Images of devastation caused by bombs on Ukrainian cities send in red the European Stock Exchanges which, after an uncertain opening, take the downward path again. The war between Russia and Ukraine seems to have entered a new, more destructive phase. A 60 km long column of tanks is ready to enter Kiev. The city of Kherson is almost completely surrounded by Russian troops, while missiles continue to fall on Mariupol and Kharkiv, where the seat of government has been destroyed. “The Russians fired a rocket into Kharkiv's central square – a blatant act of terrorism. After this Russia has become a terrorist state”, said the Ukrainian president, Volodymyr Zelensky, in a video posted on Facebook.
“According to the Parliament, Belarusian troops have entered the Ukrainian Oblast of Chernihiv to assist Russia in its war on Ukraine,” he reports Kyiv Independent, one of the leading newspapers in the country.
In the morning, Premier Draghi reiterated that Italy has no intention of "turn away".
European stock exchanges: new collapse
The positive closure of the Asian stock exchanges had raised hopes of a "contagion effect". The European Stock Exchanges had opened the session undecided about what to do, but as the minutes went by the images and videos from the Ukraine weakened the mood of the lists, paving the way for the sales.
In the middle of the day Piazza Affari loses 2,6% below the psychological threshold of 25 thousand points. Frankfurt (-2,6%) and Paris (-2,75%) are doing worse, while Madrid follows -1,79%. London is resisting better (-0,8%) which has announced new measures against Russian banks and the closure of its ports to Moscow ships. The aim is to "starve Putin's war machine and also to put pressure on many oligarchs who need access to the international financial system", communicates the United Kingdom.
Meantime the Moscow Stock Exchange remains closed for the second consecutive day due to the very high volatility due to the sanctions established by the West.
Milan is fiery red
On the Ftse Mib Leonardo's show continues which, after the +15,1% recorded in yesterday's session, is now gaining 2,5%, reaching a two-year high. The share is driven not only by the purchases that are affecting the European defense sector (Thales +5% in Paris, Dassault Aviation +1% in Frankfurt), but also by the possible acceleration of the restructuring of the subsidiaries Oto Melara and Wass. The company led by Alessandro Profumo also announced a 380 million euro contract over five years for the technical-logistical support of the Italian Air Force's C-130J fleet.
Rising oil prices boost equities Eni (+1%), while among the utilities it is saved Terna (+0,95%). In the sector it is necessary to report the collapse of Engie (-7,7%) in Paris due to the words of Bruno Le Maire on the activities in Russia of the transalpine utility, involved in the Nord Stream 2 gas pipeline, suspended by Germany, and of the compatriot Total Energies (-1,1%). "Now there is a problem of principle in working with any political or economic figure close to Russian power", underlined the French Economy Minister who however specified that Engie's situation is slightly different because it has converted the stake in the gas pipeline in a loan.
Returning to Milan, the main price list contains a war bulletin, with 37 out of 40 titles in deep red. The worst is Moncler (-4,95%), closely followed by Nexi (-3,99%) and Iveco (-3,89%).
Yet another difficult day for the banks, with Intesa Sanpaolo and Fineco (both -3,8%) leading the line of discounts. Mediobanca (-3,71%) and Bper (-3,29%) are also bad. After an opening rebound attempt, Unicredit turns red (-1,37%).
Amplifon (-10%), Enel (-3,46%) and Campari (-3,35%) also enter the top 3,32 for reductions. Stellantis loses 2,24% on the day of the presentation of the industrial plan.
Gas and oil prices soar
Commodity prices are on the rise again. On the Amsterdam stock exchange igas reached 108,4 dollars per megawatt-hour, up 10% from yesterday after also falling to as low as $96. Travel oil is also above 100 dollars a barrel, with Brent that this morning stood at 101,63 dollars a barrel, with prices up 3,74%.
However, the eyes of the markets are focused on the russian ruble, which recovers ground and exchanges at 93,4 against the dollar thanks to the rise in interest rates by the Russian Central Bank. The euro/dollar cross was stable in the 1,12 area.
Spreads in sharp decline
The only good news of the day concerns the decrease in the spread. The differential between the Italian 156-year bond and the German counterpart is 2,92 basis points (-10%), with the yield on the 13,2-year btp falling by 1,548% to XNUMX%.
