THEanniversary of the Russian invasion of Ukraine was already a heavy burden to bear, but it was mainly the acceleration of theUS inflation in January, which showed how long the road of the Fed to control prices.
The climate then deteriorated in Europe to starting with the American numbers and the out of tune start of Wall Street, which will likely end the week lower. Right now in Nasdaq leave 2% on the ground.
The prospect of a hawkish Fed, on the other hand, invigorates the dollar: theeuro it retreats 0,5% and changes to 1,054. The greenback, as a safe-haven asset, has gained about 8% since the start of the war.
Europe in red with Wall Street
European markets thus close the last session of the week in the red. Business Square it goes back by 1,07% and slips below the psychological threshold of 27 thousand basis points (26.986), between the realizations that hit industrial stocks and sales on banks. Against chant of Telecom, +1,36%, at the end of a fluctuating week and after today's opinion of the board of directors on the non-binding offer of the Kkr fund on the network: a proposal appreciated but to be improved.
In the rest of the continent it retreats Frankfurt, -1,74%, weighed down by Basf SE -6,91%, which signaled a decline in full-year earnings, announced 2.600 job cuts and halted buyback. The German economy also contracted more than expected in the fourth quarter, -0,4% from -0,2% in the previous estimate. The confidence of companies is also crunching, as they are less willing to hire new staff (99,4 points from 100,1 in January).
Archive a session to forget too Paris -1,78%, with full sales of luxury titles. Amsterdam loses 1,23%, Madrid 0,31%, London 0,37%.
T-Bond Prices Fall On Inflation; stable spread
Leathery inflation is indigestible even for i US government bonds, which see falling prices and rising yields. The 3,955-year rate is currently at 2%, almost XNUMX% more than yesterday.
Rates are also rising in Europe, but lo spread between 10-year BTPs and 10-year Bunds it is relatively stable at 183 basis points, with yields growing respectively to +4,33% and +2,49%.
Therefore, it was PCE inflation that moved the money, an indicator most closely watched by the Fed to evaluate the trend in the cost of living, which rose in January by 5,4% on an annual basis (from +5,3% the previous month) , scuppering hopes for a looser monetary policy. Month-over-month growth was 0,6%.
La consumer spending, which accounts for more than two-thirds of US economic activity, was up 1,8% last month.
Bets are mounting that the US central bank will hike rates at least three more times this year, with the top rate now seen in the 5,25%-5,5% range by June.
Gas around 51 euros
Il gas price today it floats around 51 euros per Mwh, after having also dropped to 50 in this period, the lowest level since August 2021. "However - writes Reuters - there is a delay of about 6-9 months between what happens on the market wholesale and what goes into consumer bills, meaning that the hard peak of nearly 350 MWh recorded last August – equivalent to an oil price of over $200 a barrel – hasn't even begun to be felt.
Crude oil is volatile, with futures of Brent and Wti expiring in April which, after some heeling, are currently up fractionally.
Erg and Saipem go up to Piazza Affari
Today's decline was partially offset today by buying a handful of blue chips.
Queen of the price list is Saipem, +1,96%, which announced the renewal of the collaboration agreements with the Egyptian companies Petrojet and Enpp and entered into a commercial collaboration agreement with Seaway7 for offshore wind projects. Well Erg, +1,71%. I'm in red though Tanary -2,12% ed Eni -1,24%. The six-legged dog yesterday paid the bills and the 2026 plan. Analysts - consulted by Reuters - cite among the reasons for yesterday's disappointment the Ebit target for 2023, lower than the consensus, and the increase in investments (capex ), but underline the positive indications on cash generation and shareholder remuneration. to Kkr to improve its offer, until March 31st.
Leonardo rises by 0,24% and utilities are also timidly appreciated: Terna + 0,39% A2a + 0,33% Snam + 0,09%.
The mournful notes instead take the "la" from Pirelli -3,75%, followed by Interpump, -3,59%. Both stocks are returning from some positive sessions such as. In the automotive industry they also deflate Iveco -2,56%, and stellantis -2,11%. Banks depress from Bper -2,31%.
