MADRID | By Sean Duffy | Thursday brought some positive predictions on the Spanish economy from the European Commission, but buoyancy on European markets may be negated by data due from the US later today.
MADRID | By Sean Duffy | Markets will be looking to how relations between the new Greek Government and European creditor nations play out in the week ahead. After a week of tense negotiations, the stakes are increasing all the time. Greek claims of insolvancy have irked its eurozone partners, but can all sides find a middle ground in the coming days?
MADRID | By Sean Duffy | Market fears about Greece eased somewhat on Thursday, with Spanish banks recovering the ground lost earlier in the week. Friday brings new data on unemployment and GDP which may bring further good news for the Spanish economy
MADRID | The Corner | The onset of QE by the ECB will have several consequences but one of the most important is the continued depreciation of the euro against other currencies. The significant appreciation of the dollar, the pound and the Brazilian real in recent months could be very positive for Spanish companies,” but it depends on how they are funded in these countries and whether the currency risk is covered,” said experts BekaFinance.
MADRID | The Corner | Spain is to be one of the first beneficiaries of the European Commission´s Investment Plan for Europe, with €3.2Bn being allocated to the country to support the SME sector.
MADRID | The Corner | In spite of, or maybe, thanks to the so-called Spailout (2012), Spain is today one of Europe’s driving forces. The International Monetary Fund’s estimates on global economy point to the country as the outperformer of the Eurozone for the first time in six years. Its GDP would grow by 2% this year and 1.8% in 2016.
MADRID | By J.P. Marín Arrese | Santander´s management has provided little explanation for the huge 10% capital increase launched last week. The official announcement vaguely notes the need to seize new opportunities when economic prospects are improving. Can we bet on such a promising outlook when so many uncertainties prevail in Europe? It doesn’t seem very convincing. Rumours on potential take-overs also seem rather odd, as raising cash before entering a bid will only serve to increase the final bill. It makes more sense to gauge this move as a means aimed at buttressing the bank´s own funds.
MADRID | By J.P. Marín Arrese | The Spanish Justice Department has launched a thorough investigation into the accounts which were submitted prior to the original BANKIA share issuance back in 2011. Experts from the Bank of Spain have delivered a devastating report implying these accounts did not provide a fair elucidation of the balance sheet. Should the final ruling follow that line, it could open the way for multi-billion euro claims from investors. Even though BANKIA has announced it can cope with such losses, with taxpayers footing two-thirds of the bill, the impact on Spanish financial market credibility could wreak havoc.
MADRID | By Fernando G. Urbaneja | Spanish bank Santander is a powerful battleship, the euro zone´s largest by market cap, one of the world’s leaders, with an outstanding presence on both sides of the Atlantic. It is therefore a complicated engine to move, even slowly. The unexpected death of the company´s chairman, Emilio Botín, in September 2014, brought about the accession of his daughter Ana to the bank´s top post. The younger Botín possesses unquestionable professional credentials, but nonetheless has had to allay fears that any change in leadership can bring about.
MADRID | The Corner | The stock listing of Santander, Spain and the euro zone´s largest bank was provisionally suspended on Thursday ahead of the imminent approval of a capital increase of €7Bn. When trading was suspended, shares were priced at €6.85, a rebound of 3.31%.