The eurozone might avoid new banking crisis – analysts say
The eurozone endured a lot over the last several years. First, the coronavirus pandemic ravaged the global economy, then Russia invaded Ukraine, and EU officials issued sanctions against it to aid the latter. However, Europe didn’t escape unscathed either. Russia stopped its gas delivery in response, forcing the European countries to find alternative resources for factories and heating over the last winter.
Concerns about the struggling banking sector didn’t help matters. Several U.S. regional banks collapsed last week, causing much volatility in the markets. Investors feared how that failure would influence global banking.
Despite all these concerns, the eurozone economy seems strong. On Friday, Dutch Prime Minister Mark Rutte stated that he doesn’t expect a new regional banking crisis. EU leaders met at a summit in Brussels to discuss the current situation.
Rutte pointed out that the eurozone’s banking sector was considerably stronger compared to a decade earlier. The economy also strengthened over the years. Prime Minister thinks that things are very well-organized in Europe. Thus, investors shouldn’t worry about the new financial crisis. Some analysts agree with Rutte, claiming that the situation in the eurozone is different than in the United States and Switzerland. The latter also encountered banking problems recently.
Meanwhile, Chinese blue-chip Meituan reported a revenue jump
Major Chinese food delivery company Meituan announced on Friday that it expects its quarterly revenue to increase by a whopping 21.4%. It managed to come ahead of its rivals and celebrated more success recently.
Meituan owns a popular app that provides a great variety of services, including food delivery, bike-sharing, mapping, movie ticketing, and restaurant bookings. The company reported that its total revenue skyrocketed to 60.13 billion yuan for the last three months of 2022. That’s much higher compared to the 49.52 billion yuan growth from a year earlier.
Analysts forecasted revenue to reach only 57.88 billion yuan, but Meituan surpassed their expectations. The company suffered greatly during the coronavirus pandemic, but it seems to be recovering well.