Economy

Middle East Crisis  Oil Market
Oil prices rise after new attacks

Oil prices rise as trading resumes after the weekend.

The United States attacked Iran on Sunday for the first time in a month, and Iran has responded with attacks on American bases in the Middle East, according to Iran's Revolutionary Guard.

Brent oil prices rose 2 percent on Monday morning and are now around $90 a barrel.

The future of the EU
German and French long-term interest rates at the highest level in 15 years

German and French long-term interest rates are at the highest level in more than 15 years, Reuters reports. The fact that the interest rate on government bonds with a long maturity is rising is a reflection of the fact that economic risks in the countries have increased.

In addition to the rising oil price, which could drive inflation, both countries are suffering from high spending. While Germany invests in defense and infrastructure, France enters difficult budget debates that risk leading to new large budget deficits. 

Volkswagen crisis
Union threat against VW: “There will be uprisings on all factory floors”

The German union IG Metall warns of massive resistance if Volkswagen tears up the previous agreement on the restructuring of the automotive giant, writes Reuters. The union and management have been in conflict since July over new measures that could include factory closures, spin-offs of operations and layoffs of another 50,000 employees.

“If the board tries to question this agreement again, there will be uprisings on the factory floors at all our plants,” Thorsten Gröger said at a meeting with employees at the plant in Hanover, which is threatened with closure, according to the news agency.

On Friday, Volkswagen’s board will meet to vote on three competing proposals for restructuring. 

The chip race
The chip race continues to squeeze Huawei's profits

The AI ​​race is squeezing Huawei's net profit, which fell by 36 percent in the first half of the year, compared to the same period last year.

Profit was mainly pressured by sharply increased investments in research and AI, while raw material costs rose, the company said.

Research and development costs increased by the equivalent of 34 billion kronor - clearly more than the loss of 19 billion kronor.

US sanctions limit Huawei's access to the most advanced chip equipment, which has prompted the company to develop its own solutions.

Wall Street opens lower after new attacks on Iran

US stock markets open lower on Monday after the US's new attacks on Iran this weekend and at 16:00 leading indices are down 0.4-0.6 percent.

Rising oil prices and market interest rates are pressuring the stock market. So is Federal Reserve Chairman Kevin Warsh's speech on Friday, which the market interprets as a signal that interest rates will be raised, international media reports.

Oil prices are rising nearly 3 percent, which as usual benefits the stock market's energy companies. Chevron, Exxon Mobil and Occidental Petroleum are all rising around 2 percent.

Electric and gas company PG&E is plummeting nearly 20 percent after politicians in California stopped a proposal that would limit how much damages individuals can seek from electric companies whose equipment has caused forest fires, writes CNBC.

Mem stock Gamestop rises 4 percent after publishing preliminary quarterly figures and giving a mixed revenue forecast.

Volvo rival Deere is also going against the grain after receiving a higher recommendation from analyst house Baird. The stock is up about 3 percent.

Oljepriserna stiger närmare 3 procent, vilket som vanligt gynnar börsens energibolag. Chevron, Exxon Mobil och Occidental Petroleum stiger alla kring 2 procent.