Calm prevails on the markets, after yesterday's three key appointments, that is the British elections, the ECB meeting and the hearing of James Comey, former director of the FBI in the US Senate. The week closed with a positive session also for Milan, which gained 0,38%, reaching 21.122 points, with Ubi up 3,53%.
The purchases reward Italian government bonds, despite Moody's judgment on the Belpaese is awaited tonight. Current rating is 'Baa2', just two notches above 'junk'. The yield of the ten-year BTP falls to 2,09% and the spread with the Bund falls to 182.50 (-4,40%).
The most tonic European market turns out to be London, +1,04%, supported by the pound's plunge. On Forex, the British currency remains weak against the euro (EUR/GBP at 0,878) and the dollar (GBP/USD at 1,274) after the election result, which leaves Theresa May in charge, but without a majority in Parliament. The goal of bringing forward the elections, to start Brexit with more solid foundations has failed, but the Tory leader is going ahead and announces the formation of a government with the external support of the Northern Irish Unionists.
Upside session for Frankfurt +0,8% and Paris, +0,67%. Warmer Madrid +0,23%. Wall Street opens cautiously, then travels in contrast, with the Dow reaching new records. Comey's words don't shake investors too much, while expectations are growing for the Fed meeting on 13 and 14 June, where a further rate hike seems very likely. Meanwhile, in the middle of the session, the electric car giant Tesla gained 1,52% and surpassed the German BMW by market capitalization, becoming the fourth most valuable car manufacturer in the world.
The dollar strengthens. The cross of the single currency against the greenback drops to 1,1188 (-0,15%). Gold continues its bearish trail: -0,87%, 1267.775 dollars per ounce. In fractional Brent recovered +0,75%, 48,22 dollars a barrel.
Among the big names in Piazza Affari today the number one is Ubi, with the green light from Consob for the prospectus for the capital increase of around 400 million. The operation supports the purchase of three of the four "good banks" (Banca Marche, Banca Etruria and CariChieti). The bank also benefits from the positive assessments of some analysts. In the wake of Ubi, almost all bankers are well tuned, including Banco Bpm +2,74%, Unicredit and Intesa +0,6%, Banca Generali +1,34%.
A session to frame for Cnh, +3,46%, on which Kepler Cheuvreux improved the target price from 5,4 dollars to 7,2 dollars. Good for Buzzi +1,17% and Post Office +1,45%. Among the oil companies, Tenaris shines +1,92%. Fiat gains 0,9%, despite Morgan Stanley having revised its price target downwards (from 15 to 14 dollars). Solid Exor +1,29%. Ferragamo recovers some ground, +1,04%. Bad day for Campari, -2,21%, Brembo -2,23%, Italgas -1,96%. Outside the Ftse Mib, the slide of RCS, -10,97%, is noted.
