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Austria's Chancellor Stocker: Resilient Lawyer Thrust Into Spotlight

Stocker took over his party during chaotic coalition talks, sworn in as chancellor despite no ministerial experience, and showed steady hand dealing with far right and centrists. The pragmatic and plain-speaking lawyer has sought to keep Austria firmly within the European Union and critical of Russia, unlike FPO leader Herbert Kickl. Stocker's low-key style is viewed as more competent than charismatic, and he is not expected to lead his party in the next election.

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Austrian Liberals Hold Party Vote Crucial to Future Coalition Government Δ1.78

Beate Meinl-Reisinger, leader of Austria's small, liberal Neos party, called on party members to make history on Sunday and support what she sees as a move supporting liberal democracy as they voted on whether to join a proposed coalition government. Three centrist parties announced coalition deal last week; Neos members must approve the deal to join next government if they do not, two-party coalition has one-seat majority. Government to be sworn in on Monday after historic wait.

German Conservatives, Social Democrats to Start Exploratory Talks on Friday Δ1.76

Exploratory talks between Germany's conservatives and the Social Democrats are set to begin on Friday, as senior figures from both parties engage in crucial negotiations to form a coalition government. The discussions, led by Friedrich Merz of the conservative bloc and Olaf Scholz of the Social Democratic Party, aim to bridge the deep differences between the two parties. A successful outcome would be a significant departure from the country's recent history of coalition governments.

Austria's Three-Party Government Takes Office, Shutting Out Far Right Δ1.76

Austria's first three-party government since the aftermath of World War Two took office on Monday, ending the country's longest-ever wait for a ruling coalition and keeping the Russia-friendly, far-right Freedom Party (FPO) out of power. The centrist alternative formed by the conservative People's Party (OVP), Social Democrats (SPO), and liberal Neos has overcome their earlier failure to do a deal, vowing to cooperate and get things done. Despite concerns about its fragility, the new government is focused on shrinking Austria's budget deficit and implementing stricter immigration rules.

Germany's Merz and SPD Clear First Hurdle to Forming Coalition Δ1.74

Friedrich Merz's conservatives and the Social Democrats (SPD) have successfully concluded preliminary coalition talks, emphasizing a commitment to stricter measures on illegal migration and economic growth. Merz aims for Germany to achieve 1-2% growth after two years of contraction while increasing military spending and state borrowing to revive the economy. The next phase involves negotiations with the Green party, which will be crucial for passing proposed fiscal measures.

Keir Starmer Charms Trump, but Any Deals Will Have to Wait Δ1.73

The British Prime Minister's warm demeanor and diplomatic language were crucial in building rapport with the US president, despite disagreements over Ukraine and trade tariffs. The two leaders seemed to find common ground on investment and golf, with Trump even praising Starmer's accent. However, significant decisions require lengthy negotiations, leaving it unclear when a deal will be reached.

Germany's Merz Races to Win Support for Major Financial Package Δ1.73

Friedrich Merz, Germany's chancellor-in-waiting and leader of the Christian Democratic Union party CDU, is racing against time to win over crucial Greens' party support for a massive 500 billion euro infrastructure fund and borrowing rule overhaul. The proposed reforms could jolt markets and spark debate about whether they will revive Europe's largest economy. Germany's conservatives and the SPD are working together on the proposals, which aim to address concerns about economic growth and competitiveness.

Starmer Navigates Ukraine Talks with ‘Cool Head’ as Trump Acts Tough Δ1.73

Starmer's diplomatic balancing act to keep both Europe and U.S. President Donald Trump on side and protect Britain from U.S. tariffs that would damage his country's strained finances is a delicate process. He has formed an unexpected alliance with French President Emmanuel Macron, who is a sharp critic of Britain's departure from the European Union, and a solid relationship with Trump, who UK officials say likes Starmer's lack of pretension. The British leader's efforts to end the threat of U.S. tariffs have earned him praise from Trump, but the success of his diplomatic mission remains uncertain.

Scholz, Zelenskiy Discuss Trump's Leadership to Bring Peace Δ1.73

Germany's outgoing Chancellor Olaf Scholz and Ukrainian President Volodymyr Zelenskiy discussed the potential role of U.S. President Donald Trump in facilitating peace negotiations for Ukraine amid its ongoing conflict with Russia. Both leaders emphasized the necessity of U.S. leadership to establish a ceasefire and long-lasting stability in the region, highlighting the urgency for a comprehensive resolution rather than a temporary halt to hostilities. Scholz reaffirmed Germany's steadfast support for Ukraine during this critical period as Zelenskiy expressed readiness to collaborate under Trump's guidance for a secure future.

Elements of German Parties' Coalition Paper Δ1.73

Friedrich Merz's conservatives and the Social Democrats (SPD) have concluded preliminary discussions aimed at forming a coalition government, outlining a comprehensive 11-page position paper on key policy areas. The proposed measures include stricter border controls, a reformed welfare system, energy price reductions, and targeted economic growth strategies, alongside support for industries deemed strategic. The coalition's success hinges on legislative approval of significant financial measures, including a 500-billion-euro infrastructure fund, which faces opposition from various political factions.

Conservatives Heading for Reverse in German Regional Vote Δ1.73

Germany's conservatives are facing defeat in Sunday's Hamburg regional vote, just one week after leader Friedrich Merz's victory over Chancellor Olaf Scholz's Social Democrats in the national election. The current SPD mayor, Peter Tschentscher, is expected to win with 33% of the vote and will likely continue governing in a coalition with the Greens as junior partners. The Hamburg regional election marks a significant shift for the conservative party, which has ruled the northern port city for most of the past 80 years.

UK's Starmer Gets Poll Boost as He Steps up Ukraine Diplomacy Δ1.72

The number of Britons who think Prime Minister Keir Starmer is doing a good job has risen as he steps up his role in diplomacy over the war in Ukraine, an opinion poll showed. The recent diplomatic efforts have boosted Starmer's image, but concerns about government spending and debt remain. A majority of respondents also support increasing defence spending, even if it means higher taxes or reduced funding for other public services.

German Lawmakers Set Timetable in Race for Borrowing Bonanza Δ1.72

German lawmakers are set to debate a 500-billion-euro infrastructure fund and significant changes to state borrowing rules aimed at boosting defense spending and economic growth, with votes scheduled before the formation of a new parliament. The proposed reforms reflect a dramatic shift from Germany's traditional fiscal conservatism, driven by increasing geopolitical tensions and a perceived need for improved national security. However, these measures face potential roadblocks from far-right and radical-left factions that may gain more influence in the newly elected parliament.

EU Leaders to Back Defence Surge, Support Zelenskiy After US Aid Freeze Δ1.71

European leaders are set to endorse significant increases in defence spending and express unwavering support for Ukraine at an upcoming summit, following concerns over U.S. military aid under Donald Trump's administration. The meeting will feature Ukrainian President Volodymyr Zelenskiy, although Hungary's potential veto could complicate the endorsement of a joint statement supporting Kyiv. This shift in European defence strategy is driven by heightened fears of Russian aggression and a desire for greater autonomy in security matters amid uncertainty about U.S. commitments.

Europe Must Urgently Rearm, Eu's Von Der Leyen Says Δ1.71

Europe urgently needs to rearm and member states must be given the fiscal space to carry out a surge in defence spending. European Commission President Ursula von der Leyen said that after a long time of underinvestment, it is now of utmost importance to step up the defence investment for a prolonged period of time. The need for Europe to demonstrate its ability to defend democracy was also emphasized by von der Leyen.

Germany Eyes Swift Moves on Defence, Investors Sniff Bonanza Δ1.70

Germany's likely next chancellor, Friedrich Merz, is considering setting up special funds worth nearly a trillion euros to finance urgent defence and infrastructure spending, prompting double-digit percentage rises in shares in defence contractors. The proposed funds would amount to 20% of German GDP, with economists proposing sums of 400 billion euros and 500 billion euros respectively. This fiscal sea change would be unprecedented since the Cold War, sending Europe's defence stocks soaring.

Germany's Greens May Refuse to Back Merz in Threat to Massive Debt Plans Δ1.70

Germany's Greens are signaling potential refusal to support Friedrich Merz's plans for a significant increase in state borrowing, with concerns rising over the approval process as negotiations progress. The proposed reforms include a special 500 billion euro infrastructure fund aimed at revitalizing the economy, but the Greens demand more climate protection measures to be integrated into the plans. As the political landscape shifts with an incoming parliament, the dynamics between Merz, the Greens, and other coalition partners could complicate the path to passing these crucial measures.

Ftse 100 and Us Stocks Rise Ahead of Inflation Report Δ1.70

The FTSE 100 (^FTSE) and European markets were mixed on Friday, while US stocks rose heading into the weekend, as fresh data showed the US's latest inflation reading came in as expected. The US Federal Reserve's preferred inflation gauge "core" personal consumption expenditures (PCE), rose 0.3% from the prior month during January, but that rise was in line with expectations. Markets also moved following a late Thursday press conference by US president Donald Trump and UK prime minister Keir Starmer, at which the pair said they are working on striking a trade deal without tariffs.

Trump-Zelensky Oval Office Clash Sparks Global Reaction Δ1.70

The outburst of Ukrainian President Volodymyr Zelenskiy at a White House meeting with US President Donald Trump has sparked a global reaction, with leaders from across Europe and beyond expressing support for Ukraine. The scene has been described as "serious and disheartening" by Norwegian Prime Minister Jonas Gahr Stoere, while Spanish Prime Minister Pedro Sanchez has pledged his country's unwavering support. The international community is calling for peace and an end to the conflict in Ukraine.

UK's Starmer Tries to Revive Hope for Ukraine Peace at Summit Δ1.70

British Prime Minister Keir Starmer is set to meet with Ukrainian President Volodymyr Zelenskiy and other Western leaders in an effort to restore optimism for peace in Ukraine following a contentious exchange with U.S. President Donald Trump. Starmer aims to strengthen European support for Ukraine by pledging "unwavering support" and encouraging the provision of weapons and financial assistance, while also positioning Britain as a bridge between Europe and the U.S. This summit arrives at a critical juncture in the ongoing conflict, as European leaders seek to unify their approach and ensure a lasting peace with security guarantees for Ukraine.

EU Leaders Discuss Ending War in Ukraine: Moment of Truth Δ1.70

European leaders agree to work on a ceasefire plan to present to the United States, British Prime Minister Keir Starmer said Sunday. British Prime Minister Keir Starmer told leaders gathered Sunday for a summit on the war in Ukraine that they need to step up and continue to support Kyiv and meet a “once in a generation moment” for the security of Europe. The meeting has been overshadowed by the extraordinary scolding of Zelenskyy by U.S. President Donald Trump, who blasted him Friday at the White House as being ungrateful for U.S. support against the invasion by Russia.

Hungary's Orban Pushes Direct Russia Talks, Opposes EU Summit Declaration Δ1.70

Hungarian Prime Minister Viktor Orban has called for the European Union to engage in direct negotiations with Russia regarding a ceasefire in Ukraine, opposing plans for a joint declaration at an upcoming EU summit. He argues that the strategic differences among member states on the Ukraine issue are insurmountable, emphasizing that the EU's current approach cannot be reconciled with the need for peace talks. This stance reflects a growing divide within the EU as some leaders advocate for military support, while others, like Orban and Slovakia’s Prime Minister Robert Fico, push for immediate peace discussions.

Brazil's Finance Minister Isolated as Market Fears of a Leftist Pivot Mount Δ1.70

Brazil's recent cabinet reshuffle has diminished Finance Minister Fernando Haddad's support, raising concerns over President Luiz Inacio Lula da Silva's commitment to moderate fiscal policies amidst a push for increased state spending. Haddad's moderate approach faces internal opposition from Lula's inner circle, particularly with the appointment of Gleisi Hoffmann, a proponent of expansive fiscal measures, as the new minister of Institutional Relations. As inflation pressures grow and the political landscape shifts toward populism, Haddad’s ability to maintain fiscal discipline appears increasingly precarious.

Germany’s ‘Whatever It Takes’ Moment Powers European Markets Δ1.70

Germany's historic plan to ramp up spending has sent shockwaves through European markets, with equities surging past their US peers and the euro reviving from its brink of parity with the dollar. The benchmark stock index surged 3.4% in its biggest one-day rally since 2022, lifting the pan-European Stoxx 600 to near a record. Yields on benchmark 10-year bunds soared 30 basis points, marking a dramatic shift away from Germany's traditional controls on government borrowing.

How Zelensky's Lack of a Suit May Have Fuelled Oval Office Spat Δ1.70

Ukrainian President Volodymyr Zelensky's choice of casual attire, particularly a military-style sweatshirt, has become a contentious issue, especially among U.S. conservatives, and it reached a boiling point during a recent Oval Office meeting with Donald Trump. The meeting was marred by a question from a reporter accusing Zelensky of disrespecting the occasion by not wearing a suit, which shifted the atmosphere and sparked an extraordinary exchange on respect and gratitude. Zelensky's response, emphasizing his solidarity with soldiers, highlights the cultural and political rift regarding expectations of attire in diplomatic settings.

Trump-Zelenskiy Clash Exposes Divisions in Europe's Rising Far Right Δ1.69

Some on Europe's far-right are torn about Trump's dressing-down of Zelenskiy and his seeming indifference to the perceived threat Putin poses. Orban, Chrupalla, Salvini side with Trump's tilt towards RussiaOthers such as Meloni, Farage and Le Pen more guardedDivergence shows European far right far from cohesive group. The divisions within Europe's far-right movement over Trump's approach to ending Ukraine war are exposing deep fissures among the party members.