Spain's main stock index, the Ibex 35, started Monday's session with a 0.77% decline, bringing the selective index to 17,487.10 points around 9:00 AM. The day is marked by a rebound in oil prices and increasing market concerns about the inflationary impact stemming from the conflict in the Middle East.

Geopolitical uncertainty surrounding Iran and the blockade of the Strait of Hormuz continue to drive up crude oil prices. Specifically, the Brent crude barrel, the European benchmark, rose 1.6% and approached $111, while the US benchmark, WTI, advanced nearly 2%, trading around $107.5.

According to analyst Javier Cabrera, the rising cost of oil is reigniting global inflationary pressures and could influence central banks' monetary policy. In the United States, April inflation rose to 3.8%, with industrial prices (PPI) reaching 6%, largely driven by increased energy costs. This scenario might compel the Federal Reserve to maintain a restrictive monetary policy, with the market already pricing in a nearly 50% probability of a rate hike in 2026.

The expert also notes that the increased cost of fuel is already visibly affecting US consumption, particularly among middle and lower-income classes, in a context where consumers are allocating more resources to essential expenses.

On the corporate front, investors will be closely watching Nvidia's quarterly results this week, considered a key benchmark for assessing the strength of the artificial intelligence investment cycle and the sustainability of tech valuations on Wall Street. Nationally, the political landscape following Sunday's Andalusian elections, where Juanma Moreno's PP secured a victory, also shapes the day.

Among listed companies, IAG will launch a new share buyback program worth up to 500 million euros. Repsol, along with Australian firm Santos, announced before market open the start of oil production at the Pikka project in Alaska (USA). Dia will address the re-election of several independent directors at its upcoming general meeting, and Airtificial has been selected by Airbus Defence and Space for the 'Eurodrone' strategic remotely piloted aircraft project.

On the macroeconomic front, the National Statistics Institute (INE) reported that home sales in Spain decreased by 2.2% in March compared to the same month last year. The largest drops within the Ibex 35 were seen in Ferrovial (-2.7%), ArcelorMittal (-1.8%), and Grifols (-1.6%), while Repsol led gains (+1.9%). Major European stock markets also experienced declines.

In the debt market, the yield on the ten-year Spanish bond climbed to 3.629%. In the currency market, the euro advanced 0.1% against the dollar, trading at $1.1632.