The Spanish stock index IBEX 35 opened Wednesday with no clear trend as the trickle of quarterly reports from companies continued, in a market unsettled by the lack of a ceasefire in the Middle East.

Hopes for a truce in Gaza were dashed this week after Israel rejected another settlement proposal and took control of the Rafah border crossing, despite US opposition to an offensive in the city.

Analysts at Renta 4 also pointed to the escalation of tensions between the United States and China, "following the decision to revoke Huawei's license to buy semiconductors from Qualcomm and Intel".

"In the same vein, Saudi Arabia's new semiconductor and AI technology investment fund could divest from Chinese technology if requested to do so by the US," they added.

Meanwhile, the market assimilated new corporate results, with the publication of figures from Endesa (down 1.1%), Rovi (-0.9%), Fluidra (-2.7%), Amadeus (+0.3%) and Logista (+0.3%), among others.

However, the attention in the Spanish market was focused on the banking sector, after Sabadell stated that BBVA has informed it that it will not improve the share acquisition offer it has presented for the Catalan entity.

BBVA reacted on the stock market with a rise of almost 1%, while Sabadell fell by 3.8%, as the chances of a corporate operation materializing are now remote.

Among the other stocks in the sector, Santander rose 0.45%, Caixabank advanced 0.12%, Bankinter dropped 0.42% and Unicaja Banco rose 0.16%.

As for the large non-financial stocks, Telefónica fell 0.26%, Inditex fell 0.2%, Iberdrola rose 0.2%, Cellnex fell 0.03%, and the oil company Repsol rose 0.31%.

Overall, at 0705 GMT on Wednesday, the selective Spanish stock market index IBEX 35 was up 22.50 points, or 0.20%, to 11,103.40 points, while the FTSE Eurofirst 300 index of large European stocks was up 0.24%.

(Information by Tomás Cobos; edited by Benjamín Mejías Valencia)