Mixed results…Fed chief speaks…China trade rebound
UNDATED (AP) – European shares are mostly lower after a day of gains in Asia, as a decision by President Donald Trump looms on whether to pull out of the Iran nuclear deal. Futures point to a lower opening on Wall Street. Benchmark U.S. crude oil dropped nearly a dollar to fall below $70 per barrel. The dollar slipped against the yen and strengthened against the euro.
WASHINGTON (AP) – Federal Reserve Chairman Jerome Powell says moves by the Fed and other major central banks to raise interest rates after a long period of keeping them low should not be disruptive to the global economy. In remarks prepared for a financial conference in Zurich, Powell said that the role U.S. monetary policy plays in driving global financial conditions and capital flows is often exaggerated.
HONG KONG (AP) – China’s exports rebounded in April and its politically sensitive monthly trade surplus with the United States grew for the first time in five months at a time of escalating friction between Beijing and Washington over the imbalance. Data released Tuesday show exports jumped 21.5 percent from the same month the year before, bouncing back from a contraction the previous month thanks to resurgent global demand. Imports expanded 12.9 percent year-on-year in dollar terms, leaving the country’s global trade surplus for the month at $28.8 billion.
TOKYO (AP) – Japanese drugmaker Takeda has agreed to buy Shire for 46 billion pounds ($62.4 billion) in cash and stock, one of the biggest deals ever in the pharmaceuticals industry. The companies said Takeda will pay the equivalent of 49.01 pounds in cash and stock for each share of Shire, based on Takeda’s closing share price on April 23, the day before a preliminary deal was announced. Shire gives Takeda a larger presence in the U.S. and expertise in rare diseases.
LONDON (AP) – British Foreign Secretary Boris Johnson has attacked Prime Minister Theresa May’s plan for a customs partnership with the European Union after the U.K. leaves the bloc – the latest sign of dissent within her Cabinet. Johnson told the Daily Mail newspaper that the partnership idea was “crazy” and would create a “whole new web of bureaucracy.”