Ibex 35 at maximum for the year as risk premium eases

The Spanish stock market’s blue-chip Ibex 35 index on Wednesday hit its highs for this year as Spain’s risk premium dropped to its lowest level since 2011.

The financial markets have also been buoyed of late by anecdotal evidence that the Spanish economy will emerge from recession this quarter.

By the close, the Ibex 35 was up 0.84 percent at 8,875.20 points, a level it last saw in February of last year. All of the components of the index advanced with the exception of giant fashion retailer Inditex.

The spread between the yield on the benchmark 10-year government bond and the German equivalent opened at 240 basis points, its lowest level since June 2011, before closing at 243 basis points.