While awaiting the crucial data of the week, the one on employment in the United States, scheduled for today at 14.30 pm, world stock exchanges pull the oars in the boat. Wall Street likes Joe Biden's decision to revise corporate tax rates downwards to 15%, abandoning the project to instead raise it up to 28%, in exchange for the Republicans' commitment to support his infrastructure investment plan for at least a trillion dollars. But the markets, after the jump in new jobs in the private sector alone, added to the sharp drop in new unemployment benefits and the increase in activity in the service sector, are having no illusions: a sharp increase in jobs it will only force the Fed to cool the economy, at least in the short term. In the wake of this forecast, a slow-trotting end of the week is explained.
ASIA TOWARDS A WEEK IN RED
Wall Street futures are flat this morning. In Asia, the Nikkei index fell by 0,4% in the final session: the week closed down by 0,7%.
Similar script in the rest of Asia: CSI 300 of Shanghai and Shenzen lists +0,4% (-0,7% per week), Hang Seng of Hong +0,1% (-0,4% per week). Kospi of Seoul +0,1% (+1,7% the week).
Mumbai's BSE Sensex is on par (+1,7% a week). The Central Bank revised its GDP growth for the 2021-2022 fiscal year downwards to 9,5%, from +10,5%.
Taipei's Taiex index lost 0,7%, but in its currency it gained 2% this week.
GM AND FORD SPOTLIGHT ON WALL STREET
Lists in red yesterday on Wall Street: Dow Jones -0,07% (after five sessions of rise), S&P500 -0,39%, Nasdaq -1,03%.
In great evidence General Motors (+6,4%) and Ford (+7,2%), which have revised their targets upwards.
The 1,63-year Treasury Notes are weakening slightly to 1,211% yield. The euro dollar changed pace after yesterday's macro data, falling to a three-week low of XNUMX.
INFLATION SCARES GOLD
But the most affected by the return of some fears about inflation is gold, down 2% yesterday.
Oil slows down, but Brent (-0,4%) remains above 71 dollars.
AMC RAISES ANOTHER $587 MILLION
Bags on standby, therefore. But the caution of the markets, which fear a jump in jobs with immediate effects on the cost of money, doesn't hold back the imagination of the gnomes on Wall Street, who are increasingly focused on exploiting the abundant liquidity in circulation. Despite the call for caution clearly printed on the prospectus, AMC yesterday completed a new capital increase for 587 million dollars. In 2021 the cinema company, already given up for a go, raised $ 1,3 billion thanks to the support of small shareholders, to whom it offers popcorn at will in gratitude.
A SPAC FOR UNIVERSAL. AND BOLLORÉ SCARY TO MEDIASET
Meanwhile William Ackman, one of the best-known wolves on Wall Street, is preparing to marry his Spac (special acquisition company) with the music giant Universal, thus listing an estimated group on Wall Street, including debts, at 42 billion dollars. At the end of a complicated round of steps, Universal, valued at thirty billion a year ago, will be worth ten billion more. Miracles of finance to the delight of Vivendi, who holds control of the goose that lays the golden eggs (Lady Gaga, Taylor Swift, the catalog of the Beatles, Queen and Bob Dylan) which is now worth almost half of the turnover of the Bolloré group. A sign of wealth that puts Mediaset's top management under suspicion. It remains to be seen that the Breton financier does not start re-discussing peace with the Biscione…
BUSINESS CENTER ONE STEP AWAY FROM THE HIGHESTS OF 2008
The European stock exchanges remain at their highs for the period, or in history, but have not had the strength to go further. The datum is particularly true for Piazza Affari, which, with millimeter progress, yesterday took another step towards the record of October 2008 (25.483 points), closing at 25.452 (+0,29%). Will today be record day? Analysts, awaiting the data on US jobs and its effects on the expectation of inflation, have discrete doubts. In any case, the barrier is difficult and will require several confirmations to decree its breaking. But the scenario that will open up afterwards will be excellent, with large areas for appreciation in the medium-long term. In the meantime, the 24 thousand point area remains a support zone.
IMF RAISES ESTIMATES FOR ITALY
In the meantime, after the OECD and the PMI data, more confirmations are arriving on the recovery of the Bel Paese. The Monetary Fund has raised its GDP estimates (+4,3% in 2021) and the Confindustria study center has revised upwards the industrial production data for April and May (+0,3% and +0,4 %).
THE RUSSIAN SOVEREIGN FUND CLOSES THE DOOR TO THE DOLLAR
In the rest of Europe, the worst market is London (-0,62%), penalized by sales on mining and raw materials shares, but also by the detachment of the dividend of National Grid and Kingfisher. BT drops 2,9% after Deutsche Bank downgrade.
Frankfurt is doing well (+0,2%), which remains at its highs, while Paris (-0,21%; Remy Cointreau -4%), Amsterdam (-0,26%) and Madrid (-0,43%) are weak ).
The euro slips to 1,21 against the dollar (-0,7%), despite the torpedo dropped by Putin: within a month, the Russian Sovereign Fund will bring the weight of dollars in the portfolio to zero. Currently the Fund is worth 184 billion dollars and the US currency accounts for about 20%. Therefore potential sales would be around 37 billion, to be spread over the other main currencies.
THE SPREAD STAYS ABOVE 100
Italian bonds closed in negative ground, with yields at recent lows, while investors are becoming more cautious as they await next week's ECB board meeting.
The yield of the ten-year BTP is 0,84% from 0,83% at the previous closing.
The spread between Italy and Germany on the ten-year segment is 102 basis points, above the psychological threshold of 100 points.
The "period of silence" began yesterday before the awaited meeting of the ECB on 10 June, to avoid saying anything that could influence expectations on monetary policy decisions.
Treasury auctions in France and Spain recorded good demand yesterday, better than Germany's latest placement.
ILLIMITY AGITA PIAZZA AFFARI, SALT FINECO
In practice, only Illimity (+5,7%) took care of animating a plastered market on the wave of rumors of an interest by Andrea Pignataro of Ion for a share in the institute founded by Corrado Passera. In the afternoon, an Ion spokesman denied making an offer, but the stock held on to gains.
Banks recovered in the afternoon after a weak morning. Banco Bpm (+0,91%) and Mediobanca (+0,81%) rose in particular. Unicredit and Intesa up by half a point. Bper falls (-0,5%). +
Assets under management were positive: Fineco grew by 1,06%, Azimut by 1,24%, Poste Italiane rose by 0,93%.
THE H-FARM RALLY CONTINUES
The race of H-Farm continues in Aim (+13,3%). The digital start-up incubator also active in training, thanks to Depop's billion-dollar sale (which yielded the company 6 million euros) has reached and exceeded the targets, relating to startup exits, outlined in the entire 2020-2024 business plan in advance. The resources will be used to support the H-Farm Business Plan and the development of the entire H-FARM Education business unit.
BRENT PUSHES SAIPEM, RECORDATI TO THE RESCUE
The price of Brent over 71 dollars a barrel pushed energy-related stocks again today: Saipem +1,4% (but still in the red by 0,7% since the beginning of the year). Tenaris also strengthened (+1,3%). Eni advances by 1%.
Recordati made marked progress (+1,13%): Intesa Sanpaolo raised its target price from 49,1 to 50,3 euro, confirming its hold rating.
Focus on Diasorin (-0,07%), after the company signed an agreement with Unipharma and Alliance Healthcare for the distribution and sale in Italian pharmacies of the Point-Of-Care (POC) immunodiagnostic platform Liaison IQ.
SETTLEMENT FOR STM AND FINCANTIERI
On the industrial front, good starting points for Pirelli (+2,2%) and Piaggio (+3,7%). Ferrari (+2,04%) and Prysmian (+1,9%) performed well.
On the other hand, Stmicroelectronics suffers (-1,4%), hit by sales in the sector in the USA.
Fincantieri (-2,7%) leaves half of the previous day's progress on the ground.
ROME, THE MOURINHO EFFECT TURNS OFF
Among the minors, he rips Aedes (+15,95%) and profit-taking on As Roma continues (-5,5%) after the rush of the last few weeks linked to the arrival of Mourinho and expectations for the players' transfer campaign .
