Financial Highlights in Switzerland
Swiss Market Index: These are not good times for Swiss equity markets. Investors are restless and therefore are holding back. The focus is on the growing fears about recession and interest rate hikes. Everything together is slowing down the risk appetite of investors, according to the market.
Electricity/Gas: Many European countries are currently adjusting to the fact that the authorities will have to limit gas and electricity consumption in winter. The main reasons are the interruption of gas supply via the Nord Stream 1 from Russia to Germany and the dilapidated state of French nuclear power plants.
Financial Highlights in the World
CHINA: In August, exports grew just 7.1% year-on-year, significantly slower than July’s 18.0%, and less than the expected 12.8%. Imports grew 0.3%, also below the previous month’s value and the forecasts.
The export’s weakness maybe is due to the recent slowdown in the US an EU demand, but the slow economic growth is also due to Corona lockdowns and heat waves.
EUROPE: The GDP rate in Europe came higher than expected 0.7% in the second quarter of 2022. In the First Quarter, the rate was 0.5%. Even though of these numbers, many economists are expecting a recession in autumn and winter due to the energy crisis and high inflation.
Today, we will have the decision about the Interest Rate. Economists are expecting 0.75% rise.
GERMANY: The German government expects to receive “several billion” in extraordinary taxes on “profits exceeding a certain threshold from companies that do not have such high energy production costs”. According to the Chancellor, this amount will be used to help the population combat the sharp rise in the cost of living.
UK: Liz Truss is Britain’s new prime minister. Truss is the third woman to lead the British government, after Margaret Thatcher and Theresa May. Truss has promised tax cuts and announced that one of her first actions will be to present a plan to deal with the energy crisis.
Financial Highlights in Swiss Companies
Migros is launching CoffeeB, the world’s first coffee capsule system on the market that does not require any capsules made of plastic or aluminium. The balls are made of pressed coffee, which is coated by a protective layer that is completely compostable, Migros announced on Tuesday. “By eliminating the aluminum or plastic capsules, enormous amounts of waste can be avoided,” it was added.
This is also is a challenge to coffee capsule competitors such as Nespresso and Co.: Migros said that “the innovation promises to radically change the coffee industry”.
