2023-05-24 18:09:05
Session of red numbers in the world Stock Markets. Negotiations to extend the debt ceiling in the US have come to a standstill and, although the market trusts the last-minute agreement, investors choose to stay away from risky assets pending further information.
After the bearish opening of Wall Street, the European stock markets registered sharp falls that have come to exceed 2% in the most tense moments of the day. For its part, the Ibex-35 lost 1.1% to 9,163 points, with banks among the hardest-hit values of the session.
Banco Santander lost 2.5%, while BBVA and Sabadell also dropped more than 2%. However, it was Grifols and Solaria that led the falls, with red numbers that exceeded 3%.
Only five stocks remained positive, with Acciona Energía and Rovi leading the table with advances of more than 1% at closing.
Thus, it seems that on Wednesday the rule was met that, in the absence of news, it is better to opt for taking profits. “We are convinced that the negotiations, which come and go, will lead to an agreement on the debt ceiling before June 1,” say analysts at the Pimco manager.
That is the deadline for the Treasury, if an agreement is not reached, to stop having sufficient funds to pay its bills. “None of the parties – neither Democrats nor Republicans – seems to have a political incentive to make concessions before it is absolutely necessary, but at the same time, neither has a political incentive to default,” the experts insist.
Added to the tension over what may happen in the US is the recent concern over the new covid outbreaks in China and over the trade tension between the two powers, after the Asian giant’s decision to veto the American Micron Technology, which is threatening to trigger a ‘chip war’.
Meanwhile, in the raw materials market, a barrel of Brent crude has risen again to 78 dollars, while US West Texas is around 74 dollars.
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