The torpedo launched from Beijing has sunk the European stock exchanges. Frankfurt -3,3%, Paris -3,4%. TO Milano, Ftse Mib index ends down 3%. Government bonds also worsened in the afternoon: the Btp/Bund spread rose to 120 basis points.
Meanwhile, the Chinese currency fell to a 4-year low against the dollar. The fall of Beijing's currency could change the Federal Reserve's rate hike plans. Consequently, the euro gains ground against the US currency for the sixth consecutive day to 1,120 from 1,104 yesterday evening, we are at the highest since mid-July.
The American Stock Exchange falls for the second consecutive day, the index Dow Jones it loses 1,4%, a drop that brings it to the lowest levels of the last 5 months. L'S & P500 it's down 1,3%, negating its year-to-date gain. Nasdaq -1,4%.
The European index of luxury companies is down by 4,4%. LVMH -5,5%. Even in Piazza Affari the griffes continue to suffer: Tod’s -3% Yoox -4,3% Ferragamo -4,9%, Moncler -4%, Luxottica , the company that boasts the highest turnover in the Asian country, falls by 5%.
Another sector in crisis is the automotive industry. Not even this time did he escape the general flood Fiat Chrysler (-6,7%), the worst blue chip. For the car manufacturer, the Asia Pacific China area is worth about 6% of revenues, in 2014 it was worth 14% of operating profit, a contribution to the profit that should drop sharply over the next year.
Out of the main basket, it's worse Piaggio (-6,5%). In the Asia-Pacific area, in the first half of 2015 the group developed around 260 million euros in turnover, equal to over a third of total revenues (693 million euros). The components also suffer, linked to Peugeot , such as Sogefi (-6%), or to the German car such as Brembo (-4,07%).
It also moves back Eni (-2,3%). Among the utilities, Enel -3,4%. Bucking Saras (+2,2%), the seventh increase in a row and with the quotation at its highest level since 2009. Banks are also weak: Unicredit -3,3% Pop. Milan -3% Understanding-3,2%.
