Modest gains on Wednesday for the Ibex 35 (0.46%, 17,654 points), as seen across most other European stock markets, which are rebounding but only moderately.
Reported by Jaime Sicilia Martínez
The major European indices are recovering some of their recent losses, despite Brent crude remaining above $105 and thus inflation estimates on the rise, while the conflict with Iran persists. Meanwhile, it appears that Saudi Arabia launched attacks against Iran. The Ibex 35 closed up 0.5%, and the Euro Stoxx 50 stood out with a 0.9% gain.
In the Asia-Pacific region, Hong Kong’s Hang Seng saw a modest 0.2% rise, while Japan’s Topix climbed 1.2%. Sea Limited, an e-commerce company in Southeast Asia, reported strong results, boosting confidence in its strategy to compete with major rivals like Alibaba, which also reported quarterly results today that fell short of expectations, with sales growth of just 3%.
U.S. wholesale inflation accelerated in April to its fastest pace since 2022, driven by rising energy prices. The Producer Price Index (PPI) rose 6% year-over-year.
Donald Trump is in Beijing for the first state visit by a U.S. leader to China in nine years, as the world’s two largest economies seek to stabilize their relations.
A day of slight declines in yields on major sovereign bonds. Yesterday it was reported that the U.S. CPI rose in April by 0.6% month-over-month and 3.8% year-over-year, exceeding forecasts, and headline inflation is now expected to exceed 4% this month, well above the central banks’ 2% target.
The 10-year Bund yield remains at 3.10% and the 10-year Treasury yield rises 2 bps to 4.49%.
Oil prices fell 1%, bringing the year-to-date increase to 77%. OPEC production has declined due to attacks in the Middle East and the blockade of the Strait of Hormuz, falling to a level one-third lower than in February. Global production from the month prior to the conflict until now has fallen by around 12%. Notably, Saudi Arabia’s production has fallen to its lowest level since 1990.
China is the main importer of Iranian oil, which is why it has called for the swift reopening of the Strait of Hormuz. For his part, Donald Trump will likely pressure Xi over China’s approach toward Iran, including the revenue China provides to the Islamic Republic and potential arms exports.
Gold has fallen 0.4% to $4,696, but is up 8% in 2026.
Meanwhile, the price of one-month TTF gas has risen 60% this year, but remains at the level seen on the day the war in Iran broke out.
