The European stock markets close another positive session, thanks to better-than-expected quarterly reports, some pleasant surprises from macroeconomic data and the harmonious start of Wall Street, which gained more than 1% with the three major indices, on the day of the midterm elections that could stall Washington politics. A result that, for many observers, could prove to be very welcome to the markets. Second Morgan Stanley for example, a Republican majority in at least one of the two Houses will block the spending plans of President Joe Biden and the Democrats, causing a possible drop in Treasury bond yields and a rise in stocks.
While waiting for the electoral outcome and the key data on stars and stripes inflation on Thursday's agenda, the dollar the pace slows down and the euro moves around the parity already reached during the night, at 1,008. brake the crude after two sessions on the rise. The January 2023 Brent contract trades at 97,2 dollars a barrel (-0,8%). Gold is on the run, with immediate delivery, appreciating by more than 2,3% to 1715 dollars an ounce.
Piazza Affari: CNH doing well, Telecom declining. The spread goes down
Piazza Affari still ranks today among the best in Europe with a progress of 0,86%, which brings it to 23.694 points. Lead the main basket Cnh industrial, +5,74%, which reaches its highest level since June after positively surprising with the results for the quarter and above all with the improvement in the guidance for the full year. The group reported net income of $559 million for the quarter, up from $460 million in the same period a year ago. Adjusted net income was $557 million (from $463 million), while consolidated revenues rose 23,9% to $5,881 billion.
Among the blue chips Amplifon +3,9%, Stm +4,36%, Interpump +3,18% also stand out.
The banks are divided: Intesa +0,89% and Unicredit +0,55% rise, but Bper loses 7,68% and is the worst big cap of the day, despite the quarterly exceeding expectations. The justification is probably the profit taking on a share which, since mid-October, has gained more than 30%. Equity reiterates a "hold" assessment on the stock, considering the complexities that the bank will have to face in the coming years, especially in relation to the integration of Carige and the "plan initiatives, in a more challenging economic context". For some, the stop to new aggregation hypotheses weighs heavily, including the one with MPS (+2,65%).
In the sector Banco Bpm fell -2,63%, also tested by the quarterly accounts and, among the small companies, Popolare di Sondrio dropped 7,37%, as it was disappointing with the trend in the first nine months. Bad Leonardo -4,16%.
Investors go to cash out Telecom, -2,18%. According to the operators interviewed by Radiocor, the euphoria on the Stock Exchange is extinguished by the achievements after the +42% of the share in the last month, but also the words of Tim's CEO, Pietro Labriola, on the centrality of Brazil after rumors of press speculated about its sale.
Outside the main list it weakens Fincantieri, -0,83%, with the accounts for the first nine months showing an Ebitda of 172 million euros, down from 330 in the same period of 2021. Equita cites third quarter results "below expectations due to weak margins of the Shipbuilding division ”. The session is positive for Italian paper, which sees the spread drop to 205 basis points (-5,17%), even if rates remain high. The 10-year BTP closed at +4,37% and the Bund with the same duration at +2,31%. From the ECB front, Vice President Luis De Guindos says that "surely" the European Central Bank will start reducing the balance sheet in 2023.
Europe in green, encouraged by better than expected retail sales
The others are also on the rise euro zone price lists, which found an encouraging boost in better-than-expected September retail sales in the morning. Eurostat estimated that these rose 0,4% month-on-month and fell 0,6% year-on-year, far below economists' estimates. Eurostat it also revised up its August retail sales to 0,0% on a monthly basis from -0,3% previously, and to -1,4% from -2,0% on an annualized basis. This data is important as retail sales are considered a good indicator of consumer demand, which is being monitored at a time when there are fears of recession due to soaring energy prices. The sentiment improved further in the afternoon thanks to the buoyant performance of Wall Street.
Frankfurt appreciates by 1,16%, Amsterdam +1,17%, Madrid +0,48%, Paris +0,39%.
Outside the eurozone London she is more shy, +0,16%. Good Copenhagen, +0,5%, where Pandora shines +10,64. The Danish jewelry maker released better-than-expected quarterly results and said it had seen no change in consumer behavior despite the rising cost of living.
