DOW JONES CLOSES ABOVE 16 THOUSAND. PROMOTED YELLEN. ENI, SNAM, STM AND TERNA: STATE SALES TEST
Asia finishes the week higher. Leading the race is Hong Kong +0,4%. Since last Monday, under the impetus of Beijing's reforms, the list has risen by 5,9% to an eight-month high. Slight increase in Tokyo +0,1%. The bullish momentum faded after BOJ governor Juroda said the yen, melting at 101, "is too low."
On Wall Street, the Dow Jones index closed for the first time in history above 16.000 (16009,99) with a gain of 0,69%. The list of blue chips had already exceeded this level in recent days and then retraced before the final. The Nasdaq also grew by 1,22% to 3969,1 and the S&P 500 +0,81 to 1.795,85.
Janet Yellen passed the first exam: with 14 votes in favor and 8 against (one of the lowest majorities ever for this nomination, demonstrating the Republicans' hostility towards the director of Quantitative Easing) the Banking Committee gave the go-ahead at the appointment. Thanks to the new rules (nominations nominated by the president pass with 51% of votes) the confirmation of the meeting appears obvious.
The rise is significant on the price list General Motors +3,2%, following the announcement that the US government will definitively exit the capital by the end of the year, ahead of schedule. Ford + 1%. Apple Lossless Audio CODEC (ALAC), scores a new round of the infinity war with Samsung. The California court has quantified the fine for the patent infringements of the Galaxy manufacturer at 289 million dollars (to be added to another 600 already defined). But more episodes of the saga are on the way.
London and Frankfurt closed almost unchanged, Paris -0,3%. The FtseMib index gained 0,6% making Piazza Affari the best stock exchange in Europe.
THE TREASURY CANCEL THE BTP AUCTIONS…
The 10-year BTP closes at a yield of 4,09% with an unchanged spread at 235. The Treasury canceled the index-linked BTP auctions of 26 November and the medium/long-term ones of 12 December “in consideration of the wide availability of cash flow and reduced financing needs. The Bot auctions and the Ctz auction scheduled for November 26 remain confirmed.
Meanwhile, Spain easily placed 3,5 billion 3-year bonds against vigorous demand (2.5 times the amount issued). During the week, Madrid also placed 1-year bonds for 3,7 billion with the lowest yield ever: 0,678% against the previous 0,961%.
AND THE STATE OFFERS START ON THE STOCK EXCHANGE
Privatizations? In reality, the program announced by Enrico Letta to raise 12 billion makes use of financial engineering to raise cash without losing control over the companies considered. Also for this reason, the market reaction on the securities concerned was probably very cautious: Eni -0,4%, Enel +0,8%, StM -1,2%, Snam +1,2%, Terna +0,7, XNUMX.
At the top of the list of interests is Eni. The operation provides for the sale of 3% accompanied by a substantial buyback by the company, in order to allow the Treasury (currently owner of 30,3%) not to fall below 30% overall.
In technical terms, Eni will have to buy back treasury shares on the market close to the maximum allowed of 10% to allow the Treasury to sell the 3% announced today by the Prime Minister, Enrico Letta, without the State falling below the strategic threshold of 30%.
The operation therefore requires Eni to spend about 6 billion: Eni, in fact, must make a buyback and then cancel the shares. At that point Treasury and CDP will find themselves with inflated shares in percentage terms. This will allow the Treasury to sell a part of its "inflated" share on the market, collecting 2 billion.
The public stake in StM will also be reduced, where today the Treasury indirectly controls 50% of StM Holding (a similar stake is held by companies controlled by the French state) which in turn controls 28,23% of the listed stock St Microelectronics.
The sale of a non-controlling stake in Cdp Reti, the company that holds 30% plus 1 share of Snam and into which the 29,9% of Terna held by Cdp could converge, was confirmed. None of the companies mentioned here reported any particular changes today: Eni -0,4%, Enel +0,8%, StM -1,2%, Snam +1,2%, Terna +0,7%.
BANKS, THE REVALUATION OF BANKITALIA COMING SOON
The rise in the Milan Stock Exchange was led by the banks: Unicredit + 2% Understanding + 2,3% Mount Paschi + 0,4% Ubi +1,9%. Next week, the government will approve the decree that will give shareholder banks the possibility to revalue their holdings in the Bank of Italy. Intesa Sanpaolo owns 44,4% of Bankitalia and Unicredit 22,1%, out of a total value of the institution led by Ignazio Visco estimated at between 5 and 7,5 billion euros.
B.Pop.Milano +1,4%: the former minister Piero Giarda has dissolved the reserve and will present the list for the renewal of the CDS which will see him as the head of the list and therefore as a candidate for the presidency of the supervisory body in the meeting of 21 December. Competitor Lamberto Dini's team will be announced in the coming days.
Generali +0,4%: Jp Morgan raised its target price to 21 euros from 20 euros, Overweight recommendation. Fondiaria Sai + 1,4%. Catholic closed unchanged.
TELECOM, BEAT AND REPLY ON THE CONVERTENDO
Telecom Italy +1%. Q&A between the club and Marco Fossati's Findim on the convertible. "I reiterate that I have not received Domenico Siniscalco's offer to purchase the convertible, nor that I have been able to participate in the subscription". This is how Marco Fossati commented on the declarations of the managing director of Telecom Italia, Marco Patuano, released yesterday in the hearing in the industry commission in the Senate. "The Joint Bookrunners - also on the recommendation of the company - tried to get in touch by telephone with the shareholder, receiving no response", was Telecom's reply.
The CEO, Marco Patuano, affirmed in Parliament that deleverage remains a priority of the group and that "I'm not soliciting an offer on Brazil, because it is a strategic asset, a market that is certainly important for us". This does not mean, he specified, that offers will not be taken into consideration.
Pirelli +1,4%: HSBC raised its rating to Overweight from Neutral, bringing the target price to 13,5 euros from 11 euros. Cnh Industrial fell by 1,4%, Fiat +0,8%. Tenaris+ 0,9%. Telecom Italy + 1%. Mediaset it lost 3,6% after Goldman Sachs cut its European media rating to “neutral”. in luxury, Ferragamo +2,9%. Continue the march of Diasorin + 2,33%.
A CHINESE FOR ROME, OK CONSOB TO BUFFON
He takes a leap As Roma (+10,19% to 1,395 euros) in the wake of rumors about an interest in entering the capital by a Chinese investor instead of Unicredit. The bank specified that it is available to evaluate any opportunities to enhance its share in the club but that no decision has been made at the moment.
Favorable day also for Zucchi +0,96%, of which Juve and national team goalkeeper Gigi Buffon is a major shareholder: the company benefited from the approval by Consob of the publication of the prospectus relating to a capital increase of 20,5 million.
