
Santander considers options for $8 billion stake in Polish unit, Bloomberg News says
Santander shares were up 6.06% at 1451 GMT, while shares of the Polish unit, Santander Bank Polska (SPL1.WA), opens new tab, rose 6.9% after the Bloomberg report.
Santander declined to comment on the report. It owns a 62.2% stake in Santander Bank Polska.
(1 euro = $1.0910)

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Reuters
2 hours ago
- Reuters
Bank of Canada divided on impact of monetary policy given tariffs, say minutes
By Promit Mukherjee and David Ljunggren OTTAWA, Aug 13 (Reuters) - Ahead of the Bank of Canada's July 30 interest rate decision, governors were divided on how much monetary policy could aid growth under current economic conditions, minutes of the meeting showed on Wednesday. The BoC kept its key policy rate unchanged at 2.75% for the third time in a row but said it could cut rates if the economy weakened as a result of U.S. tariffs and inflationary pressures were kept under control. "Monetary policy works to control inflation by influencing demand and is not well suited to shocks that push prices up because of a decline in aggregate supply," said the minutes. "In this context, there was some debate about what monetary policy could do to support the economy." The bank said the worst case tariff scenario had not transpired and noted there were no signs inflation expectations were becoming de-anchored. The minutes showed some members of the seven-person rate-setting team felt the BoC might have already provided all the support it could by bringing the rates to the middle of its so-called neutral range. The neutral rate is the point where the key rate is just enough to not stimulate or restrict economic growth, and the bank estimates this rate to be within the 2.25% and 3.25% range. "Given the lagged effects of monetary policy, there was a risk that further easing might take effect only as demand was recovering, which could add to price pressures," the meeting noted. But others believed that more support would likely be needed "given the estimated amount and persistence of slack in the economy, particularly if the labor market softened further". Members agreed the spillovers from lower export demand into business investment, employment and household spending had been limited so far. The BoC also discussed how much government spending could partially offset tariff-led weakness. But given the uncertainty and the path of trade negotiations between the U.S. and Canada, they would need to wait to draw firm conclusions on how the economy and inflation would evolve, forcing them to look "over a shorter horizon than usual." The bank's next rate decision will be on Sept. 17. Money markets see the odds of another pause are roughly 67% since most analysts and economists think the worst impact of tariffs on the Canadian economy is likely over. (Reuters Ottawa editorial) Keywords: CANADA CENBANK/


Reuters
3 hours ago
- Reuters
China July bank loans unexpectedly contract for first time in 20 years
BEIJING, Aug 13 (Reuters) - China's new yuan loans contracted in July for the first time in 20 years as the economy struggled, falling well short of analysts' forecasts, but improvements in broader credit growth suggest the central bank is in no rush to ease policy. While new loans typically fall in July after strong gains in June when banks strive to meet quarterly targets, the latest reading was well below even the most pessimistic analyst's forecasts, pointing to weak private sector demand as Beijing tries to negotiate a durable trade deal with Washington. "The July credit data was weak, but money supply exceeded expectations, reflecting the impact of last year's low base and debt resolution efforts," said Xing Zhaopeng, senior China strategist at ANZ. "At present, monetary policy has entered a period of observation, and a rate cut is unlikely in the short term. From the perspective of liquidity needs, a reserve requirement ratio (RRR) cut could also be delayed. Structural monetary policy remains the main tool for easing." New yuan loans contracted by 50 billion yuan ($6.97 billion) in July, falling well short of analysts' forecasts and plunging from 2.24 trillion yuan in June, according to Reuters calculations based on data released by the People's Bank of China. That marked the first contraction since July 2005 and the largest monthly decline since December 1999, according to central bank data. Analysts polled by Reuters had expected new yuan loans last month to reach 300 billion yuan, compared with 260 billion yuan a year ago. Along with seasonal trends which buoyed June's tally, credit demand also had rebounded sharply that month as sentiment improved following rounds of trade talks in Europe and a tentative easing of trade tensions with the U.S. The central bank does not provide monthly breakdowns. Reuters calculated the July figures based on the PBOC's January-July data released on Wednesday, compared with the January-June figure. In the first seven months of the year, banks extended 12.87 trillion yuan in new loans, versus 12.92 trillion yuan in January-June, implying a net reduction of 50 billion yuan in July. Banks issued 13.53 trillion yuan in new loans in the same period last year. Household loans contracted 489.3 billion yuan in July, versus a rise of 597.6 billion yuan in June, according to Reuters calculations, as a prolonged property market crisis showed no signs of easing. Corporate loans plunged to 60 billion yuan from 1.77 trillion yuan in June. The PBOC release did not give any explanations for changes in credit trends. China's economy slowed less than expected in the second quarter due in part to policy support and as factories took advantage of a U.S.-China trade truce to front-load shipments. But analysts warn the second half will be tougher as weak domestic demand, the property slump and rising global trade risks ramp up pressure on Beijing. The United States and China agreed early this week to extended their tariff truce for another 90 days, staving off triple-digit duties on each other's goods, but business confidence remains fragile, with some factories cutting selling prices, shifts and workers' pay. On Tuesday, China announced it would offer interest rate subsidies for businesses in eight consumer service sectors, as well as for individual consumers. Eligible businesses and consumers can receive an annual interest subsidy of one percentage point on loans. Beijing has ramped up infrastructure spending and consumer subsidies, alongside steady monetary easing. In May, the central bank cut interest rates and injected liquidity as part of broader efforts to cushion the economy from Trump's tariffs. Wednesday's data also showed outstanding yuan loans rose 6.9% in July from a year earlier, slowing from 7.1% in June and hitting a record low. Analysts had expected 7.0% growth. Broad M2 money supply grew 8.8% from a year earlier, above analysts' forecast of 8.2%. M2 expanded 8.3% in June. The narrower M1 money supply rose 5.6% year-on-year, compared with 4.6% in June. Outstanding total social financing (TSF), a broad measure of credit and liquidity in the economy, rose 9.0%, up from a 8.9% pace in June and hitting the highest since Febuary 2024. ($1 = 7.1752 Chinese yuan renminbi)


Reuters
3 hours ago
- Reuters
Walmart broadens 10% staff discount to include most grocery products, WSJ reports
Aug 13 (Reuters) - Walmart (WMT.N), opens new tab has expanded its 10% employee discount to nearly all of its grocery items, as the retail giant looks to retain workers, the Wall Street Journal reported on Wednesday, citing a letter from chief people officer to the company's staff. The 10% discount, previously available on products such as fresh produce and general merchandise, now extends to almost all grocery purchases at its stores and online, effective immediately, according to the report. Walmart, the largest private employer in the country, did not immediately respond to a Reuters' request for comment.