GALLOPING BANKS BEHIND MPS AT PIAZZA AFFARI. LUXURY SHINES AGAIN, STM RECOVERS
European stock markets show strong recovery, in a climate that is nonetheless conditioned by the high volatility of the markets. In Milan, the Ftse Mib index, the best in the Old Continent, is galloping: +2,45% to 18.994, just a whisker from 19. Paris rose +1.8%, after overcoming the initial shock of the sudden death of Christophe de Margerie, CEO of Total, in a plane crash over Moscow. The stock, after losing more than 2%, gains around 1%. London is up 0,82%, Frankfurt 1,41%, Madrid 1,83%.
The euro trades at 1,281 against the dollar from 1,280 at the close. Brent-type oil is trading at $86 a barrel, up 0,7%. The BTP yields 2,55% (-4 basis points), the spread narrows to 168 basis points (-6 basis points). Modest changes, after the very strong volatility of recent days, for the Greek bond: the ten-year yields 7,90%. The expected slowdown in Chinese GDP (+7,3% in the third quarter) was compensated for by data on industrial production from Beijing (+8%) which is showing a strong recovery.
The excellent quarterly performance of Apple contributes to push the increase: revenues over 42,1 billion dollars in the third quarter against a forecast of 40 billion. The accounts of Texas Instruments are also good, with an immediate benefit for Stm +1,9%: the next quarterly of the semiconductor group (29 October the announcement of the accounts) should record the benefits of the rise in the dollar.
The news from Reuter that the ECB is said to be in the process of buying corporate bonds from the beginning of 2015, in addition to covered bonds, helped stimulate the markets. But a sharp denial came from Frankfurt. The reaction of MontePaschi +7,1% stands out on the Piazza Affari price list. In a statement yesterday evening, the company said that the capital deficit of between 500 and 1.700 million euros assumed by the press is not reflected in the preliminary documents received so far.
The performance of Unicredit +4% and Intesa +3,7% was brilliant. Ubi Banca goes up +4,7%. Banco Popolare +4,4%. The Popular Bpm +4,5% and Bper +4,4% complete the march. Banca Carige is up by 1,2% pending the board of directors who could make a final decision on the sale of the insurance assets to Apollo Management Holdings. Generali rose by 1,6% and UnipolSai by 2,5%. The luxury sector stands out: Yoox is in the lead +5% trailed by the British Asos released the data for the fourth quarter and for the full year this morning. Both better than expected.
Moncler +1,9%, Ferragamo +1%. The announcement of the name of the next CEO of Luxottica seems imminent + 1,5%. The number one suspect could be Marco Bizzarri, until yesterday at the helm of Bottega Veneta, one of Kering's brands. Safilo advances by 6,9%. The rises of the industrialists were more contained: Finmeccanica +0,4%, Fiat Chrysler +0,5%.
Still worthy of mention is the comeback of Mediaset +3%, which recovered after the crash on the eve. Sky has denied plans for a new package of free-to-air channels in Italy. Telecom Italia is up by 0,9%. According to Equita, the accounts for the third quarter (BoD set for 6 November) will show a slowdown in the decline in domestic turnover and debt (-0,7 billion to 26,6 billion according to estimates).
Sales continue on World Duty Free -0,5%. The management company of the Spanish airports has rejected the company's request to renegotiate the terms of the commercial space lease contracts. Autogrill +0,2%. Atlantic +1%.
