The Tokyo Stock Exchange slows down this morning, -1,5%. There are two reasons: a) he took advantage on the eve of the electoral weekend which should sanction Shinzo Abe's affirmation; b) the effect on Asian suppliers of the disappointing quarterly accounts of Google and Microsoft.
After Intel's profit warning, both Microsoft -0,84% and Google -0,86% (both in the after hours) announced lower-than-estimated revenues and upward pressure on costs. The negative notes from hi tech held back the Nasdaq. In the end Wall Street closes like this: Dow Jones +0,50%, S&P +0,50%. Unchanged the Nasdaq, more sensitive to the technology sector.
After yesterday's leap forward, a lower opening is also expected in Europe this morning. London gained 0,95% yesterday, Frankfurt rose 1% and Paris advanced 1,4% while Madrid grew 1,85%. The Ftse Mib closed up 2,28% at 16.053 points. Piazza Affari is the best Stock Exchange in the Old Continent.
After a difficult morning, the yield on the 10-year BTP fell to 4,41% from 4,45% and the spread with the Bund narrowed to 290 (-4 basis points). The Spain/Germany spread fell by 5 basis points to 313. The recovery of the spread of Portugal (-10 bps) and Greece (-8 bps) was more pronounced
DRAGONS AND BERNANKE
Yesterday was marked by a wave of positive news.
1) ECB effect. Mario Draghi broadens the spectrum of collateral securities that can be discounted in the ECB. And he says he is open to new operations with the EU and the EIB for SMEs.
2) Effect Fed. Morgan Stanley +4,8% completes the record season of US banks.
3) Data on the US labor market which showed a drop in applications for unemployment benefits to 334 (from 360).
4) Lastly, the Moody's agency confirmed the triple A rating for US debt, raising the outlook from negative to stable.
RCS, CHECK THE NAME OF CAIRO
Urbano Cairo acquired a 2,8% stake in Rcs Media Group by purchasing 200 ordinary shares on the market and also proceeded to convert 4 million option rights into 11,78 million shares. The value of the operation is around 14 million. “Dr. Urbano Cairo – reads a press release – specifies that the investment is made on a personal basis. Communications on the subject of significant shareholdings will be made within the terms and in the manner prescribed by law".
What does it mean to attribute to the operation? "It's a small participation, the operation of a pure publisher who believes in publishing: I too wanted to make a contribution" commented Urbano Cairo in a statement to the Ansa news agency. «I tiptoe in, with a lot of respect for those who are already there» added the only pure publisher who participates in the group's shareholding structure.
ALL CRAZY FOR THE POPULAR
The extraordinary assembly of Monte Paschi (+2,4%) approved the abolition of the 4% ceiling on voting rights for members other than the Foundation. The resolution was approved by 98,88% of voters, equal to 53,6% of the share capital. But the ECB has taken care of giving wings to the banking system in Piazza Affari (in Madrid). The banks are flying, from Unicredit, up by 4,4%, to Ubi +5%, to Intesa +3,6% to Pop. Milan +9%, BancoPopolare +8,4%.
Pirelli also made a big splash, +4%. JP Morgan raised its stock recommendation from neutral to overweight, bringing the target price from 9,5 euros to 12 euros. According to the investment bank, the market underestimated the cost savings (270 million for 2013-2015), to be attributed to an increase in production in low-cost plants and more efficient use of raw materials.
In luxury, the new all-time high for Tod's stands out, +2,4%. The sector has benefited from Hermès' excellent quarterly report. Luxottica +1,77% and Ferragamo +1,4% also made progress. Back to running Mediaset + 3,5%. The only negative stocks of the Ftse Mib are Buzzi Unicem -3,51% and Campari -1,9%. The pressure on Telecom Italia continues, -1,97%.
