EUR 100.00 For Business Accounts Only

IBERIAN DAILY 27 JANUARY + 4Q’25 RESULTS. PREVIEWS (ANÁLISIS BANCO SABADELL)

NEWS SUMMARY: METROVACESA, SANTANDER.

At the end of today’s report, and during the entire results season, we will include a presentation with positive and negative results highlights and previews for the 4Q’25 results to be released over the coming days in Spain.

Markets rally
European markets rallied after the solid opening in US markets, which led the Euro STOXX 50 to rise back above 5,950. In the STOXX 600, the best-performing sectors were Basic Materials and Utilities, whereas Travel & Leisure and Financial Services saw the biggest corrections. On the macro side, in Germany January’s IFO remained at the same level as the previous month (worse than expected). In geopolitics, India and the EU ended their negotiations on the free trade agreement that includes the immediate reduction of tariffs on combustion-engine vehicles to 40% (vs. the current 110%) and could also reduce tariffs on alcoholic beverages (currently 150%). In Mexico, December’s unemployment rate fell slightly more than expected. In the US, November’s durable goods orders rose much more than expected. In internal politics, there is an increased likelihood (~80%) of a new shutdown on 31/01 when the funding of the federal budget for agencies expires, which would affect ~75% of discretional federal spending. In trade matters, Trump threatened South Korea with an increase in tariffs up to 25% (vs. current 15%) due to the slow implementations of the trade agreement affecting vehicles, wood and pharmaceutical products. In US business results, Baker Hughes beat expectations, Steel Dynamics and WR Berkley were in line.
What we expect for today
European stock markets would open with gains, positioning themselves ahead of the Fed meeting and the results presentations of the large US tech companies this week (Microsoft, Meta, Tesla and Apple). Currently, S&P futures are up +0.34% (the S&P 500 ended flat vs. the European closing bell). Asian markets are rising (China’s CSI 300 +0.52%, Japan’s Nikkei +0.82% and South Korea’s Kospi +2.66%).
Today in Spain we will learn the 4Q’25 unemployment rate and in the US FHFA housing prices and Conference Board consumer confidence (both for November). In 4Q’25 business results, UnitedHealth, General Motors, Union Pacific, Invesco, Sysco, Boeing and PACCAR, among others, will release their earnings.