The Btp-Bund spread drops to 463 points while the euro rises above 1,28 against the dollar. Merit of the IMF which aims to raise 500 billion dollars and more of additional resources to lend, starting from estimates of 1.000 billion dollars of potential global financing needed in the coming years. Positive stock exchanges in the morning in the wake of the rumors about the IMF, then leave room for profit taking while waiting for greater clarity on the evolution of the European debt crisis and close in contrast: the Ftse Mib files a drop of 0,31% and the Cac by 0,15%, the Dax rose by 0,34%, the Ftse 100 by 0,15%. The Dow Jones recorded a rise of 0,34% after the closure of the European markets and the Nasdaq of 0,70%. Today on Wall Street Goldman Sachs released results with fourth quarter profits down sharply but better than analysts' expectations.
Support also comes from the successful outcome of the Portuguese auction, where the government today also launched a harsh reform of the labor market. Lisbon placed government bonds at 3 and 6 months and at 11 months for the maximum pre-established amount of 2,5 billion, with falling rates and good stability in demand. The bond maturing December 2012 recorded an average yield of 4,986% from 5,902%
From London, Prime Minister Cameron, who met Mario Monti today, spoke in favor of an increase in the resources of the Monetary Fund but, he specified, it is "the Eurozone that must support the Euro". In the conversation with the Italian premier, the theme on the table would have been the will to work for a single European market. No "fiscal compact", no Tobin tax, no Eurobonds. And Monti also wanted to clarify his own position towards Germany: “Italy doesn't ask anyone for anything. We are not asking Germany for anything but the governance of the Eurozone which is not adequate to the challenge, the rules and discipline needs to be improved”.
But in the meantime the rating agencies are not leaving Italy alone. After the downgrade of S&P and the warning from Fitch, today the latter has returned to talk about the possible rating cut:
Cutting by two levels is one of the possible options – said Alessandro Settepani, senior director of the rating agency: the possible agreement on the fiscal compact“ is one of the factors that are taken into consideration by the evaluation committee”. Much will depend on how soon the solution will be found. Then there is approval for the Monti government: "So far, Monti's new government has helped to rebuild confidence in Italy." If for Italy not even the rating agencies obviously speak of default risk, a new recession alarm comes from Moody's: Italy should be in recession in 2012, with an increase in company bankruptcies and a drop in real estate prices. The same fate for Spain, Greece and Portugal while Germany, albeit in sharp slowdown, should avoid recession.
CONSOB TAKES THE FIELD AFTER S&P
LAST DAYS FOR UNICREDIT RIGHTS
While Consob is verifying the performance of the markets on Friday, after the rumors about the downgrading of Italy by S&P, the market is preparing for a new Friday of important appointments: the 20th in Athens, on which the sword of Damocles weighs of a default as early as March, discussions with private creditors on debt restructuring will resume after the interruption of negotiations. Then there is the deadline for presenting the plans for recapitalization by the major European banks to the EBA. And finally, the deadline for the negotiation of Unicredit rights, down by 0,36%, to 1,925 euros.
BPM RISES AFTER THE ASSAY OF MONTANI
UNIPOL FALLS, FONSAI CLOSES AT + XXX
Subscription to the increase in Piazza Cordusio will end on 27 January. Yesterday, the sovereign wealth fund Aabar declared its intention to go up to 6,5% on the occasion of the recapitalisation. The stock closed down by 1,20%. Also in the red were Bpms (-2,79%), Ubi Banca (-1,32%), Banco Popolare (-0,88%). On the other hand, BPM increased (+4,08%), where the new managing director Piero Monatni took office a few days ago. The bank is working on solving the "convertendo" case. Intesa Sanpaolo rises by 1,26%.
Unipol instead fell by 5,29% after S&P reduced its rating to BBB+ from A-, in line with the decision on Italy. Today Vincenzo Tassinari, chairman of the management board of Coop, an organization in which the large cooperative shareholders of Unipol participate through Finsoe, reported that the Coops have yet to make a decision on the capital increase envisaged in the merger plan between Unipol and Fonsai. Premafin also fell (-1,83%) while Fonsai closed in positive territory (+1,06%).
TM, THE PUSH COMES FROM ASML
FINMECCANICA, RECORD ORDERS FOR ATR
Stm (+5,48%) runs thanks to the results of the Dutch Asml, the European leader in chip making machinery, which could benefit from the recovery of the dollar in the coming months. Diasorin (+2,84%), Lottomatica (+2%), whose subsidiary Gtech eri signed a five-and-a-half-year contract extension in Colombia with Grupo Empresarial en Linea (Gelsa), Finmeccanica (+ 2,53%) which closed a record 2011 for the joint venture ATR with 157 orders for aircraft and options for another 79 from 18 customers worldwide, which represent around 80% of the total orders in the regional aircraft segment.
