Market news
BBVA in Switzerland publishes the annual report from 2017
BBVA in Switzerland presents strong results during 2017 in his annual report, in a challenging year marked by geopolitical tensions; the UK invoked Article 50 of the Treaty of Lisbon to leave the European Union.
Family businesses: Why do they survive?
Family businesses can become a source of conflict between the different members making up the it. However, why are there businesses that have been very successful in generational change and others that have not? Discover with BBVA in Switzerland how a family protocol can contribute to success.
Consequences of the euro-dollar volatility
The low volatility during the first quarter of 2018 appears to have come to an end. A look at the euro-dollar (EURUSD) exchange rate shows a marked change in price after the first rate rise this year, in a decision taken by the FED in its last meeting on 21 March, while awaiting the definitive consolidation of the inflation data in the US.
BBVA in Switzerland with talent: discover the leader in competitiveness
The 2018 Global Talent Competitiveness Index (GTCI) has reported Switzerland as leader in talent competitiveness, followed by Singapore and the US. In addition, the city of Zurich is considered the No. 1 in the ranking of the global cities for talent attraction and development.
Investment trends in private banking
The global economic reality has changed significantly over the past few years impacting decisively on the style and way in which investors manage their wealth.
what factors affect stock market prices?
The volatility on the stock markets produces some alarm among investors who are speculating about the causes of the falls. Many clients have called us and expressed typical concerns regarding these events. Hence, in the Markets Department at BBVA in Switzerland we feel it would be interesting to explain what factors affect stock market prices.
Positive indicators for 2018
Joaquín García Huerga, Global Strategy Director from BBVA Asset Management, pick out from their management their forecast for economies and markets at 2018.
Great moment for the global growth
Jorge Sicilia, Chief Economist of BBVA Group and Managing Director of BBVA Research, explains the keys why global growth stands at its greatest moment since the last ten years and provides a regional forecast.
Demographic growth, key factor for inflation
The authorities, the various institutions and investors are surprised and wonder what is causing inflation in developed countries has remained at all-time lows since the outbreak of the crisis in 2008.
Economic fragility despite of positive figures
Most of the developed countries continue publishing positive macroeconomic figures and those reflecting growth and economic activity in particular. This could have an important effect on the trend in global financial asset prices.
Dots, points that plot our destiny
Despite Janet Yellen, the chair of the US Federal Reserve, is the most influential component in said organisation, we should never forget that she is not alone and there are other members whose vote, and often whose opinion, are equally important.
The expected trend in benchmark rates
At the end of 2015, the US Federal Reserve began official rate hikes at a much slower pace than on other occasions and with no apparent reasons for doing so, because neither inflation nor economic growth had passed thresholds for concern.
The greatest challenge on the Swiss watch industry
The traditional Swiss watch is a synonym of quality, elegance and luxury, features that have made it a benchmark in the sector. Such is the case that its watches account for 57% of the world market and represent a large source of income for the sound Swiss economy. The sector is, however, far from at its best and the arrival of smartwatches on the scene has been a disruptive force that is putting the industry’s capacity and adaptation severely to the test.
Latin American Entrepreneurs in Switzerland (I)
The cosmetics industry and the perfume segment in particular are especially competitive sectors. Two Swiss firms, Givaudan and Firmenich, account for between 30% and 40% of the global market, making them the world’s main fragrance and flavour creators.
Wages and salaries, consumption's indicators
Bearing in mind that consumer confidence in the USA has shot up over recent years (to even stand above the levels prior to the start of the 2008 crisis), it gives every indication that worker remuneration in the world’s biggest economy is going to start rising strongly over the coming quarters.
The effects of monetary policy on the Eurozone
The appearance of European Central Bank President Mario Draghi on Thursday 20 July last, when he was expected to give details of a possible turnaround in the central bank’s current monetary policy, eventually had little repercussion.
The euro pressure against dollar
The latest remarks by ECB president Mario Draghi do nothing but confirm that Europe’s highest monetary institution is in no hurry to raise interest rates from their current –0.4%. On the other side of the Atlantic, alternatively, the discourse from the US Federal Reserve is indicating at least one further rate hike in 2017, thus accumulating four increases in 18 months. Such an outstanding difference makes the dollar more attractive than the euro in the medium term.
Inflation and oil, the thin black line
After the crisis that broke out in the USA in 2008, central banks acquired an even more prominent role than they already had to keep their battered economies afloat. With interest rates at all-time lows, the major economies had to resort to non-conventional measures and put debt-purchasing programmes under way, those known as QE (Quantitative Easing).
The US stock markets break their all-time high records
In July, the S&P 500, which represents the capitalisation of the largest US corporations, reached all-time highs in North American stock markets, accumulating important yields in recent years.
What are the keystones of gold prices?
Gold prices depend largely on the trend in real interest rates in the USA, i.e. nominal rates minus inflation. The graph compares gold (blue) with the real 5-year interest rate in the USA (orange, on an inverted scale). The lower the real interest rate, the higher the price of gold.
Brexit’s uncertain future
The latest elections held in the United Kingdom on 8 June last have revealed a scenario of political uncertainty in the country, aggravated by recent outbreaks of social unrest suffered in Manchester and London, which have weakened Britain’s interests in its political aspirations vis-à-vis the negotiation of the future of the Brexit with the European Union.
How does the monetary politics affect our portfolios?
Draghi’s statements at the end of June indicating that reflationary forces (higher nominal growth and inflation) were replacing the deflationary fears of previous quarters, had a swift impact on the financial markets, producing sharp increases in long-term interest rates and a subsequent fall in bond prices across almost all the geographic regions.
The power of diversification
On 6 June last, the Spanish entity Banco Popular was sold for one euro. The increasing withdrawals of deposits had created an unbridgeable liquidity gap. The European authorities gave the go ahead to the sale of Banco Popular, which marked the disappearance of the entity with the highest efficiency ratio in Spain.
The ISM, an indicator auguring an optimistic future
Despite the volatility and uncertainty reported worldwide in the first three months of the year, the major leading indicator, the US manufacturing index (ISM) is indicating that this country is going to undergo an improvement in its economy over the coming quarters.
The world stock market hits new all-time highs
The intense momentum or positive inertia on the financial markets today has catapulted world equity indices to new all-time highs, particularly highlighting the monthly performance both by countries in Europe, driven by the election results in France and those more closely tied to the emerging economies.
