Everyone seems to agree that salaries need to be increased in order to activate and maintain economic growth. That said, the differences between trade unions and businessmen is abysmal. And even though Spain’s economy may be growing at 3.1% in 2016, the country’s average wage has barely risen by 232 euros over the last 15 years.Read More
EXANE BNP Paribas | Iberdrola announced an upgrade to FY16 EPS guidance (previously 5% growth, now >5%, we estimate double digit). It also revealed an 8% increase in the interim dividend to be paid in January (previously +5%). Iberdrola also reaffirmed the EBITDA guidance for the year (5%) despite the impact from Sterling.
Mark Tinker at AXA IM | While investors wait for clarity on US politics, a revisit to our balance sheet approach to economics shows that data on US household wealth and income growth undermines the widespread ‘Great Recession’ meme. US household wealth is up 37% since 2010 and disposable income growth is up 4%.
A Belgian region totalling no more than 3.5 million inhabitants has derailed European Union efforts to conclude a broad trade agreement with Canada. Wallonia’s unexpected rebellion will undoubtedly weigh on any future negotiation involving issues beyond the usual trade in goods, setting a nasty yardstick for the forthcoming Brexit talks.Read More
The PSOE “barons” rebellion against party leader Pedro Sanchez represents an internal power struggle. A national issue. Sanchez has been replaced by an interim executive committe headed by Javier Fernandez. Sanchez had a strategy worked out.Read More