European price lists crash in the last session of the week, while Covid forces many countries to new restrictive measures, Pfizer announces that it will reduce vaccine deliveries pending improvement of its production capacities and China restarts with a lockdown for 28 million people . A picture that weighs on oil and related stocks.
To give the final push, to an already negative session, was also the start of Wall Street in the red. Joe Biden's proposal for a 1900 trillion dollar stimulus plan is no longer enough to sustain the mood of investors, who are questioning the resources to finance this plan and fear a tax increase. He also disappoints, in the economic sphere, the third consecutive monthly drop in retail sales (-0,7% in December against expectations of -0,1%). Industrial production, on the other hand, grew 1,6% last month, the largest increase since July, even though the Fed's index has not yet regained what it has lost since the start of the coronavirus pandemic.
Three large banks such as Jp Morgan, Citigroup and Wells Fargo are in the red after the presentation of their quarterly data, albeit satisfactory. JP Morgan recorded a profit boom (+42%).
Piazza Affari closes with a loss of 1,13%, at 22.381 points and archives a nervous week also from a political point of view, with the farewell of Italia Viva to the Conte government and the premier who will seek votes in parliament next week to try to stay in the saddle anyway. The fact that elections are avoided for now, which is the scenario most feared by the markets, eases the tensions on the spread, which in truth are never too marked. The yield differential between 10-year BTPs and Bunds of the same duration fell to 115 basis points (-3,09%) and the Italian 0,58-year rate fell, stopping at +XNUMX%.
Meanwhile, the government yesterday announced a new stimulus package worth 32 billion euros to support the economy, raising the budget deficit target for this year, while the new Dpcm has an extension to stem infections of various sizes and starting Sunday there will be three regions in the red zone (including Lombardy), 12 in the orange zone and six in the yellow zone.
In the rest of Europe: Frankfurt -1,45; Paris -1,22%; Madrid -1,66%. Amsterdam lost 0,75%, on the day of the news of the resignation of the government of Mark Rutte, resulting from a scandal linked to child benefits. London -1%, with the pandemic that leaves no respite and despite the fact that the data show a lower than expected contraction for the British economy in November. Losses in the mining, oil and gas sectors weighed on European lists, following the new restrictions in China, which raise concerns about demand from the world's main consumer of raw materials.
Brent March 2021 futures drop 2,3% and trade at around 55,12 dollars a barrel. The gold contract also falls, February 2021, -1,13%, 1830,40 dollars an ounce. On the currency market, the dollar remains well tuned and is on the verge of archiving the largest weekly gain since November against a panel of currencies. Reuters writes that analysts expect further strengthening in the near term as well as a rise in Covid cases curbs risk appetite.
The euro slips against the greenback by 0,5% and the exchange rate moves around 1,2. In Piazza Affari there are only nine blue chips that are saved from sales. It stands out above all the other Banca Mediolanum, +2,22%, supported by the promotion to "buy" by Goldman Sachs. In the asset management sector, Banca Generali also stood out +0,67%. In the rest of the price list, Enel +0,29%; Inwit +0,27%; Buzzi +0,19.
Prysmian starts the long list of reductions, -4,4%. Last Tuesday the shares had lost a lot of ground following the placement by Clubtre of 3,73% of the capital, but then they rebounded. However, the weekly balance is strongly negative, -8,07%. Say hello to the Ftse Mib in decline Fiat, -4,35%, which will return on Monday with the name Stellantis after the merger with Psa. The new automaker will debut the same day in Paris, while Tuesday in New York (closed the day before for Martin Luther King Jr Day). On this occasion John Elkann and Carlos Tavares, respectively president and CEO of Stellantis, will ring the opening bell of the Stock Exchanges.
Ferrari also falls back -2,55%. Sales hammer oil stocks: Tenaris, -4,19%, Saipem -2,76%, Eni -1,93%. Among the banks Unicredit -1,82% (-6,14% in the week). Atlantia sells 1,66%, on the day of the shareholders' meeting for the spin-off of Aspi. Outside the main basket, Cattolica yields 1,17%. The company convened an extraordinary board of directors on Sunday to work on the remedy plan after the numerous findings highlighted by the IVASS inspection. Among other things, the authority highlighted deficiencies in corporate governance and risk management, requesting, within 60 days, a plan detailing all the actions to be taken to remove the critical issues, strengthen the corporate governance system, with a deep replacement of the board of directors, and bring the conduct of Cattolica and the group back to sound and prudent management.
