“Occasions like this happen once in a lifetime”. It is the comment of a hedge manager reported by Reuters on the catastrophic choices of the British government, i.e. lowering taxes by focusing on the increase in debt they have triggered sales on sterling and government bonds putting so pensions at risk of British citizens and throwing all the markets into a panic. To calm the spirits, after the alarm of the Monetary Fund and the White House, it was the intervention of the Bank of England, which made £65bn of purchases and promised unlimited new surgeries. The 40-year Gilt yield was down 4,11 basis points from the open, to 5,13%. The rate on 1998-year British government bonds, which had risen to 4,15%, the highest since June XNUMX, returned to XNUMX%. But the damage, assures the manager, is now done.
The financial day revolved around the financial drama of the United Kingdom, still today the sixth largest economy on the planet (but destined to slip to tenth position soon). Equity markets first recorded heavy losses, only to recover following the intervention of the “Grey Lady”, as the BoE calls it. Piazza Affari (-0,52%) also halved its morning losses yesterday.
European stock exchanges opened in red today: Milan -1,3%.
Frankfurt, a 75 billion IPO
Worth noting is the debut on the list of Porsche, the most important IPO in the Old Continent for ten years. Volkswagen priced the stock at 82,5 euros for a capitalization of 75 billion euros.
Btp auction, first test for Meloni
The trend of the auction of medium/long-term bonds should be followed. The Treasury is offering 6,25 billion in a turbulent climate, given the rise in interest rates, international tensions and the prospect of having to issue new bonds for at least 80 billion next year without much assistance from the ECB. Yesterday, under the pressure of the English crisis, the yield of the BTP rose up to 4,93% (the highest since 2013), before falling to 4,56%. The spread closed at 241 points from a high of 256.
Treasury and Wall Street to the rescue, Apple suffers
Even in the US The rebound of shares was driven by the impressive recovery of bonds. The yield of Ten-year Treasuries it went from 4% to 3,75%, one of the strongest daily swings in the last ten years.
Yesterday the Nasdaq closed up 2%. L'S & P500 it reversed course after six consecutive bearish sessions, closing with a 2% gain.
In heavy fall Apple (-3,55%) on the news that the company will not increase production of the iPhone 14, as the expected surge in demand would not occur.
Stock exchanges are running in Asia
In Asia too, the Bank of England's intervention has left its mark. The Nikkei of Tokyo is starting to close up by 0,7%. The Hang Seng by rebounds from multi-year lows Hong Kong (+ 1,3%).
The Chinese Stock Exchange also rises: CSI 300 of the lists of Shanghai and Shenzhen +0,3%. Kospi of Alone +1,3%. S&P ASX200's Sidney +2%. BSE Sensex of Mumbai, +0,8%. The Indian rupee, the Korean won and the Indonesian rupee rebounded. Japan's yen weakens. The offshore yuan drops (-0,3%), while the official exchange rate appreciates.
Vietnam in orbit: GDP +13,76
The Chinese electric car maker Leap motor debuts today on the list with a drop of 32%. Onewo, a subsidiary of real estate developer China Vanke, made its debut on the Hong Kong stock exchange down 5%.
Of note is the outstanding performance of the economy Vietnam : +13,76% in the third quarter thanks to the strong growth in trade with the USA.
Il Brent oil and WTI is slightly down, +4,6% yesterday. Goldman Sachs has reduced its price target to 2023 due to the foreseeable slowdown in global demand, which sees China at the forefront, due to the repeated lockdowns.
Gas, the price cap moves away
European gas yesterday +11%, at 207 euros. While the origin of the gas pipeline accidents in the Baltic is being investigated, the hypothesis of a European gas price cap is receding. Establishing a generalized price cap on all gas trades "would be a demanding exercise due to the dynamics of the internal and global market, and would involve risks from the point of view of security of supply". This is what we read in the paper that the European Commission presented to the member countries in view of the meeting of energy ministers on Friday.
Satispay new unicorn, Mfe under one billion in value
The most relevant news for Made in Italy does not concern Piazza Affari. Yesterday Satispay has closed a round of financing for 320 million euros, thus entering the unicorn club, the start-ups that exceed the value of one billion euros.
Poste Italiane, through Poste Vita, launches a takeover bid on Net Insurance at the price of 9,5 euros per share. Yesterday, the stock of the target company closed at 8,10 euros, equal to a capitalization of 149 million. With this operation, Poste Vita expands to personal loans anchored to salary and pension.
Generali: Fitch confirmed its 'A' financial strength rating with a positive outlook.
Evaluation of MediaforEurope yesterday fell below one billion euro. Barclays lowers the target price to 0,35 euro
Today he lands on the Egm Franchetti, a pioneer company in the field of management, diagnostics and predictive maintenance of infrastructures, after having raised approximately 2,5 million euros in the IPO phase.
