SPRINT START OF ASIAN EXCHANGES. TOKYO +1,5%
THE MARKETS AWAITING THE EUROPEAN RECIPE
Positive response from Asian markets to the results of the G 20. The Nikkei 225 index rises by 1,5%, the Korean Kospi by 1,1%. Even better is the Sydney Stock Exchange +1,7%. Futures on the S&P's 500 are also recovering. Among the most awaited data of today, the quarterly accounts of Citigroup and Wells Fargo stand out, while the quarterly IBM will be announced in the evening, with the Stock Exchange closed. Heavy thud in Tokyo of the camera manufacturer Olypus -22%, after the resignation of the British CEO Michael Woodward.
THERE ARE 50 BIG BANKS TO BE STRENGTHENED
DRAGON LIST READY FOR CANNES
The G20 has identified a list of 50 banks of systemic interest (and not 4 as it seemed at first) which will have to acquire new capital as soon as possible. The list will be made public in Cannes by Mario Draghi as president of the Financial Stability Board. The named banks will have to be recapitalised as soon as possible. The operation will be followed by Draghi's successor who will leave office with entry to the top of the ECB. In his place in Cannes Jim Carney, governor of the Bank of Canada will be appointed.
GREEK LOANS, DEUTSCHE BANK CEO TREATS
Deutsche Bank CEO Josef Ackermann will play a "central" role in the upcoming negotiations on the possible devaluation of Greek government bonds up to a maximum of 50%. The German newspaper Bild writes it, according to reports from the Bloomberg agency. Ackermann will participate as president of the Institute of International Finance. Ackerman said he was strongly opposed to the hypothesis of a maxi recapitalization of the banks in the near future. Deutsche Bank itself, however, risks losing the double A: Fitch has targeted the rating for the institution's exposure to Greek debt.
MAKE IT HURRY: THE G20 GAVE THE 7 DAYS TO THE EU TO DEVELOP THE PLAN
Hurry up. The leaders of the G 20 left Paris launching a sort of ultimatum to Europe: the plans for strengthening the banking system and for debt consolidation will have to be ready for the European summit on Sunday 23 October to then be examined by the G 20 of November 3-4 in Cannes. No postponement is allowed anymore, repeated the representatives of the USA, Great Britain and Canada. France and Germany said they were aware of the situation. François Baroin spoke of significant progress in the negotiations with Berlin for the changes to the July plan in favor of Athens: the share to be paid by the banks will be increased, but not by how much (they are in turn about to be helped by the States) . Meanwhile, the West has not accepted the offer of new funds arriving from the BRICs for the IMF: the money is sufficient, said US Treasury Minister Tim Geithner.
CHINA OFFERS ITS (CONDITIONAL) HELP TO THE EURO
THE “TIMES”: ATHENS AIRPORT FIRST STOP
The Chinese delegation in Paris led by minister Xie Xuren, according to the Sunday Times, presented an offer to European ministers and authorities gathered in the French capital to save the single currency with massive investments in government bonds of individual countries and in infrastructure. In return, Beijing is asking for the immediate promotion to the rank of "market economy", a qualification that would make it much more difficult to impose trade sanctions on Made in China within the WTO. In addition, Beijing's sovereign wealth funds are asking for broad capital guarantees and, above all, plans for the recovery of public and private accounts. For the Sunday Times, however, the first test will be the intervention in Greece by the Chinese giant Hna, in pole position for the purchase of Athens airport
EXCHANGES, EU TIGHTEN ON AUTOMATIC EXCHANGES
MORE CONTROLS ON PURCHASES VIA ALGORITHMS
The European Commission will propose on Wednesday to strengthen the supervisory powers of national market authorities on transactions in commodity derivatives and on equity trading through automatic high frequency technical algorithms. The proposal envisages that brokers who operate outside the market are subject to the same conditions of transparency envisaged by the main markets as well as standardizing the rules of the various eurozone countries as much as possible. The proposals come after the decision of the G20 to increase vigilance and transparency.
AUTO, FOR 2012 IHS FORESEES BRAKING IN EUROPE
THE FRENCH, FORD AND OPEL CUT PRODUCTION
Recession in the European four-wheel industry. The French manufacturers, PSA and Renault, and the US subsidiaries in the Old Continent, GM and Ford, have already planned production cuts for the end of the year in anticipation of a weak 2012. At the Opel of Zaragoza in Spain the impinati will stop next year for sixty days, twenty in Eisenach. Toyota Europe, recovering from production declines linked to the March earthquake, canceled overtime in anticipation of weaker-than-expected demand. IHS Insight, the analyst firm that predicted a market recovery next year, has also now revised its initial estimates downwards. But the landslide will be less than that of 2008/09: at the time Spain started with 1,6 million cars sold, exactly double that of 2011. And the Italian market absorbed 2,3 million units against 1,6 million of this year.
BAGS, MILAN STARTS AGAIN AFTER A RECORD WEEK
WALL STREET PAUSE INDEX HAS DROPPED 8%
On Friday 14 October, the Ftse Mib closed the session up by 2,49% to 16.289 points, the Ftse All Share by 2,34% to 17.020 points. The basket of the 40 main stocks thus achieved the best performance among the indices of the Old Continent. The decisive leap forward came in the early afternoon, in the wake of US data on retail sales above expectations and the confidence voted by the parliament in Berlusconi's government. The driving force came from financial stocks and those of the Agnelli Galaxy. Fiat closed with a +5,42% increase at 4,9 euros, closely followed by the Fiat Industrial share, with an increase of 5,32% at 5,94 euros. The shares of the parent company Exor also performed well (+5,16% to 16,11 euros). Among the banks, the new rally of Banca Popolare di Milano (+6,36% to 1,84 euro) should be noted.
Positive closing last Friday also for Wall Street - The Dow Jones closed the session up 1,45% reaching 11.644,49 points, +1,74% for the S&P at 1.224,58 and +1,82% for the Nasdaq at 2.667,85. On a weekly basis, the three indices respectively posted +4,88, +5,98 and +7,6 per cent. Sharp drop for the fear index, the Vix, which with -8% in the last session brought the weekly balance into the red by 22 percentage points.
WEEKEND OF RECORDS FOR THE IPHONE 4S
SOLD 4 MILLION PIECES IN THE USA
Among the important stories of the day, the +5,85% of Google, which capitalized on the publication of the quarterly accounts, and the +3,32% of Apple, in the wake of the record numbers of the new iPhone4S. According to some commentators, sales of the iPhone in the first weekend may have reached 4 million units. A plus sign also for the companies that will distribute the new Apple smartphone: AT&T closed with +0,24%, Verizon with +0,84% and Sprint Nextel advanced by 0,36% despite Moody's downgrading its rating to "b1" announcing that he has placed the judgment under review for a further cut.
BPM TOWARDS THE HOUR OF TRUTH . SATURDAY WE VOTE
BANKITALIA TAKES THE FIELD, TOMORROW THE BOD
Countdown in view of the meeting which on Saturday 22nd will reveal the new balances of Banca Popolare di Milano. While the road shows of the main competing lists continue, the Friends and the list of trade unions headed by Marcello Messori, the match records the decisive intervention of the Bank of Italy which requests substantial changes to the draft statute which will be brought to the vote of the assembly . Via Nazionale asks to ensure "the sound and prudent management of the bank" thanks to "a clear separation between ownership and management, a clear division of tasks between the corporate bodies and a greater incisiveness of the role of capital shareholders". In fact, Bankitalia first of all asks for the increase of proxies for participation in the meeting from three to five. And this change could lead to a different conduct of the meeting, as the approval of the statute will be done relying on the old rule of the three proxies while the election of the Supervisory Board should be done with the new statute in force which provides for the five delegations. Furthermore, with other provisions, Bankitalia induces a greater separation between management and control. Finally, the board of directors dedicated to the "easy careers" dossier is scheduled for tomorrow, in particular on the documentation that Bpm must present at the request of Consob regarding the appointments made in the last 5 years.
EDISON, THE LAST CHALLENGE FOR EDF
ACEA THREATENS LEGAL WAYS
Acea threatens to take legal action through an emergency provision to block Edison's transfer to EDF. The question arose in 2005 when Edf in a consortium with A2A acquired control of Edipower despite the fact that there was a constraint for public companies, Italian or foreign, not to exceed the ceiling of 5% ownership for 30 years. The next hearing in the Acea vs EDF case is set for January 2013. According to the Roman utility, until then the transfer of Edison should be frozen.
LEONARDO JOINS KEPLER AND SENDS THE RESEARCH
UNICREDIT REVIEWS ITS PRESENCE IN CASH EQUITY
The Milanese City risks losing two important pieces. Banca Leonardo has in fact decided to sell the research and intermediation activities to Kepler, the independent broker of which the institution headed by Gerrado Braggiotti will acquire 5%. Meanwhile, the rumors of an imminent exit from the cash equity business (and consequently from the research sector and intermediation on behalf of third parties) by Unicredit are gaining weight.
