Everything is fine, or almost. To disturb the mood of the markets, launched towards new records, is China, where, this morning the headline Wall Street Journal, “the crackdown on big corporations has only just begun. Within a few months – attacks the article – Beijing banned the largest IPO in financial history, unleashing a series of investigations against the most important technology companies forced to scramble to obey the party. Thus, a billion dollars of capitalization was lost. And it certainly didn't end there."
If anything, the novelty lies in the fact that about forty top-level US business leaders wrote yesterday to President Joe Biden asking him to reopen negotiations with Beijing on the tariffs that are causing so much damage to the US, because the higher import costs fall on consumers and weigh on inflation. However, the Chinese syndrome is just a cloud in the skies of Wall Street awaiting data on the labor market.
THE WSJ: THE REPRESSION OF THE BIG CHINESE WILL CONTINUE
Asian stocks are down, despite the positive closure on Wall Street. Fears related to the Delta variant of the coronavirus weigh heavily.
The MSCI AC Asia index fell 0,3%, weighed down by Chinese blue chips, down around 0,6%.
Hong Kong drops by 0,5%. The Nikkei index of the Japanese stock exchange is little moved.
NASDAQ RECORD LEVELS, ROBINHOOD THUD
There is still an air of records on the American stock exchanges, driven by the quarterly results. The S&P500 closed up 0,6%, the Nasdaq nearly 0,8%, marking record levels. Dow Jones +0,78%.
Robinhood's roller coaster ride continues, down 27,6% yesterday.
Viacom advances (+7,1%) which has signed an agreement with Comcast for the launch of streaming services in Europe of the Paramount catalog.
The focus is on the data on the change in non-agricultural employment, the unemployment rate and the average hourly wage.
The yield on the 10-year Treasury stands at +1,23%, +1 basis point. Crude oil is not moved. Brent and WTI are up about 0,1%. Gold fell 0,3% to 1.802 dollars an ounce.
THE ECB BLESSES THE RISE IN THE STOCK MARKETS
The euro area "recovered in the second quarter of the year and, with the easing of restrictions, proceeds towards strong growth in the third quarter", there is therefore the possibility of a "return to pre-crisis levels in first quarter 2022”. But no interest rate news is in sight, as the rise in inflation appears temporary and price tensions will ease early next year. Rates will remain low until inflation is stable at 2%. The Economic Bulletin of the ECB thus he reiterates that the winds of rate hikes are not blowing over the skies of Europe. And so, comforted by the doves of Frankfurt, in fierce contrast to the neighbors of the Bundesbank (struggling with negative Bund rates until 2050 and beyond), the European stock exchanges advance undisturbed in the midst of a sea of sub-zero bonds.
MILAN (+0,69%) THE PINK JERSEY
Milan (+0,69%) is again the brightest list in the Eurozone. So the hunt to break through the wall of 25.655 points starts again from an altitude of 26 points.
The other markets in the euro area also performed well: Paris +0,56%, Frankfurt +0,34%, Madrid +0,44%.
FLAT LONDON: THE BUOY DOES NOT TOUCH THE RATES
The exception is London (-0,02%), in tension awaiting the decisions of the Bank of England, which left rates unchanged offering a backstop to the strengthening of the pound (+0,2%).
SIEMENS AND NOVO NORDISK FLY
In Frankfurt Siemens stands out, gaining 3,6% after having revised upwards profit estimates for the third time this year. Adidas drops 5%.
Danish pharmaceutical company Novo Nordisk rose 3,7% after raising its full-year outlook and posting better-than-expected quarterly earnings on demand for its new obesity drug.
Crédit Agricole lost 0,3% at the end, even though its profit doubled in the quarter.
THE YIELD OF THE BTP 10 IS NEAR 0,50%
The bond rally continues. The 0,5-year BTP has now come within a whisker of the XNUMX% threshold during a session without shocks.
The spread on the Bund on the ten-year segment is 103 basis points, from 106 at the start and 107 at the previous closure.
The ten-year rate is around 0,52%, with a minimum of 0,51%, compared to 0,56% at the start and after closing yesterday at 0,57%.
The yield on the ten-year Bund fell further under the 'deposit facility', ie the penalty for parking liquidity at the ECB, a threshold exceeded on Wednesday for the first time since January.
FERRARI FIRST AT THE FINISH
Ferrari's recovery (+3,34%) picks up speed in a quiet session after the cold reception of the market at the quarterly.
In the red Pirelli (-1%) before the approval of the accounts for the quarter announced with the stock market closed: 131,6 million in profits against -101,7 million in the first half of 2020; strong cash generation at $172,3 million before dividend payments in the second quarter.
MONEY ON UNICREDIT, MPS AND CARIGE BOUNCE
Among the bankers, money returned to Unicredit (+1,5%) after the hearing of minister Daniele Franco on the negotiation for Monte Paschi. The Sienese bank also rose (+2,7%) after the results for the six months which see a net profit of 202 million.
Carige is back on the run, with a leap of 7%, back above the 1 euro level after the Genoese bank announced that it had almost halved the loss in the first six months of the year and confirmed the prospect of returning to a net profit in the 2023.
RECORD BPM: +243% THE NET RESULT
Bpm +0,24% before the accounts communicated with the Stock Exchange closed. The institute led by Giuseppe Castagna closed the first half with a net result that more than tripled to 361,3 million (+243,4% compared to 105,2 million in 2020) where "core" revenues rose to 1.969 million (+11,2%) returning to the pre-covid period, i.e. the first half of 2019.
Well tuned Atlantia (+1,7%) after the results for the half year which no longer includes Aspi, following the signing of the sale agreement. The stock has also begun to react to the traffic data that has returned to 2019 levels. Autogrill instead shines (+2%).
PROFIT RISES, BUT INTERPUMP AND TENARIS HOLD THE HOLD BACK
The results effect for Interpump vanishes (+0,2%) after the share has reached an all-time high of 55,15 euros.
Similar script for Tenaris, which drops 0,35% after the results of the second quarter which see a return to profit and estimates of an increase in revenues in the third quarter. The stock started strong with an increase of more than 1,7% and then fell back immediately after up to more than 2%.
NEXI GOES BACK, POSTAL AND MANAGED SHINE
Reverses Nexi (-1,4%). Inwit (+1,32%) and Leonardo (+1,23%) are appreciated.
Post office +1,29% after accounts. It also runs the managed; Azimut +0,73%, Soul +1,20%, Banca Generali +1,40%. Enel +0,64% after the sale of 50% of Open Fiber for 2.650 million euros.
