2024-09-06 07:21
TOKYO, Sept 6 (Reuters) - Japan's Toyota Motor (7203.T) , opens new tab has slashed its electric vehicle production plans for 2026 by a third, the Nikkei business daily reported, becoming the latest automaker to roll back electric car plans as EV sales momentum wanes. The world's biggest automaker now plans to build 1 million EVs in 2026, compared with the company's earlier announced sales target of 1.5 million, it said. The goal still, however, represents an ambitious undertaking for Toyota, which has put far more effort into developing hybrids and sold only about 104,000 EVs last year. EVs currently account for about 1% of its global sales. A spokesperson for Toyota was not immediately able to comment on the Nikkei report. Earlier this week, Swedish automaker Volvo Cars (VOLCARb.ST) , opens new tab scrapped its target of going all electric by 2030, saying it expects to still be offering some hybrid models in its lineup at that time. In the U.S., Ford (F.N) , opens new tab, General Motors (GM.N) , opens new tab and other car makers have delayed or cancelled new electric models to avoid spending heavily on vehicles that consumers are not buying as quickly as anticipated. Sign up here. https://www.reuters.com/business/autos-transportation/toyota-cut-2026-global-ev-production-by-around-third-1-mln-nikkei-reports-2024-09-06/
2024-09-06 07:14
NEW DELHI, Sept 6 (Reuters) - India is considering cutting the prices of petrol and diesel, broadcaster India Today TV said on Friday, citing sources. The finance ministry did not immediately respond to a request for comment on the report. Sign up here. https://www.reuters.com/world/india/india-considers-cutting-prices-petrol-diesel-india-today-says-2024-09-06/
2024-09-06 06:37
August US payrolls misses expectations Bullion earlier hit highest since Aug. 20 Sept 6 (Reuters) - Gold prices eased on Friday, retreating from near-record levels reached earlier in the session, after mixed U.S. jobs data cast doubts on the scale of interest-rate cut from the Federal Reserve later this month. Spot gold fell 0.8% to $2,495.86 per ounce by 1:59 p.m. ET (1759 GMT), having hit its highest since Aug. 20, when gold last scaled a record peak. U.S. gold futures settled 0.7% lower at $2,524.60. A Labor Department report showed non-farm payrolls rose by 142,000 in August, compared with estimates of 160,000, as per economists polled by Reuters. July numbers were also revised down to 89,000. However, the unemployment rate stood at 4.2%, in line with expectations, but down from 4.3% a month earlier. Gold paper traders are debating whether the Fed will cut 50 basis points or 25 basis points on Sept. 18 and the precious metal is reacting to it, said Aakash Doshi, head of commodities, North America at Citi Research. Traders currently see a 73% chance of a 25-basis-point (bp) reduction by the U.S. central bank this month and a 27% chance of a 50-bp cut, according to the CME FedWatch tool. Fed New York President John Williams said lowering rates soon will be about helping keep the job market balanced. Federal Reserve Governor Christopher Waller also said "the time has come" for the U.S. central bank to begin a series of interest rate cuts, adding that he is open-minded about the size and pace of those reductions. Lower interest rates reduce the opportunity cost of holding the zero-yield bullion. "We think the Fed is likely to cut more steeply, and that's when we think gold prices will build upside risk, and we'll start to see prices trading towards $2,700 as the year unfolds," said Standard Chartered analyst Suki Cooper. Elsewhere, spot silver fell 3.1% to $27.92. Platinum retreated 0.4% to $920.55 while palladium dropped 3.1% to $913.00. Sign up here. https://www.reuters.com/markets/commodities/gold-holds-below-1-week-high-ahead-us-jobs-data-heads-weekly-gain-2024-09-06/
2024-09-06 06:28
BEIJING, Sept 6 (Reuters) - China's customs has banned direct or indirect import of poultry and related products from Poland from Friday, due to the outbreak of the highly pathogenic avian influenza subtype H5N1. The agency said poultry products from Poland shipped on or after the announcement will be returned or destroyed while those shipped before will be quarantined and tested. Sign up here. https://www.reuters.com/world/china/china-customs-bars-poultry-products-poland-after-avian-flu-outbreak-2024-09-06/
2024-09-06 06:19
US non-farm payrolls up 142K vs 160k est., unemployment 4.2% Shares, oil sell off sharply while dollar rises Fed officials signal rate cuts ahead NEW YORK/LONDON, Sept 6 (Reuters) - MSCI's global equities gauge fell more than 1% on Friday and U.S. Treasury yields dropped as investors worried about the health of the economy after a mixed U.S. jobs report cemented expectations for the Federal Reserve to lower interest rates this month, but created uncertainty about the size of the cut. The Labor Department reported that U.S. employment increased less than expected in August while the jobless rate dropped in line with expectations to 4.2% from 4.3% in July, suggesting an orderly slowdown in the labor market. Nonfarm payrolls rose by 142,000 in August but fell short of the 160,000 growth economists polled by Reuters had expected while July numbers were revised down to 89,000 from 114,000. "The headline number of 142,000 would ordinarily be considered healthy, but this labor market is held together by duct tape and string," said Brian Jacobsen, chief economist at Annex Wealth Management, Menomonee Falls, Wisconsin. By Friday afternoon, traders were betting on a 73% probability the Fed would cut rates by 25 basis points this month versus 60% on Thursday, while bets for a 50 basis point cut fell to 27% from 40%, CME Group's FedWatch tool showed , opens new tab. Fed officials signaled they would start rate cuts at their meeting in two weeks, noting that a labor market cooling could accelerate into something more dire without a policy shift. The remarks were widely seen as endorsing a 25 basis point cut while leaving the door open to further and perhaps bigger moves should the job market keep slowing. "Could the Fed cut by 50 bps? Yes, but will they? No. They probably want to start with 25 and retain the option to increase that to 50 rather than just jump right into a 50,” said Jacobsen at Annex Wealth Management. Wall Street indexes closed sharply lower. They opened higher as investors digested the jobs report and then declined steadily as the day wore on. The Dow Jones Industrial Average (.DJI) , opens new tab fell 410.34 points, or 1.01%, to 40,345.41, the S&P 500 (.SPX) , opens new tab lost 94.99 points, or 1.73%, to 5,408.42 and the Nasdaq Composite (.IXIC) , opens new tab lost 436.83 points, or 2.55%, to 16,690.83. MSCI's gauge of stocks across the globe (.MIWD00000PUS) , opens new tab fell 10.79 points, or 1.33%, to 801.88. For the week, the index was showing a 3.9% decline, which would be its deepest since the week beginning July 29. Earlier, Europe's STOXX 600 (.STOXX) , opens new tab index closed down 1.1%. Germany's DAX index (.GDAXI) , opens new tab had closed down 1.5% earlier after data showed the country's industrial production fell 2.4% in July, compared with analyst expectations for a 0.3% drop. In the bond market, benchmark 10-year Treasury yields were lower after the payrolls report but managed to back away from a 15-month low hit earlier in the day. "The market's really struggling with this one because it's really in the middle of what could be used as a justification for either a 25 or 50 basis point rate cut," said Gennadiy Goldberg, head of U.S. rates strategy at TD Securities. The yield on benchmark U.S. 10-year notes fell 1.2 basis points to 3.721%, from 3.733% late on Thursday. The 2-year note yield, which typically moves in step with interest rate expectations, fell 8.9 basis points to 3.6627%, from 3.752% late on Thursday. A closely watched part of the U.S. Treasury yield curve measuring the gap between yields on two- and 10-year Treasury notes , seen as an indicator of economic expectations, was at a positive 5.8 basis points. In currencies, the dollar index rose in volatile trading with focus on the steady slowdown in the labor market suggesting more rate cuts after September. "A half-point rate cut at the central bank's September meeting remains unlikely, but today's release provided clear evidence of a sharp deterioration in labor market fundamentals, and will bolster bets on at least one jumbo-sized rate cut in the coming months," said Karl Schamotta, chief market strategist at payments company Corpay in Toronto. The dollar index , which measures the greenback against a basket of currencies including the yen and the euro, gained 0.14% to 101.18. The euro was down 0.21% at $1.1087. Against the Japanese yen , the dollar weakened 0.76% to 142.35. In energy markets, oil prices sold off more than 2% in their fifth straight day of declines as concerns around the weak U.S. jobs number outweighed price support from a delay to supply increases by OPEC+ producers. U.S. crude futures settled down 2.14% at $67.67 a barrel, at their lowest close since June 2023 while Brent ended the session at $71.06 per barrel, down 2.24%, for its lowest close since December 2021. In precious metals, gold prices sank from near-record levels earlier in the day. Spot gold lost 0.81% to $2,495.86 an ounce. U.S. gold futures fell 1.1% to $2,483.70 an ounce. Sign up here. https://www.reuters.com/markets/global-markets-wrapup-1-2024-09-06/
2024-09-06 06:05
BERLIN, Sept 6 (Reuters) - Germany's Environment Agency announced on Friday that it rejected carbon credits for 215,000 tons of CO2 emissions from oil companies due to suspected fraud involving climate projects in China. These projects were meant to help oil companies meet EU greenhouse gas reduction targets, which require them to make their fuel more eco-friendly. Usually, companies meet these targets by using plant-based biofuels or through "upstream emission reduction" (UER) projects. UER projects allow companies to earn credits by funding initiatives that cut emissions during oil production, like stopping gas flaring. The agency uncovered irregularities in eight climate projects in China that oil companies had financed to get CO2 credits. Concerns first arose over a year ago, when doubts surfaced about whether some of these projects actually existed or met the required standards. The issue has sparked criticism from biofuel producers, who argue they’ve been unfairly disadvantaged by the cheaper but questionable UER projects. Seven out of the eight applications for project approval have been withdrawn after legal and technical issues were pointed out. The agency is now reviewing 13 additional projects. These disputed carbon credits, which have been available since 2018, are expected to be phased out by 2025. Of the 21 total projects under review, only five have granted full approval for on-site inspections. The financial impact is still unclear, but experts warn that the costs of the issue could lead to higher fuel prices for consumers. Sign up here. https://www.reuters.com/business/energy/germany-blocks-co2-vouchers-oil-companies-over-fraud-concerns-china-2024-09-06/
