In Europe

alemania ampelmann

Germany to return to austerity with 6.4% spending cuts foreseen by 2024

BancaMarch: The German Council of Ministers on Wednesday approved the draft budget for 2024, in which it plans to return to the path of fiscal consolidation and which envisages an increase in defence spending and cuts in all other departments, among which the most affected are transport, science and the family. Spending will thus have to fall by 6.4%, from €476.3 billion in 2023 to €445.7 billion the following year….

santander sucursal 3CM

Santander’s Getnet payment system wins operating licences in 33 European countries

Link Securities| Getnet, Banco Santander’s payments solution, is accelerating its expansion in Europe, where it already has licences to operate in 33 countries, in 300,000 European businesses, Expansión reports today. In the last five years, Getnet has tripled its customer base and increased its transaction volume by 2.5 times. This growth in activity has allowed it to increase its market share by 4.15%.

spain tourism

More than 8.2 M foreign tourists enter Spain in May (+17% over same month in 2022) with UK and Germany still below 2019 levels

Intermoney| The INE published the data on tourist arrivals in Spain during the month of May yesterday, with more than 8.2 million international tourists, 17% more than the same month of 2022 and 4% more than the same month of 2019. The United Kingdom is positioned as the main country of origin of tourists, representing 22% of the total and an increase of 10% over May ́’22. France and Germany…


Cellnex acquires 100% of OnTower Poland after buying Illiad’s 30% stake in Polish company for €510mn

Santander Corporate & Investment | Cellnex (BB+ p, BBB- e) has announced the acquisition from Iliad of its 30% stake in OnTower Poland, the Polish telecommunications infrastructure company controlled by Cellnex. The transaction costs around €510mn and brings Cellnex’s stake in OnTower Poland to 100%. According to the press release, OnTower Poland currently operates a total of 8,500 sites in Poland, plans to deploy up to 3,400 new sites by…

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Eurozone on brink of recession

Martin Wolburg (Generali Investments)| The eurozone entered a technical recession during the winter half-year. However, indicators suggest that activity expanded again thereafter. Looking ahead to the second half of the year, however, we expect activity to moderate again, bringing the eurozone to the brink of recession. The main headwinds come from the global environment, which keeps manufacturing industry on a downward trajectory. At the same time, financing conditions will continue…

Eurozona IPC

Eurozone inflation slows in June to 5.5% from 6.1%, but core inflation rises to 5.4% from 5.3% in May, reinforcing ECB’s stance

The year-on-year inflation rate in the euro zone fell six tenths in June compared to the previous month, reaching 5.5%, compared to 6.1% in May, which is the lowest increase in prices since January 2022, according to preliminary data published Friday by Eurostat. The moderation in the rise in prices in June is mainly due to the 5.6% fall in the cost of energy, compared with the 1.8% drop in…

ECB night

Spain -1.8%; Italy -0,9%… Bank lending starts to fall in peripheral countries

A further slowdown in lending to the private sector in May, already contracting in the peripheral countries. The ECB published yesterday the data on lending to the private sector in the Eurozone, where it confirms the progressive slowdown in bank lending to +2.7% year.on.year in May vs. +3.5% in April and a peak of +6.5% in September last year, so that it is already slightly below its pre-pandemic levels of…

lagarde sintra 2023 copia

Lagarde confirms in Sintra that ECB will continue to raise rates at upcoming meetings

Link Securities | According to on Tuesday, the president of the European Central Bank (ECB), Christine Lagarde, said in her opening speech at the central bank forum in Sintra (Portugal) that the ECB will probably not be able to declare the end of its historic cycle of interest rate hikes any time soon. In that sense, Lagarde said that it is unlikely that in the near future the central…


German 2s10s curve inverted to two-decade highs

The German 2s10s curve has inverted to two-decade highs, surpassing the levels seen in March. Macro continues to slow and Morgan Stanley (MS) analysts lower their growth forecasts for Europe with the German IFO contracting, for the second consecutive month more than expected by both consensus and Morgan Stanley… and in line with last Friday’s disappointing European PMIs. The bad data is again concentrated in the deterioration of the expectations…


Danish Parliament approves contract extension for Talgo to supply eight additional intercity trains for €184m

Banc Sabadell| Talgo (TLGO) announced on Friday at the opening that the Danish parliament has approved the extension of the contract with DSB for the supply of eight additional intercity Talgo 230 trainsets (and fleet parts for their maintenance) for a sum of €184 million (~4% of the portfolio including the DB contract and Egypt). Assessment: Positive news although of little impact given that the contract was already announced and…