Business

The US Federal Reserve has opened the door to an interest rate hike and tapering of its emergency monetary stimulus. The central bank has warned, though, that the rising number of Covid-19 cases could impact economic growth. Christian Lawrence, Senior Markets Strategist at Rabobank New York, explains the impact on American households. Also on the show: Netflix seeks the golden ticket as it acquires the rights to late British author Roald Dahl's creations.

The troubled Chinese property developer Evergrande has said it will make a debt interest payment due on Thursday, worth around €30 million, but uncertainty remains over a second payment of more than €70 million, which is also due. Investor fears over how the company will manage its massive debts of over €250 million have been allayed by the company's announcement. Also today, we report on how the global timber shortage is affecting the French construction sector.

The ratings agency S&P has warned that Beijing is unlikely to intervene to rescue struggling Chinese property developer Evergrande, unless there was a risk of "far-reaching contagion" affecting other companies in the sector. The firm is facing two major interest payments this week and fears about its finances have rippled across global stock markets. Also today, we report on how French businesses are facing rising energy costs, as wholesale prices for gas have soared across Europe.

The tourism industry has welcomed the announcement that the US will ease travel restrictions for vaccinated tourists. The return of international travellers after 18 months of border closures will be a boost for the American economy. Also in the show: global stock markets slump amid concerns about Chinese property giant Evergrande, and UK energy prices soar.

Shares in the deeply-indebted Chinese property developer Evergrande fell again on Monday with crucial deadlines on interest payments approaching. Many worry a default could threaten the broader stability of China's financial system. Also, Lufthansa aims to raise €2.1 billion to help pay back a government bailout and Germany's leading candidates for chancellor face off over wages and tax policy in a televised debate.

US President Joe Biden is hoping to win support in Congress for a plan to boost spending on healthcare, education and infrastructure, paid for by tax hikes on corporations and the wealthiest Americans. But the plan's fate is far from certain. Also, IMF head Kristalina Georgieva rejects allegations that she altered a report at her previous job at the World Bank in order to appease China.

The French government is seeking to limit any financial hit to the company that signed a now-cancelled submarine deal with Australia. Hundreds of jobs could be at risk. Also in today's show: IMF chief Kristalina Georgieva denies allegations that she pressed World Bank staff to alter a report in a bid to avoid angering Beijing, and British retailer M&S is to close over half its stores in France by the end of the year.

The French shipbuilder Naval Group has described Australia's decision to cancel a multi-billion euro contract to build 12 submarines as a "major disappointment". The deal – first agreed in 2016 – has been the subject of debate in Australia for years over potential delays and rising costs. Naval Group is now in line for tens of millions of euros in compensation from Canberra for breaking the contract. Also today, we look at the latest worries over Chinese property developer Evergrande.

The EU has outlined a plan to boost its production of semiconductors. Global industries have been suffering from a shortage of the tiny chips, which are almost all produced in Asia. Also in the show: casinos in Macau are facing tighter regulation from Chinese authorities and Facebook is under scrutiny for knowingly causing harm to users.

In a bid to tackle soaring energy prices, Spain's government is to cut taxes on electricity and claw back billions of euros in what the prime minister has described as "excess profits". The cost to Spanish consumers has risen by 35 percent in the past year, as wholesale price rises have been passed on to households. Also today, we look at the situation of European economies ahead of the State of the Union address by Commission President Ursula von der Leyen.