The Ibex it rose moderately by 0.8%, to 6,713 points, on the last day of a month of March 2020 that will go down in history and in which it accumulates a collapse of the 2. 3%. And that despite the fact that the Spanish index has achieved bounce 15% from the annual lows (and since 2002) of 5,814 points marked on March 16.

In Asia, the day has had a predominance of green numbers. There it has been known China’s manufacturing purchasing managers index, which performed better than expected in March and it has also been above the contraction level of 50 (52, compared to a forecast of 45 and the previous 35.7).

The non-manufacturing PMI report was also released, standing at 52.3 against the estimate of 42.1 and the previous benchmark of 29.6. “The strong turnaround in commercial activity gives hope to western economies that are currently blocked“says David Madden, an analyst at CMC Markets in London.

In the euro zone, inflation slowed sharply in March, according to a first known estimate this Tuesday. The oil price war between Russia and Saudi Arabia lowered energy prices and the coronavirus pandemic halted economic activity across the bloc. The CPI rose 0.7% compared to the 0.8% forecast and 1.2% previously.

In Spain, GDP grew 2% in 2019, its lowest rate in five years.

And, while data is being published, the Ibex continues to demonstrate his weakness to face a rebound that arguably started last week, when he finally managed to close positive in the weekly accumulated for the first time in five weeks. Bolsamanía experts acknowledge that bouncing will not be easy for the Spanish index – “No one said that bouncing was a pain in the neck” – and recall that It has resistance at 7,400 and support at 5,800 points.

On the other hand, West Texas has recovered to around $ 22 a barrel after sinking in the last session below $ 20, to 18-year lows. “The market is flooded with oil that nobody needs right now. A joint action by oil-producing countries to reduce production could encourage a certain recovery in prices. But any supply-side intervention should be considerable to match the historical decline in demand, with an estimated 5 million barrel cut in daily oil demand only because of the planes that have been grounded globally, “explains Ipek Ozkardeskaya, analyst at Swissquote Bank.

The White House, on the other hand, is discussing additional $ 600 billion tax aid measures, in addition to the historic $ 2 trillion rescue package signed a couple of days ago.

“The enormous amount of money with which the economies are sprayed to stop the slowdown in growth will have long-term implications on debt levels, not only in the US, but around the world, “warns Ozkardeskaya.

LEAVE A REPLY

Please enter your comment!
Please enter your name here