The flight from the pound picks up speed. Meanwhile, the storm raging above shows no signs of abating in Piazza Affari Mount Paschi -9%. Under the impetus of these emergencies, the stock markets begin to fall again, pending the reopening of Wall Street after the long weekend.
In Piazza Affari, the Ftse Mib index drops by one percentage point just above 18,600 points. The losses in Frankfurt, Paris and Madrid were heavier, around 1,3%. Best of all London does +0,2% supported by the decline of the British currency, which has slipped to its lowest level since November 2013 against the euro, one step away from the lows of the last 30 years against the dollar. Sterling sell-off following news that Standard Life Investments froze trading on a £2,9bn property fund after Brexit run-off.
The Bank of England has decided to reduce banks' reserve requirements by £5,7 billion, thus freeing up potential loans of up to £150 billion. Safe-haven assets are on the rise: gold changes hands at 1.345 dollars. The yield on the 0,15-year German Bund is nearing its historic lows, -1,27%. The BTP resists with a yield of XNUMX%, spread at 143 points.
Il Brent it dropped 2% to 49 dollars. Nigeria has increased its daily production by 90 barrels after solving the problems caused by the recent attacks. All the energetic braking. Eni -1,7%, Tenaris -2,8%, Mediobanca cut the recommendation to Underperform. Saipem -3%, reversed the positive trend, was promoted by Mediobanca to Outperform.
According to Goldman Sachs Italian banks need 38 billion for solve the problem of suffering. In Piazza Affari the rain of sales continues on Monte Paschi which has reached a new historic low of 0,2975 euro: the capitalization amounts to only 880 million (-75% since the beginning of the year). Even Carige -6%, updates the lows.
However, other bank stocks turned higher. Unicredit rebounds of 5% abundant, from -2% at the start of the session. Goldman Sachs raised its rating to Buy from the previous Neutral. The target price is confirmed at 3,50 euros, practically double compared to yesterday's quotation. Intesa Sanpaolo +0,80%. The first shareholder, Compagnia Sanpaolo, does not expect to reduce its stake (9,3%) in the short to medium term. Banca Popolare di Milano also recovered +4,77%, ahead of Banco Popolare +3,85%.
In the field Asset Management: Azimut -4,5%, Soul -4%, Banca Generali -3%. Automotive stocks also targeted: Fiat Chrysler -2,7%,
