Italy
The Italian economy performed better than expected in the first half of the year, thanks to highly buoyant household spending and a surge in fixed capital investment, driven by continued strength in the construction sector and strong investment in capital goods.
Germany
The German economy enjoyed a very positive first half of the year. In fact, GDP grew by 0.4% quarter-on-quarter in Q1 2026 and rose by 0.3% in Q2, despite the sharp increase in energy prices following the outbreak of war in the Middle East.
Spain: 2027 macroeconomic outlook
Spain is facing the latest episode of international geopolitical tension from a position of strength, although rising energy costs, tighter financial conditions and a deteriorating international environment will keep inflation high and reduce economic dynamism. All this…
15 October 2026
Geopolitics and fiscal policy weigh on financial markets
Markets were influenced by the ongoing conflict in Iran and growing concerns about long-term fiscal sustainability. In this context, central banks continued to raise interest rates, although they softened their rhetoric towards the end of the month. Sovereign debt yields…
