Il Tesoro has placed 2,5 billion euro of 10-year BTPs, on top of the expected target. The yield fell to 4,01%: it was since April that the Treasury was unable to place the 235-year bond at such a low yield. Slight drop in October of government bonds held in the portfolios of Italian banks, the Spanish ones more active. The Btp/Bund spread remains at XNUMX basis points.
Meanwhile, there has been a slight decline in government bonds held in the portfolios of Italian banks in October. According to data released today by the ECB, the value of government bonds held by Italian banks has dropped by 840 million to 425,5 billion euros. A similar decrease had already occurred in September. In any case, the Italian data remains the most consistent among all the 17 countries of the monetary union.
The drop in government securities held in the portfolios of Spanish banks was more marked: -8,9 billion in October after -3,4 billion in September. On the other hand, the French banks went against the trend, seeing an increase in their government bond portfolios of over 20 billion euros in the last month to 280,6 billion.
The wind of bullishness is blowing on all markets. After the records of Wall Street and Tokyo, at its highest level since 2007, the recovery continues in Europe, with Piazza Affari leading the way.
The index FtseMib rises by 0,95% to 19.105 thanks to the propellant of banking sector, galvanized by the revaluation of the capital of the Bank of Italy which involves an increase in the capital ratios of the shareholders, which are the banks themselves. The government also raised the income tax of finance companies to fund the housing tax waiver.
The other price lists were positive but less euphoric: London +0,41%, Paris +0,35%, Frankfurt +0,39%. Madrid +0,42%. The index elaborated by the European Commission rose in November to 98,5 from 97,7 in October, economists were expecting a more modest increase to 98 points. The index benefited from improvements in the industry and services sector.
The day is conditioned by closure of US stock exchanges, shut down for Thanksgiving Day. Euro on new highs for four and a half years against the yen. The euro/dollar is trading in the 1,36 area, close to the intraday high of 1,3617, while the euro/yen reached a daily high of 139,13, very close to the peak of 139,26 in June 2009 .
Effervescent Understanding (+ 2,22%) and Unicredit (+1,5%), the two banks which, according to analysts, will obtain the greatest benefits from the revaluation of Bankitalia's share decided yesterday by the Italian government. Based on Goldman Sachs estimates, the impact at the Tier 1 ratio level will be around 40-70 basis points and between 4% -7% at the market capitalization level, reducing the risks deriving from the deterioration of loans.
Unicredit, in particular, is considered by Goldman Sachs to be the best Italian banking stock with a buy recommendation and a target of 6,40 euros. According to Kepler Chevreux “the impact is positive above all for Intesa which holds a 42,4% stake with a book value of 624 million euro, implying a value of over 1,5 billion for 100%, and for Unicredit which holds a 22,1% stake, with a book value of 284 million euros, implying over 1,3 billion for 100%”.
Where's Banca +2,5%, Banco Popolare +1,52%, Mediobanca+ 1,9%. Mount Paschi rises by 0,92%% after the EU's approval of the restructuring and recovery plan. Insurance goes up: Generali + 0,77% Fondiaria-Sai +0,21%. On the positive side, luxury after the green light for Moncler. Ferragamo + 1,32% Tod’s + 0,96% cucinelli + 1,7%.
Enel + 0,77% Eni + 0,73% Telecom Italy -0,07%. Among the leading industrial stocks, Fiat + 0,43% Finmeccanica + 0,56% StM +0,17%. Lively editorials: Rcs Media Group + 4% Mondadori + 4%. Indesit +4%. Fly Astaldi +4%, on the heels of the 500 million euro senior unsecured bond maturing in 2020 successfully placed yesterday with an annual coupon of 7,125%. Kepler Cheuvreux which raised the target price to 10 euros.
