OIL
Indian refiner raises prices
India’s biggest refiner, Indian Oil Corp, increased gasoline prices by more than 3.5 percent from yesterday, blaming the falling rupee for the hike. The company also raised diesel prices by just more than 1 percent, it said in a statement issued late on Saturday, after a week which saw India’s currency sink to a record low around 69 to the US dollar. Both changes came into effect yesterday, one month after the company last increased gasoline and diesel prices. In addition to the “extremely volatile” exchange rate, the “geopolitical situation in the Middle East is leading to pressure on international oil prices as well,” the company said in a statement.
GOLD
Australian output increases
Gold output in Australia, the world’s second-biggest producer, advanced in the second quarter on an increase in the amount of metal mined and higher ore grades, according to mining consultant Surbiton Associates Pty. Production was 67 tonnes in the three months through June, about 3.5 tonnes more than the previous quarter and 3 tonnes higher than the same period a year earlier, Melbourne-based Surbiton said in a statement. Output was 259 tonnes in the year ended June 30, “marginally less” than the year prior, it said. Gold slumped in the second quarter as some investors lost faith in the metal as a store of value and an improving US economy boosted speculation the US Federal Reserve may scale back debt purchases that helped bullion cap a 12-year bull run last year. Prices rebounded from a 34-month low in June on increased demand for jewelry, bars and coins in Asia.
FRANCE
Hollande mulls ‘tax pause’
The government is hinting it may appease discontent at tax rises by putting more stress on spending cuts in its fight to control the budget and boost growth. The latest signs came with a new reform of the pension system, which was headed for a huge deficit by 2020, that raises charges for business and workers, but has been widely criticized as a weak compromise. The country has just emerged from recession. However, analysts warn that this could be mainly because of heavy household spending on energy during a long winter, and business leaders are warning that the burden of taxes is becoming counter-productive. Leading figures on the left have begun responding to this, and on Friday President Francois Hollande said “the time has come” to take a “tax pause” after one of his ministers warned of growing “tax discontent.” Hollande told the daily Le Monde that for businesses his administration is “committed to not increasing labor costs and amputating their margins.”
BRAZIL
Central bank to provide aid
The central bank will use its range of tools and is ready to provide liquidity if needed to reduce the real’s volatility, bank Governor Alexandre Tombini said. Brazil has a “cushion” of more than US$370 billion in international reserves that allows it to provide hedge to economic agents, Tombini said at an event in Campos do Jordao in the state of Sao Paulo. The bank can also provide liquidity if needed, he said. Policymakers on Aug. 22 introduced a US$60 billion plan to stem the biggest decline amid major currencies that threatens to further stoke inflation, which is near the upper end of the government’s target range. Less than a week later, officials lifted the benchmark rate for a fourth straight meeting, and said in a statement that the decision will help put inflation on decline.
NEW IDENTITY: Known for its software, India has expanded into hardware, with its semiconductor industry growing from US$38bn in 2023 to US$45bn to US$50bn India on Saturday inaugurated its first semiconductor assembly and test facility, a milestone in the government’s push to reduce dependence on foreign chipmakers and stake a claim in a sector dominated by China. Indian Prime Minister Narendra Modi opened US firm Micron Technology Inc’s semiconductor assembly, test and packaging unit in his home state of Gujarat, hailing the “dawn of a new era” for India’s technology ambitions. “When young Indians look back in the future, they will see this decade as the turning point in our tech future,” Modi told the event, which was broadcast on his YouTube channel. The plant would convert
‘SEISMIC SHIFT’: The researcher forecast there would be about 1.1 billion mobile shipments this year, down from 1.26 billion the prior year and erasing years of gains The global smartphone market is expected to contract 12.9 percent this year due to the unprecedented memorychip shortage, marking “a crisis like no other,” researcher International Data Corp (IDC) said. The new forecast, a dramatic revision down from earlier estimates, gives the latest accounting of the ongoing memory crunch that is affecting every corner of the electronics industry. The demand for advanced memory to power artificial intelligence (AI) tasks has drained global supply until well into next year and jeopardizes the business model of many smartphone makers. IDC forecast about 1.1 billion mobile shipments this year, down from 1.26 billion the prior
People stand in a Pokemon store in Tokyo on Thursday. One of the world highest-grossing franchises is celebrated its 30th anniversary yesterday.
Zimbabwe’s ban on raw lithium exports is forcing Chinese miners to rethink their strategy, speeding up plans to process the metal locally instead of shipping it to China’s vast rechargeable battery industry. The country is Africa’s largest lithium producer and has one of the world’s largest reserves, according to the US Geological Survey (USGS). Zimbabwe already banned the export of lithium ore in 2022 and last year announced it would halt exports of lithium concentrates from January next year. However, on Wednesday it imposed the ban with immediate effect, leaving unclear what the lithium mining sector would do in the
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