The next four ships with 115 thousand tons of agricultural products left the ports of Chornomorsk and Pivdenny on Wednesday for Africa, Asia and Europe, the Ministry of Infrastructure of Ukraine reports.
“Four ships left the berths, including Magnum Fortune, which transports 51 thousand tons of Ukrainian wheat for Bangladesh, and Almeray with 32.4 thousand tons of corn for Libya,” the agency noted on Facebook.
In total, after the release of the first vessel with Ukrainian food, 5.4 million tons of agricultural products were exported, and the total number of vessels leaving Ukrainian ports for the countries of Asia, Europe and Africa reached 235.
The agency indicated that the day before, the most capacious vessel of the time of the initiative, the Capesize Maran Excellence, with 115,000 tons of grain, left the port of Pivdenny.
As reported, in Istanbul on July 22, with the participation of the UN, Ukraine, Turkey and Russia, two documents were signed on the creation of a corridor for the export of grain from three Ukrainian ports – Chornomorsk, Odessa and Pivdenny.
Equity markets in Western Europe fell sharply during trading on Wednesday, following the dynamics of the main stock indexes in the Asia-Pacific region.
The composite index of the largest companies in the Stoxx Europe 600 region fell by 1.69% by 12:30 pm to 381.66 points.
The British stock index FTSE 100 is down 1.57%, the German DAX – 1.6%, the French CAC 40 – 1.24%. Italian FTSE MIB loses 1.56%, Spanish IBEX 35 – 1.78%.
Asian stocks also fell heavily, with Hong Kong’s Hang Seng hitting a 13-year low.
Investors are still worried about forecasts of a global economic recession amid persistently high inflation and aggressive measures by the largest central banks to contain it.
The European Central Bank (ECB) will raise interest rates at the next few meetings, the head of the regulator, Christine Lagarde, said at an event in Frankfurt on Wednesday.
“We will do what we must, which is to keep raising interest rates at the next meetings,” Lagarde said. “Our main goal is price stability, and we must achieve it. If we do not achieve, then the economy will suffer even more.”
In early September, the ECB raised all three key interest rates by 75 basis points (bp) for the second time in a row. The base interest rate on loans was raised to 1.25% per annum, the rate on deposits – up to 0.75%, the rate on margin loans – up to 1.5%. Markets expect the European Central Bank to raise rates by another 75 bp in October.
Meanwhile, the leading indicator of consumer confidence in Germany, calculated by the research company GfK, updated a historical low in October. The value of the indicator fell to minus 42.5 points compared to minus 36.8 points in September. A record low is recorded following the results of the fourth month in a row.
Analysts on average predicted a less significant drop – to minus 39 points, according to Trading Economics.
The consumer confidence index in France in September fell to 79 points compared to 82 points a month earlier, data from the national statistical office Insee showed. As a result, its value coincided with the historical minimum, which was recorded in May 2013 and in July this year.
Experts on average expected a reduction of only 80 points.
German industrial group Thyssenkrupp AG plunged 12.1% to become one of the top three Stoxx 600 stocks. JPMorgan analysts affirmed the company’s underweight rating.
The shares of Norwegian fish companies SalMar ASA (-27.5%) and Mowi ASA (-19.2%) also fell most significantly.
Dutch supermarket operator Royal Ahold Delhaize NV is down 0.6%. The company’s Board of Directors intends to propose to shareholders that they reappoint CEO and Chairman of the Board Frans Müller for another term.
The capitalization of the British fashion house Burberry Group Plc is growing by 3.4%. The company’s chief creative officer, Riccardo Tisci, will retire at the end of September. He will be replaced by Daniel Lee.
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The State Oschadbank (Kyiv) put forward through the OpenMarket platform (SE “SETAM”) the right to conclude a financial leasing agreement for an enterprise in the village of Fanchikovo (Transcarpathian region), specializing in the canning of vegetables, fruits, and the production of canned fruits and vegetables.
According to a press release from the financial institution, the auction for the sale of the cannery owned by Oschadbank will be held on October 19 with a starting price of UAH 1.28 million.
According to the bank, Lot No. 517457 includes the right to conclude a financial leasing agreement for non-residential real estate with a total area of 14.77 thousand square meters. m and a lease agreement with the purchase of a land plot under the enterprise with a total area of 1.63 hectares.
It is specified that the winner of the auction receives the right to conclude a financial leasing agreement for the enterprise, the sale price of which (redemption value) is UAH 12.14 million. The buyer also needs to pay this amount in equal installments within 84 months from the date of the conclusion of the financial leasing agreement for the plant and the lease agreement for the land plot under it.
Oschadbank was founded in 1991. Its sole owner is the state.
According to the statistics of the National Bank, as of September 1, 2021, in terms of total assets, Oschadbank ranks second in the rating (UAH 254.54 billion) among 72 banks operating in the country.
The Chinese yuan fell against the dollar to its lowest level since 2008 amid signals from Beijing weakening support for the currency.
The yuan, which trades on the territory of mainland China, fell to 7.2235/$1 compared to 7.176/$1 at the close of the previous session. The value is at the lowest level in 14 years.
The People’s Bank of China (PBOC, the country’s central bank) signaled it was prepared to allow the yuan to weaken, setting a reference rate of 7.1107 yuan/$1, the lowest level in more than two years. The market rate of the yuan may deviate from the reference rate by no more than 2% in one direction or another during the session.
The offshore yuan (traded in Hong Kong) fell to a record low since the introduction of the separate trading system in 2010 and stands at 7.2298 yuan/$1 by 09:00 Moscow time against 7.1795 yuan/$1.
Meanwhile, the US dollar is actively growing against other currencies on Wednesday morning. The ICE-calculated index, which shows the dynamics of the dollar against six currencies (the euro, the Swiss franc, the yen, the Canadian dollar, the pound sterling and the Swedish krona), adds 0.38% in the course of trading. The broader WSJ Dollar is up 0.3%.
The EUR/USD pair is trading at $0.9564 as of 9:10 Moscow time, compared to $0.9596 at the close of the previous session.
The pound sterling depreciates in the course of trading to $1.0696 compared to $1.0734 the day before.
And only the yen slightly rises against the dollar and is 144.67 yen at 09:11 Moscow time against 144.81 yen following the results of the previous session.
Experts believe that the US currency will continue to strengthen against the background of the rapid tightening of monetary policy by the Federal Reserve System (FRS). In addition, the dollar is supported by a decrease in risk appetite in world markets.
A further increase in volatility in financial markets will help strengthen the dollar due to its status as a “safe haven” currency, said Carol Kong, an analyst for the CBA foreign exchange market.
Stock indices of the largest states of the Asia-Pacific region show a significant decline on Wednesday, while the value of the Hong Kong Hang Seng fell to its lowest level in more than 13 years.
Investors fear that aggressive measures by the Federal Reserve System aimed at curbing inflation could push the US economy into recession, according to Trading Economics. The American Standard & Poor’s 500 index dropped to a low of this year a day earlier.
The value of the Japanese index Nikkei 225 to 8:32 quarter decreased by 2%.
Nippon Sheet Glass Co., a glass manufacturer, was the drop leader. (-6.3%), automotive Mitsubishi Motors Corp. (-5.9%), transport Kawasaki Kisen Kaisha Ltd. (-5.4%).
In addition, the price of securities of investment and technology SoftBank Group (-2.8%), console manufacturer Nintendo (-2.3%), retailers J. Front Retailing Co. is declining. (-4.7%) and Fast Retailing Co. (-4.6%).
The leading economic index in Japan in July fell to a 2.5-year low (since January 2021) and amounted to 98.9 points compared to 100.3 points in the previous month.
The Chinese Shanghai Composite index fell by 1.3% by 08:37 Moscow time. The Hong Kong Hang Seng lost 2.7%, while the shares of all companies included in the calculation of the indicator show a decrease in value.
Among the leaders in the reduction of quotations on the Hong Kong Stock Exchange are securities of real estate developers Country Garden Holdings Co. (-11.1%) and Longfor Group Holdings Ltd. (-5.4%), automaker Geely (-6.1%),
solar panel manufacturer Xinyi Solar Holdings Ltd. (-5.7%).
Shares of Internet retailers Alibaba Group fell 2.2% and JD.com – 4.5%, Internet giant Tencent Holdings Ltd. – by 1.2%.
The South Korean index Kospi by 08:33 Moscow time fell by 2.8%.
Quotes of securities of one of the world’s largest manufacturers of chips and consumer electronics Samsung Electronics Co. dropped by 2.4%, automaker Hyundai Motor – by 4.3%.
KR Motors Co., a motorcycle and auto parts maker, was the leader of the increase, with prices soaring 30%.
The Australian S&P/ASX 200 has dropped 0.8% since the market opened.
Shares of the world’s largest mining company BHP traded at the close of the previous session, while the price of securities of another representative of the industry Rio Tinto decreased by 0.6%.
The capitalization of the oil company Santos fell by 1.7%.
Retail sales in Australia in August, according to preliminary data, rose by 0.6% compared to the previous month and reached a record 34.88 billion Australian dollars ($22.3 billion). The increase was noted for the eighth month in a row.
Analysts had expected an average less significant rise of 0.4%.
The Cabinet of Ministers of Ukraine has agreed on the signing of an agreement between the government of the country and the Food and Agriculture Organization of the United Nations (FAO) on the establishment of a project office in the country to provide it with technical and humanitarian assistance in the face of Russian military aggression.
As reported on the website of the Ministry of Economy of Ukraine on Tuesday, the Cabinet of Ministers on September 27 authorized First Vice Prime Minister – Minister of Economy Yulia Sviridenko to sign this agreement.
“Ukraine has long and fruitfully cooperated with the FAO, an organization whose mission is to fight hunger around the world. Our state has been and remains the breadbasket of Europe and the world, but because of the war unleashed by Russia, we already need help. FAO provides it, in in particular, by implementing jointly with the governments of the partner countries programs to support Ukrainian farmers,” Sviridenko was quoted as saying by the ministry.
It is specified that with the start of a full-scale invasion of the Russian Federation into Ukraine, FAO has updated a rapid response plan to help Ukrainian small and medium-sized farmers and agricultural producers. As of mid-August, the organization provided emergency assistance in the form of seed material and cash for 80,000 people in 13 regions of Ukraine.
In addition, FAO and the Government of Ukraine, with the financial support of Japan and Canada, are implementing projects to restore grain storage capacities in the warring country, which provide for the supply of equipment for loading and unloading grain, modular storage containers, etc. to Ukrainian farmers from 10 regions.
According to the Ministry of Economy, the implementation of a rapid response plan and a strategy to increase grain storage capacity in Ukraine will cost FAO and its partners a total of $180.4 million.
“The adoption of the Agreement and the creation of an FAO office in Ukraine will allow raising cooperation to a higher level … We expect closer coordination in matters of grain exports. Ukraine will continue to help countries where the issue of food is acute. In the future, cooperation will contribute to the growth of Ukrainian exports and the achievement of our the goal is to create an export-oriented economy with high added value,” Sviridenko summed up in the message of the Ministry of Economy.
FAO is a UN agency dedicated to ensuring world food security, improving nutrition and living standards in its member countries. The organization consists of 194 countries, Ukraine joined it in 2003.
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