Headlines

British manufacturers faced their worst month in six years in June, as companies and their clients continued to run down stockpiles amassed in the run-up to the March Brexit deadline, the Financial Times reported. The purchasing managers’ index compiled by IHS Markit, the research group, fell from 49.4 in May to 48 in June — the lowest level since 2013 — indicating that a majority of businesses had reported a fall in output for a second consecutive month. Production was the weakest since October 2012 and most companies reported job cuts for the third month running.

Saudi Arabia plans to issue a debut euro-denominated bond, part of a borrowing binge to meet the government’s ambitious spending targets, The Wall Street Journal reported. The bond is aimed at diversifying Saudi Arabia’s investor base, following predominantly dollar debt that has catapulted the kingdom up the ranks of emerging-market bond issuers. Subject to market conditions, Saudi Arabia is seeking to issue the bond in tranches of eight and 20 years, according to a marketing document provided by one of the arrangers Monday. The exact timing of the issuance isn’t clear.

Spanish manufacturers reported tumbling orders and falling output as the eurozone economy continues to be hit by global trade angst and weakening growth, the Financial Times reported. The closely watched IHS Markit purchasing managers’ index fell to 47.9 in June, down from 50.1 in May. The figure was lower than the 49.5 forecast in a Reuters poll. A reading below 50 indicates a majority of companies reported falling output.

The risks to Ireland from a no-deal Brexit were outlined in stark terms as a top official warned that the country’s high debts had left it vulnerable to shock, the Financial Times reported.

After a year of fending off an International Monetary Fund bailout, Pakistan’s Prime Minister Imran Khan wants to win one this week with a plan to jolt his economy into shape—potentially at the expense of the agenda that helped him get elected, The Wall Street Journal reported. The IMF board is due to meet Wednesday in Washington to consider whether Pakistan is undertaking enough tough action to get a loan of $6 billion over three years. Mr.

Rome’s populist government has revised its ambitious spending plans in an effort to avert EU budget sanctions. Italy’s rising debt burden — at 132 per cent of gross domestic product the second-highest in the eurozone — is in breach of EU budgetary rules, according to an assessment by the European Commission last month, putting it at risk of becoming the first country to incur financial penalties, the Financial Times reported. Ministers reached an agreement on Monday evening on a law to adjust the budget in the hope of averting an excessive deficit procedure (EDP) by the EU.

One of India’s top microlenders is seeking about 60 billion rupees ($900 million) from banks and non-bank lenders to fund loan growth as demand from borrowers living in small towns and rural areas bucks the slump in the nation’s overall credit offtake, Bloomberg News reported. Satin Creditcare Network Ltd., whose assets exceed 70 billion rupees, needs the cash to meet its credit-growth target of about 40% for the year ending March, Chairman H. P. Singh said by phone.

Deutsche Bank AG’s efforts to turn around its struggling investment bank are gaining traction with investors, Bloomberg News reported. The cost of credit insurance on the bank’s riskiest debt fell for an 11th session on Monday, the longest streak of declines in more than two years, according to ICE Data Services. Swaps covering the bank’s safer bonds have also fallen to the lowest in months, the data show.

The eurozone’s annual rate of inflation stayed well below the European Central Bank’s target in June, ratcheting up the pressure on policy makers to provide more stimulus in an effort to prop up a faltering economy, The Wall Street Journal reported. Earlier this month, ECB President Mario Draghi signaled that the bank could roll out fresh stimulus as soon as July, prompting a rebuke from U.S. President Donald Trump, who accused the rate setter of seeking to weaken the euro. Mr. Draghi responded by insisting that the central bank doesn’t target the euro’s exchange rate.

Gold miner Avocet Mining Plc, which has been plagued by a shortage of cash and feeble production, on Friday said its board has proposed voluntary liquidation and that remaining cash should be used to pay creditors, Reuters reported. The company had warned in October that it could be broken up as it continued talks with its largest shareholder, Elliott Management, to restructure its debt. In June, it said it would sell its interests in a mine in Guinea to restructure loans.