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Baltic Exchange defends their tanker rates during Iran war as reliable
In a London court document, the Baltic Exchange defended the flagship oil 'tanker benchmark' saying that it accurately reflected the market conditions during the U.S. - Israel conflict with Iran despite the 'disruption of the Strait of Hormuz. The benchmark is used to 'price and settle billions in freight trades around the world. Its reliability is at issue with Mercuria, one of the largest commodity traders in the world, who claims it has mispriced market. Mercuria filed a court document on April 30 stating that it was suing the Baltic Exchange for losses caused by incorrect pricing data. The company claimed the price data did not take into account the "effective closure" of the Strait following the start of the conflict in February. It claimed to have suffered or 'will suffer' losses in the hundreds millions of dollars U.S. on freight and derivative freight contracts related to?the TD3C Route. In a court document, The Baltic Exchange, which is the largest provider of shipping rates in the world, stated that its indexes still reflect market conditions because sailings continue through the Strait. In its defence filed on June 16, the Exchange stated that despite the reduced number of transits, the lawful passage was still possible and the panelists were continuing to assess the freight market. The Baltic believes that input data is representative of 'the market or economic realities and that benchmarks can continue to be published", it stated in the filing. Baltic Exchange panelists are shipbrokers that provide independent assessments of rates for freight which are then used to create indexes. According to the Baltic Exchange website,'shipowners and chartered cannot be panelists. The London-based Baltic Exchange, which is owned by Singapore's SGX said it had separately conducted "appropriate consultations with members of the Baltic, as well as other stakeholders". The Baltic is confident in its processes and believes that the claim made by Mercuria lacks'merit'. It will defend this claim?to the maximum extent possible," the company said in a recent statement. Mercuria declined to comment further, saying it would respond to the Baltic Exchange defence in court. Reporting by Jonathan Saul in London and Robert Harvey; editing by Eliza Hardcastle
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US airline stocks increase as oil prices fall to pre-Iran War levels
U.S. airlines stocks rose from 3% to 7% on Wednesday, after crude oil prices dropped to their lowest level since before the Iran War. This has raised hopes that the pressure on carrier's earnings will ease. However, the benefits won't be passed to passengers right away. The S&P 500 Passenger Airlines Index has risen as much as 5%, to an all-time record high. It is now up almost 13% from its close on June 12, when the U.S. announced that it had reached a peace deal with Iran. In that period, the benchmark S&P?500 index has fallen by 0.5%. Brent crude futures dropped below $74 per barrel on Wednesday amid signs more oil tankers will be leaving the Strait of Hormuz - a channel for a fifth of world's oil supplies. Airlines will save 'billions of dollars on additional costs as crude prices and supplies are set to decrease. The rise in jet fuel prices that occurred during the Iran War outpaced the growth in fares. A drop in airfares for flyers is unlikely due to the tight supply. UBS analyst Atul Mahaeswari says that the decline in oil combined with a resilient demand has driven airline stocks higher. In a note published on Tuesday, the brokerage stated that if fuel costs moderated, it could see airlines' earnings per share for the third quarter exceeding Wall Street expectations. Analysts say that while all airlines are expected to benefit from lower jet fuel prices, those with smaller fleets and a lower percentage of premium seats will likely gain the most, since their margins can be more sensitive to fuel price spikes. Delta, JetBlue, and Frontier each rose by 3%, while Delta rose by 3.7%, and Southwest rose by 4.5%. Alaska Air, United and American Airlines were each up around 6% in early trading. According to the International Air Transport Association, jet fuel?prices have fallen from a high of $170 to a weekly average of $119.17. This is despite the fact that the price had reached a record high in February.
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Sources say that Russia is set to export record volumes of oil from its western ports in June
As a result of the Ukrainian drone attacks, Russia will ship record volumes of crude oil from its western ports in June. Sources said that loadings at the Baltic ports Primorsk and Ust-Luga as well as the Black Sea port Novorossiysk are expected to be around 2.7 million barrels per day this month. One source said that shipments could reach as high as 2,8 million barrels per day. This would be a significant increase over the 2.5 million barrels per day (bpd) exported in May, and about 1 million above the initial forecast for the month. As a result of repeated drone attacks, several major refineries have been forced to shut down. Moscow has redirected crude oil into export channels in an effort to avoid production reductions. The outages also have put pressure on the domestic fuel supply. Several Russian regions have restricted sales, citing shortages in some gasoline and diesel grades as well as?long lines at filling station. As refinery output remains below normal levels, Russia is trying to balance the rising crude exports against the potential fuel shortages in its own country. According to traders, higher Russian exports may put "additional" pressure on the global oil price already under stress from increased Iranian supply. Recent U.S. waivers have allowed buyers in India and China to switch from Russian crude to Iranian grades. This has intensified competition on key markets.
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Telecom Italia files complaint against KKR-backed FiberCop over network tariffs
Two sources have confirmed that Telecom Italia has filed a 'complaint' with a Milan court regarding new landline tariffs set forth by KKR-backed 'FiberCop, which purchased TIM’s telecoms network in 2024. The dispute centers on the terms governing TIM’s access to fixed-line assets that it sold to a KKR led consortium as part a broader restructuring aimed to reduce TIM’s debt by EUR14billion. Two people who are familiar with the matter, on condition of anonymity, said that the court complaint was filed as part of a fast track procedure. A first hearing in the case is scheduled for early July. Third person stated that the new tariff scheme entails dozens or millions of euro in extra costs each year for TIM. It now pays to use grid it used to own. TIM refused to comment. FiberCop'said that in a written statement that it would file its defense within the 'court-set deadlines. It maintained that its conduct.was fully appropriate, and that TIM s actions are unfounded. FiberCop operates Italy's largest landline telecommunications network. It is owned 37.5% by U.S. Investment firm KKR and 16% by the Italian Treasury. NETWORK SALES As part of the network sale in 2024, TIM signed a contract with FiberCop that governs TIM's access FiberCop landline assets. Under this agreement, TIM 'buys' capacity to be sold to end users, and pays around EUR2 billion per year. The people stated that TIM requested the court to order FiberCop to follow the tariff scheme set out in the agreement. They did not provide any further details. FiberCop revised its pricing framework after Italy's Telecoms Watchdog AGCOM classified it as a Wholesale-Only Operator and set out lighter regulations in a resolution dated March 16. The ruling by?AGCOM removes the previous cost-based price controls in most of Italy and replaces them with a fair, reasonable, and objective pricing assessment. This gives FiberCop more flexibility when setting tariffs. FiberCop stated that TIM's lawsuit does not'suspend AGCOMs ongoing tariff review or impose pricing conditions', which are under the authority?s remit. After a six-month period of transition, the new pricing will be implemented on September 16, 2026. Existing regulated prices will remain in place up until that date. (Reporting and editing by Gavin Jones. Valentina Za, Keith Weir, and Elvira pollina)
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US Postal Service asks Congress for help because it is running out of money
U.S. Postmaster General David Steiner said to Congress on Wednesday that the financially struggling agency had a broken business?model and needed help from legislators to re-energize its.operations. "The bottom line is that we're out of money." Steiner said in his written testimony to a U.S. Senate Committee that they were borrowing money from the retirement funds of their employees to continue operating. He warned it would run out of funds if it didn't stop deferring payments. Congress must act to fix the Postal Service's broken business model. Steiner wants Congress compensated for "money-losing" operations and to make other reforms. Steiner announced in March that the Postal Service would be hiring restructuring advisors to help it address its financial problems. Steiner stated that the USPS should continue delivering?to 170 millions addresses six days a weeks, at a cost of $3.4 billion per year. Steiner also said that 70% of these routes are losing money. Around 58% of the 18,000 Post Offices in the US also lose money. Since 2007, the Postal Service reported net losses totaling about $120 billion. This is because the Postal Service's most profitable product - first class mail - has declined sharply due to the shift from paper communication to digital, while the agency still has to maintain costly nationwide delivery operations. USPS announced last month that it would halt non-essential expenditures on consultants, office supplies, and travel. Steiner explained in a memo that the move was made "to protect our core?operations" and to ensure we could continue to meet all essential responsibilities. The Postal Service announced last month that it would suspend payments to federal pension programs by employers and raise the price of first class mail stamps to 82c from 78c, starting July 12. The Postal Service will save $2.5 billion by stopping employee contributions to pensions through September 30, and up to $15 billion between 2030. Reporting by David Shepardson, Editing by Chizu nomiyama
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European countries have specific regulations for heat conditions
According to the Climate Monitor, temperatures in Europe have risen up to 18 degrees Celsius above normal seasonal levels. Authorities haven't said how long this heatwave will last. Meteorologists attributed it to an Omega block, which is a weather pattern trapping hot air over a period of days. The following are the current working conditions in Europe for heat conditions, grouped by country. BELGIUM Heat-stress rules for the workplace are based on Wet Bulb Globe Temperatures (WBGT). The action thresholds are 29 C (for office/light work), 26 C (for moderate work), 22 C (for heavy work), and 18 C in the case of very heavy work. Employers must take action if these levels are exceeded by providing cooling, ventilation, additional breaks, and drinks. FRANCE France does not have a temperature limit that must be reached before work can stop. The French Labour Code instead requires employers to ensure employee safety and health by maintaining suitable temperatures. The French National Institute for Safety and Health at Work (INRS) warns that even though the Labour Code does not mention a maximum temperature, it is dangerous to work in an environment with temperatures above 30 C. GERMANY Germany gives employers a high level of freedom even in high temperatures. According to the Federal Institute for Occupational Safety and Health, there is no legal requirement for employers to maintain a certain temperature at work. Employers must, however, take steps to reduce heat depending on the temperature. They should also take into account factors like humidity, physical requirements of the job, breaks and clothing. When the temperature rises to 30 C or more, it is possible to take measures like closing the blinds, ventilating in the mornings, installing fans, or starting the work earlier. When temperatures exceed 35 C, there are stricter rules. For example, breaks can be taken in cooler rooms, or wear heat-protective clothing in industries such as steelmaking. No national law requires that?work stop when temperatures reach a certain threshold. There is a mixture of heat-risk protocols and regional and local ordinances as well as income-support regulations when work is suspended. Regional ordinances require the temporary suspension of outdoor activity from 12:30 pm to 4:00 pm in areas where forecasters have predicted a high risk level for workers engaged in intense physical activities and exposed to the sun. This ordinance will be activated in 18 of Italy's twenty regions by 2025. It will affect more than 2.3 millions employees. No single maximum temperature is used as a trigger in the United States, but 35 degrees Celsius is considered a general threshold. Government wage support is available to workers if they are forced to stop or reduce their work because of heatwaves. POLAND The Polish rules for working in hot weather are a combination of general safety obligations as well as specific mitigation measures. Employers are required to provide access to water, other drinks, air-conditioned or cooled rest areas, extra breaks, and protection from direct sun. Employers may also reduce working hours, implement rotation systems, or in extreme cases, relieve employees of their duties. Workers may stop working if they feel that their health or lives are in danger. They will still be paid. When temperatures are above 28 C or 25 C outside, or when heat exposure exceeds defined physiological thresholds, employers must provide free drinks. In high-temperature areas, additional protections are required. This includes access to cooled rest?spaces when indoor temperatures exceed 30 C because of industrial processes. PORTUGAL No legal temperature limit exists for the suspension of work. However, employers are required to keep workplace temperatures as close as possible between 18 C and 25 C. In addition, the regulations state that workers who are exposed to extreme temperatures at work should take appropriate measures to correct them. The Spanish Labour Ministry has stated that employees have the right to adjust their working conditions when severe weather alerts are issued. This includes the ability to modify or reduce working hours if orange or red warnings appear. The thresholds that trigger such alerts are different in each region, depending on the local conditions. If workers are unable to reach their workplace, they can take up to four paid days off. Companies may also use temporary layoffs on the grounds of force majeure. (Reporting and editing by Matt Scuffham, Tomasz Klyve Gudbrandsen and Joao Manual Mauricio; Editing by Matt Scuffham).
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Exxon Mobil Antwerp refinery will stop production from June 29 to July 3 due to a strike
The company's Press Office announced on Wednesday that Exxon's oil refinery in the 'Belgian Port' of Antwerp will stop production from June 29 until July 3, due to a striking action. ABVV Petroleum union stated on its website that workers at the refinery oppose a plan of cutting 35 jobs from a total of 735. According to the union, staff are also protesting about their deteriorating conditions of work and fewer options for early retirement despite ExxonMobil making higher profits because fuel prices have risen. The union stated that the job cuts were part of a wider reorganization, which will result in a 20% reduction in the number of employees in the country. Exxon Mobil stated?on their website in 2018 that the refinery's production capacity is?about 320 000 barrels per day. The refinery treats different types of crude and produces LPG as well as?petrol and other fuel oils. Exxon Mobil's adjusted earnings for May 1 exceeded estimates, but its net income fell to the lowest level in five year due to supply disruptions worldwide caused by Iran War. (Reporting and editing by Inti Kar-Gupta; Inti Landauro)
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Sources say that Russia has asked Kazakhstan for gas to alleviate shortages.
Four industry sources said that Russia and Kazakhstan are in discussions to import 50,000 metric tons of AI92 to alleviate a 'domestic shortage' caused by refinery failures and unscheduled maintenance. As of late June, the shutdowns at several large refineries in central Russia following Ukrainian drone attacks had reduced gasoline production by about 25% on an annual basis. The Russian Energy Ministry declined to comment immediately. Erlan Akkenzhenov, Kazakhstan's energy minister, said earlier that Astana hadn't received a formal request for gasoline from Moscow. The Russian government is considering measures for stabilizing the market. These include fuel export restrictions and higher subsidies for refiners. This is an unusual move for one of world's largest fuel exporters. In this?month, Moscow has allowed refineries in the country to produce gasoline and Diesel for the domestic market at lower quality standards. Russia is also planning to import gasoline by sea, highlighting the seriousness of the situation. Kazakhstan is a relatively smaller?fuel producer than Russia. Sources said that supplies will not be significant. Sources said that Kazakhstan has an excess of gasoline, but the maintenance work at the Atyrau Refinery between June 26 and July 20 will reduce the available reserves. Kondensat, a refinery in Kazakhstan that processes gas?condensate produced by the TANECO refinery in Russia and which has quotas on fuel exports, is one possible source. According to Kazakhstan's fuel-and-energy analytical centre, Kondensat exports 15,207 tons AI-92 and AI 95 gasoline to?Georgia by May 2026. TANECO, owned by Tatneft in Russia, halted all crude processing after a drone strike on 12 June, which could limit the feedstock available to Kondensat. According to a?source from Kazakhstan, gasoline deliveries could be made to Russia in exchange for Russian jet-fuel. According to industry sources, Kazakhstan will face a shortage of jet fuel in July because of?rising demand?, maintenance at Atyrau?and lower Russian imports. Russia, Kazakhstan and Belarus are all members of the Eurasian Economic Union. This union allows for duty-free hydrocarbons and establishes annual indicative balances in fuel trade. Reporting by. Mark Potter (Editing by Mark Potter).
US Postal Service defends plan to require states to disclose mail voting lists
The U.S. The head of the U.S.
U.S. postmaster general David Steiner?said 'at a hearing of the U.S. Senate Homeland Security and Governmental Affairs Committee that under this proposal, USPS will not deliver ballots to states where officials refuse compliance.
"The proposed rule essentially coerces the states to comply with these new requirements and give over their absentee voters rolls, or else face the consequences of not being able?to vote by mail", said Senator Gary Peters. "That's unacceptable."
Steiner said the plan was more efficient, and mirrored what many states do currently. USPS makes sure that "we match what a state thinks they are sending out with what is actually sent?out."
States would be required to give the USPS names and barcodes that are attached to their mail-in votes for federal elections. The proposal would require the states to apply unique barcodes to both outbound and returned ballot mail envelopes. This, it says, "will facilitate law enforcement efforts and help determine compliance with federal law."
The 47 Democratic Senators sent a letter on Wednesday to the Postal Service, asking it to abandon the plan. They called it an "unconstitutional, illegal attempt" to turn the USPS into a White House-controlled election administration agency.
Democratic Senator Elissa slotkin stated that Steiner is a pawn in Trump's obsession with taking over elections. Slotkin stated that "you are being 'used' (by Trump)." "He doesn't believe that elections he loses were valid elections."
The proposed regulation is the result of Trump's executive order from March that aimed to restrict mail-in votes, which he claimed was prone to fraud without presenting any evidence.
A U.S. Judge ruled last week that Democratic-led states, and voting rights groups, could challenge the order for mail-in voting.
Trump's order instructs the Homeland Security Department to compile and send to each state a list of U.S. citizens who are eligible to vote, derived from naturalization and citizenship records as well as other federal databases.
(source: Reuters)