Business Square exceeds 35 thousand points, then retreats slightly, but the new record is useful. On the others European stock exchanges instead it is the wait that takes center stage on this Tuesday in which the markets' eyes are once again focused on the USA, where the data on theApril inflation, fundamental for understanding what the Fed's next moves will be in terms of monetary policy. In the meantime, however, an ear will be turned towards the intervention of the governor of the Federal Reserve Jerome Powell who will speak at 16pm (Italian time) as part of an event in Amsterdam.
On the macro front, investor confidence in Germany improved more than expected in May, recording an increase inZew index equal to 47,1 points, up from 42,9 points in April. “Signs of economic recovery are growing, supported by better assessments of the Eurozone as a whole and of China as a key export market,” commented the president of the Zew, Achim Wambach.
Latest stock market news: Europe is dozing, but Piazza Affari has the pink jersey
Halfway through the session Ftse Eb it fluctuates around the threshold of 35 thousand points and at 13.15 pm it marks +0,51% at 34.991 points, driven by the excellent performance of the banks and Stellantis. The other continental markets are below parity: Frankfurt e Paris both show -0,2%, while Madrid is slightly down by 0,1%. Faded green instead ad Amsterdam (+ 0,1%) and London (+ 0,08%).
The spotlight is on the stock market banks after the words of French President Emanuel Macron who, in an interview with Bloomberg TV, has opened up the possibility of cross-border mergers between Eurozone banks, an option repeatedly hoped for by the ECB Supervision, but never realised. “Acting as Europeans means needing European consolidation,” said Macron, responding to a question on the hypothetical marriage between Société Générale and the Spanish Santander.
At a continental level, the excellent performance of the auto sector is also worth mentioning, with Volkswagenn up 2,2%. The automaker is considering selling $1,08 billion worth of shares in its Traton Se heavy-duty truck manufacturing division, according to a report.
In Frankfurt the eyes are on delivery hero which flies by almost 20%, the biggest gain on a daily basis since December 2019, Reuters points out, after Uber announced a $1,25 billion deal to take over Foodpanda's business in Taiwan and buy new shares in the German company. In Zurich, Alcon, which published its first quarter accounts, rose by 8,8%.
Banks and Stellantis drive the Ftse Mib
Macron's words are good for Italian banks with Ps e Bper which moved to the top of the FTSE with earnings equal to (respectively) +3,56% and +3,51%. Toned too Bpm bank (+ 1,6%) and Intesa Sanpaolo (+ 1,26%).
It's on shields Stellantis (+1,93%) which, in addition to enjoying the good mood of the sector at continental level, this morning announced that it had obtained, together with the Chinese Leapmotor, all the necessary authorizations to establish the Leapmotor International company, a 51/49 equity joint venture led by Stellantis. From the Amsterdam headquarters, the team led by CEO Tianshu South America in the fourth quarter of 03. In October 10, the two companies announced the investment by Stellantis of approximately 2024 billion euros in Leapmotor, for the acquisition of approximately 2023% of the shares of Leapmotor, a automotive company ranked among the top 1,5 Chinese electric vehicle startups in 21.
Oil companies are also traveling in positive territory with Saipem (+ 1,83%) and Tenaris (+1,59%). Advances by 1,3% A2a which this morning released the accounts for the first quarter which closed with a net profit of 294 million euros, up 70% compared to the same period of 2023 and revenues of 3.425 million euros, down 33% compared to the first three months of 2023 mainly following the contraction in the prices of energy commodities. The company has revised its guidance on EBITDA and ordinary net profit upwards.
Instead, Mib places itself at the bottom of the Ftse Terna (-1%). Cut your losses Italgas (-0,93%) which this morning released the first quarter accounts and announced the postponement of the presentation of the plan in light of the exclusive negotiations for the acquisition of 2i Rete Gas. Among the utilities Hera it gives up 0,3% before the accounts.
Out of the main basket, Fincantieri is up by 0,16% after the first quarter accounts which recorded a positive gross operating margin of 100 million (+15,8%) on stable revenues of 1,767 billion (+0,2%), equal to a of 5,7%, an improvement from 4,9% a year ago. Orders fell by 40,7% to 539 million, a figure that does not include the 1,18 billion contract signed with the Indonesian Ministry of Defense for two patrol boats which awaits authorization from the competent institutions. 2024 guidance confirmed.
Wall Street awaits Powell and inflation
US stock index futures are little moved. Those on the Dow Jones are up by 0,05%, those onS & P 500 by 0,02%, and futures on Nasdaq xnumx they are unchanged. Investors await data on producer prices for indications on inflation in the world's largest economy and the speech by Federal Reserve Chairman Jerome Powell which will be held later today, he comments Reuters that, based on interviews with economists, the producer price index (PPI) for final demand should have increased by 0,3% last month, after an unrevised 0,2% increase in March. The PPI is expected to rise 2,2% in the 12 months to April, following 2,1% in the previous month.
According to CME's FedWatch tool, Reuters adds, traders now see a 49,6% chance that the US central bank will cut rates by 25 basis points in September, compared to 44% last month. At the beginning of the year, expectations were for a first rate cut as early as March.
The other markets: spread, euro, oil and gas
On the bond, lo spread between BTp and Bund it rises 135 basis points from 134 the day before, with the yield of the 3,86-year BTP standing at 3,85% from XNUMX% of the previous closing. On the currency market the euro trades substantially stable at 1,0787 dollars. Also in the spotlight GBP which fell sharply after the Bank of England's chief economist, Huw Pill, said it was not unreasonable to believe it would be safe enough to consider a rate cut over the summer.
Among the raw materials the Petroleum it is stable, with Brent above 83 dollars a barrel and WTI above 79 dollars. The price of the product is also unchanged (-0,06%). natural gas in Amsterdam at 29,6 euros per megawatt hour. The electricity network manager GME announced that in the week from 6 to 12 May the average purchase price of electricity began to rise again after the drop in the previous week to 90,86 euros/MWh from 82,83 euros/MWh. . The volumes traded directly on the GME exchange are equal to 4,1 million MWh, with liquidity at 82,2%. The average sales prices stood between 89,90 euros/MWh in the North and 92,13 euros/MWh in the Centre-North.
