The Ibex falls 0.13% and breaks its bullish streak after six days of earnings

The Ibex starts the week with losses (-0.13%, 10,257 points), as well as many of the rest of the European indexes, in a day marked by two political events: the imminent agreement in Italy to form a government and the voting in of Quim Torra as the new president of the Generalitat.

In this session, Técnicas Reunidas has been one of the protagonists after presenting its quarterly results. The company recorded a fall of 99% in its quarterly profit, to half a million euros, "due to the decrease in the financial result, losses because of the transactions in foreign currency, related to the depreciation of the dollar against the euro in the period". The company has collapsed by 3.4%. Also highlighted in red were Ferrovial (-1.84%) and Telefónica (-1.31%).

This Monday Indra (-0.52%) has presented its accounts and announced a 49% decrease in its profit. The evolution of the exchange rate had a negative impact of 23 million euros on sales. Colonial has also been one of the most bearish securities (-0.7%) after presenting its results and despite having gained 40% more in the first quarter, 22 million euros.

The profits in the Ibex have been led by Grifols (1.16%), Aena (+ 0.87%) and Endesa (+ 0.77%). As highlighted, ACS (+ 0.57%), whose takeover with Atlantia has already triumphed, so that both gain control over Abertis.

MAIN BOARD

Regarding the main board, Almirall (+ 3.52%) and MásMóvil (+ 3.1%) have made the headlines after presenting results. In contrast, NH has fallen by 2% after HNA announced a formal process to study the offers for its 29.5% share in the hotel.

POLITICS: CATALONIA AND ITALY

Two political events mark the economic-stock market today. On the one hand, that imminent agreement between the extremist and anti-European parties 'Movimiento 5 Estrellas' and 'Liga Norte' in Italy to constitute the Government. Secondly, the voting in of Quim Torra, which has been highlighted throughout the last days his radical profile, as the new president of the Generalitat of Catalonia. Two political 'solutions' that are not what the market would prefer but that were already known and, so far, have had virtually no impact on markets (especially what happens in Catalonia).

"Until now there is no reaction to the significant progress of the talks between the two 'anti-establishment' parties in Italy," say the London Capital Group experts.

The Eurosceptic party leader, '5 Star Movement', Luigi Di Maio, and the far-right leader of the 'Northern League', Matteo Salvini, are trying to create a coalition government that works to fill the political vacuum that Italy has experienced since the elections on March 4. The populist parties are expected to announce their decision on Monday. "If their negotiations go well, as the reports suggest, and a prime minister agrees to be accepted by the Italian president, it will be the first anti-system government in Italy and in Western Europe," they emphasize from the London Capital Group.

"The feeling of risk in the Euro Zone has not been affected so far by the growing likelihood of a coalition government formed by the two anti-establishment parties, and everything seems to indicate that the two sides will present a government program today," they explain. experts from Danske Bank in their daily report. "However, the Italian government bonds - and the euro - are not affected by this perspective, while the 10-year yield increased a bit last week, currently it is just above the 1.85% mark. , notably below the levels of 2% that were observed at the beginning of the year ", they add.

All in all, European markets close in red, but with smaller losses. This after the green numbers clearly predominated in Asia this morning and Wall Street ended with mixed sign and almost flat last Friday.

TECHNICAL ANALYSIS

"And on the seventh day he rested." This is how the 'Bolsamanía' analyst José María Rodríguez defines Monday's session, in which the Ibex took a break after six consecutive sessions in green numbers. In the opinion of the expert, this was something that "was expected": "In fact, even when we corrected up to 10,100 points, nothing would have happened here, it would only be a support on the acceleration line of the bullish momentum started end of March".

According to Rodríguez, now the Ibex has the resistance of 10,400 points, a bearish hole (daily), and above there is nothing until the annual highs at 10,645 points.

As for Europe, also rest day, although the analyst says that "it is true that they are even closer to the annual highs than our selective", but adds that we must not forget that all the European stock exchanges take seven weeks consecutive rises with a balance of + 11% in that period. "Sooner rather than later, we would have to bet on a slightly greater correction, a well-deserved rest due to the very high levels of daily overbought (not weekly)," concludes the analyst.