Squawk Box Europe Express

The U.S. House of Representatives votes along party lines to impeach Donald Trump for abuse of power and obstruction of Congress, making him the third president in history to be charged with the procedure. We analyse rate decisions from Japan and the UK, where central banks are expected to keep policy unchanged, while Sweden’s Riksbank is likely to finally abandon negative rates. The Queen prepares to re-open Parliament following last week’s general election with Brexit and the state of the NHS headlining Prime Minister Johnson’s new government agenda. And in U.S. corporate news, Micron Technology sees shares jump after the chipmaker beat quarterly estimates and hints a recovery is around the corner in 2020.

See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Flashing red… U.S. shipping and logistics giant Fed Ex sees shares slump after it issues its second profit warning in three months, citing ‘significant challenges’ in 2020. President Trump eyes a new trading partner as trade representative Robert Lighthizer says the U.S. wants to slash its trade deficit with Europe and may hike tariffs on EU goods. In currency news, sterling continues its slide against the dollar after Prime Minister Boris Johnson sets a December 2020 deadline for trade talks with Brussels, raising fresh fears of a cliff-edge Brexit. And, the boards of FCA Group and PSA greenlight a mega-merger which would create the world’s fourth-largest automaker.  

See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

News of a U.S.-China phase one trade deal continues to power a global rally as Wall Street hits fresh records and Asia shares scale 17-month highs. Boeing shares slide after the plane maker halts production of its troubled 737 Max model after U.S. regulators dash hopes of the plane returning to the skies this year. In currency news, sterling stumbles against the dollar on reports that the newly elected Johnson government will block moves to extend the Brexit transition beyond 2020, in a bid to accelerate an EU trade deal. And, following stress tests, the Bank of England gives all seven major UK lenders a clean bill of health, but tweaks the amount of capital lenders must hold in their coffers.   

See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Phase One Done… the U.S. and China officially agree on the initial stage of the trade agreement. CNBC’s Hadley Gamble is in Doha where she speaks exclusively to U.S. Treasury Secretary Steven Mnuchin who says the deal will be signed early next year. However, the news comes as China reports mixed manufacturing and property data for November, casting doubt over the health of the world’s second-largest economy. Following Friday’s thumping general election victory, UK Prime Minister Boris Johnson says he will be ramping up efforts to get his Brexit deal swiftly approved. And in Washington, President Trump faces a historic House impeachment vote later this week.

See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

“We pulled it off” … UK Prime Minister Boris Johnson hails a Conservative landslide victory – the party’s most significant electoral mandate since 1987. In the markets, sterling jumps by more than two per cent against the dollar on the news. Labour, however, are nursing their wounds after their worst performance at the polls for more than 80 years. Opposition leader Jeremy Corbyn has confirmed he will not stand in another election. In Brussels, EU leaders breathe a sigh of relief at the result, voicing hope it will usher in a new phase in deadlocked Brexit negotiations. CNBC learns that there is also movement in U.S.-China trade talks with a 'phase one' deal agreed in principle. Beijing has reportedly said it will buy $50bn of agricultural goods in return for President Trump suspending further tariffs.

See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Holding firm… after three cuts this year, the Federal Reserve leaves December’s rate unchanged. Chairman Jerome Powell says he needs to see ‘persistent and significant inflation’ before he'd be prompted to cut again any time soon. The focus shifts across the pond, with all eyes on new ECB president Christine Lagarde’s first policy decision later today. And President Trump is set to meet with his key trade officials to discuss fresh tariffs on China as Sunday’s deadline looms.

See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

The countdown is on! Investors eagerly await Saudi Aramco's mega IPO with shares set to start trading on the Tadawul, in the world's biggest listing ever. We are live with reaction from Riyadh, as the oil giant makes its debut at 32 riyals a share, valuing the company at $1.7tn. It’s a mixed picture for U.S. and Chinese stocks with the threat of fresh tariffs on Beijing just around the corner but the markets are now focused on the Federal Reserve’s rate decision due out later today. Swiss bank Credit Suisse cuts its profitability targets for this year and next, as it faces shareholders in its investor day, amid pressure from negative interest rates. With a day to go before the UK general election, sterling slides against the dollar after a new poll hints at a hung parliament. In Washington, Democrats formally publish two impeachment articles against President Trump, who becomes the fourth U.S. leader in history subject to such charges.

See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

The final countdown… Less than a day to go before the world’s largest ever IPO, the listing of Saudi Aramco. We hear exclusively from Saudi Arabian finance minister Mohammed Al-Jadaan who tells CNBC the kingdom is not running out of money, despite contending with falling oil prices, lower reserves, a widening deficit and the lower-than-expected size of the Aramco deal . We are live in Riyadh. Chinese consumer inflation reaches an eight-year high as an outbreak of African swine fever continues to drive pork prices up. Meanwhile, Chinese auto sales drive lower for a 17th straight month, as the world's largest car market continues to reel from slowing growth and the trade war with the U.S. In Paris, Russian President Vladimir Putin and Ukrainian President Volodomyr Zelensky have agreed on a ceasefire in renewed peace talks but have yet to bring the five-year-old Donbass conflict to an end. And in Washington, U.S. Democrats plan to introduce two impeachment articles against President Trump, accusing him of abuse of power and obstruction of Congress.

See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Losing steam…Asian stocks fail to match Wall Street’s Friday rally after a blow-out U.S. jobs print which saw the Dow Jones soar to a two-month high. Hundreds of thousands of pro-democracy protestors stage a huge rally in Hong Kong to peacefully mark six months of demonstrations against the Chinese government. The turmoil continues in France where strikes against a radical pension overhaul spill into a fifth day causing travel chaos nationwide. And focus remains on oil markets after Opec and its allies pledge to deepen production cuts. Saudi Arabia’s energy minister Prince Abdulaziz bin Salman tells CNBC in a First On interview that the timing of the move has nothing to do with the listing of Saudi Aramco, as the kingdom prepares to stage the largest IPO in history. And in the UK, polls place Prime Minister Boris Johnson on track to win a Tory majority in this Thursday’s pivotal general election.  

See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

It’s a day of drama in Vienna as OPEC talks stretch into the night, as ministers consider deeper production cuts to balance the oil market. Saudi Aramco shares price at the top end of the range to raise a record 25 point 6 billion dollars in the world's largest ever IPO. But the valuation falls short of the Kingdom's 2 trillion dollar target. There’s optimism for the U.S.-China trade war as President Trump strikes an upbeat tone on the state of trade talks, but Beijing warns any interim deal must roll back existing tariffs.

See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.