- The Chinese president has announced that he will take measures to "open" the Chinese economy to the world
The Ibex 35 ends the session with a rise of 0.21%, to 9,763 points, in a volatile session in which it has managed to touch the 9,800 but also to trade in negative. The gains have returned to Europe after closing yesterday Wall Street in green and also Asia this dawn. The trade war between China and the US, which kept investors on edge last week, has settled into a truce between Donald Trump and Xi Jinping, following a new and positive cross-statement that points to a new boom in Europe.
- 10.854,400
- -2,22%
In green, ACS has led the earnings after rising by 3.21%, and that is that Berenberg has improved its vision of the company after the agreement with Atlantia to take Abertis together, and have improved their target price by 11.4%. Also in green highlighted the increases of ArcelorMittal (+ 3%) and Técnicas Reunidas (+ 2.53%).
Among the profits, Bankia rises 0.59% after the General Shareholders' Meeting, in which its chairman, José Ignacio Goirigolzarri, has assured that 2018 is "decisive" to meet its objectives.
On the other hand, Inditex was placed as the most bearish value of the session, falling 1.69%, followed by Red Eléctrica (-1.06%) and Merlin (-0.84%). Of the rest of the big values in the index, BBVA (-0.16%) and Santander have also closed in red (-0.21%) despite the fact that analysts' support for Ana Botín's entity has shot up at maximum of eight years.
In the main board, Tubos Reunidos has jumped 13.7% after the Basque Government offered on Monday to guarantee the viability of the company's plants "in the long term".
As for the rest of European stock exchanges, generalized gains in all the major indexes, especially in the Dax 30, which has risen more than 1%, and the Footsie 100, with increases of 0.9%.
TRUCE BETWEEN THE US AND CHINA
The rise on Monday was underpinned by the tweets of the US president, reaching out to the Asian giant. In his favorite social network, the Republican said he was convinced that an agreement on foreign trade would be reached, although he did not fail to highlight the difference in tariffs between imports and exports of vehicles between the US and China. The Ibex did not want to miss the opportunity and closed the session with a boom of 0.62%, up to 9,742 points, well above the average of the other stock exchanges of the Old Continent, which showed moderate increases of 0.1%. Wall Street also ended in green.
The Chinese president, meanwhile, has picked up the glove launched by Trump and has delivered a speech from the Asian forum of Boao -an annual conclave that is considered the 'Forum of Davos of Asia'- in which he has announced that he will take measures to "open" the Chinese economy to the world. Among the steps announced to improve relations with its business partners, it stands out, without going any further, the reduction of tariffs applied to automobiles.
In addition, Xi has indicated that it will carry out a reduction in taxes on other products, strengthen the intellectual property of foreign firms and improve the environment and investment conditions for international companies. "The apparent desire of the president of the Asian giant to balance the international payments of his country is clearly great news for nations and companies that sell products to China," says Jasper Lawler, an analyst at the London Capital Group. "As these points coincide with the issues that concern the US, it seems that China is seeking a reasonable agreement with the US and the markets appreciate it," adds Ramon Morell, an analyst at ETX Capital.
TECHNICAL ANALYSIS
According to José María Rodríguez, technical analyst of 'Bolsamanía', the interesting thing about this session is that the Ibex has already had four consecutive days in which the price draws us minimum and maximum increases "and thus does not fall". The index has marked a maximum in the session of 9,806 points, but has stopped, just before the resistance that we have in the maximum of March, the 9,811 points. Above those March highs, "we have a resistance of greater depth, that of the 9,940 points". The analyst adds that "little by little and without making a lot of noise", the Ibex already accumulates a rise close to 5% from the minimum of Easter (9,327 points).
As for companies, Rodriguez explains that Telefonica still does not "dare (for the moment)" to leave clearly behind the resistance of 8.22 euros. The expert adds that we will have to wait to see if "it is encouraged and serves as a revulsive to continue with the escalation of the last sessions". Above 8.22 euros, Telefónica aims at 8.6 euros. "Another detail to take into account are the extreme readings of 'oversold' weekly that begin to be observed in some of the oscillators at the moment as, for example, stochastic," adds Rodriguez. "This is turned upward from extreme levels of 'oversold', which in normal conditions usually brings significant price recoveries in the coming weeks."
