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The Corner
The Corner has a team of on-the-ground reporters in capital cities ranging from New York to Beijing. Their stories are edited by the teams at the Spanish magazine Consejeros (for members of companies’ boards of directors) and at the stock market news site Consenso Del Mercado (market consensus). They have worked in economics and communication for over 25 years.
European banks linda

European economy 11th February 2021

The Proportion Of Deposits With Negative Interest Rates In The Eurozone Exceeds 25%

A monetary policy with rates at 0% and the reduction of the deposit facility rate to levels of -0.50% have pushed the Euribor to its fifth consecutive year of negative rates. And it is also increasing the percentage of European deposits with figures below 0%. J.P. Morgan AM showed this evolution in its latest Market Guide (H1’21), which flags how the proportion of Eurozone deposits with negative rates has exceeded 25% in the case of non-financial companies, and is climbing to levels of 5% in the case of households.

Forty years of democratic Spain: No resemblance to what it was

Spanish economy 10th February 2021

Spain Remains A Full Democracy, Despite Limitations On Civil Liberties Due To The Pandemic

Spain has fallen 17 tenths of a point and six places in The Economist’s democratic quality index, although it remains in the “full” democracy category. The country has never failed to be a “full” democracy since the index was created 15 years ago. It has a score of 8.12. Furthermore, “democracy received a big blow in 2020” at a global level, stated the study. Almost 70% of the countries examined have regressed in “democratic freedoms” due to the restrictions on civil liberties caused by the fight against the pandemic.

China starmarket

In the World, World economy 10th February 2021

China Reaches For The STAR Market- The Domestic Nasdaq

Christian McCormick , Shannon Zheng (Allianz GI) | China’s new STAR market has been billed as the country’s answer to the Nasdaq – the technology-focused US exchange. Its listing rules make it easier for the country’s tech and science startups to list domestically, thereby supporting the fast-growing sectors that are driving China’s growth. Since opening in July 2019 with 25 listings, the STAR market now comprises almost 200 firms – and nearly 500 are in the IPO pipeline.

Tesla Bitcoin

World economy 9th February 2021

Tesla And Cryptocurrencies: From Joking About Them, To Buying $1.5 Bn In Bitcoins

Fernando Alberca | The US Securities and Exchange Commission confirmed yesterday that Tesla had reported a $1.5 Bn bitcoin purchase. The firm has also enabled customers to buy its vehicles with this cryptocurrency. In the last weeks, Musk had been asking in Twitter whether bitcoin had sufficient liquidity to handle large volumes, but, as he had also encouraged on ironies of cryptocurrencies in the past, bitcoiners considered Musk’s words to be just another manifestation of his peculiar sense of humor. 

SAN BBVA

Spanish economy 9th February 2021

BBVA, Santander Aim To Return To Around 40% Payout By 2021

Morgan Stanley | Earnings momentum has increased and comments on dividends are encouraging. As for Spanish banks, BBVA announced a 10% buyback after completing the sale of its US subsidiary, with a payout of 35-40% by 2021. Santander has said it intends to return to 40-50% cash payouts when regulators allow. Caixabank will hold a dividend per share of €0.0268 subject to a 15% payout required by the ECB. Bankinter’s DPS will reach €0.10. Unicaja and Sabadell have not proposed dividends for 2020.

brexitish

European politics 9th February 2021

Brexit: From Brothers To Distant Cousins

CaixaBank Research (Álvaro Leandro | What consequences the agreement for the UK exit from the EU will end up having remains to be seen and will depend on how trade and foreign investment between the UK and Europe evolve, as well as London’s prevalence as an international financial hub. In Europe, the impact will be mixed across the different economies, depending on their trade and financial links with the United Kingdom.

CAF Bombardier

Markets, Spanish economy, Spanish Small & Mid Caps 8th February 2021

Alstom Withdraws Bid For Mega-Contract Won By CAF-Bombardier Consortium

Renta 4 | Alstom has decided to cancel its bid for the contract for the supply of 146 trains worth 2.560 billion euros that the CAF-Bombardier consortium won three weeks ago, considering it to be unfeasible. From a financial point of view, this setback leaves in the air a contract worth, according to the latest information from the consortium, around €1 Bn. Moreover, from a strategic point of view, CAF could lose the opportunity to consolidate its position as the second largest operator in the French market.

housing overvalued

Spanish economy 8th February 2021

Housing Prices In Barcelona And Madrid Could Be Overvalued By 17%

Housing prices began to fall in Spain in the last half of 2019 and the impact of Covid-19 has only accelerated the downward trend of the end of a cycle. According to a study by Tecnocasa and Pompeu Fabra University, this pattern is due to the fact that there is a lot of private real estate offer that is overvalued. In fact, overvaluation can reach 17% and 16.5%, respectively, in Madrid and Barcelona. This percentage measures the difference between professional valuations and the price that owners of properties are demanding.

euro digital

Spanish economy 8th February 2021

ECB Buys €123.636 Bn Of Spanish Debt In The Scenario Of Covid-19 Crisis

The European Central Bank has earmarked 123.636 billion euros for net acquisitions of Spanish sovereign debt through its different asset purchase programs since March 2020, when the first wave of the Covid-19 pandemic hit Europe, including 89.846 billion in emergency pandemic purchases (PEPP) and another 33.790 billion through the PSPP sovereign debt purchase program, according to the institution’s data.

Amazon Bezos

In the World, World economy 7th February 2021

How Bezos And Amazon Changed The World

Venkatesh Shankar via The Conversation | What’s in store for Amazon as Bezos steps down from his CEO role later this year? I believe that Amazon’s future – and humanity’s – is inextricably linked to the rise of artificial intelligence. Starting with Alexa, the company’s virtual assistant, Amazon is betting on AI. Amazon’s future success will depend on how the incoming CEO – current head of cloud computing Andy Jassy – navigates these new technologies while pushing the company into more industries, such as health care and financial services. His challenge is to keep Bezos’ legacy and Amazon’s disruptive culture alive.