Stock exchanges like Christine Lagarde, enthusiastic about having escaped the prospect of Jens Weidmann or another hawk at the head of the ECB after Draghi. And so the hopes that Madame Lagarde, nominated for the post of president of the European Central Bank, will follow Mario Draghi's accommodating approach push European stock exchange lists to the highest levels of the last two months, and reward defensive stocks that yield high dividends. To push further Piazza Affari is the decision of the EU commissioners not to proceed with the infringement procedure against Italy, after the budget adjustment and the corrections to the public accounts for 2019. According to the representatives of the European governments meeting in the economic and financial committee, writes Reuters, the public accounts Italians for the current year show a "significant improvement".
The doves are also advancing in the USA. Donald Trump anticipated on Twitter that he intends to nominate Judy Shelton and Christoper Waller to the Federal Reserve board, the former is his economic adviser, the latter is a veteran of the United States central bank, currently number two at the St Louis Fed . Both can be considered super doves.
Piazza Affari rises by 1,60% around 21.800 points much better than the other markets which register progress around 0,7%.
Rates point decidedly downwards, in Italy but not only. ll Btp drops to 1,72% yield, the lowest since May 2018, up from 1,83% on Tuesday. The two-year bond moves into a negative yield, at -0,04%. The spread hits a new low to 208 points (-6% at 14 pm).
Meanwhile the German Bund slips to -0,4%, new record. On the German bond curve, to find a yield above 0% you have to go and go beyond 20 years.
In the first few days of the week, bonds worth over 11 billion euro were issued. Saudi Arabia has also entered Europe, issuing two bonds in euros for a value of 3 billion.
The ten-year Treasury Note also fell to 1,95%, its lowest since November 2016.
The list of increases is long in Piazza Affari.
The automotive sector is growing strongly. Fiat Chrysler is among the best in Piazza Affari. The stock changed hands at 12,64, marking an increase of 2,8%. Market and analysts appreciated the data on US sales which grew by 2% to 206.083 vehicles last month, the best June for 14 years now, thanks above all to the performance of CNH Industrial Ram pickups +2%. yesterday in Madrid presented a new truck powered by natural gas. Ferraris +1,8%. Retouch the historical primacy.
Utilities stimulated by minimum interest rates are making progress. Enel rises by 2%: HSBC raises the target price to 6,3 euros. Terna +1,8%, Italgas +1%.
In recovery Atlantia +3% despite Minister Toninelli insisting on expropriation "without a lira".
Financials take off. Finecobank, Ubi Banca and Banco Bpm they lead the Ftse Mib after the EU decision. Bper +0,5% after the announcement that Unipol has risen to 19,9% of the bank. Intesa Sanpaolo +1,5%. Jefferies revises the judgment to Underperform, target at 1,70 euros, previously it was 1,85 euros. UniCredit +1%. Jefferies lowers the target price to 14 euros.
The BTPs in stock, purchased at the prices of the most difficult months, continue to push Italian post office +1,9%. Tim also advances +1%.
To note down:
- Saipem -2%. Morgan Stanley cuts the target price to 6 euros, from 7 euros
- Stmicroelectronics -0,8%. A Californian chip maker, Broadcom, would be one step away from buying Symantec, a company active in the cybersecurity sector.
