European stock markets open higher in the new session, although with inflation still marking the day. The positive closing of Wall Street, despite the fact that the CPI data in the country was higher than expected, has promoted a ‘green’ opening in which the Ibex 35 has increased its profits and is already looking at 9,000 points, after the volatility around this level in recent weeks. The main Spanish selective adds 1% and trades on the 8,970 integers after noon, driven by IAG and the electricity companies Endesa and Iberdrola. In line with the Spanish stock market, the remaining European markets are also trading higher, so that Milan gains 0.95%; Frankfurt and Paris, about 0.85% each, and London, more than 0.7%.
At the beginning of the session, Ibex earnings deflated after the inflation data was published in Spain. Se shot 4% year-on-year in September, seven tenths above that of August and the highest rate since September 2008, driven by the rise in electricity and fuel prices.
In the Spanish selective, the values that most pull the Ibex are IAG, which is revalued by 3.75%; Iberdrola, with a rise of 2.81%; Endesa, with 2.80%; ArcelorMittal, with 2.59%, and Meliá Hotels, with 2.45%. On the contrary, the company that loses the most from the Ibex is BBVA, which leaves 1.22%. The Spanish bank is weighed down by Turkish lira lows after the president of Turkey, Recep Tayyip Erdogan, has removed two deputy governors of the Central Bank of the country. They are followed by Naturgy, which falls 0.78%; Almirall, 0.54%; PharmaMar, 0.37%; Viscofan, 0.27%, and Siemens Gamesa, 0.29%.
In addition, the day of results in the US has already begun, where the stock exchanges closed with mixed tone after inflation data. The Fed insists that high inflation rates would be temporary, although the market fears that if the rise persists, the central bank will end up making changes in monetary policy and raising interest rates.
The day before the minutes of the last meeting of the Fed were also known, which could begin the gradual reduction in its debt purchase program of 120,000 million dollars per month “in mid-November or December.” Currently, the Fed goes to the markets every month to buy $ 120 billion in assets. Of that figure, 80,000 million are used to buy government bonds, while another 40,000 million are used to acquire mortgage securitizations.
Despite the rise in the US CPI, the yield on debt fell sharply yesterday in both Europe and the US, a trend that is not maintained in today’s session, with the interest demanded on the ten-year bond at 0.506%. The yield on the German 10-year bond rises to -0.118% and the US to 1.56%. In addition, the price of the euro against the dollar stood at 1,1607 ‘green bills’, while the Spanish risk premium stood at 61 basis points.
And finally, the price of a barrel of Brent quality oil, a reference for the Old Continent, stood at a price of 83 dollars, with a 0.95% increase, while Texas was placed at 81 dollars, after rising 0.93%.