BOfAML | We still see EURUSD somewhat weaker by the end of the year, to 1.08, before appreciating again next year to 1.15, in a gradual move towards our equilibrium estimate of 1.20-1.25. However, our more optimistic forecasts for next year assume that US-China and US-EU trade tensions ease. We also assume a Brexit deal, the likelihood of which have recently improved.
Alexandre Mato (Brussels) | Job and office cuts, mergers of different banking cultures, necessary digital transformation, lower profitability because of the interest rate environment … “In a context of profound market changes, banks cannot allow themselves to spend three years looking inwards!” concludes Wim Mijs about the long process of cross-border operations in the sector. The CEO of the European Banking Federation, the sector´s main interlocutor with European institutions, explains the sector´s main challenges just after presenting a project to boost EU capital markets.
Spanish airport operator Aena expects an increase in capacity of + 0.5% for this winter, which represents a significant slowdown compared to the 19% summer traffic growth of + 4%, as well as the + 6% winter growth of 2018-19.
Let us talk about the relation between the US dollar price of gold and the quantity of US dollar. In fact, one would think that it is, economically speaking, a rather straightforward relationship: All you need is to compare the supply of physical gold and the quantity of US dollar.
Renta4 | We forecast that the weakness in packaging which has been seen all year will continue, despite the better performance than last year, especially in Europe and Asia (substitution effect) and with African swine fever in China as the main focus of uncertainty for the following quarters.
Bankinter | At this point of the cycle is it more attractive to invert in real estate through traded companies than real estate assets.
The Spanish gas company presented its results for the first nine months. These are the main figures: Total income 884 M€ (-1.3%), EBITDA in book value 767 M€ (+6.9%). Net Annual Profit 333 M€ (+2.3%), Operational Cash Flow 775 M€ (+17) and Net Debt 4.234 Bn€ (vs 3.623 Bn€ in December 2018).
Renta4 | The bank has reached an agreement for the sale of Santander BanCorp Puerto Rico (including the banking business Santander Puerto Rico and the insurance business Santander Insurance Agency) to First Bancorp for 1 billion dollars.
J. P. Morgan | Following a complicated fourth quarter last year, world markets have recovered strongly so far in 2019.
Banc Sabadell | The acquisition of the Arqiva towers in the UK for 2 billion pounds (2.24 billion euros, 19.7% capitalisation and c.39% of NFD for Cellnex) means the integration of c.3,800 installations (+18.4% of Cellnex total) with a tenancy rate of c. 1.4X (vs c. 1.57X for Cellnex) and with contracts of 10 years duration (less than the current portfolio) linked to inflation.