The push to lower rates in the wake of the Federal Reserve's bull turn continues even if European central bankers have not shared the US central bank's enthusiasm. We will know more today, the day on which members of the association will speak ECB and the Bank of England. For now, it should be noted that no one has gone so far as to anticipate the barrage of decline in rates announced by the US banker. However, an expansive signal comes from China, confirming an axis between the superpowers to avoid. the recession. The eight hundred billion yuan (113 billion dollars) injected into the financial market tonight by the central bank of China go in this direction, pushing up the Hong Kong Stock Exchange: the Hang Seng index gains 2,3%, the week is about to close with a rise of +3%. CSI 300 of the Shanghai and Shenzhen stock exchanges -0,3%. The housing sector will improve thanks to government policies, National Bureau of Statistics spokesperson Liu Aihua said during a press briefing tonight. The statement comes after the easing of home buying rules introduced in Beijing and Shanghai.
China lends a hand to Taurus. Euro rising
The Japanese stock market is set to close up by 0,8%, +2,30% for the week. Kospi of Seoul +0,7%, +1,70% on the week. Sydney's S&P ASX200 +0,9%, +3,70% for the week.
In the aftermath of the ECB's communications, European stock markets opened higher, confirming the trend of the EuroStoxx50 Future +0,2%. In Milan the Ftse Mib rises by 0,68%.
Chistine Lagarde stressed that the idea of a rate drop was not even considered. Milan's FtseMib index closed yesterday's session with an increase of 0,2%.
Failure to cut rates weighs on banks
Piazza Affari's reactions to the ECB's moves are different. With interest rates remaining the dominant theme of the day, there was strong profit taking by banks, whose balance sheets have benefited greatly from the high rates.
Therefore, stocks such as Bper, Mps, Banco Bpm and Unicredit recorded declines between 4,5% and 6,2%.
On the contrary, expectations of a decrease in debt costs supported industrial and telecommunications stocks. Among these, Cnh recorded an increase of 6,5%, Interpump of 4%, while Telecom Italia rebounded by 5,5% after losses due to expectations of an appeal by Vivendi on the sale of the network. Outside the main stock market index, cucinelli shines with an increase of 6,3% following the increase in turnover estimates for 2023. Furthermore, OVS records an increase of 6,5%, benefiting from signs of recovery in sales in the fourth quarter
A Wall Street The sixth consecutive session of growth has arrived. New record for the Dow Jones +0,4%. Nasdaq +0,2%. New high since the beginning of 2022 for the S&P500 +0,3%. Approximately two percentage points from its historical record of January 2022 at 4.818 points.
The oil landslide stops
Recover the oil. Brent ($76,8, ), WTI at 69,70. At these levels it would close the first positive week of the last eight. Most of all, the fall of the dollar contributed. In the meantime, however, according to the EIA, global consumption will increase by 1,1 million barrels per day (bpd) in 2024, +130.000 bpd compared to the previous forecast.
Gold recovering at $2.035). The decisions of the ECB and the Fed have once again reinvigorated the precious metal, also favored by the fall of the dollar. The week presents a provisional balance of around +1,5%.
Marina Natale in Bper. Jefferies cuts Banco Bpm
- Campari has expressed its commitment to acquire the Courvoisier brand from Beam Suntory, in a transaction with an enterprise value of 1,32 billion dollars. The company itself said this in a note in which it adds that the fixed purchase price is 1,20 billion dollars. Courvoisier is among the top four historic houses of premium cognac, with a strong exposure to the USA and a growing presence in the Asia Pacific region. The company believes that the immediate impact of the acquisition is worth approximately 2% more in terms of earnings per share, tending, within three years, the positive effect should be more relevant. Cognac will become the fourth pillar of Campari, after aperitifs, bourbon and tequila.
- stellantis is reviewing the timing and structure of a planned reorganization of its European dealer network after a pilot program in four markets revealed issues with IT systems
- Tim. Has been the deadline was extended for the submission of the binding offer on Sparkle.
- Banco BPM. Jefferies cuts its recommendation from Buy to Hold, target price 5,50 euros.
- B for Bank. Marina Natale could take the place of the current CEO Piero Luigi Montani, Corriere della Sera wrote this morning in an article which also mentions the possibility of a combination with Monte dei Paschi. Natale was recently the CEO of Amco, the Treasury's joint-stock company for NPLs. You had previously been at Unicredit.
