EUR 100.00 For Business Accounts Only

IBERIAN DAILY 09 JULY (ANÁLISIS BANCO SABADELL)

NEWS SUMMARY: GRIFOLS, LAR ESPAÑA, REPSOL.

Markets remain relatively flat
Following the victory of the left-wing alliance in France (although without sufficient majority to govern), markets did not overreact, awaiting newsflow and ending mixed, with the Ibex remaining once more above 11,000 points. Thus, in the STOXX 600 Insurance and Travel&Leisure were the best relative performers vs. the bigger drops of Energy and Consumer Goods. On the macro side, in the euro zone, July’s Sentix index dropped more than expected after 8 consecutive months of improvements in view of the smaller recovery of Germany and concerns about the French elections. In Germany, May’s exports dropped more than expected in view of the weak demand mainly from China and the US. In France, the left-wing alliance (NFP) will propose a candidate for PM this week. In Japan, the BoJ will hold three meetings with financial institutions in order to lower debt purchases.
What we expect for today
Stock markets would open with slight drops that should turn into gains as the session progresses. Currently, S&P futures are up +0.22% (the S&P 500 ended unchanged vs. the European closing bell). Asian stock markets are rising (China’s CSI 300 +0.46%, Japan’s Nikkei +2.37%).
Today in the US we will learn June’s SMEs confidence and in Mexico July’s inflation.