LVMH Buoyed by Big Spenders in Europe and U.S.
Luxury company LVMH Moët Hennessy Louis Vuitton SE reported higher sales and profit for the first half of the year as free-spending shoppers in Europe and the U.S. more than offset Covid-19-related disruption in China.
The world's largest luxury group by revenue said Tuesday that overall sales increased 28% year-over-year to EUR36.7 billion, equivalent to $37.1 billion, in the six months to June 30. Profit in the period rose 34% to EUR10.2 billion.
U.K. Retail Prices Accelerated in July, Mainly Driven by Food
U.K. retail prices rose further in July, mainly driven by significant inflation in the cost of food, according to the latest report by the British Retail Consortium and NielsenIQ.
Retail prices rose by 4.4% on year in July, marking the highest rate of inflation since the index was started in 2005, the report said. Prices rose by 3.1% on year in June.
Deal Struck to Create European Satellite Rival to Elon Musk's Starlink
Paris-based Eutelsat Communications SA agreed to acquire the U.K.'s OneWeb Global Ltd., a deal that would combine the two companies' separate fleets of internet-delivering satellites and create a bigger competitor to Elon Musk's Starlink service.
The all-share merger values OneWeb at $3.4 billion, the two companies said. Eutelsat previously had a nearly 24% stake in OneWeb. The U.K. government owns 19%. After the deal is completed, the government stake in the combined company would fall to 11%. It will retain a "special share" that provides London certain national-security assurances.
GLOBAL NEWS
Biden to Speak With Chinese President Xi on Thursday
President Biden will speak Thursday with Chinese leader Xi Jinping, a U.S. official said, amid new tension over Taiwan, the war in Ukraine and a decision over whether to remove some Trump-era tariffs.
Separately, National Security Council coordinator for strategic communications John Kirby said Tuesday there would be a "robust agenda" during the call, including about Taiwan and the war in Ukraine. When they speak, it will be the fifth call between the two leaders, he said.
China Industrial Profit Rebounds as Eased Covid Curbs Boost Factories
China's industrial profit reversed a two-month fall to post a year-on-year increase in June, in line with the recovery of factory production after Covid-19 restrictions eased.
Industrial profit rose 0.8% from a year earlier in June, up significantly from a 6.5% decline in May, the National Bureau of Statistics said Wednesday.
Singapore's GIC Sees Uncertain Outlook on Inflation, Political Tensions
Singapore's GIC Pte Ltd. said Wednesday that portfolio diversification has become more challenging in a high-inflation economy and that the chances of stagflation materializing in the coming years have increased.
The sovereign wealth fund, which manages Singapore's foreign-exchange reserves, will look to diversify its portfolio, which would include making investments in inflation-resilient assets and sustainability.
Senate Advances $280 Billion Bill Subsidizing Chip Manufacturing, Technology
WASHINGTON-The Senate voted 64 to 32 Tuesday to advance a $280 billion package of subsidies and research funding to boost U.S. competitiveness in semiconductors and advanced technology.
The vote required 60 votes to advance in the evenly divided Senate. Seventeen Republicans joined with all but one member of the Democratic caucus present to move the bill forward. Four senators were absent.
Majority of Tunisians Vote in Favor of New Constitution
A majority of Tunisians who voted on a new draft constitution were in favor of adopting it, the country's election commission said Tuesday, paving the way for President Kais Saied to implement a charter that would consolidate his grip on power.
Preliminary results of the referendum held on Monday showed that 94.6% voted in favor, while 5.4% voted against it, according to Tunisia's Independent High Authority for Elections. Roughly 31% of eligible Tunisians showed up at polling booths, it noted.
Pence Calls Jan. 6 'Tragic Day,' While Trump Claims He's Been Persecuted Over Riot
WASHINGTON-Mike Pence and Donald Trump returned to Washington to deliver competing speeches, with the former vice president briefly mentioning the Jan. 6 Capitol riot and saying it was time to look ahead and the former president attacking the congressional committee that has portrayed him as the mob's ringleader.
The appearances Tuesday previewed a potential 2024 battle between the former running mates-their bond broken over Mr. Trump's attempts to overturn the 2020 election results-and displayed their widely different styles.
Russia Says It Will Withdraw From International Space Station
Russia plans to pull out of the International Space Station, the leader of the country's space agency said Tuesday, a move that threatens to end years of collaboration on the orbiting research facility.
Yuri Borisov, the director general of Roscosmos, as the Russian space agency is called, said Russia would leave the facility after 2024, according to an exchange between him and President Vladimir Putin that was posted to the Kremlin's website. The country will fulfill its obligations for station operations until it leaves, he said.
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This article is a text version of a Wall Street Journal newsletter published earlier today.
(END) Dow Jones Newswires
07-27-22 0537ET
