Key Takeaways
- French Finance Minister Lombard announced a significant fiscal plan focused on €30 billion in public spending cuts to repair national finances before the 2027 elections, including €4 billion from reducing two public holidays.
- UK inflation unexpectedly rose in June, with the Consumer Price Index (CPI) year-on-year hitting 3.6%, up from 3.4% in May, and core CPI increasing to 3.7%.
- Stellantis (STLA) has discontinued its hydrogen fuel cell technology development program, citing limited infrastructure and high capital requirements, leading to the cancellation of new hydrogen-powered Pro One vehicle launches this year.
- The U.S. is considering a potential withdrawal from the International Energy Agency (IEA) over its "green leaning energy forecasts," with Energy Secretary Chris Wright stating a preference for reform.
French Finance Minister Lombard has outlined a new fiscal plan aimed at achieving €30 billion in public spending cuts, a crucial step to stabilize the nation's finances ahead of the 2027 elections. The plan notably includes €4 billion derived from eliminating two public holidays. Lombard emphasized the government's serious commitment to tackling debt and stated that the plan would be improved through discussions with opposition parties.
Meanwhile, the United Kingdom experienced an unexpected uptick in inflation during June. The Consumer Price Index (CPI) rose to 3.6% year-on-year, surpassing both the previous month's 3.4% and market estimates of 3.4%. Core CPI, which excludes volatile energy and food prices, also increased to 3.7%, up from 3.5% previously. The Retail Price Index (RPI) also saw an increase, reaching 4.4% year-on-year.
In the automotive sector, Stellantis (STLA) announced the discontinuation of its hydrogen fuel cell technology development program. The company stated that it will no longer launch its new range of hydrogen-powered Pro One vehicles this year, citing factors such as limited hydrogen refueling infrastructure, high capital requirements, and the need for stronger consumer purchasing incentives. Stellantis is now discussing alternatives for its Symbio joint venture with partners.
On the geopolitical and energy front, the U.S. is contemplating a significant move regarding the International Energy Agency (IEA). Energy Secretary Chris Wright indicated that the U.S. might withdraw from the IEA if the agency does not reform its operations, particularly concerning its green-leaning energy forecasts. Wright expressed a strong preference for reform over withdrawal. The U.S. provides approximately 18% of the IEA's funding.
In other developments, the EU Council has adopted new sanctions against Russia. This follows previous packages aimed at cutting off Russia's access to key military technology and curbing its energy revenues.
Mining company Antofagasta (ANTO) released its Q2 2025 earnings, reporting copper production of 160,100 tonnes, slightly below the estimated 164,684 tonnes. Gold production reached 48,300 ounces, falling short of the estimated 52,459 ounces. Despite these figures, the company's 2025 guidance remains unchanged.
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications.