CdM | Spanish industrial production returned to negative rates in June, a month in which the General Industrial Production Index (IPI) fell by 1.4% year-on-year, according to data from the National Statistics Institute (INE). This rate is 1.4 points lower than in May. Adjusted for seasonal and calendar effects, the index presented a fall of 3% in June with respect to the same month the previous year. This rate is…
Renta 4| Indra (IDR) has reached an agreement to acquire 9.5% of ITP Aero for €175 million. This stake values 100% of ITP at €1.842 billion, slightly above the €1.8 billion it paid to Rolls Royce in September 2022. The deal will be executed in the coming weeks. Indra will be represented on the Board and will account for this stake in financial results. Indra and ITP Aero have reached…
Ulrike Kastens (DWS) | The Bank of England raised interest rates yesterday by another 25 basis points to 5.25%, the highest level in 15 years. The key factors were labour market tightness and stronger wage growth, while developments in base rates and services prices are in line with the central bank’s expectations. Overall, the message of today’s press release is much more balanced than that of the previous meeting in…
CoM| A deepening slowdown in manufacturing and near stagnation of activity in the services sector means that the eurozone has started the third quarter with the fastest contraction in total activity since November last year, according to the PMI index. “The second half of the year has got off to a bad start for the euro area economy. Judging by the PMI index, total economic activity fell in July after…
Link Securities | Banco Santander (SAN) will benefit from the 50 b.p. cut in interest rates by Brazil’s central bank on Wednesday, according to Expansión on Friday. Santander has a negative sensitivity to Brazilian interest rates because, due to its type of business, interest on deposits rises much faster than lending rates, affecting the bank’s margins the more rates rise. At a recent conference with analysts, Santander CEO Héctor Grisi…
Morgan Stanley| Aena presented its 2Q23 results on Wednesday with good news for investors including (1) strength in the commercial sector (+19% in Duty Free spend per passenger), (2) lower dilution in the aviation sector and greater OpEx control, (3) the proposed 2024 tariff increase to 4.1% year-on-year and (4) EBITDA of €802m, 5% above consensus and 9% above MS expectations. These aspects should drive the company to achieve +2-3%…
Link Securities | Acciona (ANA) has launched an initiative in the construction of the Fargo-Moorhead anti-flood canal in the United States to introduce for the first time the use of renewable biofuel generated from hydrotreated vegetable waste oil (HVO) to power heavy machinery for civil works, according to Europa Press. This action is part of the Spanish company’s aim to decarbonise the construction of infrastructures, applying it in this case…
Link Securities| The Spanish daily, Expansión, reports on Thursday that European aerospace company Airbus (AIR) and US-based Voyager Space have announced the creation of a joint venture that will develop, build and operate Starlab, one of the projects to succeed the International Space Station. The agreement deepens the collaboration already announced last January when Voyager, which is also partnering with US-based Lockheed Martin on the project, selected Airbus as a…
Bankinter: The Unemployment Rate has come out better than expected and remained at historical lows, showing the strength of the labour market. Unemployment Rate (June): 6.4% vs 6.5% expected and 6.4% previous (revised from 6.5%). Assessment: June’s figure repeated May’s and remained at historic lows. Following last week’s European GDP and CPI data, employment figures continue to show the strength of the labour market. With inflation slowing and employment supporting…
Norbolsa| Brent continues to rise this week to over $86/B, at the same time that US oil inventory data fell by 15.4 million barrels (1.37 million expected), according to sources citing American Petroleum Institute figures (official data due out today), marking the largest drop in crude inventories since 1982. Oil prices are expected to rise further in the coming months following Saudi Arabia’s reduction of 1m/b per day from July.