Ibex hits the heights after rising 3.6% this week

The Ibex appeared unstoppable on Friday and closed above annual highs at 9,785.5 points, a rise of 0.72%. The boost leaves the index 3.5% higher at the end of the week. On Friday, the banking sector pushed the index higher, despite starting the day with falls.

BBVA led the advances with a rise of 3.09% to 6.5 euros. Banco Santander also had a good day after gaining 1.4% to 5.3 euros. Both entities, which are the biggest in the Ibex, were the main players in a report from JPMorgan which bet on the banks against small domestic banks.

Ana Botin's bank called for a shareholders' meeting on April 7, inw hich it will ask its investors for a capital raise of 3.645 million euros in the next three years.

Banco Sabadell, with a rise of 2.51%, and Mapfre, with a gain of 2.2%, were the two stocks which accompanied the heavyweights in the higher part of the table. Telefonica rose 0.53% to 9.95%m, after briefly registering above 10 euros for the first time since March 2016.

On the other side, ArcelorMittal was the wooden spoon of the session after falling 1.48% to 8.4 euros. It was followed by Mediaset with a fall of 1.32% and Cellnex (-1.13%). Among the five heavyweights of the Ibex, only Inditex finished negative, with a 0.11% drop to 30.5 euros.

In the general stock exchange, Fluidra fell 3.01%, after Sabadell left its capital with a sale of 5% of the company. Today finishes off results season, with a multitude of Spanish businesses releasing results after the bell.

OTHER MARKETS

European markets finished with a mixed bag on Friday. The Cac 40 joined the Ibex in registering gains after rising 0.61%. The Dax 30 fell 0.36% and the Ftse 100 fell 0.12%.

Wall Street was registering moderate losses as investors wait on a speech from Federal Reserve President Janet Yellen at 7pm Spanish time.

The market has ruled out the prospect of a further rate rise after December's hike, when they were increased to betwen 0.5% and 0.75%. On the same day as the meeting minutes will be known, the markets will see the first electoral date of the calendar. The results of the election in the Netherlands will provide a key measure of feeling ahead of further elections in France and Germany.

In the foreign exchange market on Friday, the euro is gaining ground on the dollar. At the hour of European markets closing, the common currency rose 0.37% to 1.0547 greenbacks.

TECHNICAL ANALYSIS

Cesar Nuez, Bolsamanía technical analyst, pointed out that the Ibex 35 regaining the opportunity to finish above annual highs is a show of strength.

"It maintained intact the higher movement in the near term,a nd it did it while covering the higher gap which it left on Wednesday," the expert said.