LONDON (Reuters) - Spanish equities rebounded on Monday, reassured by weekend demonstrations for a unified Spain and a poll lead for parties opposed to Catalan independence.
Spain's IBEX .IBEX benchmark outperformed a 0.1-percent gain for the pan-European STOXX 600 index , rising 2.4 percent led by Caixabank (CABK.MC) and Banco de Sabadell (SABE.MC), which both jumped more than 4 percent.
Stephane Barbier de la Serre, strategist at Makor Capital Markets, told Reuters there was a clear sense among investors that the Catalan crisis would be resolved.
But he said Spanish shares had still some catching up to do with the broader European markets and that the “road to normalisation” would likely be bumpy and generate some volatility in the weeks to come.
Spain’s Bankia (BKIA.MC) gained 2.2 percent after reporting a smaller-than-expected drop in net profit and as the lender made progress in shrinking its bad loan portfolio.
European tech stocks joined a global tech rally on the back of solid earnings from U.S. stalwarts and on strong pre-orders for Apple’s iPhone X.
Still in London, shares in HSBC (HSBA.L) fell 1.5 percent despite reporting a five-fold jump in its quarterly profits as broker Investec maintained its sell rating on the stock.
Glencore (GLEN.L) rose 0.8 percent after falling earlier in the session after a trading update and a report saying it would cancel its secondary listing in Hong Kong due to lack of interest from investors.
Dutch paints maker Akzo Nobel (AKZO.AS), under pressure after rejecting a lucrative takeover offer and two profit warnings, confirmed talks with smaller U.S. rival Axalta Coating Systems Ltd (AXTA.N) and rose 0.7 percent.
Reporting by Julien Ponthus and Kit Rees; Editingg by Andrew Heavens