The week marked by the rate cuts by the Federal Reserve, which in the session of Thursday 17 September had given relief to the stock markets, ends instead with European stock markets in deep red, and Wall Street is not doing so well at the moment either. The markets are worried about inflation, in a session in which oil and gas prices remain high: Brent is trading above 104 dollars a barrel and WTI Crude Oil records a small jump to $102 per barrel, after three pumping stations serving Saudi Arabia's vital East-West Pipeline were damaged in last week's attack (one more than previously estimated). European natural gas surges more than 4% to 80 euros per megawatt hour.
Btp-Bund spread over 90 points, the Oat-Bund at the top since 2012
European markets are also feeling the effects of uncertainty in North American markets following the Fed's rate hike, and since new increase in government bond yields: the US 10-year T-Bond, which yesterday fell below the fateful 5% threshold, touched it again today, then fluctuated around 4,98%. The BTP-Bund spread is affected by this, breaking through the 90 basis point threshold, the record since the end of March, with the yield on our benchmark 10-year BTP surpasses 4,4%Also watch out for French OATs, which are yielding over 4,5%, and the spread with the Bund, which has broken 100 basis points for the first time since 2012.
Piazza Affari below 52.000 points, tech mixed on the Nasdaq
In this scenario, the closure of the European stock markets is catastrophic: Milan -1,6%, Paris -1,5%, Frankfurt -1,6%, London -1,45%On Wall Street, the Dow Jones loses half a percentage point, but the Nasdaq holds steady. Technology stocks are mixed: Nvidia, after the optimism expressed by CEO Huang, trading at par, Sandisk is gaining over 6%, Micron is up 1,5% at the moment. Profit taking on Intel -1,4% after yesterday's double-digit rally, on rumors of a possible partnership with Korean SK Hynix on chips. Traditional big tech looks pretty sluggishNetflix -4%, Cisco -1,5%, Meta -1%, Tesla -0,6%. In the Musk galaxy, SpaceX also -2%.
Bitcoin jumps above $80.000, while the euro remains weak.
On the currency front, Bitcoin has made a significant leap. After days of outflows, spot ETF flows returned to positive territory today, with approximately $159 million in inflows: BlackRock IBIT alone reportedly collected approximately $184 million. The cryptocurrency's price they therefore rise by more than 5% above $80.000The euro weakened against the US dollar, with the exchange rate well below the 1,15 mark. Moderately bullish session for gold and silver, with the former still trying to get closer to $4.400 an ounce, and the latter reaching $66. On the macroeconomic front, US manufacturing production fell unexpected in August, after seven consecutive monthly increases, but activity remains supported by expansion in the AI sector.
Stellantis collapses in Milan, while Stm is the best stock.
The only stock that is clearly bucking the trend on the Milan Stock Exchange is Stm, up 2,3%, while Stellantis's decline is worth noting: in Canada, unions are threatening strikes if contractual issues are not resolved and the sale of the Brampton plant in the Toronto area is not reassessed. Among the worst stocks are Unicredit -3%, and the banking-insurance sector in general, in the midst of a game of risk yet to be resolved: Unipol -2,75%, Intesa Sanpaolo -2,1%, Banco Bpm -2%, Generali -2%. Luxury is weak across Europe, with Brunello Cucinelli being the exception, at +0,6%. following the reassurances given yesterday by the founder, who reiterated his forecast of 10-11% growth in 2026. Furthermore, today Equita analysts reiterated their 'Buy' recommendation on the Umbrian company's shares.
