The European Stock Exchanges wear red at the start of the financial week. Business Square it is at the bottom of the ranking under the double pressure of Brussels and the ECB on the NPL front. The Ftse Mib index falls by 0,6% below 22.500 points. The losses also worsen for the other price lists. Paris e Frankfurt I'm half a point down Madrid -0,2%. In positive ground only London (+0,1%), affected by sharp decline in the pound to 0,89 from 0,884 on Friday. Yesterday the Sunday Times wrote that 40 Conservative MPs sent Prime Minister Theresa May a letter of no confidence. The initiative falls on the verge of the presentation of the law on the adoption of Brexit and that on the 2018 Budget.
A technical accident sent the Treasury auction mechanism into a tailspin, on the day in which the appointment for the offer of medium/long-term securities coincides with the start of BTP Italy. The Bank of Italy has communicated that the cut-off for the presentation of requests for the BTP auction scheduled for 11 is postponed to a time to be defined.
At 12 the requests of savers for the BTP Italy amounted to 916 million euros. The ten-year BTP reference yields 1,82%, German Bund 0,40%.
Up the Petroleum. Brent is traded at 63,5 dollars a barrel. It consolidates the +2,3% of last week, the fifth consecutive increase. The Minister of Energy of the United Arab Emirates, Suhail Al-Mazroui, took sides this morning in favor of an extension of the agreements on the containment of OPEC production.
They slow down Eni (-0,5%) And Saipem (-0,3%). Tenaris +0,2%. One more discount for Trevi (-3,5%) on new long-term lows awaiting the quarterly.
The abrupt downsizing of Leonardo today -2,7% (minimum at 10,65 euros) after the drop on Friday -21% following the cleanup operation ordered by CEO Alessandro Profumo. "Another CEO and another restructuring plan" is the title of the comment by SocGen which cut the judgment on the stock to "hold" from "buy" with a target of 14 from 18 euros pending the new business plan. Mediobanca Securities reports rumors of a possible consortium with Thales; in the meantime the broker has suspended the judgment on the stock (“not rated”) due to “the inability to express an opinion on the total return of the stock on a risk-adjusted basis compared to the sector average over the next 6,12 months”.
Telecom Italy loses about 2,5%. The cut of Goldman Sachs' rating to "neutral" weighs heavily. The bank says the need to invest in digitization could negatively affect cost cutting and leave Tim more vulnerable to Iliad entry.
The recent proposals by the ECB to increase provisions for new non-performing loans in banks are viewed positively by the International Monetary Fund.
Still a landslide for Mount Paschi (-4,3%), at the beginning of the week in which the institute will be at the center of the work of the parliamentary commission of inquiry into credit. The stock trades at 3,906 euros, below the 4,28 level with which it returned to the stock market in October. JP Morgan cut the target price to 4,20 euros.
Sales also on the rest of the sector: Bper -2,65% Bpm bank -2%. Where's Banca -1,5% Unicredit -1% Understanding -0,2%. Creval (+4,5%) reacts to the disastrous -45% accumulated last week. In asset management, Anima -4%.
Seated seat for luxury. On the roller coaster Ferragamo (now -0,41%) after a 4,8% jump in start-up. Moncler (+1%) announced that it will close two product lines, the Gamma Rouge and Bleu collections. New discount instead for Ynap (-0,6%) Credit Suisse cut rating to Neutral.
On positive ground Ferrari (+1,12%) after the success at the Brazilian GP. Pirelli +0,6%: JP Morgan starts hedging with an Overweight rating.
In the world of mid/small caps, TV world +3,5% after announcing this morning that it will produce two cartoons for a Chinese media company.
Fiera Milano +3,3%. The International Cycle, Motorcycle and Accessories Exhibition ended over the weekend with a record number of visitors.
IFIS Bank (-1%) announced the purchase of a new package of non-performing loans of 44 million euros gross, mainly personal loans (88%).
