After three days of decline, the European stock exchanges raise their heads. In Piazza Affari, which dropped yesterday to its lowest since the beginning of July, the Ftse Mib index rose by 1% to around 16,200 points. Similar recoveries for Paris and Frankfurt. London and Madrid +0,6%.
This morning the Treasury placed Bot at 6 monthsi for 6 billion at a negative yield of 0,257% (-0,236% in August), approaching the negative record of -0,262% recorded last May. Tomorrow in the primary it will be the turn of medium-long term government bond placements. The yields of 5- and 10-year BTPs are expected to rise slightly; on the gray market, the 5-year Btp stands at 0,32%, compared to the historic low of 0,19% recorded in the auction at the end of August. The increase in the yield on ten-year maturities should be less significant, assigned at auction at 1,14% last month and now expected in the 1,20% area.
The Stoxx index of European banks gains 1,1%.
Deutsche Bank climbs 2,5% at 10,81 euros. The company announced it had divested its UK insurance business for £935 million, or $1,2 billion. Die Zeit reports that the German government is developing a contingency plan to be triggered in case the bank goes into non-performance due to the maxi 14 billion dollar compensation request from the US Department of Justice. Yesterday the bank's CEO, John Cyran reiterated to Bild that there is no need for public intervention.
In the late morning, the German government denied any hypothesis of intervention.
Angela Merkel must save Deutsche Bank and Germany must stop setting limits to Italy because the banks must be saved immediately. Otherwise Europe will fall and drag the world along with it. Marketwatch, the Wall Street Journal group's portal, wrote it this morning in a long editorial signed by columnist Matthew Lynn.
At Piazza Affari, leap of Unicredit +3%. The bank communicated to the market, with a terse note, that "the outcome of the strategic review, announced on 11 July, will be presented in London on 13 December during the Capital Market Day".
Up too Entente +1,6% and Monte Paschi +0,4%.
Strongly growing Banco Popolare +4% and B. Pop. Emilia-Romagna +2,7%.
Rises also among the insurance companies. Generali +1,6%, Unipol Sai +2,5%. Azimuth +2,3%. Banca Mediolanum +1,6%.
In the industrial sector: StM + 1% Exor + 2% Fiat Chrysler + 2% Leonardo +1,9% . Positive oil prices awaiting news from the OPEC summit in Algiers: Eni +1,1%, Saipem +1%, Tenaris +0,9%.
Spotlight on the media sector in Europe (Eurostoxx index +1,9%). In Milan Mediaset it is up 2,2% in the aftermath of the board meeting which decided to wait before launching a new legal offensive against Vivendi. According to rumors, the new contract proposal on Mediaset Premium should arrive within a few days.
Telecom Italia +1,5% seems to be out of the game judging by the statements to that effect received yesterday by the president Giuseppe Recchi.
In rallies Trevi +5%, Sabaf +3% and Tecnoinvestimenti +2,7%.
Fly Salini +4%. Yesterday Matteo Renzi spoke of the possibility of reopening the dossier on the bridge project over the Strait of Messina.
Danieli loses 4% at 16,79 euros, yesterday it had closed down by 3,9%. This morning Kepler Cheuvreux decided to cut the recommendation to Reduce da Buy, with a consequent reduction of the target price from 20,50 euros to 16,50 euros.
