Business · Markets · 3 hrs ago
Hedge funds cut short bets as Spanish energy stocks rally
Spain’s Ibex 35 energy index has gained 32.29% this year, putting it near a record high and on track for its strongest year.
The sector has outperformed other parts of the Spanish market, with banks up 9% and construction shares nearly flat.
Several hedge funds have recently reduced bets against energy companies, rather than increasing bets on a fall in share prices.
Redeia reported profits of €410 million for the first nine months, up 5.3% from a year earlier, while funds also cut short positions in Enagás and Repsol.
Repsol shares have risen 79.2% this year, and the company is due to publish its third-quarter results.
Solaria is a notable exception, down 15.1% this year as some funds increased bets against it.
The figures come during a busy period for company results, which may help investors judge whether the rally can continue.
The Ibex 35 Energy index has risen 32.29% this year and is close to its record high, as hedge funds reduce short positions in several Spanish energy companies.
The index fell 0.22% during a 1.45% drop in the wider Ibex 35.
AQR Capital cut its short position in Redeia to 0.59%, while BlackRock reduced its position in Enagás to 0.85%.
Repsol has gained 79.2% this year, and its only significant short seller, Elliott, reduced its position to 1.17%.
Solaria is an exception to the sector’s gains: its shares are down 15.1% this year, while short positions against it have increased.
- Who
- Hedge funds, including AQR Capital, BlackRock, Elliott, Acadian Asset Management and JPMorgan, are adjusting short positions in Spanish energy companies.
- What
- Several funds have reduced short bets as energy shares rally, while short positions against Solaria have increased.
- When
- The article was published on 28 October 2026 and describes movements in recent days and this month.
- Where
- Spain, including companies in the Ibex 35 Energy index.
- Why
- The article links the changes to the energy sector’s rally and company results, but does not state the funds’ reasons.
This story does not have two clearly opposing sides.
AQR Capital had made no reduction in its Redeia short position until its recent cut.
The Ibex 35 Energy index reached a record 2,502 points.
AQR Capital reduced its Redeia short position, and Acadian Asset Management disclosed a 0.52% short position in Solaria.
The Ibex 35 fell 1.45%, while the Ibex 35 Energy index dropped 0.22%; Redeia reported its results for the first nine months.
Repsol was due to publish its third-quarter results.
- Ibex 35 Energy gain
- 32.29% so far in 2026
- Sector index record
- 2,502 points, reached Monday
- Redeia short position
- AQR Capital reduced it to 0.59%
- Enagás short positions
- 4.3% of the company, down from 4.7% a week earlier
- Repsol gain
- 79.2% so far in 2026
- Solaria short positions
- JPMorgan raised its position from 1.82% to 2.37%
What people are saying
These figures are fully in line with our expectations and consensus