The Ibex saves the session and remains at the gates of 8,000 points in the week of the ECB | markets

In a week where the ECB and the earnings season will share the limelight, investors have chosen to put selling aside. Despite the punishment suffered by Cellnex (-2.74%), Telefónica (-0.99%) and Iberdrola (-0.2%), three of the most valued listed companies on the Ibex 35, the selective has joined the purchases and advanced by 0.22%. The Spanish stock market remains at the gates of 8,000 points. Acerinox (2.35%) and ArcelorMittal (1.81%) were, along with Acciona Energía (2.63%) and IAG (2.07%) the most bullish listed companies.

The performance of selective remained in line with the rest of the European stock exchanges. The German Dax gained 0.74%; the French Cac, 0.93% while the British FTSE and the Italian Mib added 0.9% and 1.13% respectively. The purchases were replicated across the Atlantic. At the close of European markets, the Dow Jones advanced 0.43% and the Nasdaq 1.36%, carried by hopes that the Federal Reserve will not be as aggressive with the rate hike.

“Today, the positive tone that Wall Street recorded on Friday is maintained, helped by positive surprises in Citigroup earnings and retail sales data, despite the fact that guides provided by other companies do not favor not optimism, like JP Morgan, Delta Airlines or Fastenal”, they explain to MacroYield.

A tense week is expected for Europe, waiting to see if Russia will resume gas flow via the Nord Stream 1 gas pipeline on July 21, while the political crisis in Italy continues, which will face its decisive day next Wednesday, when Prime Minister Mario Draghi appears in parliament and announces whether or not he will continue to lead the executive.

In addition, on Thursday, the ECB holds its monetary policy meeting where it is expected to begin a cycle of interest rate adjustments with a 25 basis point hike, in an environment marked by preliminary data on the inflation in the euro zone in June of 8.6% per year and core inflation (excluding unprocessed food and energy) of 4.6% per year. Markets are also awaiting details of an anti-fragmentation tool aimed at easing pressure on borrowing costs for the union’s most indebted members.

On Wednesday, the focus will be on UK and Canadian inflation data and afternoon oil inventory data.

As for trading results, Goldman Sachs, Bank of America, IBM, Netflix, Tesla and Twitter are among the companies that will present their accounts in the coming days. Goldman Sachs’ profit fell by half in the second quarter, to 2,749 million. Of the 35 S&P 500 companies that have reported so far, 80% have exceeded Wall Street expectations, according to Refinitiv. Analysts now expect overall second-quarter year-over-year earnings growth of 5.6%, down from 6.8% at the start of the quarter.

Regarding oil, Brent, a benchmark in Europe, rose 2.75% and settled at $103.92, while West Texas Intermediate (WTI), a benchmark in the United States, also rose. 2.62% to $97.06 a barrel. The euro advances against the “green ticket” and goes to 1,013 dollars.

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