2025-07-10 11:35

BRUSSELS, July 10 (Reuters) - The European Parliament condemned China on Thursday over its export restrictions on rare earths and insisted the European Union must reject any attempts by Beijing to use the restrictions to force concessions from the bloc. Two weeks before an EU-China summit at which rare earths are set to be a key topic, EU lawmakers backed a motion saying that China's action was unjustified and had coercive intent and that its "quasi-monopolistic position" gave it enormous leverage. Sign up here. The European Parliament approved the motion by 523 in favour to 75 against, with 14 abstentions. The motion is non-binding but influential, since the parliament is the EU's only directly elected institution. China, which mines about 60% of the world's rare earths and makes 90% of rare earth magnets used in everything from automobiles to home appliances, imposed restrictions in early April requiring exporters to obtain licenses from Beijing. The parliamentary motion urged China to lift the restrictions, imposed in the midst of a trade war with the United States, while noting that Beijing had established "green lanes" to simplify the process for European companies. China's Foreign Minister Wang Yi downplayed European worries in Berlin last week, saying it was standard practice to control exports of goods that could have a military use, but that Europe's needs could be met if applications were submitted. The EU lawmakers also called on the European Union to back up its 2030 targets for domestic mining and processing critical mineral projects with a specific budget, and to assess minimum required levels of strategic stocks of rare earths. https://www.reuters.com/world/china/eu-lawmakers-rebuke-china-over-rare-earth-curbs-before-summit-2025-07-10/

2025-07-10 11:20

Indexes rise: Dow 0.43%, S&P 500 up 0.27%, Nasdaq 0.09% Nvdia makes history closing with valuation above $4 trillion Bullish Delta update boosts airline sector, transport sector WK Kellogg climbs on report of $3 bln takeover deal with Ferrero July 10 (Reuters) - The S&P 500 and the Nasdaq Composite rose modestly to post record closing highs on Thursday, boosted by an upbeat forecast from Delta Air Lines and a record close for Nvidia while investors shrugged off President Donald Trump's latest tariffs. Delta (DAL.N) , opens new tab shares rallied 12% after the carrier forecast third-quarter and full-year profits above Wall Street estimates. Sign up here. The sector rallied, with United Airlines (UAL.O) , opens new tab adding 14.3% and American Airlines (AAL.O) , opens new tab climbing 12.7%. The Dow Transportation Index (.DJT) , opens new tab, widely considered an economic barometer, hit its highest since late February. Nvidia (NVDA.O) , opens new tab rose 0.7% and closed above the $4 trillion valuation milestone for the first time, the S&P 500's second biggest boost on the day. Initial jobless claims for the week of July 5 came in at 227,000, below the consensus of 235,000 in a Reuters poll. The number marked a seven-week low although data around holidays such as last week's July Fourth can often be volatile. The Delta update and "pretty tame" jobless claims reassured investors, said Mark Luschini, chief investment strategist at Janney Montgomery Scott in Philadelphia. "Collectively that helped to re-insert the risk-on mode that was in full bloom yesterday and carried over to today," the strategist said, adding that investors are "increasingly desensitized" to the potential threat tariffs pose to inflation and unemployment. "At the moment, investors are looking through or not accounting for that threat and won't likely until hard evidence presents itself," said Luschini. The S&P 500 notched its fifth record close since June 27 while the Nasdaq registered its sixth record closing high in the same timeframe. Thursday marked the S&P 500's eighth record close so far in 2025. The Dow Jones Industrial Average (.DJI) , opens new tab rose 192.34 points, or 0.43%, to 44,650.64, less than 1 percentage point below its record close, reached in early December. The S&P 500 (.SPX) , opens new tab gained 17.20 points, or 0.27%, to 6,280.46 and the Nasdaq Composite (.IXIC) , opens new tab gained 19.33 points, or 0.09%, to 20,630.67. Nine of the 11 major S&P sectors advanced. Communication services (.SPLRCL) , opens new tab fell almost 0.5% with technology (.SPLRCT) , opens new tab down 0.1%. Despite Nvidia's record close, megacaps were a mixed bag. Netflix (NFLX.O) , opens new tab, Microsoft (MSFT.O) , opens new tab and Meta (META.O) , opens new tab lost ground. Tesla (TSLA.O) , opens new tab was the S&P 500's biggest boost, rising 4.7%, after the electric vehicle maker announced that its annual shareholder meeting would be in November. A group of investors had urged it to set a date, citing legal obligations. Last week's robust labor market report had sent Wall Street's major indexes to record highs, a rebound from April's sharp sell-off following "Liberation Day" tariff announcements. "You're checking off the uncertainty boxes. You had the big bill that was passed last week. That was a big uncertainty that has been checked off. You're starting to get more clarity on tariffs. It's not done yet but you're starting to get a little more clarity," said Chris Haverland, Global Equity Strategist, Wells Fargo Investment Institute as he noted the market's record levels. "You'll have second quarter earnings season just getting started next week and you'll see how companies are managing through the tariffs." Trump's latest announcements included a new 50% tariff on copper to start on August 1 and a threat of 50% tariff on exports of goods from Brazil to the U.S. He also issued tariff notices to other trading partners. Several countries still await official word from the White House, with investors closely monitoring trade negotiations. Minutes from the Federal Reserve's June meeting, released on Wednesday, revealed that most policymakers anticipate rate cuts this year, viewing the inflationary impact of tariffs as likely to be "temporary or modest." While most investors believe a July rate cut is off the table, the chance of a September cut of 25 basis points is close to 64%, according to CME Group's FedWatch tool , opens new tab. It may take until late this year - or even into 2026 - before the true impact of rising import tariffs on inflation comes into focus, St. Louis Fed President Alberto Musalem said, highlighting why Fed officials are cautious about rate cuts. Among other stocks, WK Kellogg (KLG.N) , opens new tab rallied 30.6% following reports that Italian candy maker Ferrero was nearing a deal to buy the cereal maker. But Conagra Brands (CAG.N) , opens new tab shares sank 4.4% after it forecast annual profit below Wall Street expectations, citing higher tariff-related costs for products, including its Hunt's ketchup, due to levies on imports from China and on metals. Advancing issues outnumbered decliners by a 2.23-to-1 ratio on the NYSE where there were 374 new highs and 36 new lows. On the Nasdaq, 2,602 stocks rose and 1,885 fell as advancing issues outnumbered decliners by a 1.38-to-1 ratio. The S&P 500 posted 29 new 52-week highs and 5 new lows while the Nasdaq Composite recorded 94 new highs and 29 new lows. On U.S. exchanges 18.16 billion shares changed hands compared with the 18.31 billion average for the last 20 sessions. https://www.reuters.com/business/wall-st-futures-ease-after-nvidias-4-trillion-run-data-trade-talks-focus-2025-07-10/

2025-07-10 11:17

LONDON, July 10 (Reuters) - What matters in U.S. and global markets today By Mike Dolan , opens new tab, Editor-At-Large, Finance and Markets Sign up here. If in doubt, latch on to artificial intelligence. Making AI-chip monster Nvidia (NVDA.O) , opens new tab the first company to be valued at $4 trillion briefly on Wednesday, investors parsing another wave of tariff hikes and confusion seem keener to look through the fog and bank on long-term themes regardless. Today's Market Minute * U.S. President Donald Trump launched his global tariff assault into overdrive on Wednesday, announcing a new 50% tariff on U.S. copper imports and a 50% duty on goods from Brazil, both to start on August 1. * Nvidia briefly reached a market capitalization of $4 trillion on Wednesday, making it the first company in the world to reach the milestone and solidifying its position as one of Wall Street's most-favored stocks. * U.S. Secretary of State Marco Rubio will meet with Southeast Asian counterparts on Thursday in his first visit to Asia since taking office, and will try to reassure them the region is a priority for Washington, even as Trump targets it in his global tariff offensive. * The planned 50% tariff on copper imports may turn out to be the biggest own goal of Trump's ongoing trade war with the rest of the world, claims ROI columnist Clyde Russell. * Trump's signature budget bill slashed funding for refilling U.S. emergency oil reserves, violating his previous vow to fill them "right to the top". This about-face raises the question of whether the U.S. still needs the Strategic Petroleum Reserve at all, writes ROI columnist Ron Bousso. $4 trillion Nvidia obscures new tariffs The second-quarter corporate earnings season kicks off in earnest next week, with consensus forecasts for annual S&P 500 profit growth just under 6% - half what was expected at the start of the year and less than half of the first quarter pace. And yet, the S&P 500 (.SPX) , opens new tab is back stalking record highs - up about 6% for the year so far - with the Nasdaq (.IXIC) , opens new tab hitting another new peak on Wednesday. All that's still lagging other world markets (.MIWD00000PUS) , opens new tab of course, especially dollar-denominated gains for Germany's record-high DAX (.GDAXI) , opens new tab of almost 40% for 2025 and almost 30% for euro stocks (.STOXXE) , opens new tab. But mid-year calm remained the order of the day. The VIX "fear index" (.VIX) , opens new tab hit a five-month low on Wednesday, while the bond market equivalent (.MOVE) , opens new tab is near its lowest for the year. This week's postponement of the July 9 U.S. tariff deadline to August 1, along with pressure to get more deals done by then, has seen many investors revert to the immediate post-election thinking on trade policy - that deals, negotiations and shifting sands, rather than hard deadlines, will dominate the trade agenda. In the latest development, U.S. and European Union negotiators moved closer to a deal. EU trade chief Maros Sefcovic said on Wednesday the European Commission had made good progress on a framework agreement with Washington, and a deal could be reached within days. Negotiators were discussing potential measures to protect the EU auto industry, according to EU officials and auto industry sources. More worryingly, U.S. President Donald Trump announced a new 50% tariff on copper imports and a 50% duty on goods from Brazil, both effective August 1 - with the former a considerable inflation concern over time given the breadth of goods with copper inputs. U.S. copper prices surged more than 10% to record highs on Wednesday, while overseas copper prices came under pressure today. But for all that inflation angst and recent debt supply jitters, Treasury demand remains surprisingly brisk, with a strong 10-year note auction yesterday helping drag yields lower as Federal Reserve meeting minutes showed splits about the timing of the next interest rate cut. While most Fed officials seem keen to delay until the tariff horizon and its inflation impact become clearer, the minutes showed two - presumed to be board members Michelle Bowman and Christopher Waller - prepared to vote for an earlier cut. Waller speaks in Dallas later on Thursday and some $22 billion of 30-year bonds go under the hammer too. The Fed meets again later this month. Fed futures expect a near 80% chance of a cut in September and two cuts are fully priced by the end of the year. The U.S. dollar index (.DXY) , opens new tab slipped back after a week of tentative gains, with the euro - still up 13% for the year - retaining a perch above $1.17. Wall St stock index futures dialed back a touch early on Thursday, but world stocks pushed higher from Asia to Europe. Chart of the day: President Donald Trump ramped up global tariff assault into overdrive on Wednesday, announcing a new 50% tariff on U.S. copper imports and a 50% duty on goods from Brazil, both to start on August 1. Trump said he issued August 1 tariff notices to seven minor trading partners that exported only $15 billion in goods to the U.S. last year: a 20% tariff on goods from the Philippines, 30% on goods from Sri Lanka, Algeria, Iraq, and Libya, and 25% on Brunei and Moldova. The latest letters add to 14 others issued earlier in the week, including 25% tariffs for powerhouse U.S. suppliers South Korea and Japan, to take effect on Aug 1. U.S. research group Yale Budget Lab estimated consumers face an effective U.S. tariff rate of 17.6%, up from 15.8% previously and the highest in nine decades. However, U.S. and EU negotiators pushed closer to a trade deal to ease tariffs on the biggest bilateral U.S.- trading partner bloc. Today's events to watch * U.S. weekly jobless claims (8:30 AM EDT) * Federal Reserve Board Governor Christopher Waller, San Francisco Fed President Mary Daly, St Louis Fed President Alberto Musalem; Bank of England Deputy Governor for Financial Stability Sarah Breeden speak * U.S. Treasury sells $22 billion of 30-year bonds * U.S. corporate earnings: Conagra Brands, Delta Air Lines Opinions expressed are those of the author. They do not reflect the views of Reuters News, which, under the Trust Principles , opens new tab, is committed to integrity, independence, and freedom from bias. https://www.reuters.com/business/finance/global-markets-view-usa-2025-07-10/

2025-07-10 11:06

BEIJING, July 10 (Reuters) - Some China solar stocks jumped sharply on Thursday, continuing a multi-day rise on news that Beijing wants to dampen aggressive price cutting that has driven down prices of some components by nearly 30% in the year to May, according to one estimate. Overcapacity among Chinese manufacturers and price cuts made to clear stock have sparked price wars worrying analysts that more cuts could entrench deflation and hinder efforts to stabilise the $19-trillion economy. Sign up here. Shares of top manufacturer JA Solar (002459.SZ) , opens new tab rose nearly 10%, having gained 20% since July 1, when the top leaders of the world's second biggest economy vowed measures to halt the price wars in the solar and other industries. That step was followed by an industry ministry pledge on July 3 to curb price wars and phase out outdated capacity in the solar industry. Prices in the solar industry have fallen nearly 30% between May 2024 and May 2025, the Oil Price Information Service (OPIS) assessment for high-efficiency tunnel oxide passivated contact (TOPCon) modules shows. Stock prices of peers Longi Green Energy (601012.SS) , opens new tab, JinkoSolar (JKS.N) , opens new tab and Trina Solar (688599.SS) , opens new tab have risen more than 10% this month. The companies did not respond to Reuters' requests for comment. Last week Longi told state media it would commercialise high-efficiency products sooner to overcome the low-price dilemma. Polysilicon has seen an even sharper rise since the beginning of July, with stocks of Xinjiang Daqo New Energy (688303.SS) , opens new tab, and Tongwei (600438.SS) , opens new tab both up 29%. Shares of Shanghai-listed Daqo closed at 26.48 yuan ($3.69) on Thursday, their highest in nearly seven months. Daqo did not respond to an emailed request for comment and Tongwei declined to comment. "Whether solar share price rises this time will be sustainable depends on if effective policy is released," Pierre Lau, managing director of Citi, said in a note on Thursday. He added that previous initiatives to scale back excess capacity in the sector had driven up prices as much as 40% in two weeks in October 2024, to levels that ultimately proved unsustainable. Prices were also supported by unconfirmed rumours that the powerful state planner, the National Development and Reform Commission (NDRC), held meetings with polysilicon producers asking them to keep prices above cost level. NDRC did not respond to a faxed request for comment. The market price in China is less than $4.50 a kg, below most manufacturers' cash costs, says consultancy Berneuter Research. In addition, Tongwei and polysilicon producing peer GCL (3800.HK) , opens new tab were preparing a plan to set up a new company to buy up excess factory capacity, media outlet Caixin said, citing people familiar with the matter. Prices of polysilicon have risen between 18% and 21% over the last two weeks, but downstream solar manufacturers are still resisting the hikes, Citi's Lau said. https://www.reuters.com/sustainability/climate-energy/china-solar-stocks-surge-beijing-moves-calm-price-wars-2025-07-10/

2025-07-10 11:02

Another four crew members rescued in Red Sea after Greek-operated Eternity C sinks Total number of rescued by maritime security firms at 10 Eleven still missing Houthis say they hold some crew Four believed killed in attacks, which began on Monday ATHENS, July 10 (Reuters) - Rescuers pulled three more crew members and a security guard alive from the Red Sea on Thursday, maritime security sources said, a day after Houthi militants sank the Greek ship Eternity C and said they were holding some of the crew still missing. It was the second Greek bulk carrier sunk this week by the Iran-aligned Houthi militia, shattering months of relative calm off Yemen's coast, the gateway to the Red Sea and a critical route for oil and commodities to the world. Sign up here. Many shipping companies have suspended voyages due to the fear of attack. The Houthis are believed to be holding six of the Eternity C's complement of 22 crew and three guards, maritime security sources said. "We remain deeply concerned for the welfare of the crew members in the custody of the Houthis, as well as for those currently unaccounted for," Ellie Shafik, head of intelligence with UK-based maritime risk management company Vanguard Tech, said. "Their safety and swift release must be a priority for all involved." Eternity C was first hit on Monday with sea drones and rocket-propelled grenades fired from speed boats. Four people were believed to have been killed in the attacks, maritime security sources say. If confirmed, the deaths would be the first fatalities in the area since June 2024. Following a second attack on Tuesday morning, the crew were forced to jump into the water. Rescuers have been searching for survivors since Wednesday morning. The vessel's operator, Cosmoship Management, has not responded to Reuters' requests for comment. A total of 10 survivors from the Eternity C have been rescued so far - eight Filipino crew members, one Indian and one Greek security guard. The four people rescued on Thursday morning had spent nearly 48 hours in the water. "This fills us with more courage to continue to search for those missing, as the Greek vessel operator requested, and shows that our search plan was correct," said Nikos Georgopoulos, an official at the Greece-based maritime risk firm Diaplous. Another 11 people are still missing. The United States' Mission in Yemen has accused the Houthis of kidnapping crew members and has called for their immediate, unconditional release. On Wednesday, the Houthis' military spokesperson said in a televised address that the Yemeni navy had "responded to rescue a number of the ship's crew, provide them with medical care, and transport them to a safe location". FRAUGHT PASSAGE The Eternity C sank on Wednesday, days after Houthis hit and sunk the Magic Seas, reviving a campaign launched in November 2023 that has seen more than 100 ships attacked in what the group said was solidarity with the Palestinians in the Gaza war. Both of the vessels hit this week flew Liberian flags and were operated by Greek companies. All crew from the Magic Seas were rescued before it went down. Some of their sister vessels in the respective fleets had made calls to Israeli ports in the past year, an analysis of shipping data showed. The number of daily sailings through the narrow Bab al-Mandab strait, at the southern tip of the Red Sea and a gateway to the Gulf of Aden, was 32 vessels on July 9 from 43 on July 1, data from maritime data group Lloyd’s List Intelligence. The situation has become so fraught that many of the ships sailing on Thursday broadcast public messages referring to Chinese crew and management or armed guards on board, according to ship tracking data on the MarineTraffic platform. One vessel broadcast a message which said it had no relation with Israel. https://www.reuters.com/world/middle-east/rescuers-rescue-four-more-mariners-houthi-struck-ship-11-still-missing-2025-07-10/

2025-07-10 10:09

MUMBAI, July 10(Reuters) - The Indian rupee ended little changed on Thursday, as traders steered clear of aggressive directional bets on the currency, while routine dollar demand from importers blunted positive cues from an uptick in Asian peers. The South Asian currency has largely settled between 85 and 86 over the last two weeks, amid muted foreign portfolio flows and as traders await cues from ongoing U.S.-India trade. Sign up here. On the day, the rupee settled at 85.6350, barely changed from its previous close at 85.6725. Asian currencies were a tad higher on the day, while the dollar index treaded water around the 97.5 mark. As tariff threats continue to roll out of the U.S., investor sensitivity to policy changes appears to have reduced, with many wagering that the extended reciprocal tariff deadline gives countries room to negotiate. "If by then (August 1) trade negotiations with large U.S. partners aren't at an advanced stage, it will be harder to ignore the higher U.S. tariff rate," ING said in a note. "A gradual implementation of sector-specific tariffs should do much less damage to the dollar compared to sudden, 'Liberation Day'-style measures," the note added. India is also engaged in trade negotiations with the U.S. and is among the few large U.S. trading partners that have not yet received a letter from the White House declaring a reciprocal tariff rate. A delegation from India is expected to visit the United States soon for trade talks, a government official told reporters, as the two countries look to iron out disagreements over duties for auto components, steel and farm goods. https://www.reuters.com/world/india/rupee-ends-nearly-flat-importer-dollar-bids-hinder-attempts-rise-2025-07-10/