EUR 100.00 For Business Accounts Only

IBERIAN DAILY 09 AUGUST + 2Q’22 RESULTS PREVIEWS (ANÁLISIS BANCO SABADELL)

NEWS SUMMARY: SACYR.

At the end of today’s report, and during the entire results season, we will include a presentation with previews for the 2Q’22 results to be released over the coming days in Spain.

The Euro STOXX 50 about to recover the 3,800-point level
The tightening of debt curves contributed to a good start to the week for European equity markets despite the greater inversion of the US slope (-43bps session lows). Notwithstanding, the earnings season and the latest macro data release dispel recession risks. Thus, in the Euro STOXX, the best-performing sectors were Retail (fuelled by Inditex’s rises) and Automobiles, whereas Pharma and Telecoms were the worst performers. On the macro side, in the euro zone, August’s SENTIX investment confidence index recovered unexpectedly although remaining in negative territory. In Germany, the sanctions of European countries against Russia were backed again, ruling out the approval of the gas pipeline Nord Stream 2 (with additional capacity of 55,000 M cubic meters of gas). In the US, inflation expectations eased significantly in the latest New York Fed survey. On another note, the FBI is investigating whether D. Trump took White House classified documents when he left office, which could weaken his presidential race for 2024 elections. In US business results, Dominion Energy y Tyson Foods were in line with expectations.
What we expect for today
European stock markets would see a slightly bearish opening in a reversal of Monday’s session. Currently, S&P futures are up +0.22% (the S&P 500 ended -0.41% lower vs. the European closing bell). Volatility in the US rose (VIX 21.44). Asian markets are mixed (China’s CSI 300 +0.11% and Japan’s Nikkei -0.41%).
Today in Mexico and Brazil we will learn July’s inflation. In US business results, Sysco, Wynn Resorts and Ralph Laurent, among others, will release their earnings.