World stock markets have turned this morning from green to deep red in the face of the realization that the set of economic data and political uncertainties paint a gloomy picture. The Ibex 35 fell more than 3% by mid-morning, although it later softened the fall a bit to just over 2.5%. In Europe as a whole, the biggest falls come from the Austrian, Russian and Milan stock markets, all above 3%.
In the case of the Ibex, the most severe red numbers correspond to Grifols, BBVA, Solaria, Rovi, Acerinox and Santander. But virtually no one is spared from losses. And the same happens in the rest of the European squares. "There is no catalyst, but an acceleration of what was already in the market - above all, the fear of recession due to rate hikes - and we are witnessing a kind of capitulation," says Kai Torrella, from Gesinter.
The euro has fallen this morning below 0.98 dollars. The Federal Reserve is stepping up the accelerator in the process of raising rates to tackle the problem of runaway inflation at full speed. And the markets have finally started to correct course.
Added to all of the above is geopolitical uncertainty. Russia's war in Ukraine, with the threat of a new escalation, raises fears that the worst energy scenario for this winter may materialize. And then there is Italy, the third largest economy in the eurozone, which adds a complex political landscape to its powerful economic and fiscal imbalances. This Sunday, the elections can give power to the extreme right.
