The Spanish stock market once again set new all-time highs on Tuesday. The Ibex 35 rose by 0.20% to 20,213 points, in a session marked by strong oil prices and geopolitical uncertainty surrounding negotiations between the United States and Iran and shipping through the Strait of Hormuz. Brent crude stood at over $88 per barrel, particularly benefiting the energy sector.
Among the stocks in the Spanish index, Repsol led the gains with a rise of 2.6%, followed by Solaria, which gained 2.3%, and Acciona Energía, up 2.2%. On the downside, Mapfre fell by 0.8%, ACS by 0.7% and Endesa by 0.6%.
Performance on the main European stock markets was more subdued and mixed. The German DAX rose by around 0.3%, whilst the Italian FTSE MIB advanced by 0.15%. Meanwhile, the French CAC 40 fell by 0.1% and the British FTSE 100 edged slightly lower. The Euro Stoxx 50 closed at 6,551.2 points, up 0.23%, having reached an intraday high of 6,576.3 points.
On the macroeconomic front, one of the key Spanish events of the day was the auction of three-month Treasury bills, which saw the average yield stand at 2.387 per cent, compared with 2.366 per cent in the previous issue. In Germany, the auction of five-year government bonds recorded a yield of 2.930 per cent, compared with the previous 2.890 per cent.
Outside Europe, the US small business confidence index, compiled by the NFIB, improved to 99.8 points in July, up from 97.4 in June and above the forecast of 97.5. It was also reported that US existing home sales fell by 1.7 per cent month-on-month in July, to an annualised rate of 4.06 million units.
All in all, investors’ main focus is now shifting towards the US inflation figures for July, which are due to be published this Wednesday and will be decisive for expectations regarding the Federal Reserve’s next moves. The market is thus facing another day keeping a close eye on price trends, oil prices and geopolitical tensions.
