DRAGHI MAKES THE BTP, THE EXCHANGES AND THE EURO FLY. THE BANKS RALLY RECOMMENDS IN MILAN
Excellent response from European lists to the incoming message from the ECB: Madrid +1,4%, Paris +0,4%. Frankfurt finished tied. The Milan Stock Exchange led the positive reaction of the European markets with an increase of 1,3%. Government bond yields are down: the 10-year BTP was traded at 3,25%, from 3,30% yesterday, the spread with the Bund is reduced to 165.
Draghi's openness towards a Quantitative Easing in a European sauce was reflected in the quotations of the euro, down to 1,37 against the dollar, from 1,376 at the previous closing. Wall Street stable awaiting data relating to non farm payrolls, today's key figure (200.000 new jobs expected).
The Dow Jones index, which at the start of the session had reached new intraday highs, then closed in parity, while the S&P 500, after the previous record, remained on previous levels, falling by only 0,08%. The Nasdaq was heavier, leaving 0,91% on the ground. Asia closes the week with a slightly up session. Tokyo rises by 0,13%, Shanghai does better. Sales instead prevail in Hong Kong.
ECB, MARKETS BET ON QE IN SUMMER
Pending the US data, yet another successful performance by the president of the ECB took place in Frankfurt. Once again Mario Draghi, despite the absence of new measures, has been able to “bewitch the markets. The president of the ECB has sent "strong" signals, as requested by the operators: 1) the official entry of QE among the possible measures, even if there is still no agreement on how to proceed; 2) the shared alarm on the risk of deflation unlike in the past; 3) unanimous consensus on the need to implement unconventional measures if inflation remains low.
The reaction to the upside of the markets indicates that the message has been received. Operators have acknowledged that the weapon to be used, if necessary, is the purchase of securities financed with new freshly printed currency, in imitation of the American Quantitative Easing and the analogous instrument in use in Japan. Of course, it will still be a month of waiting waiting to see if, with the Easter holidays, the dynamics of prices in Europe will recover. Appointments therefore in May (or June) to refine a complex instrument. But Draghi confirmed that the ECB was surprised by the inflation figure in the EU, which fell to a minimum of 0,5% in March.
BLACKROCK ADVANCES IN BANCO POPOLARE, MANSI DOWN IN MPS
Banks protagonists in Piazza Affari and beyond. The European Stoxx index rises by 0,8% on the push of the Spanish bbva e Santander climbed 3,4% and 2%, while in Paris BnpParibas increases by 1,4%. But in Italy the echo of Draghi's intervention is combined with the constant news on the shareholding structure: Blackrock also enters the Banco Popolare +2.3%, after taking over 5% of the capital of Unicredit, Intesa Sanpaolo and Mps. The US fund has notified Consob that it controls 6,851% of the institution.
Morgan Stanley has reduced the target price from 18 to 15 euros. "We update the data after the launch of the capital increase which represented an important catalyst for the action" explained Morgan Stanley who confirmed the underweight rating on the title due to the uncertainty on the outcome of the asset quality review and the stress tests.
In Piazza Affari, the following also came to light: Unicredit + 2,8%. Understanding +3,2%: Banca Akros which raised the recommendation from reduce to hold and the target price from 1,9 to 2,7 euro. salt Ubi +2,06% on the eve of the confrontation between the housekeeper and the unions. Bfor +2,12%.
In great evidence Banca Popolare Milano +4,2%. The CEO Giuseppe Castagna in an interview did not rule out a consolidation among the popular ones. Note the interest in the Carige resp +13,09%. The hypothesis of the conversion of savings into ordinary shares is becoming obsolete, which would allow the company not to pay the dividend to savings.
Still a good day for Generali +2,7%. Salt too UnipolSai + 2,5%.
SHALE GAS MAKES ENEL SHINE. PRYSMIAN PROMOTED
Enel +1,93% after CFO Luigi Ferraris confirmed to Reuters that he is closing an agreement with the American Cheniere for the twenty-year supply of 1 billion cubic meters of shale gas (obtained by deep rock fracturing) per year. Enel Green Power closed the session down by 0,55% after presenting the industrial plan to the financial community, confirming the growth strategy already launched in the previous financial years.
Moderate gains for industrial stocks: Fiat + 0,7% Pirelli unchanged, Finmeccanica + 0,6% StM -0,2%. It's an exception Prysmian+1,86%. Equita Sim and Mediobanca Securities raised their target price on the stock from 20,7 to 21,2 and from 19,8 to 19,9 respectively, keeping the buy and outperform ratings unchanged.
Piaggio +7,5% reacts well to the first signs of recovery in the Italian two-wheeler market.
LUXURY WHEN BRAKING: PRADA'S ALARM WEIGHTS
Difficult day for luxury stocks after Prada spoke of a 2014 characterized by a slowdown in growth in China and with a still weak European market. Yoox lost 2,3%, Moncler -1,1% Luxottica -0,5% sapphire -1,6% Ferragamo -0,5%.
FLY MAIRE, MEDIASET MAKES CASH WITH EI TOWER
Shop on Maire Tecnimont, which scored a +5,22% to 2,782 euros in the wake of the news that the subsidiary KT – Kinetics Technology was awarded two contracts by Total Olefins Antwerpen for a value of 190 million euros. Mediaset yesterday placed 25% of EI Towers, 65% controlled through Elettronica Industriale. After the operation Mediaset drops to 40%. The amount of the operation is around 300 million. Isagro finally, it reacts with a +7% to the announcement of the industrial plan which took place yesterday with the markets closed.
