Rotation. It is the latest buzzword circulating on the markets after the novelty of the first anti-Covid 19 vaccine (there are 11 drugs close to the goal) and the momentary difficulties of the greats of the web. At every latitude, as demonstrated by the sharp drop of Alibaba in Hong Kong (-11% in two days, or one hundred billion dollars of capitalization) after the limits introduced on Fintech after the postponement of the Ant Group IPO.
IN TWO DAYS AMAZON -8%, ALIBABA -11%
The squeeze coincides with the decision of the European Antitrust to bring Amazon to trial (-3,5%, but -8% in two sittings), guilty of unfair competition against the 150 companies that sell through the group's sites, which he knows everything about them.
Facebook and Google are also losing blows, while airlines and activities in the physical world recover: barring sudden disappointments on the part of scientists – starting with the spouses Ugur Sahin and Islem Tureci, to whom we owe the first research – the golden age of titles “ stay at home” (see Netflix) seems to be coming to an end. However, optimism prevails on the markets, despite the fact that the pandemic does not offer discounts.
Tokyo's Nikkei (+1,6%) climbs for the seventh consecutive day. Seoul's Kospi +1,3%, Sydney's S&P ASX 200 +1,5%, Mumbai's BSE Sensex +0,8%.
Hong Kong's Hang Seng index and Shanghai and Shenzen's CSI 300 are down slightly after new rules on e-commerce, digital payments, personal data management and targeted advertising. But on bachelor party shopping days, sales exceeded $56 billion in purchases.
Technology loses ground on Wall Street: Nasdaq -1,3%, Dow Jones +0,9%. Between yesterday's performance by Zoom (video conferencing) and that of the Delta Airlines there is a gap of 35%, demonstrating the speed and violence of the change of moods.
OIL RISES, DOLLAR STABLE
Brent oil up 0,7%, to 43,9 dollars a barrel, from +3% yesterday. The preliminary data on inventories anticipated yesterday by the API (American Petroleum Institute) are very different from what was expected by the consensus. Crude reserves fell by 5 million barrels, expected -0,9 million.
The dollar is little moved against the main currencies of the planet.
The pound weakens against the euro, after two days of strong increases: tonight the president-elect Joe Biden telephoned Boris Johnson to warn him about the risks that Brexit poses to the delicate peace process underway in Northern Ireland.
WITH THE VACCINE THE TASTES OF THE MARKET CHANGE
“Until a few days ago, the only reasons to invest were linked to the growing dynamics of public spending and the expansive attitude of central banks. Now, thanks to the vaccine, the horizon has widened to all the titles that could benefit from next year's recovery: it is the first vaccinated bull in history”. Thus, with a touch of optimism which, given the times, does not hurt, the Financial Times explains the rotation between sectors that has invested the markets after the news of the imminent arrival of vaccines.
For the moment, the rise of the pandemic is holding back purchases, which does not reduce the pressure on now exhausted countries, as well as the echo of Trump's challenge from Washington, which does not resign itself to the outcome of the polls. But, from the travel sector to oil, the desire to turn the page is really strong.
THE EU BUDGET PASSES: 1.800 BILLION FOR GREEN. THE SURE GOES BOOM
The European Parliament and EU governments have agreed on the details of the European Union's 2021-2027 budget, a crucial step in activating the bloc's €1.800 trillion package to make the economy greener and more digital. Parliament obtained a budget increase of 16 billion euros. Of these, 4 billion will go to Horizon Europe, 2,2 to the Erasmus programme, 3,4 to health, 1,5 to the protection of the external borders of the Union and another billion to humanitarian aid.
The second issue of a bond from the Sure program in support of European employment concluded with another success, this time in two tranches of 5 and 30 years. In detail, the shorter tranche is worth 8 billion, against orders for over 85 billion, while the longer one is worth 6 billion, with orders for over 55 billion.
MILAN +0,49%, THE ZEW BRAKES FRANKFURT
Piazza Affari closed trading up 0,49%, at 20.852. Frankfurt did little better (+0,54%). The Zew index settled at 39 points, against 56,1 in October and against expectations for 41,7.
FLY MADRID BEHIND THE BANKS IN RALLY
Much brighter Paris (+1,55%) and London (+1,74%). The best place was Madrid (+3,37%), driven upwards by credit: Banco de Santander +8,59%.
The Eurostoxx Banks index rises by 6%, with the leading European bank, Bnp Paribas, on its seven-month high with an increase of 8%. Our local banks follow closely: Unicredit +5,17%, Intesa +4,44%.
Overall, the Eurostoxx 50 gains 16,3% in the last seven sessions. The Eurostoxx banks sub-index gains 29% in the same period.
SPLASH UNIBAIL: +55% IN TWO DAYS IN PARIS
Unibail-Rodamco-Westfield leaps 30% on the Paris Stock Exchange after yesterday's +24,30%. The shareholders' meeting of the real estate group specializing in shopping centers rejected the proposed 3,5 billion euro capital increase.
YIELDS ARE GOING UP. ANOTHER 1,4 BILLION FOR BTP FUTURA
Slight drop in the spread, which drops to 121 basis points, while the yield on the 10-year BTP stands at 0,72%. The yield on the 0,49-year German Bund climbed to -XNUMX%, its highest level in a month. The news of the effectiveness of Pfizer's vaccine is causing a sharp steepening of the yield curve, a movement driven by expectations of an acceleration in inflation.
In the meantime, the signing of the new Btp Futura eight years: on the second day of placement, the stock recorded orders for 1,407 billion euro, which, added to yesterday's orders, bring the total for the two days to 3,914 billion.
DRS IPO MAKES LEONARDO FLY
In Piazza Affari Leonardo extends for the second day in a row (+7,6%). The first admissions about the intention to proceed with theIpo of the US subsidiary Drs. Commenting on the rumors, a note specified that the group "as usual, is constantly evaluating various options with a view to creating value for its shareholders, including the possibility of proceeding with the listing of Leonardo Drs", underlining that none formal decision has been made.
ENI SUPERSTAR, AKROS PROMOTES BREMBO
The recovery of oil prices also took place in Milan: Eni +4%, Tenaris +1,5% and Saipem +2%. Maire Tecnimont flies (+8,79%) after the company announced the launch of a new branch (MyRechemical), a new wholly owned company dedicated to the chemical valorisation of non-recyclable plastics and Waste to Chemical processes.
In evidence Brembo (+7,64%, to 10,28 euro), promoted by Banca Akros from neutral to accumulated, with a target that goes from 8,40 to 11 euro, after the better-than-expected third-quarter numbers.
Among the medium caps, Cerved (+6,42%), Credem (+6,19%) and Autogrill (+4,97%) stand out. Cementir rose sharply (+10,28%), following the positive assessments of analysts after the better-than-expected third-quarter results.
TIM, TURNOVER IS DROPPING BUT ALSO DEBTS
The Tim group, which confirmed the guidance, in the quarter recorded a net profit of 1,2 billion (up 38%) against an improvement in financial debt in the nine months of 2,2 billion. Revenues in the period amounted to 11,7 billion. In the third quarter, the trend (-5% organic) improved by 5 percentage points compared to the second quarter despite the persistence of the Covid-19 emergency.
STM AND PRYSMIAN UNDER FIRE
Profit-taking, however, on the stocks highlighted in recent months. Ferrari loses 3,05%. Under fire Stm (-6%) invested by sales of technology stocks. Prismian -4,28%.
