LATEST: The Ibex signs its fourth week on the rise after rising 2.2% and consolidates its historical highs above 19,800
Latest Developments:
Global attention remains focused on this evolving story as officials and analysts assess the broader implications.
Golden brooch for the week of the main Spanish selective. The Ibex 35 has renewed its historical highs in this Friday’s session after increasing 0.92%. The national index has advanced to 19,852.1 points, which represents a new record at the close of the session. It is not the only milestone that the Madrid Stock Exchange index has achieved this week. The Ibex 35 already set a new market closing record this Thursday, ending the session at 16,671.8 points. Advances that have allowed the index to rise 2.2% in the last five sessions and record its fourth consecutive positive week, its best streak since mid-April. The national selective has also reissued its highs in intraday terms. The top of the index is now at 19,877.96 integers. In addition, the Ibex 35 has also conquered unprecedented barriers this week. The index assaulted the threshold of 19,600 points on Thursday, a ceiling that has been updated until reaching 19,900 during this Friday’s session. The euphoria has also moved to the reference trading floors of the Old Continent, especially in Thursday’s session. On that day, all European markets closed with increases of more than 1.5%, with a prominent role for the German Dax, which rose 2.11%. The push has allowed them all to end the week on a positive note. In this Friday’s session, Europe’s main indexes have also turned green, although it was the Ibex 35 that led the gains. The German Dax has advanced 1%, the French Cac has risen 0.39% and the Italian FTSE Mib has risen 0.67%. The London Stock Exchange has been the most bearish of the session, although it has finally managed to close positively. The British FTSE 100 has added 0.12%. In this last trading day of the week, investors have not counted on the Wall Street reference. On the other side of the pond, the New York Stock Exchange remains closed for the celebration of Independence Day, moved to this Friday as it falls on a Saturday. The selective New Yorkers said goodbye to the week on a mixed note. On Thursday the Dow Jones rallied 1.14% and the S&P 500 closed flat. On the contrary, the Nasdaq Composite ended in the red after losing 0.8%. The strike in the US The turning point for the stock markets was Thursday. In this session, investors learned about the great macroeconomic reference of the week: the employment data from the United States. The world’s leading economy created 57,000 jobs in June. A figure well below expectations, which predicted that the US would have generated 114,000 jobs in the sixth month of the year. The figure was also well below the figure recorded a month before. In May, the US created 129,000 jobs, which shows signs of a slowdown in the US labor market. However, a double reading is obtained from the indicators published by the US Department of Labor. The country governed by Trump managed to reduce its unemployment rate in June by one tenth, to 4.2%. Monetary policyThe note is more than significant. The update of the United States employment figures reduces the pressure on the Fed to raise interest rates due to the rise in inflation derived from the war in Iran. And the relevance of the US unemployment data is based on this point. The reading will be more than relevant for a Fed that continues to maintain its dual objective of keeping inflation at a strict level – around 2% – and pursuing full employment. In this sense, its newly appointed president, Kevin Warsh, lowered this week expectations that the Federal Reserve will have to change the course of its monetary policy to raise rates. He did so from the annual forum on central banking organized by the European Central Bank in Sintra (Portugal), which has also attracted the interest of investors. In his statements, Warsh assured that inflationary risks have decreased in recent weeks. In addition, he insisted that the Federal Reserve will comply with its mandate of price stability and, continuing with his reserved style, he avoided commenting on the next decisions made by the Fed. Crude oil, stable One of the constants of the week has been the stability of oil prices. With the exception of Monday – and after an alleged rise in tension between the US and Iran – crude oil has maintained its downward trend and has stabilized at levels prior to the outbreak of the war in the Middle East. Brent, the reference crude oil in Europe, rose 0.45% this Friday, to 72.12 dollars per barrel. In the weekly count, a barrel of North Sea crude oil advanced 0.8%. For its part, Texas crude oil, US oil, remained practically flat this Friday at the edge of 69 dollars per barrel. Among the rest of the assets, gold rose for the third consecutive day. The yellow metal rose 1.3% to $4,180 per ounce in its attempts to reverse its bearish streak. Silver was also trying to escape from the red numbers and recorded its first week in the green after seven consecutive negative balances. The euro remained practically flat after being exchanged again for 1.14 greenbacks. The common currency fell the day before to $1.13, a level it had not seen for just over a year. In bitcoin, the market’s main cryptocurrency also reacted to the rise and rose almost 1%, to $62,200.
Global Impact:
Officials and international observers are expected to continue monitoring the story closely over the coming days.
International media coverage is expected to intensify as more updates become available from official sources.
Our editorial team will continue tracking this story as new reports become available.
Source: This article was originally published by El Español – Home and adapted for our international English-speaking audience.
Read the original article here.