The American economy "is roaring again" and the stock market is doing "extremely well": this is how Donald Trump photographs today's financial climate in a nutshell. European stock markets closed higher, mainly driven by the banks. Milano +2,88% (19.888 points), with Unicredit +5,62%; Frankfurt +2,8%; Paris +2,5%; Madrid +3,73%; London + 1,34%.
The opening bell of Wall Street is extremely toned even though, at the moment, the New York Stock Exchange is slowing down. Tomorrow, the eve of July 4th, there is a party in the States, but today the exchanges are lively and the Dow Jones it moves close to the 26 thousand points, after having exceeded them in momentum. Tesla still dominates from above thanks to above-expected data on production and trading up 7,3%. In short, a global climate favorable to risk, despite the progress of the pandemic, despite the new daily record of infections in the USA (50 thousand), despite the risk of sudden closures, despite everything, the American economy is there and reverberates its strength on the globe . Employment data arrived in the early afternoon to prove it. In the United States, 4,8 million jobs were created in June, thanks to the reopening of many activities after the emergency coronavirus, while analysts expected an increase of 2,9 million. Unemployment fell from 13,3% to 11,1%, against expectations for a drop to 12,4%. Markets won't be too narrow-minded if the gap between black and white unemployment has widened to a 5-year high. What matters is that you just need to get back on track to grow.
Timid positive signals also came from the new applications for unemployment benefits: the number of workers who applied for it for the first time, last week, decreased by 55.000 to 1,427 million units, according to reports from the Department of Labor; expectations were for a figure at 1,380 million. The news unleashed a rally that has infected Europe, already well tuned and Milan has come to gain more than 3% and then downsize slightly as the hours go by.
Appreciate the Petroleum, which rises, with Brent by 1,4% to 42,61 dollars a barrel. Gold also recovers, after the inevitable profit-taking once it reaches $1800. The bar currently trades around $1790 an ounce.
On the currency market theeuro dollar is stable in the 1,124 area. Meanwhile, the EU is working on the Recovery Plan and the President of the Commission Ursula von der Leyen at the virtual press conference with the German Chancellor Angela Merkel after the meeting between the executive and the new EU presidency , calls on governments to act quickly, to find an agreement by July: “Every day that passes causes problems for people, time is pressing. It is time for states to go beyond the national interest and focus on the benefits for the whole EU”.
In Piazza Affari, no blue chip is in the red, but it is mainly the banks that are driving the price list, in line with a tonic financial sector throughout Europe, also thanks to the new guidelines on aggregation dictated by the ECB. It also closes the Italian secondary in green: lo spread with the ten-year German benchmark it falls to 168 points (-1,05%) and the BTP rate falls to 1,21%.
Queen of the session is Unibelievet, +5,62%, close to selling another 1,5 billion npl to Italian buyers. Bloomberg reports it, citing Illimity, Guber Banca and Banca Ifis among the possible buyers. The institute led by CEO Jean Pierre Mustier does not comment on the rumors. This morning Unicredit has instead announced the sale of 335 million euro of non-performing loans to Banca Ifis. Well Bpm bank +5,01%; Banca Mediolanum +4,69%; Mediobanca +4,33%; Finecobank +4,08%; Understanding +3,68%; Ubi + 3,59%.
Highlights too Atlantia + 4,84% Pirelli +3,97%. Among the insurance stocks it is up sharply Unipol, +4,09%. The number one in via Stalingrado, Carlo Cimbri, intervenes on the Leonardo Del Vecchio-Mediobanca match, with the owner of Luxottica intending to increase Piazzetta Cuccia to 20%. “I wonder what the industrial sense of this operation is,” says Cimbri.
