Brussels Edition: Fourth Time Lucky?

(Bloomberg) -- Welcome to the Brussels Edition, Bloomberg’s daily briefing on what matters most in the heart of the European Union.

Brexit will be front and center again today when the EU’s top leadership and assembly convene in Strasbourg. Officials and lawmakers will discuss last week’s deal and get updates from chief negotiator Michel Barnier on the latest from London, where Boris Johnson will try to push the full Withdrawal Agreement Bill through the House of Commons in just three days. The European Parliament panel tasked with Brexit matters already said any vote on the deal would come only after the U.K. has ratified it — a pragmatic stance given Westminster has already rejected three Brexits. This time, Johnson has a slender chance of winning approval. 

What’s Happening

Final Fireworks | Donald Tusk and Jean-Claude Juncker will hold their last joint debate with the European Parliament today on the outcome of the latest leaders’ meeting. Given their fiery performance at the end of last week’s summit, don’t expect either of them to hold back their critique of EU governments, especially over the failure to green light accession talks with Albania and North Macedonia.

Opening Up | EU lawmakers will also debate today legislation obliging multinationals to disclose publicly their profits and taxes paid by country — a push that has stalled in the face of opposition by governments. They’ll vote later this week on a resolution calling on ministers to start negotiations on a new law. While nonbinding, the vote could give fresh impetus to the initiative.

Draghi’s Legacy | Mario Draghi may be most famous for his “whatever it takes” — a three-word pledge to save the euro. But the outgoing ECB chief leaves behind a more complex legacy for the euro-area economy, with growth, jobs and inflation improving at very different rates. Here are some of the metrics that show his successes and failures.

Kosovo Test | Once beaten and imprisoned, Albin Kurti may be designated prime minister of Kosovo as early as this week. Then he’ll have to get to work trying mend ties with Serbia — a key requirement to starting accession talks with the EU. Here’s more on the former political prisoner.

In Case You Missed It

Catalan Challenge | Spain’s acting Prime Minister Pedro Sanchez visited Barcelona yesterday to visit police officers injured in separatist riots, as opinion polls show the unrest in Catalonia is boosting his right-wing rivals. It’s his first visit to the region following jail terms for Catalan separatist leaders, as he seeks to show he has a grip on the situation ahead of a general election next month.

Men’s World | Despite being celebrated, Christine Lagarde’s rise to become the ECB’s first-ever female president is atypical for her gender, according to new research. The findings are bleak: women daring to encroach upon the male-dominated world of economics and central banking seem to face greater hostility from their audience and less favorable referees when submitting papers.

Italian Drama | Leaders of Italy’s ruling coalition met yesterday to discuss next year’s spending plan after a weekend of posturing and veiled threats about a budget Prime Minister Giuseppe Conte says is all but finalized. At issue are items that affect the constituencies of the two coalition parties and, despite Italy’s limited room to maneuver, politicians are already calling for significant changes. 

Rate Caution | ECB officials must bear in mind their previous premature interest-rate hikes and the market turmoil around the U.S. Federal Reserve’s tapering of bond purchases when they eventually start to tighten monetary policy, Bank of Finland Governor Olli Rehn warned in a book published in Helsinki yesterday. Read more here about his recommendations for the future. 

Chart of the Day

The ECB is running low on sovereign bonds to buy, undermining the credibility of its pledge to keep going until inflation picks up. If the next phase of its asset-purchase program continues for two years, the ECB could face a shortage of about 60 billion euros ($67 billion). At the present pace, the central bank could run out of bonds in little over a year, according to calculations by Bloomberg Economics.

Today’s Agenda

All times CET.

• 9 a.m. EU Parliament debate with Council President Tusk and Commission President Juncker 
• 11:30 a.m. Juncker addresses EU Parliament on record of his Commission 
• 1 p.m. College of Commissioners meets in Strasbourg 
• EU lawmakers in Strasbourg discuss legislation obliging multinationals to disclose profits and taxes paid by country

--With assistance from Zoe Schneeweiss and Jonathan Stearns.

To contact the editor responsible for this story: Heather Harris at hharris5@bloomberg.net, Chris Reiter

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