HISTORICAL RECORD FOR BOTS. YIELDS BELOW 0,5%. MPS IN FREE FALL CRUSHES FTSE MIB INDEX
The annual BoTs have marked a new historical low for the yield which falls for the first time below the threshold of 0,5 percent. In fact, the Treasury placed 6,5 billion BoTs maturing on 12/6/2015 with a simple weighted average yield of 0,495% (16 basis points less than in the previous auction). Demand was very strong, exceeding 11 billion euro, for a coverage ratio of 1,7, higher than that recorded last May.
The spread follows the optimism of the auction and contracted by 2 basis points to 137. A day of declines instead for share lists. The Milan Stock Exchange is down after four consecutive rising sessions, the Ftse Mib index loses 0,96% to 22.286. The loss, the worst in Europe, is linked to the slide of Monte Paschi, which fell sharply after two days of upward closures, after sessions in which it failed to mark the price. At 12, Monte dei Paschi marks -25% to 1,669 euros, the right yields 13,5% to 17,21. Nearly 23 million shares traded, compared to a 30-day daily average of 31,2 million and 3,7 million rights. This morning trading resumed regularly after two turbulent sessions that saw the stock price only in the closing auction.
All the main European stock exchanges retreat after the downward revision of global GDP growth estimates by the World Bank. London -0,52%, Paris -0,7%, Frankfurt -0,74%, Madrid -0,88%. The downturn of Lufthansa weighs on Frankfurt -12% reaching the lows of 2009 after having cut growth estimates for this year and next year.
Returning to Piazza Affari, Fiat lost 1,38%. Heavier was the decline of Finmeccanica -2,34%, StM -0,9%. Prysmian is down by 1,01%.
Enel and Telecom Italia unchanged. Reverses the Mediaset course -3%. Tenaris fell -3,2%, overwhelmed by the collapse of the French competitor Vallourec, which lost 12% after the profit warning. Among other oil products, Eni fell by 0,3%. The Wall Street Journal reports that the Kashagan field will be shut down for a year and a half. Saipem -0,64%.
World Duty Free loses 1,3%. Among the banks, Unicredit drops by 1%, Intesa -0,9%, Mediobanca -3%, Pop.Milano -1,9%, Pop.Emilia -2%, Ubi Banca -1,1%. Generali today completed the closing for the sale of 100% of Fata Assicurazioni to Cattolica. The total gross value - specifies a note - as a result of the price adjustment procedure, is equal to 194,7 million and allows the Trieste group to "further strengthen its liquidity profile and capital solidity with an improvement of 0,7 points percentages of the Solvency 1 index”.
