BRUSSELS (Reuters) – Euro zone leaders sought on Friday to bridge stark differences over how to avoid economic stagnation and deflation in the bloc, with Germany facing fresh calls to soften its budget rigor and spend more.
With a U.S.-style bond-buying plan by the European Central Bank off the table for now, the bloc has few options, leaving other euro zone leaders to tread a careful line between the opposing growth and austerity camps.
BRUSSELS (Reuters) – The European Union has ended a long-running telecoms row with China, the EU’s trade chief said on Monday, dropping a threat to levy punitive tariffs on Chinese telecoms exports and easing tensions between two of the world’s top trading powers.
As Reuters reported exclusively on Oct. 8, the deal struck between Brussels and Beijing sets out a framework for China to address EU concerns about subsidies to Huawei [HWT.UL], China’s No. 2 telecoms equipment maker, and its smaller rival ZTE.
BRUSSELS (Reuters) – Deflation hit five peripheral euro zone countries in September as inflation slipped to its lowest for five years and exports faltered, data on Thursday showed, offering little hope that the bloc will avoid its third recession in six years.
While consumer inflation at 0.3 percent was unchanged from Eurostat’s Sept. 30 estimate and met market expectations, Greece, Spain, Italy, Slovenia and Slovakia showed deflation in the month on persistently depressed household demand.
LUXEMBOURG (Reuters) – France faced renewed pressure from euro zone peers on Monday to tighten spending next year, amid a growing rift over its plans to flout European budget rules.
The dispute with France, the euro zone’s second-largest economy, over its planned budget, is an added problem for the bloc, which is hamstrung by political division while its economy is slowing.
LUXEMBOURG (Reuters) – France and Italy will keep pressure on Germany this week to use government money to revive the euro zone’s stagnating economy but in a sign of inertia, a promised list of projects to create growth will not be ready until December.
European finance ministers take the argument to Luxembourg on Monday for two days of talks following last week’s International Monetary Fund meetings in Washington. There, German Finance Minister Wolfgang Schaeuble ruled out “writing checks” for the euro zone.
BRUSSELS (Reuters) – China and the European Union are closing in on a deal to resolve a long-running telecoms dispute by the end of the month, people close to the matter say, potentially putting an end to one of the most divisive issues between the two big trade partners.
The EU’s trade chief is ready to drop an investigation into what Brussels says are illegal subsidies to Chinese makers of equipment for mobile telecom networks if China makes concessions.