Bayer shares lead DAX: up six percent after glyphosate ruling
Bayer shares surged around six percent to about 52 euros by midday, topping the DAX index. A Deutsche Bank analyst comment and the spin-off of the glyphosate business boosted the stock.
Category Economy
Economic news on companies, work, consumer issues, markets and developments in Germany and Europe.
Housing Reform Package: How the Coalition Wants to Lower Rents
CDU and SPD have agreed on a reform package for the housing market in the coalition committee. It aims at affordable new construction and blocking the socialization of private housing corporations in Berlin.
Tax Reform: Average Earners to Get 185 Euros More Net Annually
The German government has presented a new income tax reform plan that will relieve 83 percent of taxpayers, with costs of around ten billion euros and implementation planned by 2028.
Bayer spins off US glyphosate business into new subsidiary
Bayer has transferred its US glyphosate business to a newly created subsidiary called Ruveon, the company announced on Thursday. The move aims to better align the business with US market demands.
DAX opens above 25,000 points – US labor market in focus
The DAX is expected to open slightly higher on Wednesday, holding above the 25,000-point mark. However, strong impulses are lacking, as Tagesschau reports, while US stock markets provided weak cues.
Bundesrat clears path for fuel price cap
The Economic Committee of the Bundesrat has cleared the way for state-imposed price caps on fuel, as reported by the Rheinische Post.
IPOs Despite Robust Stock Markets
In the first six months of the year, significantly fewer companies worldwide dared to go public. According to consulting firm EY, the number of IPOs fell by twelve percent compared to the same period last year.
Sweden: Shops Must Accept Cash Again
Sweden, a pioneer of the cashless society, now requires grocery stores and pharmacies to accept banknotes and coins again. The new law aims to ensure payment capability in crises and protect people without access to digital payments, according to dpa.
Eurozone Inflation Falls to 2.8 Percent in June
Inflation in the eurozone fell to 2.8 percent in June, according to Eurostat, below expert expectations.
German companies shift jobs and investments abroad
An exclusive survey reveals that 60 percent of German companies plan to cut jobs at home and relocate production abroad by 2030.
US Government Lifts Export Controls on Anthropic AI Models
The US government has lifted export restrictions on Anthropic's AI models 'Mythos 5' and 'Fable 5'. The company announced it will restore access to the models.
Russia’s Economy in Crisis: High Interest Rates and Fuel Shortages
Russia's economy is in crisis due to high interest rates, Ukrainian attacks, and internet restrictions, according to a forecast by the Vienna Institute for International Economic Studies (wiiw). However, financing the war of aggression against Ukraine remains unaffected.
End of Fuel Discount: Chaos at German Gas Stations on Final Day
On the last day of the fuel discount, massive traffic disruptions occurred in North Rhine-Westphalia. Police had to direct traffic at several gas stations as drivers rushed to fill up on cheap fuel.
86 Percent of German SMEs Find Entrepreneurship Unattractive
A survey by Welt reveals that 86 percent of respondents consider entrepreneurship in Germany unattractive, with structural problems and a lack of trust in politics weighing heavily on the Mittelstand.
Deutsche Bahn must give competitors more space on the rails
Germany's Federal Network Agency wants to break the monopoly of Deutsche Bahn in long-distance rail travel. The state-owned company must hand over at least a quarter of capacity on heavily used routes to rivals. The draft regulation aims to lower ticket prices and improve quality for passengers.
German regulator wants to secure more rail slots for competitors
Germany's Federal Network Agency plans to ease market access for private long-distance rail operators such as Italo. According to Handelsblatt, Deutsche Bahn would be allowed to use only 60 to 75 percent of capacity on busy routes.
German Unemployment Drops Slightly in June – Nahles Sees Little Change
The number of unemployed people in Germany fell by 15,000 to 2.936 million in June, the Federal Employment Agency reported. The unemployment rate fell by 0.1 percentage points to 6.2 percent.
Ifo: Inflation pressure in Germany eases
Companies' price expectations fell for the second consecutive month in June, according to the Ifo Institute. This points to easing inflation, but there is no all-clear yet.
Portugal: Investors sue over years-long wait for Golden Visa
Investors are planning to take legal action against Portugal because their Golden Visa applications have been pending for years. A change to citizenship laws in early May has added to the frustration.
Fuel tax break ends: Current petrol prices in Germany
The fuel tax break on diesel and petrol ends on July 1. Currently, prices average €2.06 for Super E10 and €2.15 for diesel.
Pilots’ Union Cockpit Ryanair of Unfair Negotiation Tactics
The pilots' union Vereinigung Cockpit (VC) has accused Ryanair of using unfair methods in ongoing collective bargaining. Members of the negotiation committee were allegedly subjected to disciplinary measures to pressure them.
South Korea invests €569 billion in chip and AI industry
South Korea plans to invest €569 billion in semiconductor factories and AI data centers to cement its global leadership. Lee Jae-myung announced the mega-package in Seoul.
EU Commission reprimands Netherlands for favoring state railway
The EU Commission sees evidence that the Netherlands gives priority to its state railway on congested tracks. It calls for more fairness for other rail operators.
Airbus secures record €3 billion loan for technology and defense
The European Investment Bank (EIB) has granted Airbus a record loan of €3 billion to finance cutting-edge technology and defense solutions. It is the largest corporate loan the EIB has ever awarded to a single company.
DAX opens slightly higher as investors watch geopolitical tensions
The DAX rose 0.2 percent to 24,724 points at the start of trading on Monday. Investors are keeping an eye on developments in the Middle East and valuations in the tech sector.
Greenpeace Slams German Government for €11 Billion in Climate-Harming Subsidies
Environmental group Greenpeace has accused the German government of introducing €11 billion in environmentally harmful subsidies this year, including a fuel discount, commuter allowance, and an aviation tax break.
Greens Call for Regional Electricity Prices – Cheaper Power at Point of Generation
The German Greens are pushing for electricity to be cheaper where it is generated, according to a resolution passed at the party's small party congress in Sassnitz.
Federal Employment Agency: IT jobs secure despite AI – head warns against panic
The use of artificial intelligence is changing the labor market, but the head of the regional directorate of the Federal Employment Agency advises against scaremongering. Jobs in the IT sector still have a future, Markus Behrens told the German Press Agency.
Supermarkets cut prices for branded coffee
Germany's major food retailers are lowering prices for branded coffee by up to ten percent, according to a survey by the German Press Agency.
Anthropic unveils new index on AI’s impact on labor market
The AI company Anthropic has introduced a new index that measures how strongly various occupations are already affected by artificial intelligence. The index is called 'observed exposure'.
Industry complains about problems caused by railway construction sites
Construction sites and disruptions at Deutsche Bahn are causing increasing difficulties for the economy, Deutschlandfunk reports.
US government allows Anthropic to release AI model ‘Mythos 5’
The US government has lifted the block on Anthropic's AI model 'Mythos 5'. Commerce Secretary Lutnick said the company cooperated to address risks.
Cement consumption in Germany falls to pre-World War II levels
Cement consumption in Germany has dropped to levels not seen since before World War II, according to the head of the building materials industry association.
Record IPO in Uzbekistan Puts Focus on Capital Market Development
Uzbekistan's largest-ever initial public offering has raised more capital than all previous IPOs in the country combined, according to Euronews. The landmark deal shifts attention to how the nation will further develop its financial markets.
Heatwave Drives Up Electricity Prices
The heatwave in Germany is causing electricity prices to rise for companies on dynamic tariffs. In recent days, prices have temporarily exceeded 70 cents per kilowatt-hour.
Bosch: Stefan Hartung Steps Down as CEO
Stefan Hartung is leaving the Bosch Group at his own request on June 30. Christian Fischer will succeed him.
Galeria Secures Multi-Million Loan – Experts Skeptical
The struggling department store chain Galeria has secured a new multi-million euro loan, providing temporary relief. However, according to dpa, further cuts and store closures are looming – experts and unions view the situation with mixed feelings.
Labor market shrinks: Baby boomer retirement leaves gap
Germany's labor market is shrinking. According to the Institute for Employment Research (IAB), employment is declining because the baby boomer generation is retiring and too few young workers are coming in.
BaFin Zalando’s Annual Financial Statements for Errors
Germany's financial regulator BaFin is investigating Zalando's consolidated financial statements for the past year, suspecting the online fashion retailer may have violated accounting rules.
Ifo Barometer: German Companies Plan Biggest Job Cuts Corona
German companies are planning the largest wave of job cuts since the coronavirus pandemic, according to a report by the ifo Institute. The Munich-based institute's employment barometer fell to 92.3 points in June.