Piazza Affari runs, the spread narrows. The rise finds nourishment in various ingredients, internal (Fitch's verdict, the response of the Sardinian polls) and international (the boom of the Chinese Stock Exchange). At the end of the morning, the Milan index rose by around 0,8 to 22.430 points, the highest since mid-October (+11% since January) ahead of other markets of the old continent: Frankfurt and Paris + 0,4%, Madrid not very busy + 0,05%. Outside the eurozone London +0,2%, Zurich +0,1%.
The news on the negotiations between Trump and China are driving the European markets. In particular, the auto sector index accelerated (+1,7%, the highest since the beginning of November). Positive in Milan Fiat Chrysler + 0,8% Cnh Industrial +0,3% and Pirelli + 2,23%.
The tariff effect is also transmitted to the oil market: crude oil prices are on the rise towards the highs of 2019 thanks also to the American sanctions which have reduced the supply of Iran and Venezuela. Brent crude rose by 18 cents to 67,05 dollars a barrel. They advance Eni +0,3% and Tenaris +0,58%. Barclay's lowers the target price.
The recovery of government bonds after Fitch's confirmation of the BBB rating, with a negative outlook, gave the boost to the Italian market. The spread narrowed to 269 basis points. The 2,76-year yield fell to 2,84% from 0,11%. The Bund trades at 2% (-6 points). The 6-month Bot auction (amount of XNUMX billion) will be held tomorrow. The placement of the medium/long-term securities is expected on Wednesday.
The thrust of the bond market is transmitted to the world of credit. Bpm bank it is currently the best blue chip: +3,9%. Among other banks, Unicredit + 2,85%. Where's Banca + 3,14%. Creval + 8,44% runs after the announcement of the replacement at the top wanted by the same bank as a sign of discontinuity: leave CEO Mauro SelvettiLuigi Lovaglio, former CEO of Bank Pekao takes over. According to Banca Akros "given that the share trades about 35% less than the subscription price of the capital increase a year ago, we think that the change at the helm has been sponsored by institutional investors who are not satisfied with the performance of the share". It also takes flight stm + 3,4% together with the rest of the European chips sector. Slows Tim –0,7%. Vivendi is ready to support a merger of the Telecom network with that of Open Fiber as long as the operation is carried out under the "right" conditions and with the supervision of a neutral board composed mostly of independent directors". Bloomberg reports this morning that Vivendi intends to replace five Elliott-appointed directors with five independents.
Out of the main basket:
- sapphire -3%. LVMH said it will open an eyewear factory in Italy, thereby increasing competition from the Italian manufacturer.
- Inwit -2,7%. Barclay's raises the target price.
- Fincantieri +1,59%. We are moving towards a reconfirmation of the current top management, as we read in the newspapers.
