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ELECTRIC CAR

In Europe 6th October 2023

EU officially launches anti-subsidy procedure against Chinese BEV imports, Renault and Stellantis potentially biggest beneficiaries

Santander : Yesterday, the EU officially launched an anti-subsidy procedure against Chinese imports of battery electric vehicles (BEVs). The launch of the investigation comes after Commission President Ursula von der Leyen announced the initiative during her State of the Union address in mid-September. According to the statement published in the EU’s official journal, the EC “has gathered sufficient evidence” that BEV producers in China “have benefited from a number of…

exports gorgeous

In Europe 5th October 2023

EC identifies four sectors to limit exports to: semiconductors, AI, quantum computing and biotechnology

Banca March : The European Commission (EC) has identified four technology sectors to limit exports to. The European Union considers the overdependence of semiconductors, artificial intelligence (AI), quantum computing and biotechnology on exports to be a potential risk to the European economy. It therefore calls for unity among the 27 member states before taking action. Manoeuvres could include encouraging investment in these areas, collaboration between countries and export restrictions. Currently,…

Comision europea fachada

In Europe 29th September 2023

European Commission recommends reducing fiscal stimulus to lower Fiscal Deficit by 2024

Bankinter: It is only a recommendation because fiscal policy is the competence of each member state, but it has consequences on inflation, monetary policy and bonds. The EC relaxed the Fiscal Deficit and Public Debt targets due to the CV19 pandemic (2020) and the Russian invasion of Ukraine (February 2022), but for months it has been insisting on the need to return to fiscal discipline in 2024. The key date…

europa detalle billete

European economy 29th September 2023

EMU CPI comes out better than expected, both headline (4.3%) and core (4.5%) rates

Bankinter: Inflation has fallen significantly and more than expected in September. The General Rate stands at +4.3% against +4.5% expected and +5.2% previously. In the month-on-month comparison, inflation has risen more than expected,+1.7% against 1.3% expected and +0.2% previously. The Underlying Rate, which excludes the most volatile items of the indicator, stands at +4.5% against +4.8% expected and +5.3% previously. By components, energy is the one that has most contributed…

Germany labour market

In Europe 26th September 2023

German business confidence remains weak with IFO in September at 85.7 vs 85.8 previously

Banca March: In September the IFO business sentiment index fell by one tenth of a point to 85.7, this weakness was mainly due to a drop in the reading for the current situation, which fell by three tenths to 88.7, while the expectations component improved by two tenths to 82.9. Overall, this confidence indicator is in line with last week’s PMI and points to the deterioration in Germany’s growth continuing…

contaminacion

In Europe 26th September 2023

Price of carbon allowances in EU could fall by 11-36% after 900% revaluation

Morgan Stanley| Analysts have revised their European Union (EUA) carbon allowance price estimates downwards, after a 900% rally from 2018, and see little appeal at €80/tonne as the energy crisis has accelerated emissions reductions, pushing the team’s 2030 emissions estimates to be -14% below the 2019 pre-crisis outlook.They also expect the CBAM (Carbon Border Adjustment Mechanism) to undergo a softer start to implementation or even a delay. The team estimates…

industria central alemania

European economy 21st September 2023

German PPI falls in August for second month in a row, accelerating disinflation at output level

Link Securities| Germany’s Federal Statistical Office, Destatis, published on Wednesday that Germany’s producer price index (PPI) rose 0.3% in August from July, slightly more than the 0.2% expected by FactSet consensus analysts. On a year-on-year basis, Germany’s PPI fell by 12.6% in August (-6.0% in July), slightly less than the 12.8% expected by the analysts’ consensus. August was the second consecutive month of a year-on-year decline in the PPI, the…

caf cartel fachada

In Europe 20th September 2023

CAF pre-qualifies for €3.5 billion tender in Denmark

Link Securities| Construcciones y Auxiliar de Ferrocarriles (CAF) has been shortlisted alongside Alstom, Siemens and Stadler to win a €3.5 billion tender in Denmark for the delivery of 226 automatic trains for the Copenhagen suburban railway network. DSB, the Danish railway operator, said in a statement that the competitive process will now go ahead, with the aim that the contract will be awarded in H1 2025 and the new trains…

ECB night

European economy 20th September 2023

ECB considers raising banks’ reserve requirement from 1% ($170bn) to 3-4% to reduce excess liquidity ($3.6bn).

As the risk of stagflation scenarios gains momentum, ideas to cut excess liquidity (close to €3.5trn) and the costly size of the ECB’s huge balance sheet are re-emerging. And the problem for credit markets, and especially peripheral ones, is that the ECB may already be looking for alternatives. According to Reuters, the ECB is discussing the option of accelerating the end of the Pandemic Emergency Purchase Programme (PEPP) from early…