Telefónica and Repsol, allies of Ibex to exceed 9,544 in weekly closing

With permission from Popular, this week will be Telefónica's week. The operator presents its results on Thursday at a time when its technical aspect is improving.

The telco has announced that it has reached an agreement with the investment firm KKR for the sale of up to 40% of Telxius Telecom, its global telecommunications infrastructure company, for a total amount of 1,275 million euros, that is 12,75 euros per share. The transaction implies a valuation of Telxius of 3,678 million euros (including debt), which implies an implicit multiple of 11.4 times its 2017 EBITDA.

The same day that Telefónica will present Repsol results. Both, two of the great Ibex, will say these days if the selective finally manages to break the 9,544 points in weekly candles ... a resistance with which, for the moment, can not. If it exceeds that level, the Spanish index will have the way much clearer towards the annual highs in the 9,623 points.

European stocks point to a downward opening on Tuesday as traders focus on company results and economic data. Business news is stoked by HSBC which has posted a 62% drop in its annual profit before taxes, well below analysts' expectations. The world's third-largest bank by asset volume has also posted a 89.67% drop in net profit in 2016 to $ 1.99 billion.

BHP Billiton has also posted its fourth-quarter figures and rewarded its shareholders with a higher-than-expected dividend, although their results have also been worse than expected by the market consensus.

And as the market waits for the accounts of both companies, this Tuesday again quoted Wall Street after yesterday's holiday (Presidents Day) and after the new historical highs that marked last Friday.