The weak euro, at its lowest for two and a half years, at 1,091 against the dollar, is supporting the prices of the Eurozone stock exchanges. In Milan, the index rose by 0,15%, just a whisker from 22 points. Leading the increases is Frankfurt +0,9% ahead of Madrid +0,5%. Positive Paris +0,3%. London does even better outside the Eurozone, which is up more than 1,2%. The Euro/Sterling ratio rose to 0,889, also due to statements by Michael Saunders, a member of the Bank of England's executive committee who stated that there could be a rate cut even in the event of an agreement with the EU.
The eurozone confidence indicator fell below expectations in September as trade tensions depressed confidence in industry. However, the data continues to improve services.
The rise in the dollar is reflected in the downward trend of gold to 1.495 dollars an ounce. Since the beginning of the year, the increase is 17%. Among commodities, palladium hits a two-month high.
Oil was down: Brent at 62,68 dollars a barrel lost 2,6% during the week, against the faster-than-expected recovery of Saudi production. Eni positive +0,6% in a market that highlights the agreement for the purchase of Var Energy from Exxon Mobil for 4,5 billion dollars. Overall, the assets changed hands are worth 150.000 barrels equivalent per day of production.
Yesterday the group announced that CEO Claudio Descalzi had received a guarantee notice for failure to disclose a conflict of interest in relation to Eni Congo. Saipem +0,24%. Shines Tenaris +1,40%.
In the Btp auction 0,88-year yield fell to new all-time low of XNUMX% and that of 5 years at 0,26%. Treasury funding has already reached 80% of the 2019 target.
On Monday, the government should send the update note to the Economic and Financial Document (Def) to Brussels. It seems that the new minister Roberto Gualtieri will try to get the green light from the European Commission for set the deficit bar at 2,2% compared to GDP. In this way he would obtain 12,6 billion euros of contribution to flexibility to be used to defuse the 23 billion euros VAT clauses and to finance an initial reduction in taxes on labour. The message launched by Eurocommissioner Paolo Gentiloni is clear on this point: flexibility yes but within the rules.
Lively banks following Morgan Stanley's review of targets. Advance Unicredit+1,2%, after the sale to Illimity (Corrado Passera) of a Npl portfolio worth around 730 million. Morgan Stanley cuts the target price to 14,50 euros, from 14,90 euros. Ubi Bank +0,7%. The broker has raised the target price to 2,40 euros, the stock trades at 2,51 euros. Intesa Sanpaolo+0,8%. Morgan Stanley brings the target price to 2,30 euros, from 2,20 euros.
Study incentives for e-money favor Post office +0,4%.. The hypothesis of a unique anti-avoidance card. A digital card, managed by the Post Office, which will act as an identity card, tax code, driving licence, unique pin for services and a traceable means of payment. It will also be rechargeable. The novelty is that 2 percent or 3 percent of the expenses made will be credited back to this card.
It also advances Nexi +0,3% which recovers from the sales of the eve.
Profit taking on utilities: Enel-0,5%. Atlantia -0,5%. Hera -1,2%. Eight public shareholders of the multi-utility group, adhering to the shareholders' agreement signed last year, have started the sale of shares equal to approximately 1% of the company's capital, through an accelerated order collection procedure reserved for qualified investors in Italy and institutional investors abroad, according to a statement last night. Operation worth 53,5 million euros.
In the automotive Fiat Chrysler+1%. Pirelli salt +1,5%. Camfin has subscribed to an instrument which, in addition to other similar ones signed in recent days, will allow the holding company to increase its stake in Pirelli up to around 15% from the current 10,1%.
Salvatore Ferragamo loses 1,1% and is starting to close the week on a seven-year low. This morning Kepler-Cheuvreux decided to lower the target price to 17,0 euros from 19,0 euros, confirming the Hold judgment.
Campari loses 1,7%. The stock has gained 13% in the past 12 months. This morning Credit Suisse announced the start of coverage with an Underperform recommendation and a target price of 7,50 euros which compares with a quotation above 8 euros.
Eprice's +8% flight continues in the rest of the price list.
Meanwhile, according to Reuters, Tim +0,6% presented Open Fiber's shareholders with a list of investment funds interested in acquiring shares from current shareholders. The operation seems to have the blessing of Italian politics. Yesterday the president Fulvio Conti resigned, a move interpreted as a rapprochement between the Elliott fund and Vivendi.
