WASHINGTON, Sept 15 (Reuters) - The regulator overseeing housing giants Fannie Mae and Freddie Mac proposed on Wednesday changes to recently imposed capital and leverage requirements on the pair.

The proposed rule from the Federal Housing Finance Agency would encourage the pair to shift more risk from taxpayers to private investors, while allowing them to support the housing market, the agency said.

“The proposed requirements provide the Enterprises with the necessary incentives to support sustainable lending initiatives by transferring a significant amount of credit risk away from the taxpayers to private investors that are better positioned to take this risk,” said FHFA acting director Sandra L. Thompson in a statement.

The proposal makes several changes to a capital rule first imposed on Fannie and Freddie in November. That rule envisioned Fannie and Freddie would have to raise billions of dollars in capital and leverage cushions, as part of the regulator's...

NEW YORK, Sept 15 (Reuters) - Wall Street stocks advanced on Wednesday as surging crude prices boosted energy shares and a swath of U.S. data suggested inflation has crested and an economic revival has become increasingly certain.

All three major U.S. stock indexes gathered strength throughout the session as investor favor pivoted back to value stocks, which stand to benefit most from an economic rebound.

"The main factor in that move between growth and value is COVID and the Delta variant and its impact on the economy," said Tim Ghriskey, chief investment strategist at Inverness Counsel in New York.

"Over time, we've seen the market focus flip flop between these two outlooks for the economy as investors try to grapple with the near-term economic outlook."

The Dow Transportation index (.DJT), a barometer of economic health, outperformed the broader market.

A host of economic data showed hints of waning inflation and an ongoing return to economic...

NEW YORK, Sept 15 (Reuters) - POET, the largest biofuels producer in the United States, said on Wednesday it is committed to achieving net-zero carbon emissions at its bioprocessing facilities by 2050, making it the latest company to pledge to reduce its carbon footprint to fight climate change.

The Sioux Falls, South Dakota-based company also said it would ensure its ethanol reduces greenhouse gas emissions by at least 70% compared to gasoline by 2030, up from about 46% today, the company said. Refiners and biofuels producers are grappling with producing fuel in the United States, the world's biggest oil consumer, that will be less harmful to the environment.

Ethanol's effect on carbon dioxide emissions depends on how the fuel is made and whether its effect on land use is considered, according to the U.S. Energy Information Administration. The Department of Agriculture said in July that greenhouse gas emissions from corn-based ethanol are about 39% lower than...

NEW YORK, Sept 14 (Reuters) - Broadway's biggest musicals roared back to life on Tuesday, banishing the eerie silence of the last 18 months in New York's pandemic-hit theater district with screams, tears and standing ovations.

Emotions were giddy as the curtain rose again on top musicals "Hamilton," "The Lion King" and "Wicked" before packed audiences welcoming back live theater after the coronavirus shutdown.

"Hamilton" creator Lin-Manuel Miranda received a standing ovation when he appeared on stage before the start of his Tony Award-winning hip-hop show about America's founding fathers.

"I don't ever want to take live theater for granted ever again, do you? It's so sacred," said Miranda, tearing up with emotion. "I'm so grateful to you and I hope you go see as many shows as you can and keep supporting our industry."

A few blocks away, Kristin Chenoweth made a surprise appearance before the start of "Wicked," in which she originated the role of Glinda...

NEW YORK, Sept 15 (Reuters Breakingviews) - Canadian National Railway (CNR.TO) didn’t mean for it to end this way. The railroad run by Jean-Jacques Ruest said on Wednesday that roughly $30 billion target Kansas City Southern (KSU.N) had terminated their merger agreement in favor of a deal with rival Canadian Pacific Railway (CP.TO). The good news is that Canadian National is in line to receive a $700 million break fee on top of a refund of the $700 million it paid to bust up an earlier deal between KCS and Canadian Pacific . The bad news is that it could have a messy battle awaiting it.

Chris Hohn’s TCI Fund Management, a shareholder in both Canadian groups read more , wants to refresh Canadian National’s board and corner office. That puts Ruest and others in the hot seat.

Having lost out on KCS, the best outcome, at this point, would be for Canadian National to settle with Hohn on a couple of board changes and move on. Slightly fatter cash coffers are a sweetener,...

MADRID, Sept 15 (Reuters) - Fashion brand Zara owner Inditex (ITX.MC) has outpaced Swedish rival H&M (HMb.ST) in its efforts to bounce back from the coronavirus crisis, with second-quarter sales rising above pre-pandemic levels.

The world's biggest fashion retailer's sales in the quarter edged above levels seen before the pandemic as most stores reopened and people rushed to renew their wardrobe after store closures imposed to curb the spread of the virus.

Rival H&M's (HMb.ST) sales grew less than expected from a year ago in the three months through August, and remained lodged below pre-pandemic levels. H&M said lockdowns and restrictions hampered its development, particularly in Asia. read more

Inditex Executive Chairman Pablo Isla said that sales in stores and online were progressively recovering across all brands and markets, despite some restrictions in Asia due to the pandemic.

"We have had a strong start in the autumn winter season,"...

NEW YORK, Sept 15 (Reuters Breakingviews) - Microsoft (MSFT.O) has options. The $2.3 trillion company announced a $60 billion share buyback on Wednesday, despite the fact that its stock has risen 50% in the past 12 months. But it has twice as much in its coffers and plenty of cash flow on the way.

The software firm run by Satya Nadella is reloading its repurchase program after working through an earlier plan. This one may take several quarters, but it is relatively small compared with past years. In fiscal 2006 and 2007, for example, the company repurchased almost $50 billion of shares. Microsoft’s market capitalization was roughly one-seventh of its current value.

That’s when investors feared Microsoft’s best days were behind it. But the shares’ run suggests they have faith. Microsoft has been able to make acquisitions without too much pushback from regulators , compared with fellow cash-rich tech companies read more . With analysts expecting free cash flow of $63...

NEW YORK, Sept 15 (Reuters Breakingviews) - Back when Goldman Sachs (GS.N) was the vampire squid of the financial world, few would have guessed it would end up financing hair replacements and kitchen renovations. The $2.2 billion acquisition of GreenSky (GSKY.O), a buy-now-pay-later specialist, takes boss David Solomon’s firm in a new direction. Like most fintech deals, though, it’s really a novel way of doing an old thing.

GreenSky brings Goldman something all banks want: borrowers on a plate. The company arranges financing at the point of sale, without paperwork. That makes it similar to other buy-now-pay-later operators like Afterpay (APT.AX), which is being bought for $29 billion by payment firm Square (SQ.N), but with a bigger average loan of around $10,000 thanks to a skew towards relatively expensive things like home improvements and medical procedures. For now, partner banks make the actual loans, but soon that will be Goldman’s job – aided by its own expertise in...

MILAN, Sept 15 (Reuters) - Amazon.com Inc (AMZN.O) has struck a deal with Italian trade unions promising to engage with them more in the running of operations in the country.

The framework agreement, seen by Reuters, comes shortly after news that a group of Canadian workers are seeking to unionize as Amazon continues to manage discontent among some workers at its warehouses. read more

The world's largest online retailer has long discouraged staff from organising and staved off a high-profile attempt to form a union in the United States this year.

But globally, it continues to face challenges such as warehouse closures that unions in France pushed for during the COVID-19 pandemic.

In a protocol signed on Wednesday, Amazon Italia agreed to consult with trade unions on issues like new openings, job training and industrial relations with authorities.

"An important agreement ... and recognition of the role of the unions, marking something new, at a...

Sept 15 (Reuters) - Wells Fargo & Co (WFC.N) said on Wednesday that it had picked Microsoft Corp (MSFT.O) and Alphabet Inc's (GOOGL.O) Google as its public cloud providers, embracing a multi-cloud approach.

While Microsoft's Azure will serve as the bank's primary cloud provider, Google Cloud will provide additional business-critical public cloud services.

As part of its new digital infrastructure strategy, the company will also move towards some third party-owned data centers, as it aims to rely predominantly on public cloud in the longer term, it said.

The move makes Wells Fargo the latest big bank to use third-party data centers for cloud-related services.

The company did not disclose the financial details of its agreement with Microsoft and Google.

Multi-cloud enables flexibility and also allows businesses to off-load some of the heavy costs of running their own data centers by renting public ones.

LONDON, Sept 15 (Reuters) - Primark, one of Europe's biggest fast fashion chains, has vowed to cut its environmental impact without increasing prices by using more recyclable materials, making clothing more durable, and improving wages for workers.

With environmental campaigners singling out the fashion industry for its heavy use of water and chemicals, major brands are coming under pressure to adapt supply chains and address a culture that has led to millions of items ending up in landfill.

Primark, which sells more than a billion items a year including jumpers and jeans for as little as 7 pounds ($10) each, said its task was to make sustainable fashion available for all, not just those who can afford it.

"We believe that sustainability shouldn't be priced at a premium that only a minority can afford," CEO Paul Marchant said, echoing rivals such as H&M and Zara that have also set out plans to improve the use of sustainable raw materials.

Many...

Sept 15 (Reuters) - Self-driving startup Argo AI, automaker Ford Motor Co (F.N) and Walmart Inc (WMT.N) will together launch an autonomous vehicle delivery service in Miami, Austin, and Washington, D.C, the companies said on Wednesday.

Initial integration testing is expected to begin later this year, the companies added.

The move comes as consumer expectations shift to next-day or same-day delivery, particularly in urban areas with a higher concentration of deliveries.

NEW YORK, Sept 15 (Reuters) - Global shares were off slightly on Wednesday as cooling inflation eased some fears of an early reduction in monetary stimulus, while a slowing economic recovery and uncertainty over higher taxes kept gains in check.

The MSCI All Country World Index (.MIWD00000PUS) was down 0.11%, and shares in Europe's STOXX (.STOXX) index of 600 European companies eased 0.61%.

Data out of China showed that growth in its factory and retail sectors continued to falter in August with output and sales growth hitting one-year lows as fresh COVID-19 outbreaks and supply disruptions pointed to a possible economic slowdown in the mainland. read more

While U.S. data out this week shows inflation cooling and having possibly peaked, inflation in Britain was the highest in years.

Still, Wall Street indices rose on Wednesday, with the energy and financials sectors recovering some of their losses in recent sessions.

"The delta wave is likely...

MEXICO CITY, Sept 14 (Reuters) - Mexico's telecommunications regulator IFT said on Tuesday it had authorized the plan for U.S.-based Spanish-language broadcaster Univision to acquire the content business of Mexico's Grupo Televisa in a deal to create a new company.

The two companies in April announced a plan to create a new firm called Televisa-Univision, which will feature Spanish-language video content from both broadcasters, including soap operas known as telenovelas, sports and movies.

The IFT said in a statement its analysis did not find anti-competitive effects.

"No anti-competitive effects derived from the transaction are expected in these coinciding activities of Univision Holdings and Grupo Televisa, largely due to the marginal participation of Univision Holdings in Mexico," the IFT said.

The transaction, partially financed by a $1 billion Series C preferred investment led by the SoftBank (9984.T) Latin American Fund, with participation from...

WASHINGTON, Sept 15 (Reuters) - Production at U.S. factories slowed sharply in August as Hurricane Ida forced plant closures and an ongoing microchip shortage curbed motor vehicle output, but manufacturing remains strong amid lean inventories.

There was more goods news on the inflation front. Import prices declined for the first time in 10 months in August, other data showed on Wednesday. Persistent bottlenecks in the supply chain could, however, keep inflation high. Federal Reserve Chair Jerome Powell has maintained that high inflation is transitory.

"Growth in manufacturing going forward is likely to be supported by low inventories," said Rubeela Farooqi, chief U.S. economist at High Frequency Economics in White Plains, New York. "But supply issues and shortages remain a constraint for now that are preventing a stronger rebound."

Manufacturing output increased 0.2% last month after surging 1.6%, the Fed said. The U.S. central bank estimated that Hurricane...

Sept 15 (Reuters) - Adobe Inc (ADBE.O) on Wednesday said it will add payment services to its e-commerce platform this year to help merchants accept credit cards and other ways of paying, deepening a rivalry with e-commerce firm Shopify Inc (SHOP.TO).

Adobe started providing software to help retailers run their online stores in 2018 when it purchased Magento Commerce from private equity firm Permira for $1.68 billion.

Adobe will roll out the new payment system by the end of this year in the United States and is tapping PayPal Holdings (PYPL.O) to process a variety of payment types, including credit and debit cards as well as PayPal's own payment and pay-later offerings.

Until now, Adobe's e-commerce customers have had to build their own payment systems. That works for larger businesses that can negotiate with payment processors, but Adobe wanted a simpler service for smaller merchants, Peter Sheldon, senior director of commerce strategy at Adobe, told Reuters...

Sept 15 (Reuters) - Goldman Sachs Group Inc (GS.N) on Wednesday agreed to buy GreenSky Inc (GSKY.O), a fintech platform that provides home improvement loans, in an all-stock deal valued at $2.24 billion, as the Wall Street bank looks to grow its consumer unit.

Atlanta-based GreenSky, which went public in 2018 at a valuation of about $4 billion, has provided home improvement loans to about 4 million customers since being founded in 2006.

Digital businesses that bring in new customers or unique technologies have become more attractive, with the pandemic boosting the importance to online activity, while the role of bank branches diminishes.

The deal implies a price of $12.11 for each GreenSky share, representing a 56% premium to the company's closing price on Tuesday.

Its purchase will further bulk up Goldman's consumer banking unit Marcus, named after one of the bank's founders and a key plank of Chief Executive David Solomon's plan to reduce Goldman's...

BERLIN, Sept 15 (Reuters) - Germany needs natural gas in its energy mix while it develops a market for so-called "green" hydrogen based on renewable power, the boss of Wintershall (BASFn.DE)(WINT.UL) said on Wednesday.

Germany is hoping to develop large-scale green hydrogen by using wind and solar electricity to make synthetic fuels for industry, energy and transport sectors and has launched a 9 billion euro ($10.64 billion) hydrogen strategy up to 2030.

"As long as green hydrogen is not available in sufficient volumes and at attractive prices, we also need hydrogen from natural gas in order to establish the market quickly," Mario Mehren, chief executive of gas and oil producer Wintershall (BASFn.DE)(WINT.UL), said.

"It’s my conviction that green hydrogen will benefit from a mature market in the long term," Mehren said at the annual conference of power and gas lobby BDEW, implying that gas-derived hydrogen would help it to arrive at that stage.

Green...

The developer, which has liabilities of nearly two trillion yuan ($305 billion), is trying to raise funds to pay lenders and suppliers as it teeters between a managed collapse and the more distant prospect of a bailout by Beijing. read more

"We believe that further disruptions to the company's property development operations can be very negative for sentiment amongst domestic property buyers and investors, and potentially spill over to the broader property sector," Goldman Sachs' Kenneth Ho and Chakki Ting wrote in the note.

If the property operations can be maintained as a going concern, that could mean less scope for contagion, the analysts added.

JPMorgan (JPM.N) too warned of the risk of repercussions.

"With recent events accelerating to the downside, we believe additional manoeuvres are needed by the government to prevent potential spillover," the bank said in a separate note, adding that it expected operations to remain ongoing to protect the...

Sept 15 (Reuters) - More than half of 530 corporate executives have little or no confidence in the reliability and maturity of their environmental, social and corporate governance (ESG) programs, according to a global survey from corporate governance advocacy non-profit OCEG.

The report paints a dim picture of the corporate world's perception of ESG initiatives, which vary greatly in ambition, disclosures and standards across companies and are increasingly coming under scrutiny from regulators concerned about "greenwashing".

While 78% of the executives think that ESG efforts have an impact on a corporation's brand and reputation, only 48% believe it affects a company's financial outcomes, according to the survey, which was previewed with Reuters ahead of its publication on Wednesday.

Roughly 28% of the respondents said they had no confidence at all that their organizations had "mature, well-documented" ESG capabilities. Another 30% said they had minimal...

Sept 15 (Reuters) - Soda giant PepsiCo (PEP.O) will cut back on the use of virgin plastic and expand its SodaStream sparkling-water business to more markets amid growing calls from consumers, clients and climate change advocates to combat plastic waste.

As part of a new initiative called "pep+", the Lays chips and Pepsi maker said on Wednesday it aims to reduce virgin plastic use per serving by half across all brands by 2030, and use 50% recycled content in all its plastic packaging.

Its standard of measurement will be the amount of plastic used to serve 12 oz (ounces) of beverages and 1 oz of food, helping the company easily gauge its plastic footprint across a diverse portfolio that includes chips and snacks to sodas and oatmeal.

Rival Coca-Cola (KO.N) also plans to sell bottles made from fully recycled plastic in the United States, as the company and PepsiCo emerge as new targets for global activism because of the amount of single-use plastic waste they...

Sept 15 (Reuters) - Canadian Pacific Railway Ltd (CP.TO) inked a $27.2 billion cash-and-stock deal to buy Kansas City Southern (KSU.N) on Wednesday after Canadian National Railway Co (CNR.TO) conceded it could not save its own $29.6-billion deal for the U.S. railway.

The combination will create the first direct railway linking Canada, the United States and Mexico, with a network spanning 20,000 miles and approximately $8.7 billion of annual revenue. It marks the end of a high-stakes bidding war.

The $300 per share cash-and-stock deal that Canadian Pacific clinched is higher than the $275 per share cash-and-stock deal that it had secured in March to buy Kansas City Southern. That deal was scrapped when Canadian National wooed Kansas City Southern in May with a $325 per share cash-and-stock offer.

Kansas City Southern shares were little changed at $281.55 in Wednesday trading in New York.

Canadian National suffered a blow when the U.S. Surface...

Sept 15 (Reuters) - Canadian Pacific Railway Ltd (CP.TO) inked a $27.2 billion cash-and-stock deal to buy Kansas City Southern (KSU.N) on Wednesday after Canadian National Railway Co (CNR.TO) conceded it could not save its own $29.6-billion deal for the U.S. railway.

The combination will create the first direct railway linking Canada, the United States and Mexico, with a network spanning 20,000 miles and approximately $8.7 billion of annual revenue. It marks the end of a high-stakes bidding war.

The $300 per share cash-and-stock deal that Canadian Pacific clinched is higher than the $275 per share cash-and-stock deal that it had secured in March to buy Kansas City Southern. That deal was scrapped when Canadian National wooed Kansas City Southern in May with a $325 per share cash-and-stock offer.

Kansas City Southern shares were little changed at $281.55 in Wednesday trading in New York.

Canadian National suffered a blow when the U.S. Surface...