2024-07-16 20:07

BUENOS AIRES, July 16 (Reuters) - Argentina posted primary fiscal and financial surpluses in June, the economy ministry said on Tuesday, showing the fruits of a drastic austerity package rolled out by libertarian President Javier Milei, who took office in December. Both the fiscal and financial balances are the sixth consecutive monthly surpluses, and June's financial surplus - which includes interest payments by the government - is the first time since 2008 that six in a row have been recorded, the ministry added. The public sector logged a primary fiscal surplus of 488.57 billion Argentine pesos ($535.71 million) and a financial surplus of 238.12 billion pesos in June, down from surpluses in the trillions of pesos in the prior month. Milei's government has vowed to reach a "zero deficit" this year to right the South American country's embattled economy. The fiscal surplus in the first half of 2024 reached 1.1% of the nation's gross domestic product (GDP), with the financial surplus at about 0.4% of GDP, the economy ministry said. "As such, the government's fiscal anchor continues to consolidate," the ministry said. Milei blames years of over-spending and deep fiscal deficits for Argentina's economic woes, which include a triple-digit inflation rate. ($1 = 912 Argentine pesos) Sign up here. https://www.reuters.com/world/americas/argentina-posts-six-months-fiscal-financial-surpluses-2024-07-16/

2024-07-16 20:04

BRASILIA, July 16 (Reuters) - Brazil's government has suggested that the central bank should cover the costs of a rural insurance program, two sources said on Tuesday, which may delay a committee vote on a constitutional amendment excluding the bank from the federal budget. The maneuver could result in savings for the Treasury of 12 billion reais ($2.21 billion), according to the central bank's estimate for the cost of the so-called Proagro program this year, made during a public hearing in Congress last month. Currently, the central bank runs the program, but funding comes from the federal government. The sources, who requested anonymity to discuss the idea, said no decision has been reached on the matter. Debate on the proposal could push back a Senate committee vote that some have expected as early as Wednesday, the sources added. President Luiz Inacio Lula da Silva's government has openly opposed the amendment granting financial autonomy to the central bank, whose governor Roberto Campos Neto supports the proposal. In 2021, Congress granted the central bank operational autonomy, separating the governor's term from that of the country's president. Financial autonomy would give the bank more independence from the executive branch, as it would have full control of its budget for salaries and investments. One source said that the proposal involving Proagro is part of the government's strategy to drag out debate on the Senate's Constitution and Justice Committee (CCJ) by introducing a contentious new issue. "Senator Davi (Alcolumbre, CCJ chairman) will not oppose the government," the source said. A third source said Alcolumbre told senators on Tuesday that there will be no vote without a broad consensus on the topic. The central bank and the Finance Ministry declined to comment. Alcolumbre did not immediately respond to questions. ($1 = 5.4228 reais) Sign up here. https://www.reuters.com/world/americas/brazil-government-pushes-central-bank-handle-rural-insurance-say-sources-2024-07-16/

2024-07-16 20:01

BUENOS AIRES, July 16 (Reuters) - Argentina tripled its lithium carbonate equivalent (LCE) production capacity in the last two years, driven by new projects that have boosted installed capacity to 136,500 tons nationwide, the country's Chamber of Mining Entrepreneurs (CAEM) reported on Tuesday. Argentina, the world's No. 4 lithium producer, has four projects in production, including the Centenario Ratones plant in the northern province of Salta, a joint venture between France's Eramet (ERMT.PA) , opens new tab and Chinese steelmaker Tsingshan (600103.SS) , opens new tab. The plant, inaugurated earlier this month, aims to produce 24,000 tons per year of LCE by 2025, helping to narrow the gap with Chile, Latin America's top producer of the ultra-light metal essential for making electric vehicle batteries. "The recent inauguration of Centenario Ratones, the fourth lithium production plant in our country and the first in Salta, adds to a series of new projects and expansions that tripled installed capacity in just two years," CAEM said in a statement. Production potential in Argentina went from 37,500 tons of LCE in 2022 to 136,500 tons, according to the chamber. Argentina sits inside South America's so-called "lithium triangle" with Chile and Bolivia and is looking to increase output with a slate of new projects set to come online later this year. Sign up here. https://www.reuters.com/markets/commodities/argentina-tripled-lithium-carbonate-production-capacity-last-two-years-2024-07-16/

2024-07-16 19:36

July 16 (Reuters) - French oil major TotalEnergies (TTEF.PA) , opens new tab said on Tuesday its second-quarter hydrocarbon production levels will hit the top end of its guidance range, while pressure on refining margins will be partly alleviated by higher refinery utilisation. WHY IT'S IMPORTANT TotalEnergies quarterly earnings are due on July 25, and investors are closely watching the company and its peers as refining margins are dragged down by softening gasoline demand. London-listed BP (BP.L) , opens new tab earlier this month released a profit warning. BY THE NUMBERS Total expects fossil fuel production to reach the high end of a previously announced range, at close to 2.45 mboe (million barrels of oil equivalent) per day. Its Integrated Power business is expected to post earnings of around $500 million, with quarterly cash flow seen in line with $2.5 billion to $3 billion guidance. LNG results are seen broadly in line with the first quarter. MARKET REACTION TotalEnergies shares were down by around 0.8% in early trade on Tuesday, in line with the broader market. "TTE's trading update looks overall inline and should trigger limited changes to consensus earnings," Jefferies analyst Giacomo Romeo said in a research note. (This story has been corrected to fix the quantity to million, not thousand, in paragraph 3) Sign up here. https://www.reuters.com/business/energy/totalenergies-says-oil-production-hit-high-end-q2-guidance-2024-07-16/

2024-07-16 19:14

LIMA, July 16 (Reuters) - At least 25 people were killed and 17 injured in Peru on Tuesday after a bus crashed while traveling through a mountainous area, according to Ayacucho's regional health department. The bus skidded off a highway in Peru's Andean Ayacucho region at dawn, overturning and plummeting down a slope of about 200 meters, Jhonny Rolando Valderrama, head of the highway protection division, told state news agency Andina. Valderrama said the accident occurred on the Los Libertadores highway in Ayacucho in the south-central Andes and that rescue work was ongoing. By early afternoon, a top police officer said early information indicated there were 42 passengers in the bus. Peru's ground transportation superintendent SUTRAN said in a statement the bus belongs to local company Turismo Molina Union SAC and that it has initiated an investigation. Company representatives did not respond to Reuters' requests for comment. Deadly bus accidents are common in Peru, where many buses travel on precarious mountain roads or are driven by inadequately trained drivers. At least 25 people died in April when a bus fell into a river in Peru's northern Cajamarca region, while last September at least 24 people died in a similar accident in the Anco region. Sign up here. https://www.reuters.com/world/americas/bus-accident-peruvian-andes-leaves-least-20-dead-2024-07-16/

2024-07-16 17:22

CHICAGO, July 16 (Reuters) - United Airlines (UAL.O) , opens new tab flight attendants will vote whether to authorize a strike if agreement on a new employment contract cannot be reached, their union said on Tuesday. The Association of Flight Attendants-CWA (AFA), which represents 28,000 flight attendants at the Chicago-based carrier, said the vote will open on Aug. 1 and close on Aug. 28. The last contract became eligible for an amendment in August 2021. "United flight attendants can't afford to wait for improvements," said Ken Diaz, president of AFA's United chapter. "We deserve an industry-leading contract, and we are ready to show United management that we will do whatever it takes." United did not immediately respond to a request for comments. The union said strike authorization votes have helped expedite contract negotiations at rivals Alaska (ALK.N) , opens new tab, Southwest (LUV.N) , opens new tab, and American Airlines (AAL.O) , opens new tab. United's flight attendants, who filed for federal mediation last year, are demanding double-digit base pay increase, higher pay for time at work including on the ground, retroactive pay, schedule flexibility and work rule improvements. Even if the flight attendants authorize a strike, they cannot walk off the job until the National Mediation Board (NMB) grants them permission. The board will first have to determine that both the parties are at an impasse and further bargaining would not be productive. This lengthy and complex process makes it rather difficult for airline workers to strike. Last year, the NMB denied a request from the flights attendants of American Airlines to be released from federal mediation. Sign up here. https://www.reuters.com/business/aerospace-defense/united-airlines-flight-attendants-will-vote-strike-authorization-union-2024-07-16/