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Irish airline Aer Lingus to cut 500 jobs as fuel prices rise
Irish airline Aer Lingus said it could cut up to 500 jobs in a reorganisation. It cited high costs 'and a challenging 'economic environment. In a Thursday statement, the airline said that it had already reduced senior management positions by a quarter and planned to cut employee costs "by roughly the same amount" while changing its network to eliminate 'lower margin flying. It said that this would reduce overall flying by 6 percent, including certain long-haul, short-haul, and international routes. They also added that they were focused on reducing "supplier costs." The measures come after the parent company of IAG (London-listed) issued a profit warning back in May. It warned that higher jet fuel prices and supply disruptions caused by war would have a greater impact on earnings than previously expected. In a statement released on Thursday,?Aer lingus?Chief executive Lynne Embleton stated that "our accelerated transformation is designed to... ensure the airline has a strong case for investment and can weather the turbulence of our industry." It said that the airline, which has over 100 routes between Europe and North America in its network, aims to achieve an operating margin over the medium-term of 12-15%, as a way to attract investment. The airline's operating margin in 2025 is a mere?11.1%, compared to margins exceeding 15% for British Airways and Iberia. Mark Potter edited the report by Muvija.
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GE Aerospace raises its 2026 forecast as airlines maintain maintenance spending
GE Aerospace increased its profit?forecast for 2026 on Thursday as airline spending?on parts and services remained stable despite higher fuel prices - and fewer flights. As the Iranian war disrupts oil shipping routes around the world, jet fuel prices are rising and airlines have to cut back on capacity. GE Aerospace Services is closely linked to aircraft departures. Increased flying?drives increased engine wear and maintenance demands. The company said that any impact on revenue and profit from'services' this year will be minimal, since much of the work for '2026 is already secured, and spare parts demand continues to outpace supply. Jet-engine manufacturer expects a?profit per share of between $7.65 and $7.85 in 2026. This is a slight increase from the $7.10 to 7.40 previously forecast. In premarket trading, shares of the company rose by about 2%. Larry Culp, CEO of GE Aerospace, said that despite fewer flights and higher fuel costs, airlines have not slowed down on orders for engine parts or maintenance. Prices of jet fuel have risen slightly since then but are still high compared to levels before the start of World War II. CFM International, a joint venture between France's Safran and the engine maker, dominates the narrowbody jet market. Parts and services account for over 70% of revenue from commercial engines. The unit's quarterly revenue grew 27% from $9.7 billion to $9.7 billion from the previous year. It expects CES revenues to increase by 20% in 2026, compared to its previous outlook of a mid-teens percentage point. The company reported an adjusted second-quarter profit of $2.02 a share, up from $1.66 per share a year earlier. Total revenue was $13.35 billion, up 21% over last year.
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BMW moves forward with its cost-cutting efforts by appointing a new HR director
BMW announced Dorothea von Boxberg's appointment as its new board member responsible for human resources in a statement on Thursday. The German automaker highlighted?her expertise in "transformation processes" at a difficult time. The supervisory board approved the change in executive board after BMW issued an unexpected profit warning last month under its new CEO Milan Nedeljkovic and promised?further budget cuts. German automakers, in particular, struggled to adapt to the growing competition from China and the shift to electric vehicles. Recent U.S. Tariff costs and Iran War uncertainty have added to their difficulties. BMW has avoided the sweeping cuts seen at Mercedes-Benz and Volkswagen. Von Boxberg will replace Ilka Horstmeier, the departing HR chief, on September 1st, according to a company statement. Nicolas Peter, chair of the supervisory board, said: "Dorothea von Boxberg brings not only extensive experience in implementing transformative processes but also a perspective from outside our industry." Nedeljkovic stated that the BMW Group faces new challenges that require constant adjustments to our structures and working methods. He added that von?Boxberg was an "excellent addition" for tackling these tasks. BMW and its staff are preparing to begin talks about accelerating efficiency measures after reducing their?profit forecast, with margins as low as 1%?this year.
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GE Aerospace raises its 2026 forecast as airlines maintain maintenance spending
GE Aerospace increased its profit forecast for 2026 on Thursday as'spending by airlines on aftermarkets and parts remained resilient despite high fuel prices and fewer flights departures. As the war in Iran disrupts oil shipping routes around the world, airlines are being forced to cut back on spending and reduce capacity to maintain fares. GE Aerospace Services is closely linked to aircraft departures. Increased flying leads to increased engine wear and maintenance. The company said that any impact on its services revenue and profits this year will be minimal, since much of the work for its '2026 shop visits is already secured, and spare parts demand continues to outstrip supply. The jet engine maker is expecting a?adjusted?profit per share of between $7.65 and $7.85 in?2026. This compares to?previously forecast $7.10-$7.40. Larry Culp, CEO of GE Aerospace, said that despite fewer flights and higher fuel costs, airlines have not slowed down on orders for engine parts or maintenance. The price of jet fuel has decreased slightly, but remains high compared to levels before the start of World War II. CFM International is the joint venture between Safran and the engine manufacturer. It controls the narrowbody jet market. The company also has a strong franchise in widebody engines, with parts and services accounting for over 70% of revenue. The unit's quarterly revenue grew 27% from $9.7 Billion to $9.7 Billion from the previous year. It expects CES revenues to increase by 20% in 2026 compared to its previous outlook of mid-teens percentage points. The company posted a second quarter?adjusted?profit of $2.02 a share, up from $1.66 per share a year earlier. The total revenue was $13,35 billion, up 21% over last year. Reporting by Shivansh Tiwary, Bengaluru. Editing by Arun K. Koyyur.
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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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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)
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)
(source: Reuters)