The shadow of the US budget bear hangs over the markets. All European stock markets are down pending developments in the US Congress. The Frankfurt stock exchange, the most exposed to the problems of the revaluation of the euro, fell by 1,02%, Paris -0,87%, London -0,62%, and Madrid -0,59%. In Milan, the FtseMib index lost 0,26%, to 18.255.
The euro strengthened against the dollar to 1,358, from 1,355 at Friday's close. The 10-year BTP is little moved. With a yield of 4,29%, the gap with the Spanish Bono, which yields 10%, remains unchanged at 4,19 basis points. The Bund strengthens and consequently the spread rises by 3 basis points.
In Milan, the rise of Finmeccanica stands out (+2,77%), following the sale of the subsidiary Ansaldo Energia. Kepler Chevreux raised the target price from 4,7 to 6,5 euros, Buy opinion. Ansaldo Sts loses 0,42%. Another headline in evidence MontePaschi (+4,88%): this afternoon the board of directors will approve the restructuring plan agreed with Brussels.
The tug of war with the Veba fund on Chrysler shares continues to cause damage to Fiat -0,64%, included in Bank of America Merill Lynch's list of European automotive companies to avoid. CNH Industrial loses 1,45%.
Pirelli rises by 2,12%. Mediobanca raised its judgment and target price. StM -0,45%. Telecom Italia is the worst blue chip, losing 2,74%.
The banks are saved: Unicredit +0,67%, Intesa -0,06%, Banca Popolare dell'Emilia Romagna +0,33%, Banco Popolare +1,1%. At the end of September, Italian banks had loans outstanding with the European Central Bank for 235,395 billion, down from 241,513 billion at the end of August.
Without insurance, Generali -0,32%. Fondiaria-Sai -0,34%. Campari loses 1,52%: the Italian government plans to raise taxes on alcohol. World Duty Free runs, up 4,9%. Autogrill +0,33. Weak luxury stocks. Tod's -1,44%, Salvatore Ferragamo -1,1%, Luxottica -1,35%.
