The Ibex 35 began the session on Friday with a modest 0.30% slip, tethering the index at 9,473.9 points. Traders were navigating a day crowded with corporate earnings and, above all, fresh Spanish consumer price data that could shape expectations for monetary policy in the near term.
Madrid’s selective index aimed for the 9,500 level at the open. Prices moved about half a percent lower after the release showed Spain’s Consumer Price Index rose 0.2% in July from the prior month, pushing the year-over-year rate up to 2.3% thanks to higher fuel costs and a notable jump in food prices, which surged to 10.8% on an annual basis. The data point adds to a broader narrative of inflation in the euro area and the challenges it poses for policymakers and investors alike.
In the European macro landscape, markets were also waiting on several key releases this Friday. UK GDP and industrial production, French inflation, and Italy’s balance of trade were among the highlights that could affect risk sentiment across continental equities and currency markets.
Among the Ibex 35 members, early movers showed mixed momentum. Acciona Energía led gains, rising about 1.16%, followed by Colonial with a 0.62% advance, Telefónica climbing 0.52%, and Unicaja Banco edging up 0.4%. On the downside, Fluidra lagged noticeably, dropping roughly 1.65%, with Repsol down about 1.13%, underscoring a day where breadth mattered as much as individual stories.
Across Europe, the day opened with a negative tone for major indices: London’s market slipped around 0.64%, Paris about 0.57%, Milan near 0.47%, and Frankfurt around 0.39%, reflecting a cautious mood as investors digest inflation trajectories and corporate results. The currency and commodity complex added another layer to the scene, with Brent crude representing Europe’s oil benchmark trading lower on the session, down 0.42% to $86.04 per barrel, while U.S. benchmark light crude, interpreted as Texas tea, traded about 0.43% weaker around $82.46 per barrel.
In the foreign exchange arena, the euro traded near 1.0995 dollars, a level that keeps the common currency in a tight band against the greenback as traders weigh growth prospects and relative yield differentials. The Spanish risk premium hovered around 107.7 basis points, while the yield on the benchmark 10-year Spanish bond sat near 3.587%, a snapshot of the country’s borrowing costs in a climate of lingering inflation pressures and ongoing policy discussions.
Overall, the session highlighted the delicate balance between corporate earnings momentum and macroeconomic indicators that continue to shape sentiment in European markets. Investors remained attentive to how inflation data in Spain and across Europe might influence future rate expectations, while corporate results provided specific price action signals within Spain’s equity landscape. The day stressed the importance of monitoring both macro headlines and bottom-line results for a clearer read on market direction, as traders navigate a mix of domestic developments and euro-area dynamics in a volatile but potentially rewarding environment for selective gains. (attribution: market summary)