The Bank of Spain warns of weakness on the economy and jobs – The Newspaper

The Bank of Spain warns of weakness on the economy and jobs – The Newspaper

Wednesday, September 24, 2014 – 14.27 h

Bank of Spain makes one major weakness of the economy Spanish in the third quarter as well as “some moderation dela creating job in July and August, with respect to the dynamism observed in the first half of the year,” continues while the wage moderation in recent quarters ..

In its monthly report released Wednesday, the agency interprets “the latest information, based on the third quarter, suggesting behavior somewhat less expanding the private demand “, both consumption and investment.

In this direction point indicators such as opinion polls, the Registration Hire, sales of large enterprises, retail trade, production of goods equipoy some indices of the construction sector, as indicated in the bulletin.

Foreign Trade

In the external sector , the report notes that “trade flows of goods experienced a significant rebound in July”, both on the side of exports by imports. However, it is emphasized that in cumulative terms, trade deficit 13.7 mm amounted to more than double in the same period last year.

The indicators relating to tourism sector , however, “confirm the strength of the sector during the summer season between January and July.”

Need financing

As a result of all these elements, according to provisional data of the BOP , “the Spanish economy in June showed a surplus of € 1,000 million, slightly less than half the figure recorded in the same month last year. “

In cumulative terms, the Spanish economy experienced a borrowing outdoor 5,900 million euros in the first half of 2014, compared to financing capacity of 2,900 million in the same period last year.

Industry and Services

On the supply side, information on the industrial activity points to “some moderation in the pace of growth observed until the second quarter” while indicators relating to services industry, meanwhile, “continued to show signs of strength in the third quarter.”

The indicators relating to the evolution of labor costs extend the pattern of wage moderation in recent quarters, according to analysis by the Bank of Spain.