German Archives - Zxcoachoutlet

German economy may return to pre-crisis levels in early 2022: Finance Minister

October 13, 2020

BERLIN (Reuters) – The latest economic data provide hope that Germany’s economy can return to pre-crisis levels in early 2022, Finance Minister Olaf Scholz said on Tuesday.

a group of police officers riding on the back of a car: FILE PHOTO: VW re-starts Europe's largest car factory after coronavirus shutdown

© Reuters/POOL New
FILE PHOTO: VW re-starts Europe’s largest car factory after coronavirus shutdown

Germany’s rising level of government debt is not a problem because the country can tackle the situation with “good growth”, Scholz told TV station CNBC in an interview.

Scholz rejected concerns that state aid was artificially keeping alive companies that were in financial troubles in the wake of the crisis caused by the coronavirus pandemic.

Olaf Scholz wearing a suit and tie smiling and looking at the camera: German Finance Minister Scholz and Justice Minister Lambrecht hold news conference in Berlin

© Reuters/HANNIBAL HANSCHKE
German Finance Minister Scholz and Justice Minister Lambrecht hold news conference in Berlin

Germany’s government has taken steps such as allowing firms to delay bankruptcy filings until the end of the year, extended from an original deadline of end-September.

Helped by these measures, the number of firms declaring insolvency in Germany

Dip in German industrial output casts doubt on strength of recovery

October 7, 2020

| No Comments

| business

BERLIN (Reuters) – German industrial output edged down in August following three months of relatively strong increases, suggesting the recovery in Europe’s largest economy from the coronavirus shock is starting to lose steam.

Industrial output fell by 0.2% on the month after an upwardly revised rise of 1.4% in July and a jump of 9.3% in June, figures released by the Federal Statistics Office on Wednesday showed. A Reuters poll had forecast an increase of 1.5% for August.

Factories churned out fewer capital goods and consumer goods, with the slump particularly deep in vehicle production.

“At least a part of the fall in car output was due to more companies implementing their summer shutdowns in August this year,” Andrew Kenningham from Capital Economics said.

This one-off effect coupled with rising orders and upbeat sentiment surveys could suggest that industrial output will rise again in coming months, albeit at a probably

German debt price up on weaker data; Italian 10-year yield hits 1-year low

October 7, 2020

| No Comments

| business

By Olga Cotaga

LONDON, Oct 7 (Reuters) – The price for benchmark German debt increased on Wednesday after German industrial output unexpectedly slipped in August, suggesting the recovery in Europe’s largest economy from the coronavirus shock could be weaker than hoped.

German 10-year yields fell 1.6 basis points to -0.52% DE10YT=RR after inching to a two-week high on Tuesday.

The day before, the gap between German and U.S. 10-year yields US10DE10=RR widened to its largest since March as U.S. yields rose. They gave back those gains after President Donald Trump on Tuesday abruptly cancelled talks in Washington over coronavirus aid.

For the Italian 10-year government bond, the yield fell to its lowest in more than a year at 0.765% IT10YT=RR as traders expected more monetary policy stimulus from eurozone’s central bank. It last traded down 1.6 bps.

On Friday, the Italian 10-year BTP yield fell to a record low

German Industrial Orders Rose at a ‘Remarkable Pace’ in August | Investing News

October 6, 2020

| No Comments

| business

BERLIN (Reuters) – Orders for German-made goods rose 4.5% in August, more than expected, boosting hopes for a robust third-quarter in Europe’s largest economy after the coronavirus shock.

The increases were driven by demand from the euro zone, the Federal Statistics Office said on Tuesday, suggesting companies are making good progress back to pre-crisis levels. A Reuters forecast had predicted a 2.6% gain on the previous month.

“The catch-up process for new industry orders is continuing at a remarkable pace,” the economy ministry said in a statement.

Order intake was now only 3.6% lower than in February, before lockdown measures were imposed to slow the spread of the coronavirus, the office said.

Economists applauded the strong data, but cautioned that rising infection rates across Europe were increasing the risk of setbacks.

“It is difficult to imagine how German manufacturing could escape another round of lockdown measures with important trading partners,”

Risk of Debt Shortage Seen Shaking German Bonds Out of Slumber

October 3, 2020

| No Comments

| business

(Bloomberg) —

German bonds look set to face a more volatile end to the year after seeing the narrowest quarterly trading range ever.

An increasing shortage of bunds amid slowing government debt sales and continued purchases by the European Central Bank could push benchmark yields below recent ranges in the fourth quarter, according to Citigroup Inc. Strategists at the bank see the German 10-year yield falling to minus 0.6%, compared with the third-quarter average of minus 0.47%.

Uncertainty over the November U.S. election and a resurgence of the coronavirus should spur haven buying of bunds, adding downward pressure on yields, according to Citi.

chart: Germany's benchmark yield is set to fall to -0.6%, says Citigroup

© Bloomberg
Germany’s benchmark yield is set to fall to -0.6%, says Citigroup

Strategists Jamie Searle and Aman Bansal estimate monthly debt issuance this quarter by the German finance agency will average 10 billion euros ($12 billion), about 60% less versus the April-September period. That, coupled with

German Cases Jump; Israel Sees Record Infections: Virus Update

October 1, 2020

| No Comments

| business

(Bloomberg) — Global coronavirus cases approached 34 million, with Germany reporting the highest number of infections since April amid a resurgence in Europe. Israel saw a record 8,919 new cases after a dip in numbers over the holiday weekend.

Load Error

European regulators are set to start an accelerated review of AstraZeneca Plc’s Covid-19 vaccine, even as the U.S. Food and Drug Administration is reported to have widened its investigation into a trial participant who fell ill.

U.S. carriers American Airlines Group Inc. and United Airlines Holdings Inc. will start laying off a combined 32,000 workers as they contend with the unprecedented collapse in travel demand. The Centers for Disease Control and Prevention extended a ban on cruises in the U.S., saying further action is needed before cruises can safely resume.

Key Developments:

Global Tracker: Cases top 33.9 million; deaths exceed 1 millionEuropean regulators are said to speed review of

German finance minister defends record debt to continue fiscal splurge in pandemic

September 29, 2020

| No Comments

| finance

By Michael Nienaber

Olaf Scholz in a suit sitting at a desk: German Finance Minister Olaf Scholz attends a session of the Bundestag, in Berlin

© Reuters/HANNIBAL HANSCHKE
German Finance Minister Olaf Scholz attends a session of the Bundestag, in Berlin

BERLIN (Reuters) – German Finance Minister Olaf Scholz said on Tuesday he would persist with heavy spending to help Europe’s largest economy recover from the coronavirus pandemic as rescue and stimulus measures push debt to its highest level on record.

Load Error

Speaking to lawmakers to present his draft budget for 2021, he said the government would continue to help companies and consumers by expanding job protection schemes and would keep public investments high.

“With the investments of this budget, we’re pushing the door further open for the future of our country,” Scholz said.

He defended the draft budget, which envisages net new debt of 96.2 billion euros ($112.45 billion) to finance further measures to tackle the coronavirus crisis.

“That’s a lot, a lot of money,” Scholz said, but added that

German minister says debt won’t reach financial crisis level

September 29, 2020

| No Comments

| business

BERLIN (AP) — Germany’s debt load won’t reach the level it did in the financial crisis a decade ago as a result of the coronavirus pandemic, the finance minister said Tuesday, and it will still look better than that of Germany’s peers in the Group of Seven did before the virus outbreak.

Olaf Scholz was presenting to parliament a draft 2021 budget that foresees significant borrowing for the second consecutive year as Germany, Europe’s biggest economy, works to limit the economic fallout of efforts to contain COVID-19.

The crisis has derailed the government’s dedication to keeping its budget balanced, long a point of pride. After six years in the black, it is borrowing a net 217.8 billion euros ($253.7 billion) this year to finance rescue and stimulus packages and cover an expected shortfall in tax revenue. Next year, it plans to borrow a further 96.2 billion euros.

“If we didn’t