Catalonia election without influence
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27 December 2017
Posted in
sentix Euro Break-up Index News
The euro-zone ends 2017 in a stable state. Although the regional elections in Catalonia did not bring about any change in the status quo of Catalonia's autonomy issue, investors see no reason to draw negative conclusions for the euro zone. The sentix Euro Break-up Index rose only marginally from 7.91% to 8.35%. The sub-index for Spain rose from 0.63% to 1.24%. That's not a critical level yet.
The elections to the regional parliament in Catalonia did not create a fundamentally new majority. However, the re-sulting uncertainty about how things will continue in Spain leaves investors cold. The sentix Euro Break-up Index rises only slightly to 8.35%.
sentix Euro Break-up Index: Headline Index Euro area and Contagion Risk Index
The trend of the last few months thus continues. The eurozone leaves 2017 in a stable constitution, as evidenced by the contagion risk index. This sub-index falls to its lowest level of the year in December. According to this indicator, the risk of infection is low if investors' risk assessment is spread over as few countries as possible.
Greece and Italy are still the countries with the highest EBI values. In both cases, however, these are less than 5%. Spain comes in third, but despite a doubling this month, the Spanish EBI is only 1.24%.
