Sensor specialist AMS forecasts strong third quarter

Austrian Apple supplier AMS expects a recovery in demand for its optical sensors to continue in the third quarter and said it could re-launch a potential takeover of German lighting group Osram. However, the Swiss-listed sensor specialist said on Tuesday it had been approached by potential financial partners and had exchanged views “which confirm its belief that AMS can arrange prudent and committed financing for this potential transaction.” AMS’ shares were up around 9% in early trading. AMS ai


Austrian Apple supplier AMS expects a recovery in demand for its optical sensors to continue in the third quarter and said it could re-launch a potential takeover of German lighting group Osram. However, the Swiss-listed sensor specialist said on Tuesday it had been approached by potential financial partners and had exchanged views “which confirm its belief that AMS can arrange prudent and committed financing for this potential transaction.” AMS’ shares were up around 9% in early trading. AMS ai
Sensor specialist AMS forecasts strong third quarter Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-23
Keywords: news, cnbc, companies, technology, quarter, second, german, takeover, supplier, million, ams, strong, sensors, potential, specialist, forecasts, sensor, demand


Sensor specialist AMS forecasts strong third quarter

Austrian Apple supplier AMS expects a recovery in demand for its optical sensors to continue in the third quarter and said it could re-launch a potential takeover of German lighting group Osram.

AMS AG said a week ago it did not see “sufficient basis” for continuing its discussions with the German technology company, after approaching Osram to discuss a non-binding takeover offer of 38.50 euros ($43.08) per share, sparking a potential bidding war for the German company.

However, the Swiss-listed sensor specialist said on Tuesday it had been approached by potential financial partners and had exchanged views “which confirm its belief that AMS can arrange prudent and committed financing for this potential transaction.”

AMS’ shares were up around 9% in early trading.

Osram, which is grappling with weakness in the automotive industry and a broader economic slowdown, had sparked bidding interest because of its potential as a supplier for connected and autonomous cars.

AMS aims to expand with super-fast and power-effective laser diodes that are used for light detection and ranging in self-driving cars – so-called VCSELs for automotive Lidar systems.

AMS, which supplies Apple with sensors for its face recognition technology and suffered from lower than expected demand for the latest iPhones late last year, said demand had continued to recover in the second quarter, with revenues rising to $415.2 million, in the upper half of its $390-430 million guidance.

It expects third-quarter revenue to reach $600-640 million.

AMS posted adjusted earnings before interest and tax of $50 million for the second quarter and said high volume ramps in the consumer market and a better operational performance should lead to an adjusted operating margin of above 25% in the third quarter.


Company: cnbc, Activity: cnbc, Date: 2019-07-23
Keywords: news, cnbc, companies, technology, quarter, second, german, takeover, supplier, million, ams, strong, sensors, potential, specialist, forecasts, sensor, demand


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Deutsche Bank CEO says he reprimanded executives for having $1,800 suits fitted day of mass layoffs

Christian Sewing, chief executive officer of Deutsche Bank AG, pauses as Germanys biggest bank announces full year earnings in Frankfurt, Germany, on Friday. Photographer: Krisztian Bocsi/Bloomberg via Getty ImagesDeutsche Bank CEO Christian Sewing says he reprimanded executives for having expensive custom suits tailored the day that mass layoffs hit the troubled bank’s offices in London, New York and Tokyo. Two tailors were photographed coming out of the German bank’s London office on Monday. D


Christian Sewing, chief executive officer of Deutsche Bank AG, pauses as Germanys biggest bank announces full year earnings in Frankfurt, Germany, on Friday. Photographer: Krisztian Bocsi/Bloomberg via Getty ImagesDeutsche Bank CEO Christian Sewing says he reprimanded executives for having expensive custom suits tailored the day that mass layoffs hit the troubled bank’s offices in London, New York and Tokyo. Two tailors were photographed coming out of the German bank’s London office on Monday. D
Deutsche Bank CEO says he reprimanded executives for having $1,800 suits fitted day of mass layoffs Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-11  Authors: spencer kimball
Keywords: news, cnbc, companies, day, banks, layoffs, troubled, bank, having, deutsche, suits, christian, mass, fitted, ceo, sewing, german, billion, executives, london, reprimanded


Deutsche Bank CEO says he reprimanded executives for having $1,800 suits fitted day of mass layoffs

Christian Sewing, chief executive officer of Deutsche Bank AG, pauses as Germanys biggest bank announces full year earnings in Frankfurt, Germany, on Friday. Feb. 1, 2019. Deutsche Banks revenue contracted for an eighth straight quarter in the final months of last year, complicating Chief Executive Officer Christian Sewings plan to turn around the lender through cost cutting. Photographer: Krisztian Bocsi/Bloomberg via Getty Images

Deutsche Bank CEO Christian Sewing says he reprimanded executives for having expensive custom suits tailored the day that mass layoffs hit the troubled bank’s offices in London, New York and Tokyo. Two tailors were photographed coming out of the German bank’s London office on Monday. Originally, the men were incorrectly identified as employees who had been sacked. In reality, they were at Deutsche’s London office to fit $1,800 suits for senior staff who were not hit by the job cuts, according to a report in Financial News. “That someone would let a tailor come on such a day is disrespectful,” Sewing said in an interview with the German newspaper Handelsblatt on Thursday. “In no way is this behavior in keeping with our values.”

When asked if there would be any personnel consequences, Sewing said only that he called the “colleagues” involved and discussed the incident with them.

“I assume in any case that the two colleagues will not forget my telephone call,” Sewing said, suggesting he gave them a tongue-lashing.

Deutsche Bank announced Sunday that it was shutting down its global stock trading business and slashing 18,000 positions in a massive restructuring to improve the troubled bank’s profitability.

Deutsche once sought to compete with large American banks on Wall Street, a strategy that began with its $10 billion acquisition of Bankers Trust in the late 1990s.

But the German bank’s aggressive and ambitious strategy to become a global power house ultimately backfired. Deutsche has been severely weakened by a series of costly scandals related to business practices in the run-up to the 2008 financial crisis as well as other alleged wrongdoing.

Deutsche reached a $7.2 billion settlement with the U.S. Justice Department in January 2017 for allegedly misleading investors in the sale of mortgage-backed securities. The bank was also slapped with a $630 million fine over allegations of Russian money laundering.

Those penalties came two years after the bank paid a $2.5 billion fine to U.S. and U.K. regulators for allegedly participating in a scheme to rig interest rates.

WATCH: DB wealth manager says morale positive despite job cuts


Company: cnbc, Activity: cnbc, Date: 2019-07-11  Authors: spencer kimball
Keywords: news, cnbc, companies, day, banks, layoffs, troubled, bank, having, deutsche, suits, christian, mass, fitted, ceo, sewing, german, billion, executives, london, reprimanded


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Deutsche Bank will exit global equities business and slash 18,000 jobs in sweeping overhaul

Deutsche Bank announced Sunday that it will pull out of global equities sales and trading, scale back investment banking and slash thousands of jobs as part of a sweeping restructuring plan to improve profitability. The bank aims to reduce adjusted costs by a quarter to 17 billion euros ($19 billion) over the next several years. The German bank’s decision to scale back investment banking comes just two days after investment banking chief Garth Ritchie stepped down by “mutual agreement.” Deutsche


Deutsche Bank announced Sunday that it will pull out of global equities sales and trading, scale back investment banking and slash thousands of jobs as part of a sweeping restructuring plan to improve profitability. The bank aims to reduce adjusted costs by a quarter to 17 billion euros ($19 billion) over the next several years. The German bank’s decision to scale back investment banking comes just two days after investment banking chief Garth Ritchie stepped down by “mutual agreement.” Deutsche
Deutsche Bank will exit global equities business and slash 18,000 jobs in sweeping overhaul Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-07  Authors: spencer kimball
Keywords: news, cnbc, companies, billion, equities, plan, investment, sweeping, euros, quarter, jobs, restructuring, overhaul, business, deutsche, bank, financial, global, slash, exit, banks, german


Deutsche Bank will exit global equities business and slash 18,000 jobs in sweeping overhaul

Deutsche Bank announced Sunday that it will pull out of global equities sales and trading, scale back investment banking and slash thousands of jobs as part of a sweeping restructuring plan to improve profitability.

Deutsche will cut 18,000 jobs for a global headcount of around 74,000 employees by 2022. The bank aims to reduce adjusted costs by a quarter to 17 billion euros ($19 billion) over the next several years.

The German bank’s decision to scale back investment banking comes just two days after investment banking chief Garth Ritchie stepped down by “mutual agreement.”

Deutsche expects its restructuring plan to cost 7.4 billion euros by the end of 2022. The German bank may report a net loss of 2.8 billion euros in the second quarter of 2019. It will release second quarter results on July 25.

Deutsche Bank’s supervisory board met on Sunday to hash out the restructuring plan. The bank’s CEO, Christian Sewing, had broadcast “tough cutbacks” during a shareholders’ meeting in May.

“Today we have announced the most fundamental transformation of Deutsche Bank in decades,” Sewing said Sunday in a corporate press release.

Deutsche had previously considered merging with rival Commerzbank to shore up its position, but merger talks collapsed in April. An industry source told CNBC that there wasn’t enough support for a merger within Deutsche.

The German lender once sought to compete with America’s big banks on Wall Street, but has been pummeled by scandals, investigations and massive fines stemming from the financial crisis and other issues in recent years.

Deutsche reached a $7.2 billion settlement with the U.S. Justice Department in January 2017 for allegedly misleading investors in the sale of mortgage-backed securities in the lead-up to the 2008 financial crisis. Weeks later, the bank was slapped with a $630 million fine over allegations of Russian money laundering.

Those penalties came two years after the bank paid a $2.5 billion fine to U.S. and U.K. regulators for allegedly participating in a scheme to rig interest rates.

Deutsche has come under renewed scrutiny in the U.S. over its business relationship with President Donald Trump. The House Intelligence and Financial Services Committees subpoenaed Deutsche in April for records on Trump’s finances.

Trump and his family sought to have that subpoena squashed in court, but a federal judge ruled the bank can turn over financial documents to House Democrats.


Company: cnbc, Activity: cnbc, Date: 2019-07-07  Authors: spencer kimball
Keywords: news, cnbc, companies, billion, equities, plan, investment, sweeping, euros, quarter, jobs, restructuring, overhaul, business, deutsche, bank, financial, global, slash, exit, banks, german


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The Merkel ally nominated for the EU’s top job is facing resistance

The German defense minister chosen to lead the European Commission, the EU’s executive arm, has received a mixed reception from European lawmakers. On Tuesday, the 28 EU leaders chose Ursula von der Leyen, an ally of German Chancellor Angela Merkel, to replace Jean-Claude Juncker at the helm of the Commission. It’s the EU institution in charge of overseeing fiscal policy, negotiating international trade deals and representing the different member states in Brexit talks. However, her appointment


The German defense minister chosen to lead the European Commission, the EU’s executive arm, has received a mixed reception from European lawmakers. On Tuesday, the 28 EU leaders chose Ursula von der Leyen, an ally of German Chancellor Angela Merkel, to replace Jean-Claude Juncker at the helm of the Commission. It’s the EU institution in charge of overseeing fiscal policy, negotiating international trade deals and representing the different member states in Brexit talks. However, her appointment
The Merkel ally nominated for the EU’s top job is facing resistance Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-03  Authors: silvia amaro
Keywords: news, cnbc, companies, ally, eu, von, german, parliament, facing, ursula, european, der, lawmakers, job, heinluoma, merkel, nominated, resistance, eus, leyen


The Merkel ally nominated for the EU's top job is facing resistance

The German defense minister chosen to lead the European Commission, the EU’s executive arm, has received a mixed reception from European lawmakers.

On Tuesday, the 28 EU leaders chose Ursula von der Leyen, an ally of German Chancellor Angela Merkel, to replace Jean-Claude Juncker at the helm of the Commission. It’s the EU institution in charge of overseeing fiscal policy, negotiating international trade deals and representing the different member states in Brexit talks.

However, her appointment needs the approval of the European Parliament before it becomes official. The directly-elected chamber, made up of 751 politicians, is due to vote on her appointment in the week beginning July 15, but a number of lawmakers have already raised their opposition. These include the Socialist group, the Green Party, and some conservative lawmakers from Germany. Together with the Euroskeptic parties at the EU, it’s unclear whether Von Der Leyen will be able to get the 376 votes needed.

“It will be very critical the discussion here in the parliament and it will be really important what Ursula von der Leyen will say during this two-week period,” Eero Heinäluoma, a lawmaker at the European Parliament, told CNBC Wednesday.

“If we can get some kind of political program for the next five years — that is something which members of parliament here are waiting (for),” Heinäluoma added.


Company: cnbc, Activity: cnbc, Date: 2019-07-03  Authors: silvia amaro
Keywords: news, cnbc, companies, ally, eu, von, german, parliament, facing, ursula, european, der, lawmakers, job, heinluoma, merkel, nominated, resistance, eus, leyen


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Adidas loses 3-stripes trade mark battle in Europe

The employee of Adidas Elisabeth Koelemij Peters, poses with a shoe of the German sportswear giant prior the shareholders meeting of the German sportswear giant Adidas. Sportswear giant Adidas lost another battle over its three-stripe branding on clothing, footwear and headgear. The General Court of the European Union confirmed Wednesday that the three parallel stripes applied in any direction is not a valid trade mark. “Adidas is disappointed with the recent ruling by the General Court to uphol


The employee of Adidas Elisabeth Koelemij Peters, poses with a shoe of the German sportswear giant prior the shareholders meeting of the German sportswear giant Adidas. Sportswear giant Adidas lost another battle over its three-stripe branding on clothing, footwear and headgear. The General Court of the European Union confirmed Wednesday that the three parallel stripes applied in any direction is not a valid trade mark. “Adidas is disappointed with the recent ruling by the General Court to uphol
Adidas loses 3-stripes trade mark battle in Europe Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-06-20  Authors: silvia amaro
Keywords: news, cnbc, companies, 3stripe, german, giant, applied, battle, court, europe, mark, loses, general, spokesperson, direction, 3stripes, adidas, trade


Adidas loses 3-stripes trade mark battle in Europe

The employee of Adidas Elisabeth Koelemij Peters, poses with a shoe of the German sportswear giant prior the shareholders meeting of the German sportswear giant Adidas.

Sportswear giant Adidas lost another battle over its three-stripe branding on clothing, footwear and headgear.

The General Court of the European Union confirmed Wednesday that the three parallel stripes applied in any direction is not a valid trade mark.

“Adidas does not prove that that mark has acquired, throughout the territory of the EU, distinctive character following the use which had been made of it,” the General Court said in its ruling.

This is not the first time that the German company has had to address challenges with regards to its logo. In 2014, the European Union Intellectual Property Office registered, in favour of Adidas, the three parallel equidistant stripes of identical width, applied on the product in any direction. However, in 2016, the same institution annulled that registration on the basis that it lacked a distinctive character – this came after an application from the Belgian undertaking, Shoe Branding Europe BVBA.

“Adidas is disappointed with the recent ruling by the General Court to uphold the cancellation of the company’s 3-Stripe mark applied to our products in whichever direction in Europe,” a spokesperson for Adidas told CNBC via email on Thursday.

The same spokesperson told CNBC that Adidas is considering its options.

“This ruling is limited to this particular execution of the 3-Stripe mark and does not impact on the broad scope of protection that adidas has on its well-known 3-Stripe mark in various forms in Europe. Whilst we are disappointed with the decision, we are further evaluating it and are welcoming the useful guidance that the Court will give us for protecting our 3-Stripe mark applied to our products in whichever direction in the future,” the spokesperson said.


Company: cnbc, Activity: cnbc, Date: 2019-06-20  Authors: silvia amaro
Keywords: news, cnbc, companies, 3stripe, german, giant, applied, battle, court, europe, mark, loses, general, spokesperson, direction, 3stripes, adidas, trade


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Germany should heed the call of its deeply worried business community

Speaking in German, the French official apparently struck a chord by pleading for a European response to American and Chinese challenges. After two years of constant prodding, Germany relented last Friday to approve the French project of a euro area budget. In the last two quarters, the beleaguered French government boosted public spending and wage growth to calm an ongoing public unrest. As a result, the rate of French economic growth during that period was double that in Germany. That could ha


Speaking in German, the French official apparently struck a chord by pleading for a European response to American and Chinese challenges. After two years of constant prodding, Germany relented last Friday to approve the French project of a euro area budget. In the last two quarters, the beleaguered French government boosted public spending and wage growth to calm an ongoing public unrest. As a result, the rate of French economic growth during that period was double that in Germany. That could ha
Germany should heed the call of its deeply worried business community Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-06-17  Authors: dr michael ivanovitch
Keywords: news, cnbc, companies, germany, deeply, worried, business, economic, german, growth, budget, public, france, heed, european, gdp, french, community


Germany should heed the call of its deeply worried business community

A worker at the Siemens gas turbine factory on January 8, 2010 in Berlin, Germany. Sean Gallup | Getty Images

Germany accounts for nearly 30% of a monetary union consisting of 19 European economies. That’s how dangerous it is to see the world’s fourth-largest economy stuck in a virtually stagnant quarterly pace during the 12 months to March. And here’s more: Measured at annual rates, the German economy at the beginning of this year was moving along at less than half the capacity of its potential and non-inflationary growth rate — a monumental waste of the country’s human and physical capital. The German business community is blaming the government for high corporate taxes (31% compared with a European average of 22%), high energy costs, inadequate digital infrastructure, lack of high-speed fiber optic connections in most of the country’s industrial parks, unclear economic and political orientations, and more.

Exports should not be the only way out

At their meeting earlier this month, the members of a powerful Federation of German Industries (Bundesverband der Deutschen Industrie – BDI) voiced their declining confidence in government policies at a time when they were facing increasing pressures from Chinese and American competitors. That’s what they told an uneasy audience of 1,500 people, headed by German Chancellor Angela Merkel and her economic and finance ministers. German businesses wanted no “national champions” and bureaucratic meddling. They asked for effective economic and financial policies to support small- and medium-sized companies — the country’s celebrated Mittelstand — that represent 99% of German companies, generate about three-quarters of all jobs, and account for more than half of the nation’s GDP. They probably knew they were asking far too much of a moribund governing coalition, trashed in recent European parliamentary elections and facing a certain demise if the wishes of 52% of German voters were met for new national elections. That should be an urgent consultation because, according to the latest opinion polls, Germany has a minority government with the center-right parties — Merkel’s Christian Democratic Union (CDU) and its sister party, Christian Social Union (CSU) — polling 24%. The junior coalition partner, Social Democrats, polled 13%. That was a gloomy business meeting in Berlin. But suddenly, and very curiously, people cheered up to give a standing ovation to the French Economy and Finance Minister, Bruno Le Maire. Speaking in German, the French official apparently struck a chord by pleading for a European response to American and Chinese challenges. France and Germany, he said, should act together in the spirit of “complementarity” rather than “rivalry” to stay ahead in emerging new areas of top technologies. The French were also pleased with a call for revival of a wobbly French-German partnership. After two years of constant prodding, Germany relented last Friday to approve the French project of a euro area budget. But instead of calling it a budget and agreeing to hundreds of billions of euros demanded by the French, Paris had to settle for the new “budgetary instrument for competitiveness and convergence” with only 17 billion euros ($19.08 billion) over a period of seven years. A Pyrrhic victory of sorts, because that will get new votes for the eurosceptic Marine Le Pen’s National Rally (RN) to see Paris acting as Berlin’s junior partner subservient to German interests.

France will pay

Yes, President Emmanuel Macron and Le Maire have nothing to cheer about watching the German confusion and disarray that will end up exacting a large cost in terms of French jobs and incomes. France and the rest of Europe — and, incidentally, the U.S., too — should have expected Germany to rev up its economy and buy more goods and services from its main trade partners. With a budget surplus of 1.7% of GDP, public debt of 60.9% of GDP, and a trade surplus on goods and services of 8% of GDP, Germany was supposed to lead the European (and global) economic recovery by stimulating its domestic spending and opening up its markets. But that won’t happen. As always, France, the rest of Europe and the U.S. will foot the bill of German economic revival as German companies step up their sales on external markets to survive. That’s called Germany’s export offensive – big time. Countries like France and the U.S., with a typically low political tolerance for weak economic growth, will suffer the most from the onslaught of German companies’ export sales. Washington can still do something to scare them off, but there is nothing that France can do in a perfectly functioning customs union with its neighbors across the Rhine river.

Here is an example of how that goes. In the last two quarters, the beleaguered French government boosted public spending and wage growth to calm an ongoing public unrest. As a result, the rate of French economic growth during that period was double that in Germany. Predictably, German exports to France picked up at an annual rate of 3% in the six months to April, after virtually no growth during 2018. No wonder German business leaders gave a standing ovation to the French finance minister. That could have sounded like an encouragement to keep up the good work by spending the money he did not have, and messing up the French public finances in the process. Germany will call him out on that later this year. Berlin, and its Brussels sidekicks, are just too busy now setting up Italy for penalties and disciplinary procedures for its excessive public debt and an intolerably high budget deficit of 2.4% of GDP – unless U.S. President Donald Trump tweets to save the day for his Roman friends. Bravely looking at a budget deficit increase of 77% in the first four months of the current fiscal year, Trump could probably scare the Germans with a tweet to lay off the struggling Italians.

Investment thoughts


Company: cnbc, Activity: cnbc, Date: 2019-06-17  Authors: dr michael ivanovitch
Keywords: news, cnbc, companies, germany, deeply, worried, business, economic, german, growth, budget, public, france, heed, european, gdp, french, community


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Bundesbank slashes German growth forecasts on industry’s plight

The Bundesbank slashed its growth projections for Germany on Friday, saying industrial groups in the euro zone’s biggest economy would suffer from weak demand through the rest of the year. Having been Europe’s engine of growth for years, Germany is now the biggest drag on the bloc, threatening to derail the euro zone’s long and protracted recovery from years of crisis as a global trade war exacerbates its troubles.


The Bundesbank slashed its growth projections for Germany on Friday, saying industrial groups in the euro zone’s biggest economy would suffer from weak demand through the rest of the year. Having been Europe’s engine of growth for years, Germany is now the biggest drag on the bloc, threatening to derail the euro zone’s long and protracted recovery from years of crisis as a global trade war exacerbates its troubles.
Bundesbank slashes German growth forecasts on industry’s plight Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-06-07
Keywords: news, cnbc, companies, weak, zones, bundesbank, trade, plight, troubles, yearhaving, war, industrys, germany, slashes, forecasts, euro, growth, biggest, german


Bundesbank slashes German growth forecasts on industry's plight

The Bundesbank slashed its growth projections for Germany on Friday, saying industrial groups in the euro zone’s biggest economy would suffer from weak demand through the rest of the year.

Having been Europe’s engine of growth for years, Germany is now the biggest drag on the bloc, threatening to derail the euro zone’s long and protracted recovery from years of crisis as a global trade war exacerbates its troubles.


Company: cnbc, Activity: cnbc, Date: 2019-06-07
Keywords: news, cnbc, companies, weak, zones, bundesbank, trade, plight, troubles, yearhaving, war, industrys, germany, slashes, forecasts, euro, growth, biggest, german


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All options are on the table for Brexit: German Marshall Fund

04:02 | 10:07 AM ET Tue, 21 May 2019


04:02 | 10:07 AM ET Tue, 21 May 2019
All options are on the table for Brexit: German Marshall Fund Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-06-05
Keywords: news, cnbc, companies, et, table, marshall, german, 0402, options, 2019, 21, 1007, brexit, fund


All options are on the table for Brexit: German Marshall Fund

04:02 | 10:07 AM ET Tue, 21 May 2019


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German data fails to lift euro from 1-week low

“The announcement of the increased trade tariffs has generated negative sentiment about global growth and that is exerting downward pressure on the euro despite the German data,” said Nikolay Markov, senior economist at Pictet Asset Management. “We expected the data to be worse than last month, but this is going to increase concerns about the state of the Chinese economy. The market will be very nervous and looking out for the PMI data,” said Commerzbank FX strategist Esther Maria Reichelt. The


“The announcement of the increased trade tariffs has generated negative sentiment about global growth and that is exerting downward pressure on the euro despite the German data,” said Nikolay Markov, senior economist at Pictet Asset Management. “We expected the data to be worse than last month, but this is going to increase concerns about the state of the Chinese economy. The market will be very nervous and looking out for the PMI data,” said Commerzbank FX strategist Esther Maria Reichelt. The
German data fails to lift euro from 1-week low Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-05-15
Keywords: news, cnbc, companies, beijing, german, 1week, aussie, trade, week, growth, low, fails, lift, currency, economy, data, chinese, euro


German data fails to lift euro from 1-week low

The euro held at a one-week low on Wednesday, ignoring data from Germany that showed the economy returned to growth in the first quarter, as trade tensions between the world’s two biggest economies cast a shadow over risk appetite.

The single currency has been caught in the cross-currents of an escalating dispute between Washington and Beijing since last week, unable to conclusively rise above the $1.1250 level.

“The announcement of the increased trade tariffs has generated negative sentiment about global growth and that is exerting downward pressure on the euro despite the German data,” said Nikolay Markov, senior economist at Pictet Asset Management.

U.S. President Donald Trump threatened higher tariffs on billions of dollars of Chinese imports last week, and Beijing responded with planned tariff hikes of its own on Monday.

The escalation in the trade dispute comes at a time when latest data from Germany showed the economy returned to growth in the March quarter as householders spent more freely and construction activity picked up.

The single currency was broadly steady at $1.1213 – just above a one-week low of $1.1197 hit in the Asian session and more than 3% below a 2019 high of nearly $1.16 in early January.

Germany’s economic figures were a sole bright indicator in an otherwise slate of dismal data.

China on Wednesday reported surprisingly weaker growth in retail sales and industrial output for April, adding pressure on Beijing to roll out more stimulus as the trade war with the United States rumbles on.

“We expected the data to be worse than last month, but this is going to increase concerns about the state of the Chinese economy. The market will be very nervous and looking out for the PMI data,” said Commerzbank FX strategist Esther Maria Reichelt.

The Aussie dollar dropped as low as $0.6922, its lowest level since Jan. 3 when a flash crash in the foreign exchange markets rocked major currencies.

Barring that level, the currency was at its weakest in three years and down 0.2% on the day.

The weak data gave further impetus to Aussie bears to add to their negative bets with net outstanding short positions still below 2019 highs of above $5.2 billion.

The Aussie is often seen as a proxy for Chinese growth because of Australia’s export-reliant economy and China being the country’s main destination for its commodities.

Domestic data added to the woes, with the pace of growth in Australian wages stagnating.

Neighbouring New Zealand saw its currency dip 0.1% to $0.6567.

The Chinese yuan itself was slightly improved on the day at 6.8993 per U.S. dollar, but still close to a five-month low hit on Tuesday.


Company: cnbc, Activity: cnbc, Date: 2019-05-15
Keywords: news, cnbc, companies, beijing, german, 1week, aussie, trade, week, growth, low, fails, lift, currency, economy, data, chinese, euro


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German prosecutors press charges against former VW CEO Winterkorn

Prosecutors in the German city of Braunschweig said on Monday they were pressing criminal charges against former Volkswagen Chief Executive Martin Winterkorn in connection with the carmaker’s manipulation of diesel emissions testing. Four other executives are being charged, the prosecutors office said in a statement. VW has had to recall hundreds of thousands of cars around the world since it admitted in Sept. 2015 to installing illegal software in diesel engines to cheat strict U.S. anti-pollut


Prosecutors in the German city of Braunschweig said on Monday they were pressing criminal charges against former Volkswagen Chief Executive Martin Winterkorn in connection with the carmaker’s manipulation of diesel emissions testing. Four other executives are being charged, the prosecutors office said in a statement. VW has had to recall hundreds of thousands of cars around the world since it admitted in Sept. 2015 to installing illegal software in diesel engines to cheat strict U.S. anti-pollut
German prosecutors press charges against former VW CEO Winterkorn Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-04-15  Authors: getty images
Keywords: news, cnbc, companies, press, ceo, thousands, tests, world, volkswagen, charges, testingfour, strict, statementvw, diesel, vw, german, prosecutors, winterkorn


German prosecutors press charges against former VW CEO Winterkorn

Prosecutors in the German city of Braunschweig said on Monday they were pressing criminal charges against former Volkswagen Chief Executive Martin Winterkorn in connection with the carmaker’s manipulation of diesel emissions testing.

Four other executives are being charged, the prosecutors office said in a statement.

VW has had to recall hundreds of thousands of cars around the world since it admitted in Sept. 2015 to installing illegal software in diesel engines to cheat strict U.S. anti-pollution tests.


Company: cnbc, Activity: cnbc, Date: 2019-04-15  Authors: getty images
Keywords: news, cnbc, companies, press, ceo, thousands, tests, world, volkswagen, charges, testingfour, strict, statementvw, diesel, vw, german, prosecutors, winterkorn


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