Banks are still the weak point of today Business Square, which closed the session down by 1,12% to 27.101 basis points, in the dark in Europe, amid profit-taking (after a gain of around 15% since the beginning of the year) and competition from government bond yields. However, the purchases on are back on the main Milanese price list Telecom, +2,79%. It also shines stellantis, +2,21%, with record results in 2022.
In the rest of Europe the cold is less biting a Frankfurt (colorless), Paris -0,13% Amsterdam -0,14%. The drops are slightly more intense a Madrid -0,83% and London -0,6%.
Wall Street in a cast waiting for the Fed minutes
Overseas Wall Street is struggling to detach from parity while awaiting the minutes of the last Fed meeting, from which it will take inspiration to place bets on the future choices of the American central bank. The attempt to rebound, after the worst session of 2023, is not taking off for now. Yesterday the strong data on PMI and services made itself felt, which suggests that the Federal Reserve is still hawkish. The US central bank must push inflation back towards its 2% target this year to avoid a repeat of the 70s, when rates had to be repeatedly raised, according to St. Louis Fed Chairman James Bullard.
Money market participants, according to Reuters, expect rates to peak at 5,35% by July and remain around these levels until the end of 2023.
Meanwhile, today the exchange euro Dollar it is little moved around 1,063. Among materials, oil fell, with Brent and Wti futures down by about 2%.
Inflation remains strong in Europe
The data on'inflation January returns in some eurozone countries are in line with expectations, but show that the price run isn't exactly slowing down.
In Germany the rise in prices, harmonized with the EU, is 9,2% year on year and +0,5% compared to December.
In Italy Istat estimates that in January the jump will be 10% on an annual basis (from +11,6% in December). It is, as the statistical center points out, a "clear slowdown".
In Germany, meanwhile, business confidence is rising (the Ifo index is at 91,1), but slightly less than expected (91,2).
Rising spread, record yield for short-term Btp
Equities also struggle in the face of bonds that offer attractive yields. Today in the auction the Treasury assigned the first tranche of the Short term BTPs, maturing on 28-03-2025, for 3,75 billion, equal to the maximum amount offered, against a request for 5,65 billion (hedging ratio 1,51). The jumped to 3,67%, setting the record since the birth of this security (maturity 2021).
The Treasury has also assigned 10-year Btp-i, maturing on 15-05-2033, for 1,5 billion, against a request for 2,149 billion (coverage ratio 1,43), with a yield that rises by 16 points basis at 2,19 per cent.
As for the secondary lo spread rises to 186 basis points (+1,28%). At the end, the ten-year BTP rate was indicated at +4,33% and that of the Bund with the same duration at +2,47%.
Piazza Affari limits the damage with industrialists, purchases on Telecom are back
Telecom is back in the spotlight and on top of the Ftse Mib, also because the mists could clear up after the American Fund Kkr asked for the extension to March 24th of his offer for the network to be able to set up a joint offer with the government which probably will not include Cdp.
stellantis instead celebrates the 2022 results beyond expectations and the announcement of the share buyback.
It's in the light Interpump, +1,67%, which recently announced the acquisition of 85% of the capital of the company Indoshell Automotive System India (Isas), for a value of approximately 8 million euro.
Bene Amplifon +1,59%. Hit the rebound Campari, +1,34%, after the losses of the day before and the presentation of the quarterly results.
The financial stocks closed a heavy session: Finecobank -4,77% Bper -4,39% Understanding -3% Unicredit -2,67%%. Bucking Banca Mediolanum +0,42%, Among mid caps, Monte Paschi Bank loses 4,84%.
Oil stocks starting from are in the red Tenaris -3,14%. He also suffers Eni, -1,08%, expected tomorrow to test the quarterly and future strategies.
It confirms its decline Recordati -2,56%, which showed 2022 accounts and forecasts below expectations as regards margins.
Weakness for utilities.
