Stocks mixed…Brexit banks…Stockpiling helps shore British economy
BANGKOK (AP) – World shares were mixed Tuesday after a sell-off on Wall Street. But markets in China gained after the government set a 6-6.5 percent growth target for this year, suggesting strong government support for the economy. Futures point to some recovery om Wall Street. Benchmark U.S. crude fell to just above $56 per barrel. The dollar rose against the yen and the euro.
BRUSSELS (AP) – The central banks of the eurozone and Britain have agreed to activate a currency swap mechanism that would ensure British banks continue to have the access they need to euros, even during any market turmoil related to Brexit. The move seems to be an attempt to shore up the stability of British banks in the case of a “no-deal” Brexit, a scenario in which Britain could fall out of the European Union without a deal on trade relations. That could stress the financial system, and providing liquidity would be one way for the central banks to keep the financial sector going.
LONDON (AP) – A series of surveys indicate that the British economy held up in February in the face of Brexit uncertainties but that much of the growth was due to firms and consumers stockpiling in case the country crashes out of the European Union with no deal. A closely watched survey released Tuesday from financial information firm IHS Markit found the British economy recovered slightly, partly as a result of a “flurry of activity in many sectors” ahead of the country’s scheduled departure from the EU on March 29.
BRUSSELS (AP) – Chinese tech company Huawei on Tuesday opened a cybersecurity lab in Brussels, the heart of the European Union, as it tries to win over government leaders and fight back U.S. allegations that its equipment poses a national security risk. Company executives inaugurated the Huawei European Cybersecurity Center, which will allow the wireless companies that are its customers to review the source code running its network gear.
BRUSSELS (AP) – The European Union’s anti-trust regulator says it’s fining auto safety equipment suppliers Autoliv and TRW more than 368 million euros ($417 million) for stifling competition by running cartels. The European Commission said Tuesday that the two companies – along with a third, Takata – took part in cartels supplying car seatbelts, air bags and steering wheels to the Volkswagen and BMW groups. It says Takata avoided fines for blowing the whistle. All three acknowledged involvement and agreed to settle.