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/
2025-08-25 06:55
Aug 24 (Reuters) - Major brokerages, including Barclays, BNP Paribas and Deutsche Bank, now expect a 25-basis-point U.S. Federal Reserve rate cut in September following Chair Jerome Powell's shift in tone at Jackson Hole toward rising risks in the labor market. Powell's remarks at the Jackson Hole symposium emphasized a change in the Fed's reaction function, with greater weight now placed on labor market risks. Sign up here. "This unusual situation suggests that downside risks to employment are rising," Powell said, warning that such risks could materialize quickly in the form of layoffs and a spike in unemployment. In notes released on Friday after Powell's speech, Barclays pulled forward its previously expected September 2026 cut to September 2025, saying his speech introduced "an easing bias" and raised the bar for not cutting. "Powell made (it) clear that the Fed intends to deliver a 'fine-tuning' rate cut in September unless the data dictates otherwise," wrote BNP economists, led by Calvin Tse. They reversed the brokerage's long-standing call for the Fed to stay on hold, forecasting cuts in both September and December. Meanwhile, both Macquarie and Deutsche Bank revised their expectations of a cut in September and December, respectively, to a 25-bp cut each in those two months. Bank of America, which expects no rate cuts this year, said "barring further deterioration of the labor market, we think that the Fed would risk a policy error if it were to cut rates," and pointed to signs of a rebound in economic activity and persistent inflation pressures. Morgan Stanley also does not expect a September cut yet, but said such a move is likely if incoming labor and inflation data confirm further softening. Markets are now pricing in an 87% chance of a quarter-point rate cut at the September policy meeting, according to the CME FedWatch Tool, up from 75% before Powell's speech. The rate-setting Federal Open Market Committee (FOMC) is scheduled to meet again on September 16 and 17. Goldman Sachs and J.P. Morgan, meanwhile, reaffirmed their expectations for a September cut, aligning with the broader market view that softening data may warrant policy easing. https://www.reuters.com/business/major-brokerages-pivot-sept-fed-rate-cut-powells-labor-warning-2025-08-25/
2025-08-25 06:53
Gold hit near two-week high on Friday Powell opened door to September rate cut Asia shares up on hopes for US rate cuts Aug 25 (Reuters) - Gold slipped from a near two-week high on Monday as the dollar strengthened, although rising bets of interest rate cuts by the U.S. Federal Reserve following Chair Jerome Powell's dovish pivot last week, lent some support to bullion. Spot gold inched down 0.1% at $3,367.86 per ounce, as of 0632 GMT, after hitting its highest since August 11 on Friday. Sign up here. U.S. gold futures for December delivery eased 0.2% to $3,412.50. The dollar index (.DXY) , opens new tab rose 0.1% against its rivals after dropping to a four-week low, making gold less attractive to overseas buyers. "There's a decent level of support for gold around $3,350 over the near term, with Powell's dovish hints allowing gold to carve out a prominent swing low on Friday," City Index senior analyst Matt Simpson said. "A sustained rally likely requires softer PCE inflation and weaker employment data going forward. But with inflation likely to remain elevated, gold's gains could remain capped beyond the expected initial bounce." Powell on Friday signalled a possible rate cut at the Fed's meeting next month, saying that risks to the job market were rising but inflation remained a threat, and that a decision wasn't set in stone. Markets are now pricing in an 87% chance of a quarter-point rate cut in the September policy meeting, and a cumulative reduction of 48 basis points by this year-end, according to CME FedWatch Tool. Gold tends to appreciate in a low-interest-rate environment, which reduces the opportunity cost of holding non-yielding bullion. Asian share markets rallied on Monday as investors celebrated the likely resumption of U.S. rate cuts. Investors now await U.S. personal consumption prices data on Friday, which is expected to show core inflation creeping up to its highest since late 2023 at 2.9%. Elsewhere, spot silver rose 0.3% to $38.94 per ounce, platinum fell 0.2% to $1,359.66 and palladium was flat at $1,126.41. https://www.reuters.com/world/china/gold-eases-off-two-week-peak-dollar-ticks-up-2025-08-25/
2025-08-25 06:49
Aug 25 (Reuters) - Keurig Dr Pepper (KDP.O) , opens new tab will buy Dutch coffee company JDE Peet's (JDEP.AS) , opens new tab for 15.7 billion euros ($18.4 billion) in cash, a 20% premium to its stock market valuation at the end of last week, the U.S. company said on Monday. Shares of JDE Peet's jumped 18% in early trade, on track for their best day on record. Sign up here. The merged company, aiming to expand its coffee offering to more than 100 countries, plans to separate its beverage and coffee units "as soon as practicable", Keurig said. The two resulting companies, "Beverage Co." and "Global Coffee Co.", will be listed in the United States, and led by Keurig CEO Tim Cofer and CFO Sudhanshu Priyadarshi, respectively. Keurig said that Global Coffee Co., with around $16 billion in combined annual net sales, will be well positioned to profit from the world's $400 billion coffee market, while Beverage Co., with more than $11 billion in yearly net sales, will focus on North America's $300 billion refreshment beverage market. Keurig Dr Pepper, created in 2018 through the merger of Keurig Green Mountain and Dr Pepper Snapple, owns brands including Dr Pepper, Snapple, 7UP, and Green Mountain Coffee. The company has a market valuation of about $48 billion, while Amsterdam-listed JDE Peet's, with brands including Jacobs, L’Or, Tassimo and Douwe Egberts, was valued at 12.76 billion euros at Friday's market close, according to LSEG data. Keurig's shares have risen nearly 10% this year on strong beverage sales. Both it and JDE Peet's have flagged the impact of high coffee bean prices, which are seen rising again after U.S. President Donald Trump slapped a 50% levy on beans imported from Brazil from August 6. Prices of Arabica and Robusta beans touched record highs this year as unpredictable weather patterns pressured supply, and have been volatile recently. JDE Peet's is majority-owned by Germany’s JAB, which also holds a significant minority stake in Keurig Dr Pepper, according to LSEG data. ($1 = 0.8544 euros) https://www.reuters.com/business/keurig-dr-pepper-buy-dutch-coffee-company-jde-peets-over-18-billion-2025-08-24/
