European stock markets are proceeding uncertainly, after yesterday's brilliant start. In Milan the index Ftse Eb travels at the end of the morning down by 1,2% (around 22.700 points), as Madrid. Passive higher than the point also for Frankfurt e Paris. London it is lagging by 0,8%.
To scare the markets are the bonds, on which sales have returned. Today the yield of bund German rises to 0,76%, the highest since 2015. But peripheral securities have reacted. The spread Italy/Germany is down from the highs of 130 basis points. The news of the expected launch of the government bond of the Greece at 7 years old. The first yield indications for the bond maturing February 15, 2025 are in the 3,75% area. Pricing is expected today. With the markets closed, the Treasury will announce the types and quantities of medium-long term securities that will be auctioned on Tuesday 13 February.
The policy of European Central Bank will remain accommodating, confirms the Bulletin of the ECB. “It is necessary – we read – to continue to provide a high degree of monetary accommodation to ensure a lasting return of inflation rates towards levels below but close to 2%”.
The President of the Bundesbank, Jens Weidmann, noted this morning that the appreciation of the euro and the recent correction seen in the equity markets do not justify any significant extension of QE, even if the ECB's monetary policy should remain accommodative beyond the horizon of the purchase programme.
Oil stocks are weak, while Brent fluctuates around 65 dollars. Eni -1,2% Saipem -2% Tenaris -2,3%. Bucking Saras (+2,4%), thanks to the promotion of Mediobanca.
Among the blue chips of Piazza Affari there are widespread sales but the banking sector index rises by one percentage point on the maximum for three years. The 2018 performance (+14%) compares with the +4,7% recorded by the Eurostoxx Banks index and with the -1,3% recorded by the global Eurostoxx index. January was the best start to the year for Italian banks since 2013 when the same month ended with a 20% jump.
Featured this morning Unicredit (+2,5%), which closed the fourth quarter of 2017 with 801 million euros of profit, the adjusted result is 708 million euros. The consensus expected 523 million euros.
It also flies Bpm bank (+1,8%, +4% at the start), which he communicated fourth quarter data. The most relevant issue was that of capital ratios. At the end of December Common Equity Tier 1 was 12,36%. The bank has revised upwards the forecast on the reduction of non-performing loans, in 2020, the non-performing exposure (NPE) is expected to decrease to 11,5%. Cautious guidance for 2018. Operating income for the fourth quarter 2017 rose slightly compared to the third quarter, to 1,12 billion euros. The last three months of the year closed with a loss of 512 million euros.
Benefits taken for Understanding (-1,65%). After JP Morgan, Morgan Stanley, Credit Suisse and Deutsche Bank, Intermonte (target price at 4 euros confirming the outperform opinion) and Mediobanca (Neutral the target price at 3,30 euros from 3,0. XNUMX euros).
The accounts of the major European banks are positive. Société Générale rises by 3% in Paris after closing the fourth quarter of 2017 with a net profit of 69 million euros. Salt too Commerzbank (+ 2%).
After yesterday's leap, they slow down Telecom Italy (-1%) And fca (-2,23%) yesterday both +6%. Exor -1,2%.
In decline Ferragamo (-2,6%). KeplerCheuvreux cut the judgment to Reduce. Recordati -3%. The results (288 million) were roughly in line with the guidance already indicated last year of a bottom line of 290-295 million. In steep descent Technological investments: -5% like Datalogic. Sias -4%.
