Financial News from Reuters

  • Funds feel heat of coal and tar divestment drive Reuters - 43 minutes ago

    For Rivka Micklewaite and fellow students, securing a pledge this week from Oxford University to avoid direct investments in companies producing coal or tar sands is just the beginning. Getting that commitment involved a two-year campaign during which they staged a "marriage" between the 900-year-old university and "Big Oil" before breaking it up, to symbolise the need to end investment in fossil fuels, Micklewaite said. "The campaign is definitely going to continue," she told Reuters, adding that full divestment is her aim for the 3.8 billion pounds ($6 billion) in university endowment funds.

  • Varoufakis says Greece has made strides at reaching deal with lenders Reuters - 2 hours 17 minutes ago

    Greece has made "enormous strides" at reaching a deal with its international lenders to avert bankruptcy, Greek Finance Minister Yanis Varoufakis said on Sunday. "It is now up to the institutions ...

  • Greece will not make June IMF repayment: interior minister Reuters - 2 hours 34 minutes ago
    Greece will not make June IMF repayment: interior minister

    Greece will not make a debt repayment to the International Monetary Fund due next month as it does not have the money, the country's interior minister said on Sunday. "The four installments for the ...

  • G7 finance ministers to address faltering global growth Reuters - 2 hours 56 minutes ago
    G7 finance ministers to address faltering global growth

    Figures due on Friday from the United States that will almost certainly show the world's biggest economy contracted last quarter are also likely to feature. "With the negotiations between Greece and the rest of the euro area at an impasse, an impatient German Chancellor Merkel has warned that an agreement must be reached before the end of the month," said Thomas Costerg, senior economist at Standard Chartered. Greece cannot make a payment to the International Monetary Fund due on June 5 unless foreign lenders disburse more aid, a senior ruling party lawmaker said on Wednesday, the latest warning from Athens it is on the verge of default.

  • Iran says OPEC unlikely to change output ceiling: Mehr news agency Reuters - 3 hours ago
    Iran says OPEC unlikely to change output ceiling: Mehr news agency

    OPEC is unlikely to change its production ceiling when the group meets in June, Iran's Oil Minister Bijan Zanganeh said on Sunday, according to the semi-official Mehr news agency. "Lowering OPEC's production ceiling requires consensus between all members ... under current conditions it seems unlikely that the OPEC production ceiling will change," Zanganeh was quoted as saying. Last month, Zanganeh said the producing group should cut its target daily crude production by at least 5 percent, or approximately 1.5 million barrels per day.

  • Exporters taste credit after Portugal's long lending drought Reuters - 4 hours ago

    In Portugal, getting a loan is still harder than in almost any other country in the eurozone. The country has been at the sharp end of Europe's credit crunch during the region's debt crisis and loans have contracted non-stop since 2010. Unlike in Spain, Italy or even Greece, credit to companies is still shrinking, but thanks to money printing by the European Central Bank (ECB), it may now be stabilising, with loans to exporters on the rise.

  • Renault in Turkey offers concessions to striking workers Reuters - 4 hours ago

    The Turkish arm of French carmaker Renault on Saturday offered concessions including a cash lump sum to striking workers if they return to work. Production at the company's joint venture Oyak Renault has been halted for a week in a dispute with workers over pay and working conditions, which has also affected other producers in the northwest city of Bursa, including Tofas and Ford unit Ford Otosan. In a statement on Saturday, Oyak Renault said workers would not face disciplinary action, and would receive a cash payment of 1000 Turkish lira ($370) if production resumed at midnight on Monday.

  • Fiat Chrysler CEO approached GM about a merger, was rebuffed: NYT Reuters - 8 hours ago
    Fiat Chrysler CEO approached GM about a merger, was rebuffed: NYT

    Quoting two people with knowledge of the email, the Times said it detailed how global carmakers needed to consolidate to save money and suggested a merged GM and Fiat Chrysler would cut billions of dollars in costs and create an automotive giant. Reuters first reported on April 13 that Marchionne, who leads the world's seventh-largest carmaker, was contemplating a super merger, possibly in the United States, to plug his company's weaknesses and cement his legacy before stepping down in early 2019.

  • Daimler and Qualcomm to develop in-car tech, wireless charging Reuters - 8 hours ago
    Daimler and Qualcomm to develop in-car tech, wireless charging

    Carmaker Daimler on Saturday announced a partnership with mobile technologies company Qualcomm Inc. to explore wireless recharging of mobile phones in cars as well as recharging of electric cars without cables. The move forms part of a broader push by Daimler, parent company of Mercedes-Benz, as well as rival German carmakers BMW and Audi to build their expertise in software and telecommunications to bolster their status as high-tech carmakers in an era when tightening emission rules force them to downsize engines, once a mainstay of profit. In a joint statement, Daimler and Qualcomm said they were assessing the application of wireless technology to charge their electric vehicles (EV) and plug-in hybrid EVs without ever having to plug them in.

  • ECB's Draghi warns divergence a threat to euro Reuters - 18 hours ago

    Stark structural differences between countries in the euro zone could unravel the currency union, European Central Bank President Mario Draghi warned on Saturday. Draghi's blunt remarks address the widening rift between countries such as Germany, which seeks to balance its spending against income, and heavily-indebted Greece, which resists economic reform. "In a monetary union you can't afford to have large and increasing structural divergences between countries.

  • Greek anti-establishment protesters torch bus, clash with police Reuters - 19 hours ago

    Around 40 hooded anti-establishment protesters threw petrol bombs and stones at riot police in central Athens on Saturday, setting fire to a trolley bus. Police fired teargas to try and control the crowd outside Athens Polytechnic University, near the central Exarchia district, a Bohemian quarter popular with artists and left-wing intellectuals. Last month anti-establishment protesters occupied several public buildings and briefly entered the grounds of parliament, calling for the release of jailed members of a Marxist group.

  • Peru orders state of emergency to quell deadly anti-mining protests Reuters - 19 hours ago

    Peru on Saturday instituted a 60-day state of emergency in a mineral-rich region roiled by deadly protests against Southern Copper Corp's stalled $1.4 billion Tia Maria project. The emergency state in nine districts in the southern region of Arequipa suspends civil liberties, allowing police and troops to enforce curfews and order an end to two months of protests that led Southern Copper to formally put the project on hold last week. "The national police with the backing of the armed forces will take charge of keeping public order," Prime Minister Pedro Cateriano said in a televised news conference late on Friday.

  • ECB's Draghi says divergence could threaten monetary union Reuters - 20 hours ago

    Structural divergence between countries in the euro zone could become explosive and even threaten the future of the currency, the European Central Bank's president said on Saturday. "In a monetary union you can't afford to have large and increasing structural divergences between countries, they tend to become explosive," Mario Draghi told an audience of academics and central bankers. "Therefore, they are going to threaten the existence of the union, the monetary union," he said.

  • Schaeuble: no alternatives to Greece fulfilling reform vows Reuters - 20 hours ago

    German Finance Minister Wolfgang Schaeuble has said there is no need to consider disbursing more aid to Greece because Athens has already promised reforms and must tackle the problem itself. "There's no getting around that it's an issue for the government in Athens," Schaeuble told Deutschlandfunk radio, according to excerpts of the interview released on Saturday. In an interview with Reuters last week, Schaeuble said such a payment would contravene an agreement between the Eurogroup of euro zone finance ministers and Greece on Feb. 20, when Athens was granted a four-month extension of its rescue package in return for promising economic reforms.

  • Solarworld wants duties on Chinese solar goods in U.S. extended - magazine Reuters - 20 hours ago

    German solar manufacturer SolarWorld will apply to the United States for an extension of duties on Chinese panel imports that are due to end this year, weekly Euro am Sonntag said. Chief Executive Frank Asbeck justified his intention by saying Chinese panel makers would still receive unfair state subsidies, according to the magazine. It was based on this reasoning that the German solar energy pioneer succeeded in getting the duties imposed in the first place.

  • Iran likely to abolish fuel subsidies - government adviser Reuters - 20 hours ago

    Iran is likely to abolish subsidised fuel allowances for motorists, an Oil Ministry adviser said on Saturday, in a move that will cut state spending but could also drive inflation and cause protests. The government is trying to curb subsidies that have led to profligate energy consumption and put a strain on public finances, already squeezed by international sanctions and last year's drop in oil prices. "The issue of fuel rations has not yet been decided, but it is very likely that no ration will be set and private cars from now on will get fuel at market rates," Akbar Naematollahi was quoted as saying by the Tasnim news agency.

  • Bank of Japan's Kuroda says expects inflation to accelerate in 2015 Reuters - 20 hours ago

    The governor of the Bank of Japan said on Saturday that he expected inflation to accelerate in 2015 at to reach 2 percent in or around the first six months of next year. "We expect inflation rate to start to accelerate in the second half of fiscal 2015 and reach around 2 percent in or around the first half of fiscal 2016," Bank of Japan Governor Haruhiko Kuroda told an audience of central bankers and academics.

  • Russia links gas discount to Ukraine with debt repayments - agencies Reuters - 21 hours ago

    Russia's decision on an extension of a gas discount to Ukraine may take into account Ukraine's position on repayment of debts, Russian energy minister Alexander Novak said on Saturday according to comments cited in Russian news agencies. Earlier Novak said Ukraine had requested the extension of a gas price discount, in effect until the end of the second quarter, until the end of the year.

  • Greek PM says on final stretch toward deal with lenders Reuters - 21 hours ago
    Greek PM says on final stretch toward deal with lenders

    Greek Prime Minister Alexis Tsipras said on Saturday his government was on the final stretch of negotiations with its international lenders on a cash-for-reforms deal that would not involve further pension cuts and harsh austerity. After four months of talks with its euro zone partners and the International Monetary Fund, Athens is scrambling for a deal that could release up to 7.2 billion euros ($7.9 billion) in remaining aid to avert bankruptcy as it remains shut out of bond markets. "We are on the final stretch of a painful and tough period shaped by the government's negotiations with the institutions," Tsipras, back from an EU summit in Riga, told his party's central committee.

  • Greek PM says on final stretch towards deal with lenders Reuters - 21 hours ago

    Greek Prime Minister Alexis Tsipras said on Saturday his government was on the final stretch of negotiations with its international lenders on a cash-for-reforms deal that would not involve further pension cuts and harsh austerity. After four months of talks with its euro zone partners and the International Monetary Fund, Athens is scrambling for a deal that could release up to 7.2 billion euros ($7.9 billion) in remaining aid to avert bankruptcy as it remains shut out of bond markets. "We are on the final stretch of a painful and tough period shaped by the government's negotiations with the institutions," Tsipras, back from an EU summit in Riga, told his party's central committee.

  • Fintech takes on 135 mln euro commitment in Monte Paschi cash call Reuters - 21 hours ago

    Fintech Advisory, a leading shareholder in Monte dei Paschi di Siena, has committed to buy unsold shares in the Italian bank's 3 billion euro ($3.3 billion) cash call for up to 135 million euros, a document showed. The U.S. fund headed by Mexican billionaire David Martinez bought its stake ahead of last year's 5 billion euro capital increase and took part in it. Shareholders who do not buy in the upcoming share issue will see their stake diluted by 91 percent.

  • UPDATE 1-U.S. bird flu causes egg shortage, emergency measures Reuters - 22 hours ago

    CHICAGO/NEW YORK, May 22 (Reuters) - As a virulent avian influenza outbreak continues to spread across the Midwestern United States, some egg-dependent companies are contemplating drastic steps - importing eggs from overseas or looking to egg alternatives. A spokeswoman for Archer Daniels Midland Co said that as egg supplies tighten and prices rise, the food processing and commodities company has received numerous inquiries from manufacturers about the plant-based egg substitutes it makes. With a strong dollar bolstering the buying power of U.S. importers, some companies are scouting for egg supplies abroad.

  • Ukraine seeks Russian gas discount extension - RIA news agency Reuters - 23 hours ago

    Ukraine has asked Russia for an extension of a discount on the price of gas until the end of the year, Russia's Energy Minister Alexander Novak said on Saturday, RIA news agency reported. "They requested it long ago, they want (the extension) until the end of the year," Novak was quoted as saying. In March Russia extended a discount worth $100 per thousand cubic metres until the end of the second quarter.

  • Russia to adopt tough position if Ukraine defaults - PM Medvedev Reuters - 23 hours ago

    Russia would adopt a tough position if Ukraine decided not to pay off debts owed to Moscow by its previous government, Russian Prime Minister Dmitry Medvedev said in an interview broadcast by Russian TV on Saturday. Russia has spoken out against a new Ukrainian law allowing a moratorium on foreign debt repayments, threatening to take Ukraine to court if it fails to repay $3 billion that Russia lent it in 2013. In his interview, Medvedev called the new law "contradictory".

  • Germany's Merck expects drug division to drive growth-Euro am Sonntag Reuters - Sat, May 23, 2015 11:07 PM NZST

    Germany's Merck KGaA expects sales to grow by around 5 percent in its core operations over coming years, helped by its pipeline of prospective new drugs, its chief executive was quoted saying by weekly Euro am Sonntag. Merck, which makes drugs, chemicals and laboratory supplies, posted group sales of 11.3 billion euros ($12.5 billion) in 2014, up 5.5 percent from the previous year. After the $17 billion acquisition of Sigma-Aldrich Corp , expected to be wrapped up around mid-year, the group aims to focus on organic or self-generated growth, CEO Karl-Ludwig Kley told the paper, adding he expects the drug pipeline to become the group's main driver.

  • Bank of England confirms EU exit research after email misfire Reuters - Sat, May 23, 2015 10:54 PM NZST
    Bank of England confirms EU exit research after email misfire

    The Bank of England plans to assess the implications of a possible British exit from the European Union, it said in a statement, confirming an email it inadvertently sent to a newspaper about the supposedly confidential research project. The Guardian reported that an aide to a senior Bank official said in the email the project should be kept secret from most BoE staff and any journalists asking about it should be told the Bank was looking at a broad range of European economic issues. British Prime Minister David Cameron, who was re-elected on May 7, has pledged to reshape Britain's ties with the EU before holding an in-out membership referendum by the end of 2017.

  • ECB's Draghi urges euro zone to unite for economic reform Reuters - Sat, May 23, 2015 10:00 PM NZST
    ECB's Draghi urges euro zone to unite for economic reform

    European Central Bank President Mario Draghi has urged euro zone countries to unite in the task of reforming the bloc's economies, saying sharing sovereignty was an opportunity and not a threat. Draghi is pushing governments not to waste the time ECB money printing has bought them. In a message read to attendees at a conference in Rome, he said countries should act quickly on recommendations the central bank has made to complete economic and monetary union, many of which have not been carried out.

  • South Korea seeks deeper cooperation with Japan on China-led AIIB Reuters - Sat, May 23, 2015 7:43 PM NZST
    South Korea seeks deeper cooperation with Japan on China-led AIIB

    South Korea called on Saturday for deeper cooperation with Japan on a China-led development bank, while Japan remained cautious about the lender, which it and ally the United States have held back from joining. A meeting between the Japanese and South Korean finance ministers was "an impetus to deepen cooperative relations" regarding the Asian Infrastructure Investment Bank (AIIB), South Korea's Choi Kyung-hwan told host Taro Aso.

  • Pentagon plans long-range missile defense radar in Alaska Reuters - Sat, May 23, 2015 5:33 PM NZST

    The U.S. Defense Department on Friday announced plans to deploy a new long-range radar in central Alaska that would help the U.S. missile defense system better discern potential enemy missiles launched by Iran or North Korea and increase the capacity of interceptors in the ground in Alaska and California. Raytheon Co, Northrop Grumman Corp and Lockheed Martin Corp are competing to build the new radar, which is expected to cost just under $1 billion. Missile Defense Agency Director James Syring and other senior Pentagon officials told Congress in March that the new radar was critically important to help defend against the increasing capabilities by North Korea and Iran to launch missiles at the United States.

  • U.S. Senate passes two-month transportation spending patch Reuters - Sat, May 23, 2015 5:28 PM NZST

    The U.S. Senate early on Saturday passed a two-month spending extension for federal transportation projects that puts off a decision on long-term funding for road, bridge and rail transit projects until the height of the summer construction season. The unanimous voice vote sends the measure to President Barack Obama for signing into law before current transportation spending authority expires on May 31. The White House said Obama would sign the short-term fix if work continues towards a long-term bill.

  • UPDATE 1-Pentagon plans long-range missile defense radar in Alaska Reuters - Sat, May 23, 2015 4:56 PM NZST

    The U.S. Defense Department on Friday announced plans to deploy a new long-range radar in central Alaska that would help the U.S. missile defense system better discern potential enemy missiles launched by Iran or North Korea and increase the capacity of interceptors in the ground in Alaska and California. Raytheon Co, Northrop Grumman Corp and Lockheed Martin Corp are competing to build the new radar, which is expected to cost just under $1 billion. It said the new long-range discrimination radar (LRDR) will help the multi-layered U.S. ballistic missile defense system better address potential countermeasures that could be launched by potential foe to confuse U.S. defensive systems.

  • Yellen tone suggests choppiness for markets ahead Reuters - Sat, May 23, 2015 2:35 PM NZST
    Yellen tone suggests choppiness for markets ahead

    U.S. stock investors have been enjoying an extended period of low volatility and steady gains, but with the Federal Reserve on track to raise interest rates this year and major indexes near records, the market could get a bit choppier in coming weeks. Fed Chair Janet Yellen on Friday said she expected the U.S. central bank to raise rates in 2015, though the process was expected to be gradual, with the timing of the first hike dependent on the strength of economic data. Yellen's comments kept the likelihood of a September rate increase high.

  • Adult online dating site reports data security breach of member information Reuters - Sat, May 23, 2015 1:34 PM NZST

    AdultFriendFinder.com, part of Sunnyvale, California-based FriendFinder Networks Inc, said it had contacted law enforcement, including the FBI, and a private investigative team to review the incident. "FriendFinder Networks Inc. recently became aware of a potential data security incident," the company said in a statement on Friday. AdultFriendFinder bills itself as "the hottest dating, hookup and sex community." Members are asked a host of personal information, including marital or relationship status, sexual orientation and intimate interests.

  • U.S. Senate votes to grant Obama fast-track trade power Reuters - Sat, May 23, 2015 1:24 PM NZST

    President Barack Obama scored a major victory on Friday when the U.S. Senate voted to give him "fast-track" powers that would help wrap up negotiations on a 12-nation Pacific Rim trade deal central ...

  • BlackBerry cuts jobs worldwide as it consolidates businesses Reuters - Sat, May 23, 2015 1:23 PM NZST
    BlackBerry cuts jobs worldwide as it consolidates businesses

    BlackBerry, which reported a 16.8 percent fall in quarterly revenue in March, had about 6,225 full-time employees as of Feb. 2015, according to its website. The company is reallocating resources to capitalize on growth opportunities and achieve profitability across all its business segments, a company spokeswoman said in an e-mailed statement. The Waterloo, Ontario-based company last month said it was considering closing its offices in Sweden, a move that would result in the loss of up to 100 jobs.