The shares of IAG, Iberia’s parent company, were the most traded by Spanish investors in 2020, said the European online broker Degiro, while Tesla Motors’ shares were the most traded in Europe this year. IAG’s shares are followed by Banco Santander’s, the Chinese electric vehicle company NIO (listed on the New York Stock Exchange) and the US manufacturer Tesla, on the Nasdaq.
European Views | Tensions over agricultural policy have been building steadily since November, when Frans Timmermans, the Vice-President of the EC, and one of the leading figures in the European Green Deal, questioned whether the €258.3 billion (in constant prices) budgeted for the European Agricultural Guarantee Fund (EAGF) and €90 billion for the European Agricultural Fund for Rural Development (EAFRD) were fully compliant with the European Green Deal and EU climate targets as they stood.
Salman Ahmed (Fidelity International) | Georgia run-off elections on 6 January handed the Democratic party effective control of the US Senate with a slim majority that will limit the ambitions of a Biden presidency. However, this will be able to boost fiscal spending to help the economy recover from Covid-19 and grow by more than 7% in 2021. This further strengthens the reflationary thesis, but means a potential taper tantrum is top of the list of factors we are watching.
According to an article by the Bloomberg agency, European bond investors want the European Central Bank to bring together all the sovereign debt earmarked for the markets in 2021. Additionally, the European Union is also prepared to be the main issuer to finance the stimulus plan funded by jointly issued debt.
Seopan, the employers’ association for the large Spanish construction companies, together with the engineering firm’s Tecniberia, have proposed a €100.428 Bn infrastructure investment plan. This could generate some 1.4 M jobs until 2026 with 2,277 actions in 10 macro-projects and 32 investment lines. All Spanish administrations’ tenders in public works fell by 31% to €12.7 Bn in 2020.
China will confirm its transformation into the world’s largest economy in 2028, five years earlier than previously predicted. This is the result of the “ability” with which the Asian giant has managed the coronavirus crisis and its greater relative impact on the large Western economies, according to the latest edition of the World Economic League, produced by the Center for Economic and Business Research (CEBR).
Yesterday’s assault on the US Capitol by Trump supporters on the grounds of election fraud is an episode of violence not seen in the almost two and a half centuries of the existence of the US,” Banca March’ analysts note. What is suprising is the fact that investors ignore that “this is a direct attack on democratic institutions”, Link Securities points out.
The poor sales data in the main EU countries will eventually be reflected in production volumes, which we estimate in Q4’20 have evolved above the sales curve and will tend to adjust to the reality of the market. Even more so if we consider that the implementation of the new WLTP type-approval cycle as of January 1st will lead to an increase in the retail price of vehicles.
After seven years of negotiations, the EU and China announced the trade agreement that will seek to boost new and lucrative opportunities for companies on both sides. The deal is the most ambitious China has ever reached with a third economic bloc in terms of market access, fair competition, and sustainable development, said EU Trade Commissioner Valdis Dombrovskis.
The latest data until October shows that Spain received 17.9 M international tourists in the first ten months of the year. Meanwhile, spending declined by 77.3%. On its part, Exceltur expected levels of tourism GDP and income from foreign tourism to fall by €106.16 Bn in 2020 down to €46.43Bn, equivalent to the levels of 1995.