Spanish equities move with slight cuts again, and there are five consecutive sessions, in a day with hardly any stock market history despite the fact that, as far as movements are concerned, there is an impact between the best of the day, with Grifols A and the worst, repeating Inditex as the red lantern of the session.
In this way, the IBEX 35 ends the day with falls of 0.21% to 11,764.80 points with cuts for Inditex 2.84%, Solaria 1.69% and Endesa 1.62% and increases for Grifols A 8, 44%, Aena 1.72% and BBVA 1.66%.
With levels hovering around the opening on which the Ibex 35 has changed throughout the trading day, all attention was focused on the meeting of the European Central Bank. And it has not brought great news compared to what the market expected.
The ECB lowers interest rates in the eurozone by 25 basis points to 3%, while placing them, with a drop for the third consecutive time and the fourth of the year, at their lowest level since March 2023.
But she has also cut growth expectations, which the president describes as slower in the recovery, but she has been more positive regarding the evolution of inflation. leaving aside the reference to “sufficiently restrictive” monetary policy. Hence it can be established, from the words of President Christine Lagarde, as a potential signal for eurozone rate cuts to continue throughout 2025.
Of course, there is no roadmap for the types, has indicated that it will continue to depend on the data and that it will be analyzed “meeting by meeting.”
Among the news, the Inditex cuts stand out again, which continue after yesterday’s stock market setback after presenting the results, while analysts come forward with new recommendations on the value, the one that, let’s not forget, has the most weight in the Spanish selective.
On the positive side, Grifols A is recovering part of the lost ground, after refinancing its most immediate debt maturities, 2025 and delaying them until 2027. This has also caused S&P to raise the credit rating of the blood products company from ‘B’ up to ‘B+’ after that issuance of 1.3 billion by the senior secured debt company.
Meanwhile, new recommendation for Acerinox from Morgan Stanley, going from 12.80 to 12.70 euros per share. Despite this adjustment, the new valuation represents an upward potential of 25% using yesterday’s Wednesday closing as a reference.
In addition, UBS has decided to raise Endesa’s target price to 21.40 euros per share, above the previous 19.60 euros. Using yesterday’s close (20.95 euros) as a reference, the new valuation represents an upward potential of 2.14%.
Already in the rest of Europeadvances but without great amounts, with cyclical consumption, technology and non-cyclical consumption recovering positions this Thursday and cuts for basic materials, industrial values and health care.
On the positive side, the progress of the British Diageo, and the French luxury companies Richemont and Hermés, in the face of the falls of the ING bank, Munich Re and the British mining company Rio Tinto.
At the end of the trading day, the EURO STOXX 50 rose 0.10% to 4,964 points, a Dax Frankfurt gains 0.15% to 20,445 points, the FT 100 closes with advances of 0.08% to 8,309 points, while the CAC 40 ends the day with opening levels of 7,420 points.
On Wall Street, slight cuts but very close to the opening, especially for Nasdaq, which, despite the cuts, remained above the level of 20,000 points reached for the first time in its history at closing yesterday.
On a business level, Adobe is a leading player in the market, despite itself, with a drop of 12.5% in the middle of the session after disappointing with its forecasts for its first fiscal quarter. The technology company expects revenue of between $5.63 billion and $5.68 billion in the period, below analysts’ consensus estimate of $5.73 billion. The good news is that the company’s adjusted earnings per share and revenue in the previous quarter surpassed analysts’ forecasts.
Advances of almost 1% for Chewy. The retailer specializing in pet products sees as one of its main shareholders, Buddy Chester Sub LLC., will carry out a stock sale of 500 million dollars to reduce their stake in the company. In a separate transaction, Chewy has agreed to buy back $50 million worth of shares from Buddy Chester, at the same price that underwriters will pay in the public offering.
In analyst recommendations, Palantir advances 2.6% at mid-session after analyst William Power of Baird has initiated coverage of the stock with a ‘hold’ recommendation. The target price, $70 per share, is 3.5% below Wednesday’s close.
At the end of the day in the Spanish selective, the DOW JONES remains at opening levels of 44,146 points, the S&P 500 falls 0.10% to 6,077 points and the Nasdaq OMX cuts 0.15%% to 20,003 points.
Regarding fixed income, general increase in asset yield returns, with the 10-year Spanish bond that recovers 0.89% to 2.835% while the German bund is trading at 2.1800% with increases of 2.32%. The Spanish risk premium ends the day at 64.20 basis points and almost rises 2.23%.
Regarding oil, drops in the price of barrel futures given the skepticism that the market maintains about the sufficiency of the stimuli announced in China, while the escalation of tension in the Middle East continues. The price of European Brent falls 1.20% to $72.61 while the American West Texas places its price at $69.36, while falling 1.27%.
Gold cuts positions with futures that lose a significant 1.9% and places its price at 2,705 per ounce, while the spot price moves at 2,681 with drops of 1.34%.
We finish with the Euro Dollar with opening and exchange levels that are placed at 1.0494 units. And Bitcoin continues to rise, 2.04% to $102,457 per asset.