The Stock Exchanges have not recovered from their ailments and, after yesterday's recovery, the fever of sales has risen again today. That was enough Switzerland joins the Fed and raised rates by 50 basis points to throw investors into despair again and raise doubts about the restrictive path taken by central banks and the associated risks of recession.
European price lists close in deep red e they lose, with interest, what they recovered on the eve, while Wall Street, negative at the start, is accelerating downwards. The Dow Jones moves below the psychological threshold of 30 points for the first time since January 2021.
Piazza Affari loses 3,32% and falls back below 22 basis points, to 21.726.
On the other hand, the Italian secondary is saved, with a clear improvement: the spread falls back to 204 points base, -5%. The laconic message launched yesterday morning by the ECB on the possible anti-spread shield did not satisfy many observers, but apparently it is managing, for now, to keep the fire that was raging under control. The sales hit Bunds instead. The German 1,69-year bond closes at +1,64% (from +4% yesterday), while the BTP rate of the same duration, after a rise above 3,73%, drops to +3,78% (from +XNUMX .XNUMX%).
Frankfurt is among the worst also with equities: the Dax loses 3,35%. The black jersey goes to Amsterdam, -3,75%, weighted down by technology stocks. London loses 3,1%, Zurich 3,28%, Paris 2,39%. Madrid limits damages to 1,13%.
Central banks and currencies in fibrillation
The action of the central banks is the lever that encourages and discourages purchases, in a volatile context above all due to the war in Ukraine and the ongoing economic confrontation with Moscow. Gazprom, among other things, a few days ago, inaugurated a series of cuts in supplies to European countries.
As regards the action of the central banks, today both Switzerland and England have intervened on the rates.
The biggest surprise came from Swiss National Bank which raised the reference rate for the first time in 15 years with an increase of 50 basis points.
A few hours later the BoE moved more cautiously with a touch-up of 25 basis points. The two choices have had opposite effects on the currencies of the respective countries.
Il Swiss franc soared as the pound tumbled further as traders expected a larger move from the Bank of England.
Yesterday the Fed, as expected, raised rates by 75 basis points, to 1,5%-1,75%, but said that in July the intervention will probably be 75 or 50 basis points, thus opening a window at a smaller increment. At the end of 2022, interest rates should reach 3,4% (median value). The US central bank then presented projections which show that growth is slowing down.
In this context, the dollar index falls. The euro rears its head and trades in area 1,051 against the greenback.
Gazprom cuts: The gas is mine and I manage it
The race in gas prices continues, while Gazprom gives supply cuts to European countries, especially Germany and Italy, due to alleged technical reasons. Halfway through the session gas price in Europe soared by 20% to 146 euros per megawatt hour, surpassing an overall increase of 70% in the last three days.
International agencies report that, according to Gazprom's number one, Alexei Miller, there is currently no solution to the problems with the turbines in the Portovaya station of the Nord Stream 1 gas pipeline, which carries Russian gas to Germany. The impossibility of repairing the fault would be due to the non-arrival of suitable materials due to the sanctions and then "ours the product, ours the rules - the manager would have said in a forum in St. Petersburg - we don't play with rules that others have made ”. Meanwhile in the first 5 months of the year supplies to China reportedly increased by 67%.
At the moment it appears instead the oil is flat. Brent is trading at $118,6 a barrel.
Ecumenical sales in Piazza Affari
The session in Piazza Affari was heavy for the banks, but also for all the other sectors in an ecumenical way and without great discrimination. Only three titles are saved on the Ftse Mib: Saipem, +2,55%, thanks to the promotion of Equita which raised the target price to 45 euros due to the grouping of shares (in the ratio of one share for every ten existing ones) carried out by the company; Nexi, +1,08%; Terna +0,24%.
The long list of titles sold in full hands instead starts from Stm -6,3%, which sinks together with European and American technological ones. Right now the Nasdaq is the worst index in New York and down 4%.
Male Tenaris -6,1% and Eni, -4,89%. Luxury weeps with Moncler -5,71%. In the car it goes peak at Stellantis, -5,28%, while the decline in group registrations continues in Europe, down by 14,6% in May against a 12,5% market decline on an annual basis, according to Acea data. Cnh down, -4,61% and even Ferrari remains in reserve, -0,71%, on the capital market day.
È the financial balance sheet is heavy: Mediobanca, which yesterday did not take advantage of the sector's rebound, lost 4,61%.
Poste Italiane -4,97% and Azimut -4,67% are down. Outside the main basket Gas Plus celebrates with a leap of 24,76% the announcement of the start of gas production in the fields in Romania, which should benefit from the current high prices. Good Saras, +3,47%%
Pithecus appreciates by 22,24% to 11,05 euros after the Limbo company launched a voluntary takeover bid on 37,98% of the share capital not owned at a price of 11,25 euros per share aimed at the delisting.
