2025-08-25 09:49

Stock exchange group raises concerns about tokenised stocks Such stocks lack safeguards of traditional stocks, says WFE Regulators should apply securities rules to tokenised stocks-WFE Aug 25 (Reuters) - A group representing the world's biggest stock exchanges has called on securities regulators to clamp down on so-called tokenised stocks, arguing that the blockchain-based tokens create new risks for investors and could harm market integrity, a letter seen by Reuters shows. Tokenised equities are blockchain-based tokens created to represent shares in companies. The tokens represent ownership of the securities but investors do not become shareholders in the underlying company. Sign up here. Crypto exchange Coinbase (COIN.O) , opens new tab and broker Robinhood (HOOD.O) , opens new tab are among those making a push into the nascent sector that could shake up the securities investing landscape. Proponents say tokenised equities can cut trading costs, speed up settlement and facilitate around-the-clock trading. The World Federation of Exchanges (WFE), in a letter sent to three regulatory bodies last Friday, said it was concerned the tokens "mimic" equities without providing the same rights or trading safeguards. The letter was sent to the U.S. Securities and Exchange Commission's (SEC) Crypto Task Force, the European Securities and Markets Authority (ESMA), and global securities watchdog IOSCO's Fintech Task Force. "We are alarmed at the plethora of brokers and crypto-trading platforms offering or intending to offer so-called tokenised U.S. stocks," the WFE, a UK-based industry association for exchanges and clearing houses, said in the letter seen by Reuters. "These products are marketed as stock tokens or the equivalent to stocks when they are not." The WFE declined to name which brokers and trading platforms it was referring to. Issuers of stock - the companies whose stock is being mimicked - could suffer reputational damage if the tokens fail, the WFE said. The WFE's position reflects the concerns of market infrastructure players and the broader financial sector, WFE CEO Nandini Sukumar told Reuters, adding that some share issuers had expressed concerns to their exchanges. Regulators should apply securities rules to tokenised assets, clarify legal frameworks for ownership and custody, and prevent them being marketed as equivalent to stocks, the WFE said. The SEC and IOSCO did not immediately respond to requests for comment. ESMA declined to comment. An SEC commissioner said in July tokenised securities must still meet securities regulations. In June, trading platform Robinhood launched tokenised equities for EU customers, and said it also planned to offer tokens representing shares in privately-held companies, including OpenAI. OpenAI said in response that it did not endorse the tokens and was not involved in the offering. Coinbase is seeking permission from the SEC to offer tokenised equities to its customers, Reuters reported in June. Robinhood and Coinbase did not immediately respond to requests for comment. https://www.reuters.com/sustainability/boards-policy-regulation/stock-exchanges-urge-regulators-crack-down-tokenised-stocks-2025-08-25/

2025-08-25 09:46

Asian stock markets : Nikkei gains, China blue chip hit three-year top Wall St futures dip ahead of Nvidia Market implies 84% chance of Fed rate cut in Sept Dollar and yields steady after Friday's fall LONDON/SYDNEY, Aug 25 (Reuters) - Expectations of a resumption soon in U.S. interest rate cuts bolstered world stocks on Monday, with shares in Asia rising to multi-year highs. However, European shares retreated as some of the enthusiasm following U.S. Federal Reserve chief Jerome Powell's Jackson Hole speech faded and investors refocused on the broader economic picture. Sign up here. London markets were closed for a holiday, thinning overall trading volumes in Europe. Powell's dovish change of course has prompted futures to price in an 84% chance of a quarter-point rate cut in September, and at least 100 basis points of easing to 3.25-3.5% by the middle of next year. "As an investor, you lose an enemy whenever the Federal Reserve pivots because it gives valuations room to become ever more expensive," said Florian Ielpo, Lombard Odier Investment Managers' head of multi-assets. MSCI's broadest index of world shares (.MIWD00000PUS) , opens new tab rose 0.1% and held near Friday's record highs, while in Asia Chinese blue chips closed over 2% to its highest level since 2022 (.CSI300) , opens new tab, while Japan's Nikkei shut 0.4% higher. The dollar ticked higher , , flattering the outlook for corporate earnings, although increased rate-cut bets also imply policymakers now see more danger of a downturn in employment and the economy. Euro zone bond yields rose, reversing their fall from late Friday as traders reassessed that Fed-driven move and its impact on Europe. U.S. cash treasuries did not trade in London on Monday due to the bank holiday. Looking at inventory data for manufacturers, wholesalers and retailers, Lombard Odier's Ielpo said that, while manufacturers had stocked up amid tariff announcements, further down the economic food chain, retailers held little inventory. Companies returning to replenish items from now will discover the true costs of U.S. tariffs, which will likely turn up in third quarter results, said Ielpo. Market euphoria will also be tested by a reading on U.S. personal consumption prices on Friday that is expected to show core inflation creeping up to its highest since late 2023 at 2.9%. Any upside surprise to inflation would also challenge the rally in longer-dated Treasuries, especially given that a whopping $183 billion in new debt is being sold this week. The influential head of the New York Fed, John Williams, is due to speak later on Monday and markets will be keen to hear whether he shares Powell's outlook on policy. NVIDIA WATCH The pan-European STOXX 600 (.STOXX) , opens new tab index was down 0.2%, dragged down by Europe's renewable stocks after the U.S. government ordered Denmark's Orsted (ORSTED.CO) , opens new tab to halt construction of an offshore wind project near Rhode Island. The move, deepening woes for the industry and putting Orsted's plans to raise capital at risk, sent the company's share price down roughly a record 17%. Vestas Wind , EDP Renovaveis and Siemens Energy were all lower. Shares in Amsterdam-listed JDE Peet's (JDEP.AS) , opens new tab meanwhile surged 17% after Keurig Dr Pepper agreed a deal to buy the company for 15.7 billion euros, a 20% premium to Friday's closing price. Focus is turning to Nvidia's (NVDA.O) , opens new tab results on Wednesday when it is forecast to announce a 48% rise in earnings per share on revenue of $45.9 billion for its second fiscal quarter. U.S. S&P 500 and Nasdaq futures were down between 0.1% and 0.2%. Analysts will be keen to hear more on the outlook for shipments to China and details of the deal with President Donald Trump to pay the U.S. government 15% of the revenue from sales of some advanced chips in the Asian giant. Trump said on Friday that the U.S. would also purchase a 9.9% stake in Intel (INTC.O) , opens new tab for $8.9 billion, or $20.47 per share, which represents a discount of about $4 from Intel's closing share price of $24.80. In currency markets, the dollar gained around 0.25% to 147.24 yen after falling 1% on Friday. The euro ticked down 0.1% to $1.1705 , having bounced from a trough of $1.1583 on Friday. The European Central Bank is expected to hold rates unchanged in September, though sources told Reuters at the weekend that discussions about further cuts may resume in the autumn if the economy weakens. Gold declined as the dollar strengthened and was last down 0.3% to $3,363 an ounce after jumping 1% late last week. Oil prices were further supported by the lack of progress on talks between Russia and Ukraine, which keeps sanctions on Russian supplies. Brent rose 20 cents to $67.92 a barrel, while U.S. crude added 25 cents to $63.91 per barrel. https://www.reuters.com/world/china/global-markets-wrapup-4-2025-08-25/

2025-08-25 07:45

Maryland case represents fresh sign of screwworm in the U.S. The presence of screwworm, which can devastate cattle herds, will likely rattle beef and livestock markets USDA criticized by cattle producers for failing to take timely measures to prevent screwworm from entering the U.S. BUENOS AIRES/CHICAGO/WASHINGTON, Aug 24 (Reuters) - The U.S. Department of Health and Human Services on Sunday reported the first human case in the United States of travel-associated New World screwworm, a flesh-eating parasite, from an outbreak-affected country. The case, investigated by the Maryland Department of Health and the U.S. Centers for Disease Control and Prevention, was confirmed by the CDC as New World screwworm on August 4, and involved a patient who returned from travel to El Salvador, HHS spokesman Andrew G. Nixon said in an email to Reuters. Sign up here. Earlier, Reuters reported that beef industry sources said last week that the CDC had confirmed a case of New World screwworm in a person in Maryland who had traveled to the United States from Guatemala. Nixon did not address the discrepancy on the source of the human case. "The risk to public health in the United States from this introduction is very low," he said. The U.S. government has not confirmed any cases in animals this year. The differing accounts from the U.S. government and industry sources on the human case are likely to further rattle an industry of cattle ranchers, beef producers and livestock traders already on high alert for potential U.S. infestations as screwworm has moved northward from Central America and southern Mexico. The government's confirmation of a screwworm case comes just over a week after U.S. Department of Agriculture Secretary Brooke Rollins traveled to Texas to announce plans to build a sterile fly facility there as part of efforts to combat the pest. The USDA has estimated a screwworm outbreak could cost the economy in Texas, the biggest U.S. cattle-producing state, about $1.8 billion in livestock deaths, labor costs and medication expenses. An executive of the industry group Beef Alliance sent emails last week to about two dozen people in the livestock and beef sectors, informing them that the CDC had confirmed a human case of screwworm in Maryland in a person who had traveled to the U.S. from Guatemala, according to a source, who asked not to be identified, and who shared the contents of the emails with Reuters. Beth Thompson, South Dakota's state veterinarian, told Reuters on Sunday that she was notified of a human case in Maryland within the last week by a person with direct knowledge of it.CDC deferred questions to Maryland on a call with state animal health officials, Thompson said.“We found out via other routes and then had to go to CDC to tell us what was going on,” she said. “They weren’t forthcoming at all. They turned it back over to the state to confirm anything that had happened or what had been found in this traveler.” Another source said that state veterinarians had learned about a human case in Maryland during a call last week with the CDC. A Maryland state government official also confirmed a case. A spokesperson for the Maryland Department of Health did not immediately respond to requests for comment. WHAT ARE SCREWWORMS?Screwworms are parasitic flies whose females lay eggs in wounds on any warm-blooded animal. Once the eggs hatch, hundreds of screwworm larvae use their sharp mouths to burrow through living flesh, eventually killing their host if left untreated. The maggots' feeding is similar to a screw being driven into wood, giving the pests their name. Screwworms can be devastating in cattle and wildlife, and rarely infest humans, though an infestation in either an animal or a person can be fatal. Treatment is onerous, and involves removing hundreds of larvae and thoroughly disinfecting wounds. But infestations are typically survivable if treated early enough. The emails from the Beef Alliance executive said that due to patient privacy laws, there were no other details available about the positive human case of screwworm. The person was treated and prevention measures were implemented in the state, the email said. A livestock economist at Texas A&M University was asked to prepare a report for Rollins on the impacts to industry of the border closure to Mexican cattle, according to the emails, a measure that has largely been in effect since November to prevent the arrival of screwworm to the United States. The CDC was required to report the positive New World screwworm case to both Maryland health officials and the Maryland state veterinarian, one of the emails said, adding that the CDC also notified other agriculture stakeholders. "We remain hopeful that, since awareness is currently limited to industry representatives and state veterinarians, the likelihood of a positive case being leaked is low, minimizing market impact," the beef industry executive wrote. A representative for the Beef Alliance did not respond to requests for comment. IMPACT ON BEEF AND CATTLE FUTURES Livestock traders and beef producers have been on edge about the potential for cases in cattle as prices have already hit record highs because the U.S. cattle herd is at its smallest size in seven decades. A human case and the lack of transparency around it could present a political challenge for Rollins. The USDA has set traps and sent mounted officers along the border, but it has faced criticism from some cattle producers and market analysts for not acting faster to pursue increased fly production. Rollins first announced plans for a sterile fly facility at Moore Air Force Base in Edinburg, Texas - near where a production facility to combat screwworm operated during the last major outbreak 50 years ago - in June, saying that the facility would take two to three years to come online.A spokesperson for the USDA did not immediately respond to a request for comment.Mexico has also taken efforts to limit the spread of the pest, which can kill livestock within weeks if not treated. The Mexican government said in July that it started to build a $51 million sterile fly production facility in the country's south. The sole operating plant is in Panama City and can produce a maximum of 100 million sterile screwworm flies each week. The USDA has estimated that 500 million flies would need to be released weekly to push the fly back to the Darien Gap, the stretch of rainforest between Panama and Colombia. Screwworms have been traveling north through Mexico from Central America since 2023. They are endemic in Cuba, Haiti, the Dominican Republic and countries in South America, according to the USDA. Mexico reported a new case about 370 miles (595 km) south of the U.S. border in Ixhuatlan de Madero, Veracruz, in July. The USDA immediately ordered the closure of livestock trade through southern ports of entry, after previously halting imports in November and May. The U.S. typically imports over a million cattle from Mexico a year to fatten in feedlots and process into beef. Screwworms were eradicated from the United States in the 1960s when researchers began releasing massive numbers of sterilized male screwworm flies that mate with wild female screwworms to produce infertile eggs. https://www.reuters.com/business/environment/us-confirms-nations-first-travel-associated-human-screwworm-case-connected-2025-08-25/

2025-08-25 07:36

CUA LO, Aug 25 (Reuters) - Vietnam has shut down airports, closed schools, and begun mass evacuations as it prepares for the most powerful storm so far this year. Typhoon Kajiki, with gusts of up to 166 kph (103 mph) at sea, was around 110 km (68 miles) off the northern part of Vietnam's central coast as of 0300 GMT and was due to make landfall on Monday afternoon, the country's weather agency said. Sign up here. "This is an extremely dangerous fast-moving storm," the government said in a statement on Sunday night, warning that Kajiki would bring heavy rains, flooding and landslides. With a long coastline facing the South China Sea, Vietnam is prone to storms that are often deadly and trigger dangerous flooding and mudslides. Kajiki is forecast to hit provinces that are less industrialised than the area struck last year by Typhoon Yagi, which killed around 300 people and caused property damage of around $3.3 billion. The storm is projected to move inland across Laos and northern Thailand. The Vietnamese government said on Monday about 30,000 people had been evacuated from coastal areas. More than 16,500 soldiers and 107,000 paramilitary personnel have been mobilised to help with the evacuation and to stand by for search and rescue, the government said in a statement. Authorities said on Sunday that more than half a million people would be evacuated and ordered boats to remain in port. Two airports in Thanh Hoa and Quang Binh provinces have been closed, according to the Civil Aviation Authority of Vietnam. Vietnam Airlines and Vietjet cancelled dozens of flights to and from the area on Sunday and Monday. Kajiki skirted the southern coast of China's Hainan Island on Sunday as it moved toward Vietnam, forcing Sanya City on the island to close businesses and public transport. China's southernmost province downgraded its typhoon and emergency response alerts on Monday morning but warned of heavy rain and isolated storms in cities in the southern part of Hainan. The Hainan provincial meteorological authority said it expected weather conditions to improve by Monday night. Local media reported that many residents in Sanya, a popular holiday resort, had taken shelter from the storm in underground garages on Sunday evening. Some large trees were brought down leaving roads strewn with broken branches by Monday morning, the reports said. https://www.reuters.com/sustainability/climate-energy/vietnam-braces-typhoon-kajiki-it-nears-coast-2025-08-25/

2025-08-25 07:36

OSLO, Aug 25 (Reuters) - The first volumes of carbon dioxide (CO2) have been injected and stored as part of Norway's Northern Lights carbon capture and storage (CCS) project, marking the start of operations, owners Shell (SHEL.L) , opens new tab, Equinor (EQNR.OL) , opens new tab and TotalEnergies (TTEF.PA) , opens new tab said on Monday. The CO2 is being stored in a reservoir 2,600 meters (8,530 ft) below the seabed, marking a major milestone for CCS, the companies said. Sign up here. "This demonstrates the viability of carbon capture, transport and storage as a scalable industry," Anders Opedal, CEO of Equinor, said in a statement. The facility is part of Norway's heavily subsidised Longship carbon capture and storage project aimed at commercialising CCS as a way to reduce CO2 emissions, especially for sectors that rely on fossil fuel input and are hard to decarbonise. The CO2 now stored was shipped from the Brevik cement factory operated by Heidelberg Materials (HEIG.DE) , opens new tab in southern Norway, and first offloaded into onshore tanks, before being sent through a 100-kilometer (62 miles) pipeline to the storage reservoir. The commenced injection completes phase 1 of the Northern Lights development, which can inject 37.5 million metric tons of CO2 over a 25-year period, or 1.5 million tons per year, and is fully booked. The partners also committed to invest 7.5 billion crowns ($743.93 million) into a second phase, which targets an additional 3.5 million tons a year. ($1 = 10.0816 Norwegian crowns) https://www.reuters.com/sustainability/climate-energy/norways-northern-lights-ccs-project-starts-operations-with-first-co2-injected-2025-08-25/

2025-08-25 07:10

Ukraine drone attacks target Russian energy infrastructure US vice president says Russia has made 'significant concessions' toward a settlement Federal Reserve Chair Powell signals possible rate cut in September Aug 25 (Reuters) - Oil prices rose on Monday after Ukraine stepped up attacks on Russia, fanning concerns Russian oil supply could be disrupted, while expectations for a cut in U.S. interest rates buoyed the outlook for global growth and fuel demand. Brent crude futures rose 13 cents, or 0.19%, to $67.86 at 0656 GMT, and West Texas Intermediate (WTI) crude futures gained 15 cents, or 0.24%, to $63.81. Sign up here. Ukraine launched a drone attack on Russia on Sunday, which forced a sharp fall in the capacity of a reactor at one of Russia's biggest nuclear power plants and sparked a huge blaze at the Ust-Luga fuel export terminal, Russian officials said. In addition, a fire at Russia's Novoshakhtinsk refinery, caused by a Ukrainian drone attack, was burning for the fourth day on Sunday, the acting governor of the region said. The refinery sells fuel mainly for export and has an annual capacity of 5 million metric tons of oil, or around 100,000 barrels per day. "Given the success that Ukraine is having with its targeting of Russian oil infrastructure ... the risks for crude oil are shifting to the topside," IG market analyst Tony Sycamore said. Meanwhile, U.S. Vice President JD Vance said on Sunday that Russia has made "significant concessions" toward a negotiated settlement in its war with Ukraine. "They've recognized that they're not going to be able to install a puppet regime in Kyiv. That was, of course, a major demand at the beginning. And, importantly, they've acknowledged that there is going to be some security guarantee for the territorial integrity of Ukraine," Vance said on NBC's "Meet the Press with Kristen Welker" program. However, U.S. President Donald Trump also renewed threats on Friday that he would impose sanctions on Russia if there was no progress toward a peaceful settlement in Ukraine in two weeks. Both benchmark prices seem to lack momentum despite the Fed’s hints at a September cut, which tends to improve the risk appetite. It appears markets are largely convinced that Trump's tariffs would prove more disruptive to economic growth, which currently keeps a lid on oil prices, said Priyanka Sachdeva, senior market analyst at brokerage Phillip Nova. Investors' risk appetite has improved after Federal Reserve Chair Jerome Powell on Friday signaled a possible interest rate cut at the U.S. central bank's meeting next month. "A risk-on tone across markets boosted investor appetite across the commodities complex, aided by renewed supply-side issues across energy and metals," ANZ analysts said in a note. https://www.reuters.com/business/energy/oil-prices-climb-after-ukraine-attacks-hit-russian-energy-sites-2025-08-25/