GERMAN CONFIDENCE (DOWN) FREEZES THE BULL. BANKS DISPUTED AFTER SOCGEN REPORT. VOLTAGES ON CIR
The German Zew index, down unexpectedly in February, weighs on the performance of European stock markets. Piazza Affari fell by 0,41% around midday, with the Ftse/Mib index at 20.375.
This morning the auction of Spanish bonds was a great success, with yields on 6- and 12-month bonds at historic lows. The spread between ten-year BTPs and their German counterparts marks 195 points at a rate of 3,61%. The Bonos/Bund differential stands at 180 points for a rate of 3,46%.
Contrasted by the other European markets, insensitive to the leap in Tokyo, "doped" by new monetary stimuli: London -0,04%, Paris -0,47%, Frankfurt -0,1%, Madrid -0,8%.
In Piazza Affari, the banking system is partially comforted by the flurry of promotions decided by Société Générale: the French bank has raised its opinion on Ubi +0,83% to Buy from Hold. Also promoted Understanding a Buy from Hold, the stock rises by 0,55%. Banking Pop.Milano up 1,09%, SocGen raised the recommendation to Hold from Sell. Sensitive discounts for Mount Paschi -1,64%, Banco Popolare -1,95% e Unicredit -1,83%, cut to Hold by SocGen.
Fiat -0,3% after disappointing sales data. In January, car registrations in Europe (EU + EFTA) grew by 5,2% year on year to 967.778 vehicles. Bucking the trend was the Fiat group, which saw a drop of 1,8% to 60.050 vehicles, with a market share of 6,2% from 6,6% in January 2013. Pirelli drops by 1,13%%. Also declining Finmeccanica -0,56%. StM -0,64%.
Strong tensions on the title Cir -2,68%. The strong progress of L'Espresso (+30% in the last week) is offset by the problems of Sorgenia which has only one month of financial autonomy and of Tirreno Power. Mediobanca Securities reiterates its neutral opinion with a target price of 1,15 euro. Instead Kepler Chevreux maintains the buy rating and the target price at 1,35 euro. They slide down Enel -0,16% ed Eni -0,52%.
Among this morning's reports:
Telecom Italy increases by 0,41%: JP Morgan raised the target price to 0,87 euro from 0,65 euro. Neutral recommendation confirmed.
Atlantia +0,38: Bank of America confirmed the motorway company among its "Top Picks" with a target price of 20 euros.
Generali +0,06%: Bank of America has added the Italian insurance group to its "Most Preferred" list. In luxury, Tod's -1% and Ferragamo -1,59% fall.
