"Just call it what it is: we have entered in a bear market." The statement by Stephen Suttmeier, chief strategist of Bank of America Meryl Lynch, embodies the worst fears of investors and analysts after what has been described as "bloodbath in the markets" last week. This Monday was not any better, the Ibex has closed ahead at 2:00 pm on Christmas Eve losing 0.91% at 8,478 points.
- 11.154,600
- 1,56%
The rest of European stock markets have also closed in red with loses from 0.5% to 1.5%. Returning to the Spanish index, the most prominent values were Ence and Naturgy, which closed at 3.3% and 1.7%, respectively. The other side of the coin was Arcelor (-2.4%), while Bankia hasn't begin trading after closing with falls of 3.6% this Friday.
Bolsamania analyst José María Rodríguez says "Ibex looks weaker each day, having lost the support of 8.500 points and, leaving aside rebounds that will arrive without any doubt at the most unexpected moment, what we should know is that, in reality, there is nothing important until the origin of the last big upward moment: the minimum reached in the summer of 2016 after the crash provoked by Brexit, at 7.600 points."
Rodríguez also cibsudered tgat: "apart from the energetic sector, there is no other which could be saved. Among others, BBVA is begining to drill the long term upward directrix, Telefónica looks determined to look for the important support which represents the 6.68 euros upward gap and Inditex is still extremly weak, atacking the 22 euros important support. Leaving aside rebounds, 2019 does not look any better (at least the first part of it)."
The recent loses at the international markets are just the begining of a long lasting correction that will continue during the firs quarter of 2019 and this meant losing the 8.500 points level, according to experts. "We lost the 8,630 points level (now resistance) and we have moved to the next: the 8,500 points.The problem is that if this is also drilled, with slack and in closing prices, there is nothing left until the 2016 summer lows. , Brexit minimums in the 7,580 points, "the Bolsamanía analysts warn. The index accumulates a decrease of 5.7% in a month of December that is being very bearish for all the world stock markets. In the week, it has lost 3.71%. And in the whole of the year, it falls 14.8%.
Wall Street anticipates a rebound after Dow had its worst week in 10 years. Specifically, the Dow Jones and the S&P 500 lost 7%, while the Nasdaq lost 8% between December 17 and 21. All in all, the Bolsamanía technical analysts call to be prepared at any time for a rebound. "It seems that the strategy at this moment is to take advantage of the important rebounds, which will come sooner or later, to lighten the portfolio." To reduce risks, separate rebounds, the fact is that they paint coarse for the bags for 2019. as Wall Street seems to be changing its trend there is still a long way to go, "they say.
In addition to the drama on Wall Street, the Asian stock markets start the week of Christmas with a mixed sign, with significant falls in the Japanese Nikkei, of more than 1%, pressured by the rise of the yen that has gained ground against the dollar, like the Swiss franc, thanks to the fact that they have put at stake their role of refuge value. However, the Chinese stock markets end up in the green, boosted by the good news that comes from the trade war between China and the US.
