The Ibex collapses: loses more than €88 billion in three days, exceeding the aid requested from European funds
The Ibex 35 has lost more than €88 billion in just three days of losses, a figure higher than the amount requested by Spain from European recovery funds. Analysts warn of the impact on economic confidence.
Madrid, April 1, 2025 –
The Spanish stock market is experiencing one of its darkest weeks in years. The Ibex 35 has recorded a cumulative loss of more than €88 billion in just three consecutive days of declines, a figure that even exceeds the €77 billion requested by Spain from European post-pandemic recovery funds.
The situation has raised alarm among investors and financial managers. The stock sell-off has been driven by a combination of factors: growing geopolitical uncertainty, signs of economic stagnation in the eurozone, and fears of further interest rate hikes by the European Central Bank.
“We are seeing a panicked movement reminiscent of previous episodes of the financial crisis,” said Luis Sánchez, chief analyst at an investment firm in Madrid. “The difference is that now the room for political and economic maneuver is much more limited.”
Among the hardest-hit stocks are large banks such as Santander and BBVA, as well as energy and construction companies, key sectors in the index. Market capitalization has evaporated at a rate that, if continued, could jeopardize not only the economic recovery but also fiscal stability.
The magnitude of the losses has prompted inevitable comparisons with the European Next Generation funds, whose negotiation was a milestone for Spanish economic policy. However, the current loss in the markets is greater than the entire aid agreement with Brussels.
The Ministry of Economy has issued a message of calm, stating that "the fundamentals remain solid" and that work is being done to "protect investment and strengthen confidence in the Spanish market."
Despite official statements, sentiment among small savers and institutional funds remains tense. "A clear plan is needed to curb mistrust," said a spokesperson for an investment association.
The Ibex now faces a double challenge: regaining market confidence and demonstrating that it can withstand the pressure without relying solely on external support.
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