IMF fails to get government to hike price of electricity
Finance Minister Sinisa Mala confirmed on Tuesday that the issue of increasing the price of electricity in Serbia has been discussed with IMF representatives. However, he told a joint news conference in Belgrade, no agreement has been reached. According to him, the views of the government of Serbia and the IMF differ in this regard, both when it comes to justifying the move, and the amount of the possible price hike.
Serbia to buy 10 tons of gold by end-2019 – Reserves to increase to 50 tons in the next year
Serbia will increase its gold reserves from 20 to 30 tons by the end of the year, and then to 50 tons over the next year, Vecernje Novosti reports. The daily writes that this was practically determined after the meeting of Serbian President Aleksandar Vucic with the IMF delegation. According to Novosti's information, President Vucic initiated the topic, and the IMF representatives told him that they had nothing against Serbia buying gold, if it fit into the country's strategy of increasing foreign exchange reserves.
Construction of Fruska Gora Corridor to start in 2019?
Serbian Prime Minister Ana Brnabic talked to representatives of China Communications Construction Company (CCCC) about the projects the government is realizing with this company, which operates successfully in 157 countries of the world. As the government says in a press release, the prime minister emphasized that she was satisfied with the beginning of the construction of the Preljina-Pozega highway section and expressed her hope that the section of Corridor 11 from Surcin to Obrenovac would open by the end of the year. We will focus on having the works on the high-speed Novi Sad-Ruma section on the Fruska Gora Corridor begin in the final quarter of this year – she said.
Dow climbs nearly 200 points as tech shares gain after US eases Huawei restrictions; European stocks close higher as trade war offers reprieve; tech sector rallies
Stocks closed higher on Tuesday following news that the U.S. temporarily eased restrictions on Chinese telecom giant Huawei. The Dow Jones Industrial Average rose 197.43 points to 25,877.33 as Intel outperformed. The S&P 500 gained 0.9% to end the day at 2,864.36, with the tech sector jumping 1.2%. The Nasdaq Composite advanced 1.1% to 7,785.72.
Equities also got a boost from Boeing. Shares of the airplane maker rose 1.7% after U.S. aviation officials that a bird collision may have caused the 737 Max crash in March. The Commerce Department said Monday night it would allow Huawei to purchase American-made goods in order to maintain existing networks and provide software updates to existing Huawei handsets until Aug. 19.
Shares of chipmakers Micron Technology rose 3% while Xilinx gained 4.6%. Both Micron and Xilinx have Huawei as a customer. Qualcomm shares advanced 1.5%. Nvidia and Lam Research gained 2.2% and 1.8%, respectively.
European stocks closed higher Tuesday as tensions eased slightly in the escalating trade war between the U.S. and China. The pan-European STOXX 600 closed provisionally 0.5% higher, with most sectors in positive territory. Technology stocks led the gains with a 1.6% rise.
Monday saw markets close lower after a U.S. crackdown on Chinese telecommunications giant Huawei weighed on the technology sector. Major European chipmakers saw a sell-off with reports that Germany’s Infineon had suspended shipments to Huawei.