After three consecutive months with inflation remaining at 3.2%, in July it has risen three tenths to 3.5%. The war in Iran has its effects, although limited by the two sets of measures that the Government has adopted since the conflict broke out, the latest still in force until the end of September.
The signals pointed to the economy accelerating in the second quarter and the data has confirmed it. GDP grew by 0.7% in the period, one tenth above the increase in the first three months of the year. A positive figure that supports the Government’s macro forecasts, which have set growth this year at 2.6%. With today’s data, the accumulated growth for the whole year is already 2.2%, therefore, the forecast is on track to be met.
The extraordinary benefit for workers affected by the fires approved today by the Council of Ministers can be claimed for four months, does not require a prior contribution period, and does not consume future benefits. In addition, the aid also extends to the relatives of those affected. These are the characteristics of this specific aid for those affected by the fires that are ravaging Spanish territory these days, especially Madrid, Toledo, and Ávila. These are measures for salaried workers, with similar ones for the self-employed, to whom it will be applied through the cessation of activity, detailed in the royal decree law accessed by “La Vanguardia”.
The Plenary Session of the Congress of Deputies approved this Thursday, with 175 votes in favor (140 abstentions and 33 against), the validation of the royal decree of measures in response to the war in the Middle East. This regulation, approved by the Council of Ministers on June 29, includes fuel discounts that will be progressively withdrawn for families until their elimination in October, while they are maintained for farmers, transporters, and fishermen. In addition, the progressive elimination of the tax on energy production will be carried out, a measure that has been demanded by PP and Junts, and applauded by CEOE.
The European Central Bank (ECB) presented on Wednesday the ten finalist designs for the next generation of euro banknotes and has opened a public consultation so that citizens of the eurozone can express their preferences before the final decision.
As expected, the European Central Bank (ECB) today Thursday kept interest rates at 2.5%, with an eye on the worsening conflict in the Middle East and the impact it may have on inflation.
“We are prepared for the worst-case scenario. Repsol is prepared to supply the Spanish economy with the products we produce. When I speak of the worst-case scenario, I refer to a worsening of the situation in Hormuz. I am not saying that will happen. It would be very positive to see a solution in the short term.” This is the warning issued this Thursday by Josu Jon Imaz during the conference with analysts to present the first-half results, in which the company’s profit soared due to rising oil prices and the increased volume of its reserves.
The situation has occurred again. Red Eléctrica has reported that on Wednesday night, specifically at 22:18, the system operator proceeded to activate the active demand response service, provided for in PO. 7.5. The activation lasted until 24:00.
Despite the double-digit increase in prices over the last five years, a significant portion of wage increases aimed at preserving purchasing power has ended up in the State’s coffers as a result of the non-deflation of personal income tax (IRPF). According to a study published today by the employers’ association Pimec, approximately half of the labor cost to correct for inflation is allocated to Personal Income Tax (IRPF) and social security contributions.
The European Commission dealt a very significant blow to Google this Thursday, challenging the United States at a delicate moment in trade relations across the Atlantic. Brussels is shaking up the US tech industry by imposing two fines totaling 890 million euros for violating the European Digital Markets Act (DMA). The sanctions could be a cause for anger in the White House, as the criticized Turnberry trade agreement is about to complete a year and while US President Donald Trump finalizes new tariffs due to the expiration of the 10% global levies he imposed after the Supreme Court annulled his previous tariff barriers in February.
