Latest News
-
FAA ends mandatory cuts on domestic US flights
Federal Aviation Administration announced late Sunday that it will end mandatory cuts in domestic flight at 40 major U.S. Airports at 6 am. Monday morning, ET (1000 GMT), the Federal Aviation Administration eased restrictions imposed during the shutdown due to concerns about air traffic control. Bryan Bedford, FAA administrator, said that the decision "reflects a steady decline in the staffing concerns." FAA removed restrictions at certain airports on general aviation and space launches. Airlines were expecting this move. On condition of anonymity, several major airlines said that they did not cancel any flights on Monday and had no plans to do so. Airlines for America is a trade association that represents American Airlines, United Airlines Delta Air Lines Southwest Airlines among others. The group declined to comment. The FAA reduced the requirement for flight cuts from 6% down to 3% late Friday evening, despite the fact that airlines were not complying with it anyway. Cirium, a firm that analyzes aviation data, reports that carriers cancelled just 0.25 percent of flights on Sunday at these 40 airports. This is less than the normal cancellation rate. Cirium reported that the cancellation rate in the United States for Sunday was only 0.36%. They interpreted this as a sign of operations returning to normal. The FAA's order was much higher. On Sunday, the FAA said it had received reports that carriers were not complying with the emergency order. The agency is assessing and reviewing enforcement options." The FAA can seek fines of up to $75,000.00 for each flight that exceeds the limits. FAA officials initially aimed to gradually increase the reductions in domestic flights to 10%, but on November 12, they decided to freeze this requirement at 6% as disruptions decreased dramatically after the shutdown ended. The agency initially ordered flight reductions to minimize disruptions to travel caused by a shortage of air traffic control during the shutdown of the federal government, when many controllers stopped coming to work due to not being paid. There are about 3,500 controllers below the FAA's target staffing level. Before the shutdown, many had already been working six-day weekends and mandatory overtime. After October 1, when the shutdown started, thousands of flights were cancelled and delayed due to air traffic controllers' absence. Air traffic controllers, FAA employees, and others began receiving their back pay on Friday, just two days after the end of a record-breaking 43-day government shutdown. The amount is about 70%.
-
Oil falls after loadings resume at key Russian export hub
The oil prices dropped in the early Asian trading on Monday, wiping out the gains of last week, as loadings were resumed at Novorossiysk, the major Russian export hub, after a suspension of two days at the Black Sea Port that was hit by an attack from Ukraine. Brent crude futures fell 58 cents or 0.9% to $63.81 per barrel at 0050 GMT. U.S. West Texas Intermediate crude futures traded at $59.50 per barrel, down by 59 cents or 1.0% since Friday's closing. The benchmarks both rose by more than 2% to close the week on a modest note. Exports at Novorossiysk, and the Caspian Pipeline Consortium's terminal in the vicinity, were suspended, which affected the supply of the global equivalent of 2%. Two industry sources and LSEG data confirmed that oil loadings resumed at the port of Novorossiysk on Sunday. Ukraine's increased attacks on Russia's infrastructure for oil remain a concern as further disruptions are possible. On Sunday, the General Staff of Kyiv announced that it had attacked the Novokuibyshevsk refinery located in Russia's Samara Region. Toshitaka Takawa, an analyst with Fujitomi Securities, said that investors are trying to assess how Ukraine's attack will affect Russia's oil exports over the long-term, as well as locking in profits following last Friday's rally. "Overall the perception of an oversupply due to OPEC+'s production increases is still there," he added, adding that WTI will likely stay around $60, fluctuating in a $5 range. Investors also monitor the impact of Western Sanctions on Russian trade and supply flows. After November 21, the United States banned deals with Russian oil firms Lukoil, and Rosneft to encourage Moscow into peace talks on Ukraine. Donald Trump, the U.S. president, said on Sunday that Republicans were working on legislation to impose sanctions against any country that does business with Russia. He also said that Iran could be added to this list. Earlier in the month, OPEC+ decided to raise December production targets by 137,000 barrels a day, just as they did for October and November. The group also agreed to put a stop to the increases during the first quarter next year. Baker Hughes, an oil services company, reported on Friday that the number of oil rigs in the United States increased by 3 in the week ending November 14. (Reporting and editing by Yuka Obayashi)
-
Zelenskiy seals air defence and warplane deal in France
On Monday, Ukrainian President Volodymyr Zelenskiy will likely seal deals with France for the supply of warplanes, missiles and air-defense capabilities. He is looking to strengthen his army's ability to fight Russia on a long-term basis. Zelenskiy has been in Paris to meet with French President Emmanuel Macron. In recent weeks, Russia has intensified its drone and missile attacks against Ukraine. Moscow also reported a sharp increase in ground gains in the southeastern Zaporizhzhia area. "An historic agreement was also prepared with France. There will be a substantial strengthening of our combat aircraft, air defence and other defence capability. This will happen on Monday, according to the schedule of the visit," Zelenskiy wrote in a Sunday post on X. Since several weeks, there have been discussions about how France can provide more military assistance for Kyiv’s air defences. This is despite the political and budgetary instabilities in Paris which has raised doubts over what France can do. Macron promised last month that he would offer additional Mirage fighter planes after originally promising to deliver six. He also pledged to provide a new batch Aster 30 surface to air missiles produced by the European group MBDA for the SAMP/T batteries of Kyiv's air defence batteries. According to two sources briefed in the matter, Kyiv will get more out of Monday's trip. The agreement could be a 10-year strategy aviation agreement, which would signify the delivery to Kyiv multi-role Rafale combat aircraft made by Dassault. The bulk of the aircraft would come from French stock, but the majority will be purchased in the long term as part of Ukraine's effort to increase its fleet to 250 planes over the next 25 years, including the U.S. F-16, and Sweden's Gripen. The rigorous training program for pilots of the future would require a lot of time. Two sources have said that Monday may also see more SAMP/T systems being ordered, either from French stock or via long-term orders for next-generation systems including missiles and antidrone systems. Sources said that it was unclear how these deals would finance. Macron's office stated that the goal of the media briefing was to "put French expertise in the arms industries at the service to Ukraine's defense" and to "enable Ukraine to acquire the systems needed to respond to Russian aggression". According to the schedule of the French presidency, which did not provide any specifics, Zelenskiy is scheduled to attend a morning briefing with various manufacturers including Dassault before signing a contract and a letter-of-intent later that day. In the afternoon, a separate forum will bring together Ukrainians and French companies working in the drone industry to discuss how they can work together. France and Britain have pushed to create a coalition of 30 countries that are willing to send assets and troops to Ukraine or its western border once a peace agreement with Russia has been agreed. The key objective is for Ukraine to receive enough long-term economic and military aid to maintain its army so that it can deter future Russian attacks. (Reporting and editing by Mark Heinrich; John Irish is the reporter)
-
Hair dye and nail art are allowed! Japanese companies relax their rules to win workers' loyalty
Hinako, 22, moved to Tokyo in 2011 and chose to work at Don Quijote a discount retailer because it didn't really care about the colour of her hair. Mori, who was wearing ash blonde hair with dark and light blue streaks at the time of her interview, likes to change the colour of her hair every six weeks. She had a very different experience when she worked for a Japanese convenience store chain which required black or dark brown locks. "One day, I dyed my hair blonde. Mori said that the next morning, she was told either to wear a wig of use spray-on color. It was very stressful." RETAILERS RELEASE RULES In response to Japan's tight labor market, many companies have followed in the footsteps Don Quijote. A Pan Pacific International Group company. Three years ago, it relaxed its hair and nail varnish rules. Now nearly a quarter have brightly colored hair. If brown hair is added, then 55% of their employees do not have black hair. Fuji Yakuhin has, for instance, eliminated a number of rules that apply to non-pharmacists. The drugstore chain now allows all hair colours, nail art and heavy makeup. It also allows for any type of ring, while previously only wedding bands were allowed. Tokyu Store, the supermarket operator, has also relaxed restrictions on hair colors, hair styles and accessories, as well as nail polish, piercings, and nail varnish. Japan Inc. has gradually relaxed its dress code over the last two decades. The "Cool Biz", a campaign by the Ministry of Environment in 2005, encouraged people to ditch their jackets and ties during summer months. Since then, the summer dress code has become more relaxed, uniforms for department store employees are no longer mandatory, and white gloves for cab drivers have been made optional. Smaller companies are more likely to be affected by the latest changes in hair colour, nail varnish and accessories. They face greater labour shortages and have less flexibility to offer wages that are competitive. Some big listed companies have relaxed their dress codes for this year. Japan Airlines joined Skymark Airlines and Tokyo Metro, a budget airline in the United States, to allow employees to wear sneakers at work. LABOUR CRUNCH PRESSURE According to OECD statistics, Japan's population of working age has fallen by 16% from its peak in 1995. This has led to fierce competition among employers for employees. A survey shows that two-thirds (67%) of Japanese companies believe the labour shortage has a significant impact on their business. According to Tokyo Shoko Research, it was the main cause of Japanese bankruptcy in April-September. The number of failures reached their highest level for a first half period in 12 years. This gives young people more control, at least in terms of part-time employment. According to a survey conducted by Mynavi, a job information and recruitment company in April, two-thirds believe that students should have the option to decide how they want to look when working part-time. One third of students said that they had withdrew job applications due to dress codes. Shota Miyamoto is a researcher for Mynavi. "Students don't only want to gain experience and earn money. They seem to be looking for something more - a feeling of comfort or freedom," he said. He added that they didn't expect the same from full-time employment. Many companies are not comfortable with the Western style of facial or multiple piercings. Tattoos, which are traditionally associated with yakuza (the Japanese mafia), should be covered up by workers so that they don't intimidate their customers. Many of the traditional Japanese giants have yet to adopt these new changes. Sumitomo Mitsui Banking Corp., for example says that it does not have policies regarding hair or nail varnish, but employees are generally aware of the fact that they shouldn't make waves with their appearance. (Reporting and editing by Edwina G. Gibbs; Satoshi Sugiyama)
-
Pentagon claims it has struck another suspected drug ship in the Pacific, killing 3
Pentagon: The United States carried out a second attack on a suspected drug-trafficking boat on Saturday in the eastern Pacific, killing three of the people on board, according to the Pentagon. In a social media post, the U.S. Southern Command said that intelligence confirmed the vessel's involvement in illicit narcotics trafficking, transiting on a known narcotrafficking route and carrying narcotics. Joint Task Force Southern Spear struck the boat in international waters, according to an announcement. This latest operation marked the 21st attack by the U.S. Military on drug boats since early September, in what they have called a justifiable effort to stop the flow of drugs into the United States. Pentagon figures show that the strikes killed over 80 people. Human rights groups, lawmakers in the U.S. Congress and U.S. ally countries have raised concerns about the legality. The Trump administration claims it has legal authority to conduct the strikes. The Justice Department has provided a legal opinion which justifies the strikes and asserts that U.S. Military personnel who perform the operations are not prosecutable. (Reporting and editing by Sergio Non, Edmund Klamann and Joseph Tanfani)
-
Sources: Airbus will win the bulk of the major Flydubai jet orders
Airbus is likely to win the largest share of the major order for jets from flydubai during the Dubai Airshow. This will break Boeing's grip over the fast-growing low-cost carrier, according to people familiar with the situation. They said that the European planemaker is close to a deal with flydubai to sell around 100 A321neos. Flydubai has also been in discussions to order a smaller number of 737 MAXs from Boeing. Airbus could get 100 jets out of this deal, but the final split will depend on the outcome of negotiations that are expected to last until the end as the industry meets for its summit from November 17-21. Airbus and Boeing declined comment. Flydubai did not respond immediately to requests for comments. The airline has 175 MAX aircraft in its fleet, or 30 Boeing 787s on order. Leading Global Customer Airbus' deal to sell the 737 MAX to one of the world's largest customers, who has bought the aircraft exclusively from Boeing up until now, will further consolidate Europe's leadership in the most sought-after narrow-body jet market. Sources said that Flydubai will continue to maintain a fleet roughly balanced based on Boeing orders made earlier. The airline previously stated that it is looking to place the largest aircraft order it has ever placed, indicating it will purchase more than 175 MAX jets it ordered in 2017. Sources said that if options were included in the negotiations this week, the airline would be able to secure hundreds of new aircraft. Reports on Friday indicated that Airbus would be expected to take a piece of the business from the budget airline for the first ever. Boeing Commercial Airplanes' CEO Stephanie Pope stated on Sunday that the company would focus primarily on discussions with airlines regarding its path to recover from a number of corporate crises rather than maximising orders at this year's show. Analysts predicted that Airbus would win the Dubai Airshow following a May visit by U.S. president Donald Trump to the Gulf, which accelerated the announcement of significant Boeing orders that are usually announced at the Middle East Aviation expo. Airbus announced on Sunday that it expects the aircraft fleet in the region to double by 2044 to 3,700 planes. (Reporting and editing by Alex Richardson; Additional reporting by Ahmed Elimam, Federico Maccioni and Federico Maccioni)
-
Boeing wants to improve relations with customers over the 777X delays
Boeing will not use this week's Dubai Airshow to announce new orders, but rather to outline the certification path for its long-delayed mini-jumbo 777x programme. Boeing announced last month a new delay, and took a $4.9billion charge for its biggest twin-engined aircraft, pushing delivery to 2027, which is seven years later than initially planned. Stephanie Pope, CEO of Boeing Commercial Airplanes, said that she would not be placing orders in the next 2 to 3 days. Pope said, "It is about being transparent and engaging with our customers. We will highlight the progress...and any concerns or issues they may have." Pope spoke after the head host airline Emirates, the largest customer of the jet, said Aviation Week that he was "miffed", to learn about the delays from the media. When asked about the comments during a pre-show press briefing, Pope did not comment directly on discussions between Emirates, but stated that it was "unacceptable for me to have any of our clients be surprised and our focus is being as transparent as we can". Pope confirmed that Air Current's report that Boeing has won regulatory approval for the next and most crucial phase of certification trials, the 777X, was correct. She told reporters that demand for jetliners remains high. Boeing is leading this year's race for orders against Airbus, after an influx of orders coincided with the visit by U.S. president Donald Trump to the Gulf in May. Analysts predicted a quieter-than-usual Dubai Airshow. Sources in the industry have stated that flydubai is expected announce an order at the event. However, Airbus will win part of business from the airline, which was previously a Boeing-only carrier, following back and forth negotiations leading up to this show. Last year, the CEO of the carrier said that it would place a record order after buying 175 Boeing aircraft in 2017. (Reporting and editing by Tim Hepher)
-
German top minister travels to China for dialogue with China on trade tensions
Lars Klingbeil, German Vice-Chancellor and Finance Minister, said that dialogue with China was key to finding solutions to pressing problems such as supply chain uncertainty and Chinese excess capacity. He made this statement on Sunday before his visit to China. The visit coincides with Germany's reevaluation of its trade policy toward China. It is accelerating the policy of "derisking" following Beijing's recent restrictions on rare earths, semiconductors and other products. Klingbeil, speaking in Berlin just before departing to Beijing, said that "access to raw materials critical and the reduction in Chinese overcapacity of sectors like steel and electric mobility is of great importance for Germany's economy and employment." He added, "We don't shy away from the competition but it has to be fair." Klingbeil is the first German minister to visit China. After Beijing only confirmed one of the meetings he requested, Foreign Minister Johann Wadephul decided to postpone his trip planned for October's end. CHINA AND GERMANY WILL DISCUSS THE UKRAINE WAR Klingbeil noted that Russia's war against Ukraine would also be discussed, and that it has grave consequences not only for Europe, but for stability worldwide. Klingbeil stated that "China has a crucial role to play in ending this war."
MORNING quote AMERICAS-Bonds simmer as payrolls use reality check
A look at the day ahead in U.S. and global markets from Mike Dolan After a torrid start to the year for U.S. Treasuries and worldwide sovereign bonds at big, Friday tests the 'hot economy' thesis by revealing simply how tight U.S. labor markets still are as a. new administration takes office in Washington this month.
The release on Friday of the U.S. December work report. ties up a range of tasks market updates this week - with. something of a combined image so far.
The weekly jobless series released on Wednesday was a. standout, as it indicated the most affordable unemployment claims in. 8 months. November task openings also increased. However personal. sector payroll growth missed out on forecasts and Thursday saw data. showing both employing and layoffs slowed last month.
With the nationwide payrolls report possibly a decider on. all the above, agreement expectations are for tasks development to. have softened in general in December to some 160,000 - with an. unemployment rate stable at 4.2%.
If that turns out, the Federal Reserve will likely feel. justified with a position of more cautious rate cuts ahead. Its. policymakers have shown just two more quarter point. decreases for this year, although futures markets price. marginally less than that - some 41 basis points since Friday. and with the very first 25bp not coming till June.
On Thursday, the current Fed speakers slanted hawkish.
Kansas City Federal Reserve President Jeff Schmid signified a. reluctance to cut rates of interest again. I think we are near. the point where the economy needs neither restriction nor. assistance and that policy must be neutral, Schmid stated.
Fed guv and well-known hawk Michelle Bowman stated she. supported last month's interest rate cut as the final step in. the central bank's financial policy recalibration.
With Thursday's market closures for the funeral of former. President Jimmy Carter acting as something of a firebreak in an. anxious first full trading week of the year, long-dated Treasury. yields stay raised ahead of the. payrolls report.
At 4.94%, the 30-year 'long bond' yield is still stalking 5%. for the very first time since October 2023, while 10-year standard. yields at 4.70% stay near this week's 8-month highs.
Stimulated in part by some severe winter snaps across. the Northern hemisphere, oil costs stay an aggravator and. U.S. crude struck its greatest because October.
The dollar index also remains pumped up near the. two-year high set last week.
With Wall Street stock markets closed on Thursday, futures. there are somewhat at a loss ahead of Friday's. resuming.
Naturally the payrolls report addresses just among the bond. market issues, with anxiety and unpredictability about the degree. of President-elect Donald Trump's organized tax cuts, tariff walkings. and migration curbs still a wildcard.
But to the degree that any or all of those policy guarantees. are inflationary - in a currently sticky inflation environment -. the work report sets the tone ahead of Trump's. inauguration on Jan. 20.
For stock markets, the concentrate on bonds may start to shift. rather as the fourth-quarter incomes season gets underway -. with S&P 500 companies on aggregate expected to have clocked 10%. earnings development in 2015 and analysts pencilling an additional 14%. gain in 2025.
Delta Airlines, Walgreens Boots Alliance and Constellation. Brands kick off the reporting season on Friday - with the huge. banks due next week.
For tech companies there was great news from Taiwan, with the. world's largest agreement chipmaker TSMC reporting. fourth-quarter revenue that quickly beat projections as it enjoyed. the benefit of artificial intelligence demand.
Overseas, the bond market ructions have rippled across the. world today too - with Britain's government bond market in. the crosshairs as 30-year gilt yields there struck 27-year highs. and 10-year benchmarks reaching levels not seen. because 2008.
Even though those gilt yield increases are mostly just in line. with what's happened in U.S. Treasuries a distressing. development in the UK is that sterling has. turned tail too and stopped following domestic yields greater.
Gilts remained on edge first thing Friday, however yields. stayed below the week's peaks and the pound recovered some. ground from Thursday's 14-month low versus the dollar.
Stocks in Asia were under pressure, with the main Chinese. and Japanese indexes down more than 1% each.
Inflation numbers from China on Thursday showed the country. still fighting pervasive deflationary pressures.
China's central bank is anticipated to deploy this year its. most aggressive monetary tactics in a years as it tries to. promote the economy and soften the blow of impending U.S. tariff hikes - however in doing so it risks tiring its. firepower.
Friday's statement by the People's Bank of China that it. has actually suspended treasury bond purchases due to the property's. shortage highlighted the constraints of its resources as it. challenges a progressively difficult financial environment. Key advancements that should offer more instructions to U.S. markets in the future Friday:. * US December employment report, University of Michigan January. consumer sentiment survey, Canada Dec work report. * US corporate earnings: Delta Airlines, Walgreens Boots. Alliance, Constellation Brands. * Britain's financing minister Rachel Reeves will go to China
(source: Reuters)