EUR 100.00 For Business Accounts Only

IBERIAN DAILY 17 DECEMBER (ANÁLISIS BANCO SABADELL)

NEWS SUMMARY: MELIÁ HOTELS, OHLA.

Doubts on the horizon
European stock markets saw slight corrections after the disappointing macroeconomic data released in China. On the geopolitical front, the German chancellor O. Scholz lost the confidence vote, paving the way for early elections in February. Thus, in the STOXX 600, defensive sectors such as Pharma and Telecoms were the best performers whereas Autos and Real Estate saw the biggest drops. On the macro side, in the euro zone, December’s PMI data were mixed, the manufacturing PMI remained at 45.2 (worse), whereas that of services improved more than expected, returning to expansion zone (51.4 vs. 49.5). In France, the Parliament approved the emergency refinancing law for 2025 and the Bank of France cut GDP’25 to 0.9% vs. 1.2% previously. From the ECB, L de Guindos remains confident that inflation will converge towards the 2% target in 2025, which will result in a less restrictive monetary policy In the US, November’s manufacturing PMI fell unexpectedly whereas the services PMI climbed more than expected. In China, the government foresees 5.0% GDP growth in 2025 and a -4.0% deficit vs. -3.0% in 2024.
What we expect for today
Stock markets would open with slight corrections of -0.3% that could increase throughout the session. Currently, S&P futures are DOWN -0.11% (the S&P 500 was up +0.10% vs. the European closing bell). Asian markets are MIXED (China’s CSI 300 +0.37%, Japan’s Nikkei -0.12%).
Today in the UK we will learn October’s unemployment rate, in Germany December’s IFO business confidence and ZEW indices, in the US November’s retail sales and industrial output and December’s residential construction confidence index (NAHB).