2025-10-25 00:19
RIO DE JANEIRO, Oct 24 (Reuters) - Brazilian state-run oil firm Petrobras reported record exports of some 814,000 barrels of oil per day in the third quarter, as production surged and 11 wells started operating, the firm said on Friday. That was a 36% increase in oil exports compared to the same period of last year. China was the destination for 53% of the firm's shipments in the period, up 14 percentage points from a year ago. Sign up here. Asia, excluding China, received 19% of Petrobras' oil exports, a rise of 5 percentage points, while the share that went to the United States and Europe fell by half to 3% and 15%, respectively. Lower demand from the U.S. as sales increased to India and South Korea factored in the change, Petrobras said in its output and sales report. Total exports by the Brazilian company, including gas and oil derivatives, reached 1.04 million barrels, up 29% when compared to the July-September period of last year. Petrobras produced 2.52 million bpd of oil in Brazil in the quarter, up about 18%. Beyond the new 11 wells, the firm said the output increase came from a floating production vessel reaching peak production, another increasing capacity and four ramping up. The firm's total oil, gas and gas liquids production stood at 3.14 million barrels of oil equivalent per day, an almost 17% jump year-over-year. Total sales of oil, gas and oil derivatives were up nearly 10% in the period, to 3.26 million bpd. Petrobras is set to release its third-quarter earnings on November 6. https://www.reuters.com/business/energy/petrobras-q3-oil-gas-output-rises-17-year-earlier-2025-10-24/
2025-10-24 23:42
WASHINGTON, Oct 24 (Reuters) - U.S. President Donald Trump on Friday reversed a Biden-era air pollution rule that had imposed stricter limits on emissions from copper smelters. The copper rule, finalized in May 2024, had required smelters to curb pollutants including lead, arsenic, mercury, benzene and dioxins under updated federal air standards. Sign up here. Trump's proclamation grants a two-year exemption from compliance for affected stationary sources, which the White House said would help promote American mineral security by reducing regulatory burdens on domestic copper producers. "Imposing these requirements on such a limited and already strained domestic industry risks accelerating further closures, weakening the Nation’s industrial base, undermining mineral independence, and increasing reliance on foreign-controlled processing capacity," the White House said in announcing the changes. The proclamation referenced the two copper smelters in the United States, one operated by Freeport-McMoRan (FCX.N) , opens new tab in Arizona and the other by Rio Tinto (RIO.L) , opens new tab in Utah. It stated the order would apply to Freeport's smelter. Phoenix-based Freeport thanked Trump and said the two-year exemption shows copper's importance for national security. "This action acknowledges the operational realities facing domestic copper smelting and provides needed time to assess and plan for appropriate regulatory reconsideration of the Copper Rule and future implementation," a Freeport spokesperson said. Rio Tinto said its Utah smelter was not affected by the 2024 order due to the company's investment in equipment that captures emissions. "Rio Tinto's Kennecott copper operation in Utah has a long-standing commitment to reducing its environmental footprint through innovation and investment," a Rio spokesperson said. Trump signed an executive order earlier this year that identified copper as a critical material for defense, infrastructure and emerging technologies, including clean energy and electric vehicles. It led to a Section 232 investigation to determine whether copper imports threaten U.S. national security, particularly due to dependence on a small number of foreign suppliers. Following the review, the administration imposed a 50% tariff on certain imported copper and mandated that an increasing percentage of high-quality scrap copper produced in the U.S. be sold domestically. https://www.reuters.com/sustainability/climate-energy/trump-reverses-biden-era-rules-copper-smelters-2025-10-24/
2025-10-24 22:02
Sable proposed floating storage strategy amid pipeline dispute $450 million estimated needed for vessel purchase or conversion-sources California regulator rules against Sable's pipeline restart request NEW YORK, Oct 24 (Reuters) - Sable Offshore (SOC.N) , opens new tab would need about $1.7 billion in funding to implement a floating storage strategy it proposed as an alternative to marketing crude from the Santa Ynez field off California by pipeline, two sources familiar with the matter told Reuters. Sable last month told investors that it was pursuing an offshore storage and treating vessel strategy to market oil produced from the Santa Ynez project, while it continued contesting California regulators' challenges to its planned restart of an onshore pipeline that moved crude from the project to regional refineries. Sign up here. The estimated cost of pursuing that strategy has not been previously reported. Sable's estimates include the refinancing of a $900 million loan from Exxon Mobil (XOM.N) , opens new tab to buy the project from the oil major, which shut it in 2015 after an oil spill, the sources said. Roughly $450 million in funding would be required for purchasing or converting the offshore storage and treatment vessel itself, including any modifications it might need, while another $300 million would go towards operational expenses including general and administrative costs, the sources said. The company has been in talks with the U.S. government for financing for the project, which could include a federal loan guarantee, the sources said. The sources requested anonymity as the estimated financing requirements and talks with the U.S. government are not public. Sable declined to comment on the financing estimates or talks with the federal government. The White House did not immediately respond to a request for comment. MONTHS-LONG PIPELINE DISPUTE Sable has been locked in a months-long dispute with California over the restart of the Santa Ynez project, which had been shut for nearly a decade following the 2015 spill. Sable restarted production from one of the platforms in May. Last week, a California judge tentatively ruled against Sable Offshore's request to lift a cease and desist order by the California Coastal Commission on repairs it had made to the onshore pipeline system, called Las Flores. Sable had said then that the ruling did not affect its plans to resume petroleum transportation through Las Flores or production, but added it will appeal the decision. This week, Sable's plans to restart the pipeline were dealt another blow after California's Office of State Fire Marshal said that the company had not met the conditions for the restart of the pipeline. Sable has not completed repairs on the pipeline in the way it was required to under waivers granted to it last year, the OSFM told Sable in an Oct. 22 letter. Sable, in its response to the OSFM on Thursday, said the agency's conclusions are in error and inconsistent with numerous talks between the two parties. "Sable strongly disagrees with the allegations, which are inconsistent with the plain language of the waivers and numerous past discussions with OSFM experts that confirm Sable is in full compliance with the waivers. Sable plans to supplement this initial response and looks forward to quickly resolving this misunderstanding with OSFM," it said on Thursday. https://www.reuters.com/business/energy/sable-need-about-17-billion-funding-progress-santa-ynez-project-sources-say-2025-10-24/
2025-10-24 20:52
Oct 24 (Reuters) - U.S. President Donald Trump has picked Michael Selig as the Commodity Futures Trading Commission's chair, an administration official and Selig himself said on Saturday. Selig is chief counsel for the CFTC's crypto task force and has worked with Securities and Exchange Commission Chairman Paul Atkins. Sign up here. Both Selig and David Sacks, the White House artificial intelligence and crypto czar, confirmed the selection in separate posts on X. Sacks praised Selig as "deeply knowledgeable about financial markets and passionate about modernizing our regulatory approach in order to maintain America’s competitiveness in the digital asset era." Selig, in his X post, said he would "work tirelessly to facilitate Well-Functioning Commodity Markets, promote Freedom, Competition and Innovation, and help the President make the United States the Crypto Capital of the World." The CFTC did not respond immediately to a request for comment. The choice of Selig for CFTC chair was first reported by Bloomberg News. The pick comes as the digital assets industry, which had been facing regulatory pressures, takes center stage under the Trump administration with new legislation. The GENIUS Act, passed earlier in the year, and the CLARITY Act - which aims to establish a regulatory framework for digital assets - have been received well by investors in the sector. Trump has been vocal about his support for cryptocurrency, and had promised in his campaigns to make America the crypto capital of the world if he was elected. Cryptocurrency has become a recurring theme in the Trump family's business empire, including Truth Social owner Trump Media & Technology Group (DJT.O) , opens new tab; DT Marks DEFI LLC, an entity tied to the Trump family that holds nearly 38% of equity in the company that controls crypto venture World Liberty Financial; and meme coins launched by both the president and first lady Melania Trump. Trump had originally named Brian Quintenz to be the CFTC chair, but his nomination was stalled following opposition by Tyler Winklevoss, co-founder of recently listed cryptocurrency exchange Gemini (GEMI.O) , opens new tab. Quintenz, a Republican who previously was a commissioner at the agency, had accused Winklevoss of lobbying the White House to stall his nomination. The CFTC is typically led by a bipartisan group of five commissioners. The president has historically nominated commissioners from both parties to serve. Selig has been with the CFTC since March 2025. He was previously a partner at international law firm Willkie Farr & Gallagher. https://www.reuters.com/business/trump-chooses-michael-selig-cftc-chair-bloomberg-news-reports-2025-10-24/
2025-10-24 20:34
WASHINGTON, Oct 24 (Reuters) - The U.S. Trade Representative's office on Friday said it had launched a new tariff investigation into China's "apparent failure" to comply with the "Phase One" trade deal signed with President Donald Trump in 2020 to end his first-term U.S.-China trade war. The new unfair trade practices probe under Section 301 of the Trade Act of 1974 gives Trump another potential tool to increase tariffs on Chinese imports. USTR's announcement comes a day before the start of a new round of U.S.-China talks over rare earths export controls in Kuala Lumpur on Saturday. Sign up here. China said it firmly opposed what it said were Washington's "false accusations and related investigation measures," and accused the United States of escalating economic and other forms of pressure against China. "China has scrupulously fulfilled its obligations in the Phase One Economic and Trade Agreement," a spokesperson for the Chinese embassy in Washington said on X, adding that China's actions have benefited investors from all countries, including U.S. companies. The Phase One deal was meant to rebalance trade between China and the U.S. by committing Beijing to increase purchases of U.S. farm and manufactured goods, energy and services by $200 billion annually for at least two years. But Beijing never met the purchase targets, blaming the start of the COVID-19 pandemic that was spreading at the time of its signing in January 2020. A USTR Federal Register notice , opens new tab announcing the probe also said that China appeared to not have lived up to its commitments to change policies on intellectual property protections, forced technology transfer, agriculture and financial services - practices that were at the heart of Trump's first-term tariffs on Chinese imports. It said the investigation will initially focus on China's implementation of its commitments under the Phase One deal. The notice invites public comments on the matter from October 31 through December 1. USTR will convene a public hearing to collect further testimony on December 16. "The initiation of this investigation underscores the Trump Administration’s resolve to hold China to its Phase One Agreement commitments, protect American farmers, ranchers, workers, and innovators, and establish a more reciprocal trade relationship with China for the benefit of the American people," USTR Jamieson Greer said in a statement. The probe also could provide the Trump administration with additional legal backing to revive some tariffs on Chinese imports if the U.S. Supreme Court strikes down Trump's duties that were based on the International Emergency Economic Powers Act. The court is due to hear arguments on a challenge to the IEEPA-based tariffs - currently at about 30% for Chinese goods - on November 5. https://www.reuters.com/world/china/us-launches-investigation-into-chinas-compliance-with-2020-trade-deal-2025-10-24/
2025-10-24 20:32
Apple, Microsoft, Alphabet among 'Magnificent 7' set to report Fed expected to cut rates on Wednesday by quarter-point US-China trade tensions, government shutdown also in focus NEW YORK, Oct 24 (Reuters) - The U.S. stock rally confronts a potentially consequential week to keep its momentum heading into year-end, including a flood of corporate results headlined by megacap companies and a likely interest rate cut by the Federal Reserve after its two-day policy meeting. U.S.-China trade tensions could come to a head in the coming days, while a persistent U.S. government shutdown further unsettles the backdrop for investors. Sign up here. Stocks have weathered increased volatility this month, with the S&P 500 (.SPX) , opens new tab posting an all-time closing high on Friday, after a 36% climb since its low for the year in April. The benchmark index is up over 15% year-to-date. Given that the market has rallied for several months without a particularly significant decline, equities could remain choppy in the days ahead, said Chris Fasciano, chief market strategist at Commonwealth Financial Network. "What we need to see is continued earnings beats and corporate America talking positively about the economy," Fasciano said. "When people start to get nervous, it's when they see consumer confidence coming down, or business confidence coming down." Third-quarter earnings season is off to a solid start overall, despite disappointments this week from companies such as streamer Netflix (NFLX.O) , opens new tab and chipmaker Texas Instruments (TXN.O) , opens new tab. Including results from 143 companies that have reported, S&P 500 profits are estimated to have increased 10.4% from a year ago, according to LSEG IBES data as of Friday. So far, 87% of companies have topped analysts' earnings estimates and 82% have beaten revenue estimates - both higher than historically typical rates. Next week is the busiest of the season, with over 170 companies expected to report. They include Microsoft (MSFT.O) , opens new tab, Apple (AAPL.O) , opens new tab, Alphabet (GOOGL.O) , opens new tab, Amazon (AMZN.O) , opens new tab and Meta Platforms (META.O) , opens new tab, five of the "Magnificent Seven," a group of companies with huge market capitalizations whose shares dominate equity indexes and which overall have posted outsized profit growth over the past couple of years. Their profit edge over the rest of the index is narrowing, but the Magnificent Seven are still expected to post stronger results this period. Earnings for the group are expected to rise 16.6% against an 8.1% rise for the rest of the index, according to data this week from Tajinder Dhillon, senior research analyst at LSEG. A number of the megacap companies are also key players in the artificial intelligence industry, enthusiasm for which has been a main driver of stock market performance. "The factor that is probably going to have the most influence between now and the end of the year is going to be these big tech (reports)," said Anthony Saglimbene, chief market strategist at Ameriprise Financial. "The hurdle rate is very high for these companies coming into next week's earnings." Other companies due to report results next week include drugmaker Eli Lilly (LLY.N) , opens new tab, oil majors Exxon (XOM.N) , opens new tab and Chevron (CVX.N) , opens new tab and payment firms Visa (V.N) , opens new tab and Mastercard (MA.N) , opens new tab. The Fed is widely expected to lower its current benchmark rate of 4%-4.25% by another quarter percentage point when it decides on policy on Wednesday, a view supported by tamer-than-estimated inflation data on Friday. With that rate move already factored into asset prices, markets are likely to be more sensitive to any forward-looking language from Fed Chair Jerome Powell, with the central bank expected to cut rates further at its next meeting in December. "The biggest impact would be if the Fed gave any signs that they will deviate from their rate-cutting path," said Dominic Pappalardo, chief multi-asset strategist for Morningstar Wealth. Possibly clouding the Fed's decision-making ability is the lack of data provided by the government since its shutdown began on October 1, including delays in employment releases at a time of simmering worries about the health of the labor market. An increasingly extended shutdown - which has already lasted longer than the average length of past shutdowns - also likely poses more risk to economic growth, said Art Hogan, chief market strategist at B Riley Wealth. "The longer it drags on, the more the market will not be able to ignore it," Hogan said. Investors also largely had shrugged aside trade-related risks in recent months, but renewed U.S.-China rifts have brought tensions between the world's two largest economies back to the fore. U.S. President Donald Trump earlier this month threatened significantly higher tariffs on China to take effect November 1, after Beijing imposed export controls on rare earths. Investors will be watching developments around an anticipated meeting between Trump and Chinese leader Xi Jinping in the coming week to see if the nations can calm tensions between them. "If tariffs rise to the levels that President Trump is threatening on China ... you would see a more volatile and probably a more negative reaction in the market, especially if (investors) anticipate that that's going to be lasting," Saglimbene said. https://www.reuters.com/business/wall-st-week-ahead-megacap-led-earnings-deluge-fed-meeting-headline-busy-us-2025-10-24/
