Uncertainty dominates the financial markets, under the pressure of the Greek crisis and the even more explosive situation in Ukraine. Effective therapies for the Greek syndrome have not arrived since the G7 summit, as expected. At least in appearance: according to The Wall Street Journal, the proposal to postpone the maturity of Athens' debts to next spring has made headway. But first, as Angela Merkel underlined, "Athens needs to propose and implement measures". As soon as possible because there isn't much left”.
Weak Asian stock exchanges, which is weighed down by the risk of an increase in US interest rates. Both Tokyo and Hong Kong fell, both just under one percentage point. Chinese markets are also lagging behind. Other disturbing data is arriving from the economy, starting with the slowdown in inflation, 1,2% on an annual basis, well below the government's target of 3%. But, in addition to the expectation of new monetary stimuli arriving from Beijing, Shanghai is supported by the expectation of MSCI's decision: Chinese stocks could be included in the Global Markets basket tonight. If the change concerns only type A shares, purchases are expected for 3 billion dollars, if the other types are also accepted, the flows of funds to Shanghai and Shenzhen will amount to 47 billion.
APPLE DISAPPOINTS, TURKEY DEPRESSES EMERGING PRICE LISTS
Final in letter also for Wall Street after a day devoid of important macro cues. The Dow Jones index closed down 0,46%, S&P 500 by 0,65% and Nasdaq by 0,92%. Apple's meeting with its suppliers did not offer any unexpected insights. In closing, the stock fell by 0,5% As expected, La Mela launched Music, the new music streaming service resulting from the acquisition of Beat by Apple, which will have access to internet radio as well as millions of songs and algorithms to understand the musical preferences of each individual user. The service will start in late June at a cost of $9,99 a month. Also planned is a new version of iTunes for Mac and Windows.
Meanwhile, despite Obama's warnings, the race of US multinationals to change headquarters continues. Monsanto will do so if the merger with the Swiss Syngenta is successful: the tax office of the new group will be London.
Of note among the Emerging the Istanbul stock exchange crash – 5% and the Turkish lira depreciated by 4% to 2,7618 against the dollar, after election result which saw President Recep Tayyip Erdogan's Akp party settle at 40%, losing its absolute majority in Parliament for the first time in 12 years.
MILAN -0,9%, “TECHNICAL CORRECTION” FOR FRANKFURT
European finance was weak, with the exception of the euro which crossed the threshold of 1,13 against the dollar, confirming that many operators are repaying their positions in the single currency, opened with the start of quantitative easing. In Milan, the FtseMib index lost 0,9%, substantially in line with the decreases in the Paris -1,2% and Madrid -1% stock exchanges. Frankfurt -1,1%, after the latest drop, the Dax index has entered a phase of "technical correction" having lost 10% from its highs.
BTP RATES AT HIGHEST SINCE NOVEMBER. 6 BILLION AT AUCTION
Meanwhile, the pressure on fixed income increases. The 2,25-year BTP yield, at XNUMX%, is at its highest since November.
The Ministry of the Economy has announced that at the next auction of medium-long bonds on Thursday 11 it will offer from 4,5 to 6 billion Btp at 3, 7, 15 and 30 years.
GM ASSEMBLY, MARCHIONNE PUSHES ACTIVIST
According to The Wall Street Journal, Sergio Marchionne has urged hedge managers and activist shareholders to support, on the occasion of today's GM meeting, the reasons for a merger between the two groups, a hypothesis so far not taken into consideration by Mey Barra, CEO of the most important US group. In March, GM gave in to pressure from activists, approving a $5 billion buyback. According to the US newspaper, Marchionne's strategy will not be limited to putting pressure on GM through shareholders, but could be extended to at least one other European producer.
In anticipation of these major manoeuvres, Fiat Chrysler (-0,5%) limited the damage yesterday in a difficult session for the automotive sector (European Stoxx index (-1,4%). BMW dropped by 1,7% , Daimler -1,4%, Volkswagen -1,1% Meanwhile, a meeting between Alfredo Altavilla, chief operating officer of the FCA group in the EMEA area, and the unions revealed that after the 1.550 hires made at the Melfi, the group will proceed with further over a thousand hires by the end of the year in Italian plants.
TURKEY WEIGHTS ON UNICREDIT. GOOD CARIGE
The decline of the banks weighs on the Milanese stock exchange: Intesa (-1,1%), MontePaschi (-1,2%). Mediobanca lost 2,7%. Unicredit -1.9%. The fall in the Turkish Stock Exchange (-6%) also had an effect on the stock's performance. ??Unicredit owns 41% in Yapy Kredi, which in 2014 contributed 7% to group operating profit. The bank also announced that it will buy back its own subordinated bond loans maturing in 2022 for a total amount of 1,5 billion euros. The operation tends to optimize the composition of its liabilities, explains a note.
Subordinated bonds issued in 2014 with 7 years and two months will be repurchased for €749,95 million outstanding (101,80% the repurchase) and subordinated bonds issued in 2015 with a duration of 7 years and two months for €749,95 million (101,85% the repurchase).
Separate script for Carige an increase of 1,8% to 1,755 euro on the day the capital increase starts, with the new shares being offered in pre-emption to shareholders at 1,17 euro, at the rate of seven new shares for each old one held. The stock option fell 16,75% to 3,23. ?In the financial sector, the slowdown in the Generali (-1,2%): Barclays has reduced the target price to 17,2 euros (against 17,3), leaving the equalweight judgment unchanged. Mediolanum falls in managed business (-1,4%).
Unchanged Azimuth. In the month of May, the group achieved positive net inflows of 412 million euro, a slowdown compared to 643 million in April (-36%). May inflows rose to 1,3 billion euro only thanks to the consolidation of the assets of Quest in Brazil and Ewm in Australia. With the inflows in May, the group's subscriptions exceed 2,7 billion euros since the beginning of the year.
AFRICAN ORDER FOR SAIPEM
Il decline in oil (Brent at 62,7 dollars a barrel, Wti at 58,5 dollars) weighs on Big Oil. Eni sold 0,6%, Total (-1,5%). positive Saipem (+2,2%) at 10,54 euros, the best blue chip of the day. The stock reacted after losing almost 20% in two weeks. The Norwegian Panoro Energy, an independent oil company active mainly in West Africa, announced yesterday that it had awarded the Eni subsidiary a contract for drilling works off the coast of Nigeria, the area is located 24 kilometers from the mainland. on the border with Benin. Saipem will carry out the drilling with its Scarabeo 3 naval vessel, currently located near Lagos, approximately 18 nautical miles from the area. Enel closed down 0,2%, the other utilities were weak: Snam (-0,4%), A2A (-0,8%).
PATUANO (TELECOM): WE COULD GO BELOW 50% OF INWIT
In decline Telecom Italia (-0,96%) in launch day of the Inwit IPO. At the end of the first day, the book reserved for institutional investors is already covered. "We can go below 50%" of the capital, as long as we maintain "a role in the board and in governance" CEO Marco Patuano said yesterday morning when presenting the listing of the company to which the telephone company has conferred the 11 pure mobile telephony towers in Italy. The offer concerns a maximum number of 218 million shares, equal to 36,33% of the share capital, to which can be added the possible greenshoe for the additional placement of shares and thus arrive at a free float of up to 40% which would allow the parent company a expected collection is 800-900 million euros. Part of the funds raised will be used to reduce debt. The rest will instead be used "to support the development plan for ultra-broadband on both fixed and mobile lines".
YOOX, TOWARDS AN ALLIANCE WITH THE BIG LUXURY
In the rest of the list to report: Aedes (+19,98%) was positioned among the best stocks in the whole of Piazza Affari on the first day of the capital increase. Rights instead lost 29,5% to 0,98 euros. Astaldi (+0,51%) celebrated the signing of the 5 billion dollar loan agreement for the Gebze-Orhangazi-Izmir motorway project in Turkey. For Banca Imi (add, target price 9,4 euros) and Bnaca Akros (neautral, target price 8,2 euros) the news is very positive. Down Yoox (-1,2%) which does not benefit from the statements of the executive chairman of Richemont, Johann Rupert, who invited the giants Lvmh and Kering to invest in the group that will be born from the merger with Net-a-Porter to build a unique online offer of the luxury giants.
