Markets are back in the red on a barrage of bad news as the pandemic spreads toinability of the Eurozone to team up.
Piazza Affari closes down by 3,15% and falls to 16.822 basis points, while on the secondary market the spread between Italian and German ten-year bonds starts again: 181 basis points (+10,98%), with the yield of the 10-year BTP at +1,33 .XNUMX%. There black smoke arrived yesterday evening on Eurobonds weighs on the Italian paper, together with the gloomy growth forecasts. According to the OECD, each month of lockdown causes a loss of 2 points of GDP to the main world economies.
Prometeia estimates is the Italian economy will drop by 6,5% in 2020, while the debt/GDP ratio will rise to 150%. Meanwhile, the Coronavirus continues its nefarious race in the world (almost 560 thousand confirmed cases) and the USA becomes the first country by number of infections. The news also comes from London that Prime Minister Boris Johnson and his health minister they are positive for the virus. "I have a cough and fever - says Johnson - but I continue to lead the country".
City does not react well, -5,24%, black shirt at European level. Frankfurt also sinks -3,71%; Paris -4,23%; Madrid -3,35%. Overseas the Wall Street rally ends which, after three euphoric days in view of the 2200 trillion government plan, travels downwards with banks and airlines leaving part of the earnings of the past sessions on the ground.
On the currency market, the dollar remains weak and the euro moves slightly up, with the exchange rate at 1,107. The pound plunges (0,8908, -1,4%, against the single currency). Sales hit gold, which loses more than one percentage point and trades around 1630,60 dollars an ounce.
Oil is starting to file the worst month in its history and trading sharply down, after a morning on parity. Brent -6,61%, 24,60 dollars a barrel, updating the lows since 2003. Crude drops 4,6% and slips to 21,56 dollars a barrel; on March 2, it was quoted at $46. The news that the US government will not allocate the funds necessary to increase its strategic reserves would also weigh heavily, as some members of the Trump administration had hinted at last week.
In any case, sales on black gold are sinking oil stocks. In Piazza Affari the worst is Eni -5,67%. Among the big Milanese companies, the worst performance is from Buzzi, -8,72% (15,86 euros). The cement company's stock is no longer in Equita's main portfolio, which also cut its target price to €20,2 per share.
Bad Nexi -7,46% and also managed savings, Azimut, -6,65%, after the gains in the last few sessions. Banks sink as spread rises and fears of a recession resulting in a rise in bad debts. Bper -6,44%; Mediobanca -6,15%. The Basel Committee on Banking Supervision will at least give banks more time grappling with the coronavirus emergency to implement capital rules that are yet to be implemented.
Fiat suffers -5,99%. The utilities stem the losses of the Ftse Mib, with Terna +2,9%; Hera +2,55%; Itagas +0,46%; Snam +0,1%. In fractional increase Recordati +0,61%; Amplifon +0,42%.
