The Ibex and the rest of Europe focused on geopolitical tensions
The possibility to achieve a Brexit with an agreement are increasingly at odds
The Ibex opens practically flat this Tuesday, with a timid advance of 0.26%, to 7,096 points, in a day in which Europe once again has the Wall Street benchmark this Tuesday, closed last day for a holiday. Investors will be especially aware today of the tensions between the European Union (EU) and the United Kingdom. The parties resume negotiations to reach an agreement on Brexit. However, they are increasingly at odds.
IBEX 35
11.656,600
-
0,39%44,90
- Max: 11.674,00
- Min: 11.520,90
- Volume: -
- MM 200 : 11.125,61
Boris Johnson has said that "a 'no deal' with the EU would be a good result", and has threatened to modify the Northern Ireland protocol, setting off alarms in Brussels.
"Negotiations between the two sides will restart today, and the British have made it clear that they are willing to withdraw without a deal if necessary, so they have raised the stakes. Mr Johnson is content to trade with the EU on terms of the WTO basics from January if a satisfactory agreement is not reached, "explains David Madden, analyst at CMC Markets in London.
Back on the Ibex, banks are still green, with more notable increases for Banco Sabadell, which moderates its progress after opening with increases of more than 1.5%, while the Josep Oliu entity continues to be in the eye of the hurricane of possible future mergers, when the union between Caixabank (-0.45%) and Bankia (-0.26%) materializes. Viscofan also rose 1.20%, while on the side of falls IAG stands out (-3.5%).
The Asian stock markets have seen a day of green numbers after Beijing has launched a global data security initiative in an attempt to reduce tensions with the United States. The Beijing administration has established guidelines for Chinese technology companies, which include instruction not to steal data or damage the IT infrastructure of other companies. The Trump administration is putting pressure on Chinese tech companies, and the announcement by the Chinese authorities aims to improve their image. However, President Trump is likely to remain skeptical of this, analysts say.
Finally, it should be noted that, despite the increases in the past day, the experts at Bolsamanía indicate that the technical aspect of the Ibex is still very complicated. "We will not see a sign of strength as long as it remains trading below the resistance of 7,321 points. Be very careful with the abandonment of the support of 6,788 points as we could end up seeing an extension of the falls to the level of 6,400 points ", explains César Nuez, an expert at Bolsamanía.
