European Central Bank policymaker Pierre Wunsch said the euro zone faces the risk of "sleepwalking" into excessive interest rate cuts and must be prepared to stop soon, the Financial Times reported on Monday.

French President Emmanuel Macron, in an interview with the Financial Times has described Donald Trump’s return to power as an “electroshock” for the EU and a moment “to accelerate and execute”, warning that otherwise the project is at risk of failure: “It has no choice.

The European Central Bank's top policymakers outlined the contours of a looming policy debate on Wednesday, taking opposing views on inflation risks and on how much the bank is still holding back the economy.

U.S. President Donald Trump on Sunday shrugged off the European Union's reported push to block imports of U.S. soybeans and other foods made to different standards, warning such a move would only hurt Europe itself.

The European Central Bank will soon have to discuss taking a break, or ending altogether, its campaign of interest-rate reductions, Executive Board member Isabel Schnabel told the Financial Times.

Henna Virkkunen, the European Commission’s executive vice-president in charge of digital policy, told the Financial Times the EU wanted to “help and support” companies when applying AI rules, as the bloc sought to boost competitiveness and not miss the boat on this technology.

US President Donald Trump last night threatened to slap 25 per cent tariffs on imports from the EU, claiming the bloc “was formed to screw the United States.” Today, our trade and competition correspondents explain why the European Commission is decamping to India for a goodwill tour,

The US president’s rapid re-engagement with Russia, a country that most European countries see as an existential threat, has sparked frantic discussions on how to collectively bolster Europe’s defensive capabilities and reduce reliance on American troops and weapons.

Europe must cut taxes on electricity if it wants to help struggling industries become more competitive, the heads of two of the continent’s largest power companies have said.

But there is one financial sanction where Europe has the upper hand — indeed the only hand: blocking the Central Bank of Russia’s access to hundreds of billions of foreign exchange reserves. Virtually all of this is in European jurisdictions, mostly in the form of a blocked near-€200bn deposit the CBR holds in Euroclear Bank in Belgium.

The dedicated fund should be focused on “areas of European strategic interest like a European integrated air defence, deep- and precision strike capabilities, drone and UAVs, missiles and ammunition or of course the military use of AI”, von der Leyen said.

The EU is considering redirecting €93bn in untapped pandemic ... according to a note from the commission’s regional funds department, seen by the Financial Times. “Investments in R&D directly aiming at developing new technologies for the military ...