Italia fachadas

Italian industrial production falls 1.9% month-on-month and 7.2% year-on-year-year

Intermoney: Transalpine industrial production left a bad taste in the mouth in April, falling -1.9% month-on-month and -7.2% year-on-year. The secondary sector accounts for 16.2% of Italy’s GDP, so it is bad news that there was a generalised contraction in practically all the items, with a particular focus on the -2.1% m. in manufacturing activity. Moreover, the fall was especially visible in the production of base metals and materials, when…

Italia fachadas

EC suspends €19-billion Next Generation funds payment to Italy due to sluggish progress on reforms demanded by Brussels

Renta 4 : European markets open higher (Eurostoxx futures +0.5%), with the markets on hold ahead of the inflation data due on Thursday and Friday in Europe and the US, which will determine the extent to which central banks will have to continue to raise interest rates. Meanwhile, the most advanced cycle indicators (German IFO, US Conference Board consumer confidence) show a better than expected performance in March, although the…

Atlantia Abertis

Italy gives green light to Benetton’s bid for Atlantia: one of the initial accords could be the transfer of its 15% stake in Hochtief

Intermoney | The Italian government has decided not to oppose the bid launched for Atlantia by the Benettons and Blackstone, according to the daily Cinco Dias. In theory, the Italian executive could have invoked the special powers it still has over Atlantia and other strategic sectors. However it has declined to do so. The price of the bid is 23 euros in cash, which values the concessionary at some 19…

mario draghi italy

The Best-Case Scenario For Italy In The Next 12 Months

Annalisa Piazza (MFS IM) | The outcome of the Italian Presidential election (Mattarella re-elected and Draghi remaining PM) is the best-case scenario for Italy in the next 12 months. As such, BTPs should benefit from the expected stability and the integrity of the two major political figures. In the short term, we see chances of a modest tightening in spreads vs Bund. We remain relatively optimistic on Italy’s recovery story…

mario draghi italy

Italy’s Presidential Race Puts a Strain on Political Balance

*This article was originally published by Fair Observer Alissa Claire Collavo | Italy’s parliament gathered in a joint session of both houses on January 24 to elect the country’s next president who will succeed Sergio Mattarella, whose term will end on February 3. A total of 1,009 voters, including 58 delegates chosen by regional councils and known as “great electors,” took part in the first stage of voting, which will be repeated every…

draghi black

Italy | Rising Insolvencies Expected As Of H2 Of 2021

Crédito y Caución (Atradius) | Despite the deep economic contraction in 2020, Italian business insolvencies decreased 29% year-on-year. The decline was mainly due to a temporary bankruptcy moratorium and fiscal support. However, with the expiry of temporary adjustments to insolvency law, it is expected that business failures will increase again in H2 of 2021. Looking at the cumulative insolvency growth between 2019 and 2021, Italian business failures are forecast to increase 4%, with further rising insolvencies expected in 2022

spanish economy

The Problem Is Not The Debt, It Is The Primary Deficit

Ofelia Marín Lozano | A business with a positive operating result is viable in the long run, even with a lot of debt. So is a country with a primary surplus. Spain has not achieved this since 2007, with the real estate bubble. But the different behaviour of countries in an ordinary, normal situation (their higher or lower deficits, their surpluses or not in good times) can mark a very different future evolution, which is not evident at first sight. These notable differences are well exemplified by a comparison between Italy and Spain.

draghi ECB

Super Mario Is Back With The Mission To Turn Italian Crisis Around; But It Won’t Be Easy

Over the weekend, Mario Draghi has managed to obtain a broad majority to form a new coalition government in Italy after winning the support of the Five Star Movement and the ultra-right-wing League. His nomination is a try to turn the country around the virus-induced crisis, since he is a widely respected figure for his important role during the European debt crisis. The yield of the Italian 10-year bond fell last week -11 bps to 0.53% on the expectation of greater political stability in the country (vs. a high of 0.75% this year).

renewables toreras

BofA: “We stay overweight France, Spain and Italy.”

BofA Global Research | We stay overweight France, Spain and Italy, as they should benefit from a continued rebound in PMIs. We raise the UK to marketweight after the recent undershoot. We remain marketweight Germany, as it discounts much good news. We are underweight Switzerland, as it tends to underperform when improving growth momentum lifts bond yields.