Spain Goes to Polls, Chinese Navy Parade, U.S.’ First Quarter GDP
Spain's most wide-open electoral contest is scheduled on April 28 while, in China, a naval parade will be held on Tuesday to show its growing nautical prowess. Economists look into the advance reading of the United States' gross domestic product during the first quarter.
The survey made by CIS, the Spanish public research institute, four out of 10 voters is unsure who to vote due to the overpowering information from various parties. The key candidates for the Spanish elections included Pedro Sanches, the current prime minister and then a member of the Spanish Socialist Workers Party (PSOE), Pablo Casado of the People's Party, Pablo Iglesias of Podemos, Albert Rivera of the Citizens, and Santiago Abascal of the VOX.
Mr. Sanchez leads the poll and its Socialist party is projected to gain between 123 and 138 seats out of a possible 350. The current prime minister seized power after the party filed a no-confidence motion against the former leader Mariano Rajoy.
Mr. Casado is the youngest presidential candidate at the age of 38.According to polls. His party might take home 66 to 76 seats in Congress. Podemos broke the two-party system in Spain four years ago after he established the left-wing group Podemus. They are projected to gain 33 to 41 seats in Congress. The Citizens are projected to get 42 to 51 seats. The right-wing party, VOX, is projected to get 29 to 37 seats in the Spanish congress. The party is criticized as anti-immigrant.
On different news, China is scheduled to showcase its naval power this week during a parade at sea. The parade aims to build ties with the militaries of other nations and to heighten the patriotic feelings of the Chinese people. According to reports, it is the largest naval parade that China has ever made. The parade will take place in waters of Qingdao on Tuesday. China is expected to showcase its Type 55 destroyer which is an important new addition to the country's navy.
Analysts are expecting the Q1 GDP results of the United States on Friday. Analysts in the National Bank Financial said that moderation in growth from the prior quarter, recall the +2.2% growth print in 2018Q4, is in the cards because of a likely drag from destocking after inventory accumulation last year.
They also said that trade probably contributed to Q1 growth thanks to rising exports and declining imports. They added that Business investment spending may also have boosted growth based on rising shipments of non-defense capital goods excluding aircraft, a reasonably good proxy butut consumption spending growth seems to have lost steam based on retail results during the quarter.