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India asks its seafarers to avoid Hormuz voyages
India has issued a directive to shipowners, managers and recruitment companies not to send seafarers from the country on vessels traveling through the Strait of Hormuz. This is due to renewed fighting in the?region. According to data from the government, India is the third largest supplier of seafarers in world, with over 300,000 sailors employed across all global shipping fleets. The Directorate General of Shipping issued an order late Wednesday saying that Indian seafarers would not be allowed to join vessels on voyages through the Strait of Hormuz. According to data from the government, two Indian seafarers were killed in recent attacks on vessels in the region, as tensions in the Middle East escalate. The shipping regulator has said that recent attacks on ships have "significantly" increased the risk faced by seafarers and commercial vessels operating in conflict-affected areas. The order stated that "in view of the increased?security situation" in the Persian Gulf, the Directorate deems it necessary to take enhanced precautionary steps to protect the interests of Indian seafarers onboard ships operating in this region. The letter also instructed the masters of vessels to be vigilant in assessing the security situation of the Persian Gulf and the Strait of Hormuz, as well as the adjacent waters. It called for continuous monitoring of navigational alerts. New Delhi also lodged an enraged protest with Iran by summoning the deputy ambassador?over one of?the deaths?on Tuesday. Manoj Yadav said that more than 15,000 Indian sailors are still stranded west of the Strait?Hormuz. We can prevent new crews from being recruited in these areas. What about the thousands of seafarers who are still trapped on those dangerous?seas, and at risk to their life? What does the government do to rescue them? Yadav replied: "What is the government doing to get them out?
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Atlas Copco orders surge on strong semiconductor demand
Atlas Copco, a Swedish industrial group, reported earnings and orders for the second quarter that were above expectations. Strong semiconductor demand helped to boost its shares by 6%. Orders for the quarter jumped by 27%, to 50.95 billion Swedish Crowns. This was well above analysts' expectations of 44.67 trillion crowns. Orders increased by 26% on an organic basis. The demand for the company's?products, services, and construction equipment improved significantly in the third quarter. Higher order volumes were primarily driven by the semiconductor industry. LSEG data showed that operating earnings before items affecting comparableability increased to 9.46 billion Swedish Crowns ($984.19million) in the second quarterly on a 9% rise in revenue. This compares with an average analyst forecast of?9.25billion crowns. Atlas Copco’s vacuum division delivers components to major semiconductor equipment manufacturers like ASML. The company stated that customer activity would remain at its current level for the near future. Vagner Rego, CEO of Vagner Group, said in a statement that "we delivered double-digit growth in all business areas" and observed high activity levels amongst almost all our customer segments. The company's shares were up around 6% at 0926 GMT after trading down about 3% prior to the release of the earnings report. (Reporting and editing by Bartosz Dabrowski, Matt Scuffham and Jagoda darlak)
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Wall St futures stop after a two-day rally, as investors wait for data and earnings
U.S. index futures were tepid on Thursday, as investors took a breather?after two days of rallying?. Meanwhile, chip stocks continued to be under pressure in anticipation of?fresh economic data and another set quarterly results. Investors shifted their attention to megacap technology companies and banks after strong results by major lenders. TSMC shares listed in the United States fell 3.2% during premarket trading despite the fact that the advanced AI chipmaker had reported a 77% increase in its second-quarter profits, which exceeded market expectations. The company also announced that it would invest another $100 billion in the United States. Memory-chip manufacturers were among the largest decliners. Western Digital and Seagate Technology fell 3.9% and 3.3% respectively. Wall Street's major indexes rose on Wednesday for the second consecutive session after a lower-than-expected reading of the Producer Price Index eased inflation fears and reduced concerns over tighter Federal Reserve policies. This report came after a week of benign consumer inflation data. Even as tensions between the U.S. and Iran simmered, a strong start to second-quarter earnings season boosted sentiment. Mark Haefele is the chief investment officer of UBS Global Wealth Management. In fact, after the U.S. earnings season kicked off with solid wins, we expect to see another set of strong results in the next few weeks. At 5:18 am. The Dow E-minis fell 9?points or 0.02% and the S&P E-minis dropped 1 point or 0.01%. Nasdaq E-minis fell 63.75 points or 0.21%. Investors will be watching retail sales and unemployment claims data at 8:30 am. Investors will be looking for 'further indications of the economy slowing down enough to control inflation without causing growth concerns. According to CME's FedWatch, the markets are pricing in a 10,2% probability that the Fed will implement a 25 basis-point rate increase at its monetary policy meeting this month. The benchmark S&P 500 is up more than 10% in the past year, and it's still near its record-breaking close of June. This leaves a rally that could be weakened by any disappointing data or earnings. United Airlines' third-quarter profit forecast and its full-year outlook were both impacted by a new surge in oil prices. UnitedHealth is set to release its earnings before the bell, while Netflix will do so after the close of the market. (Reporting by Ragini Mathur in Bengaluru; Editing by Maju Samuel)
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Bousso: The oil fortress of China will change the global order.
China surprised the oil industry during the Iran War, using powerful levers in order to protect itself from the "biggest shock" in energy for decades. It established itself as an independent, opaque and massive force on the global energy market. China's?measures to counter the energy supply shock - slashing crude imports, limiting exports of refined petroleum products and drawing from domestic stocks - culminated in decades long campaign to reduce heavy?dependence upon overseas energy supplies. This gives a hint at how future crises could unfold. China's assertive strategy may be a sign of a future where blind spots in the energy market will matter more than data. It also suggests we may be entering an age in which China’s energy dynamics will become a weapon, both offensive and defensive. DIAL UP or DIAL DOWN China was insulated from the price volatility following the war in Iran that began on February 28. Brent crude soared from $72 to $118 a barrel in late March after the Strait of Hormuz was effectively closed. By early July, it had returned to its pre-war level. In recent days, the global benchmark rose again as U.S. - Iran strikes increased. Beijing halted purchases as prices increased. Customs data revealed that June deliveries fell by more than 41% compared to a year ago, reaching 7.12 million barrels a day (bpd), their lowest level since Oct. 2016. This continued a steep decline in May. Customs data showed that the scale of the decline, which surprised many analysts and traders, was a crucial factor in allowing the global economy to absorb a loss of more than 13 million barrels per day of Middle Eastern exports. This shift was particularly striking, given China's significance to the world oil markets. In 2025, China imported an unprecedented 11,55 million barrels per day (bpd), roughly two thirds of its total oil consumption and 16 percent of the global demand. This dependence could have rendered China vulnerable to disruptions in Gulf supply. Beijing was well-prepared for the crisis. China's 4,4% rise in crude imports was largely due to an aggressive stockpiling program that resulted in an estimated 1.3 to 1.5 billion barrels of crude oil in storage. This is equivalent to over 100 days?of average imports. However, reducing imports was just one part of the strategy. China suspended the export of refined products in March to ensure that its domestic market would be well-supplied. The controversial move concerned 'Asian countries including Australia, Bangladesh, and the Philippines who were already struggling with acute fuel shortages. Beijing will export around 800,000 barrels per day of fuels by 2025. This is about 12% of Asian refined oil imports. In July, the government eased some of its restrictions to relieve Asia's fuel markets. The episode showed how quickly Beijing could tighten supply if conditions worsened again. OIL FORTRESS MINDSET What is China's strongest line of defense -- its huge oil stockpile -- was only deployed sparingly, indicating Beijing still has a significant amount of dry powder. Beijing does not provide official data about inventory levels and movements. Traders and policymakers must rely on indirect indicators to get a picture. Calculations based on crude exports and domestic production less refinery throughput suggest that inventories decreased between April and July by a modest rate of 500 000 to 1 million barrels per day. Beijing reduced refining instead, which limited the inventory draw. The June throughput, at around?12,5 million bpd was 18% lower than a year ago. This is the lowest level seen since March 2020 when the COVID-19 Pandemic peaked. China's capacity to release stocks on a larger scale remains largely untested. The Hormuz Crisis showed that Beijing has a tool to radically alter the global oil balance. Beijing has also steadily decreased its dependence on oil imports, by increasing domestic production. This reached a record of 4.3 million bpd in last year. Electric vehicles are a major factor in reducing demand, and thereby the strategic importance for crude oil. These trends, taken together, suggest that China's position in the global energy system is changing. PRICE TAKER TO PRICES MAKER China was seen as the largest oil consumer in the world for decades. Its consumption was heavily influenced by global conditions. Iran's crisis proved that it could also affect those conditions. China's ability to quickly adjust imports and exports, up or down, effectively transforms it into a price maker. This role is traditionally associated with OPEC, Russia, and more recently the U.S. Oil is not the only issue. China's ability to withstand a major shock in fuel supply while reshaping global and regional fuel flows has shown that it is less dependent on international energy markets. This marks a significant break from the deep interdependence of energy that characterized the last two decades. This resilience is a clear advantage for Beijing. However, the less interdependent relationship in energy creates new frictions. Tensions with the U.S., and other major customers could rise as China is able to 'isolate itself from global shocks' and influence market balances in its own way. The greatest impact of the Iran 'war' may not have been the chaos it caused but rather the fact that China has the ability to handle such shocks on its own. This could have a profound impact on the global oil markets, as well as the balance of power in the world. You like this column? Open Interest (ROI) is your new essential source of global financial commentary. Follow ROI on LinkedIn and X. Listen to the Morning Bid podcast daily on Apple, Spotify or the app. Subscribe to the Morning Bid podcast and hear journalists discussing the latest news in finance and markets seven days a weeks.
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India Customs is the second agency to take on Adani in a battle over nicotine pouches
India's Customs Authorities have joined the Health Ministry in a fight against Adani Group for the sale of nicotine sachets at airports. They claim that duty-free shops are only tax-advantageous and not immune to other regulations. The sale of nicotine pouches in duty-free shops at the Mumbai airport owned by billionaire Gautam Adani was found to be illegal during a March inspection. His company is now appealing this decision at the Mumbai High Court. The customs department stated that the concept of "goods being outside customs borders" for taxation reasons "doesn't grant immunity from regulatory control," in a document submitted to Mumbai judges June 22. Adani has claimed shops in the international departure zone are outside of the'reach of domestic regulation.' In a filing dated July 13, seen by, Adani argued that its legal challenge is valid because customs asked them to stop sales without issuance any warning notice. The group also claimed that the goods sold to departing passengers by duty-free shops are in accordance with legal standards, which state they must be?placed in sealed bags' and are not to be used before they leave India. Customs officials said this interpretation was "untenable", as passengers who take possession of duty-free items can consume them freely. Adani and Indian authorities did not answer any questions. India has not approved the use of nicotine pouches, which are one of the fastest-growing products in the world. Philip Morris reports that Zyn sales in the U.S. doubled last year as compared to 2023. Adani operates eight airports across India. The company is aiming for an expansion of $11 billion, which includes a wager on duty-free shopping. Adani's company has imported Zyn, White Fox and Swedish Smokeless Solutions brands worth more than $35,000 since August, according to reports. The next hearing will be on July 28. (Reporting and editing by Edwina G. Gibbs; Aditya K. Kalra)
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SoftBank to buy a full stake in Boston Dynamics from Hyundai Motor Group
Hyundai Motor Group announced on Thursday that it will make U.S. robotics company Boston Dynamics its wholly-owned subsidiary by acquiring SoftBank Group’s 10% stake. This'move', it said, would allow it to deploy advanced robots throughout its operations. The terms of the agreement were not disclosed. The local media reported that the transaction was likely to be worth around 500 billion won (335 million dollars) last month. The deal will give Hyundai Motor Group more strategic flexibility in managing Boston Dynamics. This will allow the automaker to take long-term investments and business strategies, as well as make a possible initial public offering. ROBOTICS PUSH MEETS LABOUR TENSE Hyundai will begin to deploy Atlas, Boston Dynamics’ humanoid robot, in a Georgia manufacturing plant from 2028. By 2030, the robot's role will likely expand to include a wider range of manufacturing processes including component assembly. According to Yonhap News Agency, the acquisition comes at a time when Hyundai Motor's South Korean union intensified its industrial action in relation to annual wage negotiations. They staged?two-hour-partial strikes on Monday through Wednesday. The union demanded that 30% of the net income be set aside for bonuses, and job security to ensure. They also expressed concern over the increasing use of robots and artificial intelligence on assembly lines. A union leader has said that the world's third largest carmaker, together with its affiliate Kia Corp., which is developing humanoid robotics, appears to plan to replace humans with new technologies. According to the union, Hyundai's 24,676 workers who are unionised will retire on average every year by 2032. The union stated that if the company did not hire more workers, union membership could fall by almost 10,000 or 40% by 2032. In 2021, Hyundai will own 80% of Boston Dynamics. Market Focuses on Valuation Investors focused on the implications of Boston Dynamics' valuation rather than Thursday's announcement. Analysts say investors expected that the purchase of SoftBank’s remaining stake would provide greater clarity about Boston Dynamics’?valuation, and possibly act as a catalyst to the automaker’s shares. Shin Yoonchul of Kiwoom Securities said that the transaction price "implied an estimated valuation of about 5 trillion won" for Boston Dynamics. Financial terms of the transaction were not disclosed. Shin explained that the market's muted reaction indicated investors were unsure if the previous valuation assigned to the robotics firm was justified. Instead, they viewed the deal as Hyundai Motor Group purchasing SoftBank stakes at a discounted price. He stated that if the company had exercised its call options, which become exercisable on 21st July at a greater strike price, it would have implied an increased?valuation of Boston Dynamics. The deal, instead, removed what investors thought would be a catalyst for a revaluation of the robotics company in the near future. Since local media reported in the first place last month that SoftBank planned to purchase Boston Dynamics' remaining stake, Hyundai Motor shares are down more than 30%. Hyundai Motor closed Thursday with a 2.1% decline, compared to a 6.4% drop for the benchmark KOSPI.
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New Delhi warns shipowners against using Indian seafarers along the Hormuz route
India has instructed shipowners, managers and recruitment agencies not to use seafarers from the country on vessels traveling through 'the Strait of Hormuz'. This is due to renewed fighting in the region. According to data from the government, India is third in the world for seafarers. More than 300,000 sailors work across global shipping fleets. In an order late Wednesday, the Directorate General of Shipping stated that "no Indian seafarers will be deployed on vessels undertaking voyages involving passages through the Strait of Hormuz." In the last three days two Indian seafarers were killed as tensions in the Middle East escalated. The shipping regulator stated that recent?attacks against vessels have "significantly" increased the risk faced by seafarers, and commercial ships operating within the conflict-affected region. The order stated that "in view of the increased security situation in the Persian Gulf Region... the Directorate considers it necessary to take enhanced precautionary measures in order to safeguard the interests" of Indian seafarers who are serving on ships in the region. The 'Directory also directed the masters of vessels to be vigilant in regard to the'security situation of the Persian Gulf,?Strait of Hormuz, and adjacent waters and called for continuous monitoring of navigational warnings. New Delhi also "lodged" a strong protest with Iran by summoning the deputy ambassador for one of Tuesday's deaths. Reporting by Nidhi verma, Writing by Hritam mukherjee, Editing by Edwina gibbs
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Maguire: Europe's next energy crisis is right in front of us.
The energy traders of Europe have been glued to Gulf maps in recent weeks. The Rhine should be on their radar. The renewed 'confrontation' between Washington and Tehran is pushing oil prices up and reviving fears about the safety of shipping through Strait of Hormuz. But there is another threat that is much closer to home. The water levels in key inland shipping gauges, including Cologne and Kaub (on the Rhine) and Budapest (on the Danube), have dropped to a level that is rarely seen except during major droughts. This has forced barges and their cargo loads to be reduced and increased transport costs. Low rivers can be an inconvenience on their own. When combined with the rising geopolitical tensions of the Middle East they become more dangerous. KEY TRADE ROUTES The rivers of Europe are the secret arteries that run through its energy system. Fuel imported via Rotterdam and Amsterdam must still be transported inland to refineries and chemical plants, as well as industrial consumers. Every ton of coal or diesel, gasoline, chemicals, biofuel, or other fuels that is not transported by barge requires additional vessels, higher rates, and longer delivery time. While renewed U.S. Iran hostilities threaten oil flow through Hormuz once again and drive energy prices higher, Europe's shrinking waters risk turning an external shock into a much broader logistic crisis. The timing of this attack could not be worse. The Rhine is the most important commercial waterway in Europe. The Rhine is used by the German industry to transport around?200 millions of tons of goods each year, including fuels and industrial materials. Water levels at Kaub, the most critical bottleneck on the river, have fallen to an exceptionally low level for July. This has forced vessels to sail partially loaded. Depending on the vessel type and route, some operators have reported freight reductions up to 80%. The Danube also tells a story. Budapest's water levels are now at lows that are more often associated with droughts in the late summer. Shipping companies report that vessels are operating at a fraction of their normal capacity. Freight surcharges have also risen as operators try to compensate for the reduced cargo volume. Stress Test The European energy system is increasingly dependent on flexibility in logistics. After the loss of Russian pipeline gas to Europe, Europe rebuilt energy security by importing LNG, oil products, and alternative fuels via seaborne imports. As long as the cargoes can reach European ports, the markets will be adequately supplied. Ports are just the beginning. The Rhine links Germany's industrial heartland with North Sea import terminals. The Rhine is a major transport route for coal for power plants, chemical feedstocks and petroleum products for inland consumers. When river levels collapse, cargo is shifted to rail and trucking systems that are already congested and expensive. It is not always a shortage. It is more often a dramatic rise in the cost of delivery that directly affects energy and industrial costs. MOUNTING FEES Economic damage is not a theoretical concept. In previous Rhine droughts (notably in 2018), Germany suffered measurable industrial disruptions and losses of output. This episode taught us that river levels are macroeconomic variables. When barges are not moving efficiently, industrial production, fuel distribution, and profitability all suffer. Add the Middle East to your list. The Strait of Hormuz is the world's largest oil transit chokepoint. Oil prices have already risen due to attacks on ships, military strikes and increasing threats. Concerns about tanker movements are also back. The increased risk of a total closure will increase insurance, freight, and commodity costs. The interaction of these two risks poses a danger to Europe. Oil prices are usually absorbed. Usually, temporary shipping disruptions can be managed. Low river levels are usually manageable. When all three occur simultaneously, however, the system is significantly less resilient. European refiners could face higher crude prices?because there are tensions in the Gulf, while distributors struggle to move fuels into the inland due to restricted barge traffic. Chemical producers may face rising feedstock costs at the same time as logistics costs rise. Utility companies may find that alternative fuels are readily available in ports, but are more difficult and expensive to transport to the places where they are required. Each problem reinforces each other. The energy supply chain in Europe is beginning to look like a funnel. RISK STACK INTERTWINED Ironically, policymakers are increasingly separating climate change from geopolitics and recommending separate solutions. Recent events indicate that they are becoming deeply intertwined. Heatwaves and dry conditions are not only lowering Europe's river levels, but also increasing electricity demand. This puts pressure on the energy infrastructure. Geopolitical conflict has also reduced the margin of error in global fuel markets. What appears to be a weather issue in Germany could quickly turn into an energy security concern across Europe. It is important that traders pay attention to the river gauges in Kaub and Budapest, as well as to the missile launches taking place in the Gulf. The other measures the risk of geopolitical conflict. One measures geopolitical risk. For decades, Europe’s energy security was shaped primarily by tankers, pipelines and diplomacy. It may increasingly be shaped by rain. As rivers shrink and conflicts increase, the continent learns an uncomfortable truth. Sometimes the most dangerous energy chokepoints are not halfway across the world but right in your backyard. These are the opinions of the columnist, who is also an author. This column is great! Open Interest (ROI) is your new essential source of global financial commentary. Follow ROI on LinkedIn, X and X. Listen to the Morning Bid podcast daily on Apple, Spotify or the app. Subscribe to the Morning Bid podcast and hear journalists discussing the latest news in finance and markets 7 days a weeks.
Ukraine reports four deaths in Russian attack on grain ship in Odesa port
The Ukrainian authorities reported that a Russian missile strike on Tuesday destroyed a grain ship in the Black Sea Port of Odesa and killed four people.
Oleksiy Kuleba, Ukraine's Deputy Premier, said that a ballistic missile hit the MJ Pinar Bulk Carrier, which was loading wheat to Algeria. The attack killed four Syrians, injured another Syrian, and also injured a Ukrainian.
Kuleba stated that "Russia is attacking Ukraine’s infrastructure, including its ports, which play a role in ensuring food security around the world."
The global grain merchant Louis Dreyfus Company stated in an email that the vessel was loading at Brooklyn-Kiev Terminal at Odesa Port, and terminal infrastructure had also been damaged.
LDC reported that its terminal employees are safe. The dead were among the crew members of the chartered ship.
Kuleba stated that another vessel had also been damaged without providing further details.
Ukraine is also a major grain producer, just like Russia. It managed to restore large-scale shipping exports during wartime, despite Russian attacks on ports.
Chicago wheat futures - a benchmark for global prices - were little changed Wednesday.
Ukraine reported additional Russian strikes over night as the war continues to rage in parallel with U.S. efforts at negotiating a ceasefire. (Reporting and editing by Hugh Lawson, Yuliia Dysa, Pavel Polityuk, and Gus Trompiz)
(source: Reuters)