The Ibex (-1.8%) falls to annual lows after May announced delay on Brexit deal vote

"This was the last thing an investor would want to hear. May's decision creates more chaos in the UK than ever. Now we have returned to the starting point and the renegotiation of the current agreement may never happen," says Naeem Aslam, an expert at ThinkMarkets. "The question really is: How can you renegotiate an agreement when, in the first place, you were sure that this was the best you could get? This is ridiculous and bad for the UK economy. Our leaders are playing with fire." , adds sharp Aslam.

In the Ibex 35, Técnicas Reunidas was the only value that closed in green with a rise of 4.8% and followed, with slight falls Endesa (-0.2%) and Aena (-0.3%). The majors of the selective sector, such as Santander (-2.7%), BBVA (-2.5%), Telefónica (-1.5%) and Inditex (-0.7%), closed with significant losses.

DIA (-7.4%) was once again the worst value in the Ibex and awaits the meeting of the Technical Advisory Committee this afternoon in which the continuity of the supermarket chain in the stock market will be evaluated . The departure of DIA, which may not end up being the only one, would leave a gap that companies such as Gestamp, Ence, Logista, Almirall and Másmovil can fill.

Bad day also for Mediaset, which lost 5.4%, as for Atresmedia, which dropped 5.7% in the Continuous Market, after JP Morgan drastically cut the rating of the two media companies.

Also in the Continuous, OHL staged a new day of heavy losses, closing with a fall of 9.3%, the same day that Kepler has remembered that it is its "least favorite" option in the sector. OHL has fallen 10.5% since it started this month.

"ANY MOVEMENT IS FEASIBLE"

In Europe, all the big exchanges also closed in red, with the French Cac at -1.6%, the German Dax at -1.8% and the FTSE -0.7%. The news about Brexit will continue to mark the future of the markets in the continent.

"At this point any outcome is feasible, from a no-deal Brexit, which would be a 'grave concern' for the United Kingdom and would negatively affect the economy of the rest of Europe, no Brexit at all or a new referendum," say the Experts from Link Securities. "The problem for the stock exchanges is that what investors fear and reject the most is the uncertainty and, three months after the official departure of the United Kingdom from the EU, the high uncertainty generated by the whole process is the only thing that is evident" , add these analysts.

To the doubts surrounding the United Kingdom, there are also trade tensions between the United States and China, which have manifested themselves in weak commercial data (exports and imports) in China, which points to a slower global and national demand and raises the possibility for Beijing to take more measures to boost growth. The Asian stock markets have lived a day dominated by the red numbers, with cuts in the case of the Nikkei above 2%.

The week has also started with the investors pending oil, following the agreement between OPEC (Organization of Petroleum Exporting Countries) and Russia to cut production. This decision bounced the oil, which at this time of Monday falls back by 1.5%. The Brent barrel is trading at 61.25 dollars and West Texas at 51.90 dollars.

On the other hand, it should be noted that this week the Italian Government is expected to present its new draft Budgets to the European Commission (EC). It has been speculated that it will lower the deficit target to levels close to 2%, although the Italian Executive has already warned that the changes will be minimal. "We will have to be alert to the reaction of the risk premium, which is the main indicator to know how investors react to the presentation of the new Italian budget", analysts from Link Analysis said.