After a 17-year recovery period following the global financial crisis,‍ banks in spain and Italy are leading a important rebound in their respective stock markets. This surge is effectively erasing losses experienced ​during the 2008 financial downturn.

Spain’s Ibex 35 Index reached a record high since 2007 in October, while Italy’s FTSE MIB achieved its highest level since 2001⁣ last month. The gains are largely attributed to the performance of banking stocks.

Banks are overwhelmingly responsible for these rallies. In Spain,they account for approximately 70%⁢ of the gains⁢ recorded this year. In Italy, that figure rises to nearly 80%. Notably, lenders constitute almost ⁤40% of the weighting within both the Ibex 35 and FTSE MIB benchmarks.