- In good news, the rises of Inditex and Repsol have cushioned the fall of the index
- Enagás has also announced results on Tuesday, with a 33.5% cut in its net profit
Banco Santander has dropped 3.25% on the stock market despite announcing an improvement in its net profit of 10% in the first quarter of 2018, to 2,054 million euros. A benefit that has been in line with what was expected by the consensus collected by FactSet. The strong declines in the Cantabrian bank have put pressure on the Ibex, which has fallen by 0.39%, to 9,883.4 points. However, the selective has cushioned the falls thanks to Inditex, which has risen by 1.47%, and other securities such as Repsol (+ 1.27%), IAG (+ 1.67% and Gas Natural Fenosa (+1, 67%).
- 11.435,700
- -0,28%
The falls in Santander are explained by the continued fall in profit margins and an increase in costs. In this way, the first quarter results season does not start well for Spanish banks.
Thenegative session for the Cantabrian entity has dragged the rest of banks, such as Sabadell, which has yielded 2.52%, CaixaBank (-1.28%), and to a lesser extent Bankia (-0.08%). The other major Spanish bank, BBVA, has closed flat. On a positive note, Bankinter has recovered 0.74%.
On the other hand, Enagás (-0.26%) obtained a profit in the first quarter of 103.9 million euros, 33.5% lower than that obtained in the first quarter of 2017. A result that is below the 116 million euros estimated by Deutsche Bank analysts.
At the close of the market, Iberdrola took the baton, after rising in value 0.54% during the session. Analysts expected the company to show solid results, with an 8% increase in revenues, to 8,955 million euros, and a gross operating result increased by 23% to 2,289 million. Finally, Iberdrola has presented an EBITDA of 2,323 million, with a rise of 24%.
As for other outstanding values, it should be noted that the oil companies have had a good day supported by the significant rises in crude oil (Brent has exceeded $ 75 a barrel). In this sense, Repsol has set new historical highs (discounting dividends) at 16.09 euros, after exceeding the previous highs at 16,055 euros, although it has finally closed at 15,975 euros.
In the macro agenda of this Tuesday the publishing of the indices of the business climate in Germany in April, which is elaborated by the IFO institut, and which have been below the predicted, has been highlighted. In the US, the main news is that the yield on the 10-year American bond has exceeded 3% for the first time in four years.
TECHNICAL ANALYSIS OF THE IBEX 35
"The best way to explain the movement of the session this Tuesday on the Ibex is by attending the graph in the weekly period, why? Because, as we have been commenting for several weeks, the first of the resistances was true and we followed it. In the short term, we will be attentive to the 9,800 points as support, because if you remember for several weeks this level acted as strong resistance, "explains José María Rodríguez, analyst of 'Bolsamania'.
"In any case, there is no major technical deterioration today because it is (for the moment) the first corrective candle after five consecutive sessions closing in positive, in fact if we look at our European neighbors the technical deterioration is even lower than in the Ibex, we have simply been weighed down by Santander's strong correction, partially offset by the good performance of Inditex and Repsol, "adds the expert.
"Therefore, as a summary, it can be said that the correction of this Tuesday fits within the normal parameters. Over the resistance of the 9,940 points although the key resistance remains at 10,210 points (weekly bearish hollow), "Rodríguez concludes.
