Closing in random order for the European price lists, enlivened by the possible marriage of fca (+9,53% in Milan) e Peugeot (+4,5% in Paris), but weighed down by the banks with the thud of Deutsche Bank (-7,6% on the Dax) and by Banco Santander (-6,9% on the Ibex 35) after the accounts for the first nine months of the year.
Business Square loses 0,15% and falls 22.646 points, balancing the collapse of Pirelli -10,67%, with the surge in FCA. The credit sector contributes to lowering the mood, while the spread rises to 135 basis points (+1,07%) and the auctions for 5,5 billion euro of BTPs ended with rising yields.
In the rest of Europe: Frankfurt -0,2%; Paris +0,45%, thanks to L'Oréal (+7,5%) ed Essilor-Luxottica (+1,05%) after accounts; Madrid -1,24%; London +0,4%; Zurich -0,01%, where Credit Swiss lost 2,5%, although third-quarter earnings beat estimates.
Wall Street, after a colorless opening, is looking for a direction waiting for Jerome Powell and the almost obvious decision of the Fed, which should lower the cost of money by another quarter of a point, the third of the year. However, only 25% of operators are willing to bet on a fourth intervention by the central bank before the end of 2019, also in light of the preliminary reading of GDP for the third quarter, +1,9%, which is down compared to the second quarter (it was +2%), but less than expected (the estimate was +1,6%).
Furthermore, the trend of the market weighs on the markets Petroleum, racing down after the weekly US inventories data as of Oct. 26 was far higher than forecast. Brent loses 1,74% and falls to 60,52 dollars a barrel. L'gold it rises to around 1496,15 dollars an ounce.
THEeuro-dollar is in mild favor of the single currency at 1,124. The European currency also appreciated slightly against the pound, with the exchange rate around 0,864.
Returning to Business Square, FCA is the star of the day, after the confirmation of the rumors about a negotiation with PSA. Reuters he writes that the agreement could already be announced tomorrow and that the Turin house has convened a board for tonight on the possible aggregation with the French house. Stay at stake Renault (-4% in Paris), which has let slip the opportunity of a union with Lingotto.
The merger between FCA and PSA it would lead to the birth of a 50 billion dollar (45 billion euro) automotive group, capable of selling almost 9 million cars and placing itself in fourth place in the global ranking of manufacturers. For the rating agency S&P "the talks come at the right time and could have a positive long-term impact on the credit conditions of both groups", assuming "an equal merger". Exor +4,6% followed.
Accounts reward Amplifon, +5,3%, which expects to “continue to record a favorable evolution of revenues, higher than the market, thanks to the contribution of all the geographical areas in which it operates and driven by solid organic growth, the integration of Gaes and the contribution of external growth, mainly in France and Germany”. leap of Recordati +3,18% and Diasorin + 2,38%.
The black jersey of the list belongs to Pirelli, which disappointed yesterday evening, with the downward revision of the forecasts and the postponement of the industrial plan to the first quarter of 2020.
The sales penalize oil stocks, above all Saipem -3,77% and Tenaris -2,88%. Banks in decline: Bpm bank -3,1%; Unicredit -1,88%; Bper -1,89%; Mediobanca -1,84%; Ubi -1,62%; Understanding -1,03%.
Out of the main basket Bank Ifis loses 7,6%. The board resolved to definitively abandon the negotiations with Credito Fondiario, for a possible alliance in the debt servicing and debt purchasing sectors.
