The quarterly reports of the banks and the Ifo index, which measures the confidence of German companies, allowed the stock exchanges to stay afloat until mid-morning, but then the mood changed. It's latest stock market news today, Tuesday 25 October. THE'Ifo index in fact, it remained almost stable in October (84,3 from the previous 84,4), surprising analysts who were expecting a new contraction, despite remaining at its lowest level since May 2020. "The German economy is preparing for a difficult winter", he said Ifo president Clemens Fuest. The other theme today on the stock market is the banks with eyes on Unicredit pending the board meeting. The quarterly data will be released on Wednesday morning. For Ubs the data is down but higher than expected while HSBC records a real crash in London.
Lo BTP-Bund spread drops to 222 basis points while Prime Minister Giorgia Meloni delivers her speech to the Chamber.
The sentiment of operators was positively affected by the sensation that the steepest push to raise interest rates by the central banks was running out. But the climate is volatile: prudence remains strong on the upcoming meetings of the ECB and the Fed and when at the end of the morning Wall Street futures turn negative and oil drops more than 1% (Brent - 1,62%) on forecasts due to the slowdown of the economies, the price lists slow down: Milano it goes into the red at -29%, down London to -0,7% after the recovery on the eve of the appointment of Rishi Sunak as prime minister. Random Paris 0,15% salt, Amsterdam by 0,3% and Madrid by 0,33%, while Frankfurt falls by 0,6%.
A note of pessimism came from the monthly estimates of S&P according to which the Eurozone real GDP likely to decline 1,3% from its peak in Q2022 2023 to its trough in Q0,6 2023. The result is a XNUMX% annual contraction in XNUMX, worse than last month's no growth forecast and followed by only L'1,4% economic growth in 2024.
Stock market latest news: a rain of quarterly
In the next few hours, the quarterly reports of Coca Cola, Ford and GM will arrive in the US. Meanwhile, Europe is starting with the banks, starting with HSBC Holdings and UBS.
- Hsbc announced earnings down 46% third quarter profit to $1,9 billion versus $3,543 last year. The reasons are mainly to be found in the announced sale of the retail business in France and the increase in provisions against credit losses. The London-based banking group, the largest in Europe, has indicated it is also considering a sale of its Canadian business. The bank set aside $1,1 billion for expected credit losses. The group reported revenue of $11,6 billion in the third quarter, down from $12 billion a year earlier. Chief Executive Noel Quinn said the bank was focused on achieving a yield target of at least 12% for next year and cutting costs. Heavy slip of the group in London: -8% to 437,90 pence.
- ubs The Swiss bank reported net income down 24% for the third quarter, but better than expected, to $1,7 billion (€1,7 billion), against a backdrop of declining revenues at the bank of business. In the July-September period, the Swiss banking group saw its revenues fall 10% to $8,2 billion, it indicates in a press release, in a macroeconomic and geopolitical context that the CEO, Ralph Hamers, defines " complex". The title touches the + 5% mid-morning on the Zurich Stock Exchange since the data are in any case higher than the expectations of operators who on average were aiming for a net profit of 1,4 billion dollars and 7,9 billion in revenues.
- Unicredit under scrutiny in Milan on the day the board of directors meets to approve the third quarter accounts. However, these accounts will be disclosed to the financial community tomorrow. Stocks, quite volatile (they started up by more than 1%, almost returned to Monday's values and then accelerated again) were flat at 11,5 euros at the end of the morning.
Luxury grows and TLCs suffer
The I groupnter Parfums – Jimmy Chou, MontBlanc, Rochas – increased revenue 11,7% in the third quarter to nearly 200 million and raised its 2022 goals signaling “still strong demand” for its flagship brands in the third quarter. In the first nine months of 2022 the increase was 16,5% to 514 million euros. The news also prompted Moncler + 3,19% leading the Ftse Mib.
Il pharmaceutical group Swiss Novartis reported a 43% decline (33% in local currencies) in third-quarter net income to nearly $1,575 billion (nearly €1,6 billion) on the back of restructuring costs and asset writedowns. Turnover fell by 4% to 12,5 billion dollars. Group guidance for 2022 is confirmed with mid-single-digit sales and core operating income growth.
Telecommunications. The survey Mediobanca on the most important companies in the sector confirms the difficulties of the supply chain. The French group Orange recorded a slight increase in turnover in the third quarter of fiscal 2022, to 10,82 billion euros, thanks in particular to the performance of its activities in Europe, including Spain. “Despite a very difficult macroeconomic and geopolitical context, the group confirms its financial targets for 2022, a step towards achieving its commitments for 2023,” the company said in a statement.
Other news
- Yes Biogas, a subsidiary of Snam4Environment, has purchased five agricultural biogas plants with a capacity of 1 MW in Veneto and Friuli Venezia-Giulia. The five plants are located in the provinces of Udine, Pordenone, Venice and Padua. This is according to a note.
- Gas still down: the November future on the Dutch TTf market, 93,5 euros, down 5,7%, that in December stands at 130,9 euros and slips by 3,5%.
