In Europe

Lisbon portugal economy

Fitch maintains Portugal’s rating at “A” and upgrades outlook from stable to positive in anticipation of further debt-to-GDP reduction

Bankinter | Fitch maintains Portugal’s rating at “A” and upgrades the outlook to positive from stable, pointing to the possibility of a future upgrade if the trajectory of public debt reduction continues. The agency explained that the change in outlook reflects its expectation that the public debt-to-GDP ratio will continue to decline significantly in the coming years, supported by a fiscal policy considered prudent and budget deficits lower than those…


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Eurozone inflation rises to 1.9% in February, but remains below ECB’s target

CdM | Eurozone inflation remains below the European Central Bank (ECB) target despite rising two tenths of a percentage point in February, when the Consumer Price Index (CPI) stood at 1.9%, according to preliminary estimates published by Eurostat, the statistical office of the European Union (EU). The figure exceeds forecasts. Among the main components, services continue to have the highest annual rate in February. Their cost rose by 3.4%, compared…


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Eurozone economic confidence falls one point to 98.3 in February due to declining confidence in industrial sector and construction

Singular Bank | According to the European Commission’s final reading, the Eurozone Economic Sentiment Indicator (ESI) fell by 1.0 points to 98.3 points in February. This development is explained by the decline in confidence in the industrial sector (7.1 points) and construction (2.1 points), together with the moderation of the outlook for the services sector (5 points). Meanwhile, employment expectations in the European monetary bloc fell by 0.6 points to…


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Eurozone inflation falls below ECB target in January, moderating to 1.7%

CdM | Eurozone inflation is now below the European Central Bank’s (ECB) 2% target after the Consumer Price Index (CPI) moderated by three tenths of a percentage point to 1.7% in January, in line with expectations, according to figures published by Eurostat, the statistical office of the European Union (EU). This brings overall inflation to its lowest level since September 2024. By component, energy prices fell by 4% in the…


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Eurozone composite PMI rises to 51.9 points against 51.3 points in January, due to increased production in manufacturing and services

Singular Bank | According to preliminary readings, the Eurozone manufacturing PMI rebounded to 50.8 points in February (compared to 49.5 points in January), exceeding analysts’ consensus estimates (50.8 points) and reaching its highest level since June 2022. At the same time, the services PMI rose slightly by 0.2 points to 51.8 points. Given this development, the composite PMI rose to 51.9 points (compared to 51.3 points in January), explained by…


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German economy continues to face structural challenges, especially in industry and private investment

Bankinter | The ZEW economic sentiment survey showed somewhat mixed data in February. Expectations fell to 58.3 from 59.6 (against 65.2 expected), while the current situation improved in line with expectations to -65.9 from -72.7. The overall indicator remains stable, signalling that the German economy is entering a still fragile recovery phase. Bankinter analysis team’s view: The largest economy in the European bloc continues to face structural challenges, especially in…


Telefonica

Telefónica, Liberty, and InfraVia acquire UK’s second-largest fiber operator Netomnia for €2.3 billion

Telefónica has announced that its subsidiary, Telefónica Infra, S.L.U., alongside Liberty Global Europe 2 Limited and InfraVia Capital Partners—acting through their fiber joint venture (nexfibre)—have reached an agreement to acquire 100% of the share capital of Substantial Topco Limited (Netomnia), the second-largest fiber operator in the United Kingdom. The transaction value (firm value) amounts to £2 billion (approximately €2.294 billion). Telefónica and Liberty Global will jointly contribute around £150 million…


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Eurozone industrial production falls 1.4% in December, confirming downturn at end of year

CdM | Eurozone industrial production fell by 1.4% in December on a monthly basis, below the 1.5% decline expected by consensus, according to the first estimate published by Eurostat on Monday. Across the European Union as a whole, the decline was 0.8%. Compared to November, when production had grown by 0.3% in the eurozone, the data confirms a deterioration at the end of the year. In addition, the previous figures…


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Factory orders in Germany see two consecutive increases: up 13.0% year-on-year in December against 10.6% previously

Bankinter | Factory orders in Germany surprise upwards for the second consecutive month in December: 13.0% year-on-year against an expected 1.2% and a previous 10.6% (revised from 10.5%). In month-on-month terms, 7.8% against a drop of 2.2% and 5.7% (revised from 5.6%). The improvement is again explained by growth in orders for metallurgical products (30.2% month-on-month against 25.3% previously) and capital goods (11.5%). Capital goods were up 10.5% against 7.9%….


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Eurozone services PMI grows moderately in January (51.6): ‘the trajectory is acceptable but not comfortable’

CdM | In January, companies in the eurozone services sector expanded their commercial activities for the eighth consecutive month. However, the rate of growth was moderate and the least intense since September 2025, according to the PMI index. ‘The growth trajectory can be described as acceptable, but the situation is still not comfortable. Companies barely hired any staff in January. The fact that new orders barely grew also shows that…