The financial week starts on an optimistic note. China once again thought about giving strength to the Bull, already focused on one of the key events of the next few days. On Thursday, at dawn, when it will be 4 in the morning in Italy, the data on the GDP of the second world economy will be released. China, down 6,8% in the first quarter, should be back in positive territory. Even Japan could offer monetary policy innovations, perhaps by accelerating purchases on the market.
NIKKEI FLIES, CHINESE GDP RETURNS POSITIVE
The response of the Stock Exchanges was not long in coming: the Nikkei index rose by 1,9%. Almost all stock exchanges in the Asia Pacific region also rose. The Shanghai Composite is up 1,2%, from -1,9% on Friday. Hong Kong's Hang Seng +0,8% and Seoul's Kospi +1,3%.
TOWARDS THE G20 ON DEBT, MORE OIL PRODUCTION
Ahead of Wednesday's teleconference meeting of OPEC Plus technicians and ministers, Brent oil fell 0,7% to $42,9 a barrel. Economists and analysts are convinced that the meeting is the right opportunity to start easing the squeeze on production.
The scheduled G20 finance ministers meeting in Jeddah, Saudi Arabia will take place online over the weekend. Among the topics at the center of the discussion is also the explosion of the public debts of emerging countries, as well as, of course, the state of the epidemic, which shows no signs of losing intensity.
The World Health Organization reports that on Sunday the increase in infections was 230.000, a new daily record; 56.000 in the United States and, of these, 15.000 in Florida, where the Disney amusement park in Orlando should reopen in days.
TODAY COUNT FROM MERKEL, DUTCH PRESSURE ON LAGARDE
Wall Street and Eurostoxx futures are positive ahead of a crucial week for the Eurozone.
The ECB directorate will be held on Thursday which, apparently, should limit itself to reiterating the indications of the last meeting, in which the bankers agreed to increase the budget available to Christine Lagarde by 600 billion (to a ceiling of 1.350 billion) . But the Dutch banker Klaas Knot could take the opportunity to ask that the figure, approved in the hottest moment of the pandemic, be reduced. It will be a new round of the conflict between frugal and dovish countries.
On Friday, after a week of bilateral meetings, the European premiers will meet with the aim of reaching an agreement on the Recovery Fund, i.e. loans and non-repayable aid to deal with the post-Covid-19 crisis.
Today Giuseppe Conte will meet Chancellor Angela Merkel in Berlin. The message from Palazzo Chigi on the eve of the summit is: give us less money, but we don't accept conditions. The premier could have a face-to-face meeting in Paris with Emmanuel Macron on Thursday.
ATLANTIA, DEADLY DUEL IN THE SHADOW OF THE BRIDGE
Hot climate both in Palazzo Chigi and in Piazza Affari around the Autostrade dossier, which has reached the decisive step. The Prime Minister, backed by the Five Stars, insists that the Benettons, today 88% strong in Aspi through Atlantia, leave the company. It was not deemed sufficient the Aspi weekend offer: compensation for 3,4 billion, investments in the network for 13,2 billion plus 7 billion for maintenance, as well as the cut in tariffs and the reduction of the share below 51%. In an interview in the Fatto Quotidiano, Prime Minister Conte rejects Aspi's proposal as "largely unsatisfactory, not to mention embarrassing". But the Benettons do not intend to go out.
US QUARTERLY REPORTS LAUNCH. IT STARTS WITH CITI AND NETFLIX
The markets are looking forward to the start of the US quarterly reports with confidence, despite the uncertainty regarding recent data. More than 180 companies listed on the Standard & Poor's index have declined to provide guidance on results in the face of the emergency. The forecast is for a 44% drop in profits in the second quarter, followed by a recovery to -25% in the third and -14% in the fourth.
Citigroup, JPMorgan and Wells Fargo will open the accounting season tomorrow. Wednesday is the turn of Goldman Sachs, Thursday is the turn of Morgan Stanley and Bank of America. BlackRock data will arrive on Friday. The results of Netflix and Johnson & Johnson are expected on Wednesday.
The Beige Book, the most complete indicator of the state of health of the US economy, will be released on Wednesday. Tomorrow there will be data on inflation, Thursday it will be consumption.
In Europe, in addition to the comparison on the Recovery Fund, the German Zew index on economic confidence should be followed today.
BORIS JOHNSON'S RED DISC IN HUAWEI
In the UK, Boris Johnson will have to decide whether or not to exclude Huawei from 5G tenders. The National Security Council will meet in Great Britain on Wednesday to evaluate a report on the 5G dossier and the government plan that should oust Huawei from building the infrastructure is expected during the week.
Industrial production data from the Eurozone and the UK are expected tomorrow.
Acea data on car sales in Europe will also be released.
MOODY'S WITHDRAWN SAFILO'S RATING
In Italy, Istat will release data on inflation, orders and industrial turnover during the week.
The medium and long-term Bot auction for 10 billion will be held on Tuesday.
With a note, Safilo informed that, at the company's request, Moody's has decided to withdraw the 'B3' rating on Safilo's long-term debt (Corporate Family Rating) and the negative outlook.
At the beginning of June, Moody's had downgraded its rating to B3 from B2 and its default probability rating from B3-PD to B2-PD.
Gold is up slightly to 1.802 dollars an ounce (+0,2%). Euro-dollar at 1,132 (+0,2%).
