2025-06-13 19:56

Recent tensions in Los Angeles over immigration raids have set the stage for further potential unrest Protests planned in response to Trump administration policies A military parade in Washington, coincides with Trump’s 79th birthday The S&P 500, near recent record highs; investors wary NEW YORK, June 13 (Reuters) - Investors will keep close watch on planned protests across U.S. cities on Saturday, amid heightened concerns following immigration raids in Los Angeles and developments in the Middle East. The protests, organized by the "No Kings" coalition to oppose President Donald Trump's policies, are set to coincide on Saturday with a military parade in Washington marking the U.S. Army's 250th anniversary and Trump's 79th birthday. Trump on Tuesday warned against protests at the parade. Sign up here. The protests also come on the heels of heightened geopolitical concerns after Israel's military strikes on Iran and have sparked a rush into safe havens such as gold and the dollar. "The protests and the ongoing developments in Iran bear further watching," said Jack Ablin, chief investment officer at Cresset Capital. The protests could negatively impact the markets from a psychological standpoint, said Tim Ghriskey, senior portfolio strategist at Ingalls & Snyder in New York. "These protests have been relatively peaceful but have the potential to spiral out of control and result in injuries, etc," he said. Any damage to sentiment and the willingness to take risks could add to the challenge the S&P 500 faces in the near term as the index appears to have stalled after making big advances from its early April trade war-induced market swoon. The S&P 500 is about 20% above its April low, but is little changed over the last four weeks. The benchmark stock index is about 2% shy of its record closing high reached in mid-February. The index was down about 1% on Friday afternoon. Trump's decision last weekend to dispatch troops to Los Angeles over the objections of California Governor Gavin Newsom has sparked a national debate about the use of the military on U.S. soil and further polarized the country. Americans are divided over Trump's decision to activate the military to respond to protests against his crackdown on migrants, with about half supportive of the move, according to a Reuters/Ipsos poll on Thursday. For now, much of the market's attention remains fixated on events unfolding in the Middle East. "I don't think there's a direct impact to the markets. It may come more on the confidence side, adversely impacting sentiment," Jack Janasiewicz, portfolio manager at Natixis Investment Managers Solutions, in Boston, said. https://www.reuters.com/business/investors-eye-us-protests-iran-tensions-sp-500-stalls-2025-06-13/

2025-06-13 19:53

US gas storage injections hit monthly record high in May US gas storage injections could top 100 bcf for record 8th straight week Sabine LNG plant seen back at full service in late June June 13 (Reuters) - U.S. natural gas futures climbed about 3% on Friday, tracking gains in oil prices after Israel launched strikes against Iran, raising worries the conflict could disrupt Middle Eastern oil and gas supplies. U.S. crude futures jumped $4.94, or 7.3%, to settle at $72.98 a barrel, their highest close since February. Sign up here. Gas futures for July delivery on the New York Mercantile Exchange rose 8.9 cents, or 2.5%, to settle at $3.581 per million British thermal units (mmBtu). On Thursday, the contract closed at its lowest level since May 30 for a fourth day in a row. For the week, the front-month was down about 5% after gaining about 13% over the prior two weeks. So far this year, energy firms have pulled a monthly record high of 1.013 trillion cubic feet of gas out of storage during a brutally cold January and added a monthly record high of 497 billion cubic feet into storage in May when mild weather kept both heating and cooling demand low, according to federal energy data. The prior all-time monthly injection high was 494 bcf in May 2015. Analysts expect energy firms will set another storage record this week with an eighth triple-digit injection. The U.S. Energy Information Administration will release the June 13 storage report a day ahead of usual on Wednesday, June 18, due to the U.S. Juneteenth holiday on June 19. GAS/POLL During the week ended June 6, energy firms added 100 bcf or more of gas into storage for seven weeks in a row, tying the seven-week triple-digit injection record set in June 2014, according to federal energy data going back to 2010. SUPPLY AND DEMAND Financial firm LSEG said average gas output in the Lower 48 U.S. states eased to 105.1 billion cubic feet per day so far in June, down from 105.2 bcfd in May and a monthly record high of 106.3 bcfd in March due primarily to normal spring maintenance. Meteorologists forecast weather across the Lower 48 states will remain mostly warmer than normal through June 28. With hotter summer weather coming, LSEG forecast average gas demand in the Lower 48, including exports, would rise from 98.5 bcfd this week to 98.8 bcfd next week and 102.1 bcfd in two weeks. The forecast for this week was higher than LSEG's outlook on Thursday, while its forecast for next week was lower. The average amount of gas flowing to the eight big U.S. LNG export plants fell to 14.0 bcfd so far in June, down from 15.0 bcfd in May and a monthly record high of 16.0 bcfd in April. Traders said LNG feedgas reductions since April were primarily due to normal spring maintenance, including work at Cameron LNG's 2.0-bcfd plant in Louisiana and Cheniere Energy's (LNG.N) , opens new tab 4.5-bcfd Sabine Pass facility in Louisiana and 3.9-bcfd Corpus Christi plant in Texas, and short, unplanned unit outages at Freeport LNG's 2.1-bcfd plant in Texas on May 6, May 23, May 28 and June 3. Energy traders said they expect LNG maintenance to continue through late-June at Sabine, which has been pulling in about 3.0 bcfd of gas since the end of May. That compares with an average of 4.5 bcfd during the month of May. https://www.reuters.com/business/energy/us-natgas-prices-climb-2-soaring-oil-futures-after-israel-strikes-iran-2025-06-13/

2025-06-13 19:32

Proposal signals support for biofuels industry from Trump It raises total blending volumes by around 2 billion gallons Proposal includes a boost to biomass-based diesel mandates NEW YORK, June 12 - President Donald Trump's administration on Friday proposed to increase the amount of biofuels that oil refiners must blend into the nation's fuel mix over the next two years, driven by a surge in biomass-based diesel mandates. After months of lobbying on the issue, the biofuels industry welcomed the move, which also included measures to discourage biofuel imports. Sign up here. The U.S. Environmental Protection Agency proposed total biofuel blending volumes at 24.02 billion gallons in 2026 and 24.46 billion gallons in 2027, up from 22.33 billion gallons in 2025. Under the Renewable Fuel Standard, refiners are required to blend large volumes of biofuels into the U.S. fuel supply or purchase credits, called RINs, from those that do. Small refiners can apply for an exemption to the requirements if they can prove the obligations would cause undue harm. The proposal is driven in part by an increase in biomass-based diesel requirements. EPA set a quota of 7.12 billion biomass-based diesel RINs for 2026 - a measurement of the number of tradable credits generated by blending the fuel. It said it projected that mandate would lead to the blending of 5.61 billion gallons. The EPA expressed the biomass-based diesel requirement in billion RINs in accordance with the agency's proposal to reduce the number of RINs that could be generated from imported biofuels. After accounting for the reduction for imported biofuels, the EPA said it projected the number of RINs generated for biomass-based diesel would be 1.27 per gallon in 2026 and 1.28 RINs per gallon in 2027. Previously, the EPA projected the average gallon of biomass-based diesel generated 1.6 RINs. The volume mandate for 2025 for biomass-based diesel was 3.35 billion gallons, a figure the industry had complained was too low. Renewable fuel (D6) credits for 2025 traded as high as $1.06 each on Friday, up from 88 cents the previous session, traders said. Biomass-based (D4) credits traded as much as $1.17 each, versus between $1.05 and $1.01 the previous session, traders said. The oil and biofuel industries, both powerful lobbies in Washington, have highly anticipated the release of the proposal, which, if finalized, determines the fate of billions of dollars in fuel and tradable credit transactions. As one of the first decisions made by the current Trump administration regarding federal biofuel policy, the proposal signaled the administration's support for the biofuels industry, which has at times been at odds with oil companies. A coalition of oil and biofuel groups banded together in a historically unusual move this year to request biomass diesel blending for 2026 at 5.25 billion gallons, compared with 3.35 billion gallons in 2025. The coalition, led by the American Petroleum Institute, argued that the EPA's previous mandates failed to support the growth of the advanced biofuel industry and undercut the market. In the proposal, the EPA said it was still determining how to decide on outstanding petitions from small refiners for exemptions to the rules. The EPA estimated a potential range of exempted volumes for 2026 and 2027 from zero gallons, if the EPA denied petitions for all qualifying refineries, to 18 billion gallons, if it granted all petitions. The Fueling American Jobs Coalition, which represents oil refiners, said the EPA's proposed requirements were inconsistent with real-world market demand and infrastructure capacity, and threatened to push up regulatory costs and shut oil refineries. The biofuel industry broadly cheered the proposal. "USDA and EPA have never been more aligned on the need for more American-grown biofuels," said U.S. Secretary of Agriculture Brooke L. Rollins. "The volumes proposed today provide crucial growth opportunities for U.S. ethanol producers and farmers," said Renewable Fuels Association President Geoff Cooper. https://www.reuters.com/sustainability/climate-energy/us-epa-propose-renewable-fuel-credits-generated-through-imported-feedstocks-2025-06-13/

2025-06-13 18:43

Bunge to close $34 billion Viterra merger around July 2 China's approval was final regulatory hurdle for Bunge-Viterra deal Deal creates agribusiness giant, rivals ADM and Cargill Bunge shares jump 5.7% CHICAGO, June 13 (Reuters) - Global agribusiness Bunge Global SA (BG.N) , opens new tab said Friday it has received regulatory approval from China for its merger with Glencore-backed (GLEN.L) , opens new tab grain handler Viterra, the final hurdle for its $34 billion mega-deal announced two years ago. The Missouri-based company expects to close the largest-ever global agriculture merger by dollar value "on or around July 2," Bunge said in an emailed statement. Sign up here. Bunge shares were up 5.7% by mid afternoon on Friday, extending earlier gains stemming from surging crude oil prices and favorable U.S. biofuel blending proposals from the Environmental Protection Agency on Friday. Approval from China was the last regulatory approval Bunge needed to finalize the deal after gaining conditional approvals from regulators in Canada, the European Union and other markets in recent months. "Achieving this regulatory milestone is a significant step forward and clears the way for closing of the transaction. This approval underscores the strategic rationale behind bringing Bunge and Viterra together to create a premier global agribusiness company," CEO Greg Heckman said in an emailed statement. The deal will create a global crop trading and processing giant closer in scale to chief rivals Archer-Daniels-Midland (ADM.N) , opens new tab and Cargill, although it had sparked competition concerns and heightened regulatory scrutiny that delayed closing of the transaction for nearly a year. "We will see further consolidation in the grain merchandising and processing industry. Given greater price transparency for both farmers and the agribusiness's customers, I don't see a huge change in competitive dynamics over the long term," said Seth Goldstein, equity strategist with Morningstar Research Services LLC. The merger will enhance Bunge's grain exporting and oilseed processing businesses in the U.S., where it has a smaller presence than ADM and Cargill. The deal also expands Bunge's export capacity and physical grain storage and handling footprint in major global wheat suppliers Canada and Australia. Bunge and its agribusiness rivals have seen earnings erode in recent quarters on slumping demand and a global glut of crops that they trade, store and process into food, livestock feed and biofuel feedstocks. Tariff and biofuel policy uncertainty further weighed on profits for Bunge, the world's largest oilseed crusher. https://www.reuters.com/world/china/bunge-receives-china-regulatory-approval-viterra-deal-2025-06-13/

2025-06-13 18:38

Gemini set to get licence from Malta - sources Coinbase poised to get green light from Luxembourg, says source Approvals fuel row among European regulators PARIS/FRANKFURT, June 13 (Reuters) - Two of the world’s largest cryptocurrency companies are poised to secure licences granting them access to operate across the European Union, as a rift grows among regulators over the speed and rigour of some countries' approvals, according to sources familiar with the matter. Under the EU’s new Markets in Crypto-Assets (MiCA) regulation, which came into force earlier this year, member states can issue licences that allow crypto companies to operate throughout the 27-nation bloc, but some have raised concerns in closed-door meetings about the speed with which licences are being granted, two people familiar with those discussions said, asking not to be named because of the sensitivity of the matter. Sign up here. At stake is the oversight of the multi-trillion-dollar crypto industry, which regulators have long warned could facilitate fraud, market instability and illicit financial flows if it is not properly supervised. MiCA aims to bring crypto under the same regulatory umbrella as traditional finance, but some fear that uneven enforcement could undermine its goals. Gemini, a crypto trading platform founded by billionaire twins Tyler and Cameron Winklevoss, is on the verge of receiving a licence to operate from Malta, the smallest country in the European Union, two people said. This follows Malta’s earlier approvals of OKX and Crypto.com, granted within weeks of the new regime’s introduction. The pace of Malta’s approvals has drawn scrutiny from other national regulators, who meet under the umbrella of the European Securities and Markets Authority (ESMA). France's AMF has publicly warned that ESMA's lack of direct authority could lead to a "regulatory race to the bottom". Another senior regulatory official, who did not wish to be identified, said that they were concerned about accepting licences granted in countries where regulators had fewer staff, citing Malta as one example. ESMA has scrutinized Malta's licensing process, with a report due to be circulated in the near future, said one of those people. A spokesperson for the Malta Financial Services Authority said it had granted four crypto licences so far and was able to move fast due to its past experience, adding that "expedited processing" was due to its "in-depth understanding acquired over these years". It said its local money laundering standards were strict. ESMA declined to comment. OKX said its application was "rigorous" and that compliance was a priority. SELF INTEREST? The regulatory debate has intensified with expectations that Luxembourg will soon grant a licence to Coinbase (COIN.O) , opens new tab, the first U.S. crypto-focused company to join the S&P 500, one of the people said. While the application has been in progress for several months, one person pointed to the relatively modest size of Coinbase's planned operation in Luxembourg. A Coinbase spokesperson did not comment on its application but said it employed 200 in Europe and that it invested in staff to ensure operations were safe. The spokesperson said Luxembourg was a "high-bar, well respected global financial centre" and that Coinbase would hire more than 20 people there by the end of the year. Luxembourg's financial watchdog declined to comment. One person familiar with Luxembourg's thinking dismissed any suggestion that the country was lax and said some critics were rather motivated by self interest in a race to attract crypto firms. Coinbase’s anticipated approval is seen as a setback for Ireland, where relations with the crypto industry have cooled. In 2023, Central Bank Governor Gabriel Makhlouf compared crypto to a Ponzi scheme, warning that “most of the time when you gamble, you’re actually losing.” The global cryptocurrency market is currently valued at roughly $3.3 trillion but it has seen crises, such as the collapse and fraud of top U.S. exchange FTX in 2022. The European Union has long had to contend with divergence between its members. The dispute is unfolding as European politicians consider granting greater powers to regulator ESMA. While the European Union is united as a trading bloc and writes much regulation centrally in Brussels, countries vie with each other to attract international businesses. ESMA head Verena Ross has also pushed publicly for more powers to oversee crypto, although one person familiar with discussions among EU politicians said several countries were sceptical. https://www.reuters.com/sustainability/boards-policy-regulation/crypto-giants-set-eu-green-light-amid-growing-regulatory-rift-sources-say-2025-06-13/

2025-06-13 16:43

RIO DE JANEIRO/SAO PAULO, June 13 (Reuters) - Lady Gaga's massive free concert in Rio de Janeiro and a series of holidays likely provided a boost to Brazil's services activity in April, statistics agency IBGE said on Friday, as it reported the key sector expanded for a third straight month. As fans flocked to Rio for the U.S. singer's concert at Copacabana Beach on May 3, the transport sector helped drive services activity in Latin America's No.1 economy up 0.2% in April from March, IBGE said, despite high interest rates. Sign up here. "Advanced ticket purchases for the Lady Gaga concert may have influenced the April results. The concert was in May, but ticket purchases were made ahead of it," said IBGE's research analyst Luiz Almeida, also pointing to holidays in the month. "It was a month marked by a long weekend, and that may have helped the transport sector," Almeida said, referring to periods that usually see a travel rush. Transport activity expanded 0.5% in the month, standing out as the only one of the five main groups surveyed to have posted positive results. Brazil had a long weekend from April 18 to 21, while Rio de Janeiro state celebrated a local holiday on April 23. In the week leading up to Lady Gaga's concert, the country also had a national holiday on May 1. On a yearly basis, services activity grew 1.8% in April, roughly in line with market forecasts. Brazilian airlines had previously said they saw a boost in demand related to Lady Gaga's concert, operating more flights to Rio's main airports that were close to full. Rio de Janeiro's city government estimated that 2.1 million people attended the show, part of its efforts to bring superstars to perform at free events that authorities say lift the local economy. The South American country had experienced a similar episode in late 2023, when IBGE reported that the six-show Brazilian leg of Taylor Swift's "The Eras Tour" boosted event-related activities , opens new tab. The service sector is the main driver of Brazil's economy, and the positive April figures came as the country shows signs of a slowdown amid high borrowing costs, with its benchmark interest rate standing at a near 20-year-high of 14.75%. The latest data prompted PicPay economist Igor Cadilhac to revise his estimate for service sector growth this year to 2.1% from 1.6%, though cautioning that a mix of sticky inflation, elevated interest rates and deteriorating financial conditions should still curtail economic activity in the second half. https://www.reuters.com/world/americas/brazils-services-activity-enjoys-boost-lady-gagas-massive-free-concert-2025-06-13/