The Ibex opens with doubts due to concerns about growth and monetary tightening

May 9 (Reuters) – The Ibex-35 opened with an indecisive trend on Monday, in what would be its fourth consecutive day of decline, while investors await news about the direction of the cost of loans and economic activity in the great powers.

News continued to arrive from China that pointed to a slowdown as restrictions continue to curb COVID-19 outbreaks, which is a drag on the world economy, which is also threatened by interest rate hikes.

In this sense, the main event of the week will be the US CPI, which will be published on Wednesday.

“(…) we will see if they confirm the inflation ceiling (estimate of +8.1% vs. +8.5% previously), and we will also pay attention to producer prices and consumer confidence from the University of Michigan in the month of May (which could continue to deteriorate),” said analysts at the Spanish brokerage firm Renta 4.

“In addition, in the Eurozone we will know the CPIs at the end of April, and more interesting will be the ZEW confidence survey of financial analysts and institutional investors, which will also be published in Germany, and which could continue to fall in the current war context,” they added.

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For the rest, during the week the trickle of business results will continue in Europe and the United States, where there will be interest in checking any repercussion of the war in Ukraine and the problems in China.

After three weeks in negative, at 07:05 GMT on Monday, the selective Spanish stock market Ibex-35 fell 2.40 points, 0.03%, to 8,319.60 points, while the index of large European securities FTSE Eurofirst 300 fell 0.51%.

In the banking sector, Santander lost 0.21%, BBVA scored 1.07%, Caixabank advanced 0.10%, Sabadell gained 0.71%, and Bankinter rose 0.46%.

Among the large non-financial stocks, Telefónica showed no changes, Inditex advanced 0.10%, Iberdrola appreciated 0.66%, Cellnex fell 0.79% and the oil company Repsol lost 0.47%.

One of the main decreases was recorded by Almirall, which lost 2% after announcing a decrease in its net profit and its gross operating result in the first quarter.

Greater still was the cut in the steel company ArcelorMittal, which fell 3.00%, in a context of fear of an economic cooling in Asia due to measures against COVID-19 in China.

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(Information by Tomás Cobos, edited by José Muñoz)

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