May 30, 2024, Bank of Japan Head Office in Tokyo.
Kazuhiro Nogi | AFP | Getty Images
Hello, my name is Katie Foley from London. I spend the morning leading the TV team in London as they prepare to air Early European Edition and Squawk Box Europe.
In the past two months, I can count on the fingers of one hand the days I haven’t been on top against Iran, and today is one of them.
What you need to know today
The Bank of Japan began this week’s central bank actions in a hawkish manner, with three of the nine board members voting against it and calling for a rate hike. This movement is Nikkei Shimbun Recovered from all-time highs. The Fed, Bank of England, and European Central Bank are all expected to take action this week, but expectations are rising in the market for future interest rate hikes.
Geopolitics has also taken a backseat to profits. The latest on tape this morning was from Novartis, where the Swiss pharmaceutical giant did not issue a quarterly profit forecast but still stood by its full-year outlook. Enjoy an interview with CEO Vasu Narasimhan live from Basel on Squawk Box Europe at 07:30 BST.
While global stock prices remain near record highs, the Kospi continues to soar in Asia, with South Korea overtaking the UK in terms of market capitalization and UK stocks dropping to 9th place.
As the Iran war marks its second anniversary today, White House press secretary Caroline Leavitt confirmed Monday that President Donald Trump and his national security team have discussed Iran’s proposal to reopen the Strait of Hormuz once the U.S. lifts the blockade and the war ends. German Chancellor Friedrich Merz didn’t mince words, telling Marsberg students that the United States was “humiliated” by Tehran’s leadership.
In a little more diplomatic news, Britain’s King Charles and Queen Camilla arrived in the United States today, hoping to strengthen their difficult special relationship with the American president, who has always been prone to a bit of pomp and ceremony. The King will address a joint session of the US Congress later today before a dinner at the White House tonight.
But back in the UK, Prime Minister Keir Starmer remains in trouble, with a vote expected today on a potential inquiry into whether he misled the House of Commons about the appointment of former US ambassador Peter Mandelson.
— Katie Foley
And finally…
BYD faces increased EU scrutiny over labor abuse allegations at Hungarian factory
Electric vehicle giant BYD has become the first Chinese company to be brought before the European Parliament over allegations of labor abuses in Hungary, CNBC reports, following a supervisory investigation into working conditions there.
A report released on April 14 by China Labor Watch (CLW), a New York-based watchdog group, said contractors hired to build a BYD factory in Hungary forced thousands of employees to work shifts of more than 12 hours a day, seven days a week. The organization announced that it interviewed 50 employees and visited the factory site three times since October 2025.
— Evelyn Chen, Matthew Chin
