The EU will today rubber-stamp sanctions on Iran over its deadly crackdown on protests linked to the death of a young woman, Mahsa Amini. The bloc’s foreign ministers will adopt the measures — which may complicate attempts to revive the deal with Iran over its nuclear program — when they gather in Luxembourg. They'll also agree to launch a new mission to train around 15,000 Ukrainian forces personnel in the EU as soon as mid-November and sign off on an additional €500 million in weapons financing. Ministers will also discuss whether the EU's policy towards China needs to be refreshed.
— Natalia Drozdiak and John Ainger
What’s Happening
Capping Gas | The European Commission plans to propose a mechanism to curb volatility on the bloc’s biggest gas marketplace and prevent extreme price spikes in derivatives trading, according to a draft we’ve seen. One key bit of the jigsaw — decoupling gas prices from electricity — won’t yet be on the table though.
Nuclear Threat | NATO’s annual exercises of its nuclear deterrence capabilities today takes on extra significance amid growing fears that Russia could resort to atomic weapons after setbacks on the battlefield in Ukraine. Exercise “Steadfast Noon” involves 14 countries and as many as 60 aircraft, and will take place over Belgium, the UK and the North Sea.
Grain Laundering | Russia’s invasion of Ukraine has upended global food markets and particularly shipments of one of the countries key exports. Satellite images and maritime data we analyzed reveal how Russian ships are laundering tons of grain stolen from occupied Ukraine and passing them on as legitimate cargo.
Fuel Strikes | French Prime Minister Elisabeth Borne called on striking refinery workers to return to work as fuel shortages worsened and left-wing politicians led a protest march against increased cost-of-living expenses. Inflation in excess of 6% and record profits at oil companies have driven support for industrial action as well as raising economic anxiety levels.
Racist Attacks | An Italian volleyball star is considering quitting the national squad over racist attacks after helping her team take third place in the world championships. Italy’s sports is rife with racism, with Black players routinely subjected to booing and chants from fans of rival teams. And there are fears that such intolerant views run much deeper.
In Case You Missed It
China Rising | In a speech running almost two hours yesterday, President Xi Jinping let the world know that China won’t change course even as it faces “dangerous storms” in a more hostile world. Instead, he declared the “rejuvenation of the Chinese nation is now on an irreversible historical course” and more forcefully offered China up as an alternative to the US and its allies.
Long Hike | ECB Governing Council member Martins Kazaks said interest rates should be raised beyond year-end — a time when economists increasingly expect the euro zone to be in the midst of a recession. He said that elevated inflation is likely to persist despite a despite a downturn.
Suspicious Drones | Norwegian police took into custody a 51-year-old Russian man on Friday after he was observed taking photos near Tromso airport — the second such occurrence in a week. Russian citizens and companies have been banned from flying drones in Norway, according to regulations that came into force after the invasion of Ukraine.
Cash Risk | Spain missed a second deadline last month to implement a reform required to unlock money from the EU’s pandemic recovery fund, putting at risk new payments from the €160 billion it’s eligible to receive. Here’s what went wrong.
Climate Crunched | With just three weeks to go before another round of tough climate talks in Egypt, why not see if you can get the problem solved in less than two hours by playing this new board game.
Chart of the Day
The euro-area economy is expected to shrink next year as it battles surging energy costs and the risk of shortages following Russia’s invasion of Ukraine. Output in the currency bloc will drop by 0.1% in 2023, according to economists polled by Bloomberg who were still predicting growth of 0.3% a month ago. Germany is seen contracting by 0.5%, while France, Italy and Spain are expected to expand.
Today's Agenda
All times CET
- 3 p.m. Press conference after EU foreign affairs ministers meet in Luxembourg
- Commission President Ursula von der Leyen meets European Parliament President Roberta Metsola
- Agriculture and Fisheries Council in Luxembourg
- Internal Markets chief Thierry Breton meets Hungarian Prime Minister Viktor Orban in Budapest
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