The Ibex 35 lags behind Europe after less tension between the US and China over Taiwan

The Ibex 35 lags behind Europe after less tension between the US and China over Taiwan

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The Organization of the Petroleum Exporting Countries (OPEC) and its allies, which together form the group known as OPEC+, have decided to raise only 100,000 barrels of crude oil per day their joint production starting next Septemberas reported in a statement.

At the end of this Wednesday’s meeting, the group of countries, which includes OPEC and allies such as Russia, Mexico or Kazakhstan, has decided to adjust the production level upwards by 100,000 barrels per day for the next month of September 2022.

After this news, the price of a barrel of Brent crude, a reference for Europe, fell to 98 dollarswith a decrease of 2% compared to the value marked yesterday, while the West Texas stood at 92 dollars, with a drop of 2% as well.

The Speaker of the US House of Representatives, Nancy Pelosi has completed the visit to Taiwan that has provoked an angry response from Chinaand markets calm compared to the wave of anxiety that washed over assets before his arrival, once it seems that the blood has not reached the river.

However, while the immediate concern about tensions between the US and China may be fading, theInvestors still face a number of concerns, including inflation and how central banks’ policy response to rising prices could dampen global growth. According to Goldman Sachs Group strategist Sharon Bell, equity trading does not reflect the headwinds the market is facing.

“There is a bit of complacency and the markets are not fully factoring in the risks,” Bell told Bloomberg.

This has allowed registering increases in the Japanese Nikkei (+0.53%) and in the Hang Seng of the Hong Kong Stock Exchange (+0.40%), although the Shanghai CSI 300 has fallen by 0.97% .

The service activity in China grew in July at the fastest pace in 15 months as easing of COVID restrictions boosted consumer confidence, but foreign demand fell and businesses cut staff for the seventh consecutive month, according to a private sector survey. .

In addition, in the Old Continent, there have been services sector PMI published. In Spaingrowing concern about high prices and widespread economic instability has led to a drop in confidence about future prospects in services. In Spain, the PMI for the services sector was published, which maintained a positive evolution in July with a solid rate of expansion, which stood at 53.8 points, compared to 54 the previous month, despite inflation and the deterioration of economic expectations.

However, the composite PMI for the Spanish economy moderated to 52.7 points, compared to 53.6 integers in June, indicating the weakest level of expansion of private sector activity in the country in the last six months.

The EURO STOXX 50 has posted an increase of 1.30%, the Dax 1.03%, the Italian FTSE Mib 1%, the French CAC 40 0.97%, the Ibex 35 0.56% and the London FTSE 100 0.49%.

Rising session also for the Nikkei 225, which ended Wednesday’s session with slight increases of 0.53%, to 27,741.90 points. The Shanghai Composite fell slightly and the Shenzhen Component lost 0.48%.

In this context, the biggest increases were recorded by Fluidra (+6.56%), PharmaMar (+3.28%), BBVA (+3.24%), IAG (Iberia) (+2.63%), Aena (+2.40%), Indra (+2.32%), Grifols (+2.18%), Banco Santander (+2.05%), Amadeus (+1.90%). On the other hand, Acciona (-2.54%), Enagás (-1.93%), Caixabank (-1.80%), Banco Sabadell (-1.42%), Red Eléctrica (-1, 33%) and Telefónica (-1.19%).

Bankinter has today received a new recommendation from Citigroup, which raises its advice from “neutral” to “buy”.

Finally, the price of the euro against the dollar stood at 1.0138 ‘greenbacks’, while the risk premium stood at 112 basis points and the return on the ten-year Spanish bond stood at 1.974%.

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