Ibex 35 Approaches 19,850 Points Driven by Indra, Inditex and Santander

The Spanish index rises 1.33% in the mid-session to 19,846 points, less than 300 points from its historical record. Indra, Inditex and Santander lead the gains.

The Ibex 35 is trading this Monday in the vicinity of historical highs. The Madrid index advances 1.33% in the mid-session and stands at 19,846 points, less than 300 points from the record of 19,852.40 points reached earlier this month.

The three companies driving the rise the most are Indra, with an increase of 3.26%; Inditex, which rises 3.12%; and Banco Santander, which appreciates by 2.90%. On the contrary, ACS falls 3.05% and Repsol loses 1.59%, weighed down by the collapse of oil prices.

The geopolitical context favours a truce in the markets. Iran has indicated it will suspend its attacks as long as the United States also refrains from attacking, according to Reuters on Sunday citing a senior Iranian official. This pause comes after Washington decided to suspend its bombing campaign amid warnings from its advisors that the military was running out of viable targets and concerns over depleting weapon reserves.

However, tensions do not completely disappear. Ukraine attacked an Iranian merchant ship in the Caspian Sea, leading Tehran to label the incident as a “hostile and criminal act.” Despite this incident, oil prices are falling sharply.

The European benchmark Brent, which last week surpassed 100 dollars a barrel, plummets this Monday by 9.35% to 87.77 dollars. US West Texas futures fall by 7.6% to 82.48 dollars. The euro exchanges at 1.1400 dollars.

The last week of July is marked by an avalanche of quarterly results on the Spanish Stock Exchange. Several companies in the Ibex 35 will present their accounts: Merlin Properties will do so at the close on Monday; Grifols and Ferrovial on Tuesday; CaixaBank, ACS, Redeia, Endesa, Aena, Telefónica and Sacyr on Wednesday; ArcelorMittal, Fluidra, Cellnex, BBVA, Acciona and Puig Brands on Thursday; and Unicaja, IAG and Amadeus on Friday.

For investors, the focus is on whether the Ibex 35 will manage to surpass the level of 19,852 points and set a new all-time high. The truce in the Middle East and corporate results will be the key factors in the coming days.

Last Friday, the index already rose 1.65% and accumulated a weekly gain of 1.91%, bringing it to the brink of its record. If the positive trend continues, the Ibex 35 could close the week with a new milestone.