After the banking crises in the US and Europe, there was a generalised call – even from many bankers – for a more detailed regulation of the banking business which would avoid a repetition of what had happened. But now there are some signs of weariness, impatience and even underhand ‘rebellion’.
In the wake of Trump’s win there has been are record inflow of funds into the US stock market and a heavy outflow from bonds and emerging markets. Over $30 billion went into the US equity market in the week of November 16th, according to data published by EPFR Global.
Santander has reached an agreement with Warburg Pincus and General Atlantic to buy back the 50% of its asset management arm it sold to the private equity firms in 2013.
On Tuesday, the Colombian government ordered an intervention in Electricaribe because there was a risk the company could discontinue its services. Electricaribe is an electricity distributor with 2.5 million clients on Colombia’s Caribbean Coast. Gas Natural owns 85%, while the remaining stake is in state hands.
Julius Baer Research | Bond yields in the US will likely consolidate thanks to the cap of yields in Europe, as the region is not the next eye of the storm, but the anchor for stability on global bond markets. In the short-and medium term, the ECB’s next move is more important than the Fed’s for bond investors globally.
The Spanish market’s attention was firmly on technology company Indra on Tuesday when it’s share price plummeted 12%. One reason for the slump was its nine months to September results, which hugely disappointed analysts and investors.
Spanish power company Iberdrola is involved in the electricity and gas generation and distribution businesses in the US. It also has 5.504MW of installed capacity in Mexico, mainly in combined gas cycles. This is one of the pillars of future growth for Iberdrola as it is constructing 4.000 MW to reach a 2020 target of 10.000 MW of installed capacity.
Gesconsult | Grupo Iberpapel Gestión (IBG) is one of the key players in the printing and writing paper market in Spain. We like Iberpapel because of its high level of vertical integration and its healthy financial situation. It generates a lot of cash and has no debt.
Cie Automotive, the Spanish company which specialises in producing components for the automobile sector, registered a 25.5% rise in net profit to 123 million euros in the nine months to September from a year earlier. Link Securities has calculated a new valuation for the company which at current prices offers a potential upside for CIE’s shares of over 7%.
Carax-Alphavalue | Amongst integrated oil companies, Repsol (Add, Spain) is one of the smallest with a €19bn market cap despite its latest acquisition (Talisman) doubling its size (production seen at 725kbpd by 2020 from 355kbpd in 2014).