After the positive start of this weekwith the Chinese stock market soaring, starting Tuesday fear took stock markets in the face of Iran’s attack with ballistic missiles against Israel, which once again aroused tensions after almost a year of reactivation of this conflict in the Middle East. The escalation of the war has led Benjamin Netanyahu to respond with new attacks in Lebanon, and the top leader signals that this will not be his only response. The falls were, however, contained. At the European close, Wall Street is ultimately less affected than the stock markets of the Old Continent, due to the latest employment data in the region, corresponding to the month of September, with drops of around 0.5% weekly.
This employment data showed the strength of the US economy, so the US Federal Reserve would not have to make budget cuts. giant of types, but simple. Additionally, this led the dollar to strengthen against the euro, bringing the exchange rate below $1.10, levels not seen since August. On the other side of the Atlantic, European stock markets fall around 2% in weekly countwhich has softened thanks to the progress made by all the continent’s indices over the last day. Also the Ibex 35 fell 2.9% over this periodeven if it remains the most bullish selective in Europe this year and manages to stay above the barrier of 11,600 points, at 11,654 points.
Europe closes colored of red completely in the weekly report, and two indices stand out for recording the largest declines, the Italian Ftse Mib and the French Cac 40. These indicators have accumulated a decline of 3%, making them the most bearish on the continent. Meanwhile, continental and German references have not been spared from this situation. bleeding. He EuroStoxx 50 go back 2.2%, while the Dax falls up to 1.9%. The least affected on this occasion is the Ftse 100, which contracts weekly by 0.4%.
The boost to stock markets from China’s new economic recovery plan, announced last week by the central bank, was not enough to withstand the blow to stock markets from rising tensions in the Middle East. East. However, the Chinese stock markets have not seen the consequences of these latest events on their prices, since they remain closed due to the Golden Weekit is the celebration of the founding of the People’s Republic of China which takes place in the first week of October. Last week, the CSI 300 managed to move into positive territory on an annual level, and recorded an increase of 17% over the year, while the Hong Kong selective posted an increase of 33% on an annual level on the stock market since that it has remained open.
On the other hand, the West, which until Monday also benefited from the incentive provided by the measures taken in the Asian country, lived in own meat the consequences of the escalation of the war in the Middle East. Investors were speculating on the possibility that the United States would collaborate in an Israeli offensive on Iranian oil bases, which would lead to a rise in the price of black gold and, with a radical increase in American inflation. An increase of this magnitude in the CPI would prevent the US Federal Reserve from continuing the path of interest rate cuts that it began in September (although the jobs data has removed this concern from the minds of investors).
As major stock indices contracted, oil found positive momentum to increase its price. Especially this Thursday, where the latest statements by the President of the United States, Joe Biden, confirmed the possibility of collaborating in this attack against Iran’s crude oil reserves, and led the barrel of Brent to a rapid rise which finally marked new high levels of the year, 77.7 dollars. Closing the session in Europe managed to reach 78.3 dollars per barrellate August levels.
The most bullish and bearish of the ibexes
Only five companies in the Ibex 35 managed this week to save themselves from the hemorrhage caused by geopolitical tensions. Repsol is considered the most bullish on a weekly basis, recording a 5% rise, thanks to rising oil prices. They keep holding on to him money And bronzeSolaria and Indra, which increased by 4% and 2.3% respectively. For its part, Rovi managed to score 2%, while Grifols closed almost flat, with a slight increase of 0.2%.
Among those with the worst results, the airline IAG stands out, for which the increase in the price of gasoline does not favor it and investors have avoided this company. Iberia’s parent company falls 10% in just one week. The other two worst were Unicaja, which fell 6.5%, and Ferrovial, which fell 6.2%.
