EUR 100.00 For Business Accounts Only

IBERIAN DAILY 03 OCTOBER (ANÁLISIS BANCO SABADELL)

NEWS SUMMARY: ALMIRALL, FERROVIAL.

The quarter kicks off with doubts
Despite the US Govt. avoiding a shutdown, the week kicked off with losses of more than -1.0% in Europe and with sovereign debt yields continuing to rise. Thus, in the Euro STOXX, all the sectors ended in the red, with Autos and Technology being the best relative performers vs. the biggest drops in Chemicals and Utilities. On the macro side, in the euro zone August’s unemployment rate remained at 6.4% as expected, and September’s final PMI confirmed the preliminary data. In Spain, September’s manufacturing PMI rose more than expected, although it remains far from an expansive zone. In the US, September’s manufacturing ISM rose more than expected, and although it remains in z contracting zone, the job and orders items have improved, whereas the price component fell more than expected. In Mexico, September’s manufacturing PMI dropped more than expected.
What we expect for today
European stock markets would open with losses of -0.7%. Currently, S&P futures are down -0.11% (the S&P 500 ended +0.35% higher vs. the European closing bell). Volatility in the US fell (VIX 18.03). Asian stock markets are falling (China’s CSI 300 closed, Japan’s Nikkei -1.72%).
Today in Spain we will learn September’s unemployment and in Brazil August’s industrial output. In debt auctions: Austria (€ 1.265 Bn in bonds due 2033 and 2053).