Markets

hands tiedTC

Cyprus and Iceland: a tale of two capital controls

LONDON | March 6, 2015 | By Sigrún DavídsdóttirBoth in Cyprus and Iceland foreign funds flowed into the islands, in the end forcing the government to make use of extreme measures when the tide turned. These measures are normally called ‘capital controls’ which in these two cases hides the fact that the measures used are fundamentally different in all but name. In Iceland, the controls contain the effect of lacking foreign currency, effectively a balance of payment problem – in Cyprus, the controls were a way of defending banks against bank run, i.e. preventing depositors to move funds freely.


Draghi 2015 ironicTC

ECB action beginning to pay off

MADRID | February 27, 2015 | J.J Fernandez-Figares| Link Securities | Efforts by the ECB to inject money into the euro zone are already showing signs of impact as positive M3 figures offer encouragement ahead of March purchases of sovereign bonds.



No Picture

EU markets opening

MADRID | The Corner | February 25, 2015 | Spanish telecom giant Telefonica reported a drop of 34.7% in net profit, although investors celebrated revenue picture  brightening up. Elsewhere, the Spanish Producer Price Index falls again, registering a drop of 2.8% for January.



ECB inflation

Markets’ morning briefing

The Corner | February 24, 2015 | Figures published today will give an indication of the current state-of-play in the euro zone, with the release of inflation statistics and final GDP figures from the German economy for 2014.



planos

Lone Star to acquire Spanish land

MADRID | The Corner | The purchase of large swathes of Spanish land by US hedge fund Lone Star is further compelling evidence that the Spanish property market is staging a recovery. This investment signifies that the improvement in the market will soon be seen in the residential sector, having previously been confined to the retails and commercial markets.

 


aena1

Aena IPO shows trust in Spanish recovery

MADRID | By Francisco López The successful launch of the Aena IPO has been interpreted as a sign of confidence in the recovery of the Spanish economy. The airport operator was floated last week and saw gains of  20.6%, but the headline grabbing investment from international funds such as BlackRock, Templeton, Fidelity or Capital Group has given credence to the sense that Spain is an increasingly attractive proposition for investors.