European stock exchanges have already closed trading for the penultimate month of 2024 and the general trend is downward. For European trading rooms, November was a complicated period, during which The outlook for the continent’s businesses has darkened before Donald Trump’s victory in the American elections. He fear An increase in customs tariffs on European products led the indices of the Old Continent to end the month in negative territory, including the Ibex 35, which despite having fought against it current falls, closes the month with a drop of 0.27% and at 11,641 points, pulled down by last week’s 0.13% declines.
For the European benchmark index, the EuroStoxx 50, this is the second consecutive month of decline, after recording its worst monthly close in October 2024. This month, the continental index lost 1.7% on the stock market, leaving its annual price up 5% over one year. This led to the gap, in favor of the Spanish benchmark, widening to the highest level of the year reaching 10 points, although during the last session of November it was limited at nine points.
The European reference, however, is not the most affected by the tariff promises of Trump, who announced this week a tax of 25% on all products imported from Mexico and Canada, and 10% for China. The Italian FTSE Mib takes the title of most bearish of the month, down 3.4% in the monthly calculationthis week it lost 1%. At the same time, the Cac 40 experienced a new month of drop in its price, in this case by 2.45%, which worsened with the weekly drop of 1.12%.
In his case, not only is the decline in French exports to the United States worrying, but political uncertainty around the Paris Assembly is increasing due to the inability to approve budgets and promises upheavals in due to the possibility of a change of government. At the annual level, one month before the end of the year, the French index fell by 5%.
Even if everything is not colored of red on European stocks, since two selective ones manage to close with other measures, this is the case of the British selective and the German one, which close the month with increases of more than 2%. The FTSE 100 is up 2% over this period as investors saw profit opportunities on UK shores with Trump returning to the White House. Even though the London stock market led gains for much of the month, The Dax managed to surpass it and recorded an increase of 2.3% over this period.
And if in the photograph of the European market highlights the color redsince increases predominate on Wall Street in a month of electoral euphoria. This week has been abnormal for the American stock markets, since on Thursday they remained closed, on Friday they only opened for half a day for the Thanksgiving holiday. However, even if the stock market euphoria seemed to have dissipated on Wednesday, the main indices of Big Apple They end the week with increases thanks to increases in Black Friday, which are added to bright month for your quote.
The S&P 500 increases by 0.5%, on a monthly basis it achieves an increase of 5.5%, its second largest increase in one month for the whole of 2024. closing above the psychological barrier of 6,000 pointslevels that it managed to reach and exceed thanks to the Republican victory, without however managing to renew its historic peaks: 6,021 points. Meanwhile, the Nasdaq100which had been penalized this week by its technology companies, increased by 0.5% in recent days, while it increased by a 5% throughout the election month. With just one month left on the calendar until the end of 2024, the US benchmark index is up 26.
At the monthly level, the party of investors was dominated by the Russell 2000, the index of small capitals The American, which is the most bullish of the month, has increased by 10.5% in recent weeks. With the Dow Jones, which rose 7.5% in November and In the year it approaches the annual increase of 20%, with its 18.8%, thus reducing the distance with its larger capitalization counterparts..
Most bullish and bearish
Despite the negative close of the Ibex 35, the Spanish stock market maintains an increase of more than 14% per year, and the company that stands out the most is IAG, the company has grown by 75% during the year and rebounded 25% over the past month. Iberia’s parent company surprised investors with its after-tax profits of 2,340 million euros, up 8.8% year-on-year. This week it increased by 5.4%, followed by Ferrovial and Cellnex, which recorded increases of 4.2% and 4% respectively.
On the other hand, Grifols takes the upper hand by far worst blow on the stock market this week. In the last five days alone it has lost 18%, while over the month there has been a decline of 15%. But the declines in Mapfre and BBVA were also significant, these companies fell 6% and 3.7% respectively, in the face of Trump’s tariff threats that we mentioned earlier, with Mexico being one of their main markets. Instead, Rovi is the most bearish on a monthly basisafter announcing a reduction in profits due to lower production for third parties and expecting further declines for 2025.
Trump’s victory also led to a strengthening of the US dollar, given the prospects of a higher inflation in the region as the president returns to the White House. During the month, the Eurodollar exchange rate It fell 4.3%, falling below $1.04.levels not seen for two years, despite the start of the month at 1.08 greenbacks, in favor of the European currency. However, at the European close, the exchange rate remains at 1.05 dollars per euro. Concerning gold, it increased by 1% this week, and recovered 2,654 dollars per ounce, while the barrel of Brent appreciated by 0.5% to 73.4 dollars.
