The third round of quantitative easing will likely close in October with a $15 billion cut. This is what emerges from the minutes of the last meeting of the Federal Reserve.
The minutes also note that the economy rebounded in the second quarter after a "large and surprising" decline in the first quarter. Mexican telecommunications tycoon Carlos Slim will divest some assets of AmericaMovil +9,89% to avoid the accusation of abuse of a dominant position.
The company controls 80% of Mexican landlines and 70% of mobile phones. Even the repeaters and Telcel infrastructures would be ready to be sold outside
They bounce European stock exchanges after black tuesday.
The Paris Stock Exchange gained 0,4%, Frankfurt +0,3%, London closed down 0,2%. Banks, yesterday the worst sector, today were among the best stocks: the European Stoxx index of the sector rose by 0,4%. Utilities are down -0,5%.
BOT / PORTUGAL
Great emotions yesterday on the sovereign debt front. It was the Portugal: the yield on the Portuguese 15-year bond rose by 3,78 basis points to 9%, following rumors about the default risk of a bond issued by the holding company of Banco Espirito Santo, Portugal's leading bank. The title loses 1,21%. The crisis has triggered a wave of purchases on the bund, which is stationed around the highs of always with a yield of XNUMX%.
The gap between the Bund and the BTP widens as a consequence to 164 basis points (+2 bps). The yield on the Italian 2,87-year bond is at 3% (+XNUMX bp).
The agitation on the price list shouldn't affect the outcome of the 12-month Bot auction of this morning. Operators' expectations are for a yield of less than 0,40% (towards the 0,35% area), below the all-time low of 0,495% recorded last June. Demand is also expected to be solid, considering that the amount offered is lower than that maturing (6,5 billion compared to 7 billion).
Friday will be the turn of the BTP at 3,7 and 15 years which will be offered, respectively, for 2,5-3 billion euros, 2-2,5 billion and 1,5-2 billion.
To attract the attention of investors, however, could be the issuance of the three-year bond announced by Greece, the second since the international bailout four years ago. The Greek government aims to raise at least 500 million euros, but according to some operators it could sell up to 3 billion and the yield settle between 3,5% and 3,635%.
BANKS
Great recovery of the banks after the Black Tuesday.
Intesa rose by 2,9% the day after the confirmations, arrived from the CEO Carlo Messina, on the imminent start of a reorganization and simplification plan of the structure capable of drastically reducing the number of subsidiaries.
Equally active is the shipyard of Unicredit +1%: the managing director Federico Ghizzoni confirmed that the auction for Unicredit Credit Management Bank, the division active in the management of non-performing loans, will close by the end of the year. For Pioneer, the asset management subsidiary, a partner will be sought, excluding the sale or IPO.
It also bounces MontePaschi +2,9%. The sense bank placed a new 10 billion euro 1-year covered bond (the first transaction on the bond market since the end of the 5 billion euro capital increase), at an effective annual yield of 2,922%, equal to 148 points basis above the reference midswap rate.
Highlights too Mediobanca +2,3%, Banca Popolare di Milano +1,8 and Banca Popolare dell'Emilia Romagna +1,5%.
Banca Carige it gained 1,13% to 0,1614 euros and the latest communications from Consob on the relevant holdings revealed that Ubs has reduced its stake in the Ligurian bank from 4,05% to 1,798%. The transaction dates back to 30 June, when the trading period of the rights to the 800 million euro recapitalization expired. The management catches fire after the data from the June collection.
Boom in managed by Azimuth +4,4%: Deutsche Bank raised its recommendation to Buy.
Mediolanum +2,2%. Anima gained 1,52% to 4,4 euros.
FinecoBank it rose by 1,5%, returning above 4 euro. The good performance of Eni +0,8% also contributed to supporting the main index thanks to the promotion of Deutsche Bank.
Saipem + 0,9% Tenaris -0,7%.
Saras +1,04%. The company led by the Moratti family has launched a private placement of bonds maturing in July 2019 and with a fixed annual coupon of 5%. The proceeds will be used to refinance part of the existing debt. Saras could aim to raise up to half a billion euros in several tranches.
Enel it advances by 1,1%.
Telecom Italy earn 0,2%. the shareholders' meeting of Telco (holding company which holds 22,4% of Telecom) approved the partial demerger project already approved by the board of directors and communicated on June 26, the completion of which is now subject to authorization by the various antitrust authorities.
Mediaset +0,3%.
Among the minor titles Igd it sold 4,08% at 1,224 euros after yesterday it signed an agreement for the purchase of properties valued at 92,67 million and then decided to submit a capital increase of 200 million euros to the shareholders. Among industrial stocks, Fiat +1,6%, StM +1,9%, CNH Industrial -0,8%.
LUXURY
The retreat of luxury stocks continues. In addition to the slowdown in Asia, the sector has to deal with lower Russian consumption. According to the forecasts of the Altagamma foundation, the luxury goods market in Russia will drop in 2014 by about 4%-6%. Also the purchases of Russian tourists in Europe decreased in 2014.
They got off Moncler -1,3% (new low since quotation), Ferragamo -1,2%, Tod's -0,2%, Yoox -1,8% (new low in the last 12 months).
Luxottica +0,67%. Kepler has cut its dividend and earnings per share estimates through 2016 due to still unfavorable foreign exchange impact. However, experts are expecting a solid performance for the second quarter, with organic growth in the range of 6-7
