THE BEAR DOMINATES EUROPE. MILAN -2,61%. THE 40 BLUE CHIPS OF THE FTSE/MIB BELOW.
Tokyo syndrome affects Europe. After the collapse of the Nikkei (-7,3%) the bear took possession of the stock exchanges of the Old Continent. In Europe, all sectors are down this morning. The greatest losses concern the stocks of the auto industry (Stoxx of the sector -2,8%) and the banks.
In Milan, the FtseMib index drops by 2,61% to 17086, Paris loses 2,31%, Frankfurt -2,55%, London -1,94%. All the 40 Milanese blue chips are down with losses evenly distributed across the different sectors.
The euro/dollar exchange rate is at 1,288, from 1,285 at yesterday's close. Oil fell, with Brent trading at 101,5 dollars a barrel (-1%) and Wti at 93,3 dollars (-1%). On the government bond market, the 10-year BTP shows a yield of 3,96% with a spread of 254, widening by 6 basis points. The fall of the markets had begun last night on Wall Street after the hearing of the chairman of the Fed, Ben Bernanke, in the economic committee of Congress.
Tokyo plunged lower this morning after data on the slowdown in China's industry. The PMI (purchasing managers) index of the Chinese manufacturing sector, calculated by HSBC, fell to 49,6 in May from 50,4 in the previous month. Below 50, the index indicates a contraction in activity over the next three to six months. Since the beginning of the year, the Tokyo Stock Exchange is up 40% in yen and 18% in dollars.
In Milan among the banks Unicredit drops by 3,19%, Understanding -3,26% MontePaschi -3,74%. Ubi drops by 3,75% e Banco Popular falls by 3,84%. In asset management Azimuth -3,36% Mediolanum -3,65%. Among the insurance Generali falls by 3,14%, Fondiaria-Leaves -3,04%. Fiat is down 3,6%, StM loses 3,7%, Finmeccanica -2,78%. Enel limits the fall to -1,78%; Eni -2,16%. Telecom Italy drops by 1,89% simultaneously with the board of directors on the network.
