The Ibex 35 began trading Friday with a modest gain, placing it in a solid position within Spain’s premier equity index as investors in Canada and the United States monitor regional performances. At 9:01 a.m. local time, the index hovered around the 8,800 level, with a slate of upcoming company results expected to shape momentum through the session.
Following a gain of 1.1 percent the previous day, the Madrid index climbed to multi month highs after inflation data out of the United States softened. The move kept the selective index comfortably above the 8,800 psychological threshold, signaling renewed appetite for European equities as risk appetite stabilizes across Western markets.
The December inflation rate in the United States stood at 6.5 percent on an annual basis, marking a six tenth decline from November and marking the lowest pace of price increases since October 2021. This cooling trend has underpinned a more favorable backdrop for equities, bonds, and related asset classes across North America and Europe, including those involved in cross border trade with Iberian firms.
In Spain the CPI showed a reading of 5.7 percent for December, with underlying inflation holding around 7 percent and food prices notably higher, reflecting ongoing price dynamics in the consumer sector. Market participants in North America and Europe interpret these readings as a sign that inflation has begun to ease, potentially allowing central banks to calibrate policy without derailing growth in the near term.
At the opening bell, the strongest movers among the Ibex 35 included IAG, up about 1.86 percent, followed by Aena with a near 1 percent gain, Ferrovial climbing close to 0.92 percent, Amadeus increasing by around 0.77 percent, Grifols rising roughly 0.68 percent, and Repsol edging higher by nearly 0.59 percent. On the weaker side, Sacyr slipped about 1.81 percent, Colonial fell around 0.42 percent, Iberdrola declined roughly 0.23 percent, and ACS traded lower by just over 0.21 percent, painting a mixed opening tone for the broader index.
Across Western Europe, the broader market landscape opened with modest gains. Frankfurt and Paris posted about 0.1 percent improvements, while London lent a steadier 0.3 percent uplift, reflecting a cautious but constructive mood as investors weigh domestic data against global economic signals.
Commodity markets showed a gentle uptick as well. Brent crude, a benchmark for European oil, edged up about 0.07 percent to around 84 dollars per barrel, while the U.S. benchmark, Texas Intermediate, rose about 0.2 percent to roughly 78 dollars. These moves underscore a steady demand backdrop and the sensitivity of energy prices to global growth narratives that reverberate through North American and European markets alike.
From a currency perspective, the euro traded near the mid 1.08s against the U.S. dollar, with traders in Canada and the United States watching for any shifts in currency dynamics that could influence cross border trade and earnings translation for European exporters. Spain’s risk premium sat near 100 basis points, and the yield on the ten year Spanish government bond hovered around 3.12 percent, signaling cautious but manageable borrowing costs for issuers and investors in the region.