The better-than-expected German Ifo and Draghi's words confirming an imminent intervention by the ECB reinforce the good performance of European stock markets. Milan rises by more than 1% and the spread is stable at around 156 basis points. Waiting for Fitch's judgment tomorrow, today the CTZ auction in April 2016 closed with the placement of all 3,5 billion against a demand for over five billion and rates slightly up to 0,786% compared to the auction previous. Also today, Spain has placed bonds for 5,57 billion in three, five and ten years with rates that have archived a new low since the introduction of the euro. In detail: 1,35 billion of 3-year securities with a maximum yield of 1,036% (as at 20 March it was 1,352%); 1,57 billion over 5 years with a yield of 1,678% (1,899% on 3rd April); 2,65 billion in ten years at 3,073% (3,308% in the previous auction). Madrid rises by 0,88%. London +0,64%, Frankfurt +0,99% and Paris +1% also did well. Here Alstom shines on the hypothesis of an incoming 13 billion dollar offer from General Electric. No comment from General Electric.
The words of Mario Draghi, president of the ECB, who spoke this morning in Amsterdam, came to bolster investor confidence. The Governing Council of the ECB, Draghi assured, "will take action" to safeguard price stability with respect to both inflationary and deflationary pressures. The ECB could "adequately respond to the malfunctioning of the bank credit markets with a targeted longer-term refinancing operation, or through a program of purchases of securitized assets". “We are witnessing a worsening of the inflation outlook in the medium term – Draghi also explained – which would require a broader asset purchase programme”.
In the morning, the ifo data on investor confidence surprised, rising to 111,2 points from 110,7 in March while a decline was expected due to the crisis in Ukraine. On the other hand, data in decline on the Italian foreign trade front: exports to non-European countries dropped in March by 1,2% on February and by 3,5% compared to the same period a year earlier.
Now we are looking at Wall Street after Apple, Facebook and Boeing released better-than-expected results last night. March durable goods orders and weekly jobless claims also coming from the US.
At Piazza Affari, Saipem +3,6% is waiting for the bills, Bper +3%, Banco Popolare +2,3%. The offer on the Stock Exchange of the unexercised rights to the 1,5 billion euro capital increase concluded early. Unicredit +2,15%, Finmeccanica +1,99%. Outside the Ftse Mib Moleskine rises + 3% after Mediobanca's promotion to neutral from underperform. At the bottom of the Ftse Mib Mediaset -0,21%, Azimut -0,17%, Autogrill -0,07%
