The whip of Mario Draghi makes the European stock markets gallop. In the early afternoon, a Milano the Ftse Mib index rose by 1,97%, to 19,588 points. No less robust is the reaction of Frankfurt (+1,78%) and of Paris (+1,68%). Most of all, however, salt Madrid (+ 2,11%). London + 0,81%.
Lo BTP-Bund spread drops to 146 basis points. The reaction is strongeuro, which lost ground against the dollar, falling to 1,243 from 1,253 in early morning trading.
Draghi, speaking in Frankfurt (before he took the field enemy Jens Weidmann) was explicit: “If our policy, on the current trajectory, fails” to lift inflation and inflation expectations, “or if further risks to the price outlook materialize, we will step up our pressure, widening the channels of intervention even further", said the president of the ECB, specifying that this enlargement would take place "by modifying the volume, pace and composition of our purchases accordingly". At this point the market believes in European QE as early as December.
News arriving from the East also contributes to favoring the offensive of the Bull: the Central Bank of China ha cut interest rates by a quarter point. It is the first reduction since July 2012.
In Piazza Affari, the credit sector stands out: Unicredit + 2,5% Understanding + 2,4% MontePaschi +1,3%. The Populars are also bouncing: Pop.Emilia + 3,5% Banco Popolare + 4,5% Pop.Milan + 2,3%.
The relaunch of the index is favored by the leap forward of theEni, which rose by 2,4% in the wake of the increase in oil companies. The other stocks in the sector were also positive: Saipem + 0,5% Tenaris + 1,5%.
Telecom Italy it reversed the initial losses and rose by 0,5% a few hours after the board meeting on strategic options in Brazil and on the offer launched on Metroweb.
The French conglomerate Bouygues close to +4% after the CEO of Altice (+0,2%) said it was open to buying Bouygues Telecom.
Among the industrialists, fca 0,7% salt, Finmeccanica + 2% Cnh Industrial + 3,4% Buzzi + 2%.
Down StM (-1,6%) after CEO Carlo Bozotti said yesterday that the profitability target repeatedly indicated by management (EBIT at 10% of turnover) could slip further due to the weak condition of the chip market. In December, the transfer of 13% of the Dutch holding that controls the Italian-French joint venture from the Treasury to Fondo Strategico Italiano should take place.
