European stock markets closed positively for the week, the last full week before the Christmas holidays. Today's cautious rise falls amidst Wall Street's subdued performance and Tokyo's gains (Nikkei +1,02%), after the BoJ, as expected, raised rates by a quarter point to 0,75%, a 30-year high. This was an obvious move, but it cost the yen a sharp decline today. On the geopolitical front, attention is focused on the agreement reached overnight by the European Council for a €90 billion loan to Ukraine using joint debt and without recourse to frozen Russian assets.
Piazza Affari reigns supreme on the continent, up 0,66% (to 44.757 basis points). Saipem led the gains, up 1,97%, while Juventus, outside the main basket, shines (+7,25%), with the market banking on Tether reviving its offer to Exor (rejected a week ago) for control of the club. Since last Friday's close—before the stablecoin giant's takeover bid—the stock has gained over 27%.
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Among continental stock markets, Frankfurt (+0,44%), London (+0,58%), Paris (+0,01%), Amsterdam (+0,48%), and Madrid (+0,21%) also rose slightly. Overseas, Wall Street gained towards the end of the morning – DJI +0,55%, S&P 500 +0,79%, and Nasdaq +1,11%. Risk appetite is fueled by renewed confidence in artificial intelligence stocks, following forecasts and yesterday's jump in Micron and the fact that Oracle (+6,65%) closed a joint venture agreement today to keep TikTok operational in the United States.
The US trading session is currently calm, but volatility is not out of the question, as this Friday is the so-called Four Witches' Day, when options on stocks, indices, and futures expire simultaneously. This event, on this occasion, is worth $7100 trillion and, according to Goldman Sachs, is the largest options expiration ever recorded.
Euro at all-time highs against the yen
The currency market is quite choppy today, largely due to the yen's plunge. Japan's monetary tightening isn't enough to support the Japanese currency, which is in deep red against major currencies. The euro is trading at an all-time high of 184,38 (+1,1%); the dollar is trading at 157,45 (+1,26%) and could post its biggest daily gain since early October. The euro-dollar pair, however, is consistently unfavorable to the single currency, which nevertheless keeps the cross above 1,17 (-0,12%).
Among commodities, oil futures prices rose by about half a percentage point. WTI is trading at $56,32 a barrel, while Brent is just over $60 (60,13). Gold remains well-bought, with spot gold currently trading at $4348,84 an ounce (+0,37%).
Piazza Affari, Saipem, Leonardo and Tim on the podium
At the end of today's session, the top three blue-chip performers were Saipem, Leonardo +1,9%, and Tim +1,76%. The oil service company's stock benefited from the third extension of an offshore drilling contract in Norway, amid a volatile oil sector. The defense company's stock also announced two contracts in the United States.
TIM, on the other hand, rounded out the rally of the last 12 months and released a letter to employees in which CEO Pietro Labriola stated that Poste Italiane's entry and recent strengthening of its share capital strengthens "the group's stability and our ability to invest in technological infrastructure that is crucial for the country."
Regarding Telecom, Intermonte also cites international rumors about the fate of Altice and the consolidation of the sector in France, which could lead Iliad to reduce its burden in Italy and accelerate an agreement with Wind 3. TIM could indirectly benefit from all this thanks to a reduction in competitors in the domestic market.
Among banks, MPS (+1,53%) remains in cash, after Economy Minister Giancarlo Giorgetti yesterday denied any interference or pressure on the Italian financial system during the sale of its stake in Siena via accelerated bookbuilding in the fall of 2024.
Unicredit fell 0,62%. Among the biggest decliners of the day were Cucinelli, -2,06%, Tenaris -1,49%, Moncler -1,26%, and Campari -1,25%.
Stable spreads
Yields on the secondary market are rising, but the spread between 10-year BTPs and Bunds remains stable at 65 basis points. The closing rate on the BTP is indicated at 3,55% and that on the Bund at 2,9%.
