The dollar fell at the start of the week, under pressure from the statements of President Donald Trump, who on Friday, in addition to threatening 500 billion tariffs on Chinese imports, accused the European Union and Japan of weakening the exchange rate against the US currency, strengthened by the rate hikes announced by the Fed. The euro rises for the third day in a row to 1,1746.
HEAVY TOKYO, OPENING IN MILAN -0,3%
The markets are mixed as they wait to evaluate the effect of Washington's next moves. Europe opened in the red': Milan -0,3%. Tokyo loses more than one percentage point: the yield on 5-year JGBs rises by 0,073 points to 10 on the wave of rumors about the decline in purchases by the central bank. The Chinese Stock Exchanges are recovering from their initial losses: the central bank has injected 74 billion in liquidity to support the market. Hong Kong +0,6%, Mumbai +0,4%.
Oil trades at 72.90 in the Brent version, Wti at 68,1.
THE GEC MEETED IN TURIN, THE QUARTERLY REPORT ON WEDNESDAY
But the attention of Piazza Affari today is naturally focused on Fiat Chrysler's first day without Sergio Marchionne.
"Let's prepare for the worst." It is in fact the message that John Elkann sent yesterday to the 236.000 Fiat Chrysler employees, thus confirming that Sergio Marchionne's conditions do not allow us to have hopes for his recovery: unfortunately they are "irreversible"
The Lingotto is thus starting to experience a dramatic day today, 14 years after the death of Umberto Agnelli and the arrival in Turin of the Italian-Canadian manager. The first test will take place in Piazza Affari, where an initial judgment will be made on the successors: Mike Manley, at the helm of Fiat Chrysler; Suzanne Heywood, president and interim of Chh Industrial. And Louis Carey Camilleri at the helm of Ferrari, the jewel of the Exor stable that Marchionne intended to lead at least until 2020. On Wednesday, after the board meeting, Manley will illustrate the quarterly accounts in his first conference call with analysts as CEO. At the start, as widely expected, the shares of the Agnelli galaxy travel in deep red, settling, one after the other, at the bottom of the Ftse Mib: Ferrari -3,2%, FCA -2,6%, Exor -2,5 %, Cnh -2,3%.
JUNCKER IN USA TO AVOID WAR ON CARS
Il changing of the guard at Fiat Chrysler falls at a delicate moment for the fate of the car. EU president Jean-Claude Juncker is preparing to present proposals to Washington to try to prevent the US from increasing tariffs on the sector. which will in any case have major consequences on the sector. The premises, judging by the outcome of the G20 of the finance ministers in Buenos Aires, are not good. "We do not intend to negotiate with a gun pointed at our temples," French Economy Minister Bruno Le Maire said on the occasion after a meeting with US Treasury Minister Steven Mnuchin who proposed an axis between the EU, Japan and the United States in anti-China function. The director general of the IMF, Christine Lagarde, has calculated that the duties already imposed in recent months could cause a drop in growth of 0,5%. Mnuchin retorted that "for now the effects are null".
AND MNUCHIN MAKES PEACE WITH MOSCOW: RUSAL +15,5%
Meanwhile, Mnuchin anticipated that the US could lift the sanctions imposed on Rusa, the aluminum giant owned by the Russian oligarch Oleg Deripaska: the stock this morning recorded an increase of 15,5%.
NOT ONLY FCA. LUXOTTICA OPENS THE BLUE CHIPS SHOW.
The many questions raised by the traumatic change in FCA represent the key event of a financial week full of appointments for Piazza Affari. Starting with the quarterly reports of several blue chips. Today the council on Luxottica's accounts will be held. Tim will give the numbers tomorrow, the next day it will be up to Saipem and Stm, as well as FCA. Thursday will be Cnh's turn. Finally, Friday will close with Eni and Mediaset.
HERE COMES THE ENEL COUPON. ULTIMATUM FROM FRANKFURT TO CARIGE
The agenda calls for Enel's dividend this morning (0,132 euros). .
In terms of government bonds, the month-end auctions are to be registered: on the 26th it will be the turn of the Ctz, on Friday the Bots.
Carige announced yesterday that the ECB has asked for an increase in the bank's own funds by the end of the year unless the institute proceeds with a merger.
DRAGONS ON THE FIELD AGAINST TRUMP'S ACCUSATIONS
In Europe, the key macro appointment concerns the ECB meeting on Thursday. No news on rates is foreseen, even if advances on exit methods from Quantitative Easing are not excluded. In the press conference after the directorate, Mario Draghi could respond to Donald Trump that he accused the ECB of keeping the cost of money artificially low to depress the euro to the advantage of the competitiveness of companies.
US GDP DATA ON FRIDAY
The American calendar foresees the publication of the second quarter GDP accounts, scheduled for Friday. The estimate speaks of a strong acceleration, linked to consumption and new investments, to 4,2% against 2% at the beginning of the year. For the whole of 2018, the estimate rises to 3%.
THE ACCOUNTS OF 180 S&P INDEX STOCKS COME IN
At the center of attention are the quarterly reports: more than a third of the corporations that are part of the S&P 500 basket will publish their quarterly accounts during the week. We start today with Halliburton and Alphabet, the parent company of Google, just hit by the EU maximum fine.
The following will follow in the coming days: Hasbro, Alphabet, 3M, Harley-Davidson, Lockheed Martin, AT&T, Coca-Cola, Mattel, Gilead, Visa, Ford, McDonald's, Starbucks, Twitter, Chevron. On Thursday, in particular, the numbers of Amazon will arrive, the second company (after Apple) to have overcome the barrier of 900 billion in stock market value.
(Last update: 10.17)
