Spanish Stock Market Recovers as Oil Prices Ease

The Spanish IBEX 35 index rose 0.91% on Friday, recovering the 19,800 point level to close at 19,838.5 points. Despite this daily gain, the index ended the week with a total loss of 1.06%. This recovery followed four consecutive sessions of declines and was driven by a pause in the escalation of oil prices and the release of United States inflation data. The US Consumer Price Index remained at 3.4% in August, while the core inflation rate was reported as 2.4% by some sources and above expectations by others.

Oil prices saw a significant decline on Friday. Brent crude fell approximately 3% to close around 104 dollars per barrel, down from recent peaks near 109 dollars. West Texas Intermediate crude also dropped over 3% to approximately 99 dollars. Market volatility remains high due to geopolitical tensions in the Middle East, specifically involving Iran, the United States, and Houthi advances in the Red Sea. Iran announced a meeting with eight Gulf states to discuss secure navigation routes in the Strait of Hormuz, while the International Energy Agency revised its 2026 global oil demand forecast downward by 940,000 barrels per day.

In the Spanish market, Solaria was the strongest performer with a 9.5% increase, while Inditex led the losses with a 6% drop. Broader European markets also saw gains, including the German Dax and the Italian Mib. However, concerns persist regarding public debt. Spanish 10 year public debt is near 4%, and US Treasury yields have risen, which analysts note can increase borrowing costs for companies and countries globally.