The interest rate paid on European deposits has risen to its highest level in 14 years, but is still well below the ECB deposit rate and with significant divergence by country. The shift from overnight deposits to time deposits and money markets continues. The ECB has also published the interest rates paid on bank deposits in the eurozone, with the rate paid on household term deposits rising by two tenths…
Bankinter: House prices rise +4.5% in 3Q2023 (year-on-year). The Housing Price Index, compiled by the INE, points to a price increase of +4.5% in 3Q 2023 (year-on-year), even accelerating from +3.6% previously. In quarter-on-quarter terms +2.5% versus +2.1% previously. Second Hand Housing rises +2.2% year-on-year, while New Housing +4.1% year-on-year. Analysis: House prices surprise positively and will probably exceed our forecast of +1% by 2023. They are supported by a…
One of the biggest problems in understanding the employment and unemployment figures in Spain is that the new definitions and classifications used by the Ministry of Labour hide very different realities from those they preach. Thus, as the trade union USO explains “In November, 1,356,293 contracts were signed. Over the whole of 2023, more than 14 million. Of these, 41.47% were signed as permanent contracts in November, nearly 600,000, for…
Unemployment fell in Spain by 24,573 people in November, in what has been the second largest fall in unemployment for this month excluding the pandemic, but this evolution is distorted because, after the labour reform, all workers with fixed discontinuous contracts who go into inactivity and even begin to collect a benefit, are not counted as unemployed. As the newspaper El Mundo explains, in November, a total of 114,000 people…
Bankinter| The number of unemployed fell by 24,573 in November (after 36,936 in October). This increase was mainly due to the services sector, which accounted for a large part of the fall in unemployment. With these figures, the total number of unemployed stood at 2,734,831 people (down 0.9% monthly and 5.1% year-on-year), its lowest figure for a month of November since 2007. For its part, Social Security lost an average…
Until now, the public sector has been the main beneficiary of European Next Generation EU funds. After dodging the issue for several months, the government unveiled the list of the top 100 beneficiaries of these funds mid-afternoon on Friday, as the European Commission had demanded. And, according to the official statement from the Ministry of Economic Affairs, the major recipients of these funds have been public entities, as 60% of…
Francisco Vidal | Convergence with the main European nations in terms of levels of welfare and wealth has been one of Spain’s major objectives for longer than we would have liked, and the situation, far from improving, has worsened in recent times. In the year 2000, Spain’s real GDP per capita was equivalent to 95.6% of that of the current 27 EU countries as a whole; a figure that fell…
Renta 4| The company has announced an agreement with BP through which they will deploy fast-charging points for electric vehicles in Spain and Portugal with renewable sources. A total of 5,000 points will be installed by 2025, and 11,700 points by 2030 for which an investment of €1,000 million will be made. Assessment: Positive news with limited impact. No details have been provided regarding returns on investment, prices or other…
Santander| Slight improvement in lending to the private sector in October, although corporate lending is already contracting in the eurozone (for the first time since August 2015) and more sharply in the periphery. The ECB has now released eurozone private sector lending data, with a slight improvement in October to +0.4% YoY vs +0.2% in September, although this is a minimal rebound within its clearly downward trend since the peak…
CdM| The Consumer Price Index cut its year-on-year rate by three tenths to 3.2% (compared to the 3.6% expected), thanks to lower fuel and package holiday prices, and a less pronounced rise in those of food, than that experienced a year earlier, Europa Press reported yesterday, according to data released by the National Statistics Institute (INE). On the other hand, electricity prices fell less than they did in November 2022….