logo
European markets set to start the week on a negative note as tariff threat weighs

European markets set to start the week on a negative note as tariff threat weighs

CNBC4 days ago
Waterloo Bridge, in front of St. Paul's Cathedral, on March 24, 2025, in London, United Kingdom.
John Keeble | Getty Images News | Getty Images
Good morning from London, and welcome to CNBC's live blog covering all the action and business news in European financial markets on Monday.
Futures data from IG suggest a negative start to the new trading week for European bourses, with London's FTSE 100 seen opening 0.1% lower, France's CAC 40 down 0.3%, Germany's DAX down 0.4%, and Italy's FTSE MIB 0.35% lower.
European markets have been on tenterhooks since U.S. President Donald Trump announced earlier in July that he would impose a 30% tariff on goods imported from the EU starting Aug. 1. The EU has said it hopes to strike a trade deal before then but an agreement remains elusive.
On Sunday, U.S. Commerce Secretary Howard Lutnick called Aug. 1 the "hard deadline" for countries to start paying tariffs, although he also added that "nothing stops countries from talking to us after August 1."
— Holly Ellyatt
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Valeo shares slump as car parts supplier cuts sales forecast
Valeo shares slump as car parts supplier cuts sales forecast

Yahoo

time4 minutes ago

  • Yahoo

Valeo shares slump as car parts supplier cuts sales forecast

By Alessandro Parodi (Reuters) -Shares in Valeo fell over 16% in early Friday trading, after the French car parts supplier cut its annual sales forecast by at least 1 billion euros ($1.2 billion), blaming a weaker dollar and shrinking global car sales volumes. The designer and producer of driving assistance systems said late on Thursday it expected sales of around 20.5 billion euros this year, down from the 21.5-22.5 billion euros it forecast previously. As U.S. tariffs on foreign auto imports threaten carmakers' margins and sales volumes, Valeo CEO Christophe Périllat told analysts that the company would reap the benefits of a cost reduction programme. On Friday, Volkswagen, one of Valeo's largest customers, cut its full-year sales and profit margin forecasts in its first assessment of the damage from U.S. President Donald Trump's trade war. Volkswagen shares reversed early losses and were up over 2% by 0950 GMT, with a Metzler analyst pointing to CEO Oliver Blume's assessment that the performance of its Porsche and Audi brands could reach a low point this year and recover in 2026. Valeo shares had trimmed early losses to trade down 6.6% at the same time. Several European companies flagged currency risks in their quarterly reports, after Trump's April 2 tariff bombshell triggered market turmoil and sent the safe-haven dollar tumbling. ($1 = 0.8518 euros) Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data

Barcelona President announces Superleague-UEFA negotiations
Barcelona President announces Superleague-UEFA negotiations

Yahoo

time4 minutes ago

  • Yahoo

Barcelona President announces Superleague-UEFA negotiations

Barcelona President Joan Laporta has announced that the Superleague are in talks with UEFA to agree to reforms to the Champions League. An agreement would potentially see the Superleague project discarded, which remains comprised of Barcelona, Real Madrid and the organising firm A22. The Superleague had announced that they were intending on beginning the competition next month, and despite claiming buy-in from 60 teams out of 100 consulted, there appears to be no sign of an imminent competition being put together. Part of the reason may be that UEFA President Aleksander Ceferin and Laporta are in talks over changes to the Champions League which would see the 'necessity', as it has been termed by Real Madrid President Florentino Perez, reduced. 'I've always tried to play a role in building bridges between the Super League and UEFA,' Laporta told MD in an interview. 'We're now in a situation where the Superleague are in discussions with UEFA. Aleksander Ceferin appointed some people from UEFA to speak with representatives of the Super League. He also spoke with Bernd Reichart, CEO of the Superleague, and his entire team, which includes lawyers close to the clubs that are part of the Super League. And an agreement in principle is being reached based on three blocks.' Laporta noted that the area where the parties are closest to an agreement is on the adoption of The Superleague's proposed streaming platform, which would provide free access to content around the world. 'I see a lot of willingness on the part of the UEFA president. And I insist, Ceferin is a capable and trustworthy man, and we're working on that.' Superleague and UEFA could unite on new competition Laporta went on to explain that the idea was for the Superleague and UEFA to come to an agreement on a single competition, whereas previously the Superleague had been adamant they would form a breakaway that would cut out UEFA's involvemement. 'We've always been at the same point because when we arrived at the Super League, we said we wanted an open competition. We wanted meritocracy, and we're happy with the format that's most profitable for the clubs. Obviously, there's now the issue of governance on the table, which we'll see how it's managed with UEFA, but I think it should be managed in the ECA. And there, we're working on what I think we've wanted from the very beginning. We didn't want a confrontation; we wanted to improve European football as much as possible.' The two central issues have been control and money. The ECA (European Clubs Association) is a membership organisation ruled by Europe's richest clubs, which has a voice inside UEFA. Paris Saint-Germain President Nasser Al-Khelaifi is currently the president. Laporta went on to discuss the improved finances of the new Champions League format. 'Now, for example, the Champions League format has improved performance with 20% more revenue than the previous format. Everything can be improved; it's constantly evolving. We believe we can have an important voice in improving the format. UEFA isn't closed off to this issue. Regarding the platform, if it generates revenue as expected, we're talking about very substantial, very high revenue, and it would be for the good of football. I see that UEFA is opening up, and I see that we're opening up to reach an agreement.' Image via Mike Kireev/NurPhoto via Getty Images) Real Madrid are on board with negotiations The fiercest criticism of UEFA and the Champions League has come from Real Madrid and President Florentino Perez, who have accused the governing body of European football of stealing some of the club's income, and acting against Real Madrid's interests. Yet Laporta says Los Blancos are part of the talks. 'We discussed this at the Super League headquarters, and obviously we're all on the same page. Perhaps we, having not clashed so head-on, find it easier to deal with UEFA. But we're working in lockstep on this. What we want is for an agreement to be reached that satisfies all parties.'

US Gulf refiners seek MidEast, S.American oil to offset Venezuela, Mexico losses
US Gulf refiners seek MidEast, S.American oil to offset Venezuela, Mexico losses

Yahoo

time4 minutes ago

  • Yahoo

US Gulf refiners seek MidEast, S.American oil to offset Venezuela, Mexico losses

By Arathy Somasekhar HOUSTON (Reuters) -U.S. Gulf Coast refiners are snapping up higher volumes of Middle Eastern and South American crudes to offset the loss of Venezuelan and Mexican barrels, according to ship tracking data, a workaround solution that might be short-lived if the U.S. allows some sanctioned Venezuelan crude to return to the market. The shake-up in trade flows reflects a shortage of medium and heavy crude grades at the key Gulf Coast refining hub which has struggled in recent months to secure adequate supplies amid Mexican production and quality challenges, and Washington's pressure strategy on Venezuela's sanctioned energy industry. The U.S. Treasury Department in March revoked key licenses that allowed some companies to export Venezuelan oil and fuel to the U.S. after President Donald Trump criticized the OPEC nation's record on migration and democracy. However, the administration is now preparing to grant new authorizations to key partners of Venezuela's state-run PDVSA to allow them to operate with limitations, which could include oil swaps, five sources close to the matter said this week. The U.S. imported about 175,000 barrels per day (bpd) of Venezuelan crude on average this year before the licenses were revoked, accounting for about 16% of Gulf Coast oil imports, according to data from research firm Kpler. Meanwhile, imports of popular Mexican heavy grade Maya have fallen to 172,000 bpd so far in July, the lowest on record due to declining output and quality issues that have cut interest in the grade. To replace those volumes, Gulf Coast refiners are resorting to other South American producers such as Colombia, Brazil and Guyana, with imports in July reaching the highest in over five years. Shipments of heavy, high-sulfur crude from Colombia, including Castilla and Vasconia grades, more than doubled to 225,000 bpd so far in July, the highest monthly level in three years. In the same period, some refiners also stepped up imports of medium, lower sulfur, crudes from Guyana such as Unity Gold and Payara Gold to about 95,000 bpd, while heavy, high-sulfur oil from Brazil, including Peregrino, rose 58% to 57,000 bpd. Gulf Coast imports of oil from the Middle East, mainly Iraqi Qaiyarah, Kuwait's Eocene and Saudi Arabia's medium sour Arab Light, also ramped up sharply this month to 212,000 bpd, the highest since January. The bulk of the crude oil produced in the United States is light and low in sulfur, not ideal for refineries in the U.S. Gulf that typically prefer to process heavier oil. Switching to crude grades of vastly different characteristics can be operationally challenging and limit production, shrinking margins. If sanctioned Venezuelan oil returns to the U.S. market through the Washington-authorized swaps, many Gulf Coast refiners might again switch to their preferred heavy grades, which helps their margins.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store