2025-08-26 23:20

Aug 26 (Reuters) - Jamaica will use drones donated by Canada to boost its disaster response services, state information service JIS said on Tuesday, as the Caribbean braces for stronger hurricanes in the coming years fueled by warmer oceans resulting from climate change. WHY IT'S IMPORTANT U.S. government forecasters predict an "above-normal" 2025 Atlantic hurricane season, with storms fueled by warmer ocean temperatures and whose development could be boosted by softer westerly winds. Sign up here. Despite their small greenhouse gas emissions, small island states are particularly vulnerable to effects of climate change. The Caribbean lies in a region where tropical waves that develop off the West African coast can strengthen into powerful storms. KEY QUOTE Jamaica's Geographic Information System (GIS) project manager, Okieno Samuels, said in a statement the drones would play a critical role by doing post-disaster risk assessments instead of relying on people who could be placed in dangerous situations. "We could have an automated response to (disasters); instead of having a person physically go or putting themselves at risk, we could have the drone do a flyover," he said. Samuels said his office was also training an artificial intelligence model to assess building damages. The statement did not say how many drones were being donated by Canada. CONTEXT Erin is the only storm of the 2025 season so far to reach hurricane status. It was one of the fastest storms on record to hit Category 5, in little over 27 hours, but the storm steered clear of land. The hurricane season typically peaks in September. Last year's Atlantic season was extremely active, with two Category 5 storms among five major hurricanes. These included Beryl, the earliest such storm on record for the season. The Caribbean nation of Grenada said its small islands battered by the storm could take decades to fully recover from the damage. BY THE NUMBERS The U.S. National Oceanic and Atmospheric Administration predicts the current season, which lasts through the end of November, will bring six to 10 hurricanes, including three to five of major strength, reaching 111 mph (178 kmh) or higher. Last year's season saw 11 Atlantic hurricanes. https://www.reuters.com/sustainability/climate-energy/jamaica-brings-canadian-drones-fly-over-disaster-zones-2025-08-26/

2025-08-26 23:05

EchoStar jumps after AT&T says it will buy licenses for $23 billion AMD gains on Truist Securities' bullish upgrade Eli Lilly up as drug cuts weight by 10.5% in diabetes patients S&P 500 +0.41%, Nasdaq +0.44%, Dow +0.30% Aug 26 (Reuters) - The S&P 500 ended higher on Tuesday, lifted by Nvidia and Eli Lilly, while U.S. President Donald Trump's decision to fire a central bank governor deepened concerns about the Federal Reserve's independence. Nvidia (NVDA.O) , opens new tab rose 1.1% ahead of its quarterly report late on Wednesday, which will show how the world's most valuable company is faring in the crossfire of Washington and Beijing's ongoing trade war. The chipmaker's report could also fuel - or dampen - Wall Street's rally in AI-related stocks. Sign up here. Trump late on Monday said he was removing Fed Governor Lisa Cook over alleged improprieties in obtaining mortgage loans, adding to concerns about the central bank's independence from politics. S&P 500 futures briefly sank before the stock market recovered as investors focused on unchanged expectations that the central bank will begin cutting interest rates in September. "The financial market community is increasingly concerned about that independence. That is a real concern over the long run. But over the short run, how much does it change the trajectory of interest rate policy in the next six to 12 months? I think the writing has already been on the wall that we get easier monetary policy in the next six to 12 months," said Bill Merz, head of Capital Market Research at U.S. Bank Wealth Management, Minneapolis. Despite lingering inflation pressures, traders have been pricing in a 25-basis-point interest rate cut for the Fed's September policy meeting, encouraged by dovish signals from Fed Chair Jerome Powell, data pointing to labor market weakness and a shakeup at the central bank. Morgan Stanley became the latest brokerage to forecast an interest-rate cut in September, but key upcoming inflation and jobs reports could prompt investors to reassess expectations. Eli Lilly (LLY.N) , opens new tab jumped almost 6% after the drugmaker said its experimental pill cuts body weight by 10.5% in diabetes patients. The S&P 500 is trading at about 23 times expected earnings, a four-year high, heightening the risk of a selloff if Nvidia's results dent Wall Street's enthusiasm for AI-related stocks. The S&P 500 climbed 0.41% to end the session at 6,465.94 points, just short of its August 14 record-high close. The Nasdaq gained 0.44% to 21,544.27 points, while the Dow Jones Industrial Average rose 0.30% to 45,418.07 points. Seven of the 11 S&P 500 sector indexes rose, led by industrials (.SPLRCI) , opens new tab, up 1.03%, followed by a 0.76% gain in financials (.SPSY) , opens new tab. Advanced Micro Devices (AMD.O) , opens new tab gained 2% after Truist Securities upgraded the chip stock to "buy" from "hold." EchoStar (SATS.O) , opens new tab surged 70% to a record high after telecom giant AT&T (T.N) , opens new tab said it has agreed to buy certain wireless spectrum licenses from the satellite communications firm for about $23 billion. Advancing issues outnumbered falling ones within the S&P 500 (.AD.SPX) , opens new tab by a 1.1-to-one ratio. The S&P 500 posted 21 new highs and 2 new lows; the Nasdaq recorded 120 new highs and 59 new lows. Volume on U.S. exchanges was relatively light, with 15.7 billion shares traded, compared with an average of 16.9 billion shares over the previous 20 sessions. https://www.reuters.com/business/sp-500-ends-higher-after-trump-attacks-fed-nvidia-climbs-2025-08-26/

2025-08-26 22:21

Trump says he is firing Fed governor Lisa Cook President's move fans concerns over Fed independence US stocks end with slight gains NEW YORK, Aug 26 (Reuters) - U.S. Treasury yields and the dollar eased on Tuesday as President Donald Trump's move to fire a central bank governor raised concerns about the bank's independence, while Wall Street stocks ended higher ahead of results from Nvidia on Wednesday. Trump said on Monday he was firing Federal Reserve Governor Lisa Cook over claims of mortgage borrowing impropriety. Cook said Trump had no authority to fire her and she would not resign. Her term is due to end in 2038. Sign up here. The unprecedented move by Trump could lead to a protracted legal battle that risks resetting norms for the central bank's independence and a president's involvement in monetary policy. Cook's exit from the Fed could speed up Trump's efforts to reshape the Federal Open Market Committee, which sets interest rate policy. Trump has been pushing the Fed to cut rates to stimulate growth and reduce borrowing costs. Expectations of a potentially more dovish Fed helped to send shorter-dated yields lower, while the yield curve steepened as the long end showed a more modest drop. Market participants said long-dated yields were likely to feel more upward pressure from political influence over the Fed, since a subsequent lowering of interest rates could increase worries about inflation, while foreign demand could be hit by fears over the Fed's credibility. Despite remaining inflation pressures, traders have in a 25-basis-point interest rate cut for the Fed's September policy meeting, encouraged by from Fed Chair Jerome Powell, data pointing to and a . "On Friday, we had a major catalyst, which was a green light from the Fed to begin cutting rates. The market was waiting for that for a long time. Now the question becomes how much will they cut and how fast will they cut," said Adam Sarhan, chief executive of 50 Park Investments in New York. The dollar fell against major currencies in the wake of the Cook news. "President Trump is undertaking a risky and possibly ineffective battle against the Fed. To get a majority of the FOMC to toe the Trump line would take seven voters, not just two or even four," Brian Jacobsen, chief economist at Annex Wealth Management, wrote. Trump has regularly threatened to dismiss Powell and this month he fired a top Labor Department official after accusing her, without evidence, of manipulating jobs data that had disappointed him. Trump has backed away from the threat against Powell as he gets closer to the expiration of his term next May. INFLATION REPORT A global stock index was little changed, while U.S. stocks ended higher. Investors are awaiting Nvidia's NVDA.O , opens new tab results on Wednesday and Friday's reading on U.S. personal consumption prices, considered the Fed's preferred inflation gauge. "The market is very much focused on inflation, the labor market, consumer spending and corporate earnings. That - pun intended - trumps everything," said Oliver Pursche, senior vice president and adviser for Wealthspire Advisors in Westport, Connecticut. The Dow Jones Industrial Average (.DJI) , opens new tab rose 135.60 points, or 0.30%, to 45,418.07, the S&P 500 (.SPX) , opens new tab rose 26.62 points, or 0.41%, to 6,465.94 and the Nasdaq Composite (.IXIC) , opens new tab rose 94.98 points, or 0.44%, to 21,544.27. MSCI's gauge of stocks across the globe (.MIWD00000PUS) , opens new tab fell 0.24 points, or 0.03%, to 952.72. Nvidia's report is "going to be a big tell to see what risk appetite is for AI (artificial intelligence) stocks but also for the market," Sarhan said. European shares dropped, led by losses in France where political uncertainty has deepened. France's CAC 40 .FCHI , opens new tab fell more than 1% as the country's minority government looked increasingly likely to be ousted next month. The pan-European STOXX 600 (.STOXX) , opens new tab index ended 0.83% lower. The dollar index , which measures the greenback against a basket of currencies including the yen and the euro, fell 0.27% to 98.21, while the euro was up 0.03% at $1.1646. Against the Japanese yen , the dollar weakened 0.05% to 147.33. The 2-year note US2YT=RR , opens new tab yield typically moves in step with interest rate expectations. It was last down 4.9 basis points on the day at 3.681%. The yield on benchmark U.S. 10-year notes US10YT=RR , opens new tab fell 1.7 basis points to 4.258%. Oil prices fell more than 2%, while gold rose. Brent crude was down $1.58, or 2.3%, at $67.22 a barrel, a day after hitting its highest price since early August. West Texas Intermediate (WTI) crude lost $1.55, or about 2.4%, to $63.25. Spot gold rose 0.8% to $3,393.30 an ounce. https://www.reuters.com/world/china/global-markets-graphic-2025-08-26/

2025-08-26 21:57

August 26 - U.S. President Donald Trump has used his second term in the White House to stymie development of wind and solar energy facilities that were a cornerstone of former President Joe Biden's climate and energy agendas. Here is a timeline of actions his administration has taken to unravel federal support for clean energy projects: Sign up here. January 20 On his first day in office, Trump paused new leasing and permitting of wind energy projects on federal lands and waters pending a federal review. This marked a major shift in U.S. energy policy, which under Biden had been focused on decarbonizing the U.S. electricity grid by 2035. April 17 The Trump administration ordered construction to stop on Equinor's offshore wind project off the coast of New York, saying it had been approved without a thorough environmental analysis. A month later, Interior Secretary Doug Burgum allowed work to resume, in an apparent compromise with the state that would see cancelled plans for the Constitution natural gas pipeline from Pennsylvania to New York revived. May 14 The Interior Department said it would take steps to rescind a Biden-era rule that had lowered fees for solar and wind projects on federal lands, increasing costs for developers. July 4 Trump signed into law the One Big Beautiful Bill Act, a massive tax and spending package that ended subsidies for wind and solar energy projects years earlier than planned. Project developers, manufacturers and analysts predicted the legislation would slash installations of renewable energy over the next decade, kill investment and jobs in the clean energy manufacturing sector supporting them, and worsen a looming U.S. power supply crunch. July 17 The Interior Department announced new layers of review for solar and wind projects on federal lands, requiring sign-off from top officials. August 6 The Interior Department said it was canceling the Biden administration's approval of the 1,000-megawatt Lava Ridge wind project in Idaho, citing legal deficiencies and community opposition. August 7 The U.S. Environmental Protection Agency said it would end a $7 billion grant program that sought to expand solar energy to low-income communities. EPA Administrator Lee Zeldin said that since passage of the One Big Beautiful Bill Act (OBBBA), his agency no longer had the authority to administer the program. August 15 The Treasury Department unveiled rules that make it harder for wind and solar projects to claim the tax credits that are being phased out under the OBBBA. The changes are in response to an executive order Trump issued in July directing the agency to restrict tax credit eligibility. August 18 Agriculture Secretary Brooke Rollins said her agency would no longer support wind and solar projects on productive farmland. A day later, the U.S. Department of Agriculture said it would heighten scrutiny of some solar and wind projects but stopped short of ending all agency support for clean energy projects on U.S. farms. August 21 The Commerce Department launched an investigation into imported wind turbine components, citing national security risks. About two-thirds of the value of a typical U.S. wind turbine is imported, according to energy research firm Wood Mackenzie. August 22 The U.S. Bureau of Ocean Energy Management ordered Danish company Orsted to stop work on a wind farm off the coast of Rhode Island that is 80% built. BOEM cited unspecified national security concerns. August 25 The administration said it will move in the coming weeks to revoke approvals for US Wind's offshore wind project off the Maryland coast. The statement was made in a legal filing by the U.S. Department of Justice in a lawsuit challenging the government's permitting of the planned facility. https://www.reuters.com/sustainability/boards-policy-regulation/timeline-trumps-moves-dismantle-us-wind-solar-energy-industries-2025-08-26/

2025-08-26 21:45

Aug 26 (Reuters) - Chrysler-parent Stellantis paid $190.6 million in penalties this year for not meeting U.S. fuel economy requirements, according to a government report and the Italian-U.S. automaker. The National Highway Traffic Safety Administration said in an annual report that Stellantis paid $112.3 million in June and $78.3 million in March in payments for shortfalls from the 2019 and 2020 model years. In total, Stellantis has paid $773.5 million since 2018. Sign up here. Last month, NHTSA told automakers they face no fines for failures to meet fuel efficiency rules dating back to the 2022 model year under a law signed by President Donald Trump. Stellantis confirmed the figures to Reuters Tuesday but declined further comment. Trump's tax and budget bill ends penalties for not meeting Corporate Average Fuel Economy rules under a 1975 energy law. Rivian (RIVN.O) , opens new tab said in a court filing this month that because NHTSA has not processed end-of-year reports or compliance notifications for the 2022 model year and later, it cannot finalize previously negotiated transactions worth $100 million in credit revenue. The fuel economy penalty change is one of a number made by Washington to make it easier for automakers to build gasoline-powered vehicles. GM (GM.N) , opens new tab previously paid $128.2 million in penalties for 2016 and 2017. Last year, Tesla (TSLA.O) , opens new tab said it received $2.8 billion in global revenue from regulatory credits it earns from selling zero-emission EVs and sells to other automakers seeking to meet vehicle emissions targets. In June, NHTSA paved the way for looser U.S. fuel economy standards by declaring that former President Joe Biden's administration exceeded its authority by assuming high uptake of electric vehicles in calculating rules. In 2023, under Biden's administration, NHTSA said its fuel economy proposal would cost the industry $14 billion in projected fines including $6.5 billion for GM, $3 billion for Stellantis, and $1 billion for Ford (F.N) , opens new tab through 2032. The final rule adopted last year eased requirements and the agency said the industry would face no more than $1.83 billion in fines through 2031. https://www.reuters.com/sustainability/climate-energy/stellantis-paid-1906-million-us-fuel-economy-penalties-this-year-agency-says-2025-08-26/

2025-08-26 21:21

By Promit Mukherjee OTTAWA, Aug 26 (Reuters) - The Bank of Canada will not review its inflation target when its monetary policy framework comes up for renewal next year, Governor Tiff Macklem said on Tuesday, saying the current target has helped anchor inflation expectations. Sign up here. The central bank and the finance ministry jointly review the target every five years and formally announce a decision, with the next review set for 2026. The BoC, as per its mandate, aims to keep inflation at 2%, the mid-point of its 1%-3% target range, and Macklem said while the bank was asking a number of questions before the review next year, the 2% target will not be considered. "The 2% target has proven its worth in achieving price stability over time," Macklem said in a speech at the Bank of Mexico in Mexico City. "We are already facing a more uncertain and unpredictable world. Now is not the time to question the target," he said. It is the first time that the Governor said the 2% target will remain unchanged when the monetary policy framework is renewed. He, however, said that ahead of the review the BoC is mulling over how the central bank should respond to supply shocks, especially at a time when the Canadian economy was reorienting its supply chain due to the economic uncertainty from U.S. tariffs. It is also looking at the best ways to measure core inflation in the face of supply shocks, and the interaction between monetary policy, housing affordability and inflation, while taking broad lessons from the pandemic. The BoC, which has been among the most aggressive of all major central banks to cut rates as inflation stays within its target range since last year, has held rates steady for its last three meetings at 2.75%. Macklem said in his speech that economic uncertainty stemming from the U.S. tariffs and shifts in supply chains were increasing uncertainty and could put more upward pressure on inflation. "Headwinds that limit supply could mean more upward pressure on inflation going forward. And more frequent supply shocks could mean more variability in inflation," he said, adding that while central banks cannot offset the impact of uncertainty, they could tailor decision making to withstand the blow. (([email protected] , opens new tab;)) Keywords: CANADA CENBANK/ https://www.reuters.com/world/americas/bank-canada-governor-says-bank-will-not-review-2-inflation-target-next-year-2025-08-26/