US CREDIT UPDATE: Ford is considering cancelling production of F150 Lightning EV
Ford is considering cancelling production of F-150 Lightning E-Truck
(F; Ba1/BBB-neg/BBB-)
• WSJ is reporting that F is considering cancelling production of its F-150 Lightning pickup truck. These trucks have accounted for about 2.5% of total F truck sales as recently as Q2'25.
• This is despite F having record sales of the truck in Q3 of this year and its position as the best selling e-pickup truck in the US
• It is noteworthy that F reported that F-150 Lightning sales plummeted in October after the $7500 federal tax credit for e-vehicles went away. F sold only 1,543 Lightnings in October.
• Due to a fire at major aluminum parts supplier last month, F had recently idled its F-150 Lightning plant. Reports indicate parts will resume production/shipment in December of this year.
• CEO Jim Farley recently surprised the market when he said F believes that electric vehicles will only account for 5% of US vehicle sales in the US going forward as a result of the removal of all govt subsidies.
• Various sources indicate that F has spent upwards of $55b in the development of EVs and batteries over the past decade.
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MNI EXCLUSIVE: Italian government officials discuss the outlook for growth
Italian government officials discuss the outlook for growth and the impact of a strong euro.- On MNI Policy MainWire now, for more details please contact sales@marketnews.com
GERMANY: Government Upwardly Revises GDP Projection
German growth will be 0.2% in 2025, 1.3% in 2026 and 1.4% in 2027 according to the autumn economic projections of the German Economy ministry. These represent upwards revisions from 0.1% and 0.8% for 2025 and 2026 respectively in the last (spring) projection.
- Government expenditure is seen rising 6.1% Y/Y in 2025, 5.1% in 2026 and 2.2% in 2027. These figures are clearly higher than where they stood in the spring projection (which was published on 24 April, so after parts but not all of the recent fiscal expansion were passed in parliament) and may thus drive a decent part of the overall more optimistic growth outlook.
- Full release here: https://www.bundeswirtschaftsministerium.de/Redaktion/DE/Downloads/E/eckwerte-der-herbstprojektion-2025.pdf
- Economy minster Reiche is speaking currently: https://www.youtube.com/live/3uV77lKiqg4
- A reminder that yesterday, the fiscal projection of the German "Stability Council" found that "the Maastricht debt ratio could rise to around 80.25% of GDP by the end of the projection period in 2029" in Germany. This compares with a realised debt ratio
of 62.5% of GDP in 2024.
BUND TECHS: (Z5) Clears Resistance
- RES 4: 129.50 High Aug 5
- RES 3: 129.58 61.8% retracement of the Jun 13 - Sep 3 bear leg
- RES 2: 129.44 High Sep 10 and key short-term resistance
- RES 1: 129.07 76.4% retracement of the Sep 10 - 25 bear leg
- PRICE: 128.97 @ 13:24 BST Oct 8
- SUP 1: 128.25/127.88 Low Oct 7 / Low Sep 25
- SUP 2: 127.61 Low Sep 3 and the bear trigger
- SUP 3: 127.46 1.00 proj of the Aug 14 - 15 - 28 price swing
- SUP 4: 127.13 1.236 proj of the Aug 14 - 15 - 28 price swing
Bund futures have rallied sharply higher today and in the process cleared initial resistance at 128.84, the 61.8% retracement of the Sep 10 - 25 bear leg. The breach signals scope for a stronger recovery and potentially exposes key resistance at 129.44, the Sep 10 high. The next resistance is 129.07, the 76.4% retracement. The Oct 7 low of 128.25, has been defined as a key short-term support.
