Europe

“European inflation expectations are rising as investors anticipate ongoing easy monetary policy and a global economic rebound boosted by U.S. fiscal spending.” – by Anna Hirtenstein

“Bruegel experts on digital policy to delve into the latest EU digital regulations: the Digital Services Act and the Digital Markets Act. What is the Commission proposing? What connections do these two bills have, and what policy and market implication do they have?”

“European companies hit by the coronavirus crisis are increasingly turning to a complex financial tool to pay suppliers, raising investor concerns around “hidden” debt.” – by Abhinav Ramnarayan and Lawrence White

“Brussels is planning to lay out a raft of proposals in a bid to make it easier for EU banks to offload soured loans as it anticipates the risk of a pandemic-related wave of corporate distress.” – by Sam Fleming and Martin Arnold

“[Banks] generated enough pre-provision operating profit in the first nine months of 2020 to absorb their dud-credit charges. They also reported higher common equity Tier 1 (CET1) capital ratios for the end of September than in March.” – by Liam Proud

“Central banks were among the biggest buyers of European common debt this week, signaling growing trust that the euro will hold its own through the pandemic.” – by Anna Hirtenstein

“Another round of widespread lockdowns, for instance, could add more than $1 trillion in non-performing loans to the pile, according to the European Central Bank, and put the explosive issue of bank bailouts back on the table.” – by Marion Halftermeyer, Alexander Weber and Antonio Vanuzzo

“If Donald Trump loses the United States presidential election in November, he will ultimately be seen to have left little mark in many areas. But in the US’s relationship with China, the decoupling of economic links could continue, and that could force Europe into hard choices.” – by Jean Pisani-Ferry

“The growth plans of the football league’s new president Paolo Dal Pino are attracting bidders over a multibillion-euro deal.” – by Samuel Agini, Murad Ahmed et al.

“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