- On Friday the index was up 0.08% to 10,132 points, breaking its losing streak
- Weakness of the banks and blue chips continues to affect the market
A very red week for the Ibex 35. The index fell 1.8% in these five sessions which were marked by political tensions and weakness in the financial sector. However, the Ibex was able to break its losing streak to finish up 0.08% at 10,132 points.
- 11.656,600
- 0,39%
Banco Santander provided the support for the Ibex to finish above zero on Friday, keeping it above the 10,100 support level. The entity presided over by ana Botin closed up 1.38% at 5.35 euros, after receiving a positive rating from Morgan Stanley. The US bank raised its valuation to 6.80 from 6.20 euros per share.
IAG led the index in fact, closing up 1.45% at 6.5 euros and was followed by Caixabank on 1.41%. Banco Sabadell was also up by 0.59% to 1.7 euros. With respect to the political tension in Catalonia, Fitch joined the likes of HSBC, Citi, ING and Goldman Sachs by threatening to lower its rating for the area if Madrid ‘turns off the tap’.
On the losses side, Siemens Gamesa picked up the wooden spoon with a drop of almost 4%. It was accompanied by Enagas, which was down 1.68% and Acciona which was down 1.59%.
On Friday, Inditex continued its losses of recent days with a fall of 1% to 30.8 euros. The clothing company reports its results on 20 September and forecasts show that they will eb worse than previous quarters.
OTHER MARKETS
Other European markets saw a mixed bag. The DAX 30 was up 0.04%, while the CAC 40 and FTSE 100 fell 0.04% and 0.25% respectively. With respect to Wall Street it opened mostly flat on Friday in a week marked by tension with North Korea.
The euro prolonged its rally against the dollar and is now over $1.21.
In commodities, West Texas oil fell 1.65% to $48.27, while Brent crude pulled back 0.46% to $54.25.
“More of the same,” analyst José María Rodríguez said. The Ibex 35 closed at the same level of the last two days, just at the base of the lower channel of the last four months. The problem is as the the time passes the rebound does not seem to be coming. “I hope I’m mistaken but experience shows us when the rebound doesn’t arrive the markets fall.”