2025-10-30 20:59

China also to buy 25 million tons annually over next three years, Bessent says Other SE Asia nations to buy 19 million tons of US soybeans CBOT soybeans reverse earlier losses to trade higher Deal returns Chinese demand to level of recent years, analyst says CHICAGO, Oct 30 (Reuters) - U.S. Treasury Secretary Scott Bessent said on Thursday that China has agreed to buy 12 million metric tons of American soybeans during the current season through January, down from 22.5 million tons in the prior season after a months-long tariff battle halted all purchases of the current U.S. harvest. China also committed to buying 25 million tons annually for the next three years as part of a larger trade agreement with Beijing, Bessent said, following a meeting between U.S. President Donald Trump and Chinese President Xi Jinping in South Korea. Sign up here. The drop in Chinese demand cost U.S. farmers - a key pillar of Trump's political base - billions of dollars in lost sales and the deal would represent a return to normalcy in trade with the top U.S. soy importer, which averaged purchases of 28.8 million tons over the past five September-to-August crop seasons. "Our great soybean farmers, who the Chinese used as political pawns - that's off the table, and they should prosper in the years to come," Bessent told Fox Business Network's "Mornings with Maria" program. The agreement negotiated in Malaysia over the weekend could be signed as soon as next week, he said. Bessent said other countries in Southeast Asia have agreed to buy another 19 million tons of U.S. soybeans, but did not specify a timeframe for those purchases or the nations involved. Asian importers other than China have imported between 8 million and 10 million tons annually in recent years, according to U.S. Census Bureau trade data. The most-active soybean contract on the Chicago Board of Trade reversed losses and closed 1.2% higher at a 15-month high of $11.07-3/4 per bushel. U.S. soybean export prices jumped by $20 to $30 per metric ton this week as exporters anticipated the Trump-Xi meeting would spark fresh demand. Three , or about 180,000 tons, were sold to Chinese state-owned importer COFCO on the eve of the summit. "These (Chinese purchase agreements) are not numbers that are unattainable, but they're also not numbers that are really supporting the idea of expansion for our U.S. soybean export program," said Ted Seifried, chief market strategist for Zaner Ag Hedge. RELIEF IN THE U.S. FARM BELT U.S. farm groups cheered the agreements after Trump's bruising trade war eroded soy exports valued at $24.5 billion last year. Growers have nearly finished harvesting what is expected to be the fifth-largest U.S. crop on record. The lack of Chinese demand has squeezed U.S. farm incomes as crop prices hovered near multi-year lows for months amid rising costs for fertilizer, seeds, labour and equipment. "This is a meaningful step forward to reestablishing a stable, long-term trading relationship that delivers results for farm families and future generations," said American Soybean Association President and Kentucky farmer Caleb Ragland. The agreement with China came after Trump secured agricultural trade deals or framework agreements with other Asian nations. "Expanding markets and restoring purchases by China will provide some certainty for farmers who are struggling just to hold on," said American Farm Bureau Federation President Zippy Duvall. CHINA DIVERSIFYING SOYBEAN PURCHASES Trump wrote in a social media post overnight after his meeting with Xi that the Chinese leader had authorized China to begin the purchase of massive amounts of soybeans, sorghum and other farm products. U.S. Agriculture Secretary Brooke Rollins applauded Trump's comments on soybeans and sorghum in a post on X. But Even Rogers Pay, director at Beijing-based Trivium China, said the agreement effectively constituted a return to business as usual in terms of U.S. soybean exports to China. "It targets a level of trade that has been pretty consistent with the past few years," she said. Johnny Xiang, founder of Beijing-based AgRadar Consulting, said commercial buyers were still awaiting details such as whether China would reduce the tariff on U.S. soybeans from 20% to 10%, or remove it entirely. "If the tariff is not completely lifted, commercial buyers will have little incentive to purchase U.S. soybeans," he said. China, the world's biggest soybean buyer and the top market for U.S. farmers, had turned its vast appetite for U.S. crops into a powerful trade war bargaining chip. Facing import duties of 23% on soybeans after rounds of tit-for-tat tariffs, Chinese buyers largely shunned the U.S. autumn harvest, turning instead to South American supplies. Since the trade war of the first Trump administration, China has diversified its sources of soybean imports. In 2024, China bought roughly 20% of its soybeans from the United States, down from 41% in 2016, customs data shows. https://www.reuters.com/world/china/china-buy-12-million-metric-tons-soybeans-this-season-bessent-says-2025-10-30/

2025-10-30 20:56

CALGARY, Oct 30 (Reuters) - The U.S. Army Corps of Engineers has granted approval to Canadian company Enbridge (ENB.TO) , opens new tab for its plan to reroute a section of its Line 5 oil pipeline around a Wisconsin tribal reservation. The Army Corps, a federal engineering service, issued a permit Wednesday for Enbridge to build a new 41-mile segment of pipeline around the Bad River Reservation, to replace an existing section that currently crosses tribal territory. Sign up here. The Bad River Band filed a lawsuit in 2019 aimed at getting the pipeline off its land, citing concerns about treaty rights and the risk a potential oil spill would pose to Indigenous people and the environment. Enbridge submitted permit applications to state and federal regulators in 2020 for the Wisconsin relocation project. The permit issued Wednesday is a major project milestone, an Enbridge spokeswoman said, though construction cannot begin until multiple state permits issued last year are confirmed. Opponents of Line 5, including environmental organizations, have been contesting those permits, arguing Enbridge's plans do not properly protect Wisconsin's waterways. Enbridge said Thursday it is confident state permits will soon be confirmed. Enbridge's Line 5 is a 645-mile oil pipeline constructed in 1953 that carries oil from Superior, Wisconsin, through Michigan and into Ontario, Canada. In addition to its plan to reroute a section of the pipeline in Wisconsin, the company is planning to build a roughly 4-mile tunnel to house the aging section of pipeline that crosses through the Straits of Mackinac in the Great Lakes. Michigan regulators had approved Enbridge's application to build the $750-million tunnel under the Great Lakes to house its aging Line 5 oil pipeline in 2023, but the project still awaits Army Corps permitting. The Army Corps said earlier this year it plans to issue that decision this fall. https://www.reuters.com/business/energy/us-army-corps-approves-enbridges-line-5-reroute-wisconsin-2025-10-30/

2025-10-30 20:54

TSX ends up 0.1% at 30,178.98 Materials group adds 1.7% as gold rallies Bausch Health shares jump 12.5 % Energy dips 0.4% TORONTO, Oct 30 (Reuters) - Canada's main stock index edged up on Thursday as higher gold prices boosted metal-mining shares and investors took stock of the Bank of Canada's move to cut interest rates to a three-year low. The S&P/TSX composite index (.GSPTSE) , opens new tab ended up 34.20 points, or 0.1%, at 30,178.98, putting the index on track for a monthly gain of 0.5%. It would be the sixth straight monthly advance, which is a streak last achieved in 2021. Sign up here. On Wednesday, the BoC reduced its benchmark interest rate by a quarter of a percentage point to 2.25%. "The bank's move signals a pivot from fighting inflation to supporting a struggling economy," said Victor Kuntzevitsky, a portfolio manager at Stonehaven, Wellington-Altus Private Counsel. "It reinforces the lower-for-longer rate environment which has implications for everything from bank margins to dividend-paying utilities." Lower interest rates reduce the income banks earn from floating-rate loans while they potentially increase the attractiveness of utilities to income-seeking investors. The materials group (.GSPTTMT) , opens new tab, which includes metal-mining shares, climbed 1.7%, as the price of gold increased 2.4%, moving back above $4,000 an ounce. "Global demand for gold continues to be driven by central bank demand, especially the Chinese central bank," Kuntzevitsky said. "We haven't yet seen inflows from retail investors and we think that the next wave in gold appreciation will come from retail investors." Healthcare (.GSPTTHC) , opens new tab was another bright spot, adding 1.5%. Shares of drugmaker Bausch Health Companies (BHC.TO) , opens new tab jumped 12.5% after the company raised its full-year 2025 revenue outlook. Canadian National Railway (CNR.TO) , opens new tab has laid off about 400 managers at its rail offices across Canada and the United States amid a freight downturn due to the trade war, the Globe and Mail reported. The company's shares ended 0.5% higher. Energy (.SPTTEN) , opens new tab was a drag, dipping 0.4%, and heavily weighted financials (.SPTTFS) , opens new tab ended 0.1% lower. https://www.reuters.com/business/tsx-futures-steady-markets-assess-us-china-trade-deal-2025-10-30/

2025-10-30 20:41

Oct 30 (Reuters) - Coinbase Global (COIN.O) , opens new tab beat analysts' estimates for third-quarter profit on Thursday, as heightened volatility in digital assets boosted trading volumes at the cryptocurrency exchange, sending its shares up more than 3% after the bell. Digital assets rallied in July as crypto-friendly policies by U.S. President Donald Trump attracted institutional investor interest, catapulting bitcoin, the world's largest cryptocurrency, to new peaks. Sign up here. However, weak economic data in the following month sparked recession fears, triggering a sector-wide selloff as investors moved to liquidate riskier assets. Cryptocurrency exchanges often benefit from volatility in the sector as they earn more through transactions with investors seeking to hedge their portfolios. Coinbase's transaction revenue rose to $1.05 billion during the quarter, from $572.5 million a year ago. The company reported a net income of $432.6 million, or $1.50 per share, for the three months ended September 30, compared with $75.5 million, or 28 cents per share, a year earlier. Analysts were expecting a profit of $1.06 per share, according to data compiled by LSEG. Coinbase also closed its Deribit acquisition in the third quarter, bolstering its position in the derivatives market, an area where, according to Third Bridge analysts, it has historically lagged. "Deribit is already the market leader in options. They had over 75% market share for options. Notably, this is all non U.S., and so there's paths to grow the market for options in the U.S.," finance chief Alesia Haas said on a conference call. STABLECOIN - PART OF GROWTH STORY Revenue from Coinbase's subscription and services unit, which includes businesses outside of trading, rose 34.3% to $746.7 million during the third quarter. A portion of Coinbase's subscription and services revenue is derived from stablecoin holdings and related platform activities. Stablecoin revenue came in at $354.7 million, up from $246.9 million a year earlier. "We are accelerating payments through stablecoin adoption, which we anticipate will continue given policy tailwinds, and ongoing adoption from financial institutions and corporates for payment and treasury needs," Coinbase said in a letter to shareholders. Stablecoin has received optimism from traditional circles of finance and been at the forefront of legislation, with the GENIUS Act passed earlier in the year. The act aims to create a regulatory framework for stablecoins and promote broader adoption. "Coinbase is cash-rich and growth-ready," said David Bartosiak, Stock Strategist at Zacks Investment Research. "The company isn't just trading coins anymore, it's building the backbone of the new financial internet." https://www.reuters.com/business/crypto-exchange-coinbase-profit-rises-trading-strength-2025-10-30/

2025-10-30 20:00

MILAN, Oct 30 (Reuters) - Stellantis has set up a "war room" to address possible chip shortages stemming from issues at Dutch group Nexperia linked to the U.S.-China trade war, the automaker's CEO said on Thursday. "We are monitoring day-by-day the chip situation from Nexperia," Chief Executive Antonio Filosa told analysts in a call to discuss third quarter performance. Sign up here. "Every day we are pushing actions and projects" to produce without stoppages, Filosa said, replying to an analyst who asked whether Stellantis was in a similar position to Volkswagen (VOWG.DE) , opens new tab. The German automaker has said it cannot rule out stoppages to production in the short term due to chip shortages. "This is a day-by-day management of what is an industry-wide global issue," Filosa said. Industry bodies have sounded the alarm over the possible impact on production after the Dutch government seized control of Chinese-owned Nexperia last month, citing intellectual property concerns, while China curbed exports of finished products needed by European automakers. U.S.-China trade tensions, including on semiconductors, could ease after Thursday's announcement by U.S. President Donald Trump that he had reached a deal with President Xi Jinping. Under the agreement, the U.S. would trim tariffs on China in exchange for Beijing cracking down on the illicit fentanyl trade, resuming U.S. soybean purchases and keeping rare earths exports flowing. https://www.reuters.com/business/autos-transportation/stellantis-has-set-up-war-room-manage-nexperia-chip-crisis-ceo-says-2025-10-30/

2025-10-30 19:37

Democratic-led states ask judge to block SNAP benefits from being cut off USDA says it will not use contingency funds for food aid States seek ruling before Saturday BOSTON, Oct 30 (Reuters) - A federal judge in Boston on Thursday said it appeared to her that President Donald Trump's administration cannot legally suspend all food aid for millions of Americans amid the ongoing government shutdown as it plans to do starting Saturday. U.S. District Judge Indira Talwani said she planned to decide later on Thursday whether she should force the U.S. Department of Agriculture to use some of the $5.25 billion in contingency funds it has on hand to pay for the Supplemental Nutrition Assistance Program, also known as food stamps. Sign up here. Lawyers for 25 Democratic-led states and the District of Columbia during an hour-long hearing asked the judge to issue a temporary restraining order that would ensure the government at least partially funds the SNAP benefits, which 42 million Americans rely upon. The USDA has said insufficient funds exist to pay full benefits, which cost $8.5 billion to $9 billion per month. Justice Department attorney Jason Altabet told the judge that USDA lacked the authority to disburse any funds for the benefits until Congress passes a spending bill ending the shutdown that began October 1. But Talwani, an appointee of Democratic President Barack Obama, questioned how the administration came to conclude it could pay out nothing at all when Congress provided the USDA with contingency funds it still has available in case of an emergency. "It's hard for me to understand how this isn't an emergency when there’s no money and a lot of people are needing their SNAP benefits," she said. The judge said Congress and USDA's own regulations instead appeared to intend for the agency to "tighten belts" if, for the first time in the SNAP program's history, it could no longer fully fund benefits for nearly 42 million low-income Americans. "We're not going to make everyone drop dead because it’s a political game," she said. The USDA's shutdown plan, released last month, had said contingency funds were available to keep funding SNAP benefits in the event Congress did not enact spending legislation that would avert the lapse in funding that began October 1. But on Saturday the department updated its website to say no benefits would be issued on November 1 as scheduled, stating "the well has run dry," prompting the states to sue on Tuesday. SNAP benefits are available to Americans whose income is less than 130% of the federal poverty line, or $1,632 a month for a one-person household, or $2,215 for a two-person household in many areas. States are responsible for the day-to-day administration of the benefits, which are paid out monthly. Democrats and Republicans in Congress have traded blame for the shutdown and for the risk that SNAP benefits could lapse as the funding impasse continues. But the states, led by Massachusetts, California, Arizona and Minnesota, say the lapse is unnecessary given the existence of the contingency funds, which would cover a portion of the benefits and by law are intended to be used as “necessary to carry out program operations." “Millions of Americans are going to lose benefits they’ve had for decades," Michelle Pascucci, a lawyer with the Massachusetts attorney general's office, said during the hearing. She argued that USDA lacks the discretion to stop funding benefits absent a complete lack of funding and by law must continue paying out as long as Congress has appropriated funds that can be used for those purposes, even if it could only make a partial distribution. Altabet, the Justice Department attorney, warned that a ruling in the states' favor would result in an operationally fraught situation for USDA, saying officials were "legitimately scared" if the antiquated systems some states use could handle an unprecedented partial benefits distribution. "The agency thinks it would be catastrophic," he said. While the temporary restraining order the states had proposed would only apply to them, Talwani said that the way the law governing SNAP worked, any decision she issued would have a national impact as benefits cannot be reduced based on where people live or "what political party they are." "I can’t consider this in only the terms of half the nation," she said. https://www.reuters.com/legal/government/states-urge-us-judge-block-trump-administration-suspending-food-benefits-2025-10-30/