Latest news with #SherinElizabethVarghese
Yahoo
a day ago
- Business
- Yahoo
Safe-haven gold rises on weaker dollar, simmering global uncertainty
By Sherin Elizabeth Varghese (Reuters) - Gold prices rose on Wednesday, buoyed by a softer dollar and persistent geopolitical tensions across multiple fronts, keeping investors alert amid a range-bound market awaiting fresh catalysts. Spot gold rose 0.9% to $3,381.32 an ounce, as of 10:43 a.m. ET (1143 GMT). U.S. gold futures were up at $3,406.80. The U.S. dollar index fell 0.5%, making gold cheaper for buyers holding other currencies. [USD/] "There is considerable geopolitical uncertainty with Russia-Ukraine, Iran, Syria and China, driving people to buy gold. Market sentiment remains quite high, and although traders may not expect gold to rise as quickly, there is still plenty of upside," Daniel Pavilonis, senior market strategist at RJO Futures, said. Russia is concerned about rising tensions around Iran and the risk of the situation slipping into a full-scale confrontation, Russian Foreign Ministry spokeswoman Maria Zakharova said. However, "the market is just kind of sideways right now and we need some bigger signals, meaning an escalation geopolitically, that would open the path to buying more gold as an inflationary hedge," Pavilonis added. U.S. President Donald Trump on Wednesday said his Chinese counterpart Xi Jinping is tough and "extremely hard to make a deal with," just days after accusing China of violating an agreement to roll back tariffs and trade restrictions. In addition, Washington doubled tariffs on steel and aluminum imports and urged trading partners to submit their "best offers" to avoid more import levies starting in early July. Data on Wednesday showed U.S. private employers added the fewest workers in over two years in May, though this likely underrepresents the gradual easing amid uncertainty from the Trump administration's tariffs. All eyes now turn to Friday's U.S. non-farm payrolls report, expected to provide critical insight into the Federal Reserve's policy direction. Fed officials have maintained a cautious stance amid ongoing trade tensions and economic unpredictability. Gold, a safe-haven asset during times of political and economic uncertainty, tends to thrive in a low-interest-rate environment. Elsewhere, spot silver was steady at $34.50 an ounce, platinum rose 1.3% to $1,088.31 and palladium lost 0.9% to $1,000.94. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Mint
23-05-2025
- Business
- Mint
ASIA RICE-High supply, weak rupee push India rates to near 2-year low
(Repeats story published on Thursday with no changes to text) India rates edge lower to $382-$389 per ton Thailand prices slip to $405-$410 on exchange rate fluctuations, quiet demand Bangladesh's Aush rice output falls for fourth straight year By Sherin Elizabeth Varghese May 22 (Reuters) - India's rice export prices slid to a near two-year low this week, pressured by a weak rupee and rising supplies amid subdued demand, while export markets in other key Asian hubs remained quiet. India's 5% broken parboiled variety was quoted at $382-$389 per ton, down from the last week's $384-$391. Indian 5% broken white rice was priced at $375 to $381 per ton this week. "Export prices are coming down because of falling rupee. Demand is still subdued," said a New Delhi-based dealer with a global trade house. Global rice prices, which have tumbled to multi-year lows, are unlikely to fall further, but bulging Indian stockpiles and a bumper Asian crop will cap any rebound this year, industry executives say. Thailand's 5% broken rice is quoted between $405 to $410 per ton down from $410 last week with traders attributing the price drop to exchange rate fluctuations, rather than demand, which has been quiet. "It's very quiet this year. Indonesia and the Philippines, which used to buy a lot, have enough production," said a Bangkok-based trader. Another trader said customers were waiting for prices, but there was still some activity. "Demand is not that quiet, but it's not so flashy," the trader said, adding that supply was good and another crop will be released in July. Vietnam's 5% broken rice was offered at $397 per metric ton on Thursday, unchanged a week ago, according to Vietnam Food Association. "External demand remains weak and this has also pushed down domestic paddy prices amid the summer-autumn harvest," a trader based in Ho Chi Minh City said. Traders said prices of fresh unhusked paddy in the Mekong Delta range from 5,200 dong to 6,800 dong per kilogram, down from 5,400-7,200 dong a week ago. Bangladesh's Aush rice output fell for a fourth straight year to 2.7 million tonnes, down from 2.9 million tonnes last year, due to erratic weather and reduced acreage. Experts warn the sustained drop could pose long-term food security risks. (Reporting by Sherin Elizabeth Varghese in Bengaluru, Rajendra Jadhav in Mumbai, Chayut Setboonsarng in Bangkok, Khanh Vu in Hanoi and Ruma Paul in Dhaka; Editing by Shailesh Kuber)
Reuters
14-04-2025
- Business
- Reuters
South Bow watching weather before proceeding with Keystone pipeline restart
April 14 (Reuters) - Pipeline operator South Bow ( opens new tab said Monday it is keeping an eye on inclement weather before proceeding with a planned controlled restart of its Keystone oil pipeline system. The Calgary, Canada-based company had previously indicated it was targeting Tuesday for full service restoration on the Keystone pipeline, which has been shut down since last Tuesday following an oil spill near Fort Ransom, North Dakota. here. In its latest update Monday, South Bow said it is carefully monitoring weather conditions before proceeding. The U.S. Pipeline Safety and Hazardous Materials Administration has approved the restart plan, but only under certain conditions laid out in a corrective action order issued by the regulator on Friday. Under the terms of the order, South Bow must operate at a reduced pressure rate in the U.S. The company has also said it will institute certain pressure restrictions on the Canadian section of Keystone. Keystone was pumping about 17,844 barrels of oil per hour when a part of the pipeline ruptured Tuesday, spilling an estimated 3,500 barrels onto agricultural land. The 4,327-km (2,689-mile) Keystone pipeline is a major conduit for crude oil supply from Alberta to U.S. refineries in Illinois, Oklahoma and along the U.S. Gulf Coast. Reporting by Amanda Stephenson in Calgary; Sherin Elizabeth Varghese in Bengaluru; Editing by Cynthia Osterman
Yahoo
31-03-2025
- Business
- Yahoo
Softer demand outlook to weigh on oil, OPEC+ walks a tightrope: Reuters poll
By Sherin Elizabeth Varghese and Noel John (Reuters) - Oil prices are set to remain under pressure in 2025 as U.S. tariffs and slowing economic growth in India and China weigh on demand, while OPEC+ pushes forward with plans to increase output, a Reuters poll showed. A survey of 49 economists and analysts in March forecasts Brent crude will average $72.94 per barrel in 2025, down from February's estimate of $74.63. U.S. crude is expected to average $69.16 per barrel, slightly lower than last month's $70.66 outlook. With global crude balances expected to widen by 300,000 barrels per day (bpd) this year, the market is teetering on the edge of surplus, said Florian Grunberger, senior analyst at Kpler. "This shift is driven by a weaker macroeconomic outlook in China and underperformance in Indian demand, which more than offset a modest improvement in European demand." The Organization of the Petroleum Exporting Countries (OPEC) this month forecast global oil demand to rise by 1.45 million barrels per day (bpd) in 2025 and 1.43 million bpd in 2026. However, analysts caution that U.S. President Donald Trump's tariff plans could derail this trajectory, as they could trigger economic slowdowns and drive up global inflation. Since returning to office in January, Trump has reinstated a "maximum pressure" campaign on Iran to cut its oil exports to zero, and announced a 25% tariff on any country buying oil or gas from Venezuela. Meanwhile, ongoing peace talks between Russia and Ukraine could culminate in the lifting of U.S. sanctions on Russia at some point, analysts say. "More U.S. sanctions against producers like Iran and Venezuela could lead to a smaller world oil supply and higher prices," but a comeback of Russian oil to the markets could weigh on prices, said Frank Schallenberger, head of commodity research at LBBW. Analysts widely expect OPEC+, which includes OPEC members plus Russia and other allies, to remain flexible with production increases. The group will likely stick to its plan to boost oil production for a second consecutive month in May, four sources told Reuters. "We do not think that OPEC+ will increase supply materially this year but will instead attempt to push oil prices higher by letting demand outstrip supply during the last three quarters of the year," said John Paisie, president of Stratas Advisors. Sign in to access your portfolio
Yahoo
15-03-2025
- Business
- Yahoo
Gold vaults $3,000 in rush for safety from market, political worry
By Sherin Elizabeth Varghese and Anmol Choubey (Reuters) - The relentless rise of gold has taken prices of the precious metal above the psychologically key $3,000 per ounce mark for the first time, as geopolitical and economic uncertainty sent investors rushing into the safe-haven asset. Spot gold hit a record $3,004.86 per ounce on Friday, marking its thirteenth all-time high in 2025. Prices have already climbed 14% this year, after surging 27% in 2024. "With continued central bank buying, there are multiple factors driving demand. In a backdrop of geopolitical uncertainty and ongoing tariff changes, appetite for gold remains strong," said Standard Chartered analyst Suki Cooper. Since the start of U.S. President Donald Trump's administration, protectionist policies have jolted global markets, with his tariffs triggering swift retaliation from China and Canada. "With equity markets selling off and unpredictable political risks, we are starting to see a return of Western investors to gold, which could propel it to much higher levels," said John Ciampaglia, CEO of Sprott Asset Management. [GOL/ETF] "We consider gold as an 'insurance policy' and source of liquidity in difficult market environments." Tariffs fuel inflation fears and trade tensions, driving investors to gold as a safe-haven hedge. Meanwhile, gold stocks in COMEX-approved warehouses hit a record 40.56 million ounces, as traders rushed to cover positions amid tariff uncertainty. But inflows have slowed in recent weeks. FEDERAL RESERVE Traders are doubling down on U.S. Federal Reserve rate cuts, now expecting three quarter-point reductions this year, up from two just days ago. The Fed has slashed rates by 100 basis points since September, pausing in January, but markets now anticipate cuts to resume in June. That is keeping the dollar under pressure, a stark shift from when Trump's protectionist policies strengthened the currency. "The inflation data is helping to give the market confidence that the easing cycle will continue, given concerns around inflation and growth," said Standard Chartered analyst Suki Cooper. ETF DEMAND Investor demand for gold is surging, with physically-backed gold exchange-traded funds (ETFs) recording their largest weekly inflow since March 2022, according to the World Gold Council's February data. The SPDR Gold Trust (GLD), the world's largest gold-backed ETF, saw holdings rise to 907.82 metric tons on February 25, the highest since August 2023. [GOL/ETF] "There will likely be increased flows into safe-haven assets like gold, especially as investors move away from equity growth stocks amid rising uncertainties and future concerns," said Dina Ting, Head of Global Index Portfolio Management at Franklin Templeton. She noted that while investment strategies vary, a 5% to 10% gold allocation can offer effective diversification. CENTRAL BANK DEMAND Gold's rise is getting another tailwind from central bank demand. Analysts say strong buying in 2025 could push prices to new highs as nations continue stockpiling the metal amid economic uncertainty. "Central banks may ramp up gold purchases amid market uncertainties, not just to hedge against the U.S. dollar but to anchor their currencies to gold as well," Ting said. China's gold reserves marked four straight months of buying in February. After an 18-month spree, the central bank paused for six months in 2024 before resuming purchases in November. In the absence of any improvement in the U.S. budget deficit, gold could challenge a high of about $3,500, Macquarie said in a note. Goldman Sachs raised its year-end 2025 gold target to $3,100. Central banks snapped up over 1,000 tons of gold for the third year in a row in 2024, and in the final quarter of 2024 - as Trump's election win roiled markets - buying soared 54% year-on-year, according to a report from the World Gold Council last month.
