The US dollar rate was almost unchanged against the euro and the pound sterling on Friday morning, but demonstrated an active rise in pair with the yen on the results of the Bank of Japan meeting.
The ICE-calculated index showing the U.S. dollar’s performance against six currencies (euro, Swiss franc, yen, Canadian dollar, pound sterling and Swedish krona) was down less than 0.1% during this morning’s session. The broader WSJ Dollar Index was up less than 0.1%.
The euro/dollar pair is trading at $1.0589 as of 8:00 a.m., versus $1.0585 at the close of Thursday’s session.
The pound sterling is trading at $1.1925 versus $1.1924 at the close of last session.
Foreign exchange market participants took a wait-and-see attitude ahead of Friday’s publication of statistical data on the U.S. labor market.
The Labor Department report will be released at 3:30 p.m. and analysts polled by Trading Economics expect it to show the unemployment rate will remain at 3.4 percent and the number of jobs in the U.S. economy will climb by 205,000.
Strong labor market data could be an important argument for the Fed to raise interest rates by 50 basis points at the March meeting. The market generally expects just such a scenario, although last week’s consensus forecasts called for a hike of just 25 bps.
Meanwhile, the dollar-yen exchange rate rose 0.4% to 136.65 yen against 136.14 yen the day before.
On Friday, the Bank of Japan expectedly didn’t change the main parameters of the monetary policy on the results of the meeting, which was the last for the head of the central bank Haruhiko Kuroda who heads the bank since 2013.
Japan’s parliament this week approved Kazuo Ueda as the next head of the central bank. He will lead the Bank of Japan on April 8, when Kuroda’s term expires. The next meeting will be held under his leadership on April 27-28.
Oil prices are declining Friday morning, falling for the fourth consecutive session on fears of too aggressive monetary tightening by the Federal Reserve (Fed).
Brent May futures on London’s ICE Futures Exchange stood at $81.14 a barrel by 7:17 a.m., down $0.45 (0.55%) from the previous session’s close. Those contracts fell by $1.07 (1.3%) to $81.59 per barrel at the close of trading on Thursday.
The price of WTI crude futures for April at electronic trades of the New York Mercantile Exchange (NYMEX) is $75.12 per barrel by that time, which is $0.6 (0.79%) lower than the final value of the previous session. The contract fell by $0.94 (1.2%) to $75.72 per barrel on Thursday.
The main negative factor for the oil market this week was Fed President Jerome Powell’s “hawkish” comments admitting a possibility of hiking interest rates. Investors fear that the Fed’s tough policy may lead to a recession in the U.S., which in turn will affect demand for fuel in the world’s largest economy.
“Oil is under pressure again because of fears of Fed rate hikes,” said Stephen Innes, managing partner at SPI Asset Management.
On Friday, the U.S. labor market report for February will be released, which could influence the opinion of U.S. central bank governors. Analysts polled by Trading Economics predict it will point to maintaining unemployment at 3.4% and an increase of 205,000 jobs in the U.S. economy.
Changes in revenue of consolidated budget in 2014-2022 (%)
Source: Open4Business.com.ua and experts.news
ProWein 2023, the world’s #1 wine and spirits trade fair which is due to open its doors again in Düsseldorf on March 19-21, 2023, will be greeting 10 Ukrainian wineries presenting their products under the Wines of Ukraine umbrella.
This is not the first time that Ukrainian wineries will be participating in ProWein. However, this year the Ukrainian Association of Craft Winemakers, which is also the initiator and the founder of Wines of Ukraine, will give a bigger picture of Ukrainian winemaking to the visitors of the famous fair.
Ukrainian Association of Craft Winemakers was established in 2021 in order to coordinate and develop Ukrainian winemaking industry, as well as to enhance the competitiveness of Ukrainian wines internationally, and to promote the brand of Wines of Ukraine.
In times of war, the Association also focuses on helping to rebuild destroyed wineries and on demining the vineyards liberated from russian occupation. Currently, the Association includes 72 manufacturers.
“Our mission is to actively develop the Wines of Ukraine brand,” says Svitlana Tsybak, Wines of Ukraine representative, head of the Association of Craft Winemakers of Ukraine and Beykush Winery’s Development Director, “The attention that Ukraine is getting all over the world these days is extraordinary. We have to spread the word that, despite the war, life goes on here, we continue to grow grapes and produce our wines that have already been recognized by the world. We are happy to do our job, to work for our Victory.”
The Wines of Ukraine stand at ProWein will present 10 wineries:
Beykush Winery (Mykolayiv region)
Father’s Wine VB (Ternopil region)
Prince Trubetskoi Winery (Kherson region)
Chateau Chizay (Transcarpathian region)
Stakhovsky Wines (Transcarpathian region)
Biologist Craft Winery (Kyiv region)
Kolonist Winery (Odesa region / Southern Bessarabia)
Villa Tinta (Odesa region / Southern Bessarabia)
My Wine by Eduard Gorodetsky (Odesa region)
46 Parallel Wine Group (Odessa region).
Ukrainian winemakers are dealing with the horrors and challenges of russian aggression every day. Some wineries have suffered more than others. Prince Trubetskoy Winery, a historic chateau located in Kherson region, survived the Russian occupation. The winery’s owners managed to retain their staff, but even now, after the de-occupation, it is not clear what happened to the production facilities, ancient wine cellars, a restaurant and hotel complex. It is still impossible to get there because the chateau is located in the territory suffering from daily shelling and missile attacks. Some of the vineyards have not yet been de-mined. Despite the challenges, Prince Trubetskoy Winery is participating in ProWein 2023.
The international wine community already knows a few things about Ukrainian winemaking, considering Ukraine a “young” wine region. However, from a historical point of view, the traditions of winemaking in Ukraine have existed for several millennia.
“Our main goal is to place Ukraine back on the world map of winemaking, which has existed in Ukraine since the time of Trypillian culture (7 thousand years ago). It reached its peak between the 7th and 1st centuries BC. We have a variety of terroirs, dozens of local grape varieties, and most importantly, a new generation of winemakers who have revised the experience of their ancestors, linked it to modern trends, and are ready to present a new history of Ukrainian winemaking to the world,” says Sergey Klimov, a representative of the Wines of Ukraine, founder of the Kyiv Food and Wine Festival, ideologist and co-owner of Like a Local’s wine bar.
“We are very happy that Ukraine has this amazing opportunity to present its wines to a selected audience of wine professionals from all over the world”, shares her thoughts Victoria Agromakova, the Wines of Ukraine representative and founder of Wine&Spirits Ukraine expo. “Ukrainian wines deserve recognition and admiration, and our job is to spread the word and to grow our international business. We do appreciate the worldwide support that Ukraine and its people are getting. Helping Ukraine is a trend, and ProWein is not an exception. We are very grateful to the Ukrainian Consulate in Dusseldorf for their help and attention, and to our partners, the USAID Competitive Economy Program in Ukraine, for their valuable input and faith in Ukrainian winemaking.”
“Ukrainian businesses are facing many new challenges these days: they are losing production facilities, their sales are dropping, some of them have to move to safer areas. That is why helping them to restore and develop their business during the war is one of our top priorities. We support the Ukrainian winemakers participating in ProWein because we see our common goal here: to help improve the business environment in Ukraine and stimulate Ukrainian exports,” said Olesya Zaluska, Head of USAID Competitive Economy Program. “We love Ukrainian wines, appreciate the skills and resilience of Ukrainian winemakers, and believe in their successful international future. Let’s make it happen.”
When: March 19-21, 2023.
Where: Messe Düsseldorf, Stockumer Kirchstraße 61, 40474 Düsseldorf, Germany.
Wines of Ukraine stand: Hall 12 / A03.
Pls check this link to see exhibitors’ profiles.
Background info
Winemaking in Ukraine has been historically predetermined: it has an advantageous geographical location, and its climate favours grape growing. The origins of winemaking in Ukraine date back to the 4th century BC (in Crimea), going 2500 years back in the Black Sea Region up to the 14th century in Zakarpattya (Transcarpathia).
The continental climate is characterised by hot summers and severe winters. In 2021, over 100 million litres of wine were produced from 40 thousand hectares of vineyards. Almost 180 grape varieties are cultivated, including the majority of indigenous or varieties grown here.
Ukraine’s most famous indigenous variety is Telti-Kuruk, a white grape grown in Odesa region in the south. Another signature variety is a red Odesa Black, originating from Alicante Henri Bouschet and Cabernet Sauvignon.
The Security Service of Ukraine reports the arrest of former Antonov general director Serhiy Bychkov and head of the aviation security unit Oleksandr Netesov in the Mriya destruction case, while former deputy general director Mikhail Kharchenko has been put on the wanted list.
In a telegraph channel on Friday, the Ukrainian security service said it had gathered a solid evidence base on the former Antonov general director, his deputy and the head of the aviation security unit.
“According to the materials of the investigation, on the eve of a full-scale invasion, the officials did not allow members of the National Guard of Ukraine to enter the territory of the Gostomel airport to prepare for its protection. Such criminal actions led to the temporary seizure of a strategically important airfield, surrounding settlements and the destruction of the AN-225 Mriya aircraft,” the report stresses.
The SBU claims that during January-February 2022, officials explicitly prohibited the Ukrainian military to erect defensive fortifications and fortifications at the airfield, for this purpose an order was given to block the access of the National Guard fighters to the territory of the facility.
Based on the collected evidence, investigators of the Main Investigative Directorate of the SBU reported all three defendants on suspicion under Part 2 of Article 114-1 of the Criminal Code of Ukraine (obstruction of the legitimate activities of the AFU and other military formations in a special period, resulting in the death of people and other grave consequences).
“Two persons involved in the proceedings were selected a measure of restraint in the form of detention. Comprehensive measures are taken to bring to justice the former deputy director general of the SE “Antonov”, who is now hiding from justice. He is wanted,” the SBU informs.
“We are conducting an objective investigation of this case. Those who actually helped the enemy to destroy one of the symbols of Ukraine should suffer the deserved punishment. And the SBU will do everything necessary for this. And our state will definitely build a new plane, because the Mriya, just like Ukraine, cannot be destroyed,” the head of SBU Vasyl Malyuk said in the message of the special service.
As a law enforcement source clarified to the Interfax-Ukraine news agency, Kharchenko, a wanted former deputy director of Antonov, is probably now in Crimea.
The National Agency on Corruption Prevention (NACP) has included the Italian cement manufacturer Buzzi Unicem in the list of international sponsors of the war, the agency’s press service reports.
According to a press release, this decision was made due to the expansion of the company in the Russian Federation after the annexation of Ukrainian Crimea and a full-scale invasion of Ukraine, despite the announcement of refusal to participate in operating activities.
According to the agency, Buzzi works in Russia through SLK Cement, which owns two cement plants, Sukholozhskcement and Korkino, a terminal in Omsk, and a transport company Tsemtrans. According to him, the company is one of the five leaders in the cement industry of the Russian Federation.
The report states that in the period from 2016 to 2021, the Russian division of Buzzi Unicem paid taxes and other obligatory payments to the budget of the aggressor country for EUR 62 million. In addition, the company cooperates with the Russian Ministry of Defense, and supplies products to the largest state-controlled enterprises: Rosneft and Rosatom.
In Russian social networks, the company expressed support for the mobilized employees, and also sent assistance to the Russian artillery unit, the NACP notes.
The agency emphasizes that the shareholders of Buzzi Unicem never publicly condemned the participation of the Russian subsidiary in the war against Ukraine and did not call for the termination of business in the Russian Federation.
Previously, NACP has already included the following companies in the list of international sponsors of the war: Procter & Gamble, OpenWay Group, Danieli, TMS Tankers Ltd., Minerva Marine Inc., Thenamaris Ships Management, Delta Tankers Ltd., Dynacom Tankers Management Ltd. Mondi PLC, eKassir, Liberian International Ship & Corporate Registry, and Bonduelle. Recently, the French corporation Auchan Holding and Metro Cash & Carry have been added here.
