The second week of June was marked by the meeting of the European Central Bank (ECB), in which it was in favor of continuing with debt purchases and in which it improved its projections, and by the inflation data in the United States, which revealed that the IPC is at its highest since mid-2008. Meanwhile, the Ibex 35 continued, for another week, moving laterally, although Friday’s rise allowed it to settle at 0.2% of annual highs. Of course, it is still one of the few indexes that have not yet erased the gaps in the Covid-crash.
The Ibex closed the week with a 1.28% rise. His biggest boost was found on Friday, which allowed him finish the week at 9,205 points. However, it would still need a 9.6% rebound to return to its pre-coronavirus levels, unlike the rest of the main European parks (except Ftse 100) that have already fully recovered. “The Ibex 35 continues to be comfortable within the range that limits its movements in recent weeks, which has a base and support of 8,960 points and a ceiling and resistance of 9,250 points,” says Joan Cabrero, technical analyst and Ecotrader advisor.
In these moments he maintains a gap of more than 2 profitability points with its European counterpart, in favor of EuroStoxx, which also remains asleep. In the week advances 0.9%, without moving away from the area of 4,100 points. “In the case of the EuroStoxx 50, and leaving aside the stricter short term, we continue to insist that the underlying upward trend will remain intact as long as an eventual cut does not deepen below 4,040 and above all 4,020 points,” says Cabrero. . “As long as this support range remains in place, we continue to assess the following objectives at 4,300 points, which arise from projecting the amplitude of the last lateral phase,” he adds.
In the rest of the Old Continent, the week was generally positive: the Cac advanced 1.3% and the Ftse Mib, a 0.6%. The only exception was the German Dax, who finished off this period totally flat.
Across the Atlantic, on Wall Street with mid-session data on Friday, the Dow Jones was at Red, with a 1% weekly drop. The S&P 500 and the Nasdaq, however, dismissed these last 5 days with increases of 0.2% and 1.6%, respectively.
As for the weekly evolution of Spanish values, Grifols highlighted, which rose 11.3% in this period, after its competitor Vertex Pharmaceuticals halted the study against alpha-1 antitrypsin deficiency. They were followed by Indra (+ 7.1%) and Telefónica (+ 6.8%). On the other side of the coin, Siemens (-3.2%), Bankinter (-2.9%) and Acciona (-2.3%) became the most bearish in the last 5 days.
On the other hand, oil recorded a very positive week. A barrel of Brent managed to exceed 72 dollars, its highest level since April 2019.
Important week for debt
The debt market kept its nerves tempered in the final stretch of the week despite the strong increase in inflation in May in the United States and after having already reached the 2% in the eurozone, thanks to the ability of the ECB to transfer to the market that it will keep the support for the economic recovery intact with its purchases and awaiting the next meeting of the Fed, next week, in which it could change its perspectives and launch clues of your roadmap.
The yield of the Bund, Germany’s bond with a 10-year maturity and the main reference in Europe, remained close to the -0.27% level, far from its maximum in 2021, -0.1% on May 18, when the market showed the point of greatest concern about the rise in prices. Spain’s 10-year debt describes an identical sentiment, and remained about 0.35%, also looking at a distance from the highs of the year, 0.61% of May 17.
“The most important appointment next week is the Fed meeting on Wednesday: investors are looking for improvements in forecasts for growth, employment and inflation and will want to know if their leaders have begun to consider moderating stimulus”, warns Greg Meier , an economist at Allianz Global Investors. Waiting, the euro closed the week around $ 1.21.
The Keys of the Day: the ECB maintains stimuli, Ibex values at maximum and the ‘no bailouts’ of the Sepi