BERLIN – The rail network is partly ailing, the result is unpunctual trains – Minister of Transport Volker Wissing WIESBADEN – German industry slightly expanded its production at the beginning of the second quarter. Total production rose by 0.3 percent in April compared to the previous month, as reported by the Federal Statistical Office in Wiesbaden on Wednesday. Bank economists had expected a clearer increase of 0.6 percent. However, the decline in March was not quite as sharp as initially feared. Instead of a setback of 3.4 percent, the new figures show a minus of 2.1 percent.
ECB Director Schnabel: There is still a lot to be done in the fight against inflation
FRANKFURT – ECB Executive Board member Isabel Schnabel sees no end to interest rate hikes in the fight against high inflation. “We need to see convincing evidence that inflation is returning to our two percent target in a sustainable and timely manner. We have not reached that point yet,” Schnabel told the Belgian daily De Tijd in an interview conducted at the end of May was released on Wednesday.
Canada’s central bank surprisingly raises interest rates
OTTAWA – Canada’s central bank has raised interest rates. The Bank of Canada announced on Wednesday in Ottawa that the key interest rate would be increased by 0.25 percentage points to 4.75 percent. Experts, on the other hand, had mainly expected the key interest rate to remain unchanged. The Canadian central bank last increased its key interest rate in January, but has not touched interest rates since then.
ROUNDUP 2: Wissing wants to promote investments in rail
BERLIN – The rail network is partly ailing, the result is unpunctual trains – Minister of Transport Volker Wissing (FDP) now wants to promote investments in rail. Specifically, the federal government should be given more leeway in financing the infrastructure. This provides for an amendment to the so-called Federal Railway Extension Act. The Federal Cabinet launched a corresponding bill on Wednesday.
USA: Trade balance with significantly higher deficit
WASHINGTON – The US foreign trade deficit widened sharply in April. In the previous month, it rose by 14.0 billion or 23.0 percent to 74.6 billion US dollars, as announced by the Commerce Department in Washington on Wednesday. Analysts had tended to expect the development, but on average expected a slightly higher deficit. Decisive for the increase were both declining exports and increased imports.
ROUNDUP: OECD sees slow global economic recovery – Germany weak
PARIS – The industrialized nations organization OECD sees the global economy on a slow recovery course, but the outlook for Germany remains cautious. The economy is expected to stagnate here this year and grow by 1.3 percent in 2024, the Organization for Economic Cooperation and Development (OECD) announced in Paris on Wednesday. High inflation is reducing income and savings, which is dampening private consumption. The export business is providing the decisive impetus for the economic revival: the supply chains are relaxing and the order backlog is high.
ROUNDUP 2/ Setback for China’s growth: exports plummeted unexpectedly
BEIJING – Weak global demand has caused China’s exports to plummet unexpectedly. Exports in May fell by 7.5 percent in US dollars compared to the same period last year, as reported by the customs administration in Beijing on Wednesday. The difference was particularly sharp compared to the previous month, when an increase of 8.5 percent was recorded. The surprisingly significant decline in foreign trade is raising new concerns about the hoped-for economic recovery in the second-largest economy.
ROUNDUP/IEA: More energy efficiency needed to achieve climate targets
VERSAILLES – According to the International Energy Agency (IEA), progress in energy efficiency must be doubled by 2030 in order to achieve the climate targets. In this way, the goal of limiting global warming to 1.5 degrees can be kept within reach while at the same time making the energy supply safer and more affordable, the IEA announced on Wednesday at a conference in Versailles. Accordingly, an increase in annual progress in energy efficiency from today’s 2.2 percent to over 4 percent by 2030 could lead to a decisive reduction in greenhouse gas emissions.
Better consumer protection in the EU for online financial services
BRUSSELS – Consumers in the EU are to be better protected in the future when buying financial services on the Internet. Representatives of the European Parliament and the EU countries agreed in Brussels on new rules for the online conclusion of insurance, for example, as can be seen from a statement by the countries late Tuesday evening. Accordingly, consumer protection will be improved, and equal competitive conditions will be created for providers of financial services. The new regulations also include contracts that are concluded over the phone, for example.
HWWI expects economic output to decline this year
HAMBURG – The Hamburg Institute for World Economics (HWWI) expects a decline in economic output of 0.5 percent in Germany this year. The economy could only grow noticeably again next year at 1.25 percent, as the HWWI announced on Wednesday in its economic forecast. However, the prerequisites for this are no further tightening of monetary policy or geopolitical uncertainties.
EU Commission: Green and digital spending priority in budget 2024
BRUSSELS – According to a first draft by the EU Commission, the European Community budget for the coming year should total almost 190 billion euros. In addition, there are likely to be around 113 billion euros in grants from the Corona development fund, as the commission announced on Wednesday. “The EU budget continues to give Europe the means to meet current and future challenges,” said Budget Commissioner Johannes Hahn. Green and digital spending will therefore continue to be a priority. However, like national budgets, the EU budget faces increasing costs, while the need for funding is not decreasing.
Customer note:
ROUNDUP: You are reading a summary in the business cycle overview. There are several reports on the dpa-AFX news service on this subject.
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2023-06-07 15:11:15
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