Best Reads

“If we assume there will be no break-up of the euro, and that banks will not need significant capital hikes, the appetite for investment is very strong. Average revaluation expectations are close to 100% within a 1-2 year period.” – by Ofelia Marín-Lozano

“Just when it looked as though the European NPL tide was at last beginning to fall, 14 years on from the start of the great financial crisis, a new surge of NPLs is on the horizon.  It’s time to launch the securitization lifeboats.” – by Tom Brown

“Cracks have appeared in the defenses of European collateralized loan obligations for the first time since the last financial crisis as portfolios buckle under the strain of the coronavirus pandemic.” – by Sarah Husband

“As European countries are easing travel restrictions and governments and central banks have stepped up monetary and fiscal support, investors are looking for opportunities to take on more risk.” – by Paulina Pielichata

“A new proposal to clarify and expand U.S. sanctions on the Nord Stream 2 pipeline has been just introduced in the U.S. Senate. Spearheaded by Senators Ted Cruz (R) and Jeanne Shaheen (D) the bill has a rare bipartisan support. If expanded, the sanctions would impact all pipeline laying activities as well as companies that provide […]

“Chancellor Angela Merkel said Wednesday that Germany was set to plow 130 billion euros ($146 billion) into rebooting an economy severely hit by the coronavirus pandemic. The measures include temporarily cutting value-added tax form 19% to 16%, providing families with an additional €300 per child and doubling a government-supported rebate on electric car purchases.”

“Del Vecchio’s holding company Delfin said it had filed the request to increase its Mediobanca holding above 10% and up to 20% with the Bank of Italy on May 29, adding that the authorisation process usually takes up to 60 days.” – by Claudia Cristoferi

“The ECJ ruled in December 2018 that the PSPP is legal. Therefore, it is clear for us that we can and have to continue our monetary policy in line with our mandate to make sure that in the medium term we are getting back to our inflation aim of below, but close to, 2 per […]

“Talks have been delayed, the negotiators themselves have been sick and policymakers have needed to give their full attention to fighting the virus. Nevertheless, the U.K. continues to insist it will not ask for or accept an extension in June, the current deadline for establishing such measures. As a result, European politics is back to its […]

“The speed at which the economy bounces back will then hinge on whether consumers are more reluctant to consume and businesses hold back on investment. From today’s perspective, it looks in any case unlikely that economic activity will return to its pre-crisis level before 2021, if not later.” – Luis Doncel