29 Dec 2015
In the light economic calendar Spain stands out as political situation remains unclear - BBH
FXStreet (Delhi) – Research Team at BBH, notes that the Spain's political situation remains far from clear.
Key Quotes
“The Socialists appear to have ruled out a coalition with Podemos on grounds that it supports a referendum on Catalonia's independence. The chances of a grand coalition of the center-right PP and center-left Socialists were never high and appear to be receding. Meanwhile, Catalan politics are also very fluid. It also cannot put together a new government (election was in September). The pro-independent, but anti-EU and anti-NATO left Popular Unity Candidacy (CUP) is split over whether to support CDC's Mas. If there is no agreement by January 9, new elections are mandated.”
“Retail sales rose 3.3% on a seasonally adjusted year-over-year basis. The Bloomberg consensus called for a 4.6% increase. The October series was revised to show a 6.0% gain rather than the 5.8% initially reported. The last time Spanish retail sales fell on this basis was July 2014. Tomorrow Spain reports its preliminary December CPI. The harmonized measure is expected to rose to 0.1% from -0.4%. It has not been above zero since May 2014.”
Key Quotes
“The Socialists appear to have ruled out a coalition with Podemos on grounds that it supports a referendum on Catalonia's independence. The chances of a grand coalition of the center-right PP and center-left Socialists were never high and appear to be receding. Meanwhile, Catalan politics are also very fluid. It also cannot put together a new government (election was in September). The pro-independent, but anti-EU and anti-NATO left Popular Unity Candidacy (CUP) is split over whether to support CDC's Mas. If there is no agreement by January 9, new elections are mandated.”
“Retail sales rose 3.3% on a seasonally adjusted year-over-year basis. The Bloomberg consensus called for a 4.6% increase. The October series was revised to show a 6.0% gain rather than the 5.8% initially reported. The last time Spanish retail sales fell on this basis was July 2014. Tomorrow Spain reports its preliminary December CPI. The harmonized measure is expected to rose to 0.1% from -0.4%. It has not been above zero since May 2014.”