2025-07-30 20:25

July 30 (Reuters) - Albemarle (ALB.N) , opens new tab, the world's largest producer of lithium for rechargeable batteries, posted a surprise second-quarter profit on Wednesday, helped by rising demand for the metal. Shares of the company rose 5.6% after the bell. Sign up here. Lithium's use in electric vehicles, large-scale battery storage and other electronic applications has grown rapidly, with demand up 24% last year and likely to grow 12% annually for the next decade, according to data from consultancy Fastmarkets. However, prices have fallen more than 90% in the past two years due in part to oversupply in China, fueling layoffs, corporate buyouts and project delays across the globe. The Charlotte, North Carolina-based company reported an adjusted profit of 11 cents per share, compared with analysts' expectations of 82 cents loss per share, according to data compiled by LSEG. https://www.reuters.com/business/energy/albemarle-posts-surprise-second-quarter-profit-2025-07-30/

2025-07-30 20:21

Tariffs imposed over prosecution of Bolsonaro Over half of Brazilian exports have 50% tariff from August 6 Aircraft, energy and others on lower tariff SAO PAULO/BRASILIA, July 30 (Reuters) - U.S. President Donald Trump on Wednesday slapped a 50% tariff on most Brazilian goods to fight what he has called a "witch hunt" against former President Jair Bolsonaro, but softened the blow by excluding sectors such as aircraft, energy and orange juice from heavier levies. Trump announced the tariffs, some of the steepest levied on any economy in the U.S. trade war, as his administration also unveiled sanctions on the Brazilian supreme court justice who has been overseeing Bolsonaro's trial on charges of plotting a coup. Sign up here. "Alexandre de Moraes has taken it upon himself to be judge and jury in an unlawful witch hunt against U.S. and Brazilian citizens and companies," Treasury Secretary Scott Bessent said in a statement. Bessent said Moraes "is responsible for an oppressive campaign of censorship, arbitrary detentions that violate human rights, and politicized prosecutions — including against former President Jair Bolsonaro." Last week, the Brazilian justice levied search warrants and restraining orders against Bolsonaro over allegations he courted Trump's interference in his criminal case, in which he is accused of plotting to stop President Luiz Inacio Lula da Silva from taking office in 2023. Trump's final tariff order and the sanctions followed weeks of sparring with Lula, who has likened the U.S. president, a close ideological ally of Bolsonaro's, to an unwanted "emperor." On Wednesday, Lula and his government closed ranks behind Moraes, calling the U.S. sanctions "unacceptable." "The Brazilian government considers the use of political arguments to defend the trade measures announced by the U.S. government against Brazilian exports to be unjustifiable," it said in a statement. Lula added that Brazil was willing to negotiate trade with the U.S., but that it would not give up on the tools it had at hand to defend itself, hinting that retaliation was possible. Still, Trump's tariff order threatened that if Brazil were to retaliate, the U.S. would also up the ante. DIPLOMACY AT WORK Despite Trump's effort to use the tariffs to alter the trajectory of a pivotal criminal trial, the range of exemptions came as a relief for many in Brasilia, who since Trump announced the tariff earlier this month had been urging protections for major exporters caught in the crossfire. "We're not facing the worst-case scenario," Brazilian Treasury Secretary Rogerio Ceron told reporters. The new tariffs will go into effect on August 6, not on Friday as Trump announced originally. Trump's executive order formalizing a 50% tariff excluded dozens of key Brazilian exports to the United States, including civil aircraft, pig iron, precious metals, wood pulp, energy and fertilizers. Planemaker Embraer (EMBR3.SA) , opens new tab, whose chief executive has met with officials in Washington and U.S. clients in recent days to plead its case for relief, said an initial review indicated that a 10% tariff imposed by Trump in April remains in place, with the exclusion applying to the additional 40%. The exceptions are likely a response to concerns from U.S. companies, rather than a step back from Trump's efforts to influence Brazilian politics, said Rafael Favetti, a partner at political consultancy Fatto Inteligencia Politica in Brasilia. "This also shows that Brazilian diplomacy did its work correctly by working to raise awareness among U.S. companies," he said. Brazil's minister of foreign affairs, Mauro Vieira, said he met with U.S. Secretary of State Marco Rubio on Wednesday to express the nation's willingness to discuss tariffs after negotiations stalled in June, though he stressed Bolsonaro's legal troubles were not up for debate. It remains unclear what Brazilian authorities "are bringing to the negotiating table to, for instance, open the domestic market," Goldman Sachs said in a note to clients. IMPACT SMALLER THAN EXPECTED The effective tariff rate on Brazilian shipments to the U.S. should be around 30.8%, lower than previously expected due to the exemptions, according to Goldman. Oil shipments to the U.S., which had been suspended, are set to restart after being spared, lobby group IBP said. Meanwhile, mining lobby Ibram said the exemptions covered 75% of mining exports. However, it was still too soon to celebrate, said former Brazilian trade secretary Welber Barral, estimating that Brazil exports some 3,000 different products to the United States. "There will be an impact," Barral said. Trump's tariff exemptions did not shield two of Brazil's key exports to the U.S., beef and coffee. Meatpackers expect to log $1 billion in losses in the second half of the year on the new tariffs, lobby group Abiec, which represents beef producers including JBS and Marfrig (MRFG3.SA) , opens new tab, said. Coffee exporters will also continue to push for exemptions, they said in a statement. The government said it was readying measures to protect Brazil's businesses and workers. If Brazil were to retaliate against Trump's measures, that "would generate a larger negative impact" on activity and inflation, Goldman said. "The political inclination may be to retaliate, but exporters and business associations have been urging the Brazilian administration to engage, negotiate and de-escalate." https://www.reuters.com/world/americas/trump-hits-brazil-with-tariffs-sanctions-key-sectors-excluded-2025-07-30/

2025-07-30 20:05

July 30 (Reuters) - More than 90 state and local governments have been targeted using the recently revealed vulnerability in Microsoft server software, according to a U.S. group devoted to helping local authorities collaborate against hacking threats. The nonprofit Center for Internet Security, which houses an information-sharing group for state, local, tribal, and territorial government entities, provided no further details about the targets, but said it did not have evidence that the hackers had broken through. Sign up here. "None have resulted in confirmed security incidents," Randy Rose, the center's vice president of security operations and intelligence, said in an email. A wave of hacks hit servers running vulnerable versions of Microsoft SharePoint this month, causing widespread concern. The campaign has claimed at least 400 victims, according to Netherlands-based cybersecurity firm Eye Security. Multiple federal government agencies are reportedly among the victims, and new ones are being identified every day. On Wednesday, a spokesperson for one of the U.S. Department of Energy's 17 national labs said it was among those hit. "Attackers did attempt to access Fermilab's SharePoint servers," the spokesperson said, referring to the U.S. Fermi National Accelerator Laboratory. "The attackers were quickly identified, and the impact was minimal, with no sensitive or classified data accessed." The Fermilab incident was first reported by Bloomberg. The U.S. Department of Energy has previously said the SharePoint security hack has affected "a very small number" of its systems https://www.reuters.com/technology/more-than-90-state-local-governments-targeted-using-microsoft-sharepoint-2025-07-29/

2025-07-30 19:32

Fed leaves rates unchanged, with two governors dissenting Euro on track for first monthly drop since December 2024 US GDP growth beat expectations Yen firms as investors await BOJ meeting Dollar rises against franc, yen and euro NEW YORK, July 30 (Reuters) - The dollar strengthened against major peers on Wednesday after the Federal Reserve left U.S. interest rates unchanged, in line with market expectations but rebuffing pressure from President Donald Trump. The Federal Open Market Committee voted 9-2 to keep its benchmark overnight interest rate steady in the 4.25%-4.50% range for the fifth consecutive meeting. Sign up here. Both Vice Chair for Supervision Michelle Bowman and Governor Christopher Waller, who were appointed by Trump, dissented, preferring to lower rates by 25 basis points. In his subsequent press briefing, Fed Chair Jerome Powell said he is expecting a slow process when it comes to understanding how trade tariffs impact inflation. "The Fed's decision to hold rates steady came as no surprise, though markets took note of two dissenting votes in favor of a cut," said Uto Shinohara, senior investment strategist at Mesirow Currency Management in Chicago. "The dollar remained well-supported following this morning’s stronger data and the Fed announcement, with the market pricing the September meeting as a coin-flip," Shinohara added. Earlier in the session, data showed that U.S. economic growth rebounded more than expected in the second quarter, expanding by 3% compared with an estimate of 2.4% based on a Reuters poll of economists. The euro extended losses against the dollar following the Fed's decision and as Powell spoke. It was last down 1% to $1.141775, on track for the fifth straight session of losses and trading at its lowest level since June 11. The euro is also poised to record its first monthly drop in 2025, following a sharp reaction to a U.S.-European Union trade deal earlier this week. The dollar index added to its gains after the Fed. It was up 0.96% at 99.82, hitting its highest level since May 29 and on course to post its first month of gains this year. U.S. Treasury yields were mostly higher. The 2-year note yield, which typically moves in step with interest rate expectations for the Fed, rose 6.6 basis points to 3.941%. "I think people are reading too much into the GDP numbers; nobody in markets should think GDP was that weak in Q1 and that strong in Q2 even though the big drivers were inventories and net exports," said Steve Englander, head of global G10 FX Research at Standard Chartered in New York. "I will add the two quarters together and they averaged about 1.5% GDP growth per quarter, which is not a recession but qualifies as mediocre." Trade agreements struck with Japan last week and the EU over the weekend signalled a renewed U.S. commitment to global engagement, easing investor concerns. Investors' focus is now on negotiations between China and the U.S. after officials agreed to seek an extension of their 90-day tariff truce. But Trump upped the ante against India and Brazil on Wednesday. He announced that a 25% tariff on U.S. imports of Indian goods, starting on August 1 and signed an executive order implementing an additional 40% tariff on Brazil, bringing the total tariff amount to 50%. Data showed on Wednesday that the German economy contracted in the second quarter, while France's economy beat forecasts. The spotlight will be on comments from BoJ Governor Kazuo Ueda as investors hope the trade deal between Japan and the U.S. paves the way for the central bank to raise rates on Thursday. The dollar was 0.55% firmer to 149.29 against the yen , after hitting its highest since April 2. Against the Swiss franc , the dollar strengthened 0.82% to 0.81265 francs, reaching its highest since June 23. https://www.reuters.com/world/middle-east/dollar-gains-against-peers-after-fed-leaves-rates-unchanged-2025-07-30/

2025-07-30 19:29

Trump's report urges Congress to enhance crypto legislation Regulators encouraged to create exemptions for digital assets Trump courted cash from crypto industry on campaign trail July 30 (Reuters) - A cryptocurrency working group formed by President Donald Trumpon Wednesday outlined the administration's stances on market-defining crypto legislation and called on the U.S. securities regulator to create new rules specific to digital assets. In a factsheet ahead of a landmark report, the White House urged Congress to move forward with legislation that would create a formal crypto regulatory regime, but implored lawmakers to include additional provisions in the bill. Those include allowing trading platforms to also custody crypto and providing a tailored disclosure regime for issuers of crypto securities. Sign up here. The White House also encouraged the U.S. Securities and Exchange Commission and the Commodity Futures Trading Commission to use their existing authorities to "immediately enable the trading of digital assets at the federal level." Shortly after taking office in January, Trump ordered the creation of a crypto working group tasked with proposing new regulations, making good on his campaign promise to overhaul U.S. crypto policy. Wednesday's report is a culmination of the task force's work so far and its first public findings. In line with Trump's January executive order, it will lay out several new policies from tax provisions to capital markets rules that it says should be enacted to advance the policy goals of the pro-crypto White House. The working group led by Trump official Bo Hines includes several administration officials, including Treasury Secretary Scott Bessent, SEC Chair Paul Atkins, and Director of the Office of Management and Budget Russell Vought. On the campaign trail last year, Trump courted crypto cash by pledging to be a "crypto president" and promote the adoption of digital assets. That is in stark contrast to former President Joe Biden's regulators, who, in a bid to protect Americans from fraud and money laundering, cracked down on the industry. The Biden administration sued exchanges Coinbase COIN.O, Binance, and dozens more, alleging they were flouting U.S. laws. Trump's SEC has since dropped those cases. MARKET STRUCTURE, TOKENIZATION, SEC Wednesday's report comes just two weeks after the House of Representatives passed a bill called the Clarity Act that would create a broad regulatory guidelines for crypto, and the U.S. Senate is considering its own version of the measure. Earlier this month, Trump signed into law a bill to create federal rules for stablecoins, a type of cryptocurrency pegged to the U.S. dollar. That move was hailed as a major win for the digital asset industry, but the White House has said it wants Congress to pass market structure legislation like the Clarity Act next, which would have far wider repercussions for the industry. The report will ask lawmakers to consider several additional measures in the final version of the bill, which could influence ongoing discussions on Capitol Hill. The White House said that Congress should provide the CFTC with the authority to oversee crypto spot markets, and should recognize the potential of decentralized finance technology, referring to blockchain-based platforms that allow users to transact without intermediaries. The report will also offer several recommendations for the SEC and the CFTC, encouraging the regulators to use safe harbors and regulatory sandboxes to allow "innovative financial products to reach consumers without bureaucratic delays." That could include tokenization, which is the process of turning financial assets - such as bank deposits, stocks, bond funds and even real estate - into crypto assets. Crypto firms and others have been increasingly discussing the prospect of tokenization. Coinbase recently told Reuters it was seeking a green light from the SEC to offer blockchain-based stocks. The SEC has yet to weigh in publicly on that request. The crypto sector has for years argued that existing U.S. regulations are inappropriate for cryptocurrencies and has called for Congress and regulators to write new ones that clarify when a crypto token is a security, commodity, or falls into another category, such as stablecoins. The president's support for the crypto industry has sparked conflict-of-interest concerns, which at times have threatened to derail congressional crypto legislation. Trump's family has launched cryptocurrency meme coins, and the president also holds a stake in World Liberty Financial, a crypto platform. The White House has denied that any conflicts of interest are present. https://www.reuters.com/legal/government/white-house-crypto-policy-report-calls-sec-action-new-legislation-2025-07-30/

2025-07-30 16:18

LONDON, July 9 (Reuters) - The U.S. dollar's share of global currency reserves reported to the International Monetary Fund nudged lower to 57.7% in the first quarter of 2025 while the share of euro-denominated reserves gained, International Monetary Fund data showed. Shares of global currency reserves held in the greenback stood at 57.8% at the end of 2024, while the share of euros gained from 19.8% to 20.1% - their highest since late 2022, according to the IMF's Currency Composition of Official Foreign Exchange Reserves (COFER) data released on Wednesday. Sign up here. Foreign currency markets have seen some dramatic swings since the start of the year. The dollar lost nearly 4% in the first quarter of the year as some big policy swings from the administration under U.S. President Donald Trump, especially on trade, security and the economy, roiled market confidence in the world's foremost reserve currency. The decline accelerated dramatically in the second quarter, when the dollar dropped more than 7% in the wake of Trump's introduction of sweeping tariffs on "Liberation Day" in early April - though some of those measures have been put on hold. While currency swings do not equate to reserve managers' willingness to hold them, the latest events have fuelled a debate on whether the U.S. dollar could be in danger of losing its status as the world's reserve currency of choice and the center point of the global monetary system. While some point to nascent signs of de-dollarisation, there is broad agreement that any such shift would be very slow. Looking at levels in claims, U.S. dollar claims did rise 1.4% quarter-on-quarter to $6.72 trillion, though that gain was outpaced by the euro's 2.6% rise to claims of $2.3 trillion, IMF data showed. https://www.reuters.com/business/dollar-cedes-ground-euro-global-reserves-imf-data-shows-2025-07-09/