Go slowly. European markets recover part of the losses suffered on Friday but caution reigns supreme: it will take days, if not weeks, to evaluate the threat of the Omicron variant. But, little by little, the optimism spread by Wall Street futures (+0,7%) is also making inroads in the Old Continent: according to Morgan Stanley, there was an excess of negative reaction on Friday.
In Piazza Affari, around 13 pm, the rise of the main index, again above 26 points, is just over one percentage point. To kick off the recovery was the oil +4,4%, which recovers just under half of the weekend landslide together with sector stocks (+1,7%), and the rebound of the travel sector, literally slaughtered on Black Friday, which rebounded by 3,4% after double-digit declines. Fly Carnival +8%.
But the real shock came from the south of the world, or rather from the Indian giant Reliance, the conglomerate founded by Dhirubhai Ambani which operates from energy to textiles to telecommunications. The giant, according to the weekly Economics Times, is ready to launch aoffer on British Telecom. The City believes it: the Bt title achieved an initial rise of 9% (later dropped to +5%) dragging up the European telecommunications sector, one of the most depressed in 2021.
Opa's winds blowing over London contrast with the weakness of Telecom Italia – 2,5% at 0,47 euros after the battle in the board of directors on Friday, fatal to the former CEO Luigi Gubitosi who, while remaining on the board, has resigned his powers. The key character is now Pietro Labriola, promoted to general manager who also remains at the helm of Tim Brasil. It will be up to him to mend relations between the shareholders and face any profit warning (it would be the third in a few months) made necessary by the flop of the football agreement with Daz'n which we will try to review in a short time. Meanwhile, a committee led by President Rossi - who will play a fundamental role in relations with the Draghi government - will examine the offer from Kkr. Analysts are cold: Banca Akros lowers its rating from buy to neutral, while the target price remains unchanged at 0,51 euro.
Uphill start, as planned, for thecapital increase of 400 million of Juventus albeit guaranteed for two thirds by the advance subscription by the controlling shareholder Exor +0,06%. Under the pressure of the investigation into the fictitious buying and selling of players ("the club's defense is in line with international football industry practice") which involved the top management of the club, the operation started in the deep red: – 4,7 % for a capitalization of less than 600 million.
On the macro front, the decline in feelings of trust of European consumers in November, to 117,5 points from 118,6. The main cause of the contraction is related to the lower optimism of consumers, given fears about the fourth wave of the coronavirus pandemic and the potential introduction of new restrictions.
It was at the expense of the new climate Faurecia, one of the world's largest auto parts makers, which cut its fiscal 2021 guidance. The main cause is falling European auto production, but also one-off costs in the US and ongoing stop-and-go for supplies.
At Piazza Affari little move Stellantis now -0,23%: Citigroup has restarted coverage with a buy rating and a target price of 23 euros. The company and Vulcan Energy Resources have signed on a binding agreement under which Vulcan will supply lithium hydroxide for batteries in Europe, to be used in the group's electrified vehicles.
Clearly raise the stocks of luxury after the losses of Friday's session: Moncler +3,48%.
Meanwhile, the bonds are holding up: the ten-year BTP fluctuates around 1% "It is very unlikely that in 2022 the conditions will be created for a rise in interest rates". Similar concepts will probably be reiterated in the afternoon by Christine Lagarde who is giving a Lectio Magistralis at the Accademia dei Lincei.
