The Spanish stock market is clearly down one more day, while returning to unknown closing levels since the middle of last November, with an eye on the concerns for Europe of a Federal Reserve that only plans to lower rates in 2025 on two occasions. Not only did it disappoint the market, despite yesterday’s cut already discounted, but it also presents a new problem to take into account in a battered Europe.
And, as Antonio Castelo, iBroker analyst, told us in this session, the eurozone may have an added problem if the Fed pauses its rate cuts, because it could minimize the much deeper cuts that are expected here, given the political problems in Germany and France and the barely expected rebound in GDP.
So, The falls could remain around 2.5-2.25% at the level of the ECB rates, due to the pressure it could put on the euro, with clearly negative consequences for inflation. A factor that would slow down or even paralyze the cuts.
In this way, and above all due to the inertia of some of the large values, with a selective almost bearish market in a general way that marks a negative trend from the highs of last December 5, the IBEX 35 loses this Thursday 1 .53% to 11,439.90 points with larger cuts for values such as MERLIN Properties 3.13%, Fluidra 2.95% and Inmobiliaria Colonial 2.92% and increases in Bankinter 0.81%, Unicaja 0.56% and Logista 0.49%.
As for the protagonists of the day, Logista, one of the few that has endured the downward pull of the session, which I know is currently in the trend portfolio of Investment Strategies, is one of the most immune to the prospects of a stricter monetary policy, since it has a net cash flow of 2,464 million euros, one of the highest in the index.
The value has risen 22.5% in the last 12 months, using the minimum of 23.92 euros on December 22 of last year as a reference. However, it is still 4.30% below the annual maximums at 30.62 euros which he managed to conquer on November 25 of this year.
In addition, the Board of Directors of the oil company Repsol has agreed to formally approve the interim dividend against the results of the 2024 financial year. amount of 0.025 euros gross. In January 2025, shareholders will receive a remuneration of 0.475 euros gross per share (interim dividend against the results of the 2024 financial year in the amount of 0.025 euros gross per share and dividend of 0.45 euros gross per share charged to free reserves).
And Acerinox has approved the distribution of an interim dividend for fiscal year 2024 in cash for an amount of 0.31 gross euros per share, whose payment will be made on January 24, 2025.
Regarding analyst recommendations, Jefferies raises Ferrovial’s target price to 46.50 euros per share, compared to the previous 45 euros. The new valuation represents an upward potential of 14.75% compared to yesterday’s close.
In the Continuous Market, attention remains on Talgo. According to publication The EconomistSidenor cuts its take of Talgo to 20% and leaves the rest to Sepi and Finkatuz. While, Five Days assures that the company has defended having capacity for orders for the Avril train.
On the other hand, the board of directors of Prosegur Cash has agreed to carry out a share buyback program for a maximum amount of 8 million euros, as notified to the CNMV. The program will affect a maximum of 14,849,135 shares of the company, representing approximately 1% of the current share capital of Prosegur Cash.
Already in the rest of Europe, more of the same, with an eye on the generalized falls in the indicators, which in the case of the EURO STOXX 50 affects all sectors, all 9 in total.
The largest ones are in industrial stocks, health care stocks, technology and basic materials, while, as far as stocks are concerned, only ING y Nestlé are saved from falls, which especially affect values such as Abb, ASML y Novo Nordisk, all above 4%.
Today, the Bank of England has also decided to maintain the reference interest rate for its operations at 4.75%despite expectations of a possible cut, by six votes to three at its meeting this Thursday.
He DAX loses 1.39%, up to 19,979 points, the FT-100 fell 1.17%, to 8,103 points, the CAC 40 fell 1.22% to 7,294 points, while the EURO STOXX 50 fell 1.58%, to 4,879 points. He FTSE MIB fell 1.81% to 33,780 points.
Already on Wall Street, the hangover after the sharp falls is saved with moderate advances.
Today it stands out, on a macro level, the Gross Domestic Product (GDP) of the United States has experienced an increase of 0.8% in the third quarter compared to the previous three months, as reported by the Office of Economic Analysis of the Department of Commerce. on its third reading. In annualized terms, the GDP of the United States rose by 3.1% in the third quarter of the yearcompared to 3% corresponding to the period from April to June.
At the business level, the results of Micron Technology were very poorly received, which plummeted 17.4% mid-session. It weighs on everything the weak forecast that the company has presented for the second fiscal quarter, which includes revenues of 7.9 billion dollarswith a margin of 200 million up or down, and earnings of $1.43 per share. Analysts had expected $1.91 per share in earnings and $8.98 billion in revenue.
At the close of the Ibex, the DOW JONES rose 0.31% to 42,459 points, the S&P 500 gained 0.38% to 6,077 points and the Nasdaq OMX advanced 1.41% on Wall Street to 19,966 points.
Finally, the Euro Dollar is exchanged for 1.0382 units, with an increase for the single European currency of 0.28%.