2024-05-22 21:39

BUENOS AIRES, May 22 (Reuters) - Argentina's economic activity fell 8.4% in March from a year earlier, the country's official statistics agency said on Wednesday, its fifth monthly drop in a row and the steepest fall since 2020. The result was a steeper drop than the 6.9% fall estimated by market analysts in a Reuters poll, underscoring the impact of libertarian President Javier Milei's cost-cutting policies since taking office in December. Milei has embarked on a painful austerity drive in an effort to bring down rising poverty and annual inflation near 300%. Nine sectors recorded declines in the year-on-year comparison, led by construction that posted a 29.9% decline and the manufacturing industry which slipped 19.6%, according to the data published by Argentina's INDEC statistics agency. Economic activity numbers are seen as a useful early indicator of likely gross domestic product results. The fall in activity in March follows year-on-year declines of 3.0% in February and 4.1% in January. In the year through March, Argentina's economic activity fell 5.3%. Sign up here. https://www.reuters.com/world/americas/argentinas-economic-activity-down-84-march-biggest-drop-since-2020-2024-05-22/

2024-05-22 21:26

WASHINGTON, May 22 (Reuters) - U.S. Secretary of State Antony Blinken on Wednesday said the United States and Saudi Arabia were very close to concluding a set of agreements on nuclear energy, security and defense cooperation, which are part of a wider normalisation deal with Riyadh and Israel. Speaking at a hearing in the House of Representatives, Blinken said the finalizing of the agreements "could be weeks away" but cautioned that for the wider normalisation to proceed, there must be calm in Gaza and the formulation of a pathway for Palestinian statehood. "Those agreements are in principle very close to being able to be concluded. Now of course we will come to Congress with them when they're ready to be reviewed, but we're - could be really weeks away from being able to conclude them," Blinken told the House Appropriations Committee. "However, in order for normalization to proceed, Saudi Arabia has made very clear that even with the agreements between us completed, they have to have two things: they have to have calm in Gaza and they have to have a credible pathway to a Palestinian state," Blinken added. Sources told Reuters earlier this month that a working draft has been crafted that lays out principles and proposals aimed at putting back on track the U.S.-led effort to reshape the volatile region that was derailed by Hamas’ Oct. 7 attack on Israel and the ensuing war in Gaza. However the bigger deal still remains elusive largely due to Israeli Prime Minister Benjamin Netanyahu's repeated rejection of any plans for the creation of a Palestinian state. As Washington works on restoring calm in Gaza through a hostage deal that would achieve a ceasefire, Blinken said, a moment of choice was approaching for Israel. "Until now this has been a hypothetical or theoretical question for Israel. Assuming we complete the agreements between the United States and Saudi Arabia, that hypothetical or theoretical question becomes a real question that they will have to answer one way or another," Blinken said. Blinken sidestepped a question on whether any U.S.-Saudi civil nuclear pact would commit Riyadh to the "gold standard" of foregoing uranium enrichment or reprocessing spent fuel, both processes that can yield fissile material for bombs. Blinken said Washington wanted any civil nuclear deal to include the foreign nation agreeing to the "gold standard" as well as "Additional Protocol" that gives the U.N. nuclear agency more verification tools but he did not commit that a Saudi deal would include either. U.S. President Joe Biden’s aides originally envisioned, in three-way negotiations before the Oct. 7 attack, for Saudis to gain U.S. security commitments and U.S. nuclear cooperation in exchange for normalizing ties with Israel. Now the administration is negotiating with Riyadh on a separate track and seeking to finalize the offer of a "grand bargain," leaving Netanyahu to decide whether to join. U.S. officials are hoping Netanyahu will not want to forego the historic opportunity to open relations with Saudi Arabia, guardian of Islam’s holiest sites. But they say they are mindful of the domestic political pressures he is under, including keeping Israel’s most right-wing government ever from collapsing. Sign up here. https://www.reuters.com/world/blinken-says-us-saudi-pacts-could-be-weeks-away-completion-2024-05-22/

2024-05-22 20:59

May 22 (Reuters) - A U.S. judge on Wednesday allowed a lawsuit filed by Exxon Mobil (XOM.N) New Tab, opens new tab against two activist groups seeking to bar their climate resolution to go ahead against one of the groups. The oil company's lawsuit raised alarm among activists and proxy advisers who argued it would muzzle debate among shareholders and public companies. Exxon sued climate activist groups Arjuna Capital and Follow This in January and told the court it would not drop the matter after they agreed to withdraw their petition, citing "the likelihood" the pair could file similar resolutions in the future. U.S. District Judge Mark Pittman on Wednesday ruled that Exxon could continue its case against Arjuna Capital, citing jurisdiction to hear the case over a U.S.-based firm. But he said it could not pursue its claim against Netherlands-based climate activist group Follow This, as it was outside the court's jurisdiction. The activist groups argued that Exxon's legal strategy would allow the company to "haul its shareholders into any court in the United States." "This is an unwarranted and cynical attack on shareholder rights in the world’s leading capital market," Follow This founder Mark Van Baal said. California Public Employees' Retirement System (CalPERS), the largest public pension fund in the United States, said it was "disappointed, but not surprised" the lawsuit will continue. "Exxon's dangerous legal gambit, if successful, would undermine shareholder rights and allow corporate leaders to stifle the ideas of investors with impunity,” CEO Marcie Frost said. The judge also denied Exxon's request to obtain evidence to determine whether the court has the authority to hear the case. And proposed to transfer the case to a Texas state court. Exxon's annual shareholder meeting will be held on May 29. Arjuna Capital and Follow This had asked Exxon to adopt so-called Scope 3 targets to reduce emissions produced by users of its products. Exxon is the only one of the five Western oil majors which does not have such targets. FADING SUPPORT Activist investors made similar proposals at shareholder meetings of various oil majors over the past two years. But the cause has been losing shareholder support due to tighter global oil supply, rising energy costs for consumers, and increased energy security concerns following Russia's invasion of Ukraine. Follow This received approval from 28% of Exxon shareholders who voted in 2022. Last year it received just 10% of the vote. Exxon shareholders have already rejected Scope 3 targets, the company contends, with shareholders campaigning for changes "calculated to diminish the company's existing business," it said. Exxon won support from business lobby groups the U.S. Chamber of Commerce and Business Roundtable, which said the case "exemplifies activist groups' takeover of the shareholder proposal process to score ideological points." Sign up here. https://www.reuters.com/sustainability/boards-policy-regulation/exxon-case-against-activist-shareholder-can-proceed-judge-rules-2024-05-22/

2024-05-22 20:55

May 22 (Reuters) - U.S. lawmakers behind a congressional probe of major oil companies on Wednesday called on the Justice Department to investigate whether the industry deceived the public about fossil fuels' impact on climate change. Two Democrats, Senator Sheldon Whitehouse and Representative Jamie Raskin, outlined the findings of a nearly three-year investigation into Big Oil and urged the agency to take action in a letter to U.S. Attorney General Merrick Garland. The lawmakers accuse companies Exxon Mobil (XOM.N) New Tab, opens new tab, Chevron (CVX.N) New Tab, opens new tab, BP (BP.L) New Tab, opens new tab and Shell (SHEL.L) New Tab, opens new tab, oil and gas trade group American Petroleum Institute and business group the U.S. Chamber of Commerce of working together to mislead the public by making promises to reduce emissions while also seeking to protect oil and gas production. "This evidence, combined with the entities' failure to comply fully with validly issued congressional subpoenas, suggests that further investigation by the executive branch is warranted," the letter said. A Department of Justice spokesperson said the agency had received the letter but would not comment on it. Chevron, BP and Shell did not immediately respond to requests for comment. An Exxon official pointed to a statement the company gave following a Senate Budget Committee hearing earlier this month, in which it said the allegations had already been addressed in congressional hearings and litigation. Chamber Chief Policy Officer Neil Bradley said the lawmakers were attempting to criminalize a policy dispute. "Their referral insinuates legal violations without identifying a single law that has allegedly been broken," Bradley said in a statement. The American Petroleum Institute called the move a distraction. “This is another unfounded political charade to distract from persistent inflation and America’s need for more energy, including oil and natural gas. U.S. energy workers are focused on delivering the reliable, affordable oil and natural gas Americans demand and any suggestion to the contrary is false,” an API spokesperson said in a statement. Sign up here. https://www.reuters.com/sustainability/climate-energy/us-lawmakers-urge-justice-department-probe-climate-deception-by-big-oil-2024-05-22/

2024-05-22 20:54

May 22 (Reuters) - VF Corp (VFC.N) New Tab, opens new tab posted a fourth-quarter loss and reported revenue below analysts' estimates on Wednesday as sales declined across its brands, reflecting choppy demand for its apparel and footwear amid strained consumer spending. Shares of the North Face owner, which have declined 34.5% so far this year, were down nearly 8% in extended trading. The Denver-based apparel retailer also named Spotify's (SPOT.N) New Tab, opens new tab former CFO Paul Vogel as its new finance chief, effective July 8. He will succeed Matt Puckett, who announced his decision to step down in February. Premium apparel, footwear and handbag retailers like Under Armour (UAA.N) New Tab, opens new tab, Calvin Klein-owner PVH Corp (PVH.N) New Tab, opens new tab, and Tapestry (TPR.N) New Tab, opens new tab have all grappled with a demand slowdown in the United States. VF Corp, which owns brands such as Altra and Timberland and streetwear brand Supreme, had shelved its fiscal 2024 forecast back in October. It did not provide a forecast for profit and sales for the fiscal year 2025. CEO Bracken Darrell, who joined the company in July last year, has been attempting to turn around the business by laying off staff and cutting costs. "As we move into fiscal year 2025, we will continue to execute our broader turnaround plans, including... fixing the Americas, turning around Vans, reducing costs and paying down debt, while progressing on the actions resulting from our strategic portfolio review," Darrell said. Sales at VF Corp's biggest brand Vans, which made up about 32% of the company's total revenue in 2023, were down 26% owing to inventory clearance efforts in the wholesale channel. Revenues in Americas, its biggest market, fell 22%, with Greater China emerging as the only bright spot, where sales rose 5% from last year. Its fourth-quarter revenue fell to $2.37 billion in the quarter ended March 30, compared with analysts' estimates of $2.41 billion, according to LSEG data. The company reported posted a quarterly loss of 32 cents per share, compared to analysts' expectations of a 1 cent profit. Sign up here. https://www.reuters.com/business/retail-consumer/north-face-owner-vf-corp-misses-quarterly-revenue-estimates-posts-loss-demand-2024-05-22/

2024-05-22 20:51

CHICAGO/WASHINGTON, May 22 (Reuters) - A second human case of bird flu has been confirmed in the United States since the virus was first detected in dairy cattle in late March, U.S. officials said on Wednesday. The infection of a dairy worker in Michigan expands the outbreak of the virus that has circulated in poultry for years, though the U.S. Centers for Disease Control and Prevention (CDC) said the risk to the general public remains low. The CDC told reporters on a call it has not seen evidence of human to human transmission of bird flu and that it tested close to 40 people since March, including the Michigan worker. All the people who were tested were connected to or had exposures on a dairy farm, the CDC said. A Texas dairy worker was confirmed to be infected in April. Michigan and Texas are among nine states that have reported bird flu in dairy herds. Scientists have said they believe the outbreak is more widespread based on U.S. Food and Drug Administration findings of H5N1 virus particles in about 20% of retail milk samples. Similar to the Texas case, the patient in Michigan only reported eye symptoms, the CDC said. The Michigan worker had mild symptoms and recovered, according to the state's Department of Health and Human Services. The worker had regular exposure to livestock infected with bird flu, Michigan said. The leading hypothesis is that the case was a result of cow to human transmission, according to CDC. The agency said "similar additional human cases could be identified" given high levels of the virus in raw milk from infected cows, and the extent of the spread in dairy cows. Influenza experts said the second case associated with exposure to dairy cattle was concerning. "It is worrisome that the virus is spreading widely in cows because this can lead to changes in the virus that could potentially increase human susceptibility," said Scott Hensley, an influenza vaccine expert at the University of Pennsylvania. Bird flu has caused serious or fatal infections globally among people in close contact with infected wild birds or poultry, and scientists have long viewed the virus as being capable of causing a global health crisis. "It doesn’t appear to be the start of a pandemic but we urgently need to assess if additional human cases have occurred," said Dr. Angela Rasmussen, a virologist at the University of Saskatchewan. FINANCIAL SUPPORT FOR FARMERS, VACCINE DISCUSSIONS The U.S. Department of Agriculture (USDA) said it believes unpasteurized milk is the primary vector for transmitting the virus among cows, though officials do not know exactly how it spreads. To limit transmission in cattle, the USDA in late April started requiring dairy cows to test negative before being shipped across state lines. The USDA will provide financial support to farmers whose herds have not tested positive for avian flu for developing and implementing biosecurity and testing measures, said senior adviser Eric Deeble. The agency will also retroactively compensate farmers for lost milk due to infected herds, Deeble said. "It’s likely that there will be several cases that emanate from exposure to infected cows and their milk amongst farm workers," said Dr. Amesh Adalja, an infectious disease expert at the Johns Hopkins Center for Health Security. "The key thing is to make sure that testing is wide enough to capture them." Nirav Shah, CDC's principal deputy director, said the agency received the Michigan patient sample on Tuesday and confirmed the positive test result that evening. Investigators are looking into whether the worker was wearing or was offered protective equipment. A nasal swab from the worker tested negative for influenza in the state, but an eye swab was shipped to CDC and tested positive for the bird flu virus, the agency said. The CDC said it recommended isolation, not quarantine, for close contacts of the person who tested positive for avian flu. It added that close contacts of exposed workers will be offered antiviral drugs. The U.S. is in "active conversations" with mRNA vaccine makers Pfizer (PFE.N) New Tab, opens new tab and Moderna (MRNA.O) New Tab, opens new tab on a potential vaccine for humans, a U.S. Department of Health and Human Services (HHS) official said. Last week, the U.S. government started the process of manufacturing about 4.8 million doses of vaccine matched to the currently circulating strain of H5N1, a move that Dawn O’Connell, assistant secretary for preparedness and response at HHS said "further strengthens our preparedness posture." Sign up here. https://www.reuters.com/world/us/second-human-case-bird-flu-linked-dairy-cows-detected-us-stat-news-reports-2024-05-22/