Key Takeaways
- The UN Human Rights Office has issued strong condemnations against Israel, labeling a new settlement near East Jerusalem as "illegal" and a potential forced displacement of Palestinians as a "war crime."
- Canada's existing home sales saw a notable increase of 3.8% month-over-month in July, signaling continued recovery in the housing market.
- Germany offered spot carbon permits on the European Energy Exchange (EEX) at €70.13 per tonne, while France plans to issue up to €10.50 billion in bonds on August 21, highlighting active European financial and environmental markets.
- China's Foreign Minister engaged in informal discussions with Southeast Asian counterparts, urging reconciliation between Cambodia and Thailand amid border tensions.
The global landscape is marked by escalating geopolitical tensions, particularly in the Middle East, while economic indicators show mixed signals across major economies. The UN Human Rights Office has sharply criticized Israel's recent actions, stating that a new settlement near East Jerusalem is "illegal under international law" and poses a risk of "forced eviction" for Palestinians, which it described as a "war crime." This condemnation extends to a reported Israeli plan for a "humanitarian zone" in Rafah, which the UN Human Rights Chief Volker Türk warned could lead to starvation if it forces Palestinians to move without adequate aid. Separately, the UN human rights chief also condemned Israel's plan for a complete military takeover of Gaza City, anticipating further displacement and suffering. These statements underscore deepening international concern over the humanitarian situation and adherence to international law in the region.
In economic news, Canada's housing market demonstrated continued resilience, with existing home sales rising by 3.8% month-over-month in July, following a 2.8% increase in June. While national figures show positive momentum, regional variations persist, with some areas like Windsor-Essex seeing sales climb to their highest levels in 2025, while Vancouver experienced a slight dip in July sales. Despite these regional nuances, the overall trend suggests a gradual recovery in Canadian real estate, with the sales-to-new-listings ratio moving towards more balanced market conditions.
European markets are navigating both environmental policy and government financing. Germany successfully auctioned 1.607 million spot EU carbon permits on the EEX at a price of €70.13 per tonne on August 15. This comes as the fixed CO2 price in Germany's national emissions trading system (nEHS) increased to €55 per tonne at the start of 2025, with future plans for auctioning in a price range of €55 to €65 in 2026 before transitioning to the EU ETS 2 from 2027. Meanwhile, France is preparing for a significant bond issuance, planning to offer up to €10.50 billion in bonds on August 21. This issuance aligns with France's broader 2025 financing program, which includes €300.0 billion in medium- and long-term issues and an increased green bond issuance plan of €15 billion. The French government is also pushing for a substantial €43.8 billion budget squeeze for 2026, aiming to reduce its deficit to 4.6% of GDP and ultimately meet the EU's 3% fiscal limit by 2029.
In Asia, China's Foreign Minister Wang Yi recently held informal discussions with foreign ministers from Cambodia, Thailand, and Laos, alongside other Mekong nations, during the 10th Lancang-Mekong Cooperation (LMC) Foreign Ministers' Meeting. During these talks, China urged Cambodia and Thailand to resolve their ongoing border tensions through dialogue and to reopen their borders, offering support for reconciliation. China also expressed its readiness to accelerate the China-Thailand railway project and encourage further Chinese investment in Thailand, while supporting Cambodia's political stability and efforts against online gambling and wire fraud. These diplomatic engagements underscore China's active role in regional stability and economic cooperation within Southeast Asia.
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.