The European Stock Exchanges are recovering, as has already happened with the Asian lists. The markets are trying to react to the difficulties accused by Wall Street after the halt to the healthcare reform by Donald Trump. In Milan, the Ftse Mib index recovers around 0,4% around 20.200. Similar increase in Madrid, Frankfurt does better + 0,55%. Down London, little move Paris.
The slowdown of the dollar continues, at 1,0861 against the euro, the lowest since the election of Trump. Flat gold at $1.253/ounce.
Oil in timid recovery: Brent is traded at 50,9 dollars/barrel (+0,5%). Eni is unchanged, Saipem +0,5%. Sudden surge in Tenaris up 6,7%. Now trades at +4%.
Rates slightly up on the government bond market: the yield on the 10-year BTP is indicated at 2,19% from 2,18% yesterday evening, the Bund at 0,41% from 0,39%, Spreads down to 178 basis points. The Treasury placed 2,5 billion euros in two-year zero coupon CTZ bonds (zero coupon certificates) at auction this morning, offering a negative rate of -0,085%, a sharp decrease compared to the previous issue in February (+0,29%). .
The board of directors meets today Bank Intesa +0,6% which will have NPL disposal on the table. According to the latest rumors, the institute has foreseen a reduction of 2019 billion gross Npl by 15 to bring them to 10,5% of loans compared to the current 14,7%. At the end of 2016, the bank had 37,8 billion gross bad loans in its portfolio. Assuming that all Intesa's NPLs are non-performing loans and are considered at the same level as the Unicredit transaction (14%), Berenberg analysts have estimated additional provisions of 3,8 billion euros.
Recommended Bpm bank +1,1%. The institute has started the operational phase of the reorganization of Aletti Gestielle. At the end of the operations, the subsidiary active in private banking will have assets for a value of 35 billion euro, with a market share of 10%. The group is also about to proceed with the reform of the bancassurance activities: the alliance with Unipol +0,4% may not hold up.
Industrial stocks are recovering after yesterday's declines. StM + 0,8% fca + 0,6% Leonardo + 0,3%. Brembo increases by 0,6%: Equita raised the target price to 73 euro (from 72) in a buy opinion. Still up Ferrari +0,95% to 68,65 euros.
They also advance Sogefi + 3,6% Piaggio + 2%.
Bucking Recordati +2,2% after Goldman Sachs downgrade to sell. The broker underlines the excessive premium at which the stock is trading, which has a growth profile comparable to others in the sector (cagr eps 2016-20 of 10% against approximately 9% in the sector). “Our 12-month target price of €28 implies a downside of 12%: we are therefore downgrading our rating to 'sell' as we see better opportunities elsewhere in the sector,” Goldman said in a note.
The temperature rises around Telecom Italy +0,6% awaiting the composition of the new board of directors: Luca di Montezemolo has denied his candidacy for the presidency. Enel + 0,3%.
