Euro

ASML, the Dutch maker of advanced lithography equipment, has said it currently sells no chipmaking machines to customers in Europe, an executive stated. The remark highlights how Europe's chip production relies onfabs elsewhere, as the company's machines are bought mainly by manufacturers in Asia and the United States, raising questions about Europe's semiconductor ambitions.

New analysis outlines recent developments in UK and European space policy and industrial strategy. The item focuses on how governments across the region are shaping their space sectors, including policy choices and industrial planning, though no specific measures, dates, or organisations are detailed in the available information.

The Chips Joint Undertaking has opened calls worth €80 million to advance European AI computing capabilities. The funding is intended to strengthen Europe's semiconductor and processor ecosystem for artificial intelligence workloads, supporting research, development and innovation across the bloc. The move fits into wider European efforts to reduce dependence on foreign chip suppliers and build sovereign AI compute capacity.

European Central Bank President Christine Lagarde said eurozone inflation is expected to rise in the coming months, but stressed there are no signs yet of it becoming entrenched. The remarks matter for markets and households watching whether the ECB will keep or ease its policy stance, since entrenched inflation would likely force tighter policy for longer.

The European Central Bank is examining new currency safety nets aimed at strengthening the euro's role in the global financial system. The initiative would seek to make the euro a more attractive alternative to the US dollar for international reserves and trade, amid growing discussion in Europe about greater financial autonomy and reducing reliance on dollar-based arrangements.

Europe and the United Arab Emirates are planning a $1 billion data center in orbit, built around 50 connected space-based computers. The project would include a central 'LLM store' letting users choose open source AI models to run directly on data gathered by satellite sensors, processing information in space rather than sending it back to Earth.

New figures on the Real House Price Index across selected European countries for Q1 2026 show a clear gap between nominal and real house price growth. While headline prices continue to climb across much of Europe, inflation-adjusted gains are more modest, pointing to a boom that is partly a reflection of rising prices generally rather than housing alone. The data are drawing attention from those tracking affordability and market overheating.

Economists polled by Reuters expect euro area consumer prices to have risen 3.5% year-on-year in September, up from 3.2% in August, which would be the fastest pace in nearly three years. The Eurostat flash estimate is due on Friday.

The Council of the EU is raising the question of whether Europe should develop its own payment system, reducing reliance on US-dominated networks like Visa and Mastercard. The discussion touches on strategic autonomy, with officials weighing the benefits of a European alternative for consumers, banks and businesses, and what it would take to build one at scale.

The European Central Bank took part in a hearing before the European Parliament's Committee on Economic and Monetary Affairs. Such hearings typically cover monetary policy, inflation, banking supervision and financial stability, giving lawmakers a chance to question the central bank on its decisions. The exchange matters because Parliament committees scrutinise the ECB's accountability on behalf of EU citizens.

European stock markets traded broadly flat, with gains among UK homebuilders offset by pressure from oil stocks and rising bond yields. Reuters reported that the opposing forces left major indices little changed. Investors are weighing rate expectations and energy sector weakness against a notable rally in British residential construction shares.

Musicians of the Cleveland Orchestra have voted to end their three-day strike after reaching a new agreement, and are now preparing for an upcoming tour of Europe. The deal ends a rare work stoppage for one of America's leading orchestras, and attention now shifts to performances abroad and the terms that will govern players' work going forward.

Villages near RAF Fairford in Gloucestershire, which hosts US Air Force bombers, are reacting to reports of a possible terrorist plot connected to the base. Residents and local officials are discussing the security implications for the area, and the story is drawing wider attention in the UK and abroad as details of the alleged plot remain limited.