Today's news headlines:
‘Europe cuts gas demand by a quarter to shed reliance on Russia’. Data from ISCS has shown that European countries have managed to curb their gas demand by almost a quarter in November as the EU attempts to cut back on its reliance on gas and oil from Russia since Moscow’s invasion of Ukraine at the beginning of the year. Provisional data shows that gas demand in the EU was 24% below the five-year average, helped largely by an unusually warm autumn dampening demand. Industry experts have warned, however, that unless demand declines further, gas shortages could remain prevalent in Europe for years. (Financial Times)
‘Chinese cities ease Covid restrictions following nationwide protests’. After weeks of public discontent and protests, cities in China have begun loosening their zero-Covid restrictions over the weekend. Shanghai and Shenzhen have now scrapped the requirement for PCR tests to be presented on public transport and some areas of Beijing are opting for quarantining at home, rather than a government facility, following a positive test. Despite over 31,000 new nationwide infections on Sunday, confidence is rising that Beijing could ditch the policy altogether and reopen the Chinese economy. (Financial Times)
Markets are trading cautiously ahead of European PMI data releases throughout the day, which will be the main talking point for the common currency, as we are set to get an insight into the services industry across the EU. Unsurprisingly, Asian stocks opened in the green this morning after a number of Chinese cities joined Shanghai and Beijing in the relaxation of some movement and quarantine measures.
Eurozone Final Services PMI: 48.5 vs 48.6 previously
Eurozone Sentix Investor Confidence: -21 vs -30.9 previously
UK Final Services PMI: 48.8 vs 48.8 previously
US ISM Services PMI: 3:00PM
Eurogroup meetings: All Day
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