The improvement in the negotiations for raising the US debt ceiling is also warming up bags continental, which strengthened in the afternoon in line with the matched start of Wall Street.
The closing of the last session of the week in Europe is so positive and starts from Amsterdam, +1,68%, in great dust with technology stocks (Asm International, +6,4%), galvanized yesterday by Nvidia's record estimates for the great demand for chips useful for artificial intelligence.
Today they are recording gains of more than one percentage point Milano +1,16% and Paris +1,24% led by stm + 3,89% Frankfurt +1,21%. They are slightly further back London +0,74% and Madrid + 0,83%.
Progress in the US debt ceiling agreement
To loosen the reins for Taurus today is the possibility that the United States will avoid default in early June. US President Joe Biden and House Speaker Kevin McCarthy would in fact be approaching a agreement for raising the public debt ceiling of $31.400 trillion for two years, while limiting government spending. Press sources report that there is still no agreement on the new amount of the ceiling, but the parties have found a meeting point on a 3% increase in defense spending and on the need to modernize the national electricity grid.
While waiting for the picture to clear up, the Petroleum, after yesterday's losses. Brent trades up 0,6% to 76,73 dollars a barrel; tetanus crude oil rose 1,27% to 72,74 dollars.
The price goes down more and more gas in Amsterdam, dropped today below 25 euros per Mwh.
US inflation bites again
It is across the Atlantic brilliant Wall Street, despite theinflation accelerated in April, with the PCE (Personal Consumption Expenditures) price index rising by 4,4% on an annual basis, from +4,2% in March. On a monthly basis, the index increased by 0,4% in April for both the overall component and for the 'core' component, which excludes food and energy, a trend that from a Fed perspective raises some concern.
On the subject of central banks, there are Bofa's doubts about the aggressive policy of the ECB.
In the latest weekly report the chief economist Ruben Segura-Cayuela in fact, he argues that "although the persistence of underlying inflation is evident, looking also to 2024 the various supply and demand indicators suggest that the inflation problem does not require such an abrupt tightening as the one that the ECB will end up imposing". BofA expects core inflation, now at 5,6%, to decline more rapidly as the overall picture remains one of “a weak economy with persistently weak domestic demand”, with the German economy recovering” below pre-Covid levels”.
Consumer and business confidence also fell in Italy in May.
In this context the dollar remains tonic, while theeuro traded downwards in the 1,07 area.
Government rates on the long curve rise in the block and in the USA.
Stable spread and rising rates. IMF to Italy: implement the Pnrr
Lo spread between 186-year BTPs and Bunds of equal duration it is stable at 4,4 points, but yields grow in parallel to +2,53% and +XNUMX% respectively.
On the primary side, the yield on six-monthly bonds soared by as much as 20 basis points, to 3,528%, marking the highest since December 2011.
For Italy the same day also arrived Forecasts positive of International Monetary Fund, which revised upwards the growth of the Belpaese in 2023 and 2024 bringing it to +1,1% for both years, from +0,7% and +0,8% respectively. However, the international body also recommends a "complete and timely" implementation of the Pnrr to increase productivity and potential growth, while calling for a credible debt reduction plan.
Piazza Affari rises, in the worst week since March
To favor the rebound of Business Square In the afternoon, sales on bank stocks subsided, while purchases in other sectors strengthened. The weekly balance sheet of the Ftse Mib remains the worst since mid-March, but this Friday offered numerous positive ideas for the shareholder.
In addition to the leap of Stm they soar Interpump + 2,76% Amplifon + 2,48% Moncler +2,26%. Well managed savings with Azimuth +2,33% and Banca Mediolanum +2,32%. For the car leads stellantis +2,09%, in utilities Ivy +2,03%, while Terna +1,07%, celebrates the upward revision of the price targets of two business houses, Bank of America and HSBC.
The discounts are fractional and are limited to Erg -0,61% Telecom -0,58% Understanding -0,27%. They are practically flat Generali -0,06% and Bpm bank -0,08%.
Ps it is timidly positive, +0,29%, with Minister Giancarlo Giorgetti observing at the Trento economics festival that this is “a game to be won. Today, compared to six months ago, Mps can become a coveted prey instead of something to be kept away. It's a key element." And again: "The moves we will make will be aimed at giving an even more competitive structure to the Italian credit market". A third third banking hub? the goal is "to do in the credit system what we did with Ita, we'll see".
