The Ibex 35 exceeds 9,700 points driven by widespread profits across Europe

The trade war is already here and the volatility comes with it. The stocks give us a strong rise one day and, the next, important falls with the excuse of this 'war' between the United States and China. For now, the markets expect profits from the final outcome of this ‘no more Mr. Nice Guy’ negotiation between the two world powers.

Back to the Spanish selective, there have been few values ​​that have ended the day in red. Only three: Red Eléctrica (-0.60%), Inmobiliaria Colonial (-0.26%) and Abertis (-0.05%).

On the other hand, Arcelormittal was the most bullish value of the session, with a revaluation of 5.84%. They were followed by Técnicas Reunidas (+ 4.68%) and the ACS construction company (+ 3.90%).

TELEFÓNICA AND OTHER 'BLUE CHIPS'

The 'heavy weights' (or 'blue chips') of the Ibex have also shown good behavior. Especially the company with the highest market capitalization of the index, Banco Santander, has risen 3.82%.

But if it is worth highlighting some of the 'big ones' this Thursday it’s Telefónica (+ 2.78%). The company chaired by José María Álvarez-Pallete has reported the result of the first phase of the spectrum auction in the United Kingdom, which has obtained a total of 80Mhz after investing 600 million euros. Telefónica UK (O2) will be awarded four blocks of 10 MHz in the 2.3 GHz band and eight blocks of 5 MHz in the 3.4 GHz band. The company has been awarded the total 4G spectrum auctioned for immediate use , this is 40 MHz in the 2.3 GHz band and 40 MHz that will be used for the launch of the 5G services (3.4 GHz band).

The result of this auction in the UK was expected with great expectation. The objective was to achieve the maximum bandwidth and improve the image of O2 for its future sale or launch on the stock market.

CONTINUOUS MARKET

Meanwhile, regarding the main board, it should be noted that socimi Hispania has fallen 6.16% after Blackstone has launched a bid for 100% of the company at 17.40 euros per share. Yesterday its rating was suspended in the last part of the session.

At the same time, Talgo has shot up 5.24% after the Swiss entity UBS has given it a 'buy' recommendation. Its shares closed the session with a price of 5.24 euros, below the target price granted by the consensus of analysts collected by FactSet (5.63 euros).

OTHER STOCKS

Outside of Spain, the main European stock markets have ended today's session with gains similar to the Ibex 35. The most revaluing market has been the German (the Dax 30 has risen more than 2.80%).

Although it is true that volatility has already returned, it is no less that it is showing more pronounced in recent days due to the 'trade war' between the United States and China. Wall Street futures came on Wednesday with cuts of 2% and finally places closed on the other side of the Atlantic with increases of 1%.

This Thursday, the New York Stock Exchange revalues ​​around 1% on average in its three main indices at the close of the Spanish stock market.

For its part, in Asia it has been a holiday in China and the stock markets have remained closed. The Nikkei, meanwhile, has ended the day with increases of 1.78%.

'TRADE WAR' AND MACROECONOMY

"Trade tensions between China and the United States continue to be the main issue in the markets," Stock markets calmed down on Wednesday as the focus shifted from fears over a trade war to hope for negotiations (between China and the United States). ), "say analysts at Danske Bank. "The scenario we most believe in is that the United States and China enter into negotiations and things gradually subside until they reach a kind of 'grand negotiation,'" they add. "If we are right, it is likely that we have seen the worst in the markets and that we can see relief soon," they say.

"Now that China has leveled the playing field in terms of tariffs, the markets will be wary of possible reprisals from President Trump, who still feels there is a huge trade imbalance between the two powers," warns David Madden, CMC Markets analyst in the UK.

As for the calendar of the day, this Thursday the PMI services of March of Europe have been published. That of the Euro Zone has remained at 54.9, below the reference of 55.0 of the previous and expected month. For its part, the production prices of the Euro Zone in February rose more than expected (1.6% against the 1.5% forecast). Likewise, retail sales in the Euro Zone also increased less than expected in February (1.8% vs. 2.1% estimated).

TECHNICAL ANALYSIS

The "strong rises this Thursday" manage to "take the resistance that was presented in the last declining maximum, in the 9.657 points," says José María Rodríguez, technical analyst at Bolsamanía. "While it is true that we already have a first sign of strength not seen in many weeks, we should be cautious about what we have left an important bullish gap, by definition support, in the 9.513 points," he adds.

"And is that experience tells us that the vast majority of gaps, but not all, are usually filled (at least partially) in the following sessions, that said and if you look at the titles of the 'flagship' of our Ibex, Banco Santander, this has left us a small "double floor" that could serve to launch the title towards the important resistance area of ​​5,55-5,6 euros ", explains the expert. "Homologous reference to the approximately 9,940 Ibex points, which is where we find the first resistance really," he says.

"In any case," says Rodríguez, "the really important thing is that the three major European indexes (Cac 40, Dax and Euro Stoxx 50) have bounced back from the February lows (or close to them). the Wall Street indices, which in no case have pierced the February minimums and have also respected the support zones that the MM200 confers on them ".

"I mean with this that as long as the minimums of last week are not drilled, it is possible that little by little the stock markets will try again to restructure upwards in the medium term," the analyst concludes.