ECB's Simkus Warns of Fragile Inflation Path Due to Euro, Energy
The rapid strengthening of the euro against the dollar and moves in energy prices following tensions in the Middle East could cause inflation to deviate again from the 2% target, the Lithuanian central-bank chief said Monday in an interview. The risk of undershooting is greater than overshooting, he said.
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CNBC
41 minutes ago
- CNBC
European markets set to open higher as traders assess global trade, economic outlook
General view of the City of London skyline, the capital's financial district, in October. Sopa Images | Lightrocket | Getty Images Welcome to CNBC's live blog covering all the action in European financial markets on Wednesday, as well as the latest regional and global business news, data and earnings. Futures data from IG suggests European markets will open higher, with London's FTSE looking set to open 0.2% higher at 8,804, Germany's DAX 0.4% higher at 23,803, France's CAC 40 up 0.5% at 7,702 and Italy's FTSE MIB up 0.6% at 39,841. The positive start expected in Europe comes as global markets assess the status of trade talks and the prospect of deals before U.S. President Donald Trump's 90-day reprieve from higher import duties expires on July 9. Traders are also digesting the latest comments from U.S. Federal Reserve Chair Jerome Powell, who said the central bank would have already cut interest rates if it weren't for U.S. President Donald Trump's tariff initiatives. Trump has repeatedly criticized Powell for the central bank's rate policy. U.S. stock futures were little changed overnight, after investors began the second half with a reduced appetite for technology stocks. Singapore stocks hit a record high overnight amid mixed trading in the Asia-Pacific region. — Holly Ellyatt European Central Bank President Christine Lagarde arriving for the morning session at the ECB Forum on Central Banking 2025 in Penha Longa Resort on July 1 in Sintra, Portugal. Horacio Villalobos | Corbis News | Getty Images European traders will be keeping an eye on more action from the European Central Bank forum in Sintra, Portugal, on Wednesday, with ECB President Christine Lagarde due to address policymakers today. CNBC has interviewed a number of central bank governors and officials at the forum, including ECB Chief Economist Philip Lane, Portugal's central bank Governor Mario Centeno and q It's widely expected that the ECB will lower its key rate, the deposit facility rate, in September, after data released Tuesday showed the euro zone inflation rate hit the central bank's 2% target. On the data front, unemployment figures are due from Spain, Italy and the wider European region. There are no major earnings reports in Europe on Wednesday. — Holly Ellyatt
Yahoo
an hour ago
- Yahoo
Manchester Airport to offer direct flights to 'best-kept secret' spot in 2026
and Jet2holidays have announced the launch of new flights and breaks from Manchester Airport in 2026. The companies are now offering services to La Palma from Manchester Airport next summer. As part of the expansion, the same destination will be offered from London Stansted, starting in winter 2026/2027. The new flying programme means two weekly services (Monday and Friday) will be on sale year-round from Manchester Airport to La Palma, starting from April 3, 2026. AVIAREPS describes La Palma as the Canary Islands' 'best-kept secret', sharing what visitors can expect on their next trip. It said: 'La Palma, known as 'La Isla Bonita', the beautiful island, is a UNESCO World Biosphere Reserve with 19 protected natural spots offering a memorable getaway with an adventurous twist. 'Holidaymakers can wander luscious woodlands paired with breathtaking sea views and follow this by enjoying a spot of stargazing under twinkling skies. 'Sleepy seaside villages and resorts like Los Cancajos and Puerto Naos offer black-sand beaches and peaceful promenades, while the capital Santa Cruz charms with its cobbled streets and colonial-style buildings. 'At the heart of the island, the volcanic landscape promises epic hikes and postcard-perfect panoramas. Holidaymakers will be able to book excursions too, to make their holiday extra special and see all the wonderful sights the island has to offer.' Raquel Rebollo, Minister of Tourism of the Cabildo of La Palma, said: 'The UK market is one of our priorities to open and attract to La Palma and we are delighted to have achieved this, thanks to great collaboration and hard work with Jet2 and other partners. 'One of the main goals of this administration is to open new doors and tap into new markets, such as the UK, and this announcement just shows how much potential there is to grow tourism on our island.' She added: 'The UK market is one of our priorities to open and attract to La Palma, which emphasises the importance of incorporating these new direct flight routes to the island. This will gain a niche of visitors that was a priority to give a direct access to La Palma. 'One of the main objectives we have pursued since the beginning of our mandate," Rebollo said, "is to broaden our horizons and enter new markets, such as the British market, which has a great potential for development and growth on our island.' Steve Heapy, CEO of and Jet2holidays, said: 'The launch of La Palma gives holidaymakers and independent travel agents the chance to enjoy everything this incredible island has to offer. 'We are delighted to be expanding our presence across the Canary Islands from London Stansted and Manchester Airports by adding this brand-new gateway to our portfolio, appealing to holidaymakers looking to explore the island's natural beauty. 'Offering customers and independent travel agents even more choice, we are also pleased to be adding a selection of hotels across scenic resorts, available to book now.' Manchester Airport is undergoing a huge transformation, with millions of pounds being used to make changes in the terminals. Recommended reading: Manchester Airport announces new transformation project for Terminal 3 Cheap last-minute summer holiday spots you can fly to from Manchester Airport Manchester Airport parking guide - find your best option for long and short stays Terminal 3 is among those seeing changes with the project set to remodel the terminal's entrance, security hall and departure lounge, giving passengers more space. It will also make way for new retailers and update the look and feel of the building. The Northern hub launched its ambitious transformation programme in 2015. It involves doubling the size of Terminal 2 and closing Terminal 1 – but now the airport has set out how it plans to use some of the space in Terminal 1 after it closes to expand the adjoining Terminal 3.
Yahoo
an hour ago
- Yahoo
Morning Bid: Markets sit tight for trade progress
A look at the day ahead in European and global markets from Ankur Banerjee Markets shrugged off the U.S. Senate passing President Donald Trump's "big, beautiful bill", with investor attention fixed to the path for U.S. interest rates and trade deals ahead of the United States' re-imposition of tariffs on July 9. Trump's tirade against the Federal Reserve and its Chair Jerome Powell to lower rates has stoked investor worries of the central bank's independence and credibility. It has also led to traders pricing in the possibility of early rate cuts. But Powell, at a central bank gathering in Portugal, reiterated that the Fed plans to "wait and learn more" about the impact of tariffs on inflation before lowering interest rates. That, along with relatively upbeat labour data on Tuesday, has left investors none the wiser about when the Fed would cut rates and watching out for Thursday's nonfarm payrolls data for cues. European stocks are set for a slightly higher open after a mixed Asian session, where Japan's Nikkei dropped 0.75% whereas Hong Kong's Hang Seng Index gained 0.75%. TARIFF DAY Trump's tax bill, which will add to the already enormous U.S. debt pile, slash taxes, reduce social safety net programs and boost military and immigration enforcement spending, now heads to the House of Representatives for possible final approval. Meanwhile, with the July 9 tariff day creeping closer, countries are scrambling to agree trade deals with the U.S. India is likely ink a deal whereas Japan is not, Trump said. All that has left markets in flux as we head into the second half of the year. The first half was dominated by relentless U.S. dollar selling as investors grappled with Trump's chaotic trade policies and looked for alternative places to park their money. The euro has had a blistering 2025 so far gaining 14% and perched at its highest level since September 2021, but whether it could replace the dollar as the world's reserve currency of choice is an open question. Central bankers gathered for an annual conference in the Portuguese resort of Sintra do not expect a major challenge to the dollar's status any time soon. "It's not going to happen just like that overnight. It never did historically," said European Central Bank President Christine Lagarde. "But there is clearly something that has been broken. Whether it is fixable, or whether it is going to continue to be broken - I think the jury's out." Key developments that could influence markets on Wednesday: Economic events: Euro zone unemployment rate for May, trade deal updates Trying to keep up with the latest tariff news? Our new daily news digest offers a rundown of the top market-moving headlines impacting global trade. Sign up for Tariff Watch here. (By Ankur Banerjee; Editing by Christopher Cushing) Sign in to access your portfolio
