober second look," said Adam Button, chief currency analyst at ForexLive. Wall Street's main stock indexes rose as investors looked for bargains after a global stock selloff, and dovish comments from Federal Reserve officials lifted market sentiment. Canada recorded a trade surplus of C$638 million ($461 million) in June, mainly led by a jump in shipments of crude oil from the recently expanded Trans Mountain Pipeline. Analysts had forecast a C$1.84 billion trade deficit. The price of oil was trading 0.5% higher at $73.30. Separate data showed that Canada's services economy deteriorated in July as activity and new business declined. "The Canadian dollar has rejected that 1.39 level three times in the last two years and it's proven to be a pivotal level time and time again," Button said. "The market needs to feel a recession to really dump the Canadian dollar." Speculators have raised their bearish bets on the Canadian dollar to a record level, recent data from the U.S. Commodity Futures Trading Commission showed. Canadian government bond yields moved higher across the curve following a market holiday on Monday, tracking moves in U.S. Treasuries. The 10-year was up 9 basis points at 3.088% after touching at one point on Friday its lowest level since May 2023 at 2.947%. Sign up here. https://www.reuters.com/markets/currencies/c-rebounds-2-year-low-investors-rethink-economic-risks-2024-08-06/
