The Ibex 35 has risen to 9,400 points. The selective is again in this resistance from the hand of Inditex, which shot 5% after publishing results (gained 12% more in the first nine months). The results from the textile giant have been one of the appointments of the day along with the conclusions of the Federal Reserve (Fed) meeting, which will be published with the Spanish market already closed. In addition, the IPO of state oil company of Saudi Arabia, Aramco, debuted with strong advances of 10% which has also made the attention.
- 10.952,300
- -1,34%
Inditex figures (+ 5%) have surpassed expectations and positioned the company chaired by Pablo Isla as one of the few in the sector that manages to cope with the changes. This is what analysts point out, who consider the group as a long-term winner.
The CEO of Inditex has highlighted to investors that the company that owns Zara has great growth opportunities in front of it. By 2020, all of its establishments will be completely digital and all chains will sell through the network, with the same or next day delivery commitment in key markets.
In other outstanding business news, Deutsche Bank has cut Santander's valuation down to 3.75 euros per share and its recommendation to hold. And in other markets, Brent oil falls 1.7%, to $ 63.23; and the euro falls in value 0.01%, down to $ 1.1091, awaiting the ECB meeting. In addition, the profitability of the 10-year Spanish bond falls to 0.42% and the risk premium falls to 73 points.
THE FED WILL NOT TOUCH THE RATES
The decision of the Fed is quite predictable. "As most FOMC members have said they believe the current monetary policy stance is appropriate, the Fed is now on hold after three consecutive cuts. (...) The majority will look at the 'points' to get clues about what it intends to do next year. We believe that the Fed will indicate that its policy for next year will also be waiting, "said Danske Bank experts.
In addition, investors are still very pending in the US and China because, if both powers do not reach a 'phase 1' agreement this week, on Sunday the US would raise tariffs on the Asian giant again and everything would break down again. The latest news is that there is talk of an agreement between both parties by which this rise in tariffs would be postponed.
"The fact that both sides are negotiating is a positive signal, since it is when both sides are locked in a dead end without communication, that the operators get nervous," says David Madden, an analyst at CMC Markets in London.
Moreover, on the eve of the United Kingdom elections, the polls continue to give Boris Johnson the victory, although he would not obtain an absolute majority of seats in Parliament. In addition, also in the political sphere, in Spain the king continues with his round of contacts and has met with Pedro Sánchez. Finally, the US CPI in November stood at 2.1% year-on-year, while the underlying CPI has remained at 2.3%, in line with the forecasts.
IBEX TECHNICAL ANALYSIS 35
"Without a doubt, the merit of having the Ibex 'sticking its head' above the resistance is almost exclusively due to Inditex. And the truth is that a little more than closing above it can be said that the Ibex would be giving it forms a small double ground of bullish implications, "argues José María Rodríguez, an analyst at Bolsamanía.
"In fact, the theory says that at least, the height of the figure should increase in value, in this case 200 points. Which would lead to 9,600 points, coinciding with the resistance presented in the annual maximums (9,588 However, remember that there are numerous resistances that converge within the range between 9,400 and 9,588 points. Below, everything remains the same, we have as a control area 9,100-9,130 points, "concludes this expert.
