Ibex mounts comeback on similar path to oil, remains above 10,700
ArcelorMittal, Acerinox and Grifols led the gains in the Spanish market
- On the other hand, Red Electrica, IAG and Bankinter led the losses
- The index hit a low of 10,641 points during the day
- En castellano: El Ibex remonta al ritmo del petróleo y se resiste a perder los 10.700 puntos
The Ibex 35 once again prevented itself from falling below 10,700 points, as it did on Wednesday, recovering from losses earlier in the day. The index hit a low of 10,641 points but from there was able to bounce back and eventually ended 0.29% lower to 10,709.90 points.
The best performers of the day were ArcelorMittal (+3.1%), Acerinox (+2.7%) and Grifols (+2%), while the worst performers were Red Electrica with a loss of 1.47%, IAG (-1.41%) and Bankinter (-1.13%). Aena also fell (-0.87%) after Deutsche Bank recommended ‘sell’ on its shares with a valuation of 163 euros.
Among the blue chips, Iberdrola fell 0.99%, followed by Repsol (-0.91%), BBVA (-0.37%) and Telefonica (-0.16%). Inditex gained 0.14% while Santander was 0.1% higher.
The Ibex’s recovery matched that of oil prices, which gained close to 2% in the case of Brent to $45.66 after strong losses in recent days. Fro highs in February the commodity has lost around 20%.
In the general stock exchange, the best performers were Ercros (+9%) and the construction firm San José (+7%). On the other side, Pescanova was the worst performer after a loss of 11%, followed by Europac (-7%), affected by the sale of Cartel Industrial Rea.
Thursday sees the first day of the European Council meeting. EU leaders will meet with two objectives: strengthen the EU and protect its citizens. Key themes will include terrorism, security, globalisation and climate change. It is hoped that Theresa May will make an appearance at this event, where she will speak of Britain’s intentions on leaving the bloc.
TECHNICAL ANALYSIS
“A very similar session today to the one we saw on Wednesday. This morning it looked like we would be able to fall through the support of 10,600, but we ended up closer to the highs of the day. What’s clear is that despite the narrow range of prices we have seen in recent times, we may be able to push towards the resistance set on Tuesday (10,901) and then think about pushing to the higher part of the triangle,” said Bolsamanía technical analyst José María Rodríguez.
“Above 11,050 we would have a small figure with the chance of gaining as high as annual maximums. But we should not get ahead of the market. We must wait until the price tells us that we will be able to push that high.”
Gráfico diario del Ibex 35