2024-07-19 20:13

July 19 (Reuters) - The U.S. Centers for Disease Control and Prevention on Friday confirmed two additional cases of bird flu in Colorado poultry farm workers. Last week, Colorado reported four confirmed infections of H5N1 bird flu and was checking on the status of a fifth suspected case. The two new cases were in poultry workers with exposure to infected poultry during depopulation and disposal activities, the CDC said on Friday. The cases are part of an outbreak of H5N1 bird flu that has been spreading globally in wild birds, infecting poultry and various species of mammals. The CDC said on Monday that it deployed a nine-member field team comprising epidemiologists, veterinarians, clinicians and an industrial hygienist to support Colorado's assessment of the outbreak and the human cases. Overall, the genetic analysis of the H5N1 virus in Colorado supports the CDC's conclusion that the human health risk currently remains low, the agency said. The health agency also said preliminary results from blood samples collected from 35 people who work in dairy farms in Michigan with infected herds did not show neutralizing antibodies specific to the H5N1 virus. The CDC added that additional data is necessary to fully understand the occupational risks of exposure to the currently circulating avian influenza viruses. Sign up here. https://www.reuters.com/business/healthcare-pharmaceuticals/us-cdc-confirms-two-additional-bird-flu-cases-colorado-2024-07-19/

2024-07-19 19:55

July 19 (Reuters) - U.S. natural gas futures were little changed on Friday as rising output over the past month and the tremendous oversupply of gas in storage offset forecasts for hot weather to return in late July and early August that should boost the amount of gas power generators burn to produce electricity to keep air conditioners humming. Analysts said there was still about 17% more gas in storage than normal for this time of year even after injections have been smaller than usual for nine of the past 10 weeks because several producers cut output earlier in the year after futures prices dropped to 3-1/2 year lows in February and March. Higher prices in April and May, however, prompted some drillers, including EQT (EQT.N) , opens new tab and Chesapeake Energy (CHK.O) , opens new tab, to return to the well pad. But with prices down about 18% so far in July, the market is watching to see if drillers start reducing the amount of gas they pull out of the ground. Front-month gas futures for August delivery on the New York Mercantile Exchange rose 0.3 cents, or 0.1%, to settle at $2.128 per million British thermal units (mmBtu). For the week, the contract fell about 9% after rising less than 1% last week. That put the front-month down for the fifth time in six weeks, falling about 27% during that time. The market is sending mixed messages about the upcoming November-March heating season. The premium of futures for March is trading at a record low to April , which is a sign that traders are already giving up on the upcoming winter. But futures for November are trading at a record high premium over October , which is a sign that traders are expecting higher prices this winter. March is the last month of winter storage withdrawal season and April is the first month of the summer injection season. October is the last month of the summer season and November is the first month of the winter season. Since gas demand peaks during the winter heating season, traders say prices in the summer should not exceed the winter. In other news, a worldwide tech outage crippled industries from travel to finance before services started coming back online after hours of disruption, highlighting the risks of a global shift towards digital, interconnected technologies. SUPPLY AND DEMAND Financial firm LSEG said gas output in the Lower 48 U.S. states rose to an average of 102.1 bcfd so far in July, up from an average of 100.2 bcfd in June and a 17-month low of 99.4 bcfd in May. U.S. output hit a monthly record high of 105.5 bcfd in December 2023. Meteorologists projected weather across the Lower 48 states would remain mostly near normal through July 25 before turning hotter than normal through at least Aug. 3. With milder weather coming, LSEG forecast average gas demand in the Lower 48, including exports, will slide from 105.9 bcfd this week to 104.2 bcfd to 103.6 bcfd next week before rising to 106.6 bcfd in two weeks when the heat returns. The forecasts for this week and next were higher than LSEG's outlook on Thursday. Gas flows to the seven big U.S. LNG export plants fell to 11.6 bcfd so far in July after Freeport LNG in Texas shut before Hurricane Beryl hit the Texas Coast on July 8, down from 12.8 bcfd in June and a monthly record high of 14.7 bcfd in December 2023. Freeport started pulling in small amounts of feedgas this week as it slowly returns to service. The 2.1-bcfd plant was on track to pull in about 0.8 bcfd of gas on Friday, up from 0.5 bcfd on Thursday after pulling in almost no gas from July 7-15. Sign up here. https://www.reuters.com/business/energy/us-natgas-prices-steady-rising-output-offset-hot-weather-forecasts-2024-07-19/

2024-07-19 19:35

July 19 (Reuters) - A U.S. appeals court on Friday ruled that a regulation ordering deep cuts in power plants' carbon emissions can go ahead while it considers a challenge from more than two dozen Republican-led states. The Environmental Protection Agency rule applies to existing coal-fired power plants and any new natural gas plants. The U.S. Court of Appeals for the D.C. Circuit in Washington, D.C. found that a stay was not necessary because the states faced no immediate harm, since the rule's earliest compliance deadline is in 2030. An EPA spokesperson said that the agency was pleased with the ruling. West Virginia Attorney General Patrick Morrisey, who is leading the challenge, said in a statement that the rule was unlawful and he would seek a stay from the U.S. Supreme Court. The rule, part of Democratic President Joe Biden's broader climate agenda, requires that greenhouse gas emissions be reduced by 90% by 2032. It has been challenged not only by the states, which include Indiana, Ohio and Kansas, but by electric utility, mining and coal industry trade groups. To comply, the U.S. power industry - which produces nearly a quarter of U.S. greenhouse gas pollution - would have to install costly emissions control technologies or shut down the dirtiest plants running on coal. The EPA has said the reductions are feasible if the plants install carbon capture and sequestration technology that prevent emissions reaching the atmosphere. The challengers contend that the method has not yet been meaningfully deployed and is too costly. They have also said the EPA exceeded its authority by making the rule and needed explicit congressional approval to do so. Sign up here. https://www.reuters.com/business/environment/us-court-will-not-halt-power-plant-emissions-rule-states-challenge-it-2024-07-19/

2024-07-19 19:34

HOUSTON, July 19 (Reuters) - Oil prices settled over $2 lower on Friday at their lowest level since mid-June as investors eyed a possible ceasefire in Gaza, while a strengthened dollar drove values down further. Brent crude prices settled down $2.48, or 2.9%, to $82.63 a barrel. U.S. West Texas Intermediate crude futures dropped $2.69, or 3.3%, to $80.13. U.S. Secretary of State Antony Blinken said a long-sought ceasefire between Israel and the Palestinian militant group Hamas was within sight. "I believe we're inside the 10-yard line and driving toward the goal line in getting an agreement that would produce a ceasefire, get the hostages home and put us on a better track to trying to build lasting peace and stability," Blinken said, using a football analogy. The war in Gaza has led investors to price in a risk premium when trading oil, as tensions threaten global supplies. If a ceasefire is reached, the Iran-backed Houthi rebels could ease their attacks on commercial vessels in the Red Sea, since the group declared the attacks in support of Hamas. "Geopolitics is starting to ease just a little bit so that ought to work in our favor, following the news of this ceasefire," said Tim Snyder, chief economist at Matador Economics. The United Nations' highest court said Israel's occupation of Palestinian territories and its settlements there are illegal and should be withdrawn as soon as possible, further buoying hopes of an end to the conflict. The U.S. dollar index climbed after stronger-than-expected data on the U.S. labor market and manufacturing this week, pressuring oil prices, said Phil Flynn, an analyst at Price Futures Group. A stronger U.S. currency dampens demand for dollar-denominated oil from buyers holding other currencies. Chinese officials acknowledged the sweeping list of economic goals reemphasized at the end of a Communist Party meeting this week contained "many complex contradictions", pointing to a bumpy road for policy implementation. China's economy grew by a slower-than-expected 4.7% in the second quarter, official data showed, sparking concerns over its demand for oil. Lending some support to prices, energy services firm Baker Hughes (BKR.O) , opens new tab said oil rigs fell by one to 477 this week, their lowest since December 2021. A global tech outage disrupted operations in multiple industries, with airlines halting flights, some broadcasters going off air and sectors from banking to healthcare hit by system problems. Meanwhile, two large oil tankers were on fire after colliding near Singapore. Singapore is Asia's biggest oil trading hub and the world's largest bunkering port. Its surrounding waters are vital trade waterways between Asia and Europe and the Middle East and among the busiest global sea lanes. Sign up here. https://www.reuters.com/markets/commodities/oil-falls-1-barrel-with-gaza-ceasefire-sight-easing-supply-fears-2024-07-19/

2024-07-19 18:12

Canadian dollar falls 0.2% against the greenback Touches its weakest since July 2 at 1.3747 Retail sales fall 0.8% in May 10-year yield rises 1.8 basis points to 3.399% TORONTO, July 19 (Reuters) - The Canadian dollar weakened to a 17-day low against its U.S. counterpart on Friday as Canadian retail sales fell more than expected and investors weighed the potential for a change of leadership in the United States to roil global trade. The loonie was trading 0.2% lower at 1.3730 to the U.S. dollar, or 72.83 U.S. cents, after touching its weakest intraday level since July 2 at 1.3747. For the week, the currency was down 0.7%. "Developments this week suggest investors are starting to consider the risks associated with a return of former President Trump to the White House next year," Shaun Osborne, chief currency strategist at Scotiabank, said in a note. U.S. President Joe Biden faces former President Donald Trump in the November presidential election. Scotiabank has estimated that tariffs proposed by Trump on all exports to the United States could lead to a decline of over 3.6% in the level of Canadian economic activity relative to current forecasts. Canada sends about 75% of its exports to the United States, including oil. U.S. crude futures were down 3% at $80.30 a barrel, pressured by renewed hopes of a ceasefire in Gaza and a stronger U.S. dollar (.DXY) , opens new tab. Canadian retail sales fell 0.8% in May from April, compared with estimates for a decline of 0.6%, while a preliminary estimate showed sales down 0.3% in April. The data, along with cooler-than-expected Canadian inflation data on Tuesday, supported bets the Bank of Canada will ease interest rates further. The central bank will cut its benchmark rate for a second straight meeting on Wednesday by 25 basis points to 4.50%, according to a large majority of economists in a Reuters poll. Canadian bond yields increased across the curve, tracking moves in U.S. Treasuries. The 10-year was up 1.8 basis points at 3.399%. Sign up here. https://www.reuters.com/markets/currencies/c-extends-weekly-decline-investors-eye-us-election-risks-2024-07-19/

2024-07-19 17:29

July 19 (Reuters) - American Express's (AXP.N) , opens new tab second-quarter revenue jumped 9% to a record $16.33 billion on the back of robust spending from its wealthy customers but still fell short of expectations, sending shares of the credit card giant down 4.4%. Known for its affluent cardholders, the company has been somewhat insulated from weakness in the economy, even as rival lenders warn of tepid loan demand at a time when borrowing costs are at their highest since the global financial crisis. But a slowdown in spending growth compared to the prior quarter worried some investors, especially as data shows that wage growth has begun to lose some steam, possibly impacting discretionary spending. Billed business, a measure of spending on AmEx cards, rose 6% from last year in the second quarter. It had expanded 7% in the first quarter. Still, the company raised its 2024 earnings per share forecast to between $13.30 and $13.80, versus the $12.65 to $13.15 range it expected earlier. "We remain confident in management's ability to mitigate softer top line with expense control and achieve the EPS target," said Citigroup analyst Keith Horowitz. The revenue miss, however, could lead to some weakness in the stock, he said. AmEx also said it would boost its marketing by 15% this year versus 2023, but not because it was anticipating a slowdown in spending, CEO Stephen Squeri said. "You want to gain more traction with new cardholders and you want to gain more share," he said. Profit was $3.02 billion, or $4.15 per share, for the three months ended June 30, 39% higher than a year ago. Excluding a one-time gain, it earned $3.49 per share, higher than analysts' estimate of $3.24 per share, according to LSEG data. Its quarterly revenue of $16.33 billion was below the LSEG estimate of $16.59 billion. Sign up here. https://www.reuters.com/business/finance/amexs-quarterly-profit-beats-estimates-robust-spending-2024-07-19/