European stocks slipped into negative territory Wednesday, as market participants digested a fresh round of corporate earnings and disappointing economic data out of France and Germany.
The pan-European Stoxx 600 was trading around 0.1% lower early afternoon, autos still performing well with a 1.6% rise while basic resources stocks tumbled 1.7%.
European Markets: FTSE, GDAXI, FCHI, IBEXMarket focus is largely attuned to global central banks, amid expectations that the European Central Bank (ECB) and the Federal Reserve could soon cut interest rates.
The ECB is seen cutting rates by 10 basis points on Thursday, with the U.S. central bank expected to lower rates by 25 basis points at the end of the month.
The prospect of a wave of policy stimulus appeared to soften the impact from the International Monetary Fund's (IMF) latest downgrade to its global growth forecasts.
The global economy is expected to expand by 3.2% in 2019, the fund said Tuesday. That's 0.1% lower than its pre..
Experts have warned that brinkmanship between the Saudi-backed UN Yemen government and the Houthis over the abandoned Safer FSO vessel "is threatening a serious environmental emergency."AFP | Getty Images An abandoned and decaying oil tanker near the coast of war-torn Yemen could soon rupture or explode, the United Nations (UN) has warned, potentially triggering one of the world's largest oil spills.
The deserted Safer FSO tanker, which is believed to contain approximately 1.14 million barrels of oil, has been anchored and left without maintenance off the Yemeni coast of Al Hudaydah since early 2015, according to the UN.
The tanker, which was described in a recent op-ed from The Atlantic Council as a "floating bomb," is thought to be eroding fast.
There are concerns that following years of inertia in a salty and corrosive maritime environment, volatile gases have built up in the storage tanks — increasing the risk of an explosion.
However, UN officials' plans to inspect t..
Iranian President Hassan Rouhani (L) attends the 21st Nationwide Assembly of the Islamic Revolution Guards Corps (IRGC) Commanders in Tehran, Iran on September 15, 2015.Anadolu Agency | Anadolu Agency | Getty ImagesIranian President Hassan Rouhani has told his cabinet that protecting security around the Persian Gulf is solely the responsibility of countries in the region and that other nations should stay away.
The United Kingdom is attempting to form an alliance with other European nations to protect ships passing through the Persian Gulf and Strait of Hormuz, a channel that sees 20% of the world's oil supply pass through it.
Iranian Revolutionary Guards (IRGC) seized a British Ship traveling through the channel on Friday, an apparent tit-for-tat measure after the United Kingdom had previously impounded an Iranian tanker in the Mediterranean which was suspected of intending to deliver oil to Syria's Assad regime. Such a move is banned by EU sanctions.
Speaking to his cabinet..
British Foreign Secretary Boris Johnson attends an official dinner at the Victoria and Albert Museum in London.Peter Nicholls | WPA Pool | Getty ImagesThis political leader has an instantly recognizable mop of blond hair, doesn't shy away from the limelight, has been embroiled in several scandals and is known for his off-the-cuff, unfiltered and often highly charged comments.
President Donald Trump? No, we're talking about the U.K.'s next prime minister, Boris Johnson.
Trump himself has suggested that Johnson was a kindred spirit. The president offered praise Tuesday after Johnson's victory in his leadership race, saying "he's tough and he's smart."
"They call him 'Britain Trump,' and people are saying that's a good thing. They like me over there. That's what they wanted. That's what they need," Trump told an audience in Washington.
The two leaders have recently formed closer bonds. Trump endorsed Johnson in his leadership contest..
European Central Bank President Mario DraghiInts Kalnins | ReutersEuropean Central Bank (ECB) President Mario Draghi didn't leave any doubt about his institution's conviction to do "whatever it takes" to counter a fall in inflation expectations when he spoke at the banks annual gathering recently in Sintra, Portugal.
All instruments are on the table and can be deployed. That was the message. The question now is: Will anything happen as early as this week?
Expectations are divided as to whether the ECB wants to pre-empt a policy move by the U.S. Federal Reserve that pushes down the dollar and strengthens the euro as this would hurt euro zone exporters and weigh on inflation further.
Traditional ECB watchers though expect a change in the central bank's forward guidance at this month's meeting on Thursday and then potential action on interest rates at its meeting in September.
"In response to the weak growth and still subdued inflation, the ECB will likely adjust its ..
With Boris Johnson some things change, but many things remain the sameOpen Europe's David Shiels examines the prospects of Boris Johnson's premiership on TRT World on 24 July.
The post With Boris Johnson some things change, but many things remain the same appeared first on Open Europe.
24 July 2019 Boris Johnson becomes new Conservative leader Boris Johnson was elected as the new leader of the Conservative Party yesterday, after receiving 92,153 votes (66%) from the party’s members. The other contender, Foreign Secretary Jeremy Hunt, received 46,656 votes (34%), on an overall turnout of 87.4%.
Theresa May will take part in her final Prime Minister’s Questions in the House of Commons today, before resigning as Prime Minister to make way for Johnson this afternoon. Johnson will deliver his first speech as Prime Minister at 4PM and is then expected to appoint his new Cabinet of ministers this evening. Government Whip Mark Spencer has been appointed Chief Whip, while former International Development Secretary Priti Patel and Employment Minister Alok Sharma will reportedly join the Cabinet. The Daily Telegraph reports that Johnson’s former special adviser David Frost will be the Prime Minister’s Europe adviser.
Elsewhere, a new YouGov poll reveals that 34% of the pu..
US stocks rose on Tuesday, boosted by upbeat earnings and forecasts from Coca-Cola and United Technologies, while a two-year debt ceiling and budget deal between President Donald Trump and Congress buoyed sentiment.
Coca-Cola Co shares rose as much as 5.7% to hit a record high, after the fizzy drink maker beat quarterly earnings expectations and raised its full-year organic revenue forecast.
Fellow Dow component United Technologies Corp gained 1.5%, after raising its full-year profit and sales outlook.
"Earnings have been coming in above expectations which is good, but we are still very early in the reporting season so we have to wait and see how it progresses," said Michael Geraghty, equity strategist at Cornerstone Capital Group in New York.
"Another positive for markets is that a deal has been reached on the U.S. debt ceiling, which is a relief, because if there was no deal it would be a very unpleasant situation."
The deal will help avert a feared government default later this..
By Andy Mukherjee
Supply-chain finance is the secret sauce behind Citigroup Inc.’s mid-20% return on equity from transaction banking.
That might sound counterintuitive, especially in Asia. The export-led region is facing the brunt of supply dislocations as the U.S.-China trade war intensifies. But the skirmish isn’t a showstopper for financing. As production moves from one country to another, transactions that need to be greased with money or credit will occur somewhere else. They won’t disappear.
For evidence, take a peek at Citi’s recent quarterly results. The bank has $715 billion in deposits from institutional clients. About $166 billion of it is in Asia, up 8% from a year earlier and growing faster than consumer banking deposits.
What’s more, Citi doesn’t even have to aggressively seek corporate liquidity by promising high interest rates. It just has to work with a few hundred clients – not just Western multinationals like Procter & Gamble Co., but also Asian ones such as Ali..