Tag Archives: European companies

Corporate debt is too high, and markets are mispricing this

Of all the fears sweeping the markets right now, perhaps the most worrying is the fear of a debt crisis in the corporate sector.

Warnings about corporate debt rising to unsustainable levels are intensifying, at a time when interest rates are at record lows and even Greece joined the club of negative-yield sovereign debt issuers.

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Emmanuel Macron’s ‘posted workers’ reforms smell of populism

French President Emmanuel Macron went to Central and Eastern Europe recently to ask officials there to support his plan to change the legislation regarding posted workers, to prevent it being abused.

In essence, the posted workers’ directive allows one company in a member state of the European Union to send its workers to work on projects in another member state, but still pay them less than local workers. This is because, while the company has to abide by local minimum wage rules, things like tax or social security payments are still made in the country of origin.

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European companies post the best earnings

With the first-quarter earnings reporting season nearly finished, European companies’ earnings were the best of the pack, analysis by strategists at Societe Generale shows.

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