Today: This is how risky Thyssenkrupp finances its dismantling
Thyssenkrupp wants to finance its transformation - and has to pledge its business divisions to do so. Also: Why is the gold price rising, despite the market expecting an interest rate hike?
Thyssenkrupp aims to accelerate its transformation using an unusual financing model, according to sources cited by the Handelsblatt newspaper. The restructuring process is reportedly to be funded by new credit lines from the company's subsidiaries, secured by assets. This approach can provide liquidity, but it also carries risks.
In a podcast, Handelsblatt's industry reporter Isabelle Wermke discusses whether this financing model truly has a future or if Thyssenkrupp risks damaging its group divisions. The second part of the podcast episode explores the gold market, which is behaving unexpectedly: typically, the price of gold drops when interest rates rise, or threaten to rise.
However, due to increased inflation caused by the Iran war, the market is only waiting for the US central bank to raise interest rates in September. Despite these expectations, the price of gold has been rising since the beginning of the month. Mark Valek, a gold expert and one of the editors of the "In Gold We Trust" report from the asset management firm Incrementum in Liechtenstein, explains the unusual situation in the gold market on the podcast.
Written by urgent.news from Handelsblatt's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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