The IBEX 35 stock index opened Friday's session with a modest advance, as investors analyze changing interest rate expectations and await Donald Trump's imminent return to the White House.

After a start to the week in which markets seemed resigned to a single rate cut by the Federal Reserve (Fed) in 2025, Wednesday's favorable inflation report rekindled hopes for further monetary easing, helping to calm the mood in the fixed income market.

Nevertheless, investors remain cautious about the possible measures that Trump may announce as of Monday, January 20, when he officially takes office in Washington.

On the Spanish trading floor, the IBEX 35 continues to fail to overcome the resistance levels that have kept it in a narrow range since the beginning of the year. Analysts believe that new catalysts will be needed to push the selective above the psychological barrier of 12,000 points.

The day will be marked by the release of the Eurozone CPI (10:00 GMT), as well as housing data (13:30 GMT) and industrial production (14:15 GMT) in the United States. In addition, the trickle of corporate results in North America will continue.

At 08:15 GMT on Friday, the Spanish selective stock market index IBEX 35 was up 44.70 points, or 0.38%, to 11,885.30 points, while the FTSE Eurofirst 300 index of large European stocks was up 0.36%.

In the banking sector, Santander rose 0.35%, BBVA gained 0.63%, Caixabank advanced 0.04%, Sabadell fell 0.05%, Bankinter dropped 0.12%, and Unicaja Banco rose 0.15%.

Among the large non-financial stocks, Telefónica gained 0.23%, Inditex advanced 0.31%, Iberdrola gained 0.26%, Cellnex gained 0.13%, and the oil company Repsol rose 0.91%.

Outside the IBEX 35, Talgo rose 2.5% after El Confidencial published that a Polish public company is considering launching a takeover bid for the train manufacturer.

(Information by Tomás Cobos; editing by Javi West Larrañaga).