The Ibex 35 is down 0.44% this Friday, to 8,618 points. The selective has closed 'in tables' and where it started, at the same levels as last Friday, after four very busy days, of comings and goings and in which it has been verified that volatility has returned to the market. The Spanish index rose 1% on Monday, fell almost 3% on Tuesday, advanced 0.7% on Wednesday and 1.61% this past Thursday.
The European stocks perked up again yesterday after a message from the European Central Bank (ECB) 'dovish' which helped reassure the market. Christine Lagarde, President of the ECB, said the "Discussion about a reduction in PEPP purchases is premature", and now all attention is focused on what might happen at the June meeting.
Within the selective, the increases in Bankinter or Fluidra, while Viscofan It has been the worst title of the selective after publishing first quarter results. In the Continuum, Codere has sunk more than 17% after announcing that bondholders will control 95% of the company.
BIDEN AND TAXES ON THE RICH
Stock markets ended with declines across the Atlantic this Thursday to Joe Biden's plans to raise taxes on high incomes.
US President Aims to Increase Tax Rate on Capital Gains to 39.6% for Americans earning a million dollars a year or more, compared to the current rate of 20%. Some richer citizens would see their rates rise to 43.4%.
"This had the effect of reversing what was already a fragile rebound, pushing US stocks to their lows for the week, with Nasdaq leading the losses," CMC Markets analysts explain in their daily report.
"While it could be argued that the prospect of a tax hike is never welcome, and a doubling of a key tax rate even more so, the likelihood that something of this nature will pass an evenly split Congress is somewhere between the scarce and the impossible. However, in these times of great uncertainty, it doesn't take much to scare investors into what can already be considered a very hectic week. The reality is that taxes can go up, but not as much as they say"says Michael Hewson, director of analysis at CMC Markets.
THE CRITICS OF SPANISH BANKS
Spanish banks have been clear protagonists this week. Thus, the publication of its results for the first quarter has started, with the Bankinter accounts, but, above all, they have put on the table the total number of employees they plan to do without … and the criticism has not been long in coming.
Government has criticized banks for the bonuses paid to managers when CaixaBank announced this week an ERE that would affect 8,291 employees and BBVA another that would leave 3,789 employees out of the entity. Adding up the layoffs from all the banks, they are talking about a figure that would exceed 19,000 people.
The unions asked the Executive on Thursday to intervene in banking "obscene" EREs.
PMI: IMPROVEMENT OF THE SERVICES SECTOR
At the macro level, the PMI Manufacturing and Preliminary Services for April, showing that the service sector in the euro zone returns to growth (50.3) for the first time in eight months.
In Japan, the services PMI was at 48.3 (the same as the previous month) and the manufacturing one at 53.3 compared to the previous 52.7.
Finally, remember that this Friday is scheduled to FDA rules on Johnson & Johnson vaccine.
The euro is exchanged at $ 1.2049. Oil is trading flat, with Brent at $ 65.36, Brent and West Texas at $ 61.51.
Gold and silver registered moderate movements, with the first at $ 1,785 and the second at $ 26.15.
The bitcoin falls 7%, below $ 50,000 (49,229), and Ethereum plummets 10% to $ 2,248.
The yield on the 10-year American bond stands at 1.547%.
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