The company is a great business that can raise €8bn to essentially hand over the proceeds to the US courts without destroying its market cap (c.-10% on the news). “Hats off then to Mr Cryan, the CEO of Deutsche Bank, for keeping the benefits of the doubt for more than a year into the job”, says Carax- Alphavalue’s analysts.
J.L Campuzano (Spanish Banking Association) | What is clear from ECB President Mario Draghi’s speech last Thursday is that investors consider we are closer than farther away from the start of monetary normalisation against a backdrop of economic optimism.
One of the benefits of the Talisman acquisition for Repsol has been precisely the reduction of geopolitical risk in its Upstream business, given that the lion’s share of its Downstream activity is carried out in Europe.
Yukon Huang via Caixin | China’s economic success over the past several decades coupled with America’s struggles to rebuild its economic base since the global financial crisis has spurred a debate about the relative roles for the state and market in guiding each country’s particular form of capitalism.
The Make in India campaign is an attempt to encourage foreign investment and manufacturing in the country in sectors such as aviation, automotive, steel and defense. Modi’s India finally seems to be walking toward a future where the traditional reliance on red-tape and high-level bureaucracy is fading in the minds of foreign investors.
Nick Malkoutzis via Macropolis | A Greek businessman, a Greek minister, a Greek opposition MP and a German official go to an economic conference. The German ends up being the only one that defends the Greek position. It may sound like a bad joke but it is a sad reality.
Repsol and its partner Armstrong Energy have made the biggest conventional discovery of hydrocarbons in the last 30 years on US territory. The total amount is approximately 1.2 million barrels of light recoverable oil, a figure which is equivalent to four years of consumption in Spain.
The European Commission has initiated proceedings against Spain for the limits it imposes on direct or indirect participation in Red Eléctrica (REE) and Enagás and for restricting voting rights. Brussels could take Spain to the European Court of Justice if the Spanish government’s response is not convincing and there could be a fine in the end.
In equity terms, Frexit risk would leave financial entities having to fuel the economy while depositors would sell francs and buy euros. Obviously the loss in the lending margin would be a huge multiple of the fear spread.