LONDON | By Victor Jimenez | In a cautious tone common to other voices heard today in the City, analysts reminded investors that most governments in Europe continue amassing public spending bills worryingly higher than their income.
MADRID | Since the start of the financial crisis in 2008, the Spanish banks have reduced their presence in 7,925 branches or -17.2%, the equivalent of a 53.6% of the whole Eurozone’s banking sector.
VALENCIA | By Luis Torralba, via valenciaplaza | Rosend Ortí, director general at Caixa Popular, one of the very few small saving banks that have survived the financial typhoon in Spain: “The partnership model resists well against the current crisis.”
SAO PAULO | By Marcus Nunes | An alternative, which has been proposed by people like Krugman and Blanchard, is for the central bank to increase the inflation target.
VALENCIA | By XTB analysts Miguel A. Rodriguez | Among all the obstacles that the European economies find in their way to recovery there is one particularly intractable: the Eurozone’s central bank itself. The ECB has proved to be too slow, and extremely fearful to display its powers.
LONDON | By Victor Jimenez | What sounds optimistic for Italy and Spain can dampen the picture of Germany as almost unassailable European economic engine. The IMF alerted that the German over-reliance on exports would cut down its growth.
BARCELONA | By CaixaBank research team | The Eurogroup’s agreement contains another crucial point: the possibility of the ESM injecting funds directly into intervened banks and thereby weakening the link between bank risk and sovereign risk.
WASHINGTON | By Pablo Pardo | Basically, the whole compensation system has moved from buying to selling (the performance-based restricted stock). That’s all. The actual difference between the two is indistinguishable.
LONDON | By Victor Jimenez | “The improvement in the PMIs suggest the Eurozone economy should exit recession in the third quarter of this year. But the recovery is likely to remain uneven.”
Borrowers will notice their mortgage costs ease because the Euribor reference has consistently be lower than the IRPH, and entities will see their interests margin trimmed.