A new week begins for financial markets as concerns continue to focus on high inflation and a possible economic slowdown. Known data about economic activity in both Europe and the United States will be conclusive.
Looking forward to the Purchasing Managers’ Indices, known as the PMI, to be published this Monday on both sides of the Atlantic, Ibex 35 opened Monday’s session in the negative. However, after half a season, the national selective managed to register growth. The advance is 0.26%, up to 7,386.01 points.
Ibex 35 is supported by good performance by energy companies. Repsol leads profits by adding 2.78% ahead of Naturagi and Enagas, which are revalued by 2.51% and 2.44%, respectively. Among the largest droplets, on the contrary, Fluidra (5.28%), Grifols (3.95%) and IAG (3.79%) stand out.
The main index of the Spanish stock market tries to recover from the sharp fall of 6.59% in September. The crash – only surpassed in 2022 by June (8.5%) and responds to the same reasons: a rise in inflation that began with a return to economic activity after the pandemic and was intensified by the war in Ukraine until Levels not seen in decades.
[Consulte aquí las claves operativas del Ibex 35, según el analista Eduardo Bolinches]
it has led to Large central banks will raise interest rates to control the price spiral. “In recent months we have seen a race to see which central bank raises its reference interest rates the most, which in addition Punishing the behavior of the stock markets, has caused a strong correction in the bond markets”, explain analysts at Link Securities.
Therefore, IBEX 35 looks to start the last quarter of the year on a positive note after accumulating five consecutive drops. It had not seen such a losing streak from March 2015 to June 2016. The national index has hit a low of November 2020.
Ibex 35’s upward turn occurs almost alone, with only the Milan Stock Exchange, which is up 0.24%, also recording an advance in Europe. At the same time, Frankfurt slashed 0.5%; Paris, 0.82% and London, 0.65%. The Euro Stokes 50 fell 0.56%.
European stock markets were split between losses and gains after knowing the manufacturing PMI for September. Spanish factory activity fell in the ninth month of the year, With a significant reduction in production, new orders and sales in general, which led to “job losses” and the entry of confidence “into negative territory” in the future.
The sector’s PMI fell to 49 from 49.9 in August, and has been below 50 for three consecutive months, the range between contraction and expansion. Germany (47.8) and France (47.7) had lower similar indicators higher than analysts expected.
The Eurozone manufacturing PMI stood at 48.4 in September, down from an initial estimate of 48.5 points.
Similarly, it is estimated that the same index but in the United States would confirm its earlier estimate of 51.8 points, while manufacturing prepared by the ISM – Institute for Supply Management (ISM, for its abbreviation in English). – It may have dropped a little 0.6 points to 52.2 points.
Earlier, New York Stock Exchange futures expect a mixed open. Just like Ibex 35 and European market, Wall Street experienced a very negative third quarter of the year. The benchmark S&P 500 index dropped 5.3% during the quarter, the Dow dropped 6.7% and the Nasdaq dropped 4.1%.
“The worst part about the situation is that, for the time being, the impact of higher interest rates in terms of moderating inflation is very limited, so central banks will have to continue raising their official rates for at least this quarter. Quick and non-stop”, also indicate experts at LINK Securities.
After half the day has passed in the parks of the old continent, Euro loses ground against dollar and is exchanged at 0.976 ‘Greenback’.
it is not the same with poundWhich appreciates to reach $1.11. British Chancellor of the Exchequer Quasi Quarteng has announced It was on Monday that the government of the United Kingdom would lower the highest bracket of income tax from 45% to 40%, a decision that itself sparked rebellion among conservative ranks.
In bond market, British loan interest has been reduced to 4.03% for 10 years, while Spanish Paper’s profitability has fallen to 3.22% for the same period. The Spanish risk premium reaches 118.95 basic points.
brent oil, Of the context in Europe, adds 4.03% and reaches $88.69. Next Wednesday, the oil ministers of OPEC and its main allies will meet under the leadership of Russia.
In their last meeting held on 5 September, the cartel members They decided to reduce the coalition’s combined production by 100,000 barrels per day. According to analysts, the coalition fears that a slowdown in the economy due to the war in Ukraine and other geopolitical tensions will lead to a fall in oil demand and thus drop oil prices.