The Ibex 35 increases its profits (+ 1.6%; 9,255 points) due to the optimism prevailing around the trade negotiations of China and the US. Donald Trump is scheduled to meet with Chinese Vice Premier Liu He on Friday and has expressed hope in reaching an agreement. Another very positive factor is the good tone of the Brexit negotiations between the United Kingdom and the European Union.
- 11.382,600
- -1,85%
Within the selective, the increases in IAG (+ 11%) and Indra (+ 7%) have stood out. Sabadell (+ 6%) and ArcelorMittal (+ 6%) have also moved forward strongly. Internationally, strong falls in Hugo Boss after weak results, while SAP has shot up after the departure of its CEO.
The negotiations for Brexit also reflect that things improve somewhat. Irish Prime Minister Leo Varadkar has been optimistic after his meeting with Boris Johnson and has said that an agreement is possible.
This has also helped the words of the President of the European Council, Donald Tusk. This Friday he said that there are "promising signs" and that "time is almost over" for the United Kingdom and the European Union (EU) to avoid a hard Brexit.
"The British pound skyrocketed yesterday after Prime Minister Johnson and the Irish, Leo Varadkar, said that the Brexit talks were 'very positive and very promising' and that, in addition, the heads of government see 'a way' to reach an agreement. The process has been extended, and there have been some bumps in the road, but yesterday's message was one of the most optimistic news of recent times, "says David Madden, an analyst at CMC Markets in London.
Regarding the macro data of the day, the preliminary October index of consumer confidence, prepared by the University of Michigan, has exceeded the forecast of 92.0 by picking up to 96.0 from 93.2. The strength of private consumption is key to preventing the US from falling into recession, so trust data is very important for investors.
In addition, in Spain, the interannual CPI for September has been at 0.1%, minimum since 2016. In Germany, the interannual CPI has been at 1.2%. In other markets, Brent oil rises 2%, to $ 60.24, after a two-missile attack on an Iranian oil tanker in the Red Sea.
In addition, the euro increases in value 0.36%, up to $ 1.1046, while the pound soars 1.88%, up to $ 1.2680, due to optimism about a soft Brexit. In Spain, the yield of the 10-year bond remains at 0.24% and the risk premium falls to 68 points.
TECHNICAL ANALYSIS OF THE IBEX 35
"A good finish for the Ibex and the European stock markets. Not only did we close the downturn gap of 9,166 points but, in addition, we placed ourselves at the gates of the resistance of 9,300 points: the intraday highs of the first session of October. And the important resistance of these past months as we know is at 9,410 points, the weekly bearish gap that we have so often referred to " , notes José María Rodríguez, analyst at Bolsamanía.
"And there it seems that we are going to go over it shortly, unless Donald Trump goes ahead with some last-minute tweets as he has countless times before. Meanwhile, the two great European futures (Dax and Euro Stoxx) are at the gates of the September highs. And above we also have very close the annual maximums that were marked in July, "adds this expert.
"Therefore, it can be said that the conditions exist for the bulk of the world stock markets to attack the annual highs shortly, with a high probability of leaving them behind. In the case of our Ibex, these levels correspond to 9,588 points , the 9,600 if go for a fuller number, "Rodríguez concludes.
