Sudden deterioration of the European stock exchanges dragged down by the Italian list; in Milan, the Ftse/Mib index fell by 3,78% to 13.150, slightly more than Madrid, Paris -1,6%, London and Frankfurt -1,5%.
The worsening of the spreads on the Bund contributes to complicate the picture, reaching 490. one hundred points below the gap between Bonos and German ten-year bonds. The 10-year Bonos trade over 7%m the Btp 10 yields 6,05%. Also due to the rise of the future on the Bund, the spread between Italian and German bonds has risen to the highest levels of 2012
The summit of finance ministers of the eurozone countries has just given the green light to the support plan for Spanish banks. But the news has arrived from the Iberian Peninsula that the region of Valencia has just admitted default. The situation of the coffers of Valencia is believed to be similar to that of Catalonia.
Meanwhile, the Italian banks are suffering on the list, also due to the negative forecasts of various reports on the next quarterly season. Unicredit is down -5,08%, ahead of Intesa Sanpaolo – which is experiencing a theoretical decrease of 5%. Ubi scores -4,81%..
Generali drops by 7,11%. All stocks in the blue chip basket are in negative territory.
