Negative week for European stock exchanges, Milan -3.9% with government crisis

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(Il Sole 24 Ore Radiocor Plus) – The rebound of the last session of the week does not save the balance of the eighth for the European lists. The Eurostoxx 600 lost 0.8% from last Friday’s close, in the course of a week marked by the release of US inflation data, the highest since 1981. Piazza Affari pays for the government crisis and closes the week with a drop of 3.9%, doing worse than the main continental indices. The Dax40 in Frankfurt recorded -1.2%, the Ftse100 in London -0.5%, the Ibex35 in Madrid -1.9%, the Aex in Amsterdam -0.3%, when the Cac40 in Paris closed unchanged. At a sector level, in Europe the week saw sales penalize above all the banking (-5.2%) and Raw materials (-5.1%) sectors. Among the titles, in Milan collapse for Saipem (-77.2%) with Bper -14.4% and Tim -12.7%. St (+ 4.7%), in the days of the announcement of the agreement with GlobalFoundries for a new plant in France, and Ferrari (+ 1.2%) are saved.

Positive last session of the week

The rebounds of the sectors car and power they pushed the European stock exchanges, which closed the last session of a nervous week positively, marked by the peak of US inflation and uncertainty about the moves of the central banks. In Piazza Affari the Ftse Mib finished trading with an increase of 1.84%, in Paris the Cac40 by 2.04% and in Frankfurt the Dax40 by 2.76%. The negative Chinese data (second-quarter GDP grew by only 0.4%, the worst figure since the beginning of 2020 due to the “zero tolerance” policy on Covid) did not slow down the recovery of the continental indices, which also filed a yet another decline in the auto market (-16.8% in June and -13.7% in the first half). A number that instead gave relief to the lists was that of retail sales in the United States: in June they increased by 1%, doing better than expected. Meanwhile, the quarterly season continues: among the big US credit companies it was the turn of Citi, which showed better results than forecasts even if the profit recorded a decline of 27%. Against this backdrop, attention remains focused on the Federal Reserve’s next moves, with St. Louis Fed chairman James Bullard saying he would like to see interest rates in light of the latest inflation data. to 3.75% -4% by the end of the year, up from the 3.5% previously assumed. As for Italy, yesterday evening the President of the Republic, Sergio Mattarella, rejected the resignation of the Prime Minister, Mario Draghi, who will deliver communications on the government crisis to the Senate and the Chamber on Wednesday. Still on the domestic front, today the Bank of Italy raised its estimates for the Italian GDP for 2022 to 3.2%, cutting however the growth forecasts for 2023 and 2024. In the meantime, Wall Street closed sharply higher (Dow Jones + 2.15%, S&P 500 + 1.92% and Nasdaq + 1.79%) thanks mainly to the data on retail sales above estimates.

Spread stable at 223 points, yield decreasing

Stable closing for the spread between BTp and Bund in the aftermath of the rise following the opening of the government crisis. At the end of the session, the yield differential between the ten-year benchmark BTp (Isin IT0005436693) and the same German maturity is indicated at 223 basis points, unchanged compared to yesterday’s closing. On the other hand, the yield of the benchmark ten-year BTp fell, which marked a last position at 3.36%, from 3.41% on the eve of the day.

Euro in parity with dollar, oil on the rise

On the currency, the euro remains on par with the dollar at 1.0091 (1.0019 at the start and 1.0067 yesterday at the end), when it is also worth 139.791 yen and the dollar / yen stands at 138.535. Oil returns to rise: the September delivery contract on Brent gains 2.27% at 101.37 dollars a barrel and those on the August WTI maturity 2.21% at 97.9 dollars. The price of gas in Amsterdam fell: -9.4% to 158.5 euros per megawatt hour.

New collapse for Saipem, good car

As for stocks, in Milan they finished at the top of the Ftse Mib Interpump (+ 5.6%), Pirelli (+ 5.57%) and Iveco Group (+ 5.56%). Opposite sign for Saipem (-29.91%), after the news that the banks of the underwriting syndicate will place on the market 68% of the securities not subscribed by investors as part of the capital increase, a package equal to 19.8% of the capital of Post-transaction Saipem (banks have around 29%). The best performances of Piazza Affari were scored by Rcs Mediagroup (+ 15.08%) e Cairo Communication (+ 13.46%), thanks to the “peace” with the fund Blackstone on the building in Via Solferino in Milan. Today RCS Mediagroup, Blackstone and Kryalos Sgr formalized the end of the dispute over the Milanese properties of the publishing group sold in 2013 to Kryalos, thus closing a dispute that reached the Arbitration Chamber of Milan and the New York Court. The agreement reached “involves a reciprocal waiver of all shares and RCS has agreed to pay a contribution of 10 million euros to the expenses incurred by Blackstone”. In addition, the publishing group will purchase, at a price of € 59.9 million, the building in Via Solferino, the historic headquarters of Corriere della Sera, part of the Solferino-San Marco-Balzan property complex which is the subject of the dispute.