The daily business briefing: October 18, 2019

1. EU backs Brexit deal, setting up vote by British Parliament

European Union leaders unanimously backed a proposed Brexit deal on Thursday, hours after EU and U.K. negotiators reached the draft agreement. The deal would prevent a hard border between EU member Ireland and Britain's Northern Ireland, the two sides of the U.K.'s only land border with the EU. The deal now goes to British Parliament, where its fate is uncertain. U.K. lawmakers rejected proposals presented by Prime Minister Boris Johnson's predecessor, Theresa May. Johnson said the proposal was "a great deal for our country." Labor Party leader Jeremy Corbyn disagreed. "It seems the prime minister has negotiated an even worse deal than Theresa May's, which was overwhelmingly rejected," Corbyn said. European Commission President Jean-Claude Juncker said the agreement was "fair and balanced."

The Associated Press

2. Juul stops U.S. sales of flavored e-cigarettes

E-cigarette maker Juul Labs announced Thursday that it would stop selling all of its flavor pods except tobacco, mint, and menthol in the U.S. The company has faced a backlash as regulators, lawmakers, and state prosecutors have accused it of contributing to rising vaping among teens by marketing flavored e-cigarettes to young people. Juul last year pulled its mango, fruit, creme, and cucumber nicotine pod flavors from retail stores, but until now they were still available on its website. The Food and Drug Administration last month warned Juul that it was misleading customers by claiming in ads that its products are safer than cigarettes, and the Trump administration announced a plan to ban flavored vaping products.

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Reuters

3. U.S. imposes tariffs on $7.5 billion in European goods

The Trump administration on Friday imposed tariffs on $7.5 billion worth of European Union goods, including parts and planes made by Boeing-rival Airbus, French wine, and Scottish whiskies. The tariffs took effect at midnight after U.S. and European negotiators failed to agree on a deal in last-minute talks. Aircraft from Britain, France, Germany, and Spain imported to the U.S. now will face a 10 percent tariff, a move the Trump administration announced earlier this month after the World Trade Organization ruled the U.S. could impose tariffs to offset illegal preferential treatment of Airbus by the EU. French Economy Minister Bruno Le Maire, who is scheduled to meet U.S. Trade Representative Robert Lighthizer on Friday, warned that "Europe is ready to retaliate."

France24 MarketWatch

4. Stocks struggle after China reports slowing growth

U.S. stock index futures edged lower early Friday after China released data showing its weakest growth in 27 years, fueling fears of a global economic slowdown. Futures for the Dow Jones Industrial Average, the S&P 500, and the Nasdaq all fell by about 0.1 percent. China said its economy grew by 6 percent in the third quarter compared to a year earlier, the lowest figure since the earliest quarterly data on record from 1992. Analysts surveyed by Reuters had expected 6.1 percent growth. China posted growth of 6.2 percent in the previous quarter. The slowdown was expected to raise pressure on Beijing to step up its efforts to stimulate the economy to offset damage from the U.S.-China trade war.

CNBC Reuters

5. Report: Saudi Aramco delays IPO following attack

Saudi Aramco is delaying its planned initial public offering of stock, Reuters reported Thursday, citing two sources familiar with the matter. The Saudi energy giant reportedly is hoping that its looming third-quarter results will help it shore up investor confidence in the wake of a Sept. 14 attack on Saudi plants that temporarily knocked out half of its crude oil production. "They want to do all that they can to hit the valuation target. Solid results after the attack will put them in a stronger position," a source told Reuters. Saudi Aramco said in a statement that it "continues to engage with the shareholders on IPO readiness activities" and the offering would "depend on market conditions and be at a time of the shareholders' choosing."

Reuters