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FRANKFURT AM MAIN — Some 61 per cent fewer new cars were registered on German roads in April 2020 than a year ago, official data showed on Wednesday, as Europe's automobile powerhouse matched its neighbours' plunging sales for the industry.

      At 120,840, the sales figure from the KBA road transport authority was the lowest monthly reading since German reunification in 1990, as measures to slow the spread of the novel coronavirus took their toll.

      However, Germany's sales crunch was not as bad as the April collapses of 97 per cent in Britain and Italy and 89 per cent in France.

      April was the first month to show "the full extent of the coronavirus' consequences for the car market," said Reinhard Zirpel, president of the Federation of International Car Manufacturers.

      "Customer demand for new vehicles has almost completely collapsed in this period of huge uncertainty."

      As well as sales, car production plummeted by 97 per cent in April, to just 10,900 vehicles, the VDA domestic carmakers' organisation said.

      Manufacturing was "hit harder than any time since the founding of the federal republic" in 1949, the VDA added.

      Over the year to April 30, Germany built just one million cars -- down 38 per cent year-on-year.

      Ministers led by Chancellor Angela Merkel and car industry leaders reached no agreement on Tuesday at a conference on stimulus measures for the vital sector, which employs around 800,000 people in Europe's largest economy.

      Bosses have called for a "cash-for-clunkers" scheme similar to one launched during the 2008-9 financial crisis.

      But some economists, politicians and environmental campaigners oppose the scheme, which they say could prove inefficient and slow carmakers' transition to more environmentally-friendly power sources.

      "I have big problems with a discount that supports the power systems of the past" like internal combustion engines, said Lars Klingbeil, general secretary of Merkel's junior coalition partners the Social Democrats.

      Instead of immediate action, a "working group" will now sketch out possible forms of state support and report by next month.

LONDON — Equities and crude rallied on Tuesday as investors cheered a further easing of lockdowns in some countries, which offset fears of a renewed trade war between China and the United States.

       Signs that the coronavirus is easing have allowed governments in Europe and parts of Asia-Pacific as well as some US states to begin allowing some businesses to reopen.

      "Markets have reacted to the fact that it seems that there is a little light at the end of the tunnel," Scope Markets analyst James Hughes told AFP.

      "Lockdown easing in the likes of Spain and Italy has led to many looking at timelines for many aspects of life re-opening.

      "Even if the full return to normal life is not yet on the cards, the recent moves at least give many the sense that we are on the right path."

      The gains helped markets claw back some of Monday's steep losses, though there remains a sense of caution on fears of a second wave of infections and as traders contemplate a long recovery from the economic destruction.

      In midday deals, London won one per cent, while in the eurozone, Frankfurt and Paris rebounded by 1.5 per cent apiece.

      Madrid and Milan each chalked up gains of 0.9 per cent.

      "We must be cautious over the lockdown easing however as a return to normal life is still a long way off with social distancing measures likely to be place for many more months," added Hughes.

      "So markets may be in recovery mode but we are yet to realise the full effect that a virtual halt to the global economy has had on many individual countries."

      In Asia, Hong Kong closed up 1.1 per cent as dealers cheered news that some restrictions would be lifted in the city and brushed off data showing its economy suffered its worst contraction on record in the first quarter.

      The reading means it is suffering its longest recession since the financial crisis.

      Sydney gained more than one per cent, while Mumbai gained 0.8 per cent and Taipei edged up 0.5 per cent. Tokyo, Seoul and Shanghai were shut for holidays.

      Dealers were keeping tabs on China-US relations after Donald Trump hit out at Beijing over its handling of the outbreak, saying it began in a Wuhan lab, but so far offering no evidence.

      The comments, and his warning he could hit China with fresh tariffs, fanned fears of a repeat of the standoff between the economic superpowers that battered markets last year.

      Beijing has not officially responded to the comments.

      The global easing of lockdown restrictions fanned a sizeable rise in oil prices, which had endured a torrid April, with signs of a pick-up in demand helped by massive output cuts by key producers.

PARIS — The Expo 2020 global trade fair, hosted by Dubai, has been postponed by a year due to the coronavirus outbreak and will be held from October 1, 2021, to March 31, 2022, the Paris-based organiser said on Monday.

      The six-month, multibillion-dollar global innovation fair, set to be the largest event ever staged in the Arab world, was expected to attract some 24 million visitors starting October 20 this year.

      But a two-thirds majority of member states of the Bureau International des Expositions (BIE) voted in favour of a delay requested by the United Arab Emirates, which the body said "allows all participants to safely navigate the impact of COVID-19."

      "Expo 2020 Dubai is gearing up to help shape a post-pandemic world and create a better future for all," the bureau said in a statement.

      The delay "also allows the World Expo to focus on a collective desire for new thinking to identify solutions to some of the greatest challenges of our time."

      Dubai, the glitzy city-state which is part of the United Arab Emirates and is known for hosting hundreds of conferences annually, has already scrapped a string of cultural and entertainment events amid the pandemic.

Unable to meet in a general assembly due to epidemic restrictions, BIE member states voted remotely on the delay.

      The vote technically remains open until May 29, but the required two-thirds threshold for approving the postponement was reached within a week of voting opening on April 24, the statement said.

      They also voted to retain the name Expo 2020 Dubai.

      It will be the first World Expo held in the BIE's Middle East, Africa and South Asia region, welcoming 192 countries, plus businesses, multilateral organisations and educational establishments. 

WASHINGTON — The CEO of Southwest Airlines, one of the largest US air companies, said on Sunday that travelers could again fly in safety and added that air traffic, nearly paralysed by the coronavirus pandemic, was gradually reviving.

      Asked on CBS whether it was again safe to fly, Gary Kelly replied, "It is. We're doing everything possible to encourage people to come back and fly."

      He said his airline was taking several safety precautions: passengers and crew members will be required to wear masks; planes will receive deep cleaning between flights; and some seats will be left empty to allow a degree of social distancing.

      "I don't think the risk on an airplane is any greater risk than anywhere else," Kelly said.

      "You look at the layered approach that we use, it's as safe as any environment you're going to find."

      Kelly said he believes the worst has passed for the industry.

      "I think we've seen the bottom here," he said. "Each week after the first week of April has gotten successively better. I don't think June will be a good month, but... we're looking forward to July and August."

      He acknowledged, however, that things remain in flux.

      "There are bookings in place, but those could easily be canceled," he said. "It is one day at a time."

      Southwest has received $3.2 billion in emergency assistance from the government and has applied for an additional loan, but Kelly said he was not sure it would be needed.

      He said the government's relief plan had given the markets sufficient confidence that his company was able to raise an additional $6 billion last week.

      "I think we have what we need to see our way through," Kelly said.

      "We have until September to make that decision" on additional government aid.

      The federal assistance is conditioned on companies preserving jobs until the end of September.

      But the Southwest chief said that unless the recovery starts to kick in by July, the company might have to order a first round of layoffs.

      The Trump administration is distributing $25 billion in emergency assistance to airline companies, which employ some 750,000 workers in the United States.

      The celebrated investor Warren Buffett, ranked as the world's fourth richest man, said on Saturday that he had made a mistake by investing in the four biggest US airlines, including Southwest.

      He said his Berkshire Hathaway conglomerate had sold all its airline shares, including the 10 per cent of Southwest shares it had held.

SINGAPORE — Some oil-hungry Asian countries are taking advantage of the collapse in prices to build up their crude stockpiles.

      Here are some questions and answers about strategic reserves and the region's oil supplies.

      What are strategic oil reserves and why do countries need them? -

      Strategic reserves are stockpiles of oil and other fuels held by governments in secure storage facilities to cover unexpected disruptions to energy supplies.

      Major economies such as the US, China and Russia began to build up reserves after oil shocks in the 1970s, according to Ravi Krishnaswamy, regional senior vice president for energy and environment at consultancy Frost & Sullivan.

      The events that spurred them to take action were principally the 1973 Yom Kippur War between Israel and the Arab countries, and the 1979 Iranian revolution, which fuelled worries about supplies.

      How big are the strategic reserves across the region?

      China is believed to have the biggest in the Asia-Pacific. Beijing does not give an official estimate but analysts say it is at around 550 million barrels. In comparison, the United States' strategic reserves currently hold around 630 million.

      State-owned China National Petroleum Corporation said recently that the country's reserves were "obviously insufficient, and have not yet reached the international standard '90-day safety line'".

      The International Energy Agency requires its members to hold emergency oil stocks equivalent to at least 90 days of net oil imports. China is an associate member, but not a full member.

      Japan's oil reserves were around 500 million barrels at the end of February, equivalent to national consumption for more than seven months, according to the latest official data, while South Korea had around 96 million barrels in strategic reserves as of December 2019, enough for 89 days.

      India, by contrast, has reserves with storage capacity of approximately 40 million barrels -- which would last just 10 days in the country of 1.3 billion people.

       How are reserves stored?

      Strategic reserves are stored largely in secure underground depots like natural rock caverns. The US Strategic Petroleum Reserve, the world's largest supply of emergency crude, is stored in huge underground salt caverns along the Gulf Coast.

      But building underground storage is challenging as it needs to have the right geological formation, and countries also need to build infrastructure to pump oil in and out.

      The high cost of building reserves has stopped many countries developing them to sufficient levels.

      In Asia, India uses caverns to store its reserves but other countries, such as Japan, put theirs in above-ground tanks.

      Which Asian countries are pouncing on low prices to build up stockpiles?

      Australia, which has long had one of the lowest levels of emergency stockpiles in the developed world, said it will take advantage of the fall in prices to develop a strategic reserve in the United States.

      The country's own storage capacity is already full but it has an agreement with the US allowing it to lease space in its Strategic Petroleum Reserve.

      In China, the Shanghai International Energy Exchange last month gave approval for state-owned Sinopec Petroleum Reserve to add more storage capacity.

      One storage depot in southern Guangdong province can hold up to 600,000 cubic metres (3.8 million barrels), while another in northern Hebei province can hold up to one million cubic metres.

      India's Ministry of Petroleum tweeted on April 15 it was buying crude to fill its reserves, stored in rock caverns, "to their full capacity".

      Madhu Nainan, editor of industry publication PetroWatch, however, questioned whether the country had enough available storage space to build up capacity quickly.

      "In India, storage tanks and pipelines are full and dealers' tanks are full," he told AFP.

      Japan and South Korea, with ample stockpiles, have not announced plans to build up their reserves substantially.

      A Japanese trade ministry official said current levels were sufficient, while Seoul plans to increase stockpiles by less than one per cent this year.

       Could low prices boost the region's economies when lockdowns are lifted?

      It looks unlikely, in the short term at least. Many observers believe economic activity won't bounce back quickly with the gradual lifting of lockdowns but only when a vaccine for the virus is discovered -- which could be some time away.

      "Low oil prices won't turbocharge Asian economic recovery," Jeffrey Halley, OANDA senior market analyst, told AFP.

      Are there any winners from low prices?

      Major oil-importers in Asia -- such as China, Japan and South Korea -- would in usual times benefit from low prices but this is unlikely to be the case immediately given the economic devastation caused by the pandemic.

      In Japan, for example, "the price crash has hit financial markets hard, which is negatively affecting the Japanese economy", said Toshihiro Nagahama, an economist at Dai-ichi Life Research Institute.

      "We can't apply our usual framework to this unprecedented period."

      Some economists, however, expect oil prices to stay low for a long period, meaning major importers could eventually emerge winners.

      "Oil prices are expected to remain low to some extent when the post-corona era comes, and given the current situation, it will have a positive effect on (South Korea's) economy in terms of recovery," said Jung Jun-hwan, a researcher at the Korea Energy Economics Institute.

      There are also "obvious losers" in Asia, such as oil exporters Malaysia, Indonesia and Brunei, said OANDA's Halley.

DUBAI — Saudi shares plunged on Sunday, a day after the finance minister announced "painful" measures to tackle the economic impacts of the coronavirus pandemic.

      The Tadawul stock market closed the day 7.4 per cent lower, as all but one of the 195 listed stocks on the Arab world's largest bourse were in the red.

      Energy giant Saudi Aramco dipped 5.2 per cent at the close of the first trading day of the week for the Muslim region.

      Finance Minister Mohammed Al-Jadaan said late Saturday that the kingdom would take "drastic measures" to face the double shock of the novel coronavirus and low oil prices.

      "Some of these measures could be painful," he said in an interview with Saudi-owned news channel Al-Arabiya.

      The minister expected that Riyadh could lose half of its oil income, which contributes about 70 per cent of public revenues, as oil prices have shed two-thirds of their value since the start of the year.

      Jadaan said the government had allocated $48 billion as stimulus to assist the economy in the face of the coronavirus impacts.

      He added that the world's leading crude exporter would borrow close to $60 billion this year to plug a huge budget deficit.

      The company Saudi Jadwa Investment forecast on Thursday that the kingdom would post a record $112 billion budget deficit this year.

      In April, the International Monetary Fund projected that the Saudi economy would contract by 2.3 per cent this year.

       London-based Capital Economics said last week the contraction would be at least 5.0 per cent, one of the biggest drops in several decades.

      Moody's Investors Service on Friday changed Saudi economic outlook to negative from stable but affirmed its A1 ratings.

      "The negative outlook reflects increased downside risks to Saudi Arabia's fiscal strength stemming from the severe shock to global oil demand and prices triggered by the coronavirus pandemic," the ratings agency said.

     In other bourses in the oil-rich Gulf, the Dubai Financial Market slumped 4.0 per cent at close while its sister Abu Dhabi Stock Exchange ended down 2.8 per cent.

      Qatar's bourse finished 0.9 per cent lower while Kuwait's premier index and all-shares index closed down 2.0 per cent and 1.8 per cent, respectively.

      The small bourses of Oman and Bahrain were flat.

      Oil revenues make up at least 70 per cent of public revenues in each of the six Gulf Arab states.

BEIRUT — Lebanon on Friday signed a request for financial help from the International Monetary Fund (IMF), initiating a long process the government hopes will ease the country's worst post-war economic crisis.

      "Prime Minister Hassan Diab and Finance Minister Ghazi Wazni signed a request for assistance from the International Monetary Fund," the government said, a day after announcing it would turn to the multilateral lender for help.

      Lebanon is in the thick of its worst economic crisis since the 1975-1990 civil war.

      A lockdown to fight the coronavirus pandemic has only added to the heavily indebted country's economic woes, which include soaring inflation, a liquidity crunch, plummeting currency and a first sovereign debt default.

      An economic reform plan, unanimously approved on Thursday in a cabinet meeting, is expected to reduce Lebanon's public debt burden from 170 per cent of gross domestic product to less than 100 per cent.

      It aims to see positive economic growth restored from 2022.

      In tandem, the government will seek more than $10 billion dollars in financial support on top of $11 billion in grants and loans already pledged by international donors in 2018.

      It is unclear how much would come from the IMF.

      "We have taken the first step on the path of saving Lebanon from a deep financial" crisis, Diab said in a video shared on his Twitter page on Friday.

      "It would be difficult to get out of it without efficient and impactful help."

      Experts had lobbied for an IMF rescue as the only exit from Lebanon's financial slump, but some officials have said they are wary of recommendations the world body may impose.

      Forty-five per cent of Lebanon's population now lives below the poverty line, according to official estimates, and tens of thousands have lost their jobs or seen their salaries slashed.

      The Lebanese pound, pegged to the dollar at 1,500 since 1997, reached record lows on the black market this week, selling for more than 4,000 to the greenback.

      The official rate of 1,500 pounds to the dollar remains unchanged, but the reform plan adopted by the government is "based on an estimation of a rate of 3,500", according to a copy of the document.

      "The peg to the US dollar that has been maintained over decades is now impossible to restore and must be revamped as part of the government programme," it added.

      "Going forward, the government intends to move to a more flexible exchange rate."

NEW YORK — Wall Street stocks tumbled Friday following disappointing results from Amazon, Exxon Mobil and other companies amid worries of increased tensions between China and the United States over blame for the coronavirus.

      The Dow Jones Industrial Average dropped 2.6 per cent, or more than 620 points, at 23,723.69.

      The broad-based S&P 500 shed 2.8 per cent to 2,830.71, while the tech-rich Nasdaq Composite Index dropped 3.2 per cent to 8,604.95.

      The losses marked an ugly start to a new month after major indices scored their biggest monthly gains in decades in April.

      Amazon dove 7.6 per cent after the company cautioned that earnings in the second quarter would be entirely wiped out by expenses related to COVID-19 as it works to keep up with surging demand at a time when many brick-and-mortar stores are closed.

      Exxon Mobil was another big loser, shedding 7.1 per cent as it reported a $610 million loss in the first quarter, its first loss in decades.

      Analysts also pointed to comments from US President Donald Trump claiming that the coronavirus originated in a Chinese lab.

      Trump threatened tariffs on Beijing, escalating a blame game between the two biggest economies and reviving investors' trade war worries.

      Trump "clearly wants to make China bashing a central platform for his re-election campaign," said LBBW's Karl Haeling.

      "Let's hope he just talks but doesn't really do anything" significant, he said.

      Friday's session punished several travel-oriented companies that clawed back some of their losses in April after devastating drops in March. These included American Airlines, down 11.4 per cent, Marriott International, down 6.8 per cent, and Boeing, down 5.5 per cent.

      Tesla also plunged, losing 10.3 per cent after Chief Executive Elon Musk said on Twitter that shares were overvalued.

SAN FRANCISCO — Tesla reported a surprise first quarter profit on Wednesday on higher car production and deliveries as its chief called for an end to coronavirus restrictions on people's movements due to the coronavirus pandemic.

      While Tesla has gotten back to making electric cars in China, production at its plant in Silicon Valley remains stalled as workers comply with directives to shelter in place to stop the spread of deadly COVID-19.

      Shares surged after the electric car company reported profits of $16 million, compared with a loss of $702 million in the year-ago period. Analysts had anticipated a loss.

      Revenues rose 32 per cent to $6.0 billion, with shares surging some 9 per cent in after-hours trading.

      Tesla scored large increases in both car production and deliveries and reported progress in ramping up production at its Fremont, California factory and at a newly opened plant in Shanghai.

      But the company closed the Fremont plant in late March.

      The Shanghai factory is operational, while Tesla is trying to restart production in Fremont as soon as possible, executives said on the call.

      Tesla had hoped to reopen the factory by May 4, but a joint statement from northern California health officials extended a shelter-in-place order through May.

      Tesla said it has the capacity to exceed 500,000 vehicle deliveries in 2020, but said of the Fremont plant "it remains uncertain how quickly we and our suppliers will be able to ramp up production after resuming operations."

      The company said it was unable to project near-term net income and free cash flow, saying "due to the wide range of potential outcomes, near-term guidance of net income and free cash flow would likely be inaccurate."

      Tesla is making rapid progress lowering production costs in China, and is lowering the price of the standard-range Model 3 car in that country, according to Musk.

      "Although the rest of the world is essentially shutdown and in lockdown mode, strong Model 3 demand out of China remains a ray of light for Tesla in a dark global macro (environment)," Wedbush analyst Dan Ives said in a note to investors.

      "In a brutal environment, these recent numbers were a bright spot for the bulls."

      A new Model Y scored a first at Tesla, being the first of its cars to become profitable in the first quarter after its release, the company reported.

      Musk said a recent update to Tesla self-driving software enables cars to recognise and respond to traffic lights and stop signs as the company continues to envision a future where vehicles safety and efficiently maneuver autonomously, perhaps even as on-call "robo-taxis."

      Despite disruption caused by the pandemic, Tesla will continue to invest in its future, according to its chief.

      "There is clearly an uncertain future ahead, it's a bit of a bumpy road, but I think the long term prospects are extremely good," Musk said.

HONG KONG — Equities rallied again on Thursday and oil prices built on the previous day's surge as investors began to see a glimmer of light at the end of the tunnel in the fight against coronavirus, following news of a possible breakthrough in the search for a treatment.

      Top US epidemiologist Anthony Fauci said Gilead Science's remdesivir "has a clear-cut, significant, positive effect in diminishing the time to recovery".

      His comments fanned hopes that lockdowns -- already being loosened in some nations -- could be lifted more quickly, allowing people back to work to kickstart the battered economy.

      The announcement allowed investors to look past data showing the US economy had contracted 4.8 per cent in the first quarter, its worst performance in a decade, and the Federal Reserve's warning that it would likely tank even further in April-June.

      The central bank did provide some support, though, by pledging to keep interest rates at zero until the economy has weathered the crisis and is ready to resume growth. On Thursday France said its economy had fared even worse and contracted 5.8 per cent.

      "While a treatment is not a vaccine, a successful treatment would be a game-changer for the virus and would help facilitate a greater rollback of containment measures," said National Australia Bank's Tapas Strickland.

      "It could also give consumers greater confidence to resume pre-pandemic activity."

      Wall Street and Europe's main indexes all rose at least two per cent, and Asian equities -- already enjoying a bright week on signs of an easing in the virus -- took up the baton on Thursday.

      Tokyo returned from a one-day holiday to end 2.1 per cent higher, while Sydney, Singapore and Taipei also piled on more than two per cent.

      Mumbai and Jakarta jumped more than three per cent, with Shanghai, Manila and Bangkok breaking the one per cent mark, though Wellington dropped more than one per cent.

      Hong Kong and Seoul were closed for public holidays.

      In early trade, London, Paris and Frankfurt advanced.

      "One of the main reasons for the strong recovery in risk sentiment... is the homogeneity of the recession's driver," said AxiCorp's Stephen Innes.

      "Compared to previous downturns that were more multifaceted and professedly more difficult to unwind, the eradication of the single recessionary input -- the virus -- via a vaccine can cobblestone the way for an expeditious recovery in global economic output."

       Oil 'ping-pong'

      China released data on Thursday showing that factory activity grew again in April, though at a slower pace than in March, as the country slowly emerges from the crisis following a long-running lockdown that slammed the economy.

      Officials warned that a return to normal would take time as overseas demand for exports remained limited.

      On crude markets, both main contracts soared for a second day -- with WTI's 15-per cent gain adding to a 25-per cent advance on Wednesday -- thanks to the news on remdesivir as well as figures showing a slower-than-expected rise in US stockpiles.

      There were also signs that demand may be improving with weekly gasoline supplied rising by 549,000 barrels a day in the US, the most since May last year, Bloomberg News reported.

      The gains were much needed after the commodity was hammered last week by worries over almost non-existent demand and a lack of storage facilities, which offset a massive cut in output by major producers.

      Edward Moya, of OANDA, said: "Oil prices will continue to play ping-pong here, but continued optimism on the virus front will do wonders, improving both economic activity and crude demand forecasts.

      "The next few weeks could get ugly again fairly quickly for oil prices, but energy markets might see volatility ease if steady production-cut announcements occur across the globe."

      Traders' confidence in taking on more risky assets lifted high-yielding currencies, with Indonesia's rupiah, Mexico's peso and the South African rand all more than one per cent up on the dollar.

      There were also big gains for the Australian and New Zealand dollars as well as the South Korean won.