Euro banks – Last Jeudi http://lastjeudi.org/ Mon, 16 May 2022 22:41:12 +0000 en-US hourly 1 https://wordpress.org/?v=5.9.3 https://lastjeudi.org/wp-content/uploads/2021/03/cropped-icon-1-32x32.png Euro banks – Last Jeudi http://lastjeudi.org/ 32 32 Marriott and Yahoo launch guest media network https://lastjeudi.org/marriott-and-yahoo-launch-guest-media-network/ Mon, 16 May 2022 21:38:48 +0000 https://lastjeudi.org/marriott-and-yahoo-launch-guest-media-network/ Today, in the connected economy, hotel chain Marriott is partnering with Yahoo to launch a media network that enables advertisers to reach customers with targeted ads. Additionally, Uber is unveiling several new ride-sharing features and Plaid is partnering with VGS to provide tokenization services. Marriott Launches Media Network That Helps Ads Reach Travelers Marriott is […]]]>

Today, in the connected economy, hotel chain Marriott is partnering with Yahoo to launch a media network that enables advertisers to reach customers with targeted ads. Additionally, Uber is unveiling several new ride-sharing features and Plaid is partnering with VGS to provide tokenization services.

Marriott Launches Media Network That Helps Ads Reach Travelers

Marriott is working with Yahoo to launch a media network that allows advertisers to target the hotel chain’s customers using their consumer data. The Marriott Media Network will serve advertisements to guests on sites such as the hotel’s website and, at some point, on their in-room televisions. Marriott said the network will debut first in the United States and Canada before landing in other markets. Pilot advertisers will be able to access the company’s display and mobile channels starting this month.

Uber unveils self-driving deliveries, charter bus reservations and other new features

Uber announced several innovations in its core transit business, including self-driving deliveries and charter bus reservations. The company also launched Uber Travel in the US, which allows customers to book hotels, flights and restaurants from one place after connecting a Gmail account, earning 10% in Uber Cash for every ride. Reserve booked with Uber Travel. Meanwhile, Uber Charter, slated to launch this summer, will allow users to book a party bus, van, coach and other transportation with upfront prices from the Uber app.

VGS Plaid Taps for Tokenization Services

Data privacy provider Very Good Security (VGS) has expanded its partnership with data network Plaid to provide tokenization services. VGS said its Tokenization and Zero Data platform enables businesses to leverage sensitive data through format preservation and full portability, allowing customers to avoid vendor lock-in and save time they would otherwise devote to data security hygiene and compliance maintenance.

PayPal Vets Launch $158M Fund to Advance FinTech

Early-stage venture capital firm Infinity Ventures is deploying its inaugural $158 million fund to help build FinTech infrastructure, commerce enablement and other startups that fit its model and portfolio. Infinity Ventures’ model helps eliminate execution risk by applying the operating and investing experience it has accumulated over many years.

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NEW PYMNTS DATA: THE TRUTH ABOUT BNPL AND STORED CARDS – APRIL 2022

On: Shoppers who have store cards use them for 87% of all eligible purchases – but that doesn’t mean retailers should start buy now, pay later (BNPL) options at checkout. The Truth About BNPL and Store Cards, a collaboration between PYMNTS and PayPal, surveyed 2,161 consumers to find out why providing both BNPL and Store Cards is key to helping merchants maximize conversion.

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UniCredit and Citi plan to swap assets with Russian institutions – FT https://lastjeudi.org/unicredit-and-citi-plan-to-swap-assets-with-russian-institutions-ft/ Sun, 15 May 2022 05:19:00 +0000 https://lastjeudi.org/unicredit-and-citi-plan-to-swap-assets-with-russian-institutions-ft/ May 15 (Reuters) – UniCredit SpA (CRDI.MI) and Citigroup (CN) are considering asset swaps with Russian financial institutions as Western banks try to avoid steep writedowns as they exit Russia, said the Financial Times on Sunday. UniCredit has received several offers from Russian financial institutions to buy its local subsidiary since its chief executive, Andrea […]]]>

May 15 (Reuters) – UniCredit SpA (CRDI.MI) and Citigroup (CN) are considering asset swaps with Russian financial institutions as Western banks try to avoid steep writedowns as they exit Russia, said the Financial Times on Sunday.

UniCredit has received several offers from Russian financial institutions to buy its local subsidiary since its chief executive, Andrea Orcel, said in March that it was considering pulling out of the country, the newspaper reported, citing unnamed people familiar with the matter. .

Citigroup is the most internationally diversified of the major US-based banks. It provides commercial finance to businesses and wealth management services to billionaires around the world. Read more

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UniCredit received an offer from Interros Group, the investment firm owned by Vladimir Potanin, one of Russia’s richest men and an oligarch who has not been sanctioned by the United States, Britain or the European Union, but the Italian bank rejected the offer, the FT mentioned.

Citi declined to comment. UniCredit and Interros did not immediately respond to Reuters requests for comment.

In March, UniCredit detailed its exposure to Russia, reporting a worst-case loss of 7.4 billion euros. It confirmed its cash dividends and its plan to buy back shares, conditioning the latter on a key capital threshold.

Citi chief executive Jane Fraser said last year that the bank would divest its consumer business in Russia along with a dozen other consumer businesses in Asia and EMEA markets that she said were too small to keep. Citi has since found buyers for many of these companies.

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Reporting by Jaiveer Singh Shekhawat in Bengaluru; edited by William Mallard

Our standards: The Thomson Reuters Trust Principles.

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Czech and Hungarian central banks risk slowing rate hikes too soon https://lastjeudi.org/czech-and-hungarian-central-banks-risk-slowing-rate-hikes-too-soon/ Fri, 13 May 2022 14:11:08 +0000 https://lastjeudi.org/czech-and-hungarian-central-banks-risk-slowing-rate-hikes-too-soon/ Breadcrumb Links PMN Company Author of the article: Publication date : May 13, 2022 • 29 minutes ago • 4 minute read • Join the conversation Content of the article BUDAPEST — The Czech and Hungarian central banks, which last June became the first in the European Union to launch steep rate hikes to fight […]]]>

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BUDAPEST — The Czech and Hungarian central banks, which last June became the first in the European Union to launch steep rate hikes to fight inflation, surprised investors this week by appearing ready to hold back, fearing a stifle economic growth.

Analysts believe that the two Central European central banks could fall behind the curve and weaken their currencies if they slow the pace of rate hikes too soon.

This week, top policymakers at both banks made dovish comments just days after surprisingly strong inflation data was released in both countries, triggering massive sales of kroons and forints and prompting the Czech bank to step in to bolster his currency.

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Czech year-on-year inflation jumped to 14.2% in April, the highest since December 1993, while headline inflation in Hungary accelerated to 9.5%, the fastest pace of increase since June 2001 despite price caps on fuel, energy bills and basic foodstuffs. Without these measures in place, inflation would be in double digits.

Price growth is expected to accelerate further over the summer, with businesses raising prices across the board, hoping that still buoyant consumer demand, helped by rapid wage growth, will absorb the blow.

Anyone can guess right now when inflation will peak and begin to slowly decline.

Nevertheless, National Bank of Hungary (NBH) Deputy Governor Barnabas Virag said on Thursday that: “We have passed the period of aggressive rate hikes” and that a more gradual approach and a prolonged cycle of hikes could be expected.

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His remarks follow Wednesday’s appointment of central banker Ales Michl as head of the Czech bank from July. Michl said at a ceremony to appoint him that he would offer rate stability for a period of time once he takes the helm.

The Czech central bank should nevertheless raise its rates by 75 basis points before taking over.

Jaromir Sindel, an economist at Citi in Prague, said a hike in June would put rates at a good level to start Michl’s term, but there was still a risk the economy might perform better than expected, creating new pressures on wages and inflation.

“If…the bank’s new board is safe from a further increase in the policy rate, this could…(lead) to a higher risk premium on the krone because the bank is behind on the curve.”

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Peter Virovacz, analyst at ING, said it was risky to slow the pace of rate hikes in Hungary as it runs large budget and current account deficits, while global central banks are firmly in tightening mode.

“The risk is that the market takes it badly and sells the forint because it doesn’t think inflation can be contained that way,” Virovacz said.

On Friday, the forint, under pressure from a rising dollar, fell to 385.30 against the euro, from 380.80 before Virag’s speech.

SLOWDOWN AHEAD

Since last June, the BNH has raised its key rate by 450 basis points to 5.4%, while the Czech central bank has added 550 basis points to raise its key rate to 5.75%. Hungary’s one-week deposit rate, which many investors consider the effective benchmark, stands at 6.45%.

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Poland has implemented increases of 515 bps to bring its key rate to 5.25%, but unlike its neighbors, it is not yet talking about a slowdown. Although it raised rates less than expected this month, its governor said it was “not a sign that rate hikes will end soon…and it’s not a sign that there is will have smaller increases”.

Announcements from Czech and Hungarian banks caught investors off guard as their economies are still booming. The Hungarian economy is expected to have grown by more than 8% in the first quarter, while the Czech economy grew by 4.6% in annual terms, beating forecasts and resisting the first impact of the war in Ukraine.

Still, a slowdown could be imminent, with demand for credit expected to slow in Hungary according to the BNH, which predicts GDP growth of 2.5% to 4.5% for 2022. The Czech central bank cut its outlook last week GDP growth for 2022 to 0.8% from 3.0%.

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BNH’s Virag warned on Thursday that an excessive drying up of the corporate credit market “must be avoided”, while supply chain disruptions and rising energy prices weigh on the manufacturing sector.

But Hungary’s widening current account gap, largely due to the rising cost of energy imports, has increased its vulnerability.

“External risks point to a delay in Hungary’s C/A adjustment unless a stronger correction in domestic demand and fiscal position offsets external factors,” Citigroup’s Eszter Gargyan said in a statement. a rating.

“We believe Hungary’s widening external gap leaves the HUF among the most vulnerable CEE currencies, calling for a cautious approach by the MPC as it calibrates the transition to more gradual increases.” (Writing by Krisztina Than; Additional reporting by Jason Hovet in Prague and Alan Charlish in Warsaw; Editing by Hugh Lawson)

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EUR/USD technical analysis: strong moves ahead https://lastjeudi.org/eur-usd-technical-analysis-strong-moves-ahead/ Wed, 11 May 2022 17:57:03 +0000 https://lastjeudi.org/eur-usd-technical-analysis-strong-moves-ahead/ For the second week in a row, the price of the EUR/USD currency pair is moving in tight ranges. This proximity technically warns of a strong move ahead, as markets absorbed what had been predicted to raise U.S. interest rates at the fastest pace since 2000. The US employment figures have been announced and today […]]]>

For the second week in a row, the price of the EUR/USD currency pair is moving in tight ranges. This proximity technically warns of a strong move ahead, as markets absorbed what had been predicted to raise U.S. interest rates at the fastest pace since 2000. The US employment figures have been announced and today the important US inflation figures will also be announced. The Euro-Dollar’s losses took it to the 1.0470 level, the lowest in five years, and rebound attempts did not break above the 1.0630 level during this period. It is settling around the 1.0526 level at the time of writing the analysis.

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The Federal Reserve said Russia’s war in Ukraine and rising inflation are now the biggest threats to the global financial system, replacing the coronavirus pandemic. The notes came in the Federal Reserve’s semi-annual Financial Stability Report, which examines trade and investment trends as well as general economic issues. The report is not an economic forecast, nor does it attempt to predict the following risks to the financial system. It highlights areas of interest for central bankers.

The Fed added that economic uncertainty had increased since the bank’s previous report, with the war in Ukraine being a big part of the deterioration. The bank also pointed to wide swings in asset prices – from Treasuries to stocks – as investors reassess risk in an environment of high inflation. “Inflation was higher and more stable than expected, even before the invasion of Ukraine, and uncertainty about inflation expectations poses risks to financial conditions and economic activity,” the statement added. Fed in its report.

The Fed said persistently high inflation could force central banks to raise interest rates quickly, which could also pose a potential risk of financial instability in the form of lower economic output as well as higher borrowing costs for individuals and businesses. This could cause debt levels, which the Fed says are high but not yet a major concern, to become unsustainable for some companies.

The US central bank also said, “More negative inflation and interest rate surprises, especially if accompanied by a decline in economic activity, could negatively affect the financial system.” For individuals, inflation could lead to job losses as the Federal Reserve raises interest rates, which could also affect the housing market through higher mortgage rates, the bank said.

The report reflects Fed thinking, its findings could be part of the context when the central bank conducts annual stress tests of the nation’s largest banks in the coming weeks. The Federal Reserve used previous reports to highlight the pandemic as well as last year’s interest in “meme” stocks such as GameStop and AMC Entertainment.

In a statement, Fed Governor Lyle Brainard also cited recent volatility in commodity markets as a place of potential risk. While volatility in the energy market has been in the headlines for several weeks now, other commodity markets – particularly those for industrial metals such as nickel, zinc and lithium – have seen significant swings. .

According to the technical analysis of the pair: Before the announcement of US inflation figures, which affect the course of global financial markets. There is no change in my technical view on the price performance of the EUR/USD currency pair, as the overall trend is still bearish. A break of the 1.0500 support will increase the bears’ control over the trend, thus moving towards stronger support levels and the closest after that are 1.0435 and 1.0300, respectively. As I mentioned earlier, lingering weaknesses – the divergence in economic performance, the future of central bank policy tightening and the Russian-Ukrainian war – support the current trend. On the upside, without crossing the resistance levels 1.0795 and 1.1000, the general trend of EUR/USD will remain bearish.

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Rangers 1 Dundee United 0 LIVE scores as James Tavernier scores from the penalty spot https://lastjeudi.org/rangers-1-dundee-united-0-live-scores-as-james-tavernier-scores-from-the-penalty-spot/ Sun, 08 May 2022 15:10:00 +0000 https://lastjeudi.org/rangers-1-dundee-united-0-live-scores-as-james-tavernier-scores-from-the-penalty-spot/ There could be an ‘after the mayor show’ feeling for Rangers in Govan this afternoon. For some, the midweek Europa League semi-final victory over RB Leipzig was the best atmosphere ever at the Ibrox stadium. So how do they track that for a game in a league campaign that they know is already over? Well, […]]]>

There could be an ‘after the mayor show’ feeling for Rangers in Govan this afternoon.

For some, the midweek Europa League semi-final victory over RB Leipzig was the best atmosphere ever at the Ibrox stadium.

So how do they track that for a game in a league campaign that they know is already over?

Well, there’s the pride factor of not wanting to make a mistake and return the title to Celtic after working so hard for a decade to get their hands on it.

There are also places up for grabs for this Europa League final against Eintracht Frankfurt and the Scottish Cup final against Hearts.

And for the visitors, there is plenty to do as Tam Courts look to continue an impressive debut season in dug and secure European football for Dundee United next season.

So there is plenty to play for to kick off the final seven days of the 2021/22 Scottish Premiership season.

Rangers: McLaughlin; Tavernier, Goldson, King, Barisic; Sands, Davis, Ramsey; Arfield, Sakala, Wright.

Subs: McCrorie, Bassey, Lundstram, Kamara, McCann, Lowry, Diallo, Kent, Devine

Dundee United: Siegrist; Smith, Neilson, Edwards, Graham, Sporle; Mulgrew, Levitt, Meekison; Watt, Cudjoe.

Subs: Eriksson, McDonald, Niskanen, Clark, Freeman, Mochrie, McMann, Thomson, O’Donnell

Follow all live updates.

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Why Croatia sees euro membership as a path to security https://lastjeudi.org/why-croatia-sees-euro-membership-as-a-path-to-security/ Fri, 06 May 2022 14:55:47 +0000 https://lastjeudi.org/why-croatia-sees-euro-membership-as-a-path-to-security/ Placeholder while loading article actions Croatia, which is the newest member country of the European Union and whose economy is heavily dependent on foreign visitors, is in a hurry to adopt the euro as its national currency. The move, which the government is targeting for 2023, would put it at the heart of the EU, […]]]>
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Croatia, which is the newest member country of the European Union and whose economy is heavily dependent on foreign visitors, is in a hurry to adopt the euro as its national currency. The move, which the government is targeting for 2023, would put it at the heart of the EU, making payments easier and cheaper and giving its financial system a safety net in future crises. The country, whose main tourist attractions include Split and Dubrovnik on its Adriatic coast, is also aiming to join the Schengen zone, which removes barriers to travel across Europe.

1. How close is Croatia to joining the euro?

Croatia wants to swap its national currency, the kuna, for the euro on January 1, 2023, eight years after the Baltic state of Lithuania became the latest addition to the 19-member currency bloc. The former Yugoslav republic of 3.9 million people is close to achieving its goal: it has joined the euro zone waiting room known as MCE-2 in 2020, and hopes to get the approval for membership this summer.

2. Why does Croatia want to join?

Croatia began its push to the euro as soon as it gained EU membership in 2013 – a step that was delayed by the bloody wars of the 1990s sparked by the breakup of Yugoslavia. As elsewhere in the east of the continent, the move is partly intended to cement a Western alignment after roughly half a century of communist rule after World War II.

3. What about economic logic?

It’s probably even more convincing. The country depends more than any other EU state on tourists, who generate a fifth of gross domestic product and find holidays much easier when they don’t have to struggle with exchange rates. Meanwhile, most private bank and corporate deposits are held in euros, along with more than two-thirds of debt totaling around 520 billion kunas ($75 billion). Joining the euro zone would lower interest rates, improve credit ratings and make Croatia more attractive to investors, according to central bank governor Boris Vujcic.

Adopting the euro would formalize some of the economic activity that is already carried out using the common currency – from sales of apartments and cars to short-term rentals for holidaymakers. This would reduce foreign currency costs to tourism by about 1.2 billion kuna per year, according to the central bank. Croatia would have access to liquidity from the European Central Bank and possible bailout funding from the European Stability Mechanism in times of crisis. With Greece’s troubles now largely in the rearview mirror, there is popular support for switching to the euro. Almost all political parties support the decision.

In terms of monetary policy, there is not much to lose by relinquishing control to the ECB since the kuna exchange rate is stuck in a narrow trading band with the euro and, before that, with the German mark since the 1990s. Croatia’s expected adoption of the euro will cost local banks about 1 billion kuna a year in lost conversion fees, but the switch will reduce currency risks and improve stability, according to the national banking association. The adoption of the euro is also expected to cost banks between 80 and 100 million euros in one-time expenses aimed at adapting their IT services and ATM networks.

6. What must he do to join?

In short, it must respect EU limits on public debt and public finances, as well as inflation and exchange rate targets. There is some ambiguity, however, as Brussels considers what its borrowing and budget restrictions should look like in the aftermath of the pandemic. Croatia plans to reduce its budget deficit to the original ceiling, while its debt-to-gross domestic product ratio is expected to fall to just over 80%, which is roughly in line with previous requirements and should be sufficient under the new rules.

7. What is the hardest challenge?

Inflation is the biggest uncertainty. Skyrocketing energy costs in Europe, alongside the Russian invasion of Ukraine and the rebound of the Croatian economy in 2021, have pushed up consumer prices. What matters is how Croatia compares to a one-year average of the three eurozone states with the lowest rates. This calculation will be made once the April data is available. Eurostat data for March, released on April 21, showed Croatia’s annual inflation rate at 7.3%, just below the eurozone average of 7.4%. Croatia’s central bank said in response to a Bloomberg survey that it expects the country’s annual average inflation to be around 5.4% for 2022, adding that “one can with a degree high probability of expecting Croatia to meet the price stability criterion”. The International Monetary Fund predicted in its April World Economic Outlook that Croatian consumer prices would rise by 5.9% in 2022, compared to 5.3% for the eurozone.

8. Are there any other obstacles?

An investigation by Croatian market watchdog Hanfa into deals struck by senior central bank officials, including Vujcic, has threatened the process. However, the investigation – started in January – cleared the head of the central bank in early May. Vujcic denied any wrongdoing and said the allegations were aimed at sabotaging the Balkan country’s plans to adopt the euro.

9. Are other countries interested in joining us?

One is certainly: Bulgaria. But they pushed their schedule back a year to 2024 after being accepted into MCE-2 along with Croatia. Romania has also expressed a desire to follow its Eastern European counterparts, Estonia, Latvia, Lithuania, Slovakia and Slovenia into the currency bloc. Although they are bound to join themselves at some point, the biggest countries in this region are not rushing. Poland, for its part, attributes its ability to survive the 2008 global financial crisis without recession to maintaining an independent monetary policy.

10. What do the existing euro countries say?

Paschal Donohoe, Ireland’s finance minister who is also leading rallies of his eurozone colleagues, hailed Croatia’s “huge efforts” to prepare for euro adoption, saying he “hopes” that progress can be made. Beyond Brussels, public debate on the expansion has been limited since warnings following a series of money laundering scandals in the Baltic region. Such caution has lately been directed more towards Bulgaria.

11. What would the new Croatian coins look like?

The coins would feature the checkerboard pattern which, found on the coat of arms of Croatia, is considered one of the oldest national symbols in Europe. They will also have images of a kuna, or weasel in the Croatian language, and feature Nikola Tesla, one of the world’s greatest inventors, who was an ethnic Serb born in the present Croatian town of Smiljan. Serbia’s central bank said it would take action if Croatia were allowed to use Tesla’s image.

• Bloomberg articles on Croatia’s central bank urging citizens to transfer their savings to banks and its euro coin projects.

• An analysis by Bruegel on the maturity of the euro.

• A study by the Brookings Institution on whether European integration increases people’s life satisfaction in Croatia and elsewhere.

(Updates with Eurostat’s inflation indicator for March in question 7.)

More stories like this are available at bloomberg.com

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Live news: India hikes interest rates for first time in two years as inflation jumps https://lastjeudi.org/live-news-india-hikes-interest-rates-for-first-time-in-two-years-as-inflation-jumps/ Wed, 04 May 2022 10:02:22 +0000 https://lastjeudi.org/live-news-india-hikes-interest-rates-for-first-time-in-two-years-as-inflation-jumps/ One of Maersk Line’s biggest ships, the Maersk Murcia, at the port of Gothenburg: the line’s parent company, AP Møller-Maersk, warned on Wednesday of growing economic risks © AFP via Getty Images AP Møller-Maersk warned on Wednesday of growing economic risks, including potential stagflation and Chinese factory closures, even as the container shipping giant reported […]]]>
One of Maersk Line’s biggest ships, the Maersk Murcia, at the port of Gothenburg: the line’s parent company, AP Møller-Maersk, warned on Wednesday of growing economic risks © AFP via Getty Images

AP Møller-Maersk warned on Wednesday of growing economic risks, including potential stagflation and Chinese factory closures, even as the container shipping giant reported a record quarter.

Søren Skou, chief executive of Maersk, told the Financial Times that the current second quarter was developing very much in line with the first three months, which brought in the highest profits in the Danish group’s 114-year history.

But he added: “We assume a slowdown in the second half, a normalization. Visibility is quite low. We mainly see risks building up in the economy, in China with the Covid-19 policy where they are using these very hard lockdowns, some downgrades due to a very high oil price.

Maersk, which carries more than one in six containers transported by sea, is considered an indicator of world trade. Last week, it lowered its forecast for growth in the shipping industry this year to a potential slight decline.

It also raised its profit forecast for this year to $24 billion in underlying operating profit, up from its February estimate of $19 billion. “The momentum we currently have is enough to complete our upgrade,” Skou said on Wednesday.

Nonetheless, Skou noted that some economists predicted a recession in the United States towards the end of the year, although it was “too early” to tell.

“There are a number of factors that suggest we will see less growth in the second half of the year and into the next year,” he said, pointing to falling consumer and business confidence in Europe. and the United States as well as lower Chinese export orders.

Maersk was suffering from lower volumes due to a “breathtaking” sixth week of shutdowns in Shanghai, Skou said. It had not yet been dramatic.

The company’s after-tax profit for the first quarter was $6.78 billion, compared to $2.7 billion for the same quarter of 2021.

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Apple hit by EU antitrust complaint over iPhone payments (1) https://lastjeudi.org/apple-hit-by-eu-antitrust-complaint-over-iphone-payments-1/ Mon, 02 May 2022 17:56:31 +0000 https://lastjeudi.org/apple-hit-by-eu-antitrust-complaint-over-iphone-payments-1/ Apple Inc. has been the subject of a formal antitrust complaint by the European Union on how it handles iPhone payment services, an area where regulators say the tech giant favors its own technology over competing platforms. the European Commission sent a so-called Statement of Objections alleging the company is abusing its control over mobile […]]]>

Apple Inc. has been the subject of a formal antitrust complaint by the European Union on how it handles iPhone payment services, an area where regulators say the tech giant favors its own technology over competing platforms.

the European Commission sent a so-called Statement of Objections alleging the company is abusing its control over mobile wallets by limiting how third-party companies can provide services on the iPhone. The move intensifies an investigation that began nearly two years ago. If confirmed, the company could face steep fines under EU antitrust rules.

The issue centers on Apple Pay, which customers can use through the iPhone’s Near Field Communication chip. This allows them to tap to pay, which is not available for competing services, such as PayPal. Apple plans to open up the technology so vendors can use it to accept payments, but customers still won’t be able to use touch to make payments with competing services – a more pressing need for most phone owners.

The situation appears to create an uneven playing field, EU regulators said.

“We have indications that Apple has restricted third-party access to key technology needed to develop competing mobile wallet solutions on Apple devices,” the EU antitrust chief said. Margrethe Vestager said in a statement Monday. The EU indictment makes a preliminary finding that the company “may have restricted competition, to the benefit of its own solution.”

The decision to step up its investigation comes weeks after the EU approved sweeping new rules to limit how US tech companies operate in the region. the measuresdesigned to work alongside traditional antitrust powers, aims to prevent companies from abusing their power as guardians of digital technology.

The Apple Pay investigation was one of two cases that the European Commission open in June 2020, as part of Vestager’s efforts to rein in powerful tech companies. It follows the EU’s decision in 2016 to hit Apple with a record A 13 billion euro ($13.7 billion) tax bill, which is the subject of a pending court case following the company’s successful appeal to a lower EU court.

Read more: Apple is keeping payments technology to itself and Europe has had enough

Apple defends its approach by noting the popularity of competing services on the iPhone. This includes PayPal, which is widespread in Europe, and a few other options that are more popular than Apple Pay in some European countries: MobilePay (Denmark), Swish (Sweden), and Payconiq (Belgium).

The company also said it was giving all banks equal access to the payments system, with 2,500 banks in Europe connected, as well as smaller fintech companies and start-up financial services.

“We designed Apple Pay to provide users with an easy and secure way to digitally present their existing payment cards and for banks and other financial institutions to offer contactless payments to their customers,” Apple said in a statement, saying that he “will continue to engage”. with the Commission to ensure that European consumers have access to the payment option of their choice in a safe and secure environment.

The EU’s decision could pave the way for multibillion-euro fines and an order to change the way Apple does business. But the company will have the opportunity to challenge the EU’s findings in writing and at a hearing.

(Updates with more information on Apple’s technology starting in the third paragraph.)

–With the help of Marc Gurman.

To contact the reporters on this story:
Stephanie Bodoni in Luxembourg to sbodoni@bloomberg.net;
Jillian Deutsch in Brussels at jdeutsch24@bloomberg.net

To contact the editors responsible for this story:
Jeremy Hodges to jhodges17@bloomberg.net;
Sarah Frier to sfrier1@bloomberg.net

Peter Chapman, Nick Turner

© 2022 Bloomberg LP All rights reserved. Used with permission.

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China meets with banks to discuss protecting assets from US sanctions https://lastjeudi.org/china-meets-with-banks-to-discuss-protecting-assets-from-us-sanctions/ Sat, 30 Apr 2022 23:01:01 +0000 https://lastjeudi.org/china-meets-with-banks-to-discuss-protecting-assets-from-us-sanctions/ Chinese regulators held an emergency meeting with domestic and foreign banks to discuss how they could protect the country’s assets overseas from US sanctions similar to those imposed on Russia for its invasion of the Ukraine, according to people familiar with the discussion. Officials fear the same action could be taken against Beijing in the […]]]>

Chinese regulators held an emergency meeting with domestic and foreign banks to discuss how they could protect the country’s assets overseas from US sanctions similar to those imposed on Russia for its invasion of the Ukraine, according to people familiar with the discussion.

Officials fear the same action could be taken against Beijing in the event of a regional military conflict or other crisis. President Xi Jinping’s administration has maintained staunch support for Vladimir Putin throughout the crisis, but Chinese banks and companies remain cautious about dealings with Russian entities that could trigger US sanctions.

The internal conference, held on April 22, included officials from China’s central bank and finance ministry, as well as executives from dozens of local and international lenders such as HSBC, the sources said. The Ministry of Finance said at the meeting that all major foreign and domestic banks operating in China were represented.

They added that the meeting began with remarks from a senior finance ministry official who said Xi’s administration had been put on alert by the ability of the United States and its allies to freeze assets in dollars from the Russian central bank.

Officials and attendees did not mention specific scenarios, but one possible trigger for these sanctions would be a Chinese invasion of Taiwan, which China claims as its territory and has threatened to invade if Taipei refuses to stand down. submit to his control indefinitely.

“If China attacks Taiwan, the decoupling of the Chinese and Western economies will be much more severe than [decoupling with] Russia because China’s economic footprint touches every region of the world,” said one of the people briefed on the meeting.

Andrew Collier, managing director of Orient Capital Research in Hong Kong, said the Chinese government was right to be concerned “because it has very few alternatives and the consequences [of US financial sanctions] are disastrous”.

High-level regulators, including Yi Huiman, chairman of the China Securities Regulatory Commission, and Xiao Gang, who headed the CSRC from 2013 to 2016, asked the bankers present what could be done to protect the country’s foreign assets, in particular its $3.2 billion in foreign exchange reserves.

China’s vast dollar-denominated holdings range from more than $1 billion in US Treasuries to office buildings in New York. The state-owned Dajia Insurance Group, for example, owns the Waldorf Astoria New York.

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“No one there could think of a good solution to the problem,” said another person briefed on the meeting, “China’s banking system is not prepared for a freeze on its dollar assets or exclusion from the system. Swift courier like the U.S. did to Russia.

HSBC did not respond to a request for comment.

Some bankers have suggested that the central bank could require exporters to exchange all their foreign currency earnings for renminbi in order to increase its onshore dollar holdings. Exporters are currently allowed to retain part of their foreign exchange earnings for future use.

Others have suggested a “significant” reduction in the $50,000 quota that Chinese nationals are allowed to buy each year for overseas travel, education and other overseas purchases.

When an official asked Chinese bankers if they could diversify into more yen- or euro-backed assets, they said the idea was impractical.

Some bankers present, however, doubted Washington could ever afford to sever economic ties with China given its status as the world’s second-largest economy, huge dollar holdings and close trade relationship with the United States.

“It is difficult for the United States to impose massive sanctions against China,” Collier acknowledged. “It’s like mutually assured destruction in a nuclear war.”

Additional reporting by Tabby Kinder in Hong Kong

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Ruble hits 2-year high against euro in Moscow as market waits for rate cut https://lastjeudi.org/ruble-hits-2-year-high-against-euro-in-moscow-as-market-waits-for-rate-cut/ Fri, 29 Apr 2022 10:14:00 +0000 https://lastjeudi.org/ruble-hits-2-year-high-against-euro-in-moscow-as-market-waits-for-rate-cut/ A customer hands over Russian ruble banknotes and coins to a vendor at a market in Omsk, Russia October 29, 2021. REUTERS/File Photo Join now for FREE unlimited access to Reuters.com Register April 29 (Reuters) – The Russian ruble hit its highest level in more than two years against the euro on Friday and headed […]]]>

A customer hands over Russian ruble banknotes and coins to a vendor at a market in Omsk, Russia October 29, 2021. REUTERS/File Photo

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April 29 (Reuters) – The Russian ruble hit its highest level in more than two years against the euro on Friday and headed towards 70 to the dollar before paring gains, buoyed by capital controls and then that the market was waiting for a rate cut expected by the Central Bank.

The moves in the Russian market are partly artificial, as the ruble is backed by capital controls, while stocks trade with a ban on short selling and with foreign players banned from dumping shares in Russian companies without authorization.

As of 0953 GMT, the ruble had gained 1.1% to trade at 74.55 against the euro, earlier touching 74.0525, its highest level since March 2020.

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It was 1.6% stronger against the dollar at 70.92, before climbing to a six-month high at 70.9075.

The ruble has strengthened in recent days as export-focused companies sell their foreign currency earnings to meet local liabilities that could top 3 trillion rubles ($43.26 billion) this month, according to analysts polled by Reuters.

Sberbank CIB analysts said exporters could significantly reduce foreign exchange sales ahead of Russia’s long May holiday.

“The ruble could slip to 74-75 against the dollar today,” Sberbank CIB said.

The Bank of Russia is expected to cut its key interest rate by 200 basis points to 15% as it tries to further stimulate lending in the economy in the face of high inflation, a Reuters poll suggested earlier this week.

The rate decision is scheduled for 10:30 GMT, followed by a press briefing with Governor Elvira Nabiullina at 12:00 GMT.

Lower rates support the economy through cheaper loans, but can also stoke inflation and make the ruble more vulnerable to external shocks.

The ruble has fully recovered to levels seen before February 24, when Russia launched what it calls a “special military operation” in Ukraine that led to unprecedented Western sanctions, including a freeze on Russian reserves and efforts to limit the access of Russian banks to the market. global financial system.

Russian stock indices were higher.

The dollar-denominated RTS index (.IRTS) rose 2.9% to 1,072.6 points. Russia’s ruble-based MOEX index (.IMOEX) rose 1.4% to 2,416.2 points.

Shares of VTB Bank (VTBR.MM) outperformed the broader market, climbing 4.1% the day after the Kommersant daily announced, citing sources, that the country’s second-largest lender might merge with banks controlled by the Otkritie State and RNCB.

Promsvyazbank analysts said the move is likely to improve VTB Group’s performance and the company’s share price, while allowing banks to optimize their branch network.

($1 = 69.3488 rubles)

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Reuters Editing reporting by Tomasz Janowski and Louise Heavens

Our standards: The Thomson Reuters Trust Principles.

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