See-saw session and high volatility for European stock exchanges in awaiting the governing council of tomorrow's ECB and today's Fed, from which new moves are expected to support the debt and economic crisis. Among investors, however, the idea has gained ground that central banks could choose to wait until September before playing their cartridges.
Finally, the lists close in positive territory with the exception of Frankfurt. Milan rises by 0,27%, driven by the successful outcome of Mario Monti's mission to Finland which garnered significant consensus and convinced the tough Finns to find a European solution for spreads (“We hope – said Monti and the Finnish premier Katainen in unison – the implementation of tools with which spreads can be determined by the market in a way more consistent with economic policies. This could require decisions at the European level in the terms mentioned by the European Council".
Throwing the assist to Mario Draghi engaged in head-to-head with the Bundesbank: “The statements made by the president of the ECB last week are interesting, courageous and appropriate” said the prime minister who believes that there will be a banking license for the ESM. I was particularly impressed – Monti continued on Draghi – by the clarity with which Draghi explained that too high spreads between interest rates damage the transmission mechanisms of monetary policy, an argument that clearly falls within the mandate of the ECB”.
Il Btp-bund differential closes at 455 basis points and a yield of 5,93%, down from 479 at the opening, after a low of the day at 451 points. The Bono-bund spread also closed down from its opening at 436 points.
According to the premier, Italy does not need aid at the moment that "may be necessary due to the slowness with which the markets understand and recognize the efforts undertaken and the results achieved".
The other European markets also did well with the exception of Frankfurt which closed down by 0,20%: Paris +0,96%, London +1,33%. At the close of Europe, the Dow Jones rose by 0,28% and the Nasdaq by 0,05%. The euro fell slightly against the dollar to 1,2303 (-0,01%) and Wti oil rose by 0,70% to 88,68 dollars a barrel.
The words of the Bundesbank which, moreover, dated back to a month ago, have now been archived and redimensioned by the markets and have been included in a celebratory publication. Instead, we look to a more possibility-based Angela Merkel which looks at the stability of the economic system as a whole. Meanwhile, Germany has placed 3,35 billion euros of five-year bonds (out of the 4 billion target) at a rate of 0,31%, a new record low.
Waiting for Fed verdict on the health of the US economy expected in the afternoon, the markets remain unchanged after the data on the US ISM index which disappointed expectations in July reaching 49,8 points from 49,7 points against the 50,2 points expected by analysts .
Manufacturing bad in July also in the Eurozone: the survey of purchasing managers shows a drop in the PMI index to 44,0, below the June level (45,1). In particular, in July, German manufacturing suffered the most marked contraction for over three years in a context of falling orders and production for companies.
They do better than expected instead the Adp estimates on jobs created by the US private sector: 163 jobs, less than the previous survey of 172 units (which, among other things, has been revised downwards from 179) but above the expectations of analysts who expected 120 units. But official labor market data will be released on Friday.
In Piazza Affari it is collapse for Mediaset -10,83% which was suspended on the downside on disappointment with the half-year accounts and the cut in ratings by several investment houses. In the conference call with analysts, Giordani stated that the group's priority objective remains the reduction of debt and not the payment of dividends. Azimut was also in the red - -1,74% despite a half-year with profits up 76,5%. Among the worst also Impregilo -0,85% and Ansaldo Sts -0,96%. Rcs drops by 4,38% due to a half-yearly loss of 427 million.
Parmalat runs on the Ftse Mib instead +9, 51% after the promotion of Chevreux to "outperform": under the leadership of the Lactalis group, the Emilia-based company closed the second quarter of 2012 with a 6,2% increase in turnover, the EBITDA is up by 11,7% and net profit up by 86,3% after having benefited from lower depreciation and a lower level of taxation. A positive surprise was also the net financial position, positive for 1,578 billion.
Eni -0,24% has proposed an interim dividend of 0,54 euro per share (0,52 euros in 2011). The group also announced, on the occasion of the quarterly, a new important discovery in Mozambique in the Mamba North East 2 exploration project, which adds at least 282 billion cubic meters to the potential of Area 4.
Featured on Ftse Eb also Enel Green Power +4,55%, Mediolanum +2,37%, Diasorin +2,20% and Telecom Italia +2,26% awaiting the accounts. Fiat closed up 0,15% as we await data on registrations for July.
The judicial front is heating up Mediobanca-Ligresti affair. Today the CEO of Mediobanca +0,57%, Alberto Nagel, was heard by the prosecutor Luigi Orsi on the alleged secret pact with the Ligresti family for the exit from the Fonsai group (+1,8%) which he would grant to the Sicilian family a severance pay of around 45 million euros (plus a whole series of benefits). The existence of the agreement was affirmed both by Paolo and Jonella Ligresti and by their father, while it was denied by Piazzetta Cuccia. An unsigned document (while Ligresti claims to have signed it), was seized in the office of the lawyer. Rossello, secretary of the Mediobanca shareholders' agreement.
Today the Council of State rejected the appeal of Sator and Palladio. Arpe and Meneguzzo had appealed against the decision of the Lazio Regional Administrative Court which had not accepted their request for suspension of the Isvap provision which authorized Unipol to take control of Fonsai.
