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US and World News

Factbox-Who are the forces involved in Ukraine’s counteroffensive?

by Reuters June 19, 2023
By Reuters

By Tom Balmforth

KYIV (Reuters) – Ukraine has prepared an array of new military units for its long-anticipated counteroffensive this summer, while its established brigades weathered Russia’s winter offensive in the east.

The first phase of the counteroffensive has begun. Here’s what we know about the new Ukrainian units.

TWELVE BRIGADES

NATO allies and partners helped Ukraine equip and train nine new armoured brigades for the counteroffensive, the military alliance’s Secretary General Jens Stoltenberg confirmed in April.

A U.S. intelligence document made public in the Discord leaks said Ukraine had also prepared three more brigades itself.

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The document identified the nine brigades as the 47th, 33rd, 21st, 32nd, 37th, 118th, 117th and 82nd brigades. The name of the ninth one could not be made out.

A brigade typically has at least 3,500-4,000 troops, but exact numbers are not known.

By April, Ukrainian units had received more than 1,550 armoured vehicles, 230 tanks, other equipment and vast amounts of ammunition, Stoltenberg said. More supplies have followed since.

In mid-May, one Russian military blog noted a buildup of Ukrainian forces and equipment in southeastern Zaporizhzhia region and the neighbouring Dnipropetrovsk region, estimating Kyiv’s troop numbers at 50,000-55,000.

ASSAULT UNITS

Ukraine has separately created eight new assault brigades totalling 40,000 soldiers, according to Interior Minister Ihor Klymenko. The units drew from an aggressive recruitment campaign that began at the start of February.

The units have catchy or well-known Ukrainian names, including Azov, Kara Dag (a mountain in Crimea), Border of Steel, Hurricane, Spartan, Chervona Kalyna, Frontier and Rage.

Members of one of the units told Reuters in April that they wanted to be involved in frontline fighting and were highly motivated and wanted to “take revenge” on Russia.

ARE ANY OF THESE UNITS FIGHTING YET?

The 47th, 33rd and 21st mechanised brigades have been spotted in combat in the southeast in the last two weeks, as the main phase of the counteroffensive has got under way, some Western military analysts say.

The bulk of Ukraine’s forces are yet to be committed.

Analysts poring over battlefield images released by Russia believe the 47th lost some equipment in the fighting, including Bradley infantry vehicles, though they say that the images may not tell the whole story.

Valerii Markus, a prominent Ukrainian field commander and one of the brigade’s leaders, said on social media last week that his forces had suffered only small losses and that they had inflicted heavy casualties on the Russian side.

The new brigades are thought to contain mostly newly mobilised soldiers led by experienced officers.

During the fighting of the last few weeks military analysts have also spotted the presence of more experienced units such as the 68th Jaeger brigade and 35th Marine Brigade in the south.

That could suggest Ukraine is attaching battalions or companies of more established units to the newer forces it has prepared to increase overall battlefield experience, military analysts say.

(Reporting by Tom Balmforth; Editing by Hugh Lawson)

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New tropical depression expected to become first 2023 hurricane -US center

by Reuters June 19, 2023
By Reuters

(Reuters) – The third topical depression of the 2023 hurricane season has formed in the central tropical Atlantic and is expected to become a hurricane in a few days, the U.S. National Hurricane Center said on Monday.

The depression, about 1,425 miles (2,295 km) east of the southern Windward Islands, is packing maximum sustained winds of 35 miles per hour (55 km per hour), the Miami-based forecaster said.

“The depression is forecast to strengthen and move across the Lesser Antilles as a hurricane on Thursday and Friday, bringing a risk of flooding from heavy rainfall, hurricane-force winds, and dangerous storm surge and waves,” the hurricane center said.

While it was too early to specify the location and magnitude of where those hazards could occur, the center urged authorities in the Lesser Antilles, Puerto Rico and the Virgin Islands to closely monitor the system and have hurricane plans in place.

If the depression becomes a hurricane, it would be the first one of the 2023 season, which lasts from June through November.

A slightly below-average 2023 Atlantic hurricane season lies ahead with an El Nino weather phenomenon damping the storm outlook, researchers at Colorado State University predicted in April.

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(Reporting by Deep Vakil and Seher Dareen in Bengaluru; editing by Jonathan Oatis)

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Top minister says Israel to keep promoting settlements despite U.S. concern

by Reuters June 19, 2023
By Reuters

JERUSALEM (Reuters) – A top Israeli minister defied U.S. concern over settlement building in the occupied West Bank on Monday, saying the government would continue building and would not accept “preaching” from other countries.

“This is our country, all of it,” said Finance Minister Bezalel Smotrich, who also holds some West Bank powers, during his party faction meeting. “Does anyone think that Israel will be managed like another U.S. state? I will not accept moral preaching from anybody,” Kan broadcaster reported him saying.

Most countries deem Jewish settlements built on land Israel occupied in a 1967 Middle East war as illegal, and their expansion has for decades been among the most contentious issues between Israel, the Palestinians and the international community.

Palestinian leaders have sought to establish an independent state in the West Bank and Gaza with East Jerusalem as its capital, and say settlements undermine hopes of a viable state.

On Sunday, Prime Minister Benjamin Netanyahu’s religious-nationalist government said it planned to approve 4,560 new housing units in various areas of the West Bank. The U.S. State Department said it was “deeply troubled” by the decision.

“As has been longstanding policy, the United States opposes such unilateral actions that make a two-state solution more difficult to achieve and are an obstacle to peace,” the statement said.

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Senior Palestinian official Hussein Al-Sheikh said the Palestinian Authority, which exercises limited self-rule in the West Bank, boycotted an economic meeting with Israel scheduled for Monday in protest of settlement growth.

Another Palestinian official, Wasel Abu Youssef, called on the international community to move from statements of condemnation “to imposing a boycott on the government of the Israeli occupation” and urged Arab countries to suspend normalisation agreements with Israel.

Since taking office in January, Netanyahu’s coalition has approved the promotion of more than 7,000 new housing units, most deep in the West Bank. It also amended a law to clear the way for settlers to return to four settlements that had previously been evacuated.

According to the United Nations, some 700,000 settlers live in 279 settlements across the West Bank and East Jerusalem, up from 520,000 in 2012.

Israel cites biblical, historical and political ties to the area and in a recent interview with Sky News, Netanyahu said Israeli settlements were not an obstacle to peace with the Palestinians.

(Reporting by Henriette Chacar; Additional reporting by Ali Sawafta and Nidal al-Mughrabi; Editing by Chizu Nomiyama)

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RTX: Pratt & Whitney engines unit to take $500 million free cashflow hit

by Reuters June 19, 2023
By Reuters

PARIS (Reuters) – RTX expects to take a $500 million hit to free cash flow due to a supply chain problem with the GTF engine made by its Pratt & Whitney subsidiary, the company said during an investor day on Monday.

GTF deliveries that are delayed in the second quarter will be recovered in the third quarter, RTX Chief Operating Officer Chris Calio said.

The issue involves a part that a supplier wrongly installed on a number of GTF engines, said Calio, who declined to name the company involved or the total number of engines affected. The part will need to be taken off the engine and replaced.

RTX announced a rebranding from its former name, Raytheon Technologies, on Sunday.

The GTF, one of two engine options to power Airbus’ A320neo aircraft, has suffered durability problems and Pratt & Whitney has been struggling to support airline customers with enough spare parts and engines

GTF engines are not moving through maintenance overhauls “fast enough to get them back out to our customers” without aircraft sitting on the ground waiting for engines, Calio said.

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Currently, overhauls can take in excess of 120 days, well beyond the 90 to 100 days expected, due to supply chain and labor issues, he said.

“We have started to turn that corner and May was probably our highest output of the year,” Calio said. “Our intent is to get the fleet into a much more manageable position in the second half of the year.”

(Reporting by Valerie Insinna; Editing by Sudip Kar-Gupta and Mark Potter)

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Hong Kong stock exchange’s yuan stock trading debut gets lukewarm trade volume

by Reuters June 19, 2023
By Reuters

By Georgina Lee

HONG KONG (Reuters) – The 24 companies that debuted the yuan-denominated stock trading scheme in Hong Kong attracted a small fraction of their stocks’ trading volume on Monday, as interest in using the new currency option was dwarfed by the Hong Kong dollar.

Hong Kong Exchanges & Clearing began the so-called HKD/RMB dual share counter trading across two dozen firms on Monday allowing investors the option to trade stocks across the two currencies. The scheme represents part of the city’s effort to bolster its role as China’s offshore yuan hub and speed up the currency’s international use.

The top-three yuan counters that were most actively traded in terms of number of shares traded were CNOOC, which rose 1.4% to 10.38 yuan; China Mobile, which rose 1.9% to 59 yuan; and Geely Auto, up 0.6% at 9.1 yuan.

The three stocks bucked the downward trend of the Hang Seng Index, which slipped 0.6% to finish at 19,912.89.

A total of HK$177 million ($22.65 million) worth of yuan shares were traded on Monday, according to the HKEX, compared to HK$29 billion ($3.71 billion) traded across their Hong Kong-dollar counters.

For now, the dual counter service allows investors in Hong Kong to trade stocks using the 833 billion yuan offshore yuan pool in Hong Kong.

But the HKEX is working with Chinese regulators to allow mainland investors to eventually participate via the Stock Connect investment channel that connects the Hong Kong, Shanghai, and Shenzhen stock exchanges.

That could channel more trading volume into the Hong Kong bourse, as mainland investors currently trading Hong Kong stocks through the southbound leg of the Stock Connect face an exchange rate risk between the two currencies.

The Hong Kong dollar counter will remain the most traded currency for the southbound Stock Connect even after the yuan-counter is introduced, said Frank Shao, deputy head of equity investment at CSOP Asset Management.

Still, “many of our investors… are considering making the switch to the yuan-counter due to the elimination of exchange rate risk,” said Shao.

($1 = 7.1601 Chinese yuan renminbi)

($1 = 7.8160 Hong Kong dollars)

($1 = 7.8171 Hong Kong dollars)

(Reporting by Georgina Lee; Editing by Shailesh Kuber)

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Europe in danger of losing EV battery race – Court of Auditors

by Reuters June 19, 2023
By Reuters

By Julia Payne

BRUSSELS (Reuters) – Europe is in danger of losing the race to become a global battery powerhouse as access to raw materials remains a major roadblock along with rising costs and fierce competition, a report by the European Court of Auditors (ECA) said on Monday.

The report warned that the European Union may fail to meet climate goals as those efforts rely heavily on the uptake of electric vehicles run on batteries made up of a cocktail of metals ranging from cobalt to nickel and lithium.

The ECA, the EU’s independent external auditor, said nearly one in five new cars registered in the bloc in 2021 had an electrical plug. Demand is set to jump with about 30 million zero-emission vehicles expected to hit European roads by 2030, and the sale of new petrol and diesel cars will be banned by 2035.

However, the EU’s strategy has not taken into account the bloc’s ability to meet this new battery demand.

“The EU aspires to become a global battery powerhouse to ensure its economic sovereignty but will it succeed? The odds are not looking good,” Annemie Turtelboom, who led the ECA audit, told reporters.

“We are facing the risk that either the EU will miss its emissions goals for 2035 or that it will reach this target through imported batteries…which would harm European industry and come at very high prices from third countries.”

The EU’s supply of raw materials is highly concentrated in a few countries with geo-political risks that could result in shortages. For five key materials, the EU’s import reliance was on average 78%, the ECA said.

“The EU must not end up in the same dependent position with batteries as it did with natural gas from Russia,” Turtelboom said.

Some two-thirds of the world’s cobalt is sourced from the Democratic Republic of Congo, 40% of natural graphite is from China and the EU is entirely dependent on imports of refined lithium. China accounts for 76% of global battery production capacity.

Extraction in Europe will take too long. Portugal, which holds the bloc’s largest lithium reserves, does not expect production to start until 2026.

Further, the ECA said the EU lags on cost-competitiveness in part due to high energy prices while the EU Commission’s data remains outdated and incomplete, and public funding remains uncoordinated leading to overlaps.

(Reporting by Julia Payne; Editing by Kirsten Donovan)

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Ukraine targets initial $40 billion for ‘Green Marshall Plan’

by Reuters June 19, 2023
By Reuters

By Simon Jessop and Olena Harmash

LONDON (Reuters) -Ukraine is seeking up to $40 billion to fund the first part of a “Green Marshall Plan” to rebuild its economy, including developing a coal-free steel industry, a senior Ukrainian official said ahead of an international summit.

Politicians and financiers will discuss short-term funding issues as well as look at long-term reconstruction efforts at the two-day meeting, starting in London on Wednesday and co-hosted by Ukraine and Britain.

It is expected to launch a “war risk” insurance scheme to cover companies that begin investing in Ukraine again and see government officials discuss behind the scenes if and how to use frozen Russian assets to fund some of the rebuild effort.

The World Bank estimates Ukraine’s reconstruction will cost more than $400 billion, three times the country’s gross domestic product. Since Russia’s invasion in February 2022, external backers have poured $59 billion into Ukraine to support it during the war.

Giving the figure of $40 billion for an initial phase of reconstruction, Rostyslav Shurma, a deputy head of President Volodymyr Zelenskiy’s office, told Reuters the first focus would be the iron and steel industry.

The sector contributed around 10% of Ukrainian GDP in 2021, a third of export revenues and employed around 600,000 people. It also accounted for 15% of the country’s carbon emissions and Shurma said there was now an opportunity to build an industry driven by renewable energy.

“If you have to rebuild, it is logical to rebuild green in line with new technologies … Our vision is to build a 50 million tonnes green steel industry in Ukraine,” he said.

Doing so would allow the country to become the world’s cheapest supplier of so-called “green” steel – made without the use of fossil fuels – and a major support to Europe’s efforts to decarbonise, driven by an investment push in new wind, solar, nuclear and hydro power.

RUSSIAN ASSETS

Many of the country’s damaged legacy steel plants were built in locations that suited their reliance on coal as a power source, but they were now free to build closer to the iron ore deposits and away from the Donbas region, Shurma said.

Moscow last year claimed the Donetsk and Luhansk regions, which make up the broader Donbas region, as “republics” of Russia, in a move condemned by most members of the United Nations as illegal.

To help raise $20 billion to $40 billion in initial funding, Ukraine plans a coalition of industry, public and private sector stakeholders to develop the plan, including doing initial scoping work on projects.

Preparatory work would likely take 1-1/2 years although “to be realistic, actual construction will start only after the war” is over, Shurma said.

Officials from over 60 countries are expected to attend the conference, as will the top global multilateral institutions such as the World Bank, European Investment Bank and European Bank for Reconstruction and Development bank that are being asked to ramp up their lending.

Shurma said funding would be a blend of finance from export credit agencies in other countries; concessional funding handled through the Ukrainian Development Fund it is setting up with asset manager BlackRock; equity of the operating companies; EU transition funding; and private sector loans.

Matteo Patrone, a managing director at the EBRD, said it was crucial to put the focus on the need for private sector involvement.

Multilateral lenders like the EBRD and World Bank will increase their roles too – in order to encourage the private sector – by providing the new “war risk insurance” schemes on behalf of their G7 and other shareholder governments.

The thorny issue of using the estimated $300 billion of frozen Russian central bank reserves is also expected to be discussed by government officials and bankers, although no firm steps to are likely to be announced at this stage.

U.S. lawmakers from both the Republican and the Democratic parties introduced a bill on Thursday that would make it easier for Ukraine to fund its fight against Russia by using seized and frozen Russian assets.

(AdditionaL reporting by Marc Jones and Jorgelina do Rosario; Editing by Elisa Martinuzzi, Frances Kerry and Alison Williams)

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Dollar nudges up, sterling near 14-month highs ahead of BoE decision

by Reuters June 19, 2023
By Reuters

By Iain Withers

LONDON (Reuters) -The dollar edged higher and the UK pound was near a 14-month peak on Monday as investors digested a slew of monetary policy decisions by central banks last week and looked ahead to a crunch decision by the Bank of England on Thursday.

Currency market moves have been dominated by central bank efforts globally to curb high inflation, with the dollar index sliding to its biggest weekly fall since January last week after the U.S. Federal Reserve skipped a rate rise.

The dollar index, which measures the U.S. currency against six major counterparts, ticked up 0.2% to 102.480. It remained not far from a one-month low of 102.00 it touched on Friday. U.S. markets are closed on Monday for a holiday.

Investors expect the Bank of England to hike rates by at least 25 basis points when it meets on Thursday, as it battles inflation running at more than four times its target.

The pound is changing hands near 14-month highs against the dollar on expectations UK rate rises will outpace other major economies. The pound edged down 0.2% at $1.27960.

Money markets place a 72% chance of the BoE opting for a 25 basis points hike and a 28% likelihood of a 50 basis point jump.

In a busy week for central banks last week, the European Central Bank on Thursday raised rates by 25 basis points and left the door open to more hikes, while the Bank of Japan’s decision on Friday to stick with its ultra-easy policy kept the yen fragile.

Euro zone inflation is at risk of overshooting recently lifted forecasts and the ECB should err on the side of raising rates too much rather than too little, ECB board member Isabel Schnabel said on Monday.

The bloc’s chief economist Philip Lane earlier said the ECB was likely to raise rates again next month but the September meeting is too far away and the decision will be shaped by incoming data.

The euro dipped 0.2% to $1.09190, trading close to a one-month peak, while the yen was broadly flat at 141.840, near a seven-month low of 142.005 earlier on Monday.

Traders will closely watch U.S. congressional testimony scheduled to be given by Federal Reserve Chair Jerome Powell on Wednesday and Thursday this week for any hints on the future path for rates in the world’s largest economy.

Currency analysts at MUFG said in a note that the testimony was one of the important risk events for the dollar this week, but said they expected similar messaging following the Fed decision last week.

“The Fed was clear that they now felt they could slow the pace of hikes but that the decision to skip a hike this month did not mean the hiking cycle was over,” the analysts said.

Markets are pricing in a 72% probability of the Fed hiking by 25 basis points next month, the CME FedWatch tool showed.

(Reporting by Iain Withers, additional reporting by Ankur Banerjee in Singapore; Editing by Emma Rumney, Marguerita Choy and Sharon Singleton)

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Russia bars media from new “extremism” case against Navalny

by Reuters June 19, 2023
By Reuters

By Dmitriy Turlyun

MELEKHOVO, Russia (Reuters) -The trial of Russian opposition leader Alexei Navalny on new charges of “extremism” will take place behind closed doors, a court spokesman said on Monday.

The decision means media will be excluded from proceedings against President Vladimir Putin’s most prominent and vocal opponent that could extend his prison term by decades.

It was announced at the IK-6 penal colony in Melekhovo, about 235 km (145 miles) east of Moscow, where Navalny is already serving sentences totalling 11-1/2 years on fraud and other charges that he says were trumped up to silence him.

Journalists were not allowed into the room where the trial was taking place, but were initially given access to a video feed with barely intelligible audio.

The feed was later halted, and the court spokesman said there would be no more media access.

Prosecutors had raised unspecified security concerns, saying they had received evidence about a planned “provocation”.

Navalny supporters were dismissive.

“What can be more secure than a strict-regime penal colony where no one is even allowed into the hall?” his spokesperson Kira Yarmysh tweeted.

On the video feed at the start of the hearing, Navalny, looking thin with cropped hair and dressed in a black prison uniform, was seen standing and speaking for three minutes.

He unsuccessfully demanded access to the courtroom for his parents, and contested the authority of the Moscow city court judge to try him in a penal colony far from the capital.

Navalny’s supporters accuse Moscow of trying to break him in prison, where he has been placed for long spells in solitary confinement, to silence his criticism of Putin.

The Kremlin denies persecuting Navalny and says his case is a matter for the courts. “We are not following this trial,” Putin’s spokesman Dmitry Peskov told reporters.

Navalny, who is able to post on social media through his lawyers and allies, appealed on Instagram to Russians to “join forces in the fight against Putin’s lies and Kremlin hypocrisy”.

“Putin is afraid of any word of truth,” he said.

A statement on his website continued: “We will conduct an election campaign against war. And against Putin. Just that. A long, stubborn, exhausting but fundamentally important campaign where we will turn people against the war.”

Russia’s next presidential election is due in 2024, and Putin has yet to confirm whether he will stand.

(Reporting by Reuters; writing by Mark Trevelyan; Editing by Kevin Liffey)

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Italy’s TIM leaning towards KKR for talks over grid sale, sources say

by Reuters June 19, 2023
By Reuters

By Giuseppe Fonte and Elvira Pollina

ROME (Reuters) – Telecom Italia (TIM) is leaning towards entering talks with KKR over the sale of its prized landline grid, two sources said, as the U.S. fund’s offer is seen as preferable to a rival bid tabled by a consortium led by state lender CDP.

KKR’s approach incorporates a value for TIM’s fixed landline network that could top 23 billion euros ($25 billion). CDP and its partner, Australian fund Macquarie, have offered 19.3 billion euros and their bid raises antitrust issues given their joint ownership of rival fibre optic firm Open Fiber.

TIM directors gathered on Monday to review the bids ahead of a new meeting on June 22 to designate a preferred bidder.

Asking not to be named due to the sensitivity of the issue, two sources close to the matter told Reuters the board was expected to grant KKR a period of talks to negotiate a deal.

The value of KKR’s bid hinges on the terms of the contracts that will tie the network to TIM’s remaining business, meaning its services operations, sources previously said.

TIM plans to analyse in depth the terms to be proposed by KKR, one of the sources said.

TIM and KKR declined to comment.

The network sale is a key plank of Chief Executive Pietro Labriola’s strategy to relaunch TIM by slashing the former phone monopoly’s 25 billion euro debt.

But Labriola’s plans have run into stark resistance from top investor Vivendi, which wants any sale of TIM’s main asset to value it at 31 billion euros.

With its 24% stake in TIM, Vivendi also wants any decision on the grid to go through an extraordinary shareholder vote, requiring a qualified majority.

Having already invested 1.8 billion euros in the grid, KKR has bid for a controlling stake in a unit comprising TIM’s entire domestic fixed access network and submarine cable business Sparkle.

It has left the door open to Italy’s Treasury or other state-backed entities – including CDP and infrastructure fund F2i – becoming a minority shareholder in the network company, officials have previously said.

To free CDP’s hands were it to invest in the grid, the Open Fiber setup could be reviewed. KKR is also ready to let TIM retain a stake in its landline network.

That chimes with the stance of Economy Minister Giancarlo Giorgetti, who has repeatedly said there are “multiple options” to ensure the government has “strategic control” of TIM’s grid, indicating Rome does not need to own a controlling stake.

Prime Minister Giorgia Meloni’s administration will have a say on any deal as Rome can use its “golden powers” rules to set conditions or block bids for strategic assets such as TIM’s network.

($1 = 0.9143 euros)

(Reporting by Giuseppe Fonte and Elvira Pollina; Editing by Valentina Za, Kirsten Donovan)

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Thailand justifies talks with Myanmar as key ASEAN members stay away

by Reuters June 19, 2023
By Reuters

BANGKOK (Reuters) -Thailand on Monday justified hosting talks aimed at re-engaging with Myanmar’s shunned military, saying dialogue was necessary to protect its border with the strife-torn country, even as top diplomats of key Southeast Asian neighbours stayed away.

Myanmar’s generals have been barred from high-level meetings of the 10-member Association of Southeast Asian Nations (ASEAN) since they seized power in a 2021 coup and unleashed violence on those who challenged their takeover.

But Thailand’s outgoing military-backed government invited ASEAN foreign ministers, including that of Myanmar, to discuss a proposal for the bloc to “fully re-engage Myanmar at the leaders’ level”, according to an invitation seen by Reuters and verified by sources.

Critics see the meeting as undermining a unified ASEAN approach to the Myanmar crisis, centred on a peace plan agreed with the junta two years ago. But Thai Prime Minister Prayuth Chan-ocha, himself a former coup leader, said direct talks were necessary to protect his country.

“We suffer more than others because Thailand has more than 3,000-km shared land border as well as a maritime border,” Prayuth told reporters. “That is why the talks are necessary. It is not about taking sides.”

His foreign minister, Don Pramudwinai, earlier said Myanmar’s crisis was creating refugees problems and hitting trade hard.

“We can say that Thailand is the only country in ASEAN that wants to see the problems end as soon as possible,” he told broadcaster Thai PBS.

Other ASEAN countries “should be thanking us,” he said.

Myanmar’s junta-appointed foreign minister, Than Swe, was due to join the talks, two sources with knowledge of the meeting told Reuters.

According to two other knowledgeable sources, the foreign ministers of Singapore, Malaysia, the Philippines, Brunei, Indonesia, Vietnam and Cambodia did not attend, with some sending junior representation.

Other than Myanmar and host Thailand, Laos was the only country to send its top diplomat, they said.

‘NO CONSENSUS TO RE-ENGAGE’

Indonesia as ASEAN chair has for months been trying to advance the peace process by engaging key stakeholders in Myanmar’s conflict.

Its foreign minister, Retno Marsudi, said ASEAN had “arrived at no consensus to re-engage or develop new approaches to the Myanmar issue”, according to a letter seen by Reuters and verified by a source.

The military took over in Myanmar in 1962 and suppressed all opposition for decades until it launched a tentative opening up in 2011. But its experiment with democracy, which included elections swept by Nobel Peace Prize laureate Aung San Suu Kyi, came to end when the military ousted her government and crushed pro-democracy protests.

With Myanmar again drawing Western condemnation and sanctions, ASEAN drew up a five-point peace plan, including an end to violence, humanitarian access and dialogue involving all stakeholders, but Myanmar’s generals have not delivered, frustrating the bloc.

Malaysia’s foreign ministry in a statement said it was important for ASEAN demonstrates unity in support of Indonesia’s effort.

Singapore’s foreign minister, Vivian Balakrishnan, told a press conference in Singapore with his U.S. counterpart last week that it was “premature to re-engage with the junta” at a high level. It was not immediately clear on Monday if an official from Singapore was attending the talks in Thailand.

An organisation of Southeast Asian lawmakers, ASEAN Parliamentarians for Human Rights, called the talks a “betrayal of the Myanmar people and an affront to ASEAN unity”.

(Reporting by Panu Wongcha-um and Devjyot Ghoshal in Bangkok, Ananda Teresia in Jakarta, Rozanna Latiff in Kuala Lumpur; Writing by Kanupriya Kapoor; Editing by Kay Johnson, Robert Birsel, Martin Petty and Alistair Bell)

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Stocks rally stalls, eyes on Powell testimony for US rate clues

by Reuters June 19, 2023
By Reuters

By Naomi Rovnick and Stella Qiu

LONDON, SYDNEY (Reuters) -Global shares fell from 14-month highs hit last week, as investors awaited testimony from U.S. Federal Reserve Chair Jerome Powell in markets that remain dominated by monetary policy bets.

The MSCI’s broad gauge of world stocks softened by 0.3%, with Wall Street markets closed for the Juneteenth holiday.

In Europe, the Stoxx 600 share index lost 0.7%. Short-term UK government bonds continued selling off ahead of the Bank of England’s monetary policy decision on Thursday, at which it is widely expected to lift interest rates for the 13th consecutive meeting.

After a week in which the stock market cheered the Fed’s decision to skip a rate increase in June, Powell is scheduled to deliver congressional testimony on Wednesday and Thursday.

Hopes that the Fed will end its most aggressive rate increase campaign in decades are boosting global stock indices dominated by the U.S. tech megacaps that tend to outperform when risk appetite is buoyed by easier monetary policy.

Billions of dollars have flowed into big tech in recent weeks, with analysts citing the productivity-improving potential of artificial intelligence for the rally.

“The obvious narrative of AI has dominated this rally in tech stocks,” said Dan Cartridge, portfolio manager at Hawksmoor.

“But a lot of it is also to do with interest rate expectations,” he added, warning that the Fed staying hawkish would mean “we quite quickly see valuation compression again”.

In Europe, sterling traded near its highest against the dollar since April 2022, at $1.279.

Bets that the Bank of England would raise interest rates to a 15-year high this week, as inflation continues to run at more than four times its target, have bolstered the pound. Money markets now put a 75% chance of the BoE opting for a 25 basis point (bp) rate rise and a 25% likelihood of a 50 bp hike.

Two-year British government bond yields, which reflect rate expectations and rise when the price of the debt instruments falls, added 7 bps to 5.01% – surpassing last week’s 15-year high. The 10-year British gilt yield stood at 4.462%, in an inverted yield curve pattern that can precede recessions.

In Asia, Japan’s Nikkei tumbled 1%, edging down from three-decade highs.

Chinese blue chips fell 0.9%, while Hong Kong’s Hang Seng Index slumped 1.2%, as investors’ hopes of forceful economic stimulus from Beijing were dashed by the lack of concrete details from a cabinet meeting on Friday.

Goldman Sachs on Sunday cut its forecast for China’s GDP growth this year to 5.4% from 6.0%, joining other major banks to slash growth expectations for the world’s second-largest economy.

But the People’s Bank of China is also widely expected to cut its benchmark loan prime interest rates on Tuesday, following a similar reduction in medium-term policy loans last week.

Elsewhere, the dollar index was little changed against major peers at 102.33 on Monday, after falling 1.2% the previous week, the most in five months.

The yen was undermined by Friday’s dovish Bank of Japan meeting, touching a seven-month low of 141.97 per dollar, while the hawkish European Central Bank, which raised rates by a quarter point last week, helped the euro hold near a five-week top at $1.092.

In oil markets, Brent crude was steady at $76.65 a barrel. [O/R]

Gold prices were flat at $1,954.39 per ounce.

(Reporting by Naomi Rovnick and Stella Qiu; Editing by Tom Hogue, Gerry Doyle, Emma Rumney and Sharon Singleton)

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Canada sanctions Iranian judges over alleged human rights abuses

by Reuters June 19, 2023
By Reuters

(Reuters) – The Canadian government on Monday said it sanctioned Iranian judges over alleged human rights abuses, adding that the step would prohibit dealings with them and freeze any assets they may have held in Canada.

“Today’s sanctions list 7 individuals for their role in gross and systematic human rights violations in Iran’s criminal justice system, notably Iran’s Revolutionary Courts,” the Canadian government said in a statement.

Canada said the judges and their courts had issued “notorious” death sentences and harsh prison terms following “sham trials and based on evidence gathered under torture.”

(Reporting by Kanishka Singh in Washington; Editing by Lisa Shumaker)

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SVB’s Asian customers who lost deposits remain on the hook for loans – WSJ

by Reuters June 19, 2023
By Reuters

(Reuters) – Silicon Valley Bank’s customers in Asia whose deposits were recently seized by the U.S. Federal Deposit Insurance Corp (FDIC) are under pressure to repay loans to First Citizens Bank, The Wall Street Journal reported on Monday.

According to the report, when SVB failed in March, the FDIC stepped in to protect all of the California bank’s U.S. deposits and arranged a sale of the lender’s U.S. customer accounts, branches and loans to First Citizens Bancshares.

Left out of that deal was SVB’s branch in the Cayman Islands, which had deposits from the bank’s clients in China, Singapore and other parts of Asia, including venture-capital and private-equity firms with funds that domiciled in the British overseas territory, the report said.

SVB, FDIC and First Citizens Bank did not immediately respond to a request for comment.

California regulators shuttered Silicon Valley Bank in March and First Citizens BancShares purchased the bank with the help of FDIC in a deal that drained $20 billion from an insurance fund financed by banks and run by the government.

(Reporting by Tiyashi Datta in Bengaluru; Editing by Marguerita Choy)

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China-U.S. climate partnership vital despite differences, Kerry says

by Reuters June 19, 2023
By Reuters

By Philip Pullella

VATICAN CITY (Reuters) – U.S. climate envoy John Kerry said on Monday that the United States and China – the world’s two biggest greenhouse gas emitters – must create a partnership to tackle climate change without allowing their differences on other issues get in the way.

Kerry spoke to Reuters in front of St. Peter’s Square after he met Pope Francis, the first official to have a private audience with the pontiff since his discharge from hospital last Friday.

The former U.S. Secretary of State said he was “anxious” to meet with the current secretary, Antony Blinken, who is in Beijing now, to help determine when Kerry will go to China for talks on averting a global climate change crisis.

Kerry confirmed he has been invited to visit “in the near term” but no date has been decided.

“We’re talking about the things we very much hope China will be able to do and together with us. We have to create a partnership here. China and the United States are the two largest emitters in the world,” he said.

He said there was “no conditionality” between China-U.S. talks on climate and other issues.

China last year briefly suspended talks with the United States on climate, security and other areas in response to a visit to Taiwan by U.S. House of Representatives then-Speaker Nancy Pelosi.

Although China subsequently resumed those talks, relations between the two countries deteriorated again after what the United States described as a Chinese spy balloon traversed American airspace in February, prompting Blinken to postpone his visit until now.

“President Biden believes they (U.S.-China climate talks) should be free standing and the Chinese have said to me that they believe now that it is free standing and should be,” Kerry said.

“I think there is a general agreement that you cannot let a threat to everybody – every society, every country, every human being – that threat should not be allowed to be caught up in bilateral differences, which are real,” Kerry said.

He voiced the hope that cooperation on climate could open other possibilities for cooperation.

Kerry is having a series of meetings ahead of COP28, the latest U.N. climate summit that is to be held at the end of this year in Dubai, in the United Arab Emirates.

(Reporting by Philip Pullella; Editing by Angus MacSwan)

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Explainer-What is Juneteenth and how are people marking the day?

by Reuters June 19, 2023
By Reuters

(Reuters) – Juneteenth is the newest federal holiday and commemorates the emancipation of enslaved Black Americans. U.S. President Joe Biden signed the bill creating the holiday in 2021.

Juneteenth, long a regional holiday in the U.S. South, rose in prominence following protests in 2020 over police killings of George Floyd, Breonna Taylor, Rayshard Brooks and other African Americans.

WHAT IS JUNETEENTH?

Juneteenth, a combination of the words June and 19th, is also known as Emancipation Day. It commemorates the day in 1865, after the Confederate states surrendered to end the Civil War, when a Union general arrived in Texas to inform a group of enslaved African Americans of their freedom under President Abraham Lincoln’s 1863 Emancipation Proclamation.

In 1980, Texas officially declared it a holiday. This year, at least 28 states and the District of Columbia will legally recognize Juneteenth and give state workers a paid day off, according to the Pew Research Center.

Although in part a celebration, the day is also observed solemnly to honor those who suffered during slavery in the United States with the arrival of the first captive Africans over 400 years ago.

WHAT IS SIGNIFICANT THIS YEAR?

Connecticut, Minnesota, Nevada and Tennessee have made Juneteenth a permanent public holiday for the first time this year, according to the Pew Research Center. In Alabama and West Virginia, Juneteenth has been authorized as a state holiday for this year by a governor’s proclamation. The state legislatures would need to pass a bill to make it a permanent public holiday.

Race remains a sensitive issue in America.

The U.S. Supreme Court is expected to decide by the end of this month the fate of race-conscious collegiate admission policies.

The pending ruling could end affirmative action programs that have been used by many U.S. colleges and universities for decades to increase their numbers of Black, Hispanic and other underrepresented minority students.

HOW ARE PEOPLE MARKING THE DAY?

People are marking the 158th anniversary of the holiday with festive meals and gatherings. Traditionally, celebrations have included parades and marches, many of which were held on Sunday.

People are also celebrating the holiday by organizing for civil rights, reading books about African American heritage and history, attending festivals and musical performances, and dining at Black-owned restaurants.

(Compiled by Aurora Ellis; Editing by Lisa Shumaker)

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ECB hawks argue for more hikes even as Lane opens door to pause

by Reuters June 19, 2023
By Reuters

FRANKFURT (Reuters) -The European Central Bank should err on the side of further interest rate hikes as inflation could come in even higher than it expects, two ECB policymakers said on Monday, even as the bank’s chief economist opened the door to a pause.

The ECB has raised rates by a combined four percentage points over the past year to stem a historic surge in inflation and said it would likely increase them again in July after its new forecasts put price growth above its 2% target through 2025.

“We need to remain highly data-dependent and err on the side of doing too much rather than too little,” ECB board member Isabel Schnabel, an outspoken conservative, or “hawk”, said in a speech.

Her fear, shared by Slovak central bank governor Peter Kazimir, is that if the ECB fails to root out inflation now, it could get entrenched in the economy, forcing policy to remain tight for even longer, causing hardship for euro zone consumers beyond what would be necessary.

“A continuation of monetary policy tightening is the only reasonable way ahead,” Kazimir, who often sides with Schnabel, said in a blog post.

But the ECB’s chief economist Philip Lane had a slightly different take, arguing that being data dependent could also mean not raising rates for one or more meetings and resuming on merit.

“Data-dependency could be you decide today not to raise rates, but then one meeting later, two meetings later, three meetings later, the data will say, well actually, you should start hiking again,” he told an event in Madrid.

He added the ECB was likely to raise interest rates again next month but it was too early to predict the decision of the September meeting, which will be shaped by incoming data.

The comments set up the debate over policy at a time when inflation is falling quickly but rapid nominal wage growth and robust demand for services risk slowing or even reversing disinflation.

Policy “doves” argue that rapid rate hikes have yet to work their way through the economy and the higher funding costs, combined with anaemic growth, will naturally cool price growth.

But Schnabel said excessive rate hikes can be reversed quickly, so the risk was “comparatively small” since entrenched inflation would mean protracted economic pain.

“It is very costly to react only after upside risks to inflation have materialised, as this could destabilise inflation expectations and thus require a sharper contraction in output to restore price stability,” she said.

(Reporting by Balazs Koranyi; Editing by Jon Boyle, Gareth Jones and Sharon Singleton)

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AstraZeneca planning China business spin off -FT

by Reuters June 19, 2023
By Reuters

(Reuters) – Drugmaker AstraZeneca is drafting a plan to spin off its China business, and listing a separate unit in Hong Kong is being viewed as an option, the Financial Times reported on Sunday.

A separation might not ultimately take place, the report said, citing people familiar with the matter, with one of them saying listing the entity in Shanghai was also possible.

The company would seek to be a patriotic company in China that “loves the Communist Party”, its China president said in May. Last year, the country accounted for 13% of AstraZeneca’s total sales, and the company is China’s biggest drugmaker.

The spin off could protect AstraZeneca from tensions between China and other global powers, while the company retained control of the business, the FT’s report said.

It added the idea has been around for years but was recently sidelined by a global biotech downturn.

AstraZeneca said it did not comment on “rumours or speculations around future strategy or M&A.”

(Reporting by Bharat Govind Gautam in Bengaluru; additional reporting by Rishabh Jaiswal; Editing by Chris Reese and Diane Craft)

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Emotional reunion amid despair as Greece searches for shipwreck survivors

by Reuters June 19, 2023
By Reuters

By Lefteris Papadimas and Karolina Tagaris

KALAMATA, Greece (Reuters) -A Syrian teenager who survived a shipwreck that killed at least 78 people off Greece was emotionally reunited with his elder brother on Friday, but there was no news for other relatives searching for loved ones.

Witness accounts suggested between 400 and 750 people had packed the 20- to 30 metre-long (65- to 100-foot) fishing boat that capsized and sank early on Wednesday morning about 50 miles (80 km) from the southern coastal town of Pylos.

In the immediate aftermath of the disaster 104 survivors and 78 people who drowned were brought to shore by Greek authorities, but nothing has been found since.

A massive search and rescue operation continued on Friday, but hopes were dwindling of finding any more survivors from the hundreds of people believed to have been on board the boat when it sank in some of the deepest waters of the Mediterranean.

Most of the people on board were from Egypt, Syria and Pakistan, government officials have said.

Early on Friday survivor Mohammad, 18, from Syria, burst into sobs as he spotted his elder brother Fadi, who had travelled from the Netherlands searching for him.

They wept and hugged through metal barricades, erected by Greek police around a warehouse in Kalamata where survivors had been sleeping for the past two days.

“Thank God for your safety,” Fadi said, repeatedly kissing his younger sibling on the head.

About 25 other relatives gathered outside the Kalamata shelter, hoping for news, clasping screenshots of their loved ones on mobiles phones.

Most of the survivors, 71 people, were transferred on Friday by bus to the migrant camp of Malakasa, a gated facility with barbed wire fencing 40 km (25 miles) outside Athens. They were expected to apply for asylum.

Adil Hussain was searching for his brother, who had lived for 12-14 years in Greece undocumented and had returned to Pakistan. After two years of living in poverty there, he decided to make the journey to Italy.

“A friend of my brother’s is here. I want to ask where my brother is. I spoke to him last Friday, he said we’re leaving Libya tonight,” said Hussain who lives in Greece.

Anwar Bakri, Secretary General of the Syrian Association of Greece, was also standing outside the camp. He said he had received “hundreds of calls” from people in Germany, in Turkey and other countries, who feared their Syrian relatives were on the sunken boat.

“It’s a tragedy,” he said. “I have numerous photos, at least 15 photos until now, of missing people, young children, 16 year-olds, 20 year-olds, 25 year-olds, whose parents are looking for them,” Bakri said.

“From what I was told, there are no women. All the women died, they sank, they drowned with their children in their arms.”

MIGRANTS HAD PAID $4,500

Pope Francis, who visited Greece two years ago to draw attention to the plight of refugees, urged for measures to prevent similar incidents in the future.

“I feel great pain at the death of the migrants, including many children, in the shipwreck in the Aegean Sea,” he said on Twitter. “We must do everything possible so that migrants fleeing war and poverty do not meet death while seeking a future of hope.”

The ageing fishing vessel was thought to have departed from Egypt, then picked up passengers in the Libyan coastal city of Tobruk on June 10. Greek authorities say survivors have told them they paid $4,500 each to go to Italy.

The exact circumstances of the vessel sinking while it was being shadowed by the Greek coastguard are still unclear.

Authorities, who were alerted by Italy on Tuesday and subsequently monitored the vessel over a period of 15 hours before it sank, say occupants on the vessel repeatedly refused Greek help, saying they wanted to go to Italy.

An advocacy group that had been in communication with the vessel said that on at least two occasions persons on board pleaded for help. The group, Alarm Phone, said it had alerted Greek authorities and aid agencies hours before the disaster unfolded.

‘CURRENT APPROACH UNWORKABLE’

The International Organization for Migration (IOM) and the United Nation’s refugee agency, the UNHCR, said the latest tragedy in the Mediterranean was the worst in several years and urged states to address the gaps in search and rescue rules.

“It is clear, that the current approach to the Mediterranean is unworkable,” IOM’s Federico Soda. “Year after year, it continues to be the most dangerous migration route in the world, with the highest fatality rate.”

Greek authorities denied accounts that surfaced late on Thursday that the boat flipped after the coastguard attempted to tow it.

“There was no effort to tug the boat,” coastguard spokesman Nikos Alexiou told state broadcaster ERT.

Nine Egyptians, aged between 20 and 40 years, were arrested over the shipwreck on Thursday evening. Authorities said they faced charges of negligent manslaughter, exposing lives to danger, causing a shipwreck and human trafficking.

They were expected to appear before a judge and respond to the accusations in the coming days.

Under a conservative government in power until last month, Greece took a tough stance on migration, building walled camps and boosting border controls.

The country is currently governed by a caretaker administration pending an election on June 25.

(Additional reporting by Stelios Misinas in Kalamata, Renee Maltezou and Michele Kambas in Athens, Federico Maccioni in Milan, Alvise Armellini in Rome; Editing by Alex Richardson)

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Nothing to see Here but a bear sitting in a truck eating lunch in New Hampshire

by Conservative Times June 19, 2023
By Conservative Times

SUNAPEE, NH – On a work site in Sunapee, American Plate Glass had an unexpected visitor in the form of a bear. The incident on June 16 was captured on video by the company’s workers and shared on Facebook.

In the video, the bear can be seen sitting comfortably in the passenger seat of one of the company’s trucks, enjoying a worker’s lunch. The footage quickly gained attention as it showcased an unusual encounter between humans and wildlife.

Curtis Fidler, a team member at American Plate Glass, described the surprising moment when he noticed the bear. “I see something move out the corner of my eye, and I turn, and it was a bear nonchalantly just having lunch in the front seat of the truck,” Fidler told WHDH-TV in a televised interview.

Even Fidler’s mother-in-law, Melinda Scott, had the chance to witness the scene unfold via FaceTime. She expressed her relief that the encounter with the bear ended peacefully without any harm or damage.

“It’s such a good human interest story and just a good encounter with a bear instead of bear destruction,” Scott said in the interview. “There is not a single scratch on the box truck. He did no damage. He just had lunch and took a nap.”

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Man who shot himself in leg claims he was dreaming of home intruder

by Conservative Times June 19, 2023
By Conservative Times

Lake Barrington, Illinois – A man from Lake Barrington, a suburb of Chicago, is facing firearm charges after accidentally shooting himself in the leg while dreaming of an intruder breaking into his home, according to police.

The incident occurred on April 10 when Lake County Sheriff’s deputies responded to a call reporting a person with a gunshot wound at the man’s residence. Upon arrival, deputies discovered a 62-year-old man with a gunshot wound to his leg. Recognizing the severity of the situation and the significant amount of blood loss, they quickly applied a tourniquet to his injured limb before transporting him to the hospital.

During the investigation, the man explained to authorities that he had been dreaming of someone attempting to break into his home. In the midst of the dream, he believed he had to defend himself and grabbed his .357 Magnum revolver. Unfortunately, in the confusion between the dream and reality, he unintentionally fired the gun, injuring himself.

“When he fired, he shot himself and apparently woke up from the dream,” stated the police in a news release issued on Tuesday.

Following the incident, the man has been charged with firearm-related offenses. The details of the charges were not specified in the report.

Dreams can sometimes blur the line between the subconscious and the real world, leading to unexpected and unfortunate consequences. This incident serves as a reminder of the importance of firearm safety and responsible gun ownership. Authorities advise gun owners to take necessary precautions to prevent accidents and ensure the well-being of themselves and others.

The Lake County Sheriff’s Office continues to investigate the case, and further details may emerge as the legal process unfolds.

June 19, 2023 0 comments
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Waterspout runs ashore at Florida beach, sending cabanas, umbrellas flying

by Charlie Dwyer June 19, 2023
By Charlie Dwyer

On an overcast and stormy afternoon, a small waterspout unexpectedly made its way ashore near Lifeguard Tower 2 at Clearwater Beach Friday afternoon.

The waterspout, a tornado that forms over water, moved swiftly and caused some damage in its path. Unfortunately, two individuals were struck by flying debris and sustained minor injuries as a result.

Emergency services were quick to respond, and the injured individuals were promptly transported to the hospital for medical attention. Nobody severely injured in the incident.

A small #waterspout moved ashore quickly this afternoon on #ClearwaterBeach near lifeguard Tower 2. Two people went to the hospital with minor injuries after being struck by flying debris. @NWSTampaBay @DenisPhillipsWx @PaulFox13 @10TampaBay @WFLA @BN9 @NWS @NWSSPC pic.twitter.com/djLBiJD5PR

— Clearwater Police Department (@myclearwaterPD) June 17, 2023

Waterspouts can develop rapidly, making it challenging to predict their occurrence. These weather phenomena are relatively common in coastal areas, where warm water and atmospheric conditions can lead to their formation. Waterspouts are typically smaller and less destructive than their land-based counterparts, but they can still pose a risk to individuals in their vicinity.

The Clearwater Police Department reminds beachgoers to stay alert and follow any instructions or warnings provided by lifeguards and emergency personnel.

🇺🇸 🌪Two people were injured after the passage of a waterspout in Clearwater Beach, Florida.#Florida #ClearwaterBeach #WaterSpout #News pic.twitter.com/6jmxS7mSe1

— F.M NEWS (@fmnews__) June 17, 2023
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IMF working on global central bank digital currency platform

by Reuters June 19, 2023
By Reuters

By Ahmed Eljechtimi

RABAT (Reuters) – The International Monetary Fund (IMF) is working on a platform for central bank digital currencies (CDBCs) to enable transactions between countries, IMF Managing Director Kristalina Georgieva said on Monday.

“CBDCs should not be fragmented national propositions… To have more efficient and fairer transactions we need systems that connect countries: we need interoperability,” Georgieva told a conference attended by African central banks in Rabat, Morocco.

“For this reason at the IMF, we are working on the concept of a global CBDC platform,” she said.

The IMF wants central banks to agree on a common regulatory framework for digital currencies that will allow global interoperability. Failure to agree on a common platform would create a vacuum that would likely be filled by cryptocurrencies, she said.

A CBDC is a digital currency controlled by the central bank, while cryptocurrencies are nearly always decentralised.

Already 114 central banks are at some stage of CBDC exploration, “with about 10 already crossing the finish line”, she said.

“If countries develop CDBCs only for domestic deployment we are underutilizing their capacity,” she added.

CBDCs could also help promote financial inclusion and make remittances cheaper, she said, noting that the average cost of money transfers stands at 6.3% amounting to $44 billion annually.

Georgieva stressed that CBDCs should be backed by assets and added that cryptocurrencies are an investment opportunity when backed by assets, but when they are not they are a “speculative investment.

(Reporting by Ahmed Eljechtimi; Editing by Sharon Singleton)

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ECB is data-driven, Sept decision too far off to call – Lane

by Reuters June 19, 2023
By Reuters

MADRID (Reuters) – The European Central Bank is likely to raise interest rates again next month but it is too early to predict the decision of the September meeting, which will be shaped by incoming data, the ECB’s chief economist Philip Lane said on Monday.

The ECB raised euro zone borrowing costs to their highest level in 22 years on Thursday and said stubbornly high inflation all but guaranteed another move next month.

Lane put the emphasis on incoming data as the main driver of future decisions.

“At this point, we are surely data-driven,” he said. “July is not so far away, we can say unless there’s a material change another hike (is likely).”

“But to me September is so far away; let’s see in September,” Lane added.

ECB policymakers have lined up behind plans to raise interest rates again next month, but views diverge on policy further down the road as underlying inflation remains stubbornly high even as the economy is barely growing.

(Reporting By Jesus Aguado, Emma Pinedo and Belen Carreno; Writing by Francesco Canepa in Frankfurt; Editing by Jon Boyle and Gareth Jones)

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GE says all options on the table over engine for stretched A220

by Reuters June 19, 2023
By Reuters

PARIS (Reuters) – GE Chairman and GE Aerospace CEO Larry Culp said on Monday all options were on the table, when asked whether the company would be interested in investing in a new engine for a potential larger version of the Airbus A220 jet.

“I don’t think we would rule anything in or rule anything out,” he said at the Paris Airshow.

GE co-owns engine maker CFM International with France’s Safran. The A220 is currently powered solely by engines from CFM competitor Pratt & Whitney.

(Reporting by Tim Hepher; Editing by Mark Potter)

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