2025-10-20 20:20

TSX ends up 1% at 30,416.44, Nine of 10 major sectors notch gains Materials group gains 2.3% as gold rallies Canada offers tariff relief on some products TORONTO, Oct 20 (Reuters) - Canada's main stock index rebounded on Monday, with metal mining shares leading broad-based gains as concerns eased over an escalating global trade war. The S&P/TSX composite index (.GSPTSE) , opens new tab ended up 307.96 points, or 1%, at 30,416.44, after posting declines on Thursday and Friday. Sign up here. Wall Street indexes also rose as investors braced for a wave of corporate earnings. "After last week's volatility, Canadian equities are starting strong, supported by robust corporate results from the U.S. and positive trade developments between the U.S. and China," said Angelo Kourkafas, a senior global investment strategist at Edward Jones. "While near-term challenges persist, the limited market pullback reflects investor optimism for 2026." U.S. President Donald Trump said he expects to reach a fair trade deal with Chinese President Xi Jinping and downplayed risks of a clash between the countries over the issue of Taiwan. Canada offered tariff relief on some steel and aluminum products imported from the United States and China, a government document showed, in an effort to help domestic businesses battered by a trade war on two fronts. The materials group (.GSPTTMT) , opens new tab, which includes fertilizers and metal mining companies, gained 2.3% as the price of gold touched another record high. Shares of copper and gold exploration company NGEx Minerals Ltd (NGEX.TO) , opens new tab added 12.7%. Heavily weighted financials (.SPTTFS) , opens new tab advanced 0.8% and industrials (.GSPTTIN) , opens new tab were up 0.8%. Nine of 10 major sectors ended higher. Consumer staples (.GSPTTCS) , opens new tab was the exception, falling 0.7%. Shares of food and pharmacy retailer Loblaw Companies Limited (L.TO) , opens new tab ended 1.5% lower, snapping an eight-day winning streak. https://www.reuters.com/business/tsx-futures-climb-metal-gains-inflation-data-earnings-focus-2025-10-20/

2025-10-20 20:03

Investors see tough decisions ahead for new President Paz IMF help viewed as vital given current dire state of finances Debt payment crunch looms in March LONDON, Oct 20 (Reuters) - Investors welcomed the Bolivian presidential election win for centrist candidate Rodrigo Paz as markets reopened on Monday, but cautioned he now faces a major challenge fixing the economy, and will likely have to soften his resistance to IMF support. The victory of Paz, a senator from the Christian Democratic Party, in Sunday's run-off vote marked a historic shift for the South American nation, which has been governed almost continuously since 2006 by Bolivia's Movement to Socialism (MAS) party. Sign up here. Paz's moderate platform — pledging to maintain social programmes while boosting private sector-led growth — appeared to resonate with left-leaning voters who would normally vote for MAS, but economists fear it may not be radical enough given the country's plight. Inflation has accelerated to levels not seen since its mid-1980s crisis, the fiscal deficit stands at around 10% of GDP while depleted foreign exchange reserves and diminished gas exports mean the currency now trades at a huge discount to the official rate on the streets. "I don't see much alternative to an IMF programme, but how that comes together is the key question for the market," RBC BlueBay's Graham Stock said, referring to how Paz, 58, had expressed a reluctance during his campaign to deepen engagement with the Fund. Bolivia's bonds rose on Monday according to LSEG data, with the 2028 up 1.4 cents bid at 82 cents on the dollar - still with a yield above 21%. "On debt, I do think Bolivia will restructure," said Brian Seel, senior sovereign analyst at Artisan Partners, adding that estimates made using the official exchange rate widely underestimate the external debt burden. "Given the state of the economy, I think we are looking a multi-year effort to rebuild debt carrying capacity." Paz will take office on November 8. His party does not hold a majority in the legislature, meaning he will be forced to forge alliances to govern effectively, although it will now be dominated by pro-business centrist and right-leaning parties. Jefferies Managing Director Javier Kulesz said in a note it was "a big plus" for Paz, however, that the Congress will now be more ideologically aligned, even if still quite fragmented. The key, however, will be whether the public will accept the measures Paz will now need to prescribe. "Chances are he’ll get the traditional 100-day honeymoon period to push his agenda, but after that, things could get very tough," Kulesz said. Former Socialist president "Evo Morales continues to have his following, potentially becoming a source of political tension and street pressure once the adjustment starts to bite," he added. RESTRUCTURING REQUIRED Analysts at U.S. investment bank Citi said it was more a question of how fast Paz goes to the IMF, rather than if, as some sort of restructuring is now needed. Despite Paz's apparent ruling out of an IMF programme, an IMF official said on Friday that it had talked to both Paz and his election race rival, former president Jorge "Tuto" Quiroga, ahead of the vote. With the economy in disarray and barely enough foreign exchange reserves to cover two months of imports, others have warned the crunch could come in March when Paz's new government will face roughly $380 million worth of debt payments. Markets would favour a "front-loaded fiscal consolidation... alongside a front-loaded exchange rate realignment," analysts at JPMorgan added, saying both were essential to stabilising the economy. "The principal challenges to any adjustment programme arise from Bolivia’s difficult initial conditions and the uncertain level of public support for austerity measures," they said in a note on the election result. https://www.reuters.com/world/americas/investors-see-imf-support-crucial-bolivias-new-president-2025-10-20/

2025-10-20 19:10

Gold Reserve accuses advisers of conflict of interest Court officer switched auction winner recommendation to Elliott's Amber Energy Venezuela's lawyers also seek disqualification of court officer, advisers Lawyer for court officer Pincus said the process aimed to maximize value HOUSTON, Oct 20 (Reuters) - Toronto-listed miner Gold Reserve (GRZ.V) , opens new tab on Monday accused firms advising a U.S. court on the auction of Citgo Petroleum's parent of receiving some $170 million in fees from a bidder that was recommended as the winner of the process and parties that would obtain proceeds as a result. The auction of Venezuela-owned PDV Holding, parent of Houston-based refiner Citgo Petroleum, aims to compensate up to 15 creditors for debt defaults and expropriations in the South American country. Sign up here. The accusations are the latest twist in a process that has dragged on for nearly two years after three bidding rounds, and could threaten to slow it further before a final winner is selected. A Delaware court found PDV Holding liable for Venezuela's debts, including assets expropriated by the administration of the country's late president, Hugo Chavez, and billions of dollars in bonds defaulted on by state-owned oil company PDVSA. The court on Monday discussed the fees in a hearing following Gold Reserve's motions earlier this month to disqualify a court officer and the judge overseeing the auction, in addition to advising firms Weil, Gotshal & Manges, and Evercore (EVR.N) , opens new tab over the alleged conflict of interest. "Normal folks would reasonably question the impartiality of advisers who have received $170 million in fees from the very party whose bids they are evaluating in an auction process," Michael Bowe, counsel for Gold Reserve, told the court. Court officer Robert Pincus in August switched his recommendation for the auction's winner to Elliott Investment Management's Amber Energy from Gold Reserve subsidiary Dalinar Energy, prompting objections from rival bidders and creditors. The court is set to hear final arguments on the competing bids on Tuesday. Gold Reserve is now arguing that Weil represented Elliott while the Citgo sale was ongoing, and that the two advising firms had relationships with some holders of Venezuelan bonds standing to receive auction proceeds under Amber's proposal. Lawyers representing Venezuela also filed a motion this month to disqualify Pincus and the two advising firms. Most fees identified by Gold Reserve belong to the advisers' relationship with bondholders, according to testimony presented in court. Elliott and its affiliates paid some $4.4 million to the advisers worldwide in a five-year period, a lawyer for Pincus said. Weil, Gotshal & Manges and Evercore did not reply to requests for comment. Andrew Rossman, counsel for Amber, said in the hearing that the idea that the company was favored in the process "is completely refuted by the facts." He added: "Amber's bids have been rejected four times. My client still bears the scars of the first rejection." Pincus' counsel said the sale process was run effectively to find a value-maximizing transaction. "We have no loyalty to any particular bidder," he said. Two of the creditors in the case, Crystallex and ConocoPhillips (COP.N) , opens new tab, also characterized the auction as fair and transparent. https://www.reuters.com/world/americas/gold-reserve-says-fees-totaling-170-million-jeopardize-citgo-auction-2025-10-20/

2025-10-20 18:58

PARIS, Oct 20 (Reuters) - One person has died after a tornado struck the Val d'Oise area just to the north of Paris, said French Interior Minister Laurent Nunez on Monday. Nunez said he was monitoring the situation closely, and added several others had been seriously injured as a result of the tornado. Sign up here. https://www.reuters.com/business/environment/tornado-hits-area-north-paris-leaving-one-person-dead-2025-10-20/

2025-10-20 15:33

CAIRO, Oct 20 (Reuters) - Egypt's economy is forecast to grow 4.6% in the fiscal year to next June as inflation and interest rates continue to fall and a weaker currency boosts exports, a Reuters poll showed on Monday. Growth in gross domestic product is projected to accelerate to 4.9% the following year and to 5.3% in 2027/28, according to the median estimate of 16 economists surveyed October 6-20. Sign up here. Growth slumped to 2.4% in 2023/24, but rebounded after March 2024, when Egypt sharply devalued its currency and raised interest rates as part of an $8 billion financial support package with the International Monetary Fund. The currency devaluation led to a surge in tourism and remittances from Egyptians working abroad. The economy was also boosted in February 2024 by a $35 billion real estate investment by Abu Dhabi at Ras El Hekma on Egypt's Mediterranean coast. This month the central bank said growth accelerated to 5.0% in the second quarter of 2025 from a year earlier, from 4.8% in the first quarter. Capital Economics said lower inflation and a looser monetary policy were boosting growth. "Egypt's economy is shifting into a higher gear as improved external competitiveness aids exports and the domestic manufacturing sector," it said in a note last month. The poll forecast average inflation, which has declined from a record high of 38.0% in September 2023, would drop to 12.3% in 2025/26, 10.2% in 2026/27 and 7.5% in 2027/28. Egypt's annual inflation slowed to 11.7% in September from 12.0% in August. Last week the government raised prices on a wide range of petroleum products by 10.5% to 12.9% as it tries to reduce its subsidy bill and ease its budget deficit. Interest rates are also predicted to ease, the poll found. The Central Bank of Egypt's overnight lending rate, now at 22.0%, is forecast to decline to 16.00% by the end of next June, 13.00% the following year and 11.25% in June 2028. The central bank has cut its benchmark rate four times this year for a cumulative drop of 625 basis points. Analysts expect the Egyptian pound to weaken to 49.85 to the dollar by the end of June 2026 from its current 47.50 pounds. It will further weaken to 52.00 as of the end of June 2027 and 54.00 at the end of June 2028, they predicted. (Other stories from the Reuters global economic poll) https://www.reuters.com/world/africa/egypts-economy-seen-growing-46-202526-inflation-eases-2025-10-20/

2025-10-20 14:53

Oct 20 (Reuters) - The Reserve Bank of India sold a net of $7.7 billion in the spot foreign exchange market in August, data released on Monday showed, as the central bank looked to support the Indian rupee that fell 0.68% in the month. The RBI said in its monthly bulletin that it did not purchase any dollars and sold $7.7 billion. In July, the central bank had sold a net of $2.54 billion in the spot market. Sign up here. The Indian rupee fell 0.68% in August to 88.1950 against the U.S. dollar, breaching the 88-per-dollar mark for the first time. The RBI's net outstanding forward sales stood at $53.36 billion as of end-August, compared with a net sale of $57.85 billion at the end of the previous month, the data showed. The central bank intervenes in the spot and forward markets to curb exchange rate volatility. On Monday, the Indian rupee settled slightly higher versus the U.S. dollar at 87.9275, with the RBI likely back in the market through state-run banks, reinforcing support for the currency near the 88 per dollar level. https://www.reuters.com/world/india/india-cenbank-sold-net-77-billion-august-arrest-rupees-fall-bulletin-shows-2025-10-20/