They brake i European markets in the wake of the contradictory signals arriving from the PMI indices on the performance of the economies, based on business purchases. France slows down, Germany rises thanks to the good performance of services which compensated for the setback in manufacturing. “Excluding Germany, the numbers probably aren't so rosy,” said Stuart Cole, chief macro economist at Equiti Group. But I expect the Governing Council's 'hawks' to be satisfied that today's data corroborates the ECB's message that further tightening of monetary policy is needed”.
The performance of the indices reflects these uncertainties: Paris, the worst, leaves 0,85% on the ground, affected by the slowdown in luxury. Frankfurt -0,14% remains close to the recent record. Milano, halfway through, yields 0,53% at around 27.200 points at the end of the morning.
In addition to macro data, certain corporate events contribute to ballast the markets. Loses the title in Paris Vivendi -6,5% on the news that controlling shareholder Vincent Bollore sold shares in the French media group.
Black day in Zurich for Julius Baer which loses 7,74%, in the running for the worst percentage drop for three years now, The crisis in the Swiss wealth management industry did not end with the collapse of Crédit Suisse.
Mps runs in Milan, suffers from luxury
Few points to point out Business Square where, on modest exchanges, the march of continues Monte Paschi Bank +2%. It also runs Bank Profile +5,2% after the controlling shareholder Arepo reached a binding agreement for the sale to the French management company of alternative investment funds Twenty First Capital of 29% of the capital. The other banks moved little: Bper -1,57%.:
The utility sector is weak and always pays for direct competition with government bonds whose yield well exceeds 4% for ten-year terms. Snam loses 0,4%, Terna flat, Enel falls by 0,2%.
Luxury sector, in sharp decline in Milan throughout Europe. The European index drops 2,9%: Brunello Cucinelli loses 2,5%, Moncler -2,6%. Down too Ferrari at -2,8%.
Juventus under pressure but the title resists
The title fluctuates Juventus. First in sharp decline on the wave of penalty of 10 points, which two days before the end of the championship establishes a probable exclusion of the Turin club from the Champions League. Then the coverings started and the title rebounded up to +2,2%. A speculative tail for possible nobility in the club cannot be ruled out. Well collected instead is the Lazio +2,2% which, in second place in the standings, toasts the mathematical certainty of participating in the top continental tournament.
Sold MFE shares A and B shares down 1,4% on the day of the Board of Directors on the first quarter with the results to be announced tomorrow before the markets open.
Saras stands out in the oil sector; Government bond yields rise
It stands out in the oil sector Saras with a leap of 4% thanks to the return of growth in the oil refining margin in May after the decline in April, as highlighted by Bestinver in the daily. “Margins are starting to benefit from growing demand for gasoline during the US driving season and demand for oil for cooling systems, particularly in Asia and the Middle East.” Saipem + 1,26%.
The Italian secondary trades in negative territory weighed down by the abundant supply, including the new 15-year BtpEi. The Treasury has so far raised orders exceeding 21 billion euros in the new bond it is launching via syndication. The 4,335-year trade at XNUMX%, spread and 184,5.
Fears remain for the US debt ceiling agreement
To penalize the Italian paper, but also the European one, a strengthening of the expectations for the rate hikes by the main central banks linked to the latest statements by Fed exponents and to the macro-European data. In the background remains the nervousness for the developments on the negotiations on the US debt ceiling after yesterday, in the meeting at the highest levels, no agreement was reached. However, the negotiators will continue to meet every day between now and June XNUMX, the date on which government funds are expected to run out.
I Wall Street futures are flat, while the bond market is under tension: 3,70-year Treasury Notes at XNUMX%, the highest since March.
