The Ibex 35 falls 0.77% and moves away from 12,000 points after the ECB rate cut

The Spanish square, against the current of the rest of Europe

Oct. 17 () –

The Ibex 35 closed this Thursday with a fall of 0.77%, reaching 11,904.5 points, in a day marked by the monetary policy decision of the European Central Bank (ECB) to cut interest rates again. interest at a quarter point, the third drop so far this year and the second consecutive after the September meeting.

The main indicator of the Spanish market has started trading upwards and has managed to exceed the symbolic level of 12,000 integers at the opening, the highest since January 2010; However, shortly afterwards it stabilized at yesterday’s closing levels and, after the decision of the ECB and the appearance of its president, Christine Lagarde, it has opted for losses.

It should be noted that the Spanish market has gone against the trend of the rest of the European benchmark indices: London has added 0.67%; Frankfurt 0.77%; Milan 1.09% and Paris 1.22%.

Going into the details of the day, the Governing Council of the ECB has decided to comply with the script and lower interest rates by 25 basis points, so that the deposit rate (DFR) will remain at 3.25%, the reference for its main refinancing operations (MRO) at 3.40% and that of the loan facility (MLF) at 3.65%.

The president of the ‘guardian of the euro’ has tried not to get carried away by the good news that came from Eurostat regarding the evolution of prices in the eurozone, by stating that the central bank has not yet completely subdued inflation, although it is close to doing so, which is why it has avoided committing to a new rate cut at the meeting next December, ensuring that the entity will continue to be guided meeting by meeting by the information received.

In this sense, it is necessary to point out that, before knowing the ECB’s decision to cut rates, Eurostat has revised downwards the reading of September inflation data for the euro zone, which stood at 1.7% in instead of the 1.8% initially estimated, which represents the smallest price increase in the euro region since April 2021.

On the other hand, the Spanish branch of JP Morgan commented following the central bank meeting that “the concerns within the Governing Council of the ECB are shifting from inflation to growth.”

Looking to the future, the consensus of analysts consulted by Europa Press agrees to expect another drop in the price of money at the meeting next December despite Lagarde’s prudent messages of maintaining the ‘meeting by meeting’ approach.

On the macroeconomic agenda, in addition to the review of eurozone inflation, data from the United States have stood out: industrial production in that country fell by 0.3% in September compared to the 0.3% rise in August , while retail sales registered an increase of 0.4% in September compared to the previous month, when consumption rose 0.1% in revised data.

In the Spanish business field, Talgo confirmed yesterday – with the market closed – having received a manifestation of interest from the industrial group Sidenor to acquire all or part of the company’s capital; The stock reacted this Thursday with a rise of 5.36%, thus leading the advances in the continuous market.

For his part, the CEO of Banco Sabadell, César González-Bueno, once again insisted this Thursday that the takeover bid launched by BBVA for his entity “has no signs of success.”

In line with this, the president of BBVA, Carlos Torres, has explained to the startups the bank’s interest in strengthening its presence in the business segment and in Catalonia, through the Public Acquisition Offer (OPA) that it wants launch on Banco Sabadell.

For its part, the Public Treasury has awarded this Thursday, in the last auction in October, a total of 5,115.861 million euros in medium and long-term debt and has done so at lower rates than in previous issues.

In this context, within the Ibex 35, IAG has been the main bullish value at the close of the session (+1.03%), followed by Grifols (+0.61%), Puig (+0.56%), Acciona Enegía (+0.4%), Rovi (+0.39%), Acerinox (+0.17%) and ArcelorMittal (+0.14%).

On the opposite side were Fluidra (-2.08%), BBVA (-2.02%), Indra (-1.99%), Unicaja (-1.83%), Merlín (-1.79% ), Banco Sabadell (-1.51%) and Aena (-1.44%).

At closing time in the Old Continent, a barrel of Brent was trading at $74.26, up 0.05%, while West Texas Intermediate (WTI) reached $70.55, up 0.2%. further.

In the debt market, the yield on the Spanish bond with a 10-year maturity has closed at 2.911% after adding one basis point. In this way, the risk premium against German debt has stood at 70.4 basis points.

In the foreign exchange market, the euro depreciated 0.3% against the dollar after the ECB’s decision, registering an exchange rate of 1.083 ‘greenbacks’ for each unit of the community currency.

An ounce of troy gold rose 0.3% to $2,690, while bitcoin fell 0.5% and was trading at $67,300.