The accommodative line of central banks, in particular the Fed's cut in rates by a quarter of a point (albeit with doubts about the future) and the first of the new TLTRO III auctions by the ECB, support the mood of the markets . European stocks close up with banks in tune, while Wall Street moves in positive territory and the Dow Jones is about to close the eleventh session up on 12.
Business Square rises by 0,82%, over 22 thousand (22.128 points), driven by Ubi +4,58%; Bper +4,37%; Finecobank +3,02%; Unicredit +2,27%. Among the industrialists well Buzzi +2,88%. In luxury Moncler,+2,3%, partially recovers yesterday's losses. Stay highlighted Generali, +2,2%, with investors' attention focused on Leonardo Del Vecchio's moves after the purchase of a stake close to 7% in Mediobanca (+ 1,19%).
Sales hit Ferragamo, -1,18%; Tenaris -1,18%; Amplifon -1,05%; Post -0,79%; Juventus -0,75%. They are little moved fca, +0,08% and Terna -0,28% who signed an agreement today to test 'vehicle-to-grid' (V700G) technology on a fleet of 2 cars, to allow the electricity grid to exploit the energy stored in the car battery and face the demand peaks. FCA is taking its first steps towards electric mobility after the proposed merger with Renault, a pioneer in the field, ended. The memorandum with Terna provides for the testing of a technology that allows electric vehicles to interact with the grid, through the charging stations. The V2G infrastructure will be built at the FCA Mirafiori plant.
In the rest of Europe, a few minutes before closing, the best is Madrid, +1,14%; Well Frankfurt +0,55%; Paris +0,68%; London +0,61%; Zurich + 0,45%.
Wall Street it is mainly driven by tech stocks, thanks to the performance of Microsoft, due to the fact that the IT giant increased its quarterly coupon by 11% and authorized a $40 billion buyback plan. Energetic stocks are doing well, while financial stocks are losing ground. People continue to wonder about the Fed's future choices after yesterday's cut. In its new report, the OECD has further lowered its estimates of world growth, but Jerome Powell does not foresee a slowdown in the stars and stripes economy. In that case, however, he would be ready to intervene. Today the super index of the economy seems to prove him right because in August it remained unchanged and was at the top of July 2018, against expectations of a slight decline. Traders thus reduce the odds to 42,8% of another quarter-percentage point cut in October, according to CME Group's FedWatch.
Meanwhile, the Fed has launched a new maxi-auction to inject liquidity into the system, the third in three days and for a good 75 billion dollars.
Prudence has guided the choices of almost all the other central banks called to pronounce. The Bank of England unanimously left rates unchanged at 0,75 per cent and sees "a limited rate hike as appropriate if Brexit is smooth and the global economy steady" while "the response to a 'no deal ' could go either way." Attention then that "the prolonged uncertainty of Brexit would weaken growth and inflation". The Japanese central bank left the cost of money unchanged, but signaled the possibility of increasing its stimulus package as early as the October meeting. The Swiss central bank kept rates unchanged, in line with expectations. The interest rate on the main refinancing operations remains unchanged at -0,75% and the target range for the three-month Libor remains in the range of -1,25% to -0,25%. In contrast, the Norges Bank, the central bank of Norway, which raised interest rates again to 1,5% from the previous 1,25%. This is the fourth increase in one year. Governor Oystein Olsen said "the current assessment of the outlook and the balance of risks suggests that the key rate is very likely to remain at this level for the foreseeable future."
In this context the dollar loses share against the major currencies. L'euro it rises slightly to area 1,105.
On the trade front, it should be noted that the second-level negotiators of the United States and China meet again today in Washington for the first time in almost two months. The two sides will also hold talks tomorrow to pave the way for high-level negotiations expected in early October.
The greater propensity for risk is holding back thegold, which falls towards 1506,2 dollars an ounce, while the Petroleum the weekly upswing continues and today it is up again, Brent at 64,60 dollars a barrel +1,59%.
Finally, the session was slow for government bonds. On the secondary, the Italian 0,88-year rate is slightly recovering to XNUMX% and lo spread between Btp and Bund it widens to 139 basis points (+0,81%). Bank of Italy data shows that in July foreign investors hoarded Italian securities: 30,1 billion, of which 19,1 related to public securities. On the other hand, the banks' recourse to the ECB's new facilitated liquidity auction, the so-called TLTRO, was limited: the central bank assigned 3,4 billion euros in long-term loans to 28 banks, against estimates for a figure between 20 and 100 billion euros.
