Latest News
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Governor of Temryuk says that a drone strike in Ukraine has killed one and ignited a fire in the Russian port.
Veniamin Kondratiev, the governor of the Krasnodar Region, said that a 'Ukrainian drone attack' sparked an blaze at a sea port in Temryuk in southern Russia. Peace talks to end the Ukraine War have stagnated. Temryuk was previously attacked by Ukrainian drones in late May when Kyiv’s security service claimed it had hit a gas station there. Regional authorities cited Governor Andrei Bocharov as saying that a separate strike took place on Saturday and caused a fire to break out in an industrial area of the Kotovo District in the Volgograd Region. Bocharov did not disclose the details of the damages or the affected facilities. The?report on June 1?stated that Lukoil's Volgograd oil refining plant in Russia's south has been suspended since May 29 due to a Ukrainian drone strike.
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Brazil launches a subsidised motorcycle credit program for delivery drivers using apps
The Brazilian government launched on Friday a subsidised?credit program to help app-based drivers purchase motorcycles. This is a new initiative aimed at boosting demand and supporting a sector of the workforce which has grown rapidly in recent years. Bruno Moretti, Minister of Planning, said at an event held in Brasilia that the program would offer interest rates for male and female drivers of 11,5% and 12,5%, respectively. The benchmark rate of the central bank is currently 14.5%. Moretti stated that state-run lenders Caixa Econômica Federal and Banco do Brasil would provide?financing for eligible borrowers. He also noted that a government funded will mitigate credit risks by covering a part of potential losses. The Ministry of Industry, Development and Trade stated that the new loans are expected to be worth up to 2.5 billion reais (494,19 million dollars). This initiative is the latest of a series quasi-fiscal policies introduced at the beginning of the year. They do not affect the primary balance of the federal government, but they are meant to 'boost demand before the elections in October. Leftist Luiz inacio Lula da So is running for a fourth non-consecutive term. The new measures include a program to renegotiate consumer debts, initiatives to encourage truck purchase and vehicle financing support for ride-hailing driver. The app-based drivers program will offer discounts on motorcycles made in Brazil. This includes electric models. It will be open to drivers who have been registered for at least 6 months and completed 100 trips or delivery. This will cover all taxi drivers, cyclists and motorcycle couriers who have been formally employed for at least six consecutive months by the same company. A government statement states that borrowers have up to 48-months to repay their loans, and a grace period of two months. ABOVE TARGET INFLATION On?Friday earlier, Dario Durigan reiterated the government's plans to launch a program later this month to renegotiate consumer debts and personal loans for Brazilians that are up-to-date on their payments. Economists warn that the combination of demand-boosting measures and inflationary pressures resulting from the U.S. supported?war against Iran has clouded the outlook on monetary policy ease in Brazil. Previously, the central bank of this South American country was expected to make much larger rate cuts in 2018. The annual inflation rate is 4.72% and above the central banks' official 3% target. BTG Pactual expects only one more?25-basis point rate cut next Monday, followed by a pause for the remainder of the year. In a report released this week, the firm estimated that the Lula government's previous stimulus measures would inject 142 billion Reais into the Brazilian economy this year. This is equivalent to 1% of the GDP.
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US EPA sends California emission rules to Congress as a possible reversal
The US Environmental Protection Agency announced on Friday that it would be sending California's landmark vehicle emissions rules to Congress for possible repeal. This is the latest attempt to stop state tailpipe regulations becoming more strict. According to the EPA, waivers of California regulations that were approved by Democratic administrations in the past should have been sent directly to legislators under the Congressional Review Act. California's Advanced Clean Cars I, which allows California to set vehicle emission standards that are more stringent than federal standards, is included in the rules. California has not yet responded to the EPA proposal. The administration of President Donald Trump has launched a multifaceted effort to prevent California from requiring cleaner vehicles and more electric vehicles. The EPA also enacted regulations that make it easier for automakers sell more gasoline powered cars and?trucks while making EVs more expensive. California was granted authority to set its own emission standards for cars, trucks and lawn and garden equipment through the four waivers that were sent to Congress to be reviewed. These rules have prompted companies to "produce cleaner electric versions to reduce emissions." California?won approval for its current vehicle regulations known as Advanced Clean Cars I (ACC I) in 2022, under the then President Joe Biden’s EPA. These rules remain in place. The U.S. Transportation Department filed a lawsuit against the California Air Resources Board in March. It claimed that the rules of the state governing zero-emission vehicles and emissions from tailpipes are illegal. California's regulations require automakers sell an increasing number of electric cars and adhere to?increasingly strict limits on tailpipe emission. These rules are stricter than the ones imposed by Trump's administration, who plans to rollback federal fuel economy regulations. Trump signed legislation in 2017 to "overturn California's Advanced Clean Cars II regulations that aim to phase-out new gasoline-powered vehicles by 2035." California claims that the fuel savings consumers will enjoy from the new rules will far outweigh the initial costs of electric vehicles. Congress revoked California's authority to ban traditional gasoline-powered cars after?2035, after Toyota GM and other automobile manufacturers lobbied Congress for relief from California’s emission regulations. This was after the EPA had sent Congress a waiver for this program to be reviewed. Many Democratic legislators claimed that waivers were not subject to review under the CRA. The White House has also weakened federal tailpipe regulations. Congress passed legislation to stop collecting penalties in 2025 for failing to meet vehicle tailpipe standards. This will save automakers hundreds and millions of dollars. In February, the EPA repealed a scientific conclusion that greenhouse gas emission endangers human health and removed federal tailpipe standards for cars and truck. David Shepardson, David Gregorio (Editing and Reporting)
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EU agrees to continue compensating passengers for delays in flights
Reporters were told that the European Union countries had agreed to maintain the three-hour delay compensation threshold in the EU's upcoming set of airline passenger rights. They also agreed to ask for greater transparency regarding fees for carry-on luggage. The diplomat stated that the 27 member states would now submit their proposals to the Parliament which would evaluate them from Monday. The European Commission and the EU members had been at odds over a package of measures that was first proposed by the EU executive more than a decade ago. The Commission proposed that the compensation threshold be raised to four hours, and the member states wanted to cap it at EUR 500. According to rules in effect since 2004, passengers who are delayed more than three hours on their flight can receive compensation ranging from EUR250 to EUR600 depending on the length of the flight. The member states have decided to maintain the status quo in the controversial issue of compensation for delay. This issue pitted airlines against consumer protection groups, who demanded greater flexibility in order to remain competitive. The member states propose that airlines include the cost of cabin baggage in the basic ticket price. Consumers who choose to opt out can receive discounts. The measure aims to increase price transparency and comparison. These fees were widely criticized by consumer rights associations across the EU. They sparked a battle in 2024 when the Spanish Consumer Rights Ministry fined low-cost airlines EUR179,000,000 for charging them. The airlines have appealed against the fine. The countries have also kept the rules unchanged that allow an adult accompanying a child to sit next to them without having to pay a fee and that require airlines to provide more services when a connection is missed. The law also prohibited airlines from forcing their passengers to download an app on their mobile phones to obtain a boarding card, a practice Ryanair began in November.
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Air India wants to delay hundreds of jet deliveries - sources
Air India wants to delay the delivery of hundreds?of jets ordered from 'Airbus and Boeing' in order to cut costs, according two people familiar with the situation, who confirmed a Bloomberg article. Air India and Boeing did not respond to a request for comment. Air India, under the new majority owners Tata Group, placed a record-breaking order in 2023 for a total 470 Jets. It also leased another 25 jets. Airline faces increasing losses and operational disruptions due to the conflict in Iran, which is compounded by Pakistan's ban on airspace and a crisis following a deadly Boeing 787 crash a year ago. Air India last week?cut?flights from several routes citing airspace restrictions as well as record jet fuel prices. Bloomberg News reported that Air India was looking to postpone plans for expansion, reduce flights and defer deliveries after Tata Group instructed it to concentrate on reducing record losses. Reporting by Tim Hepher. Mark Potter edited the article.
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American Airlines will resume US flights to Haiti by November
American Airlines announced Friday that it would resume flights to Haiti on 1 November after major U.S. airlines ceased service in the Caribbean nation by late 2024. American will resume service in Haiti this fall. It is the first U.S. airline to announce that it would be resuming its service. Since November 2024, the U.S. Federal Aviation Administration (FAA) has banned flights to Port-au-Prince in Haiti's capital due to a perceived threat from "armed groups" to civil aviation. Later, the FAA allowed flights to resume at'six other airports located in northern Haiti. But it kept its ban on Port-au-Prince. Haiti is the only Caribbean nation that does not have direct flights from U.S. carriers. American said it also plans to offer a second Venezuelan airport flight option. FAA restrictions in Port-au-Prince will continue until at least September 3rd. The FAA suspended flights to Haiti in November 2024 after three commercial U.S. jetliners were hit by gunfire. The FAA continues to restrict access to Haiti's capital, citing the inability of security forces in Port-au-Prince or surrounding areas to prevent aircraft attacks. U.S. planes are allowed to fly over Port-au-Prince at a height of 10,000 feet (3,048 meters). According to a U.N. Report earlier this year the death toll has risen each year as independent and powerful armed groups have clashed with security forces and local vigilantes. According to the FAA, since September 2025, Haitian groups used small arms fire to 'attack' at least three aircraft in the area where U.S. Civil Aviation is prohibited. The agency permits flights to six airports: Port-de-Paix (Cap-Haitien), Pignon (Jeremie), Antoine-Simon, and Jacmel. (Reporting and editing by Susan Fenton; David Shepardson)
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Pope's return from Spain delayed due to technical issues with the plane
After a technical problem on his plane Friday, Pope Leo had to delay his return to Rome after a seven-day tour of Spain. As the?plane taxiing to the runway with Pope Leo and Vatican staff,?journalists and other passengers was about to take off when the captain announced a problem. Leo was escorted by King Felipe back to the airport after he had already 'boarded' his flight operated by carrier Iberia, following a 'wave-off by King Felipe, and other dignitaries from Spain. A spokesperson for Iberia said that maintenance specialists were checking out a technical issue, but did not provide any further details. The captain announced in a second statement that the engine was probably unable to start due to?the?wind. He said that the plane would be towed so it was facing the wind and they'd try to start the engine again. (Reporting and writing by Joshua McElwee, editing by Sanjeev Mglani).
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There are some flights to the Middle East that have resumed but there is still disruption.
The Middle East is slowly getting back on the map as regional carriers work to rebuild their schedules following the war's disruption. However, the conflict continues disrupting a wider range of traffic. Middle Eastern airlines added capacity following severe disruptions linked to the Iran War, while many carriers outside the Gulf continue to divert Europe-Asia flight to avoid the Middle East. The latest flight information is listed below alphabetically: AEGEAN AIRLINES Thessaloniki-Tel Aviv flights were cancelled by Greece's biggest?carrier until June 26. Dubai flights are cancelled until August 31 and Baghdad and Erbil flights until September 30. AIRBALTIC AirBaltic, a Latvian airline, has canceled flights to Tel Aviv and Dubai until the 28th of June. AIR CANADA Canadian Airlines has canceled flights to Tel Aviv, Dubai and Abu Dhabi until October 24. AIR EUROPA Spanish Airlines has canceled flights to Tel Aviv till June 28. AIR FRANCE-KLM Air France suspends Tel Aviv flights through June 21 and Beirut and Dubai flights through June 24. KLM has suspended flights from Dubai to Riyadh until August 2, and until July 26 to Dammam and Riyadh. CATHAY PACIFIC Hong Kong Airlines has suspended its flights to Dubai and Riyadh through August 31. The U.S. carrier suspended service for the Atlanta-Tel Aviv routes through December 18, 2018. The airline plans to resume New York JFK-Tel Aviv flights starting September 6. However, the launch of its Boston-Tel Aviv flight, scheduled for late October, was delayed. FINNAIR Finnair has cancelled all flights to Doha until October 2 and continues to avoid airspace in Iraq, Iran, Syria, and Israel. The airline will resume its Dubai flights in October, which are only operated during the winter. British Airways, owned by IAG, delayed the return of its flights from Doha to Riyadh to August 8 and until August 1. Flights to Dubai and Tel 'Aviv will be paused for the rest of the summer and resumed on October 25. The airline plans to reduce the number of flights to Dubai, Doha, Riyadh, and Tel Aviv from two to just one when they resume. Jeddah will be dropped as a destination. JAPAN AIRLINES Japan Airlines has suspended its scheduled Tokyo-Doha and Doha-Tokyo flight until August 1, as well as Doha-Tokyo until July 31. Polish Airlines has cancelled all flights to Riyadh and Beirut until 30 June. LOT will begin operating its winter route from Dubai in October. LUFTHANSA GROUP Lufthansa has announced that it will resume Tel Aviv flights as soon as July 1. ITA Airways also confirmed they would resume Tel Aviv flights as of July 1. SWISS delayed the return of flights to August, while Brussels Airlines suspended its operations until October 24. The suspension of Dubai flights by Lufthansa SWISS and ITA Airways continues until September 13th. Lufthansa and SWISS have suspended flights until October 24 to Abu Dhabi, Amman Beirut, Dammam Riyadh Erbil Muscat and Tehran. Eurowings, a low-cost airline, has suspended flights from Tel Aviv to Beirut to July 17 and Erbil to June 22. Flights to Dubai and Abu Dhabi have also been suspended until October 24. ITA Airways also extended its suspension of flights to Riyadh through June 30. MALAYSIA AIRLINES From July 2, the Malaysian airline will resume limited service to Doha. NORWEGIAN AIR The low-cost carrier has delayed the launch of its Tel Aviv, Beirut and other services indefinitely. No new dates have been set. QANTAS Australia's flag-carrier is increasing flights to Rome, Paris and other European destinations to meet the increased demand. The number of flights to Paris will rise from three to five weekly return flights, and the Perth to Singapore service will go from daily to 10? per week. A new schedule for flights will be implemented gradually from mid-April until late July. ROYAL MAROC Moroccan airline announced that flights to Doha have been cancelled until 30 June. SINGAPORE Airlines In response to increased demand, the carrier has extended its Singapore-Dubai flight suspension until August 2 and added services on Singapore-London Gatwick?and Singapore -Melbourne routes between late March and October 24. TURKISH AIRLINES SunExpress, Turkish Airlines’ joint venture with Lufthansa has cancelled flights from Dubai to Bahrain, Beirut, and Erbil up until July 14. WIZZ AIR Low-cost airlines have suspended flights from Europe to Dubai, Abu Dhabi, and Amman until mid-September. (Compiled by Josephine Mason and Jamie Freed. Elviira Lioma, Tiago Branao, Agnieszka Olesska, Bernadette HOG, Alexander Klyve Gudbrandsen, Romolo TOSIANI, Boleslaw LaSocki). Matt Scuffham and Alexander Smith edited by Susan Fenton, Milla Nissi-Prussak Jonathan Ananda Joe Bavier, Louise Heavens, Louise Heavens, Louise Heavens, Louise Heavens, Louise Heavens, Louise Heavens, Louise Heaven, Bernadette Hogg, Romolo Tosiani.
The commodities supercycle has arrived. How can investors get involved? : Taosha Wang
Commodities supercycles have the power to reshape market trends for many years, even decades. We appear to be back in one, as the Iran War has amplified a number of long-term bullish tendencies. Many investors are now asking how to engage in the supercycle, rather than whether they should. Oil recorded its biggest monthly gain ever following the U.S. and Israeli strike on Iran in February. Add to that the substantial gains in copper and gold since mid-2025, and the race to find energy, metals, and minerals to fuel the artificial-intelligence arms race. A commodities supercycle is underway.
Commodities supercycles are long, powerful waves that are driven by major structural changes. Think of the oil booms of 1970s or the urbanisation boom of China in the early 2000s.
How can investors participate?
Commodities tend to be treated as one asset class. However, a bullish market does not always occur in the same way across all of them. Leadership tends to change. Rotation within an asset class is as important as the overall direction.
As an example, while a geopolitical event may immediately lift the oil price, copper and gold prices may fall or even lag as investors reduce their crowded positions, or reassess risks to growth.
In 2022, energy prices spiked following Russia's invasion in Ukraine. Meanwhile, some industrial metals fell as concerns about recession grew.
We're seeing such divergence again today.
After the Iran War began, oil prices soared by 64% as energy supplies were squeezed. This acted as a hedge for portfolios against volatility in equity markets. Gold fell by 12% in March, its worst month since 2008. This was largely due to the fact that it had been inflated for months by heavy speculative purchases and was among the few liquid assets that investors could sell when margin calls were made.
What are the most important things that investors need to keep in mind when they're considering riding the latest commodity waves?
Small Pool, Big Waves
Investors should first remember that even small changes in the allocation of commodities can have a "massive" impact on prices.
Commodities play a huge role in the real economy but are not as important for investors as stocks and bonds. Energy and materials account for less than 6% of S&P 500 compared to more than 30% in the case of the "Magnificent 7" tech giants.
The price is determined by the margin. Even if a small amount of capital is moved from broad equities and bonds to commodities, whether via physical exposure or listed options, the price impact could be significant. A small market will only absorb so much new capital before prices adjust.
Another key issue is interconnectedness: the movement of one commodity can change the outlook for other commodities.
Many commodities are interconnected through the potential substitution of demand or as raw materials. High natural gas prices, for example, can increase oil consumption. Increasing energy costs affect the price of food, fuel and fertiliser. In some industrial applications, copper and aluminium are interchangeable.
Inventories are another factor to consider. While firms may value cost-efficiency in a situation where supply is not constrained, geopolitical events can lead to a shift towards higher inventories.
Iran is a good example. The ability of Tehran to block the Strait of Hormuz, which is a choke point for energy and other goods, has highlighted how vulnerable these products are.
In the future, both governments and businesses will likely place a higher priority on the security of supply for many goods. This will lead to a greater stock of strategic materials. This could lead to a structural premium for the entire complex.
STOCKS OR BARRELS?
Next, you will need to decide whether or not you want to own the commodities themselves or related equities.
Commodity-related stocks are affected by many factors. These include the hedging policies of each company, their capital allocation decisions and pipelines of projects, as well as their position within the commodity value chain.
Take the energy industry. Consider the energy industry.
Not all producers upstream benefit in the same way, of course.
The U.S. has not suffered any direct damage during the current conflict. Due to their different geological profiles and production techniques, these producers have greater flexibility in adjusting the rate of production.
Many U.S. companies were also well-adapted to the price regime that existed before the Iran war, which was roughly $70 a barrel. This allowed them to generate a healthy cash flow. The windfall at current prices could be significant.
Energy companies, no matter where in the world they are located, also have their own unique?risks relating to management, debt, long-term strategy concerns, and other issues. These issues do not need to be considered when investing directly in commodities.
Positive Convexity
Investors should also not overlook the positive convexity of commodity return profiles. The price upside is usually much greater than the downside.
The physical nature of commodities and their direct link to the productive activities necessary to keep an economy humming are at the root of this.
Investors can short sell or delay the purchase of financial assets when they rise in price.
It is rare that the same logic applies to tangible commodities where it's difficult to delay or reduce consumption quickly. Prices may increase and eventually cause demand destruction, but not quickly enough to avoid a sudden squeeze.
This asymmetry can be one of the reasons commodity cycles can become more powerful than investors expected once they have taken hold. Understanding this can make the difference between being in a good position for a commodity cycle or being run over by one.
The views expressed are the author's. Taosha is the portfolio manager at Fidelity and creator of "Thematically thinking" newsletter. This column is a favorite of yours? 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.
(source: Reuters)