The run by Pirelli (+5,32%) and Ferrari (+4%) is not enough to push up the Milan Stock Exchange which closes with a timid rise, +0,29%, after yesterday's bad slide. The spread drops by 1,64%, falling to 230 basis points and the yield on the 10-year BTP also drops to 1,82%, but the general climate remains uncertain and the WHO warns: Europe is in the eye of the cyclone of the pandemic, it is not yet the time to let our guard down.
Little moves Frankfurt +0,16%, Paris -0,06%%, weak Madrid -1,1%. Better London +0,55% and Zurich +1,18%. After a recovery in the first half of the session, the stock markets of the Old Continent weakened in the afternoon following the mixed opening of Wall Street and the new US data on jobs. An additional 5,2 million Americans filed for unemployment benefits in the past week, bringing the total applications for a month to more than 20 million, reflecting the growing economic crisis caused by the coronavirus outbreak. Although all nations feel the need to restart the economic engine and many are establishing the timetable for reopening, the health picture remains alarming and deaths are increasing. A few hours ago the news of the death of the Chilean writer Luis Sepluveda due to Covid 19 broke.
Meanwhile, downward estimates on global growth continue. Today is the turn of the rating agency S&P Global, which due to the lockdowns forecasts a contraction of 2020% worldwide in 2,4 and a collapse of the United States and the eurozone by 5,2% and 7,3 respectively %.
A little better than estimated by the International Monetary Fund, but in any case worrying, also because the move by S&P will fuel fears of further downgrades of sovereign and corporate ratings. A prospect that scares Italy, already burdened by a negative outlook and a BBB rating. However, the divisions in Europe over the response to be given to the crisis and the internal quarrels over the use of the Mes weighed heavily on the tricolor paper in recent days, with the split government and the premier poised between two stools. In today's session the tension eased, perhaps also thanks to the position of the European Central Bank.
"The Governing Council of the ECB is committed to doing everything necessary, within its mandate, to help the Eurozone emerge from this crisis," said President Christine Lagarde in her speech at the 'virtual' spring meeting of the IMF. Frankfurt – she added – is ready to increase the size of its securities purchase programs and adjust their composition, to the extent necessary and for all the necessary time ”and“ evaluate every action and every contingency ”.
On the foreign exchange market, the euro falls against the dollar, despite the disappointing US macroeconomic data. The exchange rate moves around 1,084. Among raw materials, gold is slightly up, trading at 1743,70 dollars an ounce. On the other hand, the performance of oil is mixed, with the June 2020 Brent future down by 1,1% to 27,38 dollars a barrel and that of US crude up by 1% to 20,06 dollars a barrel.
In the meantime, OPEC also cuts its oil demand forecasts for 2020, describing the shock suffered by the crude market as "historic, brutal, extreme and global in scope". The cut is 6,85 million barrels per day compared to 2019, -2,5 billion barrels over the course of the year. Better in any case than the forecasts by the international energy agency yesterday.
In Piazza Affari it is the day of the prancing horse, with the shareholders' meeting approving the 2019 financial statements and the distribution of a dividend of 1,13 euros per share, equal to a total amount of 210 million euros. For the CEO Louis Camilleri, the 2020 order book remains stronger than ever and the 5 new reds presented in 2019 "have had an exciting response from the market". In addition, special valves are also being produced in Maranello to convert diving masks into respirators used for the treatment of coronavirus patients.
Among the best blue chips today there are also Prysmian +3,76% and Nexi +2,69%. Banks in no particular order: Ubi rises +2,99%, while Bper falls -4,32%, weighed on by the risk that the announced capital increase to be completed as part of the public offer launched by Intesa Sanpaolo (+0,88, 1,84%) on Ubi Banca arrive on the market in a still difficult context. Oil stocks are also on opposite sides: Tenaris rises, +1,49, Eni falls -XNUMX%.
Sales still hit Atlantia -3,04%. Evil Buzzi -2,76% and Cnh -2,09%. Among the minors, Guala Closures leapt by 21,46% to 5,83 euros, close to the 6 euros offered by Investindustrial in the takeover bid for 20% of the voting rights.
