Aposto

Çarşamba, 7 Aralık 2022
Çarşamba, Aralık 7, 2022
Upgrade to Premium
INTERNATIONAL MARKETS
BUSINESS
POLITICS | WORLD
TECHNOLOGY
APOSTO PICKS

🛡️ Discount loss & damage?

G7 launches climate "shield" fund, London no longer Europe's top market, Zelenskiy visits Kherson after liberation from Russian troops

DW

Good morning. It is Tuesday, November 15th.

Iran courts sentenced a person to death for the first time over the nationwide Mahsa Amini protests, Zelenskiy paid a "triumphant" visit to Kherson after Russian forces' retreat, while US and China's leaders held their first face-to-face meeting since Biden took office. On a related note, world leaders gathered in Indonesia to kickstart the G20 meeting, with all eyes on how the talks will convey.

  • Here’s a playlist that will take you back to some films with unforgettable soundtracks. Enjoy.

—Tanem and Can

INTERNATIONAL MARKETS

Eurozone industrial production rose by 0.9% in September from the previous month and 4.9% year-on-year, according to data released by Eurostat on Monday, both significantly exceeding expectations. The data for August was revised upwards as well, to a 2.0% increase on the month from 1.5% and to a 2.8% rise year-on-year from 2.5% previously.

Eurozone industrial output

via Bloomberg

  • Zoom in: With the increase and revisions, the index for the region’s industrial output has reached its highest level since the end of 2017. However, the surge in output is possibly due to firms front-loading in anticipation of higher energy prices during winter, said Ken Wattret, an analyst at S&P Global.
  • Looking ahead… He added that sharp declines in production were likely going forward, pointing to his firm’s PMI figures of new orders and future production expectations, which “remain indicative of recession.” The European Commission expects the eurozone economy to contract in Q4 of 2022 and Q1 of 2023.

G7 and the V20 group of climate-vulnerable countries launched the “Global Shield” at the UN COP27 summit on Monday, which aims to rapidly provide pre-arranged insurance and disaster protection funding after extreme climate events. The plan has so far been backed by €170 million in funding from Germany and €40 million from other donors including Denmark and Ireland.

  • Contrary perspectives: Some countries and campaigners were cautious, however, over concerns the fund risked damaging efforts to secure a substantive deal on financial help for so-called "loss and damage" — the UN jargon for irreparable damage wrought by global warming.

Governors of the French and German central banks said it was more important now than ever to press ahead with a capital markets union to finance green and digital transitions. In a co-authored opinion piece, the duo said a single market for capital would foster the geographical diversification of funding sources and strengthen private sector risk sharing through the development of equity funding.

London Stock Exchange lost its position as Europe's most-valued stock market as the economic downturn weighs on UK companies, according to data from Bloomberg. France’s Euronext Paris has taken the top spot —for the first time since records began in 2003— as the combined value of its companies' shares was boosted by currency movements and demand for French luxury goods.

FTSE 100

via BBC

BUSINESS

Adidas is looking to raise €1 billion debt from Europe’s bond market on Monday, just days after slashing profit expectations for a fourth time and lowering its full-year operating margin to 2.5% from a previous 4% target. It is the German sportswear brand’s first dive into the region’s public debt market since 2020 and before that, it hadn’t issued bonds since 2014.

Ye

via Bloomberg

  • A step back: The end of the firm’s partnership with artist Ye is expected to leave a €1.8 billion hole in its income. Meanwhile, newly appointed CEO Bjorn Gulden will take over in January.

Shares in Roche dropped as much as 5.9% on Monday after the Swiss drugmaker announced that its long-awaited drug for Alzheimer’s disease failed in a pair of large studies. The experimental medicine, called gantenerumab, didn’t slow clinical decline in people with early Alzheimer’s at a statistically significant level.

Alzheimer’s treatment research

via FT

  • The competition: Lecanemab, a similar treatment by Biogen and Eisai, hit a milestone two months ago, becoming the first product to slow the progression of Alzheimer’s in a definitive trial.

Kempower, a Finnish maker of high-speed chargers, is accelerating its entry to the US market following President Joe Biden’s $7.5 billion pledge to bolster the country’s sparse network of power sources for EVs that is hampering the switch from fossil-fueled transport. Kempower has started hiring a sales team with the intention of kicking off sales in the US by the end of 2023, CEO Tomi Ristimaki said.

Twitter has cut 4,400 contract workers since Saturday afternoon, according to separate reports from Platformer’s Casey Newton and Axios on Monday, less than two weeks after laying off 50% of its employees. The move is expected to significantly impact Twitter's ability to moderate content and keep its platform up and running.

Elon Musk

via Reuters

  • On a related note: Elon Musk said he was working "at the absolute most amount… from morning until night, seven days a week," when asked about his recent acquisition of Twitter and his leadership of automaker Tesla. "I have too much work on my plate, that is for sure," Musk said by video link to a business conference on the sidelines of the G20 summit in Bali.
POLITICS | WORLD

Ukraine's President Volodymyr Zelenskiy visited the newly liberated city of Kherson, marking Russia's withdrawal after nine months as the "beginning of the end of the war." Zelenskiy told soldiers that Ukraine is "moving forward" and ready for peace, even though Russia still insists that Kherson remains their territory.

Zelenskiy in Kherson

via DW

  • In accordance: Ending the Russian occupation of Kherson has sparked celebration, but also exposed a humanitarian emergency where it was found that many residents are living without power and water, and there are food and medicine shortages.

Germany's conservative opposition blocked a major welfare reform, Buergergeld [citizens' money], that aimed to provide more money to people on state benefits and to address a skilled workers shortage in Europe's largest economy. Arguing that the reform is too generous where low-income earners would earn less money than those who benefit from the changes, the opposition rejected the reform that was hoped to replace the 2005 system where people who reject job offers get sanctioned.

German Senate

via Reuters

The UK will pay France £8 million more a year under a revised agreement that aims to stop people crossing the English Channel in small boats, as the UK government is coming under increasing pressure to reduce journeys across the water that have risen to record levels this year. Under the new agreement, the money will pay for increased surveillance of French beaches, and UK police will be able to observe patrols within France.

US President Joe Biden and China's President Xi Jinping held their first face-to-face meeting since Biden took office in 2021, on the sidelines of the G20 meeting in Indonesia that starts today. Biden said the two countries would continue to "compete vigorously" but that he wasn't looking for conflict, and that there would not be a new Cold War, at a news conference. Xi warned Biden against crossing a "red line" on Taiwan, and said he was "highly concerned" about the situation in Ukraine, according to Chinese state media.

Turkish police said they detained 47 people, including a Syrian woman suspected of planting the bomb that killed six people and wounding at least 81 in Istanbul's Istiklal Avenue. The Interior Ministry said Kurdish militant groups were behind the attack, but no group has claimed responsibility so far, with the Kurdistan Workers Party (PKK) and Syrian Democratic Forces (SDF) denying any involvement in it.

A Revolutionary Court in Iran issued the first death sentence to an unnamed person for participating in the Mahsa Amini protests that have spread throughout the country, state media said. The Tehran court found the defendant guilty of "enmity against God" for setting fire to a government facility.

Protests in Iran

via BBC

  • Consequences: EU foreign ministers agreed to hit Iran with new sanctions, with 32 officials and organizations involved in suppressing the country's recent protests being banned from EU entry and will have their assets in the bloc frozen.
TECHNOLOGY

Germany's antitrust watchdog said they expanded two investigations into Amazon, utilizing a new regulation that allows it to prohibit any anti-competitive behavior at an earlier stage. The Federal Cartel Office said that the e-commerce giant operates the most important marketplace in e-commerce, giving it a key position that allows it to set the rules for competition on its platform.

Amazon

via Reuters

  • A step back: Last year's changes to Germany's antitrust laws for digital corporations give the cartel office more power in identifying and prohibiting some companies' dominant positions.

Software made by Pushwoosh was removed from US Army and Center for Disease Control and Prevention (CDC) applications after a Reuters investigation revealed the company to be based in Russia — despite presenting itself as a US company in regulatory filings. Both CDC and the US Army said they removed the apps containing Pushwoosh code due to security concerns.

Binance is planning to launch a fund to help crypto projects that are facing liquidity crises, CEO Changpeng Zhao said, as the collapse of rival FTX has shaken the industry. Binance, which abandoned a mooted rescue of FTX, did not comment on the size of the planned fund.

APOSTO PICKS

🇪🇺 Fact check: Does the EU prioritize Ukrainian refugees?

🇩🇪 Factbox: German government's plan to reform welfare

💸 Interview: Jeff Bezos says he will give most of his money to charity

Related Keywords

recession

contract

Eurozone

Eurostat

eurozone

Global

European Commission

climate

+71 more

Liked this issue

Add to Archive

Add to Reading List

Share

Follow Aposto Europe

The news, every weekday at 07:30 (CET), with a distinctly European perspective. Your briefing on markets, politics, business, tech and more — under 5 minutes

0%

;