FCA collapses again and – together with theTrump effect – drags the Ftse Mib down by 1,34% at 11, black jersey among the main European lists. By mid-morning, Fiat Chrysler shares, which had already lost 4,6% yesterday, dropped another 6,3%, at 9,05 euros, the worst drop on the main stock exchange listed on Piazza Affari. A scare that seems to fade as the hours go by but which keeps the stock down by 4,87% at 11am.
To trigger the wave of sales on the automaker there were two news. The first, which arrived yesterday, concerns the infringement procedure opened by the EU against Italy for the violation of emissions regulations by FCA.
The second, however, was reported today by some American newspapers and by Bloomberg, according to which the US Department of Justice could file a lawsuit against the Detroit group if it were not possible to reach an agreement on the alleged violation of the rules on pollution.
The scenario of a legal action against FCA had already loomed last January, when the EPA (United States Environmental Protection Agency) had accused the group of having installed software on over 100 diesel vehicles sold in the USA to manipulate the level of emissions. The models targeted by the authorities are the Jeep Grand Cherokee and the Ram 1500 produced between 2014 and 2016.
The American subsidiary of the group explained that "active discussions" are underway with the Department of Justice. "If there is a trial, FCA will defend itself vigorously, particularly against any allegations that the company deliberately installed deceptive devices to circumvent the tests," the group said in a statement. FCA has always rejected the allegations and said it was committed to resolving the concerns of the authorities, proposing a software solution that could soon get the green light from the regulatory authorities. This solution aims to avoid the possible fine, which according to analysts in the worst case scenario could exceed 4,6 billion dollars.
Furthermore, the vertical collapse of the dollar and the political uncertainty surrounding the American president following the so-called Russiagate are weighing on FCA's quotations. In recent months, in fact, the Fiat Chrysler stock had been one of the main beneficiaries of the Trump effect.
