Finance, in brief

The US government told Germany and France to release diesel from their emergency stores or face a possible US ban on diesel exports, three people close to the talks told Reuters. [1]

A source in a European capital said the US had asked the European Union to release 120 million barrels of diesel over the next six months. [1]

The aim is to bring down US fuel prices before the US midterm elections on 3 November, Reuters and MarketWatch reported. [1][2]

US diesel reached a record $6.53 a gallon in September and was about $6.39 early on Thursday, according to AAA, a US motoring club. [2]

Diesel runs the trucks, tractors and heavy machines of farms and industry, so dearer diesel raises freight costs and often the price of food in shops. [3]

The US is the top diesel supplier to more than a dozen countries, including Mexico, Canada and much of Europe. [3] It sold 1.53 million barrels a day of diesel and similar fuels abroad last week, US figures showed. [4]

Europe has leaned more on US fuel since it banned Russian fuel, and the EU gets more than half of its imported diesel from the US. [1][5]

Britain, which got about a third of its imported diesel from the US last year, joined a call on Thursday with the European Commission, Germany, France, Italy and Ireland. [6]

Europe makes about 70% of its own diesel, so fuel stations are unlikely to run dry. [6] Competing with other buyers for the cargoes it still needs would push prices up. [6]

EU governments hold urgent talks with the European Commission on Friday, and the International Energy Agency (IEA), the West's energy watchdog, is due to meet. [6][2][1]

Goldman Sachs, a bank, says a US ban would likely lower US prices only for a while. [2] If US diesel tanks filled up within nine to ten weeks, it expects US petrol to rise 30 cents a gallon each week after that. [2]

Goldman also estimates each week of a US restriction could add about 2% to diesel prices in Europe, and a European release could offset about half of that. [2]

Why it matters. Watch what Germany and France say after Friday's meetings: a joint release through the IEA would ease the pressure for a US ban, and a refusal would test whether the US carries out its threat. [6][2]

The average 30-year fixed US home loan rose to 7.28% this week, from 7.03%, said Freddie Mac, a big US buyer of home loans. [11][23] It was the biggest weekly jump since October 2022 and the highest rate since November 2023. [11] The rate has risen six weeks in a row, from 5.98% in late February. [11] A year ago it was 6.34%. [11] Home-loan rates move with the 10-year US government bond, not with the US central bank's own rate. [23]

Why it matters. The rise since February adds about $276 a month to the payments on a $400,000 loan. [11] More buyers are taking loans whose rate can change later, which are cheaper now but can cost more if rates keep rising. [7]

The yearly interest on 10-year US government bonds touched 5.344% on Thursday, the most since 2002, then fell back to 5.243%. [9][24] Britain's 30-year rate hit 6% for the first time since 1998. [12] Germany's 10-year rate passed 3.6%, its highest since 2008. [24] France's rose to 4.925%, Italy's to 4.706% and Britain's 10-year to 5.483%. [24] London's FTSE 100 share index fell almost 1.7%, its worst day since May. [12]

Why it matters. Investors fear dear oil will push prices up again and keep central banks raising rates. [12] These bond rates set what governments, companies and home buyers pay to borrow. [24]

Chinese refiners suspended fuel exports for October to protect stocks at home, and may ship only to Hong Kong and Macau, Business Insider reported. [8] PetroChina, China's state oil company, cancelled several October shipments of jet fuel and petrol. [8] Russia has extended its own ban on diesel exports. [1] Brent crude, the world's main oil price, rose more than 4% to close at $102.31 a barrel on Thursday. [9]

Why it matters. With China and Russia holding fuel back, buyers elsewhere compete for fewer cargoes, a trading analyst told Business Insider. [8] Oil also rose on a report that the US is sending a third aircraft carrier to the Middle East. [9]

An internal watchdog found that the US central bank, the Federal Reserve, mismanaged the rebuilding of its headquarters, but found no crime and no misconduct. [25][13] Building costs rose from a planned $921m in 2020 to $2.018bn by December 2024. [25] President Trump said Jerome Powell, the bank's former chair, 'should not be sitting' on its board. [13] He could try to remove three of its seven governors. [13]

Why it matters. The bank raised its rate in September, and sets it again on 28 October, days before the US elections. [13][26] A former lawyer for the bank said court fights could keep the governors in their seats for months. [13]

The US government publishes its September jobs count on Friday, and economists expect 84,000 new jobs with unemployment steady at 4.1%. [26] August added a surprisingly strong 162,000. [26] Philip Jefferson, vice chair of the US central bank, said on Thursday the job market has steadied. [26] Traders put the chance that the bank leaves its rate alone in October at 72%. [9]

Why it matters. John Williams, who runs the bank's New York branch, said there is 'no need for urgency' to follow September's rise. [26] A strong jobs count alone would probably not force a rise in October, a Natixis economist said. [9]

The US Treasury put sanctions on A7, a Russian financial firm, cutting it off from the US financial system. [16] It says A7 built a web of companies to help sanctioned buyers, including Iran, buy goods around the world. [16] The New York Times had reported that A7 used more than 70 shell companies and cryptocurrency to move money. [16] The US Treasury also hit Iran's car and rail industries, including Iran Khodro and SAIPA, which make over 90% of Iran's cars. [17][27]

Why it matters. It is part of a US campaign called Operation Economic Outcast, meant to cut off the Iranian government's money. [17] It is not clear how much more the penalties will hurt Iran, which has lived under sanctions for years. [17]

Mattel, the toymaker behind Barbie, has been approached about a takeover by Authentic Brands Group, a source told Reuters. [20] Authentic owns brands such as Guess and Van Heusen and lets other firms use them for a fee. [20] It discussed paying more than $20 a share, about $6bn. [20][28] Mattel's shares closed up about 18% at $15.04. [20] A day earlier, its boss Ynon Kreiz said he would leave to help run the merged Paramount and Warner Bros. [20][29]

Why it matters. No formal sale is under way, and the arrival of a new boss, Roger Lynch, could complicate a deal. [20] Mattel's shares had fallen 33% this year as tariffs raised its costs. [20]

Sycamore Partners, a private equity firm, is in advanced talks to sell Boots, a British pharmacy chain with 1,800 shops, to the Canadian branch of the Weston family for $9bn, the Guardian reported. [21] Sycamore bought Boots' parent company, Walgreens Boots Alliance, for $23.7bn in 2025. [21] A deal could be done as soon as next week. [21] The Westons own Loblaws, a Canadian grocery chain. [21]

Why it matters. Boots employs about 51,000 people. [21] A sale this summer to Sigma Healthcare, an Australian company, at about $10bn fell through. [21]

Nike, the sportswear company, said sales fell 4% to $11.21bn in the first quarter of its financial year, as sales in China dropped 26%. [30] It expects sales to fall by a high single-digit percentage over its full year. [30] It also announced a reorganisation that will cut jobs from 2027, without saying how many. [30] Its shares fell about 3% in late trading. [30]

Why it matters. Its boss, Elliott Hill, said shoppers are cautious and Nike must make its everyday clothes more exciting. [30] Profit per share was 48 cents, above the 43 cents analysts expected. [30]

The cap on household energy bills in Great Britain rose 4% on Thursday, to £1,723 a year for a typical home, its highest in three years. [10] Cornwall Insight, a forecaster, expects a 16% rise in January, adding £276 and taking the typical bill to £1,999. [31] Gas prices in Europe have doubled in recent months since the US-Israel war on Iran began. [31] Britain's government has cut VAT on electricity, saving a typical home about £45 a year. [10]

Why it matters. Campaigners want more help in Britain's budget on 28 October. [10] Britain's chancellor, John Healey, has warned that Britain's government has limited money to spend on help. [10]

UK house prices rose 0.8% in the year to September, to an average of £274,251, half August's pace, said Nationwide, a big British lender. [32] Prices fell 0.2% in the month. [32] Two-year and five-year fixed mortgage rates are both above 5.9%. [32] Investors put a 92% chance on the Bank of England raising its rate from 3.75% to 4% on 5 November. [32]

Why it matters. Nationwide's chief economist said the war has pushed up energy prices and the interest rates that set mortgage costs. [32] Dearer mortgages make homes harder to buy. [32]

Australia's central bank, the Reserve Bank of Australia, said most home borrowers can cope with higher rates and falling prices. [33] Fewer than 1 in 100 owe more on their home than it is worth. [33] Even a 20% fall in prices would push only about 5% of loans into that position, it estimated. [33] First-time buyers who borrowed a lot under a government scheme that let them put down just 5% are most at risk. [33]

Why it matters. Prices are falling most in Sydney and Melbourne. [33] The bank said a strong job market and borrowers' savings are holding arrears low. [33]

A new US law gives the US government until 18 October to decide whether to punish countries that buy Russian oil and gas, with penalties of up to 100%. [19] Jamieson Greer, the US trade representative, said officials must 'name names' in a report within 30 days. [19] Whether to act is Trump's decision, he said. [19] He spoke at a meeting of trade ministers from the G20, a group of 20 big economies, in Milwaukee. [19][34]

Why it matters. EU and Indian officials raised the law with him this week. [19] Greer called India's purchases of Russian oil 'a wartime-discount situation'. [19]

Jamieson Greer said a US trade deal with India is not 'imminent', a day after India's prime minister, Narendra Modi, and Trump spoke by phone. [35] India's commerce minister, Piyush Goyal, was more upbeat and spoke of an early interim agreement. [35] India's purchases of Russian oil remain a sticking point for the US government. [35] India wants to protect its farmers. [35]

Why it matters. Greer said the two sides have now listed every issue they still disagree on. [35] A scholar at Stanford's Hoover Institution said the last issues in any trade deal are the hardest. [35]

Trump said South Korea will invest up to $200bn in US energy projects, including nuclear plants and a gas power plant in Texas. [18] He said the two countries agreed to work on a $50bn project to pipe gas from Alaska's north for export. [18] South Korea's president, Lee Jae Myung, said joining it depends on whether it makes money and is legal. [18] The package includes $120bn for eight nuclear reactors. [18]

Why it matters. South Korea's industry minister called the Alaska project 'high-risk' last year. [18] The $22.3bn Texas plant would power data centres from 2029. [18]

A US federal judge approved Paramount Skydance's settlement with 12 US states, clearing the last obstacle to its nearly $111bn takeover of Warner Bros Discovery. [36] The companies expect the deal to close on 6 October. [36] Paramount promised to release at least 30 films a year, or pay $30m for each film it falls short. [36] The merged company owes about $52bn. [29]

Why it matters. It must also spend at least $300m more a year on US film production than the two companies spent in 2025. [36] The promises start in 2027. [36]

Boeing's 17,000 engineers and technical workers voted for a new four-year contract, avoiding a strike. [37] It gives an immediate 10% raise, then 4% a year, with up to 6% for good work. [37] They had rejected an offer of 3% a year. [37] Engineers voted 67.62% in favour and technical workers 53.48%. [37]

Why it matters. Boeing, the planemaker, needs them as it tries to build more jets and win approval for two late models, the 737 Max 10 and the 777X. [37]

General Motors, the top-selling carmaker in the US, sold 670,974 vehicles there from July to September, 5.5% fewer than a year earlier. [38] Sales of its electric Equinox fell 92.4%, after US tax credits of up to $7,500 for electric cars ended. [38] Toyota's US sales rose 0.6%, and its sales of hybrids and electric cars rose 28.5%. [38]

Why it matters. High petrol prices are pushing US buyers towards hybrid cars. [38] GM sells only one hybrid, a Corvette. [38]

The Securities and Exchange Commission (SEC), which oversees US markets, proposed rules making it easier for investment advisers and funds to hold cryptocurrency for clients. [39] Crypto could sometimes be held directly, and state trust companies could look after it. [39] SEC chair Paul Atkins said the old rules had not kept up with a market worth trillions of dollars. [39]

Why it matters. The step comes after the Clarity Act, a broad crypto bill, stalled in the US Senate. [39] US regulators are writing crypto rules with the powers they already have. [39]

The US Treasury said it had automatically enrolled more than 60 million children in Trump Accounts, savings accounts launched on 4 July. [14] Children born from 2025 to 2028 can get a one-time $1,000 from the US government. [14] Families must still claim the account in an app to get that money. [14] The US Treasury will also let people give shares to the accounts. [14]

Why it matters. Michael Dell, a technology boss, and his wife, Susan, pledged $6.25bn to add $250 for children in lower-income areas. [14] The announcement came a month before the US midterm elections. [14]

Indian companies raised a record 94,205 crore rupees (a crore is 10 million) by listing new shares from April to September, 35% more than the previous record of 69,533 crore. [22] New shares rose 19% on average on their first day, up from 7% a year earlier. [22] Across Asia and the Pacific, companies raised $327.1bn by selling shares this year, up 53%, LSEG data showed. [40] The record, set in 2021, is $557.6bn. [40]

Why it matters. Bankers say spending on AI chips, data centres and power is driving the deals. [40] They also see buyers getting choosier after so many sales. [40]

Patterns in trading on Kalshi and Polymarket, websites where people bet on future events, have raised questions about whether their volumes are inflated, CNBC reported. [41] On 20 September, nearly half the dollar volume in one Kalshi contract on ether, a cryptocurrency, came from trades sized between $5,495 and $5,505. [41] Both firms deny wash trading, where traders buy from and sell to each other to fake activity. [41]

Why it matters. Trading volume has been cited as proof of their growth while both firms seek higher values and plan stock-market listings next year. [41] Polymarket is raising money at a value above $20bn. [41]

Japan's prime minister, Sanae Takaichi, said her government's policies will lift confidence in the yen, after earlier efforts fell short. [42] Joint US-Japan buying of yen and a Bank of Japan rate rise helped make the yen the strongest of ten big currencies from July to September, up 3.3% against the dollar. [42] The dollar still bought 158.37 yen on Thursday, up about 7.65% in a year. [42]

Why it matters. A weak yen raises the cost of what Japan imports. [42] Japan holds more than $1.1 trillion of US government debt, more than any other foreign buyer. [42]

Saudi Arabia expects wider budget deficits for several years, its early 2027 budget shows. [43] It now puts this year's deficit at 4.9% of its economy, up from the 3.3% it forecast late last year. [43] Higher oil prices have largely made up for selling less oil, but spending is rising faster. [43] Its economy is expected to shrink 3.6% this year as oil output falls. [43]

Why it matters. The kingdom is borrowing to strengthen its defences and build trade routes that avoid the Strait of Hormuz. [43] Its debt could pass its own limit of 40% of its economy before 2030. [43]

Aliko Dangote, Africa's richest man, began building a $16bn oil refinery on Lamu island in Kenya on Wednesday. [44] It is due to open in 2030 and to process 700,000 barrels of crude a day. [44] It will serve a region that has long relied on fuel imported from the Middle East. [44] The presidents of Kenya, Ethiopia and Uganda attended. [44]

Why it matters. Dangote's refinery in Nigeria has turned that country into a big fuel producer. [44] A Kenyan court will hear a claim over the land in October. [44]

Burkina Faso, one of Africa's biggest gold producers, opened its first gold refinery, so its gold can be processed at home instead of exported raw. [45] Ibrahim Traore, the country's military leader, said he wants every step of mining kept in Burkina Faso. [45] He vowed the same control over lithium, copper and nickel. [45]

Why it matters. Governments across Africa are trying to keep more of the value of what is dug up there. [45] Burkina Faso has struggled to control its many small, informal mines. [45]

Artisan Partners, one of the ten biggest owners of UBS, the Swiss bank, urged it to move its legal home out of Switzerland. [46] A law going through Switzerland's parliament would make UBS raise new money from shareholders. [46] Artisan says that would cost the bank about $36bn of its stock-market value. [46] UBS said its goal is to keep operating from Switzerland. [46]

Why it matters. Blick, a Swiss newspaper, reported that up to eight banks have shown interest in a merger with UBS. [46]