Wall Street Flat as Investors Await Jackson Hole
Tuesday 19 August 2025
IBEX 35 Beats EU Benchmarks in 1H25
As of the time of the writing, Tuesday, 5 August 2025, Spain’s IBEX 35 is nearing its all-time high of 15.945,7, set in November 2007. The index rose 1.84% at Tuesday’s open, reaching 14,386 points.
That puts it just 9.78% below the historic level, as investor momentum continues to drive the Spanish benchmark higher.
Whether it can breach that psychological threshold remains to be seen, but the rally so far in 2025 has been strong. The IBEX 35 is up 24.7% year-to-date (YTD), pushing closer to territory not seen in nearly two decades. (Source: Yahoo Finance)
TL;DR
IBEX 35 rises 1.84% to 14,386, near 2007 record
The index is close to its all-time high of 15,945 set in 2007.
Banks lead rebound after tariff-driven drop on 1 August
Spain’s 2Q annually GDP grows 0.7%, inflation hits 2.7%
Banks Lead IBEX 35 Rebound
The IBEX 35 bounced back sharply yesterday, Monday, 4 August, following a late-week correction. On Friday, 1 August, the index fell nearly 2% amid renewed U.S. tariff tensions announced by President Donald Trump.
Banks led the rebound at the open, with Santander [SAN.E], BBVA [BBVA.E], and CaixaBank [CABK.E] posting early gains in yesterday’s morning trading.
Over the past month, BBVA is up 14.36%, CaixaBank has gained 11.19%, and Santander has added 4.95%, helping drive momentum in Spain’s benchmark index. (Source: Yahoo Finance)
Spanish Growth Supports Market Momentum
Spain’s market YTD rally comes alongside solid macroeconomic data. Preliminary figures from the Statistics Institute show GDP grew 0.7% in 2Q25 compared to 1Q25.
On a year-on-year basis, the economy expanded 2.8% compared to 2Q24. That percentage is higher than the 1.4% growth record by the eurozone economy at the close of 2Q25.
However, Spain’s inflation ticked higher. July CPI was 2.7%, up 0.4 points from June and slightly above the euro area average of 2%. (Source: La Vanguardia)
Conclusion
The IBEX 35 remains supported by strong bank performance and positive economic data, including 0.7% GDP growth in 2Q25.
The index is now within 9.78% of its 2007 record, reflecting sustained investor interest.
Inflation and trade tensions remain key variables to watch as the second half of this year unfolds.
*Past performance does not guarantee future results
FAQs:
How close is the IBEX 35 to its record high?
As of Tuesday morning, 5 August 2025, the IBEX 35 traded at 14,386, just 9.78% below its all-time high of 15,945 set in 2007.
Why did the IBEX 35 drop on 1 August?
The index fell nearly 2% on 1 August after US President Donald Trump announced a new round of tariffs.
What is driving Spain’s economic performance in 2Q25?
Spain’s GDP grew 0.7% in 2Q25 compared to the previous quarter and 2.8% year-on-year, supported by resilient domestic demand.
How does Spain’s inflation compare to the eurozone?
Spain’s inflation reached 2.7% in July, slightly above the eurozone average of 2% and up 0.4 percentage points from June.
