The Ibex is falling once again with a 0.78% drop. Volatility has marked the last bars of the selective which have gone from falling 0.7% to rising 0.2% and to correcting another 0.7% again. All of this has happened after the ECB meeting. Lagarde surprised the market with more emergency purchases than expected (600,000 million compared to the anticipated 500,000) due to the coronavirus crisis. The total PEPP rises to 1.35 trillion euros and is extended to June 2021.
- 11.435,700
- -0,28%
The decision of the ECB has not only had an impact on European markets. The risk premium has plummeted to 88 basis points. The spread had not been at this low level since early March, before the pandemic escalated.
This Thursday it was also news that Germany approved, last night, a stimulus package worth 130,000 million euros to support the country's economy to recover from the crisis stemming from the coronavirus pandemic, as announced by the chancellor Angela Merkel.
The chancellor has argued that drastic spending is necessary to "give a future to the next generations." The amount approved, covering 2020 and 2021, has exceeded all expectations, as it was speculated that a total of 80,000 million euros would be allocated to this contingency.
All in all, the Ibex is taking a break from its progress towards 8,000 points. "In the 8,000 points is the bearish gap that was left on March 9. If it managed to exceed these prices, it could end up covering the gap to the drop this same day, at 8,375 points. However, for these prices it is the average of 200 sessions, the average in which profits could be slowed down, "explains César Nuez, analyst at Bolsamanía.
As for other appointments of the day, this Thursday the weekly unemployment claims in the US have been known. The virus destroys another 1.87 million jobs, more than expected. This data came, after, in the last day, the employment data of the consulting firm ADP were known.
Finally, investors will continue to watch for oil, waiting for that OPEC + meeting, which was speculated, could be brought forward, although there is no news in this regard. The Brent reconquered yesterday the $ 40 per barrel.
