The markets do not clarify their tendency to numerous risks that they are attacked. After the steep falls of the last session, stocks bounced and recovered what was lost. At a global level, the potential agreement to increase the limit on US indebtedness makes it possible to advance in a clearly upward session, also driven by the brake on the rise in the price of crude oil and in the interests of the sovereign debt. In addition, specifically in the Ibex 35, the electricity companies, benefited by a possible change in the government’s electricity decree, and the banks push the selective above 9,000 points. In this way, you leave your losses behind and earn more than 2%.
The strong rise in Iberdrola, higher than 6.2% and Endesa, of almost 4.5%, after being published in the press that the Government could consider suspending the reduction of income from electricity companies, a measure that it approved a few weeks ago to stop the rise in the electricity bill. Angel Perez, an analyst for Renta 4, highlights the news as positive although he affirms that it is necessary to be “cautious” in the face of the risk that what has been announced “does not go forward.” Both electricity companies were the ones that lost the most after the Government’s announcement, Endesa due to its greater weight in Spain and Iberdrola due to its greater market share in the technologies most affected by the Executive’s plan. Although, pending confirmation of the regulatory changes, Pérez points out that Iberdrola has a “solid position” to adapt.
Naturgy, the other company in the sector affected by the regulation, posted more moderate gains of 0.3%. The Renta 4 analyst explains that, in his case, the price is conditioned by the IFM takeover bid that ends this Friday. What’s more, ArcelorMittal y Cie Automotive they also earn almost 3.6% and 2.9%. Almost all the index stocks are trading upwards, and only two stocks post losses: Grifols left more than 0.9% and Indra, 0.25%.
The selective Spanish leads the gains in Europe. Paris appreciated around 1.6%, while Frankfurt and Milan did so by 1.3% and London, over 1.1%. The stock exchanges of the Old Continent thus react to the possible agreement for the increase in debt ceiling, preventing the Treasury from running out of resources in the middle of this month. The situation worries investors because if an agreement is not reached, it would lead the US to enter ‘default’ not being able to service its debt.
What’s more, Juan J. Fdez-Figares, an analyst at Link Securities, affirms that “the fact that both the price of gas and crude are giving positions, it will also help. Technological and growth stocks stand out, “with many investors taking advantage of the recent cuts in their prices to take positions in them.”
The price of a barrel of Brent quality oil, a reference for the Old Continent, stood at a price of 80 dollars, with a decrease of 0.48%, while Texas stood at 76 dollars, after falling 1% . In the case of gas, contracts with delivery in November from the Dutch TTF, the European benchmark, are trading down 16.7% on the day, after the volatile session the day before.
Finally, the price of the euro against the dollar stood at 1.1570 ‘greenbacks’, while the Spanish risk premium stood at 64 basis points, with the interest required on the ten-year bond at 0.45% , after a decline of more than 3.5%.
Source: LA INFORMACIÓN – Lo último by www.lainformacion.com.
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