ENHL: Strabag consortium to reconstruct Republic Square, Energoprojekt failed to take a job
The consortium around the Austrian company Strabag has won the tender for the reconstruction of the Republic Square in Belgrade. The job is worth more than RSD 900 million, and Strabag offered the price of RSD 768.26 million without VAT. The decision on the awarding of the contract was signed on July 9, and the group of companies around Energoprojekt (ENHL), which failed to get the job, is given ten days to file a complaint. If everything goes according to plan, the works might start in early July.
NBS: NBS FX reserves in June arrived at EUR 11.1bn
NBS FX reserves stood at EUR 11.1bn at end-June, up by EUR 221.1m from end-May. This level of FX reserves covered 195% of money supply (M1) or more than five months’ worth of the country’s imports of goods and services (almost twice the level prescribed by the standard on the adequate level of coverage of the imports of goods and services by FX reserves). The June increase in gross FX reserves is attributable chiefly to the inflows from NBS interventions in the domestic FX market (purchase of EUR 320.0m from banks). An additional boost to reserves came from net inflows in respect of donations, FX reserves management and other grounds (EUR 76.7m total).
Bankruptcy proceedings, then sale of Azotara
Serbian Minister of Mining and Energy Aleksandar Antic stated that after the bankruptcy proceedings are carried out, Azotara Pancevo would be put up for sale in line with the law. According to him, this will enable potential new owners to relaunch the production in a more efficient way and without being burdened with old debts.
UK to boost funding to Western Balkans
The UK government plans to increase funding to the Western Balkans to 80 million pounds ($106.1 million/90.6 million euro) in 2020/2021 from 41 million pounds in 2018/2019, prime minister Theresa May said. The funding will help the region to address complex security challenges, particularly around serious and organised crime and drug smuggling, which in turn will help prevent illicit activity on the streets in the UK, May said on Tuesday, as quoted in a statement by the government.
Dow drops more than 200 points, snaps 4-day winning streak after US unveils new tariffs on Chinese goods, European markets close sharply lower on trade war concerns, Indivior slides 30%
Stocks closed sharply lower on Wednesday as a trade war between the U.S. and other major economies intensified, with the Trump administration unveiling new tariffs on Chinese goods. The Dow Jones Industrial Average fell 219.21 points to 24,700.45 with Caterpillar, DowDuPont and Chevron as the biggest decliners. The S&P 500 dropped 0.7 percent to 2,774.02 as energy plunged more than 2 percent. The Nasdaq Composite declined 0.6 percent to close at 7,716.61.
From the corporate side, shares of drug makers fell after Pfizer said it will postpone price increases after a conversation with the president. Pfizer fell 0.6 percent, while Biogen slipped 0.2 percent. Merck declined 0.6 percent.
American Airlines fell nearly 8.1 percent after the company trimmed its outlook for second-quarter revenue growth.
European shares closed sharply lower on Wednesday afternoon as U.S. authorities unveiled a new list of Chinese products that could see tariffs. The pan-European Stoxx 600 ended the day down by 1.2 percent, with all sectors in the red. Basic resources fell the furthest on the back of renewed trade war concerns and closed 3.3 percent lower. The oil and gas sector was 2.3 percent below the flat line.
British pharma firm Indivior dropped to the bottom of the index, off by 30 percent. The company warned its revenues might be dented and come below expectations. Burberry was 4 percent lower despite presenting no change to its 2019 guidance.