EUROPEAN EXCHANGES DOWN CLEAR AWAITING US DATA
MILAN -2,6%. AND THE SPREAD OF THE BTP RISES TO 312 POINTS
Stock markets in sharp decline across Europe. The expectation for the data on US unemployment (should be above 9%) leads to prudence. Even more, the growing nervousness of the sovereign debt markets weighs on the Old Continent.
THE LANDSLIDE CONTINUES: BANKS, CARS AND CONCRETE
THE MOST HIT LIST REMAINS FRANKFURT (-2,9%)
Stock market indexes saw auto, banking and construction stocks fall. Milan leaves 2,58% on the ground (Ftse/Mib at 15265), in line with Paris (-2,66%). Once again the worst is Frankfurt (-2,88%), where Volkswagen (-3,2%), Daimler and Porsche both -3,1% and Continental (-2,78%) are losing ground. Fiat also fell sharply (-3,4%), as did Peugeot (-3,3%), which has just announced an investment of 650 million for a plant in India. And Pirelli (-3,64%). Among European banks, Crédit Agricole (-3,58%), Ubs (-3,26%), Deutsche Bank (-3,16%), Rbs (-3,12%) and Crédit Suisse (-2,86 .2,15%). In Italy, Intesa loses 2,22%, Unicredit -2,28%, MontePaschi -3,7% The list of blue chips on Piazza Affari is all red. Italcementi sells (-5,2%), affected by the cut in the target price from 4,1 to 3,81 euro by Bofa, which maintained its 'underperform' rating. Even worse are Buzzi (-3,72%) and Tenaris (-3,62%). Prysmian is also under fire (-0,83%). Terna (-0,96%), Ansaldo STS (-1%) and Luxottica (-XNUMX%) limited the decline.
5,18-YEAR YIELD RETURNS TO XNUMX%
AND THE SWISS FRANC SETS A RECORD AGAINST THE EURO
But the real tip of the iceberg of malaise remains sovereign debt. On the government bond market, the 5,18-year BTP ends up in troubled waters again with the yield rising to 6% (+312 basis points), while the spread with the German Bund has risen to 24 basis points, i.e. on the previous values the intervention of the ECB on the secondary market. Weighing: a) the growing hostility of the German political world as interpreted by the president of the BundesRepublik Chistian Wulff who defined the ECB's repeated purchases on the secondary market in favor of countries in crisis as "smell of illegality"; b) in an interview with Il Sole 1,423 Ore, the ECB president, Jean-Claude Trichet, asks Italy to respect its commitments and implement the structural reforms necessary to relaunch growth, "modernizing the economy" and not watering down the measures announced in early August. Trichet denies that the Eurotower has intervened in support of the BTPs in exchange for the new recovery measures; c) the news arriving from Athens, where the financial recovery plan is not bearing the hoped-for results, as the reports from the German newspapers emphatically underline. The fall of the euro continues, losing ground against the dollar to 1,425, from 1,1190 at yesterday evening's close. Above all, the rise of the Swiss franc continues, indicated this morning at 1,1344 against the euro, from XNUMX at yesterday evening's close. Yesterday The Wall Street Journal published a report by GS in which VIP clients are advised to purchase a product that allows them to speculate against the single currency through derivatives that operate in the sale of CDs on banks in the Eurozone.
