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Vietnam prepares for Typhoon Kajiki when it approaches coast
Vietnam has closed airports, schools and started mass evacuations in preparation for the strongest storm this year. The weather agency of Vietnam said that Typhoon Kajiki was about 110 km (68 mi) away from the central coast of Vietnam, in the north, as of 3:00 GMT. It was expected to land on Monday afternoon. In a Sunday night statement, the government warned that Kajiki was a dangerous storm moving quickly. It would bring heavy rainfall, flooding, and landslides. Vietnam's long coastline, which faces the South China Sea is susceptible to violent storms. These can be deadly and cause dangerous flooding and mudslides. Kajiki will likely hit areas that are less developed than those affected by Yagi last year, which caused around $300 in deaths and $3.3 billion in property damage. The storm is expected to move into northern Thailand and Laos. On Monday, the Vietnamese government announced that 30,000 people were evacuated from coastal zones. The government released a statement saying that more than 16,500 soldiers, and 107,000 paramilitary members were mobilised to assist with the evacuation as well as to be on standby for search and recovery. Authorities announced on Sunday that over half a million individuals would be evacuated. They also ordered boats to stay in port. According to the Civil Aviation Authority of Vietnam, two airports were closed in Thanh Hoa province and Quang Binh. Vietnam Airlines and Vietjet canceled dozens of flights in and out of the area Sunday and Monday. Kajiki, which is currently moving towards Vietnam from China's Hainan Island, skirted around the southern coast on Sunday and forced Sanya City to shut down businesses and public transportation. Hainan, China's most southern province, downgraded its emergency response and typhoon alerts Monday morning. However it warned of heavy rainfall and isolated storms that could affect cities in southern Hainan. Hainan's provincial meteorological authority has said that it expects weather conditions to improve on Monday evening. Local media reported on Sunday night that many residents of Sanya, an extremely popular resort, took shelter in underground garages from the storm. Reports said that some large trees had been brought down, leaving the roads littered with broken branches on Monday morning.
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Oil prices rise after Ukraine attacks on Russian energy sites
Oil prices rose on Monday as Ukraine intensified its attacks against Russia, causing concern that Russian oil supplies could be disrupted. Meanwhile, expectations of a reduction in U.S. rates boosted the outlook for growth globally and fuel demand. Brent crude futures increased 3 cents or 0.04% to $67.76, while West Texas Intermediate crude futures rose 7 cents or 0.11% to $63.73. Officials in Russia said that Ukraine launched a drone strike on Russia on Sunday. The attack caused a dramatic drop in the reactor capacity at one of Russia’s largest nuclear power plants, and ignited a massive fire at the Ust-Luga terminal for fuel export. The acting governor for the region confirmed that a fire was also burning at the Novoshakhtinsk Russian refinery. It had been caused by an attack from a Ukrainian drone. The refinery has a capacity of around 100,000 barrels a day and sells fuel mostly for export. Its annual production is 5 million metric tonnes of oil. Tony Sycamore, IG analyst and market analyst, said that "given the success of Ukraine's targeting of Russian oil pipelines... crude oil risks are shifting up," JD Vance, the U.S. vice president, said that Russia had made "significant concessions", in order to reach a settlement through negotiation with Ukraine. "They have realized that they won't be able install a puppet government in Kyiv. This was a major request at the start. They've also acknowledged the fact that the territorial integrity in Ukraine will be protected by a security guarantee," Vance stated on NBC's program "Meet the Press With Kristen Welker". Donald Trump, the U.S. president, also reiterated his threats to impose sanctions against Russia if there is no progress towards a peaceful resolution in Ukraine within two weeks. Investors' appetite for risk has increased after Federal Reserve chair Jerome Powell signaled on Friday that an interest rate reduction could be made at the U.S. Central Bank's next-month meeting. ANZ analysts wrote in a report that "a risk-on attitude across markets boosted investors' appetite across commodities complex." This was aided by the renewed supply issues across metals and energy. (Reporting from Sam Li in Beijing, and Florence Tan in Singapore. Editing by Sonali and Christopher Cushing.
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Fears of a water war in India sparked by China's mega dam
India is concerned that a Chinese mega-dam planned in Tibet could reduce water flow on a major rivers by up to 85% if it's built during the dry season. This has prompted Delhi to speed up plans for its dam to counteract the effect. Since the early 2000s, the Indian government has considered projects to control the flow from Tibet's Angsi Glacier. This water sustains over 100 million people in China, India, and Bangladesh. The plans have been stymied by the fierce and violent opposition of residents in the border state Arunachal Pradesh who fear that their villages and way of living will be destroyed by any dam. In December, China announced it would build the largest hydropower project in the world in a border country just before the Yarlung Zangbo River crosses into India. New Delhi was worried that the long-time strategic rival – which has territorial claims in Arunachal – could weaponize the control of the river. The Siang and Brahmaputra originate in the Angsi Glacier, and are known in India as the Siang. In May, India's largest power company moved survey material under the protection of armed police near the potential site for the Upper Siang Multipurpose Dam. If completed, this dam would be the biggest in the country. According to two sources who spoke under condition of anonymity, senior Indian officials also held meetings to accelerate construction in this year. One of these was organized by the Prime Minister's Office. The Indian government's undated analysis of the dam's impact in China outlines Delhi's concerns. Four sources corroborate the details, and this is the first report to include them. Beijing hasn't released detailed plans about the dam's construction, but the analysis drew on past work conducted by Indian government-affiliated institutions like the Central Water Commission and accounted for the expected size of the Chinese project, which broke ground in July and will cost nearly $170 billion. Delhi believes the Chinese dam could allow Beijing to divert up to 40 billion cubic meters per year, which is just over a quarter of the water received at a major border crossing, according to sources and documents. This would be most evident in the months that do not include monsoons, when temperatures are high and land becomes barren. Upper Siang's 14 BCM storage capacity would allow India to release water in the dry season. According to sources and documents, the city of Guwahati would experience a 11% reduction in water supply, compared to a 25% decrease if an Indian dam was not built. Sources said that the project could also be used to mitigate any attempt by Beijing, which would release torrents of water downriver. According to the document, and to the sources, if the dam was at its minimum drawdown - when water is stored below 50% of its height- it could absorb all excess water from a Chinese infrastructure breach. Two sources claim that India is considering the idea of keeping 30% of its dam at all times empty to accommodate surges. In response to questions, a spokesperson from China's Foreign Ministry said that the hydropower project "has undergone rigorous scientific studies on safety and environment protection and will not negatively impact the water resources or ecology of downstream countries." The spokesperson said that "China has always taken a responsible approach to the development and use of transboundary river systems, and has maintained a long-term relationship and communication with countries downstream such as India and Bangladesh." Modi's Office and the Indian Ministries responsible for Water and External Affairs did not reply to questions. State-owned hydropower giant NHPC did not respond to a comment request either. India's Foreign Ministry has confirmed that S. Jaishankar, a top diplomat in India, raised concerns over the dam when he met with his Chinese counterpart August 18. In August, a Jaishankar deputy told lawmakers that the government had taken measures to protect the lives and livelihoods in downstream areas. This included building the dam. India was accused of weaponizing the water by Pakistan, an ally of China with whom it had a brief clash in May. Delhi suspended its participation this year in a 1960 treaty on water sharing with Islamabad, and it is now considering diverting the flow of another important river away from its neighbour downstream. Delhi claims that the tribunal lacks jurisdiction. DEVELOPMENT OR DESTRUCTION? In May, when NHPC workers were moving surveying materials near Parong village, angry locals destroyed their machinery, destroyed a bridge nearby and looted tents sent by police to guard the operation. The majority of these people are from Arunachal, the Adi, who farm paddy, sweet lime, and oranges in the misty hills and valleys that the Siang nourishes. Villagers have installed makeshift checkpoints on regional roads in order to prevent NHPC employees from entering. This has led to security personnel trekking miles to reach the potential site of the dam, sometimes at night. According to two sources, at least 16 Adi village are expected to disappear from the storage area. This will directly affect an estimated 10,000 people. Leaders of the community say that more than 100,000 people are affected. Odoni Pabin, an Adi grocery store owner and mother of two, said, "The cardamom we grow, the paddy, the jackfruit, and the pear that we produce on this land, help us educate our children and provide for our family." "We will fight this dam until it is destroyed." Arunachal chief minister has backed the dam. He is a Modi party member and has called the Chinese plan an existential danger. The project "will ensure water security and flood moderation in order to counter potential water surges", the state government stated in a press release. It added that it had decided in June that detailed compensation discussions would be held with families who could be affected. Alo Libang is an Adi lawmaker who represents a region that would be submerged under the Indian project. He believes locals can be persuaded to relocate if they receive generous compensation. Three sources cited instructions from Modi’s office and said that NHPC plans to spend over $3 million for education and emergency infrastructure in order to encourage villagers to relocate. According to the Arunachal Government and dozens locals, this is a sign of progress. Three villages in the region recently agreed to allow NHPC officials to carry out dam related work. India's history is dotted with activist movements that have slowed down large dam projects or forced them into a scale-down. Four sources claim that even if the Upper Siang Dam is approved, it will take at least a decade for the dam to be built. This means that the project will likely be finished after China's project. Beijing is expecting to generate power in the early-to mid 2030s. Two sources stated that the delay would make an Indian project vulnerable to a sudden release of water by Beijing during the monsoon, which could cause a flood and wash away temporary dams. Adi activists and international experts have warned that the construction of large dams on seismically active Tibet or Arunachal can increase risks to downstream communities. Sayanangshu modak, an expert in the India-China relationship on water at the University of Arizona, said that the Chinese "dam" is being constructed in a seismically active zone and in one where extreme weather conditions are common. He said that extreme weather events can cause mudslides and landslides as well as glacial lake flooding. "That raises concern about dam safety... It's a legitimate concern, and India should engage China."
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Vietnam shuts down airports and begins mass evacuations as Typhoon Kajiki nears
Vietnam has closed airports, schools and begun mass evacuations in preparation for the strongest storm this year. The weather agency in Vietnam said that Typhoon Kajiki had winds up to 166 km/h (103mph) when it was approaching the central coast of Vietnam. It was expected to get stronger before landing on Monday afternoon. In a statement issued Sunday night, the government warned that Kajiki was a dangerous storm moving quickly and would bring heavy rainfall, flooding, and landslides. As of 0000 GMT the storm was 150 kilometers off the coast. Around 0900 GMT, the eye of this storm will hit an area between Thanh Hoa province and Nghe An. Vietnam's long coastline, which faces the South China Sea is susceptible to violent storms. These can be deadly and cause dangerous flooding and mudslides. Kajiki, according to the Vietnamese government, is expected to be just as powerful as Typhoon Yagi. This storm, which hit Vietnam less than a month ago, killed about 300 people, and caused $3.3 billion in property damage. Authorities announced on Sunday that over half a million residents would be evacuated. They also ordered all boats to remain ashore. According to the Civil Aviation Authority of Vietnam, two airports located in Thanh Hoa province and Quang Binh have been closed. Vietnam Airlines and Vietjet cancelled dozens flights into and out of the area. Kajiki, which is currently moving towards Vietnam from China's Hainan Island, skirted around the southern coast on Sunday and forced Sanya City to shut down businesses and public transportation.
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Asahi reports that Japan is looking at a new tax to fund infrastructure improvements to replace the gasoline surcharge.
The Asahi reported that the Japanese government was considering the introduction of a new tax in order to fund the repair of public infrastructure. This would replace the decades-old surcharge on gasoline, which will be eliminated by the end this year. The new tax is likely to be targeted at car owners, and will replace the "provisional gasoline tax" that Japan's ruling coalition has agreed to eliminate "as soon as possible this year" with the opposition. The provisional tax was introduced in 1970 as a temporary measure to fund road construction and maintenance. It adds 25,1 yen ($0.17) to the 28.7-yen base rate. The tax's end would result in a loss of general tax revenue of approximately 1 trillion yen per year. Asahi, without citing any sources, reported that the finance ministry and interior affairs ministry would be working on initial plans. These could include a new fuel-based taxation. The Asahi reported, without citing sources, that the finance ministry and internal affairs ministry will be drafting initial plans, which may include new fuel-based taxation. The Asahi reported that the new tax might be criticized by opposition lawmakers for being a mere rebranding to the expired gasoline levy, which undermines the efforts of consumers to reduce the burden amid rising costs. The Ministry of Finance has not responded to an immediate request for comments on the report. Reporting by Makiko Yazaki, Tokyo. Editing by Lincoln Feast.
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Iran's envoy in Russia, TASS, says that Iran is hoping for a quick start to the gas deliveries by Gazprom via Azerbaijan.
Kazem Jalali, Iran's envoy in Russia, said in comments published on Monday that Iran expects supplies of Russian natural gas through Azerbaijan to begin soon. This is because almost all issues in the negotiations with Gazprom are resolved. We hope that this will happen very soon. "We are currently in negotiations with Gazprom and most issues have been resolved," TASS quoted Jalali. We need to reach a common price. "If that is resolved, everything can be launched." Moscow and Tehran signed an agreement in April for 55 billion cubic meters of Russian gas after Gazprom had signed a 2024 memorandum with the National Iranian Gas Company. The gas will be supplied via pipeline from Russia to Iran. The pipeline's possible routes were not disclosed at the time. Since the beginning of Russia's conflict in Ukraine, Moscow has strengthened its ties with Iran and signed a Strategic Partnership Treaty with Tehran in January. Both countries are subject to Western sanctions, and Moscow's gas and oil exports have dropped dramatically. Russia and Iran have a long-standing history of co-operation. In fact, the first nuclear reactor in Iran was built at Bushehr, located in the southern part of the country.
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Databricks buys Sequoia's Tecton to push AI agents
Databricks, a company that offers AI agents, will expand its AI agent offering by acquiring machine learning startup Tecton. This is the latest of a series of deals aimed to offer full-scale AI tools for enterprise clients, said its chief executive on Friday. Tecton is backed by Sequoia Capital, Kleiner Perkins and provides software to help companies analyze data and deploy it at scale, with low latency. The financial terms of the Databricks private shares deal were not disclosed. Tecton's last valuation was $900 million, in a private funding round for 2022. It has approximately 90 employees. Databricks announced this week it had signed a Term Sheet for a New Funding Round at a Valuation of More Than $100 Billion, an increase of over 60% from 8 months ago. Tecton, founded in 2020, has raised $160M from investors such as Andreessen-Horowitz and Bain Capital Ventures. Former Uber engineers created Michelangelo a platform for AI that Uber uses internally to perform real-time pricing. Databricks CEO Ali Ghodsi stated that Tecton’s technology and talent would help Databricks to develop Agent Bricks, Databricks’ flagship product, which automates workflows using AI agents. This is because the competition to provide AI tools for businesses has intensified. The acquisition will help customers build interactive services to reduce response times for AI applications. He said that the speed of AI applications such as voice interactions is critical. "Many use cases are directly human-facing. Humans hate to wait." Both companies had a close relationship. In 2022, Tecton partnered up with Databricks and its competitor Snowflake. Both platforms are now investors in the startup. Ghodsi stated that many Tecton customers, including the crypto exchange Coinbase, already use Databricks services. He said that the acquisition will help deepen relationships with customers who rely on both technologies. This deal is part of Databricks acquisition spree. Fueled by its soaring valuation, it has been buying venture-backed startups as it develops a comprehensive AI Platform. Databricks purchased generative AI platform MosaicML in 2023 for $1.3 billion, Tabular in 2020 to bring Apache Iceberg creators in-house and Neon earlier this year for $1 billion. Reporting by Krystal H. Hu, Toronto; Editing and proofreading by Edmund Klamann
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Spirit Airlines hires advisors to evaluate options after redesign efforts fail, WSJ reports
Spirit Airlines, according to sources cited by the Wall Street Journal on Friday, has hired advisers to examine strategic options, after its financial restructuring failed. According to a report, the airline has partnered with financial adviser PJT Partner and also consultancies FTI and Seabury Airline Strategy Group. Budget airline did not respond immediately to a comment request. Spirit's future is uncertain, just months after it emerged from bankruptcy. The loss-making airline has raised new doubts over its ability to continue as a going concern due to weak domestic demand and diminishing cash reserves. Spirit Aviation Holdings shares, which are the parent company of Spirit Airlines fell 14.6% in after-hours trade to $1.40. After years of losses and debt, the airline filed for bankruptcy protection in November last year after a failed merger attempt, heavy losses, and years of failure. The bankruptcy was declared in March after a restructuring approved by the court and backed up by the creditors. It is believed to be first major U.S. airline to declare Chapter 11 since 2011. Moody's joined Fitch on Friday in further downgrading Spirit Airlines, which is based in Dania Beach (Florida). The ratings firm highlighted the "higher-than-expected cash burn" when compared with earlier forecasts, at the time the airline emerged out of bankruptcy. Fitch downgraded Spirit's rating last week, citing the high probability of a near-term default. (Reporting and editing by Mohammed Safi Shamsi in Bengaluru)
Oil prices rise after Ukraine attacks on Russian energy sites
Oil prices rose on Monday as Ukraine intensified its attacks against Russia, causing concern that Russian oil supplies could be disrupted. Meanwhile, expectations of a reduction in U.S. rates boosted the outlook for growth globally and fuel demand.
Brent crude futures increased 6 cents or 0.09% to $67.79 by 0050 GMT. West Texas Intermediate crude futures also gained 9 cents or 0.14% to $63.75.
Officials in Russia said that Ukraine launched a drone strike on Russia on Sunday. The attack caused a dramatic drop in the reactor capacity at one of Russia’s largest nuclear power plants, and ignited a massive fire at the Ust-Luga terminal for fuel export.
The acting governor for the region confirmed that a fire was also burning at the Novoshakhtinsk Russian refinery. It had been caused by an attack from a Ukrainian drone.
The refinery has a capacity of around 100,000 barrels a day and sells fuel mostly for export. Its annual production is 5 million metric tonnes of oil.
Tony Sycamore, IG analyst and market analyst, said that "given the success of Ukraine's targeting of Russian oil pipelines... crude oil risks are shifting up,"
JD Vance, the U.S. vice president, said that Russia had made "significant concessions", in order to reach a settlement through negotiation with Ukraine.
"They have realized that they won't be able install a puppet government in Kyiv. This was, of course a major request at the start. They've also acknowledged the fact that the territorial integrity in Ukraine will be protected by a security guarantee," Vance stated on NBC's program "Meet the Press With Kristen Welker".
Donald Trump, the U.S. president, also reiterated his threats to impose sanctions against Russia if there is no progress towards a peaceful resolution in Ukraine within two weeks.
Investors' appetite for risk has increased after Federal Reserve chair Jerome Powell signaled on Friday that an interest rate reduction could be made at the U.S. Central Bank's next-month meeting.
In a recent note, ANZ analysts stated that "a risk-on attitude across markets boosted investors' appetite across commodities complex." This was aided by the renewed supply issues in energy and metals. (Reporting from Sam Li in Beijing, and Florence Tan in Singapore. Editing by SonaliPaul)
(source: Reuters)