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2025-05-08 20:29

US Commerce Secretary says Britain to order Boeing jets Industry sources say IAG to split order with Airbus Deal includes around 30 Boeing 787, 30 Airbus jets, they say WASHINGTON/LONDON, May 8 (Reuters) - The United States said on Thursday Britain would purchase $10 billion of Boeing jets and industry sources said British Airways owner IAG (ICAG.L) , opens new tab would also buy some 30 jets from Europe's Airbus in a fleet expansion split between transatlantic rivals. U.S. Commerce Secretary Howard Lutnick revealed the U.S. part of the jet order on Thursday during the announcement of a bilateral trade deal between Britain and the United States. Sign up here. Such an order would add to an already large backlog of Boeing planes slated for UK purchasers - 149 in total, according to Boeing's published backlog. Lutnick said he would let the airline making the purchase announce the details. IAG plans to order around 30 Boeing 787 jets and a similar number of Airbus long-haul planes including the A350 and A330neo models, according to three sources familiar with the matter. "It's a split order," one of the sources told Reuters. Details of the purchase were expected to be announced with IAG's quarterly earnings on Friday. Boeing and Airbus declined comment and IAG could not immediately be reached for comment. Bloomberg News reported that IAG was poised to order 30 Boeing 787s and could secure options for further purchases. The UK-based airline group, whose carriers also include Iberia and Aer Lingus, is among the most influential aircraft buyers and its decisions are closely watched by other airlines. Big-ticket aircraft purchases have captured wider attention across the globe as the industry is buffeted by trade tensions. The European Union earlier included Boeing jets in a list of items earmarked for possible tariffs on U.S. goods if trade talks break down. Airlines in non-EU Britain already have orders in the works for 109 Boeing planes and a leasing company has another 40 on order, according to Boeing's website. Based on the models ordered, UK companies have an estimated $12 billion-plus worth in planes due from Boeing after allowing for typical industry discounts. Planemakers have been wrestling with supply chain snags and other challenges that have delayed deliveries. Boeing is trying to ramp up production of its strongest selling 737 MAX jet to a rate of 38 per month this year, after a difficult 2024 when output slumped due to a broad quality crisis that led to the replacement of its CEO. https://www.reuters.com/business/aerospace-defense/uk-announce-10-billion-boeing-purchase-us-commerce-secretary-says-2025-05-08/

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2025-05-08 20:22

US-UK trade deal reduces tariffs on US goods Boeing gains after UK to buy planes worth $10 billion Arm slides after bleak Q1 revenue forecast Indexes up: Dow 0.62%, S&P 500 0.58%, Nasdaq 1.07% NEW YORK, May 8 (Reuters) - U.S. stocks rose on Thursday as investors cheered a new trade agreement hammered out between the United States and Britain, while U.S. President Donald Trump signaled upcoming talks with China would be more substantial than initially thought. Britain agreed to lower its tariffs to 1.8% from 5.1% and provide greater access to U.S. goods as part of the deal, while a 10% baseline tariff on goods imported from the UK into the U.S. remains in place. Sign up here. Airline stocks shot higher after the U.S.-UK agreement exempted plane parts made by Rolls-Royce (RR.L) , opens new tab from tariffs, with the S&P 500 passenger airlines index (.SPLRCALI) , opens new tab closing up 5.4%, led by a 7.2% surge in Delta Air Lines (DAL.N) , opens new tab. U.S. Commerce Secretary Howard Lutnick said the UK would buy $10 billion of Boeing (BA.N) , opens new tab aircraft, sending the planemaker's shares 3.3% higher as the best performer on the Dow. Trump also said he expects substantive negotiations between the U.S. and Beijing on the trade front this weekend and wouldn't be surprised if a deal was reached. "It did respond positively today to the announcement with the UK. Trump's a showman, and so when he said that those talks this weekend in Geneva are going to be substantive, you have to take him at his word, but you never know," said Scott Welch, chief investment officer at Certuity in Potomac, Maryland. "The market is looking for an excuse to exhale and believe that we're going to get to a more reasonable outcome here than just an all-out global trade war." The Dow Jones Industrial Average (.DJI) , opens new tab rose 254.48 points, or 0.62%, to 41,368.45, the S&P 500 (.SPX) , opens new tab gained 32.66 points, or 0.58%, to 5,663.94 and the Nasdaq Composite (.IXIC) , opens new tab gained 189.98 points, or 1.07%, to 17,928.14. On the sector level, consumer discretionary (.SPLRCD) , opens new tab, industrials (.SPLRCI) , opens new tab and energy (.SPNY) , opens new tab were the best performers while healthcare (.SPXHC) , opens new tab and utilities (.SPLRCU) , opens new tab were the laggards. The domestically focused Russell 2000 small-cap index (.RUT) , opens new tab rose 1.9% to close at its highest level since April 2, the day the tariffs were initially announced. Semiconductor stocks (.SOX) , opens new tab ended 1% higher, building on the 1.7% rise in the prior session after a spokesperson said the Trump administration was planning to rescind and modify a rule that curbed the export of sophisticated artificial-intelligence chips. The U.S. Federal Reserve held interest rates steady on Wednesday and flagged heightened risks of inflation and unemployment, further clouding the economic outlook for the world's largest economy. Markets still see the first cut of at least 25 basis points from the Fed at its July meeting, although expectations have dipped to 60% from 92% a week ago, according to CME's FedWatch Tool , opens new tab. On the economic front, weekly initial jobless claims fell more than expected last week, suggesting for some analysts the labor market remains on stable footing, but a separate report showed worker productivity dropped in the first quarter for the first time in nearly three years. Among others, U.S.-listed shares of Arm slumped 6.2% after the chipmaker forecast first-quarter revenue and profit below Wall Street estimates. Tapestry (TPR.N) , opens new tab rose 3.7% after the luxury group raised its annual forecasts while Krispy Kreme's (DNUT.O) , opens new tab shares plummeted 24.7% after the restaurant chain became the latest to withdraw its full-year forecast. Advancing issues outnumbered decliners by a 1.82-to-1 ratio on the NYSE, and by a 2.15-to-1 ratio on the Nasdaq. The S&P 500 posted 18 new 52-week highs and five new lows, while the Nasdaq Composite recorded 58 new highs and 98 new lows. Volume on U.S. exchanges was 16.85 billion shares, compared with the 16.86 billion average for the full session over the last 20 trading days. https://www.reuters.com/business/us-stock-futures-climb-hopes-first-trade-deal-since-tariff-pause-2025-05-08/

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2025-05-08 20:01

DUBAI, May 8 (Reuters) - Saudi Arabia and the United States are discussing a deal to cooperate on the kingdom's ambitions to develop a civil nuclear industry, talks that have long been complicated by regional politics and concerns over weapons proliferation. Here are some of the main issues at play: Sign up here. WHY DOES SAUDI ARABIA WANT A NUCLEAR PROGRAMME? As the world's largest oil exporter Saudi Arabia may not seem an obvious candidate for nuclear power, but it aims to reduce carbon emissions and free up crude for export under Crown Prince Mohammed bin Salman's Vision 2030 economic plan. The U.S. Energy Information Administration said last year that 68% of Saudi electricity was generated by burning gas and 32% by burning oil, with 1.4 million barrels a day of crude being used for power generation during the peak month of June. Atomic power could displace some of that, including for energy-intensive water desalination and air conditioning, allowing the kingdom to make more money from oil sales. However, Saudi Arabia has also said that if old foe Iran develops a nuclear weapon it would have to follow suit - a declaration apparently aimed at ramping up pressure on Tehran, but which has also fuelled concern about its own ambitions. In January it said it would enrich uranium - a process that can also be used as part of a military programme - to create 'yellowcake' fuel for nuclear power generation that it could sell. Any deal with Washington would likely address safeguards to assuage worries about military ambitions, on top of Saudi Arabia's existing commitment not to pursue a bomb under the nuclear Non-Proliferation Treaty (NPT). WHAT'S IN IT FOR THE UNITED STATES? There could be strategic and commercial gains. Civil nuclear cooperation was an important inducement along with security guarantees in an effort by Trump's predecessor Joe Biden to broker a deal for Saudi Arabia and Israel to normalize relations. However, those two issues are now uncoupled, Reuters has reported, though a nuclear deal could be a sweetener in U.S. diplomatic efforts with the kingdom. Riyadh has ruled out normalizing ties with Israel without Palestinian statehood. U.S. Energy Secretary Chris Wright met Saudi Energy Minister Prince Abdulaziz bin Salman in April and said the two countries were on "a pathway" to a civil nuclear agreement. He made no mention of a wider deal over other issues such as normalisation. A deal would put U.S. industry in a prime spot to win contracts to build Saudi nuclear power plants as well as providing insight into the kingdom's atomic programme that could alleviate any U.S. worries over weapons proliferation. Under Section 123 of the U.S. Atomic Energy Act of 1954, the U.S. may negotiate agreements to engage in significant civil nuclear cooperation with other nations. It specifies nine nonproliferation criteria those states must meet to keep them from using the technology to develop nuclear arms or transfer sensitive materials to others. U.S. law stipulates congressional review of such pacts. SAUDI ARABIA HAS OPTIONS Should the U.S.-Saudi talks fail, several countries with established nuclear industries have expressed interest or are seen as potential partners for Saudi Arabia's nuclear programme. State-owned China National Nuclear Corp (CNNC) reportedly submitted a bid in 2023 to construct a nuclear plant. Russia's state nuclear firm Rosatom, which built a nuclear plant in Egypt, has also signed preliminary cooperation agreements with Riyadh. Other potential contenders include South Korea, which built reactors in the neighbouring United Arab Emirates, and France. The choice of partner will likely depend on technological offerings, financing, and geopolitical alignment, including conditions related to nuclear fuel handling. URANIUM ENRICHMENT A key issue is whether Washington might agree to build a uranium enrichment facility on Saudi territory, when it might do so, and whether Saudi personnel might have access to it or it would be run solely by U.S. staff in a "black box" arrangement. Without rigorous safeguards built into an agreement, Saudi Arabia, which has uranium ore reserves on its territory, could theoretically use an enrichment facility to produce highly enriched uranium, which, if purified enough, can yield fissile material for bombs. Another issue is whether Riyadh would agree to make a Saudi investment in a U.S.-based and U.S.-owned uranium enrichment plant and to hire U.S. companies to build Saudi nuclear reactors. There are diplomatic issues too: Washington's top regional ally Israel has repeatedly voiced opposition to the idea of a Saudi civil nuclear programme. https://www.reuters.com/world/why-does-saudi-arabia-want-civil-nuclear-deal-with-us-2025-05-08/

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2025-05-08 19:58

Senate stablecoin bill fails to receive enough votes to advance Democrats expressed concern about Trump crypto ventures Setback is blow to crypto industry, which tried to portray crypto as bipartisan May 8 (Reuters) - Legislation that would create a regulatory framework for U.S. dollar-pegged cryptocurrency tokens known as stablecoins faced a setback on Thursday as the bill failed to clear a key hurdle in the U.S. Senate. The setback is a blow to the crypto industry, which has long pushed for lawmakers to pass legislation creating new rules for digital assets. The sector spent more than $119 million backing pro-crypto congressional candidates in last year's elections and had tried to paint the issue as bipartisan. Sign up here. Stablecoins, a type of cryptocurrency designed to maintain a constant value, usually a 1:1 dollar peg, are commonly used by crypto traders to move funds between tokens. Their use has grown rapidly in recent years, and proponents say that they could be used to send payments instantly. Analysts and lobbyists had once considered stablecoin legislation almost certain to pass this year, but the bill - dubbed the GENIUS Act in the Senate - has faced pushback from Democrats as frustration has grown over President Donald Trump's various crypto ventures. In a vote on Thursday, only 49 senators voted to advance the bill to a full vote, falling short of the 60 votes needed to formally end debate on the bill. Notably, two Republican senators - Senator Josh Hawley and Senator Rand Paul - voted alongside Democrats against moving forward with the bill. "While we've made meaningful progress on the GENIUS Act, the work is not yet complete, and I simply cannot in good conscience ask my colleagues to vote for this legislation when the text isn't finished," said Senator Mark Warner, a Democrat who earlier voted to advance the bill out of the Senate Banking Committee, in a statement. A group of Democrats, including Warner, that initially supported the legislation said on Saturday that Republicans had failed to negotiate on stronger provisions related to foreign stablecoin issues and anti-money-laundering protections. Senate Democrats more broadly have expressed concerns about the bill especially after Trump's crypto business World Liberty Financial announced last week that its stablecoin would be used by an Abu Dhabi investment firm for its $2 billion investment in crypto exchange Binance. In a speech on the Senate floor after the vote to move the bill toward a full vote failed, Senate Majority Leader John Thune expressed disappointment with Democrats, accusing them of denying the White House a bipartisan win. "Not every bill that comes to the floor is a final bill," Thune said. https://www.reuters.com/sustainability/boards-policy-regulation/stablecoin-bill-fails-clear-key-hurdle-us-senate-2025-05-08/

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2025-05-08 19:58

May 8 (Reuters) - A federal judge narrowed but stopped short of dismissing a lawsuit by investors seeking to hold celebrities like sports stars Tom Brady, Stephen Curry and Shohei Ohtani liable for promoting the collapsed cryptocurrency exchange FTX. The investors said the defendants ignored "red flags" and hid millions of dollars of payments to promote FTX as "brand ambassadors," as part of a civil conspiracy with Sam Bankman-Fried's exchange to defraud them into becoming customers. Sign up here. In a 49-page decision on Wednesday, U.S. District Judge K. Michael Moore in Miami dismissed 12 of the 14 claims, saying the investors did not prove the celebrities knew FTX was a fraud, and merely receiving payments did not establish a conspiracy. He said the investors could try to prove the defendants violated Florida law by helping FTX sell unregistered securities, finding it plausible that FTX "needed influencers" to sell its products. A claim under Oklahoma law also survived. Other defendants include sports stars David Ortiz and Naomi Osaka, supermodel Gisele Bundchen, comedian Larry David, businessman and TV personality Kevin O'Leary, and the Golden State Warriors basketball team. Lawyers for the defendants did not immediately respond to requests for comment on Thursday. Adam Moskowitz, a lawyer for the investors, called the decision a victory because Florida law allows strict liability, meaning the defendants did not have to know FTX was a fraud. He said he plans to file an amended complaint with additional defendants, including Major League Baseball and Formula 1 Racing. The sports stars Shaquille O'Neal and Trevor Lawrence previously settled. FTX filed for bankruptcy protection in November 2022. Bankman-Fried is appealing his fraud conviction and 25-year prison sentence. Last October, FTX won court approval for its bankruptcy plan, which would allow it to fully repay customers. The case is In re FTX Cryptocurrency Exchange Collapse Litigation, U.S. District Court, Southern District of Florida, No. 23-md-03076. https://www.reuters.com/legal/ftx-lawsuit-against-tom-brady-stephen-curry-shohei-ohtani-others-is-narrowed-2025-05-08/

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2025-05-08 19:37

SAO PAULO, May 8 (Reuters) - Brazilian meat exporters sold some 48,000 metric tons of beef into the United States last month despite enforcement of a new 10% tariff by Washington, Roberto Perosa, head of Brazilian beef lobby Abiec, said on Thursday. Perosa told a press conference that the volume was "a big surprise" because it compares with roughly 8,000 tons of Brazilian beef sold to U.S. importers in the year-ago month. Sign up here. China remains Brazil's main export destination for beef products, but a severe shortage of cattle in the United States has boosted demand for beef imports, including from Brazilian and Australian suppliers, Perosa said. Citing data from consultancy Datagro, Perosa noted that Brazil could become the world's biggest beef producer in 2026, replacing the United States, where ranchers face difficulties to increase cattle inventories and companies would tend to produce less beef. Brazil is already the world's biggest beef exporter. For sales outside a predetermined annual quota of 65,000 tons, Brazilian beef was previously subject to a 26.4% tariff in the United States. An additional 10% tariff now applies. For Brazilian beef sales inside the quota, the U.S. administration imposed a tariff of 10%, from zero previously, Perosa said. The annual quota of 65,000 tons was filled in January. Next week, representatives of Brazil's beef-packers will accompany President Luiz Inacio Lula da Silva in a visit to China. For the first time, they will go to two cities in the interior to promote Brazilian beef products there, Perosa said. China imported some 12% more Brazilian beef so far in the year, or about 392,000 metric tons, he said. Though Perosa does not see China issuing new permits for Brazilian beef exporters in the short term, it is possible new suppliers are cleared next year, when Beijing will have ended its safeguard probe focusing on overall beef imports. https://www.reuters.com/world/china/brazil-april-beef-exports-us-soar-despite-new-tariffs-beef-lobby-says-2025-05-08/

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