Profit-taking is slowing down today Business Square, which closed a weak session, even if the bond is in green and the spread retreats thanks to the confirmation of the rating by Fitch (last Friday) and the improvement of the growth estimates by Brussels.
Waiting for the outcome of the local elections Ftse Eb it fell by 0,37%, to 27.245 basis points, in a European context with little movement and in line with the cautious performance of Wall Street in the American morning.
The worst European square is Madrid which leaves 0,37% on the ground, weighed down by the sharp drop in BBVA (-4,21%), the European bank most exposed to Turkey, where the elections surprisingly force the president Recep Tayyip Erdoğan on the ballot. The red is deep to the purse of Istanbul, with the Bist 100 losing 6,14%.
The finish is flat to Frankfurt and Paris, and Amsterdam it appreciates by 0,42% and London scores +0,3%.
Nervous Wall Street
Overseas, the US stock market is suffering from a certain nervousness after the aggressive words of some members of the fed. In particular, the number one in Atlanta, Raphael Bostic, says he does not foresee a cut in interest rates in 2023, not even in the event of a recession and this disappoints the market, which instead expects a change of pace by the central bank after ten consecutive raises. All the more so as the signs of a weakening of the economy are accentuating. Today it came out the Empire State index – which measures the trend of manufacturing activity in the New York area – and fell in May from 10,8 points to -31,8, against expectations for a figure of -4.
However, cautious optimism is making its way over an agreement to raise the federal debt in time to avoid the bankruptcy of the US administration.
On the foreign exchange market the dollar trades low against a panel of currencies. L'euro it appreciates, although still changing below 1,1 around 1,08.
Find the right push among the raw materials Petroleum: Brent and WTI climb nearly 2%, to $75,54 a barrel and $71,4 respectively.
Piazza Affari, new rally for Recordati
It is confirmed in money Recorded, +4,11%, after the rally following quarterly results and in a well-tuned pharmaceutical sector in Europe.
They also stand out among the rising blue chips Erg + 1,68% Ivy + 1% Prysmian + 1,24% Post + 0,9% Generali + 0,78%.
At the bottom of the list it is instead Pirelli -2,15%, with Telecom -1,61% Interpump -1,67% Moncler -1,62% and Cnh -1,41%.
Sales on banks and oil stocks partially prevail.
Off the main list, it updates the historic lows Dovalue -9,66%, with brokers revising year-over-year estimates after disappointing quarter.
It shines on the other hand Marr, +13,89%, promoted by Equita to "Buy" for the results of the quarter "well above expectations and increasing visibility. We raised our profit estimates for the fiscal year by 12% and the target price by +24%”, reads the daily. Mediobanca Securities also writes that the company is moving towards a pre-pandemic Ebitda value.
Italy is growing more than the European average; declining spreads
Good news for Italy came today from Brussels, which revised upwards the 2023 growth estimates, +1,2% (from +0,8%), leaving those of 2024 unchanged. This year the country is doing better than the other economies of the bloc, underlined Commissioner Paolo Gentiloni. for theEurozone the Commission forecasts growth of 1,1% in 2023 and 1,6% in 2024 (in February, estimates spoke of an expansion of 0,9% and 1,5% respectively).
In this climate, the Italian governments closed a good session, with lo spread between 10-year BTPs and Bunds of the same duration which falls by 187 basis points (-1,65%), while the returns are indicated respectively at +4,18% and +2,31%.
The confirmation, last Friday, of the rating by Fitch to “BBB' with stable outlook”. Next Friday it will be Moody's who will have to pronounce on the stability of the Italian debt.
