Funcas | The number of doctors per 100,000 inhabitants (388) is higher than in the Netherlands (358), France (316) and the UK (281). But it falls well short of Germany (425), which also has almost 2.5 times more hospital beds per 100,000 inhabitants than Spain.
Bankinter | The rating agency justifies its decision on financial and external resilience, strong GDP growth in recent years and structural reforms. It also considers that the recent deficit reduction gives some confidence that, once the COVID-19 crisis is overcome, public debt will maintain a downward trend. It estimates GDP will see a decline of 9.6% this year and will grow 4.4% in 2021.
Last week there were sharp falls in the stock markets (-4%/-5% in Europe, -6%/-7% in the US), with the biggest drops since March. In a context of a significant disconnection between prices and fundamentals after the sharp rises from the March lows, which were discounting an unlikely “V” recovery, these downward moves seem logical. Also the upward excesses, which until last week were the protagonists. Our correspondent in Washington, Pablo Pardo, analyses this stock market and economic chaos.
James Reilly (Schroeders) | Tourism contributed 10.4% to global GDP in 2018; however, with many countries worldwide currently operating travel restrictions, the sector is now facing serious challenges. Scenarios produced by the United Nations World Tourism Organisation (UNWTO) point to a fall in international tourist journeys of between 58% and 78% for 2020. Such an outcome could potentially see 100-120 M direct tourism jobs at risk in what is one of the most labour-intensive sectors of the global economy.
Andy Budden (Capital Group) | The impact 5G will have on a wide range of industries is likely to be bigger than we’ve seen with any previous generation of mobile telecoms. Each previous new generation of network has produced a big jump in speed. And we will certainly see this with 5G, which is estimated to be between 10 and 100 times faster than 4G. But 5G is about much more than quicker phone downloads.
Adam Vettese (eToro) | The US Congress is mulling the idea of creating digital dollars to help the unbanked in America. It laid plans, according to Decrypt, for the Federal Reserve to provide bank accounts to those whom the banking industry does not. So-called “FEDaccounts” would operate through US Post Offices. Meanwhile former chairman of the US Commodities and Futures Trading Commission Chris Giancarlo recommended a form of Central Bank Digital Currency at a Congressional hearing.
Grifols announced yesterday that it has started production of hyperimmune immunoglobulin as a potential therapy for Covid-19. This makes it the first company to begin manufacturing anti-SARS-CoV-2 hyperimmune immunoglobulin, the first doses of which will be available in July. The aim is to integrate it into a clinical trial to evaluate its efficacy and subsequently begin the regulatory process for its approval.
The combination of BME and SIX, both leaders in their respective national financial markets, will create a diversified group with a strong presence throughout Europe. It will become the third largest infrastructure group in the European financial market and the tenth largest in the world by revenues. SIX believes this transaction will strengthen the Spanish and Swiss ecosystems by creating centres of excellence and providing new capabilities for BME and SIX participants.
In 2019, the euro consolidated its role as the second most widely used currency in the world at a considerable distance from the dollar, which retains its hegemony as the global reserve currency. The exception was in the area of green bond issues, where euro-denominated issues once again led the market. Specifically, according to data provided by the ECB, about 45.4% of ‘green’ bond issues worldwide were denominated in euros, compared to 25.7% in dollars and 28.9% in other currencies.
The telecommunications operator, which is in the midst of a takeover bid, is relaunching its commitment to growth with four corporate transactions. These are: the acquisition of Lycamobile, a mobile virtual operator focused on the immigrant market and its subsidiary in Portugal; the purchase of Ahimás, which specialises in rural areas; and the launch of its Basque subsidiary Guuk. The Lycamobile deal, worth €372 M, is the most important one. It was agreed in February and approved by the board on May 28.