2024-08-26 20:31

At least 7 killed in Russian missile, drone attack National power grid targeted in biggest Russian strike Outages of electricity and water supply reported Russia says 'high precision' weapons used in attack KYIV, Aug 26 (Reuters) - Russia attacked Ukraine with more than 200 missiles and drones on Monday, killing seven people and striking energy facilities nationwide, Kyiv said, while neighbouring NATO member Poland reported a drone had probably entered its airspace. Power cuts and water supply outages were reported in many areas, including parts of Kyiv, as officials said the attack - 2-1/2 years since the full-scale invasion - targeted power or other critical infrastructure across the country. Russia stepped up its strikes on the Ukrainian power grid in March in what Kyiv has said looked like a concerted effort to degrade the system ahead of next winter when people need electricity and heating most. The air force downed 102 out of 127 incoming missiles and 99 out of 109 drones, Air Force Commander Mykola Oleshchuk said on Telegram, describing the attack from the air, ground and sea as "the most massive" of the war. According to Prime Minister Denys Shmyhal, 15 regions sustained damage. President Volodymyr Zelenskiy said there was "a lot of damage in the energy sector". U.S. President Joe Biden condemned , opens new tab Russia's strikes as "outrageous." In a statement on Monday, he added that Washington will continue surging energy equipment to Ukraine to repair its systems and to support Ukraine's energy grid. Zelenskiy said he had discussed Ukraine's response to the attack with his top commander: "We are preparing it." Russia's defence ministry said its forces used high precision weapons to strike important energy infrastructure in Ukraine which it said supported the military-industrial complex. It listed power substations, gas compressor stations and storage sites for aircraft weapons. Ukraine has claimed new ground in a major cross-border incursion into Russia's western Kursk region while Russian forces steadily have inched forward in Ukraine's east, closing in on the transport hub of Pokrovsk. After meeting top officials, Zelenskiy said a decision had been taken "further strengthen" the Pokrovsk front, which saw at least 56 combat clashes on Monday, according to the military. POLISH AIRSPACE Poland said a search was underway after an "object" entered its airspace and possibly landed on Polish territory. "Most likely it was a drone and we assume so, because the trajectory of the flight and the speed indicate that it was definitely not a missile," Jacek Goryszewski, spokesperson for the Polish army's operational command, told Reuters. Two Russian drones crossed the border into Belarus, Ukraine's air force commander said. Top Kyiv officials again urged their allies and arms suppliers to allow long-range strikes into Russia. Zelenskiy also redoubled his call for allies to join the country in shooting down missiles and drones over Ukrainian airspace. Ukraine had no powerful long-range weapons at the start of the invasion, but has since developed many models of long-range attack drone and used them to hit targets deep inside Russia, ranging from oil refineries to military airfields. Over the weekend, Zelenskiy said Ukraine had developed a new "drone missile" that had been used to attack Russia and was more powerful and faster than other hardware in Kyiv's arsenal. DAMAGED FACILITIES At least 47 people were injured, including four children, emergency services said. The regions that reported strikes on power or critical infrastructure included Volyn and Rivne in the northwest, Khmelnytskyi, Lviv and Ivano-Frankivsk in the west, Zhytomyr in the north, Dnipropetrovsk, Kirovohrad and Vinnytsia in central Ukraine, Zaporizhzhia in the southeast and Odesa in the south. Zelenskiy said some civilian facilities were attacked with cluster munitions. Neighbouring Moldova, whose grid is linked to that of Ukraine, reported small disruptions to its power network. Ukraine's foreign ministry official said a hydropower plant in the Kyiv region had been targeted. A video posted on social media and verified by Reuters showed a damaged dam and a fire after an apparent strike at a plant. A separate clip, also verified, showed a missile hitting a water reservoir. In the northeastern Sumy region, from where Ukraine launched its incursion into Russia on Aug. 6, authorities said a railway infrastructure facility had been struck, but did not say which one or give further details. A 69-year-old man in the Dnipropetrovsk region and a farmer in the Zaporizhzhia region were among at least seven people confirmed dead, local officials said. The others were in the regions of Kharkiv, Zhytomyr and Volyn. In Lutsk, an apartment block was damaged, the mayor said after reporting explosions. Blasts also shook central Kyiv and air defences engaged incoming targets on the outskirts. At least 11 TU-95 strategic bombers were used during the attack, the air force said. Both Russia and Ukraine deny deliberately targeting civilians. Each says its attacks are aimed at destroying infrastructure critical to the other's war effort. Sign up here. https://www.reuters.com/world/europe/russia-launches-drone-attack-kyiv-ukraines-military-says-2024-08-26/

2024-08-26 19:50

Aug 26 (Reuters) - U.S. power grid operator Southwest Power Pool (SPP) on Monday issued an Energy Emergency Alert (EEA1) due to high demand as consumers crank up their air conditioners to escape a brutal heat wave. In addition, SPP said the grid had less power resources available due to plant outages and low output from variable energy resources like wind and solar. "The declaration of an EEA1 does not require the public to conserve energy and does not indicate that SPP will be directing controlled service outages," SPP said. SPP is a grid operator for 14 states in the Midwest and West. SPP said that an EEA1 is an indication that while the grid operator has enough generation available to meet demand and fulfill its reserve obligations, conditions exist that could put reserves at risk if the situation worsens. EEA1 is the initial level of energy emergency alert. An EEA2 would be activated if SPP could no longer meet expected energy reserve requirements. Sign up here. https://www.reuters.com/business/energy/spp-issues-energy-emergency-alert-1-due-high-temperatures-2024-08-26/

2024-08-26 19:38

Flooding impacts homes of about 50,000 people, UN says Up to 200 people missing, according to one responder Dam was main water source for Port Sudan, now threatened with thirst Sudan's infrastructure neglected due to ongoing conflict ARBAAT, Sudan, Aug 26 (Reuters) - Surging waters have burst through a dam, wiped out at least 20 villages and left at least 30 people dead but probably many more in eastern Sudan, the United Nations said on Monday, devastating a region already reeling from months of civil war. Torrential rains caused floods that overwhelmed the Arbaat Dam on Sunday just 40 km (25 miles) north of Port Sudan, the de facto national capital and base for the government, diplomats, aid agencies and hundreds of thousands of displaced people. "The area is unrecognisable. The electricity and water pipes are destroyed," Omar Eissa Haroun, head of the water authority for Red Sea state, said in a WhatsApp message to staff. One first responder said that between 150 and 200 people were missing. He said he had seen the bodies of gold miners and pieces of their equipment wrecked in the deluge, and likened the disaster to the devastation in the eastern Libyan city of Derna in September last year when storm waters burst dams, swept away buildings and killed thousands. On the road to Arbaat on Monday a Reuters reporter saw people burying a man and covering his grave with driftwood to try to prevent it from being washed away in mudslides. The homes of about 50,000 people were impacted by the flooding, the United Nations said, citing local authorities, adding that the number only accounted for the area west of the dam as the area east was inaccessible. The dam was the main source of water for Port Sudan, which is home to the country's main Red Sea port and working airport, and receives most of the country's much-needed aid deliveries. "The city is threatened with thirst in the coming days," the Sudanese Environmentalists Association said in a statement. CRUMBLING INFRASTRUCTURE Officials said the dam had started crumbling and silt had been building during days of heavy rain that had come much earlier than usual. Sudan's dams, roads and bridges were already in disrepair before the war between the Sudanese army and the paramilitary Rapid Forces began in April 2023. Both sides have since funnelled the bulk of their resources into the conflict, leaving infrastructure badly neglected. Some people had fled their flooded homes and headed to the mountains where they were now stranded, the health ministry said. On Monday, the government's rainy season taskforce said 132 people had been killed in floods across the country, up from 68 two weeks ago. At least 118,000 people have been displaced by the rains this year, according to United Nations agencies. The conflict in Sudan began when competition between the army and the RSF, who had previously shared power after staging a coup, flared into open warfare. The two sides had been seeking to protect their power and extensive economic interests as the international community promoted a plan for a transition towards civilian rule. Overlapping efforts in pursuit of a ceasefire, including Saudi- and U.S.-led talks in Jeddah, have not eased the fighting and half of the 50 million population lack sufficient food. Sign up here. https://www.reuters.com/world/africa/dozens-feared-dead-after-dam-bursts-eastern-sudan-2024-08-26/

2024-08-26 19:18

MARL, Germany ,Aug 26 (Reuters) - German Chancellor Olaf Scholz called for a pragmatic approach to toxic "forever chemicals" found in many household and everyday items during a visit to an Evonik (EVKn.DE) , opens new tab site at the Marl Chemical Park on Monday. "In the European Union, Germany will push for a pragmatic approach that does not hinder Germany's industrial development ... but promotes it," Scholz told reporters. Forever chemicals, also known as PFAS substances, are used in thousands of products and machines, including drugs, cars, textiles and wind turbines due to their long-term resistance to extreme temperatures and corrosion. "The chemicals are indispensable for many processes in the modern chemical industry and also for renewable energies," Scholz said. Evonik CEO Christian Kullman called the chancellor's position a "clear turn towards the chemical industry". The European Commission has been planning to allow exemptions for forever chemicals' use to continue in certain sectors to protect key industries. The chemical industry in Germany - the largest in Europe - has long been suffering from weak demand and high production. Despite signs of recovery, the German chemical association VCI does not yet see a sustainable turnaround for the sector. Sign up here. https://www.reuters.com/markets/commodities/germanys-scholz-calls-pragmatic-approach-forever-chemicals-2024-08-26/

2024-08-26 18:10

Investors focus on economic data to gauge soft landing Labor market data crucial for future rate cut expectations September is traditionally the weakest month for S&P 500 performance Aug 26 (Reuters) - With interest rate cuts virtually locked in, investors are ramping up their focus on economic data over the next few months as they game out whether the “soft landing” narrative that has helped drive U.S. stocks in 2024 can continue. Federal Reserve Chair Jerome Powell on Friday said the “time has come” to begin lowering interest rates - a more dovish message than many investors had believed they would hear at the central bank’s annual conference in Jackson Hole, Wyoming. That process will likely begin next month, with a 25 basis-point cut at the Fed’s monetary policy meeting on Sept. 17-18. The comments are far from an all-clear signal. With the S&P 500 (.SPX) , opens new tab up 18% on the year and equities richly valued, market participants will need to see continued evidence that the economy is gliding to a soft landing, where growth remains resilient while inflation cools. "What the market wanted was to hear that the rate-cutting cycle is starting," said Alessio de Longis, senior portfolio manager and head of investments at Invesco Solutions. However, “is the Fed telling us that they're actually worried about the economy now? And if that is the case, maybe the excitement about the cutting cycle should take a different perspective." History shows that stocks tend to perform far better when rate cuts come against a background of resilient growth instead of during a sharp economic slowdown. Since 1970, the S&P 500 has climbed an average of 18% one year after the first rate cut in non-recessionary periods, according to Evercore ISI strategists. In recession periods, the index climbed an average of just 2% a year following the first cut. Other important upcoming data includes two monthly inflation reports: the personal consumption expenditures price index on Aug. 30 and the consumer price index on Sept. 11. More signs of economic weakness could once again rattle stocks and shift expectations toward a 50 basis-point cut next month. Expectations for such a move were priced at around 35% on Friday afternoon, compared with about 29% before the speech, with the remaining expectations for a 25-bp cut, futures data showed. “The Fed is easing with the economy not particularly weak (and inflation still above target), and it has the potential to ease substantially in response to any acute weakness,” wrote Rick Rieder, BlackRock’s chief investment officer of global fixed income, in a note on Friday. Quincy Krosby, chief global strategist at LPL Financial, said a key factor for stocks is whether rate cuts are coming because inflation is moderating or because of weakening in the labor market. "The market wants a rate-cutting cycle introduced because inflation is coming down," Krosby said. "The question remains as to whether or not we see more deterioration in the labor market.” Encouraging data could also help bolster stocks in a period that some expect could bring turbulent trading. September is historically the weakest month for stock performance, with the S&P 500 averaging a 0.78% decline since World War Two, according to data from CFRA. Elevated stock valuations may also make investors less willing to hold on to equities if bad news hits. The forward price-to-earnings ratio for the S&P 500 is at 21, up from 19.6 in early August, according to LSEG Datastream. The index's long-term average is 15.7. A tight presidential race between Vice President Kamala Harris and former President Donald Trump may also stir uncertainty between now and the Nov. 5 election. “The longer-term trends in stocks are rock-solid and any weakness is an opportunity to add exposure,” said Andre Bakhos, managing member at Ingenium Analytics LLC. In the shorter term, “we're going to get ... choppy, erratic, volatile moves because no one really knows what happens now that he has (Powell) shown his hand.” Sign up here. https://www.reuters.com/markets/rates-bonds/us-rate-cuts-near-economic-soft-landing-odds-could-dictate-stock-performance-2024-08-26/

2024-08-26 17:27

Canadian dollar gains 0.3% against the greenback Touches its strongest level since March 21 at 1.3464 Price of U.S. oil increases 3.2% Bond yields rise across the curve TORONTO, Aug 26 (Reuters) - The Canadian dollar strengthened to a five-month high against its U.S. counterpart on Monday as oil prices rose and major railroad operators focused on restoring service, after a work stoppage that threatened to disrupt the economy ended. The loonie was trading 0.3% higher at 1.3470 to the U.S. dollar, or 74.24 U.S. cents, after touching its strongest intraday level since March 21 at 1.3464. "The Canadian dollar continues to perform well in the aftermath of USD-CAD breaking and closing below strong support at 1.3590 on Friday," said George Davis, chief technical strategist at RBC Capital Markets. The currency was up 0.8% on Friday, its biggest advance this year, as Federal Reserve Chair Jerome Powell signaled the start of interest rate cuts in the U.S. The oil rally has added to support for the currency, Davis said. U.S. crude oil futures were up 3.2% at $77.25 a barrel as supply concerns sharpened on reports of escalating conflict in the Middle East as well as production cuts in Libya. Oil is one of Canada's major exports. The Canada Industrial Relations Board ordered on Saturday a halt to work stoppages at the country's two largest railways, signaling an end to an unprecedented service disruption. Speculators have cut their bearish bets on the Canadian dollar for a third straight week, data from the U.S. Commodity Futures Trading Commission showed on Friday. As of Aug. 20, net short positions had decreased to 164,410 contracts from 179,611 in the prior week. Canadian government bond yields moved higher across the curve. The 10-year was up 2.1 basis points at 3.054% but staying within its recent range. Sign up here. https://www.reuters.com/markets/currencies/canadian-dollar-strengthens-5-month-high-oil-rallies-2024-08-26/