In Europe

iberdrola offshore

Iberdrola sells 49% of East Anglia 3 offshore wind farm to Masdar for €2 billion

Banco Sabadell| According to press reports, Iberdrola has agreed to give Masdar (the renewable energy arm of Abu Dhabi’s sovereign wealth fund) a stake in its East Anglia 3 offshore wind project in England. The project, with a capacity of 1,400 MW, began construction in 2022 and is scheduled to run until 2026. The deal values the project at €4 billion and Masdar would acquire up to 49% for €2…


eurozona mapa billete 1

Business confidence in Germany and France still showing weakness

BancaMarch: Business confidence indicators in Germany and France this morning continue to show weakness in growth in the coming months. In Germany, the composite PMI deteriorated more than expected, falling back to 45.8 from 46.4 and below the 46.7 expected. This performance was mainly explained by a sharp drop in confidence in the German services sector (48 vs. 50.3 previously) while manufacturing continued to contract (40.7 vs. 39.6 previously). In…


Innovation Europe

Eurozone public debt falls to 90.3% of GDP, deficit remains at 3.3%

CdM| In the second quarter, public debt in the euro area fell to 90.3% of GDP compared with the previous quarter, while the government deficit remained at 3.3% of GDP, according to data from Eurostat, the EU’s statistical office. In the EU, the government debt ratio also declined, from 83.4% to 83.1% of GDP. For both the euro area and the EU, the decline in the government debt-to-GDP ratio is…


UE gas

EC considers extending application of gas price caps; proposal due in November

Banca March : The armed conflict between Hamas and Israel has been joined by the sabotage of the Baltic pipeline earlier this month (after the existence of an “external force” was confirmed). While the Commission warns of no negative effects at present, the list of events prolongs the threat to gas supply for the winter. The gas price cap in question, which is triggered if the Dutch TTF index reaches…


adidas Primeknit

Adidas reports gross margin improvement (+20 bps) in preliminary results, thanks to positive destocking management

Banc Sabadell| Adidas announced better preliminary 3Q23 results with LfL sales growth of +1% (-6.4% reported against -7.6% consensus) and EBIT of €409m (-27.5% against -53.5% consensus), thanks to a better gross margin evolution (c.+20 bps in 3Q23), Yeezy sales and a better-than-expected evolution of the rest of the businesses. All this allows them to raise again the 2023 guidance to a low single digit LfL decline in sales (as…


euro digital currency

ECB to start two-year preparation phase for digital euro on 1 November

Banca March : The ECB has announced that the preparation phase is to begin on 1 November and will last for two years. The digital currency would be equivalent to cash, playing a complementary and not a substitute role. In this way, euro area citizens will be able to make payments while maintaining the anonymity of cash, but making it more difficult to counterfeit and more convenient to store. This…


Luton

Aena gets go-ahead to expand Luton’s capacity to 19M passengers

Luton, the London airport in which AENA has a 51% stake, has received authorisation from the British Department for Transport and the Department for Communities to increase its capacity to 19 million passengers per year, compared to the current limit of 18 million. This expansion does not require any new construction or investment. Assessment: Good news for Aena, which will allow it to increase Luton’s capacity by 5% without the…


banks general 777x400

Eurozone average deposit rate is 0.31% annualised when ECB official deposit rate is 4.5%

Kim Fournais (CEO and founder of Saxo Bank)|In the labyrinthine world of banking and investment, where opacity tends to masquerade as tradition, few are aware that, amid the ebb and flow of financial markets, a significant number of banks and intermediaries choose to retain the benefits of central bank rate hikes, rather than pass them on to their clients. This is reflected in banks’ quarterly results, where some even seem…


red electrica cableado

European agreement on electricity market leaves essentials untouched: gas to continue to set prices with same marginalist system

There are no major surprises with the agreement reached yesterday by the EU energy ministers on the reform of the common electricity market. It follows in the wake of the European Commission’s proposal, with hardly any changes, maintaining the marginalist system and leaving gas to move prices according to the vagaries of the international context. The ministers have broken the months-long stalemate between France and Germany over disagreements on the…


Alemania Exportaciones

Eurozone generates €6.7 billion trade surplus in August compared with €54.4 billion deficit in same month last year

Link Securities | According to Eurostat yesterday, the Eurozone generated a trade surplus of €6.7 billion in August compared to a deficit of €54.4 billion in the same month last year. In August, imports in the euro zone fell by 24.6% to €214.9 billion, while exports fell by 3.9% to €221.6 billion. Between January and August (8M2023) the Eurozone’s trade surplus was €8.1 billion, compared to a deficit of €242.9…