Economy
Argentina pushes for labor reform despite protests
Argentina edged closer on Thursday to approving labor reforms that have led to clashes between workers and police in the streets outside Congress.
The reforms, a pet project of budget-slashing President Javier Milei, would make it easier to hire and fire workers, reduce severance pay, limit the right to strike and restrict holiday rights.
Critics say the move will make jobs more precarious in a country where almost 40% of workers lack formal employment contracts.
The Senate voted 42-30 early Thursday to pass the reform, which will now head to the Chamber of Deputies for approval.
It came a day after demonstrators in the capital Buenos Aires hurled stones and bottle bombs at police who responded with tear gas and rubber bullets.
A few dozen people, many hooded and masked, clashed with police blocking access to the parliament, as lawmakers inside the building debated the plans.
Agence France-Presse (AFP) witnessed injuries to one police officer and one protester, though an official toll has yet to be made public. Media at the scene estimated that at least 20 people were arrested.
Milei has insisted that existing labor laws are too restrictive and discourage formal hiring. He wants the reforms adopted by March.
‘Exploitative’
“Today we are here to decide whether we remain trapped in a statist, corporate and patronage-based system that has driven away investment, destroyed jobs and impoverished millions of Argentinians,” Joaquin Benegas Lynch, a ruling party senator, told Wednesday’s debate.
But for protester Federico Pereira, a 35-year-old sociologist, “with this exploitative labor reform, they are only thinking about the wealthy. Those who benefit are the bosses.”
Since taking office in December 2023 with a plan to revitalize Argentina’s struggling economy, Milei has slashed government spending and spurred deregulation.
Opposition parties and unions dispute that the reforms will create new jobs.
They point out that the economy shows persistent signs of stagnation, marked by declining consumption and industrial activity.
Security Minister Alejandra Monteoliva vowed that those responsible for Wednesday’s violence “will be identified” and punished appropriately.
“They are dozens of members of leftist groups who acted in an organized manner, with premeditated violence and improvised weapons to… sow chaos. They will pay,” she said on X.
Britain’s economy barely expanded in the final quarter of 2025 as activity fared worse than initially estimated during the run-up to Treasury chief Rachel Reeves’ budget, official figures showed on Thursday.
Gross domestic product (GDP) grew by a mere 0.1% in the October-to-December period, the same slow pace as in the third quarter, the Office for National Statistics (ONS) said.
Economists polled by Reuters, as well as the Bank of England (BoE), had forecast 0.2% fourth-quarter growth compared with the previous three months.
The period was marked by rampant speculation about tax increases ahead of Reeves’ budget on Nov. 26. The ONS revised down monthly GDP data for the three months to November to show a 0.1% contraction rather than 0.1% growth.
Some more recent data have suggested that uncertainty has lifted for consumers and businesses.
“Looking at various surveys, there were some tentative signs that sentiment turned a corner and started to improve after the budget last year, which could help deliver a pick-up in activity this year,” Luke Bartholomew, deputy chief economist at Aberdeen, said.
‘Political uncertainty’
“However, recent political uncertainty may see that sentiment bounce reverse.”
Prime Minister Keir Starmer has had to fight to keep his grip on Downing Street this week due to fallout from the Jeffrey Epstein scandal.
Thursday’s figures underscored why investors think that the Bank of England is more likely than not to cut interest rates again in March.
The monthly GDP data showed a sharp downward revision to growth.
The data suggested hesitancy on the part of businesses during the fourth quarter as their investment fell by almost 3% – the biggest quarter-on-quarter drop since early 2021, driven largely by volatile transport investment.
Economist Thomas Pugh at tax and consultancy firm RSM said the overall weakness in business investment suggested budget uncertainty held back investment and spending.
Manufacturing was the biggest driver of the increase in output, despite the fact that car output was still recovering from September’s cyber attack on Jaguar Land Rover, while the dominant services sector was flat. Construction output contracted by 2.1%.
In 2025 as a whole, Britain’s economy grew by an annual average 1.3%, the Office for National Statistics said, compared with 0.9% in France, 0.7% in Italy and 0.4% in Germany.
British economic growth per head contracted by 0.1% for the second quarter, although it rose by 1.0% for 2025 as a whole.
In December alone, the economy grew by 0.1%, the ONS said, as expected in the Reuters poll. That left the size of the economy back at its level of June 2025.
President Donald Trump is privately discussing the possibility of withdrawing from the U.S.-Mexico-Canada Agreement, Bloomberg reported Wednesday, citing officials familiar with the matter, a move that could inject fresh uncertainty into upcoming renegotiations of the trilateral trade deal.
Officials who spoke to the news organization on condition of anonymity about the internal discussions said the president has asked aides why he should not renounce the pact he made during his first term, but he has stopped short of signaling he would do so.
When questioned about the talks, a White House official characterized Trump as the final arbiter and someone who is constantly looking for a better bargain for the American people. Any discussion of possible action before the president made an announcement was nothing more than unfounded conjecture, according to the official.
A representative in U.S. Trade Representative Jamieson Greer’s office said the administration planned to keep Trump’s options open and engage in negotiations to resolve identified flaws, saying that approving the 2019 terms was not in the best interests of the country.
Speaking on condition of anonymity, both officials refrained from openly addressing whether Trump was considering leaving the trade agreement. Greer stated Tuesday that the administration would have separate discussions with Canada and Mexico, citing the more tense trade relations with Canada. He made no mention of Trump’s approval of an extension.
The USMCA took the place of the North American Free Trade Agreement (NAFTA), which governed commerce between the three nations since 1994 but was criticized by Trump during his initial presidential campaign. Trump vowed to withdraw from NAFTA before accepting the revised agreement, which included a sunset clause that required a renegotiation this summer and tighter regulations and increased U.S. car content standards.
On July 1, the USMCA will undergo a mandated review prior to a potential extension. The procedure, which was first anticipated to be routine, has turned into a heated negotiation. Trump has put pressure on Ottawa and Mexico City to address unrelated matters like defense, migration and drug trafficking, in addition to demanding additional trade concessions.
Stricter rules of origin for important industrial goods, improved cooperation on crucial minerals, worker safeguards and dumping are all areas of potential concern, an official stated, adding that Greer will suggest a renewal if a settlement integrating input from industry stakeholders can be reached.
The agreement would be in effect for an additional 16 years if the nations consented to a renewal. But if that does not occur, it can lead to yearly reviews for 10 years, until the agreement expires in 2036. Any nation could give six months’ notice before announcing its intention to leave.
The treaty covers almost $2 trillion in products and services, so such a move would rock the foundations of one of the biggest economic relationships in the world. Even the prospect of a U.S. withdrawal would make investors and world leaders more uneasy.
Retail sales growth in Türkiye accelerated in December to the highest level in seven months, ending the year on a high note after several months of robust performance, official data showed on Wednesday.
The volume of retail sales climbed 16.3% on a yearly basis in December, after also posting notable rises in November and October, according to the Turkish Statistical Institute (TurkStat).
This was the strongest growth since May, when retail sales had risen 17.7%, the data showed.
The annual sales growth in non-food products, except automotive fuel, was 20.3% in December, while that of food, drinks and tobacco stood at 9.6%.
Data also showed that automotive fuel sales logged an expansion of 8.3% on a yearly basis. Sales via mail orders or the internet grew 16.7% over the same period.
Meanwhile, on a monthly basis, retail sales increased at a stable rate of 1.7%.
At the same time, the broader trade sales volume, which is comprised of retail sales, wholesale and retail trade and repair of motor vehicles and motorcycles and wholesale trade jumped 3.8% on an annual basis in December.
In the same month, wholesale and retail trade and repair of motor vehicles and motorcycles sales volume surged by 3.0%, while wholesale trade sales decreased by 1.0%.
Month-over-month total trade sales volume increased by 2.1%, TurkStat said, compared to a 0.8% increase in November.
Retail sales and trade sales in general are a significant indicator of consumption and consumer behavior, and they contribute to gross domestic product (GDP).
The World Trade Organization (WTO) is in need of an urgent reform, its chief warned Wednesday, saying that she does not think “the status quo is an option.”
“We are meeting today at an inflection point, not just for the WTO, but … for the multilateral system,” WTO head Ngozi Okonjo-Iweala told reporters, saying that if the global trading system were allowed to lapse, it would be “chaos.”
“We need to change to fit with the times,” she said.
Reform will be at the heart of the WTO’s ministerial meeting in Cameroon next month.
The World Trade Organization regulates large swathes of global trade but is handicapped by a rule requiring full consensus among members, and a dispute settlement system crippled by the U.S.
The Geneva-based organization faced structural and geopolitical obstacles long before U.S. President Donald Trump returned to the White House last year and dramatically ratcheted up global trade tensions.
Speaking at the WTO’s headquarters, Okonjo-Iweala said that “the world is moving so fast … If you look at the speed at which technology is moving, and AI is moving and quantum technologies are moving.”
“If your organization doesn’t adapt, then you’ll be left behind,” she said.
“This organization provides stability and predictability,” she added, hailing that “in spite of all the knocks, it is still the bedrock for so much of world trade.”
“If we don’t have this system, what does it mean? I’ll be very honest with you: there’ll be chaos,” she said.
“It means a business will send goods somewhere without the knowledge of how those goods will be valued when it arrives at customs … you wouldn’t know how your goods will be valued before you’re tariffed. You wouldn’t know whether you’re going to make money or not.
“You’ll be confronted when your goods arrive with rules that you were never aware of,” she said.
Several European companies have frozen hiring or cut jobs over the past year, including consumer goods giants and some of the major brands in the automotive sector, citing difficult economic conditions exacerbated by U.S. tariffs.
The automotive industry in particular was hit hard in recent years, first by rising competition from China, but then also pressure stemming from quickly changing trade policies of the new U.S. administration.
Danish companies such as Orsted, which operates in the wind energy sector and pharmaceuticals giant Novo Nordisk have also announced layoffs.
Orsted, last year, canceled plans to build one of the U.K.’s largest offshore wind farms, while it also faced headwinds in the U.S. due to the policies of the Trump administration, which increasingly promotes fossil fuels. The administration suspended leases on several large offshore wind projects in December.
At the same time, Novo Nordisk, which has previously boomed amid growing demand for weight loss medications, announced it would cut as many as 9,000 jobs, and it also issued a warning last week that its profits and sales could drop as much as 13% this year.
On Wednesday, Dutch brewer Heineken became the latest one to say it would reduce its workforce.
Here is a look at some of the companies that announced layoffs in recent months.
Car and car parts makers
Bosch: The German home appliance manufacturer will cut 13,000 jobs, it said on Sept. 25.
Continental: The German tire maker plans to cut 1,500 additional jobs at its ContiTech rubber and plastics division, a works council source said on Nov. 24, on top of the 10,000 job cuts announced group-wide in restructuring efforts.
Daimler Truck: The truckmaker confirmed media reports on Aug. 1 that it would cut 2,000 jobs across its plants in the U.S. and Mexico, on top of the previously announced 5,000 job cuts in Germany.
Man: The German truckmaker plans to cut around 2,300 jobs over the next decade, a spokesperson said on Nov. 20.
Renault: The French carmaker confirmed on Oct. 4 that it was planning cost cuts but said it had no figures to report yet, after a newsletter reported it would cut 3,000 jobs by year-end in support services at its headquarters and other locations worldwide.
Banks
Lloyds: The British bank will consider the dismissal of around half of 3,000 staff to cut costs, a source familiar with the matter told Reuters on Sept. 4.
Abn Amro: The Dutch bank plans to cut 5,200 jobs by 2028, it said on Nov. 25.
Energy sector
OMV: The Austrian oil and gas company plans to cut 2,000 positions, or a 12th of its global workforce, the Kurier newspaper reported on Sept. 4.
Semiconductors
Ams Osram: The Austrian semiconductor supplier and sensor maker will launch a cost-cutting programme that will affect about 2,000 employees, it said on Feb. 10.
ASML: The Dutch chip equipment maker said on Jan. 28 it would cut 1,700 jobs, some 3.8% of its staff, as part of a broader plan to shed 3,000 management posts and hire engineers to focus on innovation.
Industrials and engineering
Sika: The Swiss industrial and construction chemicals maker said on Oct. 24 it would cut up to 1,500 jobs in persistently weak markets such as China.
Thyssenkrupp: The German industrial group’s steel division said on Dec. 1 it had agreed with the IG Metall union to cut or outsource about 11,000 jobs, or 40% of its workforce, in an agreement lasting until 2030.
Wacker Chemie: The German chemical company said on Nov. 27 it would cut more than 1,500 jobs, or around 9% of its workforce, by the end of 2026, blaming high energy costs and bureaucratic red tape in Germany.
Consumer goods
Burberry: The British luxury brand will shed 1,700 jobs or around a fifth of its global workforce, it said on May 14.
Heineken: The Dutch brewer will cut up to 6,000 jobs globally over the next two years as strained consumer finances, bad weather and geopolitical tensions take their toll, it said on Feb. 11.
Nestle: The group will cut 16,000 jobs, or 5.8% of its staff, it said on Oct. 16.
Others
Ericsson: The Swedish telecommunications equipment maker will cut some 1,600 jobs in Sweden, it said on Jan. 15, as it weathers a prolonged downturn in telecoms spending.
Lufthansa: The German airline group said on September 28 it would cut 4,000 administrative jobs by 2030.
Kuehne+Nagel: The Swiss freight forwarder will target 1,500 jobs under a cost-cutting programme to combat margin pressures and overcapacity, it said on Oct. 23.
Novo Nordisk: The Danish pharmaceutical company will cut 9,000 jobs globally, it said on Sept. 10.
Orsted: The Danish wind power group said on Oct. 9 it would cut around 2,000 jobs by the end of 2027, a quarter of its workforce.
Telefonica: The Spanish telecoms company will cut more than 4,500 jobs in Spain, union representatives said on Dec. 17 following negotiations.
Türkiye imported a record amount of silver last month, marking a monthly high, as prices of the precious metal rose at an unprecedented level at the start of the year, a report showed on Tuesday.
The country imported 273.3 tons of silver in January, compared to 31.55 tons in January 2025, Anadolu Agency (AA) reported, citing data from the Turkish stock exchange Borsa Istanbul’s precious metals market report.
The figure was also up from December’s 65.56 tons, according to the report.
At the same time, Türkiye’s gold imports totaled 7.79 tons last month, down from 9.65 tons in January 2025 and 10.92 tons in December.
Silver prices surged over 50% through January, buoyed by higher industrial demand, tightening physical conditions, and geopolitical tensions.
However, after hitting a historic high of $121.67 per ounce at the end of January, silver prices have fallen more than 33% since the start of February, due to easing geopolitical tensions and falling expectations of a Federal Reserve (Fed) rate cut.
The choice of Kevin Warsh as the next Fed chair set off a wave of selling in risk assets that had sent precious metals tumbling, reversing much of the gains recorded in January.
Warsh, whom the markets see as hawkish in relation to monetary policy, if confirmed, is likely to succeed Jerome Powell, who often was at odds with U.S. President Donald Trump over the pace of rate cuts.
Simmering tensions between the U.S. and Iran, which appeared to have somewhat eased in recent days, are also considered to have pushed prices of gold and silver down. However, small fluctuations are still visible.
On Wednesday morning, spot silver was up 3.4% at $83.40 per ounce, after falling more than 3% in the previous session.
Gold prices also gained slightly on Wednesday, buoyed by a weaker dollar and lower Treasury yields, while investors awaited key U.S. jobs data later in the day for clues on the Federal Reserve’s policy outlook.
Spot gold was 0.5% higher at $5,048.27 per ounce by 08:31 a.m. GMT. U.S. gold futures for April delivery gained 0.8% to $5,072.60 per ounce.
Gold was at nearly $5,600 on Jan. 29, the highest on record. Retail and central banks’ demand around the world has spurred prices of gold to unseen levels and investors and analysts predict they are likely to maintain an upward momentum this year.
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