Latest News
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New York's Long Island rail strikes halt the busiest commuter route in US
A union statement said that about 3,500 workers from the New York Long Island Rail Road (LIRR), who failed to reach an agreement on wages, went on strike Saturday. This halted the busiest commuter train system in the United States. The Long Island Rail Road is operated and owned by the state’s Metropolitan Transportation Authority (MTA). It serves nearly 300,000 passengers per day. In a press release, the International Brotherhood of Teamsters union stated that a group of five unions had launched a strike. This was 'the first strike in 32 years. The union said that the workers went three years without receiving raises in the course of the bargaining. Mark Wallace, President of the Brotherhood of Locomotive Engineers & Trainmen, said: "This strike wouldn't have happened if MTA and LIRR had offered our members the terms that the government repeatedly recommended." We hope LIRR takes action soon to prevent further?disruptions of hundreds of thousands New Yorkers. When they are ready, they know where to find us: on the street. After the unions requested that he intervene, President Donald Trump signed an executive order in January to appoint another emergency?board for mediation to avoid a stoppage of work at the Long Island Rail Road. Trump had initially named a board to end the labor dispute in September of last year. (Reporting and editing by Tom Hogue in Bengaluru, Mihika Sharma, Shubham Kalya)
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Berkshire purchases Delta and Alphabet, while shedding Amazon, UnitedHealth Visa, Mastercard, and Visa
Berkshire Hathaway announced a $2.65 billion investment into Delta Air Lines on Friday, as well as a small stake in Macy's. It also said that it had sold many of its smaller stock holdings such Amazon.com and UnitedHealth Group. These changes were made as part of the portfolio reshuffle that took place in the first quarter following the promotion of Greg Abel, who succeeded Warren Buffett at Berkshire. Berkshire announced in a regulatory filing that they also tripled their stake in Alphabet (parent company of Google), which is now one of the largest investments in common stocks. Berkshire has also increased its stake in New York Times to 9%. The filing included a list of?Omaha-based Berkshire’s U.S. listed stock holdings at March 31. This represented?most? of the $288 billion equity portfolio. Berkshire purchased $15.94 billion in stocks and sold $24.09 Billion of them between January and March. Abel is likely to have been the one who directed the majority of stock sales. According to previous disclosures, Abel inherited the equity portfolio of Berkshire, including that of Todd Combs. Combs was a Buffett protégé who joined JPMorgan Chase in December. Abel stated in February that he managed 94% of Berkshire stock holdings while Ted Weschler, the investment manager, handled 6%. Berkshire held an 11% stake in Delta Airlines, but sold it along with similar percentage stakes in American Airlines, Southwest Airlines, and United Airlines early in the pandemic, in April 2020. Buffett stated at the time that the aviation industry had undergone a "world-wide change". Delta is considered to be one of the best-run U.S. large airlines. After-hours, its shares rose by 3.2%, likely reflecting the 'approval stamp' that investors perceive from Berkshire. The Atlanta-based carrier did not immediately respond to a comment request. Macy's stock also gained a boost after-hours, with a 5.9% increase following Berkshire's announcement of a stake in 3 million shares worth $55 millions.
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Carney announces Alberta Carbon Pricing Deal that could pave the way for new oil pipeline
Canada's Prime Minister Mark Carney and Alberta's premier on ?Friday signed a deal on industrial carbon pricing, ?part of a broader agreement meant to pave the way ?for ?construction of a 1-million-barrel-per-day crude oil pipeline to British Columbia's northwest coast to start by September 2027. Calgary's deal will raise the cost of carbon credits in Alberta's industrial market from C$95 to C$130 (94.59 USD) per metric ton in 2040. This is a measure to give oil companies a financial incentive for reducing pollution. It is unlikely that it will satisfy oil executives, who are concerned about the impact of any industrial carbon pricing on the industry, especially since the United States does not have a carbon price. Carney was in the city of oil and gas for the first time since November when he met with Alberta Premier Danielle Smith to discuss a plan to increase investment, including funding a new pipeline. Carney said that Canada's carbon markets and incentives to boost?low-carbon oil output will attract the private sector. He said, "I believe there will be a great deal of interest." U.S. COMPETITION WORRIES Alberta frozen its headline industrial carbon prices in May 2025. It cited the need to "keep its companies competitive" in light of the threat that President Donald Trump's Tariffs pose. Alberta's carbon credits trade between?C$20 to C$40 per metric ton. Environmental?experts claim that this is too low a price to encourage polluters into investing in technology to reduce emissions. The plan announced on Friday includes an escalating carbon floor price to ensure that Canada's major emitters are continually encouraged to reduce their emissions. Alberta's carbon price will increase from C$100 to C$130 per ton in 2020, then by 1.5% each year beginning in 2036. Environmentalists had called for a faster timeframe. Tim Weis is the director of industrial decarbonization for Pembina Institute. The 'deal' ensures that Alberta will raise its carbon price in time, as other provinces must do. This is a condition Carney had set before he would allow his government to fast-track a new crude oil export pipeline. For the first time, the agreement provides a start date for a new crude export pipeline if governments meet their legal obligation to consult Indigenous People. Alberta plans to submit a proposal to build a second West Coast oil pipeline by July 1, according to the province. HURDS REMAIN Carney and Alberta agreed that a new pipeline would be contingent upon the oil industry building an carbon capture and storage project. However, under the agreement, the project could be phased-in over time, and the resultant?emission reductions would be less than what the companies who originally proposed the proposal pledged to achieve in 2022. The Oil Sands Alliance, which is made up of Canada's largest oil sands companies, has refused to pay for the carbon capture project. The group said on Friday that it did not support changes to Alberta's carbon tax system. British Columbia, as well as any First Nations that might be affected by this route, would have to approve of the pipeline. B.C. Premier David Eby has said that his government will not allow the oil tanker ban to be lifted off the northwest coast of B.C.
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FAA reduces target for air traffic controller staffing
Federal Aviation Administration (FAA)?said on Friday that it would be reducing its target of?air traffic controller staffing. It also pledged to modernize the scheduling system and increase the amount of time employees spend managing traffic. The FAA announced that it has lowered its target to 12,563 certified air traffic controllers from 14,633. According to a National Academies of Sciences study published last year, overtime costs for air traffic control have increased by over 300% in the past two years, reaching more than $200 million. The report cited a misaligned workforce and an inefficient schedule. According to the report, 'the time controllers spent on managing air traffic from their positions has decreased despite a 4 percent increase in traffic. The report said that it was possible to increase the time spent on position per shift from four hours to more than five. The FAA stated that "modern staffing models and schedule tools will improve the efficiency of controller staffing and reduce the need for excessive overtime." As of April, the FAA reported that approximately 11,000 controllers were 'certified' and deployed in?more than 30 FAA air traffic control facilities. An additional 4,000 controllers were in training, including 1,000 controllers who had previously been fully certified but are now undergoing training at new facilities. The FAA stated that it will "modernize its scheduling and workforce management system to improve efficiency." In 2024, the FAA's air traffic control workforce will have logged 2.2 millions hours of overtime at a cost of $200 million. The average annual overtime for air traffic controllers has increased by 308%, or 126 hours since 2013. The report stated that from 2013 to 2023 the FAA only hired two-thirds the number of air traffic controllers required by their staffing models, as the staffing dropped by 13%. It also said the FAA has been unable to implement the robust shift scheduling software it purchased in 2012. This may have made the problem worse. In'many places, controllers are often required to work six-day weeks with mandatory overtime. FAA Administrator Bryan Bedford stated in December that the FAA had lost between 400 and 500 trainees who withdrew during last year's government shutdown. Reporting by David Shepardson, Editing by Chizu nomiyama
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Carney announces Alberta Carbon Pricing Deal that could pave the way for new oil pipeline
Canada's Prime Minister Mark Carney and Alberta's premier on Friday signed a ?deal on industrial carbon pricing, part of ?a broader agreement they have been hammering out ?for ?months that is meant to pave the way for construction of a 1-million-barrel-per-day crude oil pipeline to British Columbia's northwest coast to start by September 2027. The deal struck in Calgary on Friday will raise the cost of carbon credits in Alberta's industrial market from $95.50 to C$130 (94.59 USD) per metric ton in 2040. This is to give oil companies a financial incentive for reducing pollution. It is unlikely that it will'satisfy' environmentalists, who wanted a faster implementation, or oil executives, who are concerned about the impact of any industrial carbon pricing on the United States industry, which does not have a carbon price. Carney was in the oil-and gas city for the first time since November when he met with Alberta Premier Danielle Smith to discuss boosting investment into energy production. This included a new pipeline, which has yet to find a private sector sponsor. U.S. COMPETITION WORRIES Alberta frozen its 'headline industrial carbon prices' in May 2025. It cited the need to maintain its companies' competitiveness in light of the economic threat posed by President Donald Trumps tariffs. The Alberta carbon market offers credits between C$20 to C$40 per metric ton. Environmental experts believe that this is too low a price to encourage polluters into investing in technology to reduce emissions. The plan announced on Friday will include an escalating carbon floor price to ensure that Canada's major emitters are continually encouraged to reduce their emissions. Alberta's carbon price will increase from $100 to $130 per ton in 2036. It will then rise by 1.5% each year beginning in 2036. Environmentalists wanted Alberta's carbon credit market price to reach C$130 in 2030. They claim that a shorter timeframe would encourage businesses to take immediate steps to reduce emissions. Tim Weis is the director of industrial decarbonization for Pembina Institute. The deal, however, ensures that Alberta will raise its carbon price in the future as other provinces must do. This is a condition Carney had set for his government before it would even consider fast-tracking construction of a new crude oil export pipeline. For the first time, the 'agreement' provides a start date for a new crude export pipeline if governments have met their legal obligation to consult indigenous people. Alberta plans to submit a proposal to build the second West Coast oil export pipeline for Canada before July 1. This is despite the fact that no private company has yet agreed to take ownership of the project. The agreement between Carney and Alberta also stipulates that a new pipeline will only be built if the oil industry commits to reducing emissions by building the proposed carbon capture project. However, this project can still be implemented in phases.
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The Greek-operated oil tanker is one of the few vessels that have crossed the Strait of Hormuz
Ship tracking data on Friday showed that a Greek-operated oil tanker crossed the Strait of Hormuz and sailed to India from the Gulf this Friday, one of only a few "crude" ships through the waterway during the week. The U.S. and Israeli war against Iran has effectively closed the Strait of Hormuz, stranding thousands of ships. This has caused a disruption in energy supplies that is unprecedented. According to Kpler, the Liberia flagged suezmax tanker Karolos was sailing toward the port of Sikka in western India on Friday after crossing the Strait of Hormuz last May 14. Kpler analysis revealed that the vessel's maximum load was reached after it?called at Basra Oil Terminal on May 10th. SynMax, a data analytics specialist, also discovered that the vessel's draft?increased" on May 14 indicating that it had taken cargo. Dynacom, the Greek-based manager of Karolos and one of the most prominent Greek players that shipped oil through the Strait after the War began on February 28 did not respond immediately to a comment request. Separately, a crude oil tanker with a Panama flag, managed by the Japanese?refining company Eneos, passed through this strait on Thursday, according to ship tracking data provided by LSEG. FEW CROSSINGS THROUGH THE STRAIT The Strait of Hormuz, which was a conduit for 20 percent of the world's oil supplies before the Iran war began, had 125 to 140 passages per day. According to SynMax, nine ships entered the Gulf of Oman through Hormuz in the past 24 hours. They were mostly small cargo or dry-bulk ships bound for Iran. The data shows that seven ships, including two oil tankers from Gulf ports, left Hormuz for destinations on the other side around Oman. On Thursday, there were around 10 vessels that passed through the waterway. Iran's State TV reported on Friday that 30 ships had crossed the Strait of Hormuz in both directions, and that this number is "set to increase". U.S. president Donald Trump said that his patience was running out with Iran and that Chinese President Xi Jinping agreed that Tehran had to reopen the strait during their discussions in Beijing. Concerns have grown over the ships and crews trapped in the Strait. The Marshall Islands Shipping Registry, one of the largest flag states in the world, announced this week that the threat level for merchant ships remained at the highest levels ever seen in the region. The International Transport Workers' Federation, a leading maritime union, said this week that "more than 20,000 seafarers remain trapped in the Strait of Hormuz. They are facing fear and anxiety, being cut off from family members, and often running out of fuel, food and water." Reporting by Jonathan Saul and Renee Maltezou; editing by Barbara Lewis
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Greek probe finds that suspected Ukrainian sea drone lost its course after malfunctioning, sources say
Sources said that Greek investigators believed a military sea 'drone found on a Greek island last week had gone off course because of a 'technical failure. It may not have traveled far. The explosive-laden drone, which Greece claims is "Ukrainian" but Kyiv denies it officially, was found by fishermen off the coast of Lefkada in May. This sparked diplomatic tensions between Athens & Kyiv. Greek intelligence and military unit have analysed the drone. They dismantled it and used reverse engineering to determine their characteristics. Investigators are also examining the metadata of this drone to determine its mission, and whether or not it was launched by a mother ship from shore - potentially from as far as Libya in the Mediterranean. A source in the security industry said that it was likely the drone failed to reach its intended target due to a malfunctioning technical component. This issue is very serious. This vessel... was armed with explosives and posed a danger to navigation safety. Nikos Dendias, Greek Defence Minister said that a drone could strike a ship. A?security source' said preliminary findings suggested it had not traveled a great distance. This made a launch in Libya less likely. A second official confirmed that fuel levels were a major factor in the assessment, but refused to provide further details. Source: The technical 'analysis is almost complete. Only some encrypted data remains to be decoded. Ukraine has targeted Russian tankers, both in the Black Sea, and in other parts of the world, such as the Mediterranean Sea, over the last year. Kyiv claims that these vessels are helping Moscow escape sanctions, and export oil in order to fund the war effort against Ukraine. Greece alerted European Union to the issue. George Gerapetritis, speaking from Brussels this week, said that Athens was ready to file a formal complaint when the investigation is completed. (Reporting and editing by Ros Russell; Additional reporting by Daniel Flynn, Yannis Souliotis; Reporting by Renee Maltezou)
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WHO revises hantavirus cases lower after US passenger tests negative
World Health Organization officials said that on Friday, the U.S. confirmed an individual who had a?inconclusive test was later confirmed to be?negative for hantavirus.?This brought down?the global cases from 11 to 10. Maria Van Kerkhove is the director of the U.N. agency’s department of pandemic and epidemic preparedness and prevention. She said that the previous report "included an individual who had a inconclusive testing... We've received further confirmation from the United States of this person?was negative." Since the outbreak?on MV Hondius a Dutch luxury ship that left Argentina for a polar exploration?on 1 April, three people - a Dutch pair and a German national – have died. In several European countries, crew members, passengers and those in contact with them have been quarantined. U.S. officials said on Thursday that there are no confirmed cases of the disease in the United States. They added that 41 people, including 18 quarantined in Nebraska and Atlanta, have been monitored for possible infections. The Andes virus is the cause of the current outbreak. It's a rare strain of hantavirus and it's the only hantavirus known to have limited transmission from human to human, usually after prolonged and close contact. The virus has been circulating in Argentina and Chile since the 1960s and the ship samples do not show any significant variation. Van Kerkhove stated that WHO experts "haven’t identified any changes... in the virus which would make it more transmissible, or more severe." The WHO stressed that this outbreak was not "comparable" to COVID and did not pose any pandemic risk. Hantaviruses, rodent-borne virus, are spread by contact with the urine, droppings, or saliva of infected rodents. In rare cases, they can also be passed between people. The incubation period can be from one to six weeks. There is no specific antiviral treatment or vaccine for hantavirus. The care provided is mostly supportive. The WHO recommends that high-risk contact persons be monitored and quarantined for 42 days following exposure. Low-risk contact persons are advised to monitor themselves and seek medical attention if they develop symptoms.
Financiers feel the pinch of thriftier customers on company profits
Financiers in large consumergoods business are needing to up their stockpicking video game, as a postpandemic spending splurge dries up and significantly pricesensitive shoppers begin to deteriorate business pricing power.
Revenue cautions in sectors ranging from luxury to food and airlines have fed into worries about a downturn in the United States and other significant economies.
These growth issues were one of the aspects behind a. selloff that stripped around $4.8 trillion off global equities. in simply three days this month.
Stock pickers now require to identify those organizations that. won't suffer from a normalisation of costs patterns, let. alone from a financial recession.
Consumers have had the ability to soak up rate increases thanks. also to the exceptionally high level of cost savings built up. ( during the pandemic). It seems that now this is concerning an. end, Chiara Robba, head of LDI equity at Generali Possession. Management in Paris, stated.
The second-quarter reporting season is revealing some signs. of consumer downturn with following attempt from business to. decrease prices to increase consumption, she stated.
S&P Global's organization activity studies in July recommended. companies in the United States and the euro zone weren't able to. hand down higher costs rather as quickly as in the past.
There's now a long list of business earnings that indicate a. softening of rates power or weak point in customer spending.
Significant examples consist of Nestle and Ryanair. in Europe and McDonald remains in the U.S., together with payment. companies such as Visa and Worldline. In many cases,. share costs have tumbled.
Forty business have cut guidance so far this season in. Europe, BofA said on Tuesday, the most in over a year, with a. majority mentioning weak need, consisting of, remarkably, in the. U.S.
Signs of customer weak point have actually triggered issue, it stated.
SOBERING-UP HIGH-END SPENDING
The high-margin luxury market hasn't escaped and while. business point to the long slump in China, investors are. likewise paying attention to spending patterns in other places.
Kering's Saint Laurent cut rates of its Loulou. bag in France, the UK, U.S. and China by 10-15% in May in a. very rare move for the sector which Barclays said could. reflect the brand acknowledging its earlier rate walkings had been. too aggressive.
Following 3 years of above-average boosts, high-end. rate inflation is revealing indications of going back to its long-term. range of 5-7%, or below, said Luca Solca, an analyst at. Bernstein in London.
Weak brand names that had actually been jumping on the bandwagon and. increased rates materially are required now to remedy through. discount rates and promotions, he said. This is occurring because. middle-class consumers in the West are sobering up from the. post-pandemic bliss.
Burberry, which sacked its CEO and warned on earnings. in July, has been mentioned as one example. Its shares removed practically. one fifth of their worth on earnings day.
Example and Hugo Manager have actually become the two. most shorted stocks on the pan-Europe STOXX 600 index. following disappointing numbers, data from Mediobanca programs.
Even sector leader LVMH, Europe's second-largest. listed company behind Danish drugmaker Novo Nordisk,. isn't immune.
There is certainly a sense of consumer resistance to higher. rates, given the continuous cost of living crisis, Sanjiv Tumkur,. head of equities at Rathbones Investment Management, stated.
This seems felt throughout all income sections-- for. example the luxury products companies are seeing more tough. and volatile customer conditions in lots of geographies, especially. China, in all but the leading end of the marketplace.
CONSUMER POLARISATION
Gillian Diesen, senior client portfolio manager at Pictet. Possession Management, believes the current incomes releases point. more to consumer polarisation than a generalised loss of prices. power.
At the greatest end, most exceptional brand names ... are raising. pricing once again this year, although at more normalised levels,. she stated, including that the trend extended beyond the high-end. sector.
Carmaker Ferrari beat expectations thanks to sales. of its more expensive designs, despite the fact that consumer demand in the auto. sector has actually varied.
Differentiation is a huge aspect too - sectors with low. levels of distinction, such as personal care and food and. beverages, might be most at threat, said Generali's Robba.
In sporting items, Diesen said higher-end ingenious brand names. like On and Deckers' Hoka continue to benefit. from rates and sales development, in contrast to mainstream names. like Nike and Puma, which cut its profit. outlook on Wednesday, sinking its shares to a six-year low.
In airline companies, Rathbones' Tumkur warned against. theorizing Ryanair's cautioning to the remainder of the market,. pointing out much better need at rivals Easyjet and Jet2 .
Ryanair is likewise more of a pure affordable carrier, whereas. its competitors have more exposure to package holidays, which appears. to be presently prioritised more extremely by consumers, he stated. As ever stock choice will be crucial..
(source: Reuters)