
BRICS, planes and beef in spotlight as Brazil's Lula visits Vietnam, sources say
HANOI, March 20 (Reuters) - Brazil's President Luiz Inacio Lula da Silva will visit Vietnam next week, bringing with him a business delegation including executives from planemaker Embraer and food giant JBS that are both in talks for possible deals in the Southeast Asian country, sources said.
Lula's second visit to Vietnam as president will take place as Vietnam, under pressure from the Trump administration to reduce its large trade surplus, is pledging to boost imports from the United States, including of farm products such as soybeans of which Brazil is a top exporter to the country.
Lula will travel to Vietnam on March 27-29 after visiting Japan, according to the Brazilian government.
Lula is expected to invite Vietnam to attend a BRICS summit in Brazil in July, a Brazilian official said, noting Vietnam was invited last year to become a BRICS partner but has so far not taken an official position on the matter.
Vietnam's foreign ministry did not reply to a request for comment. Brazil's embassy to Vietnam declined to comment.
The two countries are expected to agree on an action plan on defence, agriculture and energy, which could boost cooperation on ethanol, a fuel of which Brazil is a major global producer, the Brazilian official said.
Brazil wants also to increase exports to Vietnam and is asking Hanoi to authorise imports of its beef, the official said confirming earlier reports on Vietnamese state media.
BUSINESS TALKS
The opening of the Vietnamese market for Brazilian beef is a precondition for an investment that Brazil's food giant JBS (JBSS3.SA), opens new tab is considering in Vietnam, three people briefed about the talks, including the Brazilian official, told Reuters.
The company is studying building a meat-processing hub in northern Vietnam, its first plant in Asia, with a possible investment of tens of millions of dollars, the three people said, declining to be named because the information was not public.
JBS declined to comment.
Separately, Embraer (EMBR3.SA), opens new tab is also in talks for the possible sale of ten E190 narrow-body jets to flag carrier Vietnam Airlines, the Brazilian official said.
It is also trying to sell C-390 military transport planes, with a possible showcase flight in Vietnam in May, the official and an industry source said.
Embraer declined to comment. Vietnam Airlines did not reply to a request for comment.
Hanoi is in talks with the U.S. to buy C-130 military transport planes produced by Lockheed Martin (LMT.N), opens new tab.
Vietnam is one of the world's fastest-growing aviation markets and local carriers have long been seeking to expand their fleets.
In recent days senior executives from aviation giants Airbus (AIR.PA), opens new tab and Boeing (BA.N), opens new tab met top Vietnamese officials, according to state media and an internal agenda seen by Reuters. Vietnam is also working on the approval of China's COMAC jets.
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TRADING DAY On weekend war-watch again
ORLANDO, Florida, June 20 (Reuters) - - TRADING DAY Making sense of the forces driving global markets By Jamie McGeever, Markets Columnist I'd love to hear from you, so please reach out to me with comments at opens new tab. You can also follow me at @ReutersJamie and @ Cautious optimism around a possible de-escalation in the week-long war between Israel and Iran helped foster a relatively positive tone across world markets on Friday, lifting most stock markets and sealing oil's biggest decline in over a month. You'll note a high degree of equivocation there. President Donald Trump taking up to two weeks to decide on America's involvement offers no immediate clarity, even if he is open to direct talks, and negotiations between Iran's foreign minister and his European counterparts in Geneva are at the early stage. However, Wall Street didn't feel much of the earlier optimism on Friday. Tehran insists it will not talk directly to Washington about a new nuclear deal until Israel ceases its attacks. The bombing and retaliatory strikes continue. It's a fluid and fragile situation, but compared to a week ago when the conflict started, it's perhaps less bleak, which explains why many markets have regained their footing. It's worth remembering that Wall Street and world stocks earlier this week were a whisker away from their record highs. Developments in the war and on the diplomatic field over the weekend will go a long way to setting the tone for markets on Monday. And investors will continue to digest what was, in many ways, a pretty monumental week for central banks. To recap, the Federal Reserve took a hawkish turn in its projected interest rate path even though Chair Jerome Powell signaled policymakers are flying blind, while the Bank of Japan took a dovish turn in its balance sheet reduction plans. The Swiss National Bank cut rates to zero and admitted, albeit reluctantly, that rates could go negative, Norway's central bank delivered a surprise rate cut, and Brazil's central bank defied expectations by raising rates to the highest since 2006 and signaling it could tighten policy further. A raft of Fed officials are on the stump next week, and investors will be looking through the blizzard of headlines to see how the consensus stacks up against the new, less dovish 'dot plots'. Top of the bill will be Powell's semi-annual testimony to Congress on Tuesday and Wednesday. Fed Governor Christopher Waller told CNBC on Friday that a rate cut should be on the table next month because inflation is tame and unlikely to be boosted on a lasting basis by import tariffs. But Richmond Fed President Thomas Barkin told Reuters in an interview there's no rush to cut rates because tariffs could indeed fuel inflation. What's more, the economy and labor market are holding up well right now. It's gone pretty quiet on the trade front, an indication that the Trump administration is finding it harder than it imagined to secure the dozens of trade deals it promised - Trump himself has said that China and Japan are "tough" in their negotiations. China is not blinking, and why should it? As CIBC economists point out, China holds all the cards when it comes to global rare earths and pharmaceuticals supply, the U.S. is a much smaller market for its exports than it used to be, and Beijing has a wider array of retaliatory tools at its disposal than it did in 2018. Last but not least, "the tolerance to pain in autocratic China is notably higher than in the (still) democratic US," they note. The next few weeks will be pivotal for markets as investors eye the half-year point, the July 9 expiry of Trump's pause on 'reciprocal' tariffs, and Trump's two-week window to decide on the level of U.S. involvement in the Iran-Israel war. This Week's Key Market Moves Chart of the Week Two charts again, and they are related. The first is from Goldman Sachs and shows wage pressures in the developed G10 countries noticeably cooling (admittedly from elevated levels). This helps explain the second, from economist Phil Suttle, which shows developed and emerging market interest rate paths are diverging sharply - interest rates are coming down in DM, not so in EM. How long will that divergence last? Here are some of the best things I read this week: What could move markets on Monday? Opinions expressed are those of the author. They do not reflect the views of Reuters News, which, under the Trust Principles, opens new tab, is committed to integrity, independence, and freedom from bias. Trading Day is also sent by email every weekday morning. Think your friend or colleague should know about us? Forward this newsletter to them. They can also sign up here.


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LME imposes new restrictions on large positions
LONDON, June 20 (Reuters) - The London Metal Exchange (LME) has imposed new restrictions on large positions in nearby contracts, it said on Friday. The exchange, the world's oldest and largest market for industrial metals, said its so-called "front-month lending rules" would take effect on Monday and be temporary.

The National
3 hours ago
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Owen Jones: How does opposing Israeli violence make me an extremist?
I'm not referring here to our inability to 'learn the lessons', as the stock phrase goes, of Iraq, Afghanistan, Libya and indeed Gaza. Even such phraseology suggests these are policy mistakes, or unfortunate messes, rather than grave crimes. No, what we need to learn is that the real dangerous extremists in society are those who incite mass violence with catastrophic human consequences, and stop letting them get away with it. Iraq really should have finished off the warmongers, and yet here we are, having to listen to diatribes in support of bombing Iran where the so-called 'case' for dropping bombs on fellow human beings is even weaker. Indeed, the US administration this time is even more extreme and clearly deceitful. Nobody thinks Iran has nuclear weapons. Benjamin Netanyahu has been publicly claiming that the country will imminently develop them for the last three decades. Donald Trump's own Director of National Intelligence declared that the US intelligence perspective was that 'Iran is not building a nuclear weapon' just three months ago. Smoke rises after an attack on Iran (Image: Majid Asgaripour, via REUTERS) In a rational world, anyone advocating for British involvement in bombing Iran would be dismissed as a dangerous lunatic. Our media outlets would note that Iraq was plunged into a sectarian bloodbath and a playground for al-Qaeda, before that was supplanted by the even more extreme Daesh. We would recall the hideous war crimes committed by the US there, not least in Fallujah. We would be forced to recall how the triumphalism about Afghanistan gave way to a bloodbath, before the Taliban once again regained power in a stronger position than ever. We would be forced to listen to the hubris that accompanied intervention in Libya, which became regime change in total defiance of the original mandate, and led to the country becoming a violent failed state. Our media outlets would note that the Israeli prime minister is a wanted man evading justice, subject to an arrest warrant for war crimes and crimes against humanity issued by the International Criminal Court, an institution our country is a founding member of. They would note the consensus among genocide scholars – including those in Israel itself – that genocide has been committed in Gaza. The heinous crimes in the illegally occupied and colonised West Bank would be noted, as well as the mass slaughter of civilians in Lebanon. That Israel is invading, occupying and attacking Syria as a matter of course would be noted, alongside statements by Israeli ministers openly calling for the establishment of a "Greater Israel" illegally annexing land which does not belong to it. Pressure from the British media – in this context – would go on like this: 'Will the Prime Minister rule out intervening in Iran given the catastrophes in Iraq, Afghanistan and Libya, the first two causing the needless deaths of hundreds of British service personnel, the wider chaos and destruction aside?' our journalists would demand. 'Will Britain rule out allying with Israel in a war of aggression ruled illegal by experts, given its prime minister is subject to an arrest warrant for war crimes?' they would ask. 'Is the Prime Minister not concerned about Israel's possession of nuclear weapons, given its illegal occupation of land that doesn't belong to it, its openly expansionist commitments, and given it is so credibly accused of grave war crimes and indeed genocide?' But there is no such pressure, at all. Instead, British media outlets simply bang the drum for war, giving credibility to claims Iran will imminently acquire nuclear weapons and that it poses a unique threat. They present Israel as the victim, even though the country launched an unprovoked war of aggression. Those who oppose this insanity are – as before – portrayed as dupes of a foreign tyranny. The real pressure on Starmer is over whether he will join forces with the US to drop bombs on Iran. READ MORE: SNP councillor forces Labour to take action against Israeli arms sales What we've failed to do is to destroy the careers and reputations of genuinely dangerous extremists who have power and influence. If you agitate on behalf of a proscribed organisation such as Hamas, you face being jailed on the grounds you are inciting support for its demonstrable violence. Yet if you use your platform to incite support for what is, in practise, infinitely more lethal violence, you are treated as respectable and indeed mainstream. It is those who oppose Western violence – despite the incontrovertible evidence of bloody disaster – who are instead smeared as dangerous extremists. When are we going to finally have a reckoning which deals with these people? They should become public pariahs, shamed forever for having helped create catastrophes which left millions dead, maimed, displaced, traumatised. READ MORE: JK Rowling called The National 'anti-woman' – here's my response Right now, the British Government is moving to proscribe Palestine Action, essentially making them a terrorist organisation, because they spraypainted planes at an RAF Airbase in protest at British complicity in genocide. This is an example of the world turned on its head: That those who are doing all they can to stop UK involvement with objectively obscene violations of international law are officially treated as the real criminals. Well, history will be a savage judge. We have failed, in the here and now, to crush the extremists responsible for death and destruction on an unimaginable scale. If we want to prevent a future of violent barbarism, that failure has to end.