Thursday, February 2, 2017

Germany to move ahead on new short-range air defence system

BERLIN, Feb 2 (Reuters) - The German military has decided to

replace its ageing short-range air defence systems and help fill

a gap that has caused concern among NATO allies following

Russia's annexation of Crimea, a defence ministry spokesman said

on Thursday.

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Serbia restores navigation on Danube, Sava rivers after removal of ice

BELGRADE, Feb 2 (Reuters) - Serbia's Transportation Ministry

on Thursday partially lifted a ban on navigation on the Danube

and Sava rivers following the removal of ice blocks that have

clogged the waterways since mid-January.

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Saudi Aramco examines Berri oilfield oil, gas expansion -sources

KHOBAR, Saudi Arabia, Feb 2 (Reuters) - State oil giant

Saudi Aramco is considering expanding its oil and gas production

from the Berri offshore oilfield, industry sources told Reuters.

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Trains plough through the waves on scenic UK line as storms approach

DAWLISH, England, Feb 2 (Reuters) - Throwing up spectacular

showers of spray, trains braved the waves along one of Britain's

most scenic rail stretches on Thursday, ahead of a weekend which

could see widespread travel disruption from high winds.

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Brazil may surprise with growth above 1 pct if pension reform passes -govt official

BRASILIA, Feb 2 (Reuters) - Brazil's economy could surprise

markets and grow more than 1 percent in 2017 if Congress

approves a controversial pension reform but otherwise the

country could face a third year of recession, a senior member of

the economic team told Reuters.

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Russia, Turkey, Iran to talk Syria in Astana on Feb. 6 - Kazakhstan

ASTANA, Feb 2 (Reuters) - Russia, Turkey and Iran will

discuss how a ceasefire in Syria is being implemented at a

meeting in Astana on Feb. 6, Kazakhstan's Foreign Ministry said

in a statement on Thursday.

(Reporting by Raushan Nurshayeva; Writing by Olzhas Auyezov and

Polina Devitt; Editing by Andrew Osborn)

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People dying of drought in Somalia as UN issues pre-famine alert

NAIROBI, Feb 2 (Thomson Reuters Foundation) - Somalia is on

the brink of its second famine in six years, with drought

already killing people in the north and crisis looming on a

catastrophic scale, the United Nations said on Thursday.

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UPDATE 2-SK Innovation buys Dow Chemical's ethylene acrylic acid unit for $370 mln

* Dow says sale part of regulatory process for DuPont merger

(Adds details from Dow statement)

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UPDATE 1-Khamenei ally says useless for U.S. to threaten Iran over missile test - Fars

ANKARA, Feb 2 (Reuters) - A top adviser to Supreme Leader

Ayatollah Ali Khamenei said on Thursday Iran will not yield to

U.S. threats over a ballistic missile test.

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UPDATE 2-Uber ups the ante in fight with Taiwan authorities by suspending service

* Suspension to last until president, her govt find solution

-Uber

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Russia's Sukhoi says has repaired defects in grounded Superjets

MOSCOW, Feb 2 (Reuters) - Russian plane maker Sukhoi has

repaired defects in 20 Superjet 100 aircraft that were grounded

in December by airlines including Russia's Aeroflot

and Mexico's Interjet, the company said on Thursday.

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Europe lifts ban on Iraqi Airways entering airspace

BAGHDAD, Feb 2 (Reuters) - The European Aviation Safety

Agency has lifted a ban on Iraqi Airways entering European

airspace, Iraq's transport minister Kadhim al-Hamami told state

television on Thursday.

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UPDATE 1-Iran tested nuclear-capable cruise missile-German newspaper

BERLIN, Feb 2 (Reuters) - Iran has tested a cruise missile

called "Sumar" that is capable of carrying nuclear weapons in

addition to test-firing a medium-range ballistic missile on

Sunday, German newspaper Die Welt reported Thursday, citing

unspecified intelligence sources.

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Turkish foreign minister warns of Greek "provocations"

ANKARA, Feb 2 (Reuters) - Turkey has accused Greece of

provocative actions and warned there could be "no going back" if

tensions were allowed to escalate, a newspaper said on Thursday,

underscoring strains from territorial disputes and Athens'

failure to hand over Turkish soldiers who fled after an abortive

coup.

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Property stocks lead slide in Hong Kong market, gaming shares also down

HONG KONG, Feb 2 (Reuters) - Hong Kong stocks fell on

Thursday, with property stocks leading the slide, as investors

continued to lock in gains after the U.S. Federal Reserve stuck

to its mildly upbeat economic view but gave no hint of when it

would next raise interest rates.

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Iran tested nuclear-capable cruise missile-German newspaper

BERLIN, Feb 2 (Reuters) - Iran tested a cruise missile

called "Sumar" that is capable of carrying nuclear weapons in

addition to test-firing a medium-range ballistic missile on

Sunday, German newspaper Die Welt reported Thursday, citing

unspecified intelligence sources.

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Wednesday, February 1, 2017

One killed in Bangladesh protest against Chinese-backed power plant

DHAKA, Feb 2 (Reuters) - A protest against a $2.4-billion

Chinese-backed power plant in Bangladesh turned violent, killing

one person and injuring about a dozen, risking delay to a

project seen as a symbol of warming ties between the two

nations.

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UPDATE 1-Philippines to shut mines, suspend others as clampdown deepens

MANILA, Feb 2 (Reuters) - The Philippines will close down

over 20 mines, mostly nickel producers that account for about

half of output in the world's biggest nickel ore supplier, as a

government campaign to fight environmental degradation deepens.

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UPDATE 1-Samsung Elec may build a U.S. manufacturing base for appliances -source

* Samsung says continues to evaluate new U.S. investment

needs

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Uber says will suspend its ride-hailing service in Taiwan from Feb. 10

TAIPEI, Feb 2 (Reuters) - Uber Technologies Inc

said it will suspend its service in Taiwan from Feb. 10, the

latest salvo in the wrangle between the island's authorities and

the global ride-hailing service company.

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Indonesia's Yogyakarta airport closed after Garuda jet skids off runway

YOGYAKARTA, Indonesia, Feb 2 (Reuters) - Indonesian

authorities said Yogyakarta's Adisutjipto International Airport

will remain closed until Thursday afternoon after a Garuda

aircraft with 130 people on board skidded off the runway while

landing late on Wednesday.

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UPDATE 1-Mattis to discuss THAAD missile system in South Korea talks

SEOUL, Feb 2 (Reuters) - U.S. Defense Secretary Jim Mattis

said he would sound out ally South Korea on efforts to rein in

North Korea's nuclear and missile programs as he arrived in

Seoul on Thursday, including plans to deploy a U.S. missile

defense system there.

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Samsung Elec to launch web payments service for Android phones in S.Korea

SEOUL, Feb 2 (Reuters) - Tech giant Samsung Electronics Co

Ltd said on Thursday it will launch a mobile web

payments service for all smartphones powered by Google Inc's

Android mobile operating system in South Korea in the first

quarter.

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UPDATE 1-Amazon plans more than 200 daily flights from new cargo hub

SAN FRANCISCO, Feb 1 (Reuters) - Amazon.com Inc

plans to schedule more than 200 flight departures and landings

per day at a $1.49 billion cargo hub it is building near

Cincinnati, the airport's chief said in an interview on

Wednesday, in a sign of the soaring ambitions of the online

retailer.

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UPDATE 4-Trump adopts aggressive posture toward Iran after missile launch

WASHINGTON, Feb 1 (Reuters) - The White House put Iran "on

notice" on Wednesday for test-firing a ballistic missile and

said it was reviewing how to respond, abruptly adopting an

aggressive posture toward Tehran that could raise tensions in

the region.

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Amazon plans more than 200 daily flights from new cargo hub

SAN FRANCISCO, Feb 1 (Reuters) - Amazon.com Inc

plans to schedule more than 200 flight departures and landings

per day at a $1.49 billion cargo hub it is building near

Cincinnati, the airport's chief said in an interview on

Wednesday, in a sign of the soaring ambitions of the online

retailer.

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Cheaper renewables to halt coal and oil demand growth from 2020 -research

LONDON, Feb 2 (Reuters) - The falling cost of electric

vehicle and solar technology will halt demand growth for oil and

coal from 2020, according to research published on Thursday,

posing a threat to fossil fuel companies unprepared for the

transition.

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INSIGHT-China's "Silk Road" push stirs resentment and protest in Sri Lanka

HAMBANTOTA, Sri Lanka, Feb 2 (Reuters) - China signed a deal

with Sri Lanka late last year to further develop the strategic

port of Hambantota and build a huge industrial zone nearby, a

key part of Beijing's ambitions to create a modern-day "Silk

Road" across Asia.

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Ending years of cuts, miners are exploring again - cautiously

SYDNEY, Feb 2 (Reuters) - After years of cutting budgets and

squeezing existing mines, global mining giants are again

scouting for new deposits: industry analysts say 2017 will see

the first increase in spending on exploration in five years.

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UPDATE 3-Activist ire rises as Dakota pipeline review begins

WASHINGTON/CANNON BALL, N.D., Feb 1 (Reuters) - Activists

protesting the Dakota Access Pipeline project expressed alarm on

Wednesday after federal lawmakers from the state said the final

permit had been granted for the project - a statement later

contradicted by the Army, which issues such permits.

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Faced with U.S. retreat on climate change, EU looks to China

BRUSSELS, Feb 1 (Reuters) - Faced with a U.S. retreat from

international efforts to tackle climate change, European Union

officials are looking to China, fearing a leadership vacuum will

embolden those within the bloc seeking to slow the fight against

global warming.

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UPDATE 1-U.S. Senate tax chief questions border adjustment tax

WASHINGTON, Feb 1 (Reuters) - The top U.S. Senate Republican

on tax policy raised questions on Wednesday about a border

adjustment tax backed by Republicans in the House of

Representatives, and suggested it could have difficulty passing

the Senate as a part of a U.S. tax reform.

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European shares snap losing streak on solid earnings, macro data

* Live Markets blog: cpurl://apps.cp./cms/?pageId=livemarkets

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Airbus calls in the movers as power shifts to new HQ

PARIS, Feb 1 (Reuters) - After top-level restructuring at

Airbus come the musical chairs and a new logo intended to convey

unity as the European giant aims to refocus its management

without a return to past infighting.

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US Senate tax chief has questions about border adjustment tax

WASHINGTON, Feb 1 (Reuters) - The top U.S. Senate Republican

on tax policy raised questions on Wednesday about a border

adjustment tax backed by Republicans in the House of

Representatives, and suggested the proposal could have

difficulty passing the Senate as a part of U.S. tax reform.

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UPDATE 1-Laureate Education flunks IPO debut

Feb 1 (Reuters) - Shares of Laureate Education Inc

slumped as much as 13.4 percent in their debut on Wednesday,

valuing the higher education provider at $1.97 billion, more

than a year after it filed to go public.

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WRAPUP 1-U.S. factory activity hits two-year high; private payrolls surge

WASHINGTON, Feb 1 (Reuters) - U.S. factory activity

accelerated to more than a two-year high in January amid

sustained increases in new orders and raw material costs,

pointing to a recovery in manufacturing as domestic demand

strengthens and the drag from low oil prices ebbs.

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UPDATE 1-U.S. takes steps to review Dakota Access pipeline

WASHINGTON, Feb 1 (Reuters) - The U.S. Army Corp of

Engineers on Wednesday said it had taken initial steps to review

requests to approve the final permit to finish the controversial

Dakota Access pipeline, which has been the focus of protests for

months.

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Ukraine says military cargo plane shot at from Russian-held gas rig

KIEV, Feb 1 (Reuters) - Ukraine's Defence Minister Stepan

Poltorak said on Wednesday a Ukrainian military cargo plane had

been shot at with a firearm from a Russian-held gas rig on the

Black Sea.

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Pentagon to seek budget change to boost Islamic State fight

WASHINGTON, Feb 1 (Reuters) - U.S. Defense Secretary James

Mattis has directed the Pentagon to seek an increase in overall

spending to address shortfalls and "new requirements" needed to

accelerate the campaign against Islamic State, according to a

memo released on Wednesday.

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UPDATE 1-Spirit AeroSystems profit, full-year forecast miss estimates

Feb 1 (Reuters) - Aircraft parts maker Spirit AeroSystems

Holdings Inc reported a lower-than-expected quarterly

profit on Wednesday, and forecast full-year profit and revenue

below analysts' estimates.

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UPDATE 1-Lufthansa sees rapid growth of Gulf airlines slowing

* CEOs say to explore further cooperation

(Recasts with comments on consolidation)

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Spirit AeroSystems profit falls about 22 percent

Feb 1 (Reuters) - Aircraft parts maker Spirit AeroSystems

Holdings Inc reported a 21.8 percent fall in quarterly

profit, hurt in part by lower production deliveries on the

Boeing 747 and 777 programs.

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China billionaire's disappearance from Hong Kong revives autonomy concerns

HONG KONG, Feb 1 (Reuters) - The uncertain fate of Xiao

Jianhua, a China-born billionaire who was last seen at a luxury

Hong Kong hotel a week ago, has raised fresh fears about the

city's autonomy amid media reports he may have been abducted by

Chinese agents.

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UPDATE 1-Iran confirms new missile test, says not against nuclear deal

DUBAI, Feb 1 (Reuters) - Iran's defence minister said on

Wednesday the Islamic Republic had tested a new missile, but

added the test did not breach Tehran's nuclear accord with world

powers or a U.N. Security Council resolution endorsing the pact.

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UPDATE 1-Problem at Dutch air traffic control causing delays at Amsterdam airport - official

AMSTERDAM, Feb 1 (Reuters) - A technical problem at the

national air traffic control in the Netherlands is causing

delays and flight diversions at Amsterdam's Schiphol Airport, an

official said on Wednesday.

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HK stocks ease after long holiday, Trump policies pressure

HONG KONG, Feb 1 (Reuters) - Hong Kong stocks eased on

Wednesday as traders returned from a long holiday and caught up

to losses in overseas markets amid growing worries over the

policies of U.S. President Donald Trump.

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European shares higher, Volvo and Julius Baer shine after profit beats

LONDON, Feb 1 (Reuters) - European shares rose on Wednesday,

led by financials and industrials, as healthy corporate results

from a slew of regional bluechips underpinned major benchmark

indices.

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RPT-UK corporate pensions headache could worsen in 2017

LONDON, Jan 31 (Reuters) - More UK companies are expected to

adjust capital or cut dividends to fill growing holes in final

salary pension schemes this year.

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REFILE-Indonesia Jan factory activity expands for first time in 4 months but export orders languish-PMI

(Refiles to fix table formatting)

JAKARTA, Feb 1 (Reuters) - Data from the Nikkei Indonesia

Manufacturing Purchasing Managers' Index, compiled by IHS

Markit, for January. Readings above 50.0 signal an expansion in

business conditions.



DATA

JAN DEC NOV OCT SEPT AUG JULY JUNE MAY

50.4 49.0 49.7 48.7 50.9 50.4 48.4 51.9 50.6



CONTEXT

- Manufacturing activity expands for the first time in four

months but at modest pace

- Producti

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