The selective leads the rises in Europe after learning that the CPI in the first world power moderated from 7.1% to 6.5% in December
It was the most important event of the week and European markets were not slow to react. The Ibex-35 leads Europe with an increase of more than 1% this Thursday following the release of inflation data in the US, which moderates again for the sixth consecutive month, paving the way for the Federal Reserve (Fed) to resume its rate hikes to take it a little easier.
Specifically, the CPI of the world’s leading power went from 7.1% to 6.5% in December, right in line with expectations and a far cry from the peak of 9.1% reached in the summer. It is also the smallest price increase since October 2021. The underlying rate, for its part, also fell from 6% to 5.7%, also as expected.
The year-on-year increase in energy prices moderated by 5.8 points to 7.3% in the last month of the year. This is the smallest increase in energy prices since February 2021, when the inflationary spiral started after the pandemic.
Expectations that the data will confirm smoother price gains in the coming months have led the Ibex-35 to consolidate its gains to 8,800 points, new highs since last June.
Meliá Hotels was the most optimistic value, adding 4.75% after learning it will manage the Juan Carlos I hotel in Barcelona. It is followed by other values related to tourism, such as IAG and Amadeus, with increases of 3.23% and 3.01% respectively.
Conversely, Grifols posted a 2.02% decline, followed by Unicaja Banco and Cellnex, which fell 0.67% and 0.35%, respectively.
With the week’s key reference already on the table, investors are now awaiting the start of the corporate earnings season on Wall Street, which will see the market’s banking giants this Friday.
The analyst consensus expects a decline of about 4% in the results of the S&P 500 public companies in the third quarter. If these forecasts are beaten, markets could receive additional impetus to maintain the positive tone of this early year.
Meanwhile, in the commodities market, the price of a barrel of Brent grade oil, a benchmark for the Old Continent, stood at $83.68 at the mid-session, up 1.25%, while the Texas was at 78.34 . dollar, with an increase of 1.19%.
Source: La Verdad
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
