2025-09-29 13:01
Sept 29 (Reuters) - Goldman Sachs on Monday upgraded its stance on global equities to "overweight" from "neutral" over the three-month horizon, citing improving economic momentum across regions, attractive valuations and growing support from monetary and fiscal policy. "We think that good earnings growth, Fed easing without a recession and global fiscal policy easing will continue to support equities," Goldman analysts said in a note. Sign up here. The analysts held their rating at "overweight" for the next 12 months. Global equities have surged to record highs recently, driven by optimism that the U.S. Federal Reserve has begun cutting interest rates early enough to stave off a recession. The MSCI World Index (.MIWO00000PUS) , opens new tab, which is dominated by U.S. stocks, has climbed roughly 35% since its April lows, rebounding from a selloff sparked by recession fears following President Donald Trump's 'Liberation Day' tariffs. Resilient corporate earnings and a more dovish Fed have prompted several brokerages to raise their year-end targets for the U.S. benchmark S&P 500 (.SPX) , opens new tab, with Goldman last week lifting its forecast to 6,800. Goldman notes that equities tend to perform well during late-cycle slowdowns when recession risks remain low and policy support is strong, as seen in historical rallies during the late 1990s and mid-1960s. However, the Wall Street brokerage downgraded its outlook on global credit to "underweight" from "neutral" for the next three months, citing late-cycle dynamics and stretched valuations as key headwinds. Goldman also downgraded cash to "underweight" over the 12-month horizon, warning that continued Fed easing is likely to push returns on cash even lower into next year. https://www.reuters.com/business/goldman-sachs-upgrades-global-equities-growth-optimism-policy-support-2025-09-29/
2025-09-29 12:44
ZURICH, Sept 29 (Reuters) - The Swiss National Bank, the Swiss Finance Ministry and the U.S. Treasury Department have reconfirmed that they do not target exchange rates for competitive purposes. In a joint statement, Switzerland and the U.S. both said they did not use exchange rates to win an unfair advantage or prevent adjustments to their balance of payments. Sign up here. A joint statement "confirms that foreign exchange market interventions are an important monetary policy instrument for the SNB in ensuring appropriate monetary conditions and thus meeting its statutory mandate with respect to price stability," the SNB said on Monday. The SNB has regularly denied being a currency manipulator after the United States added Switzerland to a list of countries being monitored for unfair currency and trade practice in June. UBS economist Maxime Botteron said the SNB had not intervened significantly in forex markets in May to July, after the franc remained steady against the euro. Although the dollar weakened considerably against the franc this year, this was part of a broader sell-off of the U.S currency, which was not considered undervalued and was a less important factor for Swiss inflation. SNB Chairman Martin Schlegel said last week that the central bank has held "intensive" consultations with U.S. authorities, stressing the bank was focused on its inflation target. "We never intervene in order to prevent adjustments in the current account balance or to give Swiss companies an unfair advantage," Schlegel told reporters. https://www.reuters.com/world/europe/swiss-national-bank-reconfirms-with-us-it-doesnt-seek-competitive-edge-via-forex-2025-09-29/
2025-09-29 12:32
BP's Tiber-Guadalupe project to produce 80,000 boed by 2030 US will account for just under half of BP output by 2030 TotalEnergies buys US onshore gas asset stake from Continental HOUSTON/LONDON, Sept 29 (Reuters) - European oil and gas majors BP (BP.L) , opens new tab and TotalEnergies (TTEF.PA) , opens new tab on Monday deepened their commitments to the United States, with BP approving a $5 billion offshore oil field and TotalEnergies buying into an onshore gas field. Higher investment in U.S. oil and gas production aligns with U.S. President Donald Trump's goal to capitalise on the country's hydrocarbon resources. Sign up here. BP, which currently produces around 2.3 million barrels of oil equivalent per day, is becoming increasingly reliant on the United States to shore up its oil and gas business following a strategic revamp announced in February to shift spending from renewables to hydrocarbons. INCREASING US EXPOSURE BP has vowed to increase its U.S. production to just over 1 million boed by the end of the decade, or just under half of its global target of 2.3 million to 2.5 million boed in that timeframe. Its $5 billion Tiber-Guadalupe project in the Gulf of Mexico, expected to begin production in 2030, will include a floating 80,000 boed platform to tap into an estimated 350 million boe in recoverable resources, BP said. BP is considering selling minority stakes in Tiber as well as another fully BP-owned Gulf of Mexico project, Kaskida, sources have told Reuters. French rival TotalEnergies said on Monday it would buy a 49% stake in Continental Resources' onshore gas fields in the U.S. state of Oklahoma, for an undisclosed sum. The assets will net it around 150 million standard cubic feet per day of gas by 2030, or about 26,000 boed, helping to secure access to low-cost upstream gas as the company signs deals to deliver the fuel via ship to mostly Asian clients. TotalEnergies is the largest buyer of U.S. liquefied natural gas, purchasing 10 million metric tons per year, but its own output in the United States is much smaller. Its U.S. upstream assets last year produced 93,000 boed, or about 3.8% of Total's global production, far behind its assets in Africa, Europe, the Middle East, Asia and Latin America. This is set to change as Total seeks to balance its U.S. LNG purchases with increasing its own gas production in the country. https://www.reuters.com/business/energy/wrapup-bp-total-deepen-commitments-us-with-major-projects-2025-09-29/
2025-09-29 12:22
Sept 29 (Reuters) - Barrick Mining (ABX.TO) , opens new tab appointed veteran executive Mark Hill as interim president and CEO on Monday following the sudden resignation of Mark Bristow, who led the Canadian miner for nearly seven years after its merger with Randgold Resources. Bristow, who became CEO in 2019 when Barrick acquired Randgold, oversaw integration of the two companies and steered the miner through a period of significant portfolio reshaping and debt reduction. Sign up here. "Disappointed to see him leave, he has been a fine leader," said Peter Letko, of the Letko Brosseau investment fund, one of Barrick's shareholders. Speaking in May, Bristow said the company had indicated he would stay in his current role until 2028, but added there was a succession program in place overseen by the board. Shares in Barrick, which owns 13 mining assets across Africa, Asia, Latin America, and North America, have lagged some rivals, rising by 37% since 2020 compared to a 110% climb in shares of fellow Canadian miner Agnico Eagle with gold prices also hitting record highs. Hill, who will also serve as group chief operating officer, takes charge immediately as the board begins a global search for a permanent chief executive with the help of an external firm. Known for his mercurial leadership style, Bristow's tenure at Barrick was focused on integrating tough assets that Barrick owned in some of the volatile regions of the world. But his biggest test came this year when Barrick's gold mine in Mali was taken over by the military government over alleged non-payment of taxes. Barrick had to write off $1 billion from its books over Mali. U.S.-listed shares of Barrick were down marginally at $34.36 in premarket trading on Monday. https://www.reuters.com/sustainability/boards-policy-regulation/barrick-names-mark-hill-interim-ceo-after-bristow-exit-2025-09-29/
2025-09-29 12:05
BRASILIA, Sept 29 (Reuters) - Outstanding bank lending in Brazil continued to lose momentum in August, central bank data showed on Monday, as high interest rates helped cool activity in Latin America's largest economy. Credit growth over the past 12 months slowed to 10.1% in August, down from 10.8% in July. Sign up here. The central bank projected last Thursday that annual loan growth would ease further, ending the year at 8.8%. While a steep slowdown from the 11.5% expansion seen in 2024, the forecast marked a slight upward revision from a previous estimate of 8.5%. "The pace of credit expansion has started to decline, partly in response to the more restrictive monetary policy cycle," the central bank said in its latest monetary policy report last week. Since September last year, the central bank has raised interest rates by a total of 450 basis points, taking the benchmark Selic rate to a nearly two-decade high of 15%. The rate was held steady at that level in the last two policy meetings. On a monthly basis, outstanding credit rose 0.5% in August from July. A broad measure of default rates on non-earmarked consumer and business loans rose to 5.4% from 5.2% the previous month, while average lending spreads widened to 32.3 percentage points from 31.8 points. https://www.reuters.com/business/finance/brazil-bank-lending-slows-further-august-tight-monetary-policy-bites-2025-09-29/
2025-09-29 11:51
WASHINGTON, Sept 29 (Reuters) - The United States is set to announce on Monday policies to try to boost the output of coal, the Interior Department said, as the Trump administration seeks to reverse the decline of the fuel's use. President Donald Trump in April signed executive orders to increase coal output, in one of his many actions that run counter to global efforts to cut carbon emissions. Sign up here. Coal-burning plants generated about 15% of U.S. electricity in 2024, a fall from 50% in 2000, according to the Energy Information Administration, as fracking and other drilling methods have hiked natural gas output. Solar and wind power growth has also cut coal use. The coal workforce has sunk to about 40,000 from 70,000 10 years ago. Secretary of the Interior Doug Burgum, Environmental Protection Agency Administrator Lee Zeldin, and an Energy Department official are scheduled to hold an event on coal at the Interior Department later on Monday. Chris Wright, the U.S. energy secretary, told Reuters last week he expects most of the nation's coal-fired power plants to delay retirement to help deliver electricity needed to fuel artificial intelligence. Last month, Wright extended his emergency order to keep a Michigan coal plant running, even though the plant's operator had been planning to shut permanently for economic reasons. Tom Pyle, president of the American Energy Alliance, predicted that 38 coal plants scheduled to close through 2028 would remain open, either on Trump orders or voluntarily. Analysts, however, have been skeptical about a long-term U.S. boost in the use of coal as the economics have shifted in favour of less carbon-intensive fuel. "Coal may see a temporary boost from regulatory relief, and some investors may profit in the short term," Frank Holmes, CEO and chief investment officer of U.S. Global Investors, wrote after Trump's orders. "But in the long run, I think the writing is on the wall." https://www.reuters.com/sustainability/climate-energy/trump-officials-announce-plan-boost-coal-output-2025-09-29/
