FDI into Serbia rises 31% y/y in H1
The inflow of foreign direct investment (FDI) into Serbia rose 31% on the year to 1.9 billion euro ($2.1 billion) in the first half of 2019, finance minister Sinisa Mali has said. “We are advancing at double-digit rates. The Financial Times confirmed that we are record-holders in terms of FDI inflow, this trend is continuing and there is no reason why this year we will not be champions too,” Mali said in a video file posted on the YouTube channel of private TV broadcaster Pink last week.
Bechtel-Enca consortium only bidder for construction of Morava Corridor
Only one bid, made by the Bechtel-Enca consortium, was sent in response to the public call for the selection of a strategic partner for the construction of the Morava Corridor. As said in a statement by the Ministry of Construction, Transport and Infrastructure, the task force for the selection of a strategic partner for the realization of the project of the construction of the infrastructural corridor of the E-761 highway, Pojate-Preljina section (the Morava Corridor), presided over by Minister Zorana Mihajlovic, has held its second session, during which the bids were opened.
Serbian June’s average net salary 53,633 dinars, 7.4% up
The average net monthly salary in Serbia was 53,633 dinars in June, rising 9 pct in nominal and 7.4 pct in real terms compared to the same month last year, the national statistical office RZS has announced in a statement. The June average gross salary was 74,009 dinars, rising 8.8 pct in nominal and 7.2 pct in real terms y-o-y.
Dow drops more than 100 points as bond-market recession indicator, trade worries worsen; European stocks close mostly higher as China considers relaxing auto restrictions
The Dow Jones Industrial Average more than erased a 155-point rally on Tuesday as a recession indicator from the bond market worsened and fears around the U.S.-China trade war weighed on equity trading. The Dow traded 83 points lower in afternoon trading, well off its highs north of 150 points hit earlier in the session. The S&P 500 fell 0.2% while the Nasdaq Composite dropped 0.25% amid losses in Netflix, Nvidia and T-Mobile.
The spread between the 10-year Treasury yield and the 2-year rate fell to negative 5 basis points, its lowest level since 2007. This is called a yield-curve inversion. Experts fear it because in the past it has preceded recessionary periods. The 3-month Treasury bill rate also traded higher than the 30-year bond yield.
Johnson & Johnson shares rose 1.9% after the company was forced to pay $572 million in an opioid case in Oklahoma. The fine was much less than what prosecutors were looking for.
European shares reversed course to close higher Tuesday after China’s State Council announced that it is considering relaxing and removing restrictions on auto purchases as part of a broad move to boost consumption. The pan-European Stoxx 600 finished 0.5% higher provisionally, with auto stocks receiving a boost from the Chinese announcement as almost every sector closed in positive territory. China also said it will encourage credit support for purchases of new energy vehicles and smart home appliances.
As for data, German GDP (gross domestic product) data showed Europe’s largest economy contracted on weaker exports in the second quarter, as trade disputes and waning foreign demand continued to weigh.