By Kanishka Singh

WASHINGTON (Reuters) -The office of U.S. Trade Representative Katherine Tai on Wednesday further extended China “Section 301” tariff exclusions on 352 Chinese import and 77 COVID-19-related categories till Dec. 31 that were set to expire on Sept. 30.

THE TAKE

The import tariff exclusions include industrial components such as pumps and electric motors, some car parts and chemicals, bicycles and vacuum cleaners. The COVID-related exclusions include medical products like face masks, examination gloves and hand sanitizing wipes.

WHAT’S NEXT

The extension until Dec. 31, 2023, will allow for further consideration under a statutory four-year review, Tai’s office said in a statement on Wednesday.

U.S. Commerce Secretary Gina Raimondo said on Tuesday she does not expect any revisions to U.S. tariffs on China until the U.S. trade representative’s office completes the review.

CONTEXT

* Former U.S. President Donald Trump imposed tariffs in 2018 and 2019 on thousands of imports from China valued at some $370 billion at the time, after a “Section 301” investigation found that China was misappropriating U.S. intellectual property and coercing U.S. companies to transfer sensitive technology to do business.

* The duties currently range from 7.5% on many consumer goods to 25% on vehicles, industrial components, semiconductors and other electronics. Among the major categories that escaped tariffs were cellphones, laptop computers and videogame consoles.

* The Trump administration had used Section 301 of the Trade Act of 1974, a statute aimed at combating trade partners’ unfair practices, to launch the China tariffs.

* China last week urged Chinese companies investing in the U.S. to be given “equal treatment” and called U.S. 301 tariffs on Chinese imports “discriminatory,” when Raimondo visited Beijing.

* Tariffs are only one component of strains in U.S.-China relations off late. Other contentious issues include Taiwan, spying allegations, human rights and the origins of the COVID-19 pandemic.

(Reporting by Kanishka Singh in Washington; editing by Jonathan Oatis and Josie Kao)

(Reuters) – U.S. wireless carrier T-Mobile US said on Wednesday it has authorized a shareholder return program of up to $19 billion that will run through December 31, 2024.

The company intends to declare and pay its first dividend of approximately $750 million in Q4 2023, as part of the return program.

It will pay around $3 billion in additional dividends in 2024, with payments occurring each quarter during the year, along with share repurchases.

T-Mobile added the dividend amount paid per share is expected to grow by around 10% annually.

The shareholder return program is in addition to the company’s previously announced $14 billion share repurchase program the Board authorized in September 2022.

(Reporting by Samrhitha Arunasalam in Bengaluru; Editing by Krishna Chandra Eluri)

By Laura Sanicola

NEW YORK (Reuters) -Oil prices rose on Wednesday, reversing early declines as traders anticipated further draws on U.S. crude oil inventory following extended production cuts in Saudi Arabia and Russia.

Brent crude futures rose by 72 cents to $90.76 a barrel at 1:26 p.m. EDT (1726 GMT). U.S. West Texas Intermediate crude (WTI) futures rose 89 cents, or 1%, totrade at $87.58.

“We have pretty low crude supplies in the U.S., with several weeks of big crude oil draws pushing prices up,” said Bob Yawger, director of energy futures also at Mizuho.

Six analysts polled by Reuters estimated on average that U.S. crude inventories fell by about 2.1 million barrels in the week to Sept. 1.

The poll was conducted ahead of reports from the American Petroleum Institute industry group, due at 4:30 p.m. EDT (2030 GMT) on Wednesday, and the U.S. Energy Information Administration, due at 11 a.m. EDT (1500 GMT) on Thursday.

Both sets of data arrive a day later than usual due to Monday’s Labor Day holiday.

On Tuesday, Saudi Arabia and Russia extended voluntary oil supply cuts to the end of the year. The Saudi cuts were by 1 million barrels per day (bpd) while Russia has cut 300,000 bpd. These cuts were on top of the April cut agreed by several OPEC+ producers running to the end of 2024.

Both countries will review market conditions and make monthly decisions on deepening cuts or raising output.

Reflecting near-term supply concerns, front-month Brent futures traded near 9-month highs at $4.13 a barrel above prices in six months. The equivalent spread for U.S. WTI futures was as much as $4.88 a barrel, also near nine-month highs.

Early in the session, oil prices fell on rate-hike concerns and investor worries about the economy after data showed the ISM non-manufacturing Purchasing Managers’ Index (PMI) came in at 54.5, compared with expectations of 52.5.

“This is fuelling worries about interest rates staying higher for longer, and what does that mean for demand,” said John Kilduff, partner at Again Capital LLC in New York.

Against a basket of currencies, the dollar was at 104.98, above the six-month high of 104.90 touched overnight. A stronger dollar can weigh on oil demand by making crude more expensive for holders of other currencies.

Analysts warned that price rises could hit demand when U.S. refineries enter their September-October maintenance period. Potentially higher supply from Iran, Venezuela and Libya could also weigh.

Research company IIR Energy said on Wednesday it expects U.S. oil refiners to increase available refining capacity by 274,000 bpd for the week ending Sept. 8.

(Additional reporting by Paul Carsten in London, Mohi Narayan in New Delhi; Arathy Somasekhar in Houston; Editing by David Evans, Jason Neely, Nick Zieminski, Nick Macfie and David Gregorio)

By Anirban Sen and Abigail Summerville

(Reuters) – Kroger Co and Albertsons Cos Inc are nearing a deal they hope will secure U.S. regulatory clearance for their proposed $24.5 billion merger, by selling more than 400 grocery stores to C&S Wholesale Grocers for nearly $2 billion, according to people familiar with the matter.

The deal would give privately held C&S, primarily a supplier rather than an operator of grocery stores, a much more significant footprint. It currently operates about two dozen stores under the Grand Union and Piggly Wiggly brands.

SoftBank Group Corp, the Japanese investment group, is in talks with C&S about helping finance a small portion of the deal, one of the sources said.

While SoftBank typically opts for technology-related deals, it has ties to C&S executive chairman Rick Cohen, because it has a joint venture with warehouse automation company Symbotic Inc, where Cohen serves as CEO.

The stores that Kroger and Albertsons plan to shed are primarily in the Pacific Northwest and the Mountain states, along with some in California, Texas, Illinois, and the East Coast, the sources said.

An agreement may be reached as early as this week, they said, adding it remained unclear whether it will allay regulators’ fears that a combined Kroger and Albertsons would have too much control over grocery prices.

The sources requested anonymity because the negotiations are confidential. Kroger and Albertsons declined to comment. C&S and SoftBank did not respond to requests for comment. Bloomberg News reported about the talks between C&S, Kroger and Albertsons on Monday, as well as SoftBank’s involvement but gave no information about the deal terms.

Previously, Kroger and Albertsons said they may divest between 100 and 375 stores by placing them in a new company that Albertsons shareholders would own. In a regulatory filing Kroger said the upper limit for divestitures was 650 stores.

C&S has been looking to build its own store presence in a fiercely competitive market for supplying groceries. It lost one of its largest customers when Ahold Delhaize decided to transition to self-distribution in 2019.

(Reporting by Anirban Sen and Abigail Summerville in New York; additional reporting by Juby Babu in Bengaluru, Editing by Sherry Jacob-Phillips, Rashmi Aich and David Gregorio)

By Laura Sanicola

NEW YORK (Reuters) – Oil prices fell below $90 a barrel on Wednesday, after rising over 1% the previous session, on a stronger dollar and after strong economic data renewed concerns over high interest rates.

Brent crude futures fell by 50 cents to $89.56 a barrel at 11:07 a.m. EDT (1607 GMT). U.S. West Texas Intermediate crude (WTI) futures traded at $86.58 a barrel, down 31 cents.

Against a basket of currencies, the dollar was at 104.98, above the six-month high of 104.90 touched overnight. A stronger dollar can weigh on oil demand by making the fuel more expensive for holders of other currencies.

Fueling rate-hike concerns and denting investor sentiment, data on Wednesday showed the ISM non-manufacturing Purchasing Managers’ Index (PMI) came in at 54.5, compared with expectations of 52.5.

“This is fuelling worries about interest rates staying higher for longer, and what does that mean for demand,” said John Kilduff, partner at Again Capital LLC in New York.

Saudi Arabia and Russia on Tuesday extended their voluntary oil cuts to the end of the year, the former to the tune of 1 million barrels per day (bpd) and the latter by 300,000 bpd. These are on top of the April cut agreed by several OPEC+ producers running to the end of 2024.

“The reason the market gave back half of the gains and is listless this morning is because within the language of the joint announcement there is a caveat that these cuts will be reviewed on a monthly basis,” said John Evans of oil broker PVM.

Both countries will review their decisions monthly to consider deepening cuts or raising output, depending on market conditions.

“This flexibility add-in allows for wiggle room, but the market smells a taper,” he said, citing conditions like anti-inflation battles in the U.S. and other countries, whether crude prices near $100 a barrel, or the effect on Saudi oil revenues.

Reflecting near-term supply concerns, front-month Brent futures had traded on Wednesday near 9-month highs at $4.13 a barrel above prices in six months. U.S. WTI futures’ equivalent spread was as much as $4.88 a barrel, also hovering near nine-month highs.

However, analysts warned that price rises could meet with obstacles as demand may dip when U.S. refineries enter their September-October maintenance period, while potentially higher supply from Iran, Venezuela and Libya could also weigh.

Research company IIR Energy said on Wednesday it expects U.S. oil refiners to increase available refining capacity by 274,000 bpd for the week ending Sept. 8.

(Additional reporting by Paul Carsten in London, Mohi Narayan in New Delhi; Additional reporting by Arathy Somasekhar in Houston; Editing by David Evans, Jason Neely, Nick Zieminski and Nick Macfie)

By Caroline Valetkevitch

NEW YORK (Reuters) – World stock indexes were lower while U.S. Treasury yields rose and the U.S. dollar hit its highest in six months on Wednesday after stronger-than-expected U.S. services sector data suggested inflation pressures remain.

The Institute for Supply Management’s (ISM) data showed the non-manufacturing PMI picked up in August, with new orders firming and businesses paying higher prices for inputs.

Some investors said the data may add to signs that interest rates could remain elevated for longer. The U.S. Federal Reserve is still expected to pause in its rate hikes when it meets later this month.

The Nasdaq led declines on Wall Street and technology was down the most of S&P 500 sectors.

Shares of Apple fell 3.2% after the Wall Street Journal reported, citing people familiar with the matter, that China had banned officials at central government agencies from using iPhones and other foreign-branded devices for work.

The Dow Jones Industrial Average fell 212.46 points, or 0.61%, to 34,429.51, the S&P 500 lost 37 points, or 0.82%, to 4,459.83 and the Nasdaq Composite dropped 153.74 points, or 1.1%, to 13,867.21.

The pan-European STOXX 600 index lost 0.59% and MSCI’s gauge of stocks across the globe shed 0.64%.

In other data, manufacturing activity in Germany, Britain and the euro zone declined, while their service sectors fell into contraction territory.

Investors also await the Fed’s “Beige Book” report, due later on Wednesday, for a snapshot of the U.S. economy.

“The two big challenges facing the Fed right now are the risks that inflation could become entrenched and the risks that the consumer could falter when excess savings dry up,” Jeffrey Roach, chief economist at LPL Financial, wrote in a note after the data.

The dollar index rose to a fresh six-month high of 105.03, and was last at 104.95, up 0.2%, with the euro down 0.08% to $1.0711.

In the Treasury market, benchmark 10-year notes were up 3.3 basis points at 4.302%, from 4.268% late on Tuesday.

Oil prices eased. U.S. crude recently fell 0.33% to $86.40 per barrel and Brent was at $89.60, down 0.49% on the day.

(Additional reporting by Gertrude Chavez-Dreyfuss in New York and Nell Mackenzie in London and Kane Wu; Editing by Edmund Klamann, Sam Holmes, Will Dunham and Sharon Singleton)

By Paul Carsten

LONDON (Reuters) -Oil prices held steady on Wednesday after rising over 1% in the previous session, on a stronger dollar and as investors remained firm after jitters arising from supply cuts from Saudi Arabia and Russia.

Brent crude futures were up by 10 cents to $90.14 a barrel at 1346 GMT. U.S. West Texas Intermediate crude (WTI) futures traded at $86.92 a barrel, up 23 cents.

Against a basket of currencies, the dollar was at 104.68, not far off the six-month high of 104.90 touched overnight. A stronger dollar can weigh on oil demand by making the fuel more expensive for holders of other currencies.

“The reason the market gave back half of the gains and is listless this morning is because within the language of the joint announcement there is a caveat that these cuts will be reviewed on a monthly basis,” said John Evans of oil broker PVM.

“This flexibility add-in allows for wiggle room, but the market smells a taper,” he said, citing conditions like anti-inflation battles in the U.S. and other countries, whether crude prices near $100 a barrel, or the effect on Saudi oil revenues.

Reflecting near-term supply concerns, front-month Brent futures had traded on Wednesday near 9-month highs at $4.13 a barrel above prices in six months. U.S. WTI futures’ equivalent spread was as much as $4.88 a barrel, also hovering near nine-month highs.

Saudi Arabia and Russia on Tuesday extended their voluntary oil cuts to the end of the year, the former to the tune of 1 million barrels per day (bpd) and the latter by 300,000 bpd. These are on top of the April cut agreed by several OPEC+ producers running to the end of 2024.

Both countries will review their decisions monthly to consider deepening cuts or raising output depending on market conditions.

However, analysts warned that price rises could meet with obstacles as demand may dip when U.S. refineries enter their September-October maintenance period, while potentially higher supply from Iran, Venezuela and Libya could also weigh.

Research company IIR Energy said on Wednesday it expects U.S. oil refiners to increase available refining capacity by 274,000 bpd for the week ending Sept. 8.

(Reporting by Paul Carsten in London, Mohi Narayan in New Delhi; Additional reporting by Arathy Somasekhar in Houston; Editing by David Evans, Jason Neely and Nick Zieminski)

By Paul Carsten

LONDON (Reuters) – Oil prices reversed course on Wednesday after rising over 1% in the previous session, on a firmer dollar and as investors shrugged off jitters arising from supply cuts from Saudi Arabia and Russia.

Brent crude futures were down by 59 cents to $89.45 a barrel at 1145 GMT. U.S. West Texas Intermediate crude (WTI) futures traded at $86.21 a barrel, down 48 cents.

Against a basket of currencies, the dollar was at 104.69, not far off the six-month high of 104.90 touched overnight. A stronger dollar can weigh on oil demand by making the fuel more expensive for holders of other currencies.

“The reason the market gave back half of the gains and is listless this morning, is because within the language of the joint announcement there is a caveat that these cuts will be reviewed on a monthly basis,” said John Evans of oil broker PVM.

“This flexibility add-in allows for wiggle room, but the market smells a taper,” he said, citing conditions like anti-inflation battles in the U.S. and other countries, whether crude prices near $100 a barrel, or the effect on Saudi oil revenues.

Reflecting supply concerns in the near term, the front-month Brent futures had traded near 9-month highs at $4.13 a barrel above prices in six months.

For U.S. WTI futures, the spread between front-month and the six-month contract widened to as much as $4.88 a barrel on Wednesday, also hovering near nine-month highs.

Saudi Arabia and Russia on Tuesday extended their voluntary oil cuts to the end of the year, the former to the tune of 1 million barrels per day (bpd) and the latter by 300,000 bpd. These are on top of the April cut agreed by several OPEC+ producers running to the end of 2024.

Both countries will review their decisions monthly to consider deepening cuts or raising output depending on market conditions.

However, analysts warned that price rises could meet with obstacles as demand may dip when U.S. refineries enter their September-October maintenance period, while potentially higher supply from Iran, Venezuela and Libya could also weigh.

(Reporting by Paul Carsten in London, Mohi Narayan in New Delhi; Additional reporting by Arathy Somasekhar in Houston; Editing by David Evans and Jason Neely)

By Nell Mackenzie and Kane Wu

LONDON/HONG KONG (Reuters) -Global stocks fell on Wednesday after faltering growth in China and Europe heightened concerns about broader economic momentum, while the dollar firmed as investors weighed up the outlook for Federal Reserve interest rates.

MSCI’s broadest gauge of world stocks had slipped 0.1% by 0845 GMT.

European stocks declined, extending losses for a sixth consecutive session, dragged lower by global economic slowdown fears and higher crude prices.

The pan-European STOXX 600 index was at a week’s low of 0.8% by 0845 GMT.

German industrial orders fell more than expected in July, the federal statistics office said. Euro zone construction PMIs and retail sales data are due later in the day.

In Asia, the Hang Seng Index closed down 150 points and China’s benchmark CSI300 Index fell 0.22%, ahead of expectations that China’s exports contracted at a slower pace in August.

Chinese investor sentiment also wavered after a private-sector survey on Tuesday showed services activity expanded at the slowest pace in eight months in August, reflecting weak demand.

“Key risks that could undermine equity sentiment in September include developments in China’s property market and potential increases in food and energy prices,” said Bruno Schneller, a managing director at INVICO Asset Management.

China is also set to release lending and inflation data in coming days.

Another concern, Schneller said, was any deliberations on further oil production cuts, which could reignite inflationary concerns and dampen investor confidence.

Brent crude futures surpassed $90 a barrel on Tuesday after Saudi Arabia and Russia both said they would extend supply cuts to the end of 2023. Both Brent and U.S. West Texas Intermediate crude futures were over 60 cents down as of 0845 GMT at $89.37 and $86.05, respectively.

Adding to the dour mood, manufacturing activity in Germany, Britain and the euro zone declined, while their service sectors fell into contraction territory.

“The Europe data were rather weak. We think there is still a high chance to have a mild recession in the U.S. and Europe toward the end of the year or beginning of next year,” said Redmond Wong, Greater China market strategist at Saxo Markets.

As the U.S. returned from its Labor Day holiday, traders have been met with unusually high corporate bond issuance of over $36 billion due to hit the market this week, and $120 billion of investment grade dollar-denominated issuance expected this month, noted Deutsche Bank strategist Jim Reid on Wednesday.

“The pressure on US Treasury yields then comes as investors hedge the interest rate risk,” said Reid in a note.

US 10-year Treasury yields fell by as much as 2.6 basis points to a low of 4.242% on Wednesday, having touched a session high of 4.274%, its highest since Aug 25, while the U.S. dollar rose in earlier trading to a near six-month high against a basket of currencies.

Investors are digesting recent signals on potential U.S. interest rate rises. Fed Governor Christopher Waller said on Tuesday that the latest round of economic data was giving the U.S. central bank space to see if it needs to hike again.

The Institute for Supply Management (ISM) releases U.S. services PMI on Wednesday.

Spot gold dipped 0.1% to $1,923.01 per ounce by 0835 GMT, after posting its biggest one-day loss since Aug. 1 on Tuesday.

(Reporting by Nell Mackenzie and Kane Wu; Editing by Edmund Klamann and Sam Holmes)

By Paul Carsten

LONDON (Reuters) -Oil prices reversed course on Wednesday after rising over 1% in the previous session, on a firmer dollar and as investors shrugged off jitters arising from supply cuts from Saudi Arabia and Russia.

Brent crude futures were down by 67 cents to $89.37 a barrel at 0822 GMT. U.S. West Texas Intermediate crude (WTI) futures traded at $86.05 a barrel, also down 64 cents.

Against a basket of currencies, the dollar was at 104.75, not far off the six-month high of 104.90 touched overnight. A stronger dollar can weigh on oil demand by making the fuel more expensive for holders of other currencies.

“The reason the market gave back half of the gains and is listless this morning, is because within the language of the joint announcement there is a caveat that these cuts will be reviewed on a monthly basis,” said John Evans of oil broker PVM.

“This flexibility add-in allows for wiggle room, but the market smells a taper,” he said, citing conditions like anti-inflation battles in the U.S. and other countries, whether crude prices near $100 a barrel, or the effect on Saudi oil revenues.

Reflecting supply concerns in the near term, the front-month Brent futures traded near 9-month highs at $4.13 a barrel above prices in six months.

For U.S. WTI futures, the spread between front-month and the six-month contract widened to as much as $4.88 a barrel on Wednesday, also hovering near nine-month highs.

Saudi Arabia and Russia on Tuesday extended their voluntary oil cuts to the end of the year, the former to the tune of 1 million barrels per day (bpd) and the latter by 300,000 bpd. These are on top of the April cut agreed by several OPEC+ producers running to the end of 2024.

Both countries will review their decisions monthly to consider deepening cuts or raising output depending on market conditions.

But rising oil prices could be restrained if crude demand dips as U.S. refineries enter their September-October maintenance period, said Sugandha Sachdeva of Acme Investment Advisors.

Elsewhere, Iranian crude supply rises could hobble price gains: “Iran is producing close to 3.1 million barrels per day (bpd) and plans to pump around 3.4 million bpd,” ING Economics analysts noted.

(Reporting by Paul Carsten in London, Mohi Narayan in New Delhi; Additional reporting by Arathy Somasekhar in Houston; Editing by Stephen Coates, John Stonestreet and David Evans)