The Board of the supermarket chain DIA has issued a profit warning because of the fall in the volume of sales and the increase in operating costs, which has caused it to revise its estimation of Ebitda for 2018 to between 350-400 million euros. This reduction of the forecast for 2018 does not include the potential impact of hyperinflation in Argentina, a country which accounts for 15% of sales.Read More
The yellow metal fell 4% in the three months from the end of June — a decline that analysts at Wisdom Tree do not believe is justified by the 11 basis-point rise in bond yields and 0.4% gain in the US dollar over the period. Rather, gold’s poor performance seems to have been driven by a collapse in sentiment.
The rapid rise in US Treasury yields has led to concerns about the fundamental outlook for emerging markets (EM). In particular, investors fear that higher risk-free yields will translate into unsustainably high borrowing costs for EM companies. While analysts from Julius Baer acknowledge the headwind for the developing world, they also believe that perception is generally more negative than reality.
The IMF has cut its global growth forecast in the October update to its World Economic Outlook (WEO) on the protectionist threat and the emerging markets situation. The Fund also reflects how those countries who confronted the last financial crisis with a better fiscal position were those countries who suffered smaller falls in GDP.Read More
Fernando G. Urbaneja | The objective of a minimum wage of 1,000 euros a month (full time, 14,000 euros a month) has entered the political and social agenda at the initiative of Podemos, with lukewarm support from their socialist partners.Read More