Spain's Inflation Accelerates in June
Spain's Consumer Price Index (CPI) showed an acceleration in June 2025, with both headline and EU Harmonised inflation rates rising. The monthly CPI increased by 0.7%, surpassing both the previous month's 0.6% and the estimated 0.6%. Annually, Spain's CPI rose to 2.3%, up from 2.2% previously and exceeding the 2.2% estimate.
The EU Harmonised CPI also saw a monthly increase of 0.7% (compared to 0.6% previous and estimated) and an annual rise to 2.3%, from 2.2% previously and an estimated 2.2%. Core CPI, which excludes volatile food and energy prices, registered a monthly increase of 0.5%, significantly higher than the 0.1% previous and estimated figures. On a yearly basis, core CPI remained steady at 2.2%, aligning with previous and estimated figures. The annual change in the flash estimate of the CPI stands at 2.2% in June, two tenths higher than the one registered in May. This acceleration is primarily attributed to a rebound in fuel prices and, to a lesser extent, increases in food and non-alcoholic beverages.
Rio Tinto Appoints New CEO
Mining giant Rio Tinto (RIO) has announced the appointment of Simon Trott, previously the head of its iron ore division, as the company's new Chief Executive Officer. The appointment is effective August 25, 2025, succeeding Jakob Stausholm. Trott has been with Rio Tinto for over 20 years, holding various operational, commercial, and business development roles. His promotion comes after Stausholm's resignation was announced in May.
Oil Fields in Iraq Targeted by Attacks
Oil infrastructure in Iraq's semi-autonomous Kurdistan region has been targeted by recent attacks. The Khurmala oil field in Erbil province was struck by two explosive-laden drones on July 14, 2025. While the attacks caused damage to water infrastructure, no casualties were reported. Separately, an explosion hit the Sarsang oil field facility in Duhok province on July 15, forcing the suspension of operations. The Sarsang field is operated by US-based HKN Energy and is jointly owned by HKN Energy, the Kurdistan Regional Government, and ShaMaran Petroleum. These incidents occur amidst rising tensions between Erbil and Baghdad.
EU Developments: Budget and Trade
European Commission President Ursula von der Leyen is set to unveil the new EU budget, having delivered last-minute concessions to quell internal dissent. The upcoming budget proposal aims to be more flexible, focused, and funded by new revenues, departing from the rigid structure of the current 2021-2027 budget. The new budget will prioritize national and regional partnerships for investments and reforms, ensuring a central place for Cohesion Policy and the Common Agricultural Policy.
Meanwhile, all eyes are on whether the European bloc will retaliate with tariffs if no trade deal is reached with the U.S. by August 1. There is a growing clamor within the EU to utilize the anti-coercion instrument.
UK's Rachel Reeves to Address Mortgage Reforms
Rachel Reeves, the UK's Chancellor of the Exchequer, is scheduled to address the City of London tonight in her first major speech since a recent gilt selloff. She is expected to announce plans for easier mortgages, particularly aimed at first-time buyers. The proposed reforms, dubbed the "Leeds Reforms," include increasing high loan-to-income mortgages and creating a permanent mortgage guarantee scheme. The Treasury anticipates these changes could facilitate up to 36,000 additional mortgages for first-time buyers in the first year.
Barclays Downgrades L'Oreal
Barclays has cut its rating on L'Oreal (OR.PA) from Overweight to Underweight, also lowering its target price to €325 from €384. This follows previous price target adjustments by Barclays and other firms on the beauty giant.
Eurozone Industrial Production Forecast
Proxies and regional surveys suggest that Eurozone industrial production for May will largely exceed expectations. The Bloomberg consensus forecasts a month-over-month increase of +1.0% (compared to -2.4% prior in April) and a year-over-year increase of +2.2% (compared to +0.8% prior in April). In April 2025, industrial production in the Euro Area decreased by 2.4% month-over-month, a sharper decline than expected, with output falling across all major categories. Annually, industrial output growth in the Eurozone slowed to 0.8% in April.
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications.