>>> Europe : Brokers Upgrades & Downgrades - 17th of June 2025 V2(+)

>>> Up
* Atria Raised to Accumulate at Inderes; PT 14 euros
* Barclays PT Raised to 420 pence from 400 pence at JPMorgan
* Burckhardt : UBS raisec PT 670 (655) CHF - neutral
* Neinor Raised to Outperform at Grupo Santander; PT 18.60 euros (+)
* Ninety One Raised to Neutral at JPMorgan; PT 178 pence

>>> Down
* ABB Cut to Hold at Kepler Cheuvreux
* Barco Cut to Hold at KBC Securities; PT 14 euros (+)
* Artea bankas Cut to Accumulate at Erste Group; PT 96 euro cents
* Borr Drilling Cut to Sell at SEB Equities; PT $1.90
* Bunzl Cut to Sector Perform at RBC; PT 2,350 pence
* Enento Group Cut to Sell at SEB Equities; PT 16.50 euros
* Hiab Cut to Hold at SEB Equities; PT 55 euros
* National Bank of Greece Cut to Hold at Alpha Finance
* Noble Corp. Cut to Hold at SEB Equities; PT $28.50
* Salzgitter Cut to Hold at DZ Bank; PT 21.50 euros
* Schindler Cut to Underweight at Morgan Stanley

>>> Initiation
* ACG Metals Ltd Rated New Buy at Canaccord; PT 830 pence (+)
* ACG Metals Ltd Rated New Buy at Berenberg; PT 720 pence
* ASML Rated New Market Perform at Bernstein; PT 700 euros (+)
* BE Semiconductor Rated New Outperform at Bernstein; PT 167 euros (+)
* Coinbase Rated New Buy at China Renaissance; PT $353.30
* Essensys Group Rated New Buy at Canaccord; PT 41 pence (+)
* FDJ United Rated New Overweight at JPMorgan; PT 42 euros
* Infineon Rated New Outperform at Bernstein; PT 45 euros (+)
* SAP Rated New Overweight at Piper Sandler; PT 350 euros
* Scandic Rated New Buy at ABG; PT 95 kronor
* Swedish Logistic Property Rated New Buy at Arctic Securities

>>> Call
* ABB Cut to Hold at Kepler Cheuvreux as Slower Growth Ahead (+)
* Bunzl Cut to Sector Perform at RBC on Increasing Competition
* FDJ United at Appealing Entry Point, New Overweight at JPMorgan
* Lenzing Gets Only Sell as Oddo BHF Downgrades on Debt Burden
* Schindler Downgraded at Morgan Stanley, Cautious on Elevators
* TotalEnergies Now Top Oil Pick at Bernstein, Shell Downgraded

FT : Central banks plan to boost gold reserves and trim dollar holdings

Central banks plan to boost gold reserves and trim dollar holdings
Geopolitical risks and worries about status of the greenback likely to drive further demand for bullion, survey shows

Central banks expect to keep buying more gold this year, and anticipate their holdings of US dollars will fall over the next five years, according to a survey of global monetary authorities.

Geopolitical concerns, sanctions risk, and worries about the status of the US dollar have driven global central banks to make record purchases of bullion. Gold recently overtook the euro to become the world’s second-largest reserve asset, behind the US dollar.

Gold prices have surged 30 per cent since January and doubled in the past two years, as global uncertainty and market volatility have propelled investor demand for bullion.

A record 95 per cent of respondents to a World Gold Council survey expect global central banks’ gold holdings to increase over the next 12 months, the highest level since the annual poll started in 2018.

Meanwhile three-quarters of respondents expect central banks’ US dollar holdings to decline over the next five years. More than 70 central banks responded to the industry body’s survey.


Shaokai Fan of the WGC said: “The sentiment is very strong, certainly there’s more confidence among central banks that the entire universe of central banks is going to buy, and that their own central bank might buy.”

However in a sign of how geopolitical tensions are impacting the gold world, some central banks plan to store more bullion domestically — as opposed to in London and New York, which are the world’s two largest such repositories.

Concerns about central banks’ ability to access gold stored overseas in the event of a crisis, or in case of sanctions, have contributed to a small but not insignificant trend of repatriation, with more storing gold domestically.

Last year India repatriated more than 100 tonnes of gold from the Bank of England, while the Central Bank of Nigeria also repatriated some of its holdings.

About seven per cent of respondents said they were planning to increase domestic storage, the highest level since the Covid-19 pandemic.

In recent months, the US government’s erratic comments have contributed to unease among some foreign countries about whether their gold stored in the US is safe from political interference.

The Federal Reserve Bank of New York handles the gold stored in the US on behalf of foreign central banks.

In February, US President Donald Trump publicly queried whether gold could have gone missing from Fort Knox, which holds most of the US’s own gold reserves.

In the WGC survey, the central banks said gold’s performance during “times of crisis”, its lack of default risk, and its role as an inflation hedge were the top reasons for holding bullion.


Central banks’ gold buying accelerated in 2022, after the Russian invasion of Ukraine, and subsequent US efforts to freeze Moscow out of the international payments system. That prompted many emerging market central banks to start diversifying faster away from the US dollar.

“Recent market developments around tariffs have raised questions on the safe-haven status of US dollars but have bolstered that of gold,” said one anonymous survey respondent. “Reserve managers view gold as an . . . inflation hedge in this challenging time marked by geopolitical and trade conflicts.”

Gold also has downsides as a reserve asset, including the storage costs and the inconvenience of transporting it.

The Information : OpenAI Seeks New Financial Concessions From Microsoft, a Top S

OpenAI Seeks New Financial Concessions From Microsoft, a Top Shareholder

Negotiations between Microsoft and OpenAI over the startup’s plan to restructure its for-profit unit, which requires Microsoft’s approval, have entered their eighth month with no end in sight and new conflicts emerging.

OpenAI wants Microsoft, the startup’s biggest outside shareholder, to have a roughly 33% stake in the reshaped unit in exchange for foregoing its rights to future profits, according to a person who spoke to OpenAI executives.

OpenAI also wants to modify existing clauses in its contract with Microsoft that give the software firm exclusive rights to host OpenAI models in its cloud, and it wants to exempt a planned $3 billion stock acquisition of AI coding startup Windsurf from the existing contract between the parties that grants Microsoft access to OpenAI intellectual property, according to that person and another person who spoke to Microsoft executives about it.

Renegotiating details of the companies’ cloud arrangement could have far reaching consequences in the tech industry. OpenAI has told investors it wants to get out of its exclusive cloud contract with Microsoft, which makes Microsoft the only cloud provider that offers OpenAI models for sale through an application programming interface, one of the people said.

Microsoft rivals Amazon and Google could jump at the chance to host OpenAI models on their servers, which would make it easier for their cloud customers to use them. Google has already lobbied the government to kill Microsoft’s exclusive right to host OpenAI models.

Microsoft hasn’t agreed to OpenAI’s terms and is looking to get other concessions from the startup, such as extending the length of time in which it has the right to use OpenAI’s intellectual property, according to the person who spoke to Microsoft executives about it.

OpenAI’s current deal with Microsoft gives the software giant the right to use OpenAI’s IP through 2030, according to the two people with knowledge of the talks.

Competitive Concerns

OpenAI leaders are concerned about including Windsurf in the current deal because Windsurf competes directly with Microsoft’s GitHub Copilot, said one of these people.

Microsoft has blessed OpenAI’s plans to acquire Windsurf under their current contract, said the person who spoke to Microsoft executives about it.

OpenAI also wants to cut the amount of revenue it shares with Microsoft in the coming years, in part by excluding new products from the existing agreement. If the companies don’t change the 20% cut OpenAI owes to Microsoft, Microsoft could be in line to get $35 billion in payments in 2030, when OpenAI has projected it will generate $174 billion in revenue.

In a joint statement, spokespeople for OpenAI and Microsoft said that “we have a long-term, productive partnership that has delivered amazing AI tools for everyone. Talks are ongoing and we are optimistic we will continue to build together for years to come.”

A Windsurf spokesperson said its planned acquisition by OpenAI is “speculative.”

The Wall Street Journal earlier Monday reported some details of the two companies’ negotiations around Windsurf and also reported that some OpenAI executives were considering complaining to antitrust regulators about Microsoft’s conduct.

The person who spoke to OpenAI executives said the company doesn’t have any imminent plans to escalate its frustrations to antitrust regulators.

Microsoft in recent years committed more than $13 billion in capital to OpenAI in exchange for rights to the AI startup’s technology. The stock Microsoft currently holds in the for-profit unit entitles it to a maximum cut of future profits up to around $120 billion.

OpenAI’s restructuring aims to change the stock to traditional equity, removing the profit sharing units and allowing the unit to eventually go public.

The companies agreed in 2023 that AGI would be achieved only when OpenAI’s nonprofit board of directors, which includes Altman, determines that OpenAI has developed systems that have the “capability” to generate the maximum total profits to which its earliest investors, including Microsoft, are entitled.
The two firms became fast friends early in the AI boom, which was catalyzed by OpenAI’s ChatGPT. Almost immediately, they began to compete in areas such as selling AI to enterprises, terrain that Microsoft dominates.

OpenAI also chafed under the limits of Microsoft’s capacity to power its technology, prompting the startup to strike cloud deals with Microsoft competitors such as Oracle. Some Microsoft executives complained that OpenAI wasn’t abiding by its agreement to fully share its technology with Microsoft according to the terms of their agreement.

Starting around October last year, OpenAI embarked on an effort to change its corporate structure.

OpenAI CEO Sam Altman began discussing terms with counterparts at Microsoft, including CEO Satya Nadella, but the talks didn’t progress much, except for one element that was hashed at out the end of that year: Microsoft agreed to amend the contract to allow OpenAI to rent servers from other cloud providers, but would continue to be the exclusive cloud reseller of OpenAI models to businesses. And OpenAI made a large new commitment to spend heavily on renting servers from Microsoft.

What AGI?

In addition to current disagreements about Microsoft’s equity stake and Windsurf acquisition, the firms are also tussling over the definition of artificial general intelligence, AGI, which OpenAI has said is AI that can outperform humans at most economically valuable work.

Their current agreement says Microsoft will relinquish its rights to OpenAI revenue and IP when the startup achieves AGI. Microsoft has argued AGI is still years away, while OpenAI leaders have argued that AGI could be much closer. The two firms are still negotiating a possible change to the current contract’s definition of AGI, one of the people said.

The companies agreed in 2023 that AGI would be achieved only when OpenAI’s nonprofit board of directors, which includes Altman, determines that OpenAI has developed systems that have the “capability” to generate the maximum total profits to which its earliest investors, including Microsoft, are entitled, according to documents OpenAI distributed to investors. Those profits initially totaled about $100 billion, the documents showed.

But companies may still have differing views on whether the existing technology has a large, profit-generating capability. OpenAI is still losing billions of dollars a year, with no plans to generate a profit until 2029.

OpenAI faces an end-of-year deadline to complete its restructuring or it risks investors taking back up to $20 billion of the $40 billion round that the startup seeks to raise by then.

>>> What to look at today - 17th of June 2025

US and European stock futures fell and oil rose after President Donald Trump called for the evacuation of Tehran, in comments that contrasted with earlier optimism that Israel-Iran tensions wouldn’t escalate into a wider conflict. Gold fluctuated following Trump’s comments in a social media post from a Group of Seven leaders’ summit in Alberta. It wasn’t clear what he was referring to but hours earlier, Trump had said Iran wanted to make a deal. The US President is cutting short his G-7 visit, according to the White House, and returning to Washington. A gauge of Asian stocks rose, with Japanese and South Korean shares advancing while equities in Hong Kong and China fell. Risk-on sentiment had returned to Wall Street on Monday and pushed the S&P 500 up about 1% to back above 6,000.  There were mixed signs that investors will keep faith in the US economy, as longer-maturity Treasuries continued to lag the market even after a $13 billion sale of 20-year bonds drew the expected yield level — a notable improvement from last month’s auction disappointment that spurred a broad selloff. The dollar was mixed against Group-of-10 currencies. Trump earlier said Iran wanted to talk about de-escalating the conflict with Israel even as the two sides exchanged fire for the fourth consecutive day. Asked if the US would get more involved militarily, the US leader said he didn’t want to discuss it. The outbreak of hostilities between Israel and Iran disrupted the momentum that had driven the S&P 500 back near record levels. While markets initially adopted a cautious, risk-off stance to assess how the conflict might unfold, sentiment improved as investors speculated the attacks were unlikely to draw in more parties.  “Focus will remain on geopolitical headlines, but as long as the conflict stays limited between Israel and Iran, it’s unlikely to materially impact the markets,” said Tom Essaye at The Sevens Report. WTI crude fell below $70 late Monday, though rose again Tuesday to around $72. Middle East producers ship about a fifth of the world’s daily output through the narrow waterway, and prices could soar if Tehran attempts to disrupt shipments through the route.  Investors in Asia will be keeping an eye on the G-7 gathering in Alberta, Canada, where Trump and Japanese Prime Minister Shigeru Ishiba failed to reach an agreement on a trade package. The outcome leaves the Asian nation inching closer to a possible recession as the pain of US tariffs hits its economy. Also at the G-7, UK Prime Minister Keir Starmer reached a deal with Trump to implement trading terms disclosed last month to slash US tariffs on key British exports and raise UK quotas on certain American agricultural products. The Bank of Japan left its benchmark rate unchanged, as expected by economists, and decided to taper its bond purchases at a slower pace next year in a sign of caution following heightened market volatility. Wall Street will focus on the Federal Reserve decision Wednesday, with policymakers signaling an extended hold on rates. Investors are looking to Chair Jerome Powell for clues on what might eventually prompt the central bank to make a move, and when. US After Hours Solar stocks under pressure on Reuters report that Senate GOP seeks to end credits, RUN -27.5%, SEDG -23%, ENPH -15.5%, FSLR -10%; MMYT -10.8% on offering and deal to buy shares from TCOM

Nikkei +0.50% Hang Seng -0.23% CSI -0.00% Shanghai 0.01% Shenzen -0.08%

Eur$ 1.1570 CNH 7.1816 CNY 7.1812 JPY 144.42 GBP 1.3578 CHF 0.8130 RUB 78.50 TRY 39.4160 WTI$ 72.19 +0.65% Gold 3,392 +0.20% BTC 107,398 -1.32% ETH 2,593 -2.94%

S&P -0.39% Nasdaq -0.43% EuroStoxx -0.77% FTSE -0.52% Dax -0.90% SMI -1.10%

Macro :
- Trump Says G-7 Exit For ‘Much Bigger’ Reason Than Ceasefire
- Oil prices rise and US futures fall as Israel urges residents of Iran's capital to evacuate
- Solar Stocks Tumble as Senate Bill Ends Tax Credits
- Commodity Trader ED&F Man Taps Viterra Cotton Boss for New Team
- Hedge fund Millennium valued at $14bn in minority stake sale talks - FT
- US Approves Possible $2b Military Sale to Australia
- China’s Grip on Rare Earths Puts an Electrifying World on Alert
- Trump Says He and UK’s Starmer Just Signed Trade Deal
- BOJ Holds Rates, Plans Slower Withdrawal From Bond Market

Keep an eye on :
- AEDAS SM : Neinor Makes €1.07 Billion Bid for Rival Spanish Developer Aedas
- AGR LN : KKR-led bid for NHS landlord Assura hit by shareholder opposition
- AIR FP : Airbus unveils close to $10bn of orders at Paris show overshadowed by Air India disaster - FT
- ALV GY : AXA Front-Runner to Buy Italy’s Prima Assicurazioni: Sole
- AMS SM : Goldman Offers About 5.7m Amadeus Shares, Terms Show, *AMADEUS OFFERING PRICES AT €70.61 PER SHARE: TERMS
- APPS US : APPS Sees 2026 Revenue $515M to $525M, Est. $519.5M (2 Est.)*DIGITAL TURBINE CLIMBS 9% AS 4Q REVENUE BEATS ESTIMATES
- CS FP : AXA Front-Runner to Buy Italy’s Prima Assicurazioni: Sole
- BAKKA NO : Bakkafrost Sees DKK5.0b Capex 2026-2030; 2030 Harvest 162K MT
- DTG GY : ACCC Reviews Proposed Merger of Toyota, Daimler Truck Units
- DYN US : *DYNE SHARES JUMP 16% AS BIOTECH SETS TUESDAY DATA RELEASE
- FLU AV : Flughafen Wien Group May Traffic Figures (Table)
- LLY US : Eli Lilly in Advanced Talks to Buy Verve for Up to $1.3b: FT
- IBE SM : Iberdrola Mulls Taking Brazil’s Neoenergia Private: Veja
- INF LN : Informa Reaffirms 2025 Underlying Rev Growth Guidance of Over 5%
- KPN NA : BC Partners-Backed Telco United Group Names KPN Alum as CEO
- LTMC IM : Gamma Offers 21% Stake in Italian Betting Firm Lottomatica, Lottomatica Offering by Holder Prices at EU22.50/Share
- LTMC IM : Apollo’s $1.4 Billion Lottomatica Exit Leads European Block Wave
- MMYT US : MakeMyTrip Seeks Over $2 Billion in Shares, Convertible Sale
- MSFT US : OpenAI Seeks New Financial Concessions From Microsoft, a Top Shareholder
- NSKOG NO : Norske Skog Says Skogn to Start Production of Book Paper in 2026
- NOVOB DC : Novo Nordisk Shares Are Now Recovering from Peak Pessimism
- OKLO US : Oklo Raises About $440.6m From Offering
- RGC US : Regencell Bio Shares Soar as 38-for-1 Stock Split Takes Effect +283%
- RIO LN : Australia Grants A$19.8m to Electric Smelting Furnace Project
- SAB SM : Sabadell Explores Sale of UK High Street Bank TSB: FT
- SAB SM : Sabadell Confirms It Has Received Interest for TSB Bank
- 9984 JP : SoftBank Seeks to Raise $4.9 Billion in T-Mobile Share Sale
- SEDG US : Solar Stocks Dive As Senate Bill Keeps Cuts To Solar, Wind Energy Incentives
- RUN US : Solar Stocks Dive As Senate Bill Keeps Cuts To Solar, Wind Energy Incentives
- MSTR US : Saylor Shifts to Preferred to Buy Bitcoin While Criticism Rises
- TMUS US : SoftBank Seeks to Raise $4.9 Billion in T-Mobile Share Sale
- TTE FP : TotalEnergies Wins German Wind Auction Amid Dwindling Interest
- UMG NA : Goldman Sachs Offers About 14m UMG Shares, Terms Show, placed @ 27.02/share
- VERV US : Eli Lilly in Advanced Talks to Buy Verve for Up to $1.3b: FT

>>> Europe : Brokers Upgrades & Downgrades - 17th of June 2025

>>> Up
* Atria Raised to Accumulate at Inderes; PT 14 euros
* Barclays PT Raised to 420 pence from 400 pence at JPMorgan
* Burckhardt : UBS raisec PT 670 (655) CHF - neutral
* Ninety One Raised to Neutral at JPMorgan; PT 178 pence

>>> Down
* ABB Cut to Hold at Kepler Cheuvreux
* Artea bankas Cut to Accumulate at Erste Group; PT 96 euro cents
* Borr Drilling Cut to Sell at SEB Equities; PT $1.90
* Bunzl Cut to Sector Perform at RBC; PT 2,350 pence
* Enento Group Cut to Sell at SEB Equities; PT 16.50 euros
* Hiab Cut to Hold at SEB Equities; PT 55 euros
* National Bank of Greece Cut to Hold at Alpha Finance
* Noble Corp. Cut to Hold at SEB Equities; PT $28.50
* Salzgitter Cut to Hold at DZ Bank; PT 21.50 euros
* Schindler Cut to Underweight at Morgan Stanley

>>> Initiation
* ACG Metals Ltd Rated New Buy at Berenberg; PT 720 pence
* Coinbase Rated New Buy at China Renaissance; PT $353.30
* FDJ United Rated New Overweight at JPMorgan; PT 42 euros
* SAP Rated New Overweight at Piper Sandler; PT 350 euros
* Scandic Rated New Buy at ABG; PT 95 kronor
* Swedish Logistic Property Rated New Buy at Arctic Securities

>>> Call
* Bunzl Cut to Sector Perform at RBC on Increasing Competition
* FDJ United at Appealing Entry Point, New Overweight at JPMorgan
* Lenzing Gets Only Sell as Oddo BHF Downgrades on Debt Burden
* Schindler Downgraded at Morgan Stanley, Cautious on Elevators
* TotalEnergies Now Top Oil Pick at Bernstein, Shell Downgraded

>>> Stoxx 600 Pre-Market Indications

  • RENK Group (R3NK TH) +1.6%
  • Telefonica (TNE5 TH) +1.3%
  • Deutsche Post (DHL TH) -1.1%
  • Daimler Truck (DTG TH) -1.1%
  • Delivery Hero (DHER TH) -1.1%
  • Santander (BSD2 TH) -1.2%
  • Zealand Pharma (22Z TH) -1.2%
  • TUI (TUI1 TH) -1.4%
  • Sartorius (SRT3 TH) -1.5%
  • Hochtief (HOT TH) -1.6%
  • Hiab (C1C1 TH) -2.7%
  • Vestas (VWSB TH) -3.3%
    • Watch Renewable Stocks as Bill Proposes Early End to Tax Credits

>>> TradeGate Pre-Market Indications

DAX:
  • Henkel (HEN3 TH) +0.7%
  • Siemens (SIE TH) -1%
  • Siemens Energy (ENR TH) -1.1%
  • BASF (BAS TH) -1.1%
MDAX:
  • RENK Group (R3NK TH) +0.5%
  • Delivery Hero (DHER TH) -1.1%
  • TUI (TUI1 TH) -1.1%
  • Nordex (NDX1 TH) -1.1%
    • Watch Renewable Stocks as Bill Proposes Early End to Tax Credits
SDAX:
  • Verbio SE (VBK TH) +1.4%
  • Schaeffler (SHA0 TH) -1.3%
  • SMA Solar (S92 TH) -3.6%

FT : EU should be open to resuming Russian gas imports, says Austria

EU should be open to resuming Russian gas imports, says Austria
Vienna says Brussels should reassess ban once war in Ukraine is over

The EU must be open to resuming Russian gas imports in the event of a peace deal being brokered to end the war in Ukraine, Austria has said — one of few countries in the bloc to openly float such an option.

Brussels “must maintain the option to reassess the situation once the war has ended”, the Austrian energy ministry told the Financial Times.

The statement confirmed reports that Elisabeth Zehetner, the Austrian state secretary for energy, made this plea to her EU peers at a meeting in Luxembourg on Monday, said diplomats with knowledge of the discussions.

Vienna’s stance marks the first time since Moscow’s full-scale invasion of Ukraine in 2022 that an EU member state other than Hungary or Slovakia openly floats the resumption of Russian gas imports once the war is over.

The European Commission on Tuesday is set to propose banning any new gas contracts with Russia and terminating existing ones over the next two years — regardless of the outcome of peace talks.

Dan Jørgensen, the EU’s energy commissioner, said on Monday that a potential peace deal should “not lead to us starting to import Russian gas again”.

“That would be a very unwise decision because that would just be refilling Putin’s war chest with money. I think that would be to repeat the mistakes that we have done in the past,” he added.

Unlike Russian coal imports, which the EU banned in 2022 and a G7 price cap on Russian oil introduced in 2023, gas has not been subject to any EU restrictions — though most countries largely stopped importing the Russian fossil fuel, notably Germany, even as its economy was severely affected as a consequence. Imports of Russian liquefied natural gas (LNG) went up, with a record 16.5mn tonnes imported last year.

European officials have previously debated whether a return to Russian gas should be part of peace negotiations with Russia — with the commission firmly opposing such a step. Brussels is also proposing a ban on the Nord Stream pipelines connecting Germany to Russia — a measure endorsed by German chancellor Friedrich Merz as a way to quell any potential internal discussions about reverting to cheap Russian gas.

Austria has depended heavily on Russian natural gas for decades, importing around 80 per cent of its gas from the country before the war in Ukraine. This reliance was underpinned by long-term contracts between Russia’s Gazprom and Austria’s OMV, of which the government owns 31.5 per cent. OMV cut ties with Gazprom in a historic break last December following a long-running contract dispute.

Vienna has taken steps to diversify its supply, particularly by sourcing gas from other European countries such as Germany. The country, which is neutral politically but supports sanctions, has faced criticism for lagging in reducing this dependency since the war began.

Its neighbours Hungary and Slovakia, which remain dependent on Russian gas and which are led by Russia-friendly governments, have been vocal in their opposition to the commission’s plan to end all Russian fossil fuel imports by 2027.

Italy, which imported most Russian gas last year according to the think-tank Ember, previously also floated the option of resuming gas imports once the war is over, in discussions behind closed doors.

A spokesperson for the Italian energy minister declined to comment.

The commission plans to use trade law when proposing the complete ban on Russian gas, the FT has reported.  

Jorgensen said that unlike the sanctions regime, which is subject to unanimous backing by the EU’s 27 governments every six months, the ban “will stand until someone decides to change it”.

Several countries have raised concerns that the legal basis for the ban will be strong enough to enable companies to call on force majeure clauses in their existing contracts without paying hefty penalties to Russia.

Jorgensen said he had “a very clear opinion from the legal team of the commission stating that since this will be a prohibition, a ban, the companies will not get into legal problems”.

FT : London faces higher risk of summer wildfires, capital’s brigade warns

London faces higher risk of summer wildfires, capital’s brigade warns
Fire services across UK invest in new kit and training as impacts of climate change grow

London is at an increased risk of wildfires this summer, the UK capital’s fire service has warned, as it steps up efforts to prepare for blazes by investing in new equipment and sending firefighters on specialist training. 

London Fire Brigade, which traditionally has fought property fires rather than those in vegetation, told the Financial Times it had been working with counterparts around the world to improve its response to wildfires.

Greater Manchester Fire and Rescue Service is among those that have travelled to Catalonia in Spain to learn how to tackle such blazes.

The capital was hit by a spate of wildfires that destroyed dozens of buildings on the UK’s hottest day on record in July 2022. Soaring temperatures across the summer led to 76 fires being reported in Epping Forest on the London-Essex border alone between June 26 and August 16 2022.

The unprecedented vegetation blazes on July 19 marked London Fire Brigade’s busiest day since the second world war.

Darren McLatchey, LFB deputy assistant commissioner, said that while wildfires had historically been uncommon in London, the risk was increasing because of climate change. 

The driest spring in more than a century coupled with forecasts of a hot summer risked creating ideal conditions for blazes in the capital this year, he added. 


“We are planning and anticipating that there is likely to be fires this year in open areas,” he said. “Climate change is having a very dramatic impact. In the last few years we have had a dramatic increase in fires in grass and open areas.”

While most wildfires in the UK are caused by human activity, scientists say climate change increases the risk and severity of such events by creating warmer, drier conditions. Drier vegetation linked to drought, for example, is more susceptible to ignition. 

Other parts of the UK, such as Scotland, have already suffered an intense start to the wildfire season this year, as well as low rainfall.

A drought was declared in Yorkshire this week, following the north-west of England in May. Three other areas — the north-east and east of England and the West Midlands — are also experiencing prolonged dry weather, the Environment Agency has warned. 

In addition to fire services across the country boosting efforts to better prepare for wildfires in recent years, the Forestry Commission has run specialist training for landowners, property managers and firefighters.

The non-ministerial government department for woodlands has filled about 1,800 places across five courses since 2021, and its next course is due to take place in July at Windsor Park in Berkshire. 

In London, which is home to more than 100 fire stations, about 30 fire station commanders are now trained wildfire support officers, having participated in five days of specialist training. This included a trip to Northumberland, where the local fire service has more experience responding to open air blazes. 

Since 2022, LFB said all London firefighters had undergone enhanced training on wildfires at the so-called urban-rural interface. The fire risks to people and property is greater in the area where green or forested spaces meet built-up spaces.

The service added that it was also running a pilot of four wildfire response vehicles, which have off-road capability and enable firefighters to use the water pump while driving, in contrast to traditional fire engines. 

It also has wildfire beaters, long-handled, spade-like tools used to beat down grass fires; backpack blowers, which enable firefighters to push flames back into already burnt areas; and “holey hoses”, whose pre-prepared holes create a curtain of water. 

Zack Polanski, Green party deputy leader and chair of the fire committee at the London Assembly, said LFB had learnt lessons from the “huge wildfires” of 2022, but concerns remained about preparedness for a large wildfire event. 

He warned that the capital’s firefighters lacked lighter personal protection equipment commonly used when fighting wildfires across Europe. A trial of such PPE is taking place. 

“Unless people have experienced it or seen it, [a wildfire] can seem like an abstract idea . . . People don’t realise how terrifying and how destructive it is,” he added. “We need to make our cities more resilient.”

Guillermo Rein, professor of fire science at Imperial College London, said the city’s extensive green areas, alongside suburban gardens that are often surrounded by tall wooden fences, made for plentiful fuel for a fire. 

He also warned that stronger wind conditions than seen three years ago could cause worse damage.

“If we have a heatwave with a bit of wind, the fire brigade in London, unfortunately, will not be able to stop these fires. The probability of this is low . . . But we were very close to having a second great fire of London in 2022,” he said, referring to the devastating blaze of 1666. 

A paper by Rein and colleagues published this year warned of so-called firewaves in London and other urban centres, triggered by heatwaves and dry conditions. The researchers linked waves of wildfires to vapour pressure deficit — a measure of the atmosphere’s ability to extract moisture from the land surface.

Rob Gazzard, chartered forester and surveyor at the Forestry Commission, said how fire services responded to wildfires was “only one part of the puzzle” in addressing the rising risk of forest and grass fires. 

“What happens beforehand is critically important,” he said, pointing to the role of land managers and others in creating fire and fuel breaks during cooler periods of the year.

LFB’s McLatchey urged local authorities, councils and landowners to “manage the gap” between green areas and the urban environment by creating fire breaks, such as by cutting grass to a low level in the spaces near properties.