Inflation slows down, long live inflation. European stock markets welcomed the partly unexpected slowdown in price increases in May to 1,4% against 1,7% in April. Consumer prices in May rose by 1,2% in the euro area, slowing down from the +1,7% in April. The slowdown paves the way for the arrival of the robust monetary stimulus anticipated by the ECB which could be decided at Thursday's meeting. In this context, the share lists are advancing. Piazza Affari + 1,09% rises above the barrier of 20 thousand points (20.090,16). Up also Frankfurt and Madrid +0,9%, more cautious Paris and London +0,20%.
The spread drops to 273 basis points, from 276 yesterday. Btp at 2,52%, from 2,55% yesterday. This morning Matteo Salvini says he has "no intention" of bringing down the government and states that he does not have "turnarounds" in mind. But on the procurement code that the League wants to block the conflict between the partners flared up again. Yesterday the premier Giuseppe Conte has threatened to leave if the unit is not found in the executive. Unemployment rate stable at 10,2%
Stock exchanges are consoled by looking at maneuvers in view of the directorate of the ECB, one of the last led by Mario Draghi grappling with the doubts of some central bankers about the amount of TLTRO loans. But the support of the governor of the central bank of France, Francois Villeroy arrives who this morning underlined the risks on the road to the Eurozone which require us to stand by companies: the tensions on international trade and the danger of Brexit. It is not the case, in this context, to exacerbate the tone with Italy.
Il WTI oil was further down -1,4% to $52,5 a barrel, at its lowest since February. Vitol Group, the global giant in the sale of crude oil, expects that OPEC and Russia will extend the agreement on production cuts by the end of the year, the president of the company said in an interview with Bloomberg. On the rise Eni +0,38% and especially Saipem +1,8%. Tenaris unchanged.
Gold slowed down, now trading at $1324 an ounce, unchanged.
Spotlight on the meeting of board of Renault +3% which in the afternoon will have to pronounce on the merger proposal put forward by Fiat Chrysler +2,76%. Registrations of the group in Italy in May fell by 6,1%, while the market share stood at 26,35%. Better in the USA: Group sales grew by 2%. It was the twelfth consecutive record month for Ram: +29% to 67.117 units.
The merger, according to the French activist fund Ciam, will bring greater benefits to the Italian-American reality than to the French one. Any proposal for an extra dividend could soften the opposition. Even Nissan, according to Equita, will not oppose the alliance, but will claim some advantages from the new structure.
Pirelli advances 0,7%. Brembo +1,4%. Weak Ferraris -0,8%. Leap forward by Pininfarina +8,7%.
In Europe banks go up. In Milan it advances Bper Banca +1,5% would be interested in Banca Carige. Unipol Sai +1%. In fibrillation Azimuth +2,7%. Banca Generali +2,5%. Poste Italiane +1,8%.
Soul Holding +5%. Goldman Sachs has restarted coverage of the stock, with a Buy recommendation.
It also flies Tim +3%: the possibilities of getting to the unbundling of the network are reduced even further, after the latest position taken by the Communications Authority
