Happy Easter. The Asian markets, the only ones in activity, also adjust: Tokyo holds +0,2%, thanks to the decline in the yen. The Chinese renmimbi also came under pressure, -0,9% in the week. Currency tensions fuel the worries of the financial markets which are starting to say goodbye to the first quarter of 2016: the recovery of the dollar, fueled by the most recent statements by the Fed on the possible increase in interest rates, is a heavy mortgage on Europe, in the throes of terrorism . The decline in trust partly explains the bad reception to the merger between BPM and Banco Popolare.
Wall Street closed its doors yesterday after a slow session: S&P 500 -0,04%, Dow Jones +0,1%, Nasdaq +0,1%. The European stock exchanges fared much worse: minerals, consumer goods, cars and banks, all the stock exchanges recorded losses of more than 1%.
Piazza Affari (-1,6%) is once again approaching 18 thousand points. The black jersey goes to Paris (-2,2%). Frankfurt (-1,7%) and London (-1,5%) are also bad. The travel sector also fell during the week (-1,8%), in line with the trend of the entire market despite the attacks. The Italian stock market will resume trading on Tuesday 29 March.
MILAN -1,6%. NEGATIVE RETURN FOR THE CTZ
Yesterday the three-day auction of Italian government bonds got underway; in the morning the Treasury placed a Ctz and two BTPs indexed to inflation: the yield on the two-year bond remained negative.
The Ctz, the new security in March 2018, was assigned for 3 billion at a yield of -0,063%. On Tuesday 29, 6 billion of the six-monthly BOTs will be offered, while on the 30th between 6,5 and 8 billion in total of the new five-year BTP in June 2021, the ten-year BTP in June 2026 and the CCTEU in December 2022. The Treasury has announced that a new 3 years (April 2019) and a new CCTEU (July 2023).
BANKS A SHOW OF SELLS, BLACKROCK MORE THAN 5% IN UNICREDIT
The bankers were the negative protagonists of the day. The market reacted with sharp declines to the announcement of the merger between Banco Popolare (-5,35% after violent swings, from 7,85 at the start to 6,80, with a hike of 14%) and Banca Popolare di Milano (-4,81%, to 0,6750 euros). But the decline did not spare the rest of the sector: the sector index dropped 2,49%.
Fitch's report cards contributed to making the situation worse: the agency reduced the rating on Unicredit (-2,74%) to "negative" from "stable" confirming the issuer rating "BBB+". On March 16, BlackRock became a major shareholder of Unicredit with a 5,036% stake.
UBI was also down (-4,87%) after Fitch reduced the outlook on the bank's rating, bringing them from "stable" to "negative", following the weakness in the quality of the group's assets. The institution's capital strength rating was confirmed at “BBB”.
Bper also falls (-2%) resetting the initial gains. Yesterday morning Goldman Sachs updated its considerations on the Italian banking sector in light of the recent news on the rules for the sale of NPL (non-performing loans) portfolios. Monte Paschi also fell sharply (-5,2%). Understanding limits damage (-1,7%). Asset management in the red: Banca Mediolanum -2,06%, Azimut -1,78%, Anima -2,34%. Poste Italiane defends itself (-0,44%).
The trickle of sales on Generali continues (-2,19%). Francesco Gaetano Caltagirone has purchased another 3 million Generali shares, equal to 0,2% of the share capital, for a value of 40 million euro.
MEDIOBANCA SIZE CNH. BAD FCA
Difficult day also for the Agnelli team. Fiat Chrysler Automobiles lost 4,12% to 6,75 euros. Yesterday the company led by Sergio Marchionne issued a bond maturing in March 2024 for an amount of 1,25 billion euros. The issue price was set at 100% of the nominal value, while the coupon is equal to 3,75%.
CNH Industrial lost 1,78% to 6,07 euros. Mediobanca analysts cut the company's target price from 8,2 euros to 8 euros, following the reduction in estimates on earnings per share.
SAIPEM UNDER RISE PRICE
The fall in oil prices has left its mark. Eni lost 2,38% to 13,15 euros. The S&P agency cut the Six-legged Dog's long-term debt rating by one notch, from “A-” to “BBB+”, following the decline suffered by the price of crude oil in recent months.
Worst performance for Saipem. The engineering company lost 5,53% at 0,3498 euros, lower than the issue price of the new shares of the capital increase which had been set at 0,3620 euros.
SNAM AND TERNA RECORD. RCS MEDIAGROUP SMILES
The most positive note comes from Enel (+0,57%). Kepler Cheuvreux analysts raised the target price on the electric giant from 4,2 euros to 4,4 euros. The utilities, the defensive sector par excellence, did even better.
Snam Rete Gas ends up 1%, during the session it set a new all-time high at 5,3950 euros. The gain since the beginning of the year expands to +11%, one of the best performances of the FtseMib (-15%), surpassed only by that of Moncler (+15%).
Terna (+1,3%) updates its historical highs for the third consecutive day, reaching 5,05 euros for the first time since it was quoted. The performance since the beginning of the year expands to +6% and is one of the best among the Milanese blue chips.
RCS was today's best stock with a gain of 4% to €0,5095. Wednesday evening the Antitrust has given the go-ahead to Rcs for the sale of the Books division to Mondadori, conditioning the operation to a series of corrective measures.
