International News 25 September 2025
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China Secures Argentine Soybeans After Export Tax Suspension
Chinese buyers have booked at least 10 Panamax vessels of soybeans from Argentina, each carrying around 65,000 metric tons, following Buenos Aires’ decision to temporarily suspend its 26% export tax on grains. The move makes Argentine soybeans more competitive, prompting Chinese traders to secure shipments for November at a premium of US$2.15–2.30 per bushel over Chicago Board of Trade (CBOT) November futures. Some traders even reported purchases of up to 15 vessels, underscoring strong demand amid limited U.S. participation due to trade tensions and falling competitiveness. The deal deals another blow to U.S. farmers, who have already lost billions in soybean sales to China during the peak harvest season, as South American exporters fill the gap. Argentina’s tax suspension, set to last until exports reach US$7 billion or until October, triggered a sharp decline in Dalian soymeal and soybean oil futures by 3.5%. Analysts note that while the policy boost is temporary given Argentina’s limited supply, it comes at a time when China is importing soybeans at record volumes, further complicating global trade dynamics and adding pressure on U.S. futures, which are now near five-year lows.
Gold Hits Fresh Record Amid Fed Uncertainty and Geopolitical Risks
Gold prices surged to fresh all-time highs on Tuesday (Sept 23, 2025), with spot gold closing up 0.5% at $3,764.01 per ounce after touching an intraday peak of $3,790.82. U.S. gold futures for December delivery also rose 1.1% to $3,815.70. The rally was supported by lower Treasury yields, steady dollar movement, and safe-haven demand fueled by geopolitical tensions, including NATO’s warning to Russia over airspace violations in Estonia. Market sentiment was shaped by Fed Chair Jerome Powell’s remarks that highlighted ongoing inflation risks and weakening labor growth, though he gave no clarity on the timing of future rate cuts. Investors now await Friday’s U.S. PCE inflation data, a key Fed gauge, alongside speeches from Fed officials for further policy signals. Markets still price in additional rate cuts in October and December. Analysts note that persistent ETF inflows, worries about Fed independence, and geopolitical developments continue to bolster bullish momentum. Meanwhile, China’s central bank is reportedly encouraging allied nations to accumulate and store gold via the Shanghai Gold Exchange, underscoring a broader global shift toward gold as a strategic reserve.
NVIDIA Invests $100 Billion in OpenAI to Cement AI Dominance
NVIDIA has announced plans to invest up to US$100 billion in OpenAI, combining direct funding with the supply of advanced data center chips critical for large-scale AI systems. The deal, structured around non-voting shares, allows OpenAI to reinvest the capital into NVIDIA hardware, creating a tight strategic loop between the two companies. Both parties signed a letter of intent to deploy at least 10 gigawatts of NVIDIA systems—equivalent to powering more than eight million U.S. households—underscoring the scale of computing required to sustain global AI development. The announcement pushed NVIDIA’s stock up 4.4% to record highs, while partners like Oracle, linked through the US$500 billion “Stargate” AI data center project, also gained. While the agreement strengthens NVIDIA’s dominance in the AI hardware market, it has raised concerns of a “circular investment,” since OpenAI could recycle NVIDIA’s capital back into chip purchases. Analysts warn of possible antitrust scrutiny, given the growing concentration of power among NVIDIA, Microsoft, and OpenAI in AI infrastructure. OpenAI, however, continues to pursue chip-development projects with Broadcom and TSMC to diversify its supply chain. Despite regulatory risks, the partnership signals how central computing power has become in the race to lead AI, with NVIDIA securing a near-guaranteed demand pipeline and OpenAI ensuring access to the most advanced hardware available.