Wall Street freeze thaws for some euro peripheral banks
Investors have responded with interest to some recent capital increase plans and debt sales from large Spanish banks. But it is too early in the year to infer an improvement in perceptions.
Markets
No one ready to foot the Euro rescue bill
What exactly is Germany doing? It may succeed in shying away from the rescue bill now but it risks loosing the euro area market. Economist JP Marín Arrese warns the collapse of the common currency is not far from becoming a very real threat.
US Achilles’ heel flashes a € sign on it
The US Federal Reserve can apply monetary measures as often as it wishes, but there is one factor that escapes its command and, nevertheless, stops markets from recovering. It’s called the euro.
S&P wonders if Spain may need bailout, but Madrid dreads Moody’s
From London to Madrid, analysts find there could be a slim chance of Spain avoiding a national rescue. Risk agency S&P agrees. As financial conditions improve for the country, though, bond auctions give only some extra time but not definitive solutions.
Public sector and governance: September crucial for the euro area’s future
BARCELONA | The research analysts at la Caixa remind investors of how comfortably (88.2 percent) euro area debt per GDP compares against US’ over 100 percent and Japan’s over 200 percent. But Europe is too unbalanced to survive as it is.
Delays on EU’s Banking Union place pressure on Madrid
The set up of the Banking Union in the European Union has not only triggered the habitual complaints from the UK and Sweden. Even core euro zone looks divided. And it all adds pressure for Spain to require a national bailout.
Non-residents again active buyers of Spanish corporate bonds
MADRID | Data from the latest bond issuances by Spanish corporates show non-resident investors have returned to this market with growing appetite. The new-found confidence comes supported by the European Central Bank monetary policies.
Rajoy elbows individual investors from the market back to the banks
Capital gains taxes in Spain will increase next year, with individual investors as the likeliest victims. The measure could be the Rajoy government’s attempt to re-direct personal capital flows towards other sections.
The City wants a braver Mario Draghi
LONDON | Something had to be done to support the euro. But some in the City still see the European Central Bank excessively scared of inflation. Past cash injections, though, have depreciated the common currency very little.
“Weidmann threatened us and lost,” says Santander’s Guillermo de la Dehesa
Crystal-clear answers for the foggiest question: why is the euro zone in such dire state? Banco Santander’s board member Guillermo de la Dehesa speaks of a self-inflicted crisis, the resignation cycle at the Bundesbank and how to reform the European Central Bank.