Trading on the Spanish stock market falls in August to the minimum of September 1999 | markets
The longest bullish streak in history and the longest bearish streak ever. The Ibex has marked these two milestones so opposed during the month of August and has done so with a trading volume at a minimum, almost the lowest of all time. In August, 19,031 million euros were traded on the Spanish Stock Exchange, the lowest volume since September 1999, according to data from the Spanish Stock Exchanges and Markets (BME).
The figure is even lower than what was negotiated in August 2020, the summer of the pandemic, in the midst of the stock market and economic crisis. Then the intermediated volume was 19,906 million euros, the minimum of October 1999. In September of that year, the contracting of the Spanish Stock Exchange fell to 18,229 million euros, the new minimum to which what was negotiated in this month has approached of August.
The figure corresponds exclusively to what is intermediated in the markets and platforms of BME, which has a market share in the trading of the shares of Spanish companies of 63.11%. That portion of Spanish listed stock trading has dwindled from nearly 69% two years ago, shortly after Swiss group Six took over BME. The trading figure therefore does not include the operations carried out with Spanish shares on alternative platforms such as Cboe Equities or Turquoise.
August is usually the month with the lowest stock market trading of the year, although this time the figures are especially low. Trading is 12.1% lower than in the same month last year and 27.8% lower than in July. The number of trades in August was 2.3 million, which represents a decrease of 15.5% compared to August 2021 and 23.4% compared to the previous month.
The stock market is experiencing a moment of extreme uncertainty, on alert to the risk that the interest rate hikes by the central banks end up causing an economic recession. The Ibex has fallen 3.3% in the month, after adding the longest streak of consecutive days of declines in its history, a total of eleven. At the beginning of the month, and after the attempted comeback undertaken in mid-July, it managed to add eleven sessions in a row of promotions, in an upward streak that was also unprecedented. But both the increases and the decreases have had minimal negotiation, which reveals the lack of conviction of investors and the little movement in the hiring of Spanish listed companies. The daily average for August was 827.4 million euros traded, with a minimum on August 25 at 596.6 million.
The volume contracted in August in the fixed income markets reached 6,575.4 million euros, 5% more than in July. Admissions to trading, including issues of Public Debt and Private Fixed Income, amounted to 17,437.1 million euros, which represents an increase of 25.9% compared to August 2021.