The Bundestag has picked up on Mario Draghi's idea of an intervention by the president of the ECB in the German Parliament to explain the anti-spread plan launched on 6 September. The president of the German federal parliament, Norbert Lammert, pledged to find an appropriate form of meeting with "competent and particularly interested parliamentarians". Today Draghi then specified that the activation of the anti-spread plan requires "strict and effective conditions". By October, the ESM fund will be operational, with the first payment of 32 billion. The first meeting will take place on 8 October.
Meanwhile the bazooka dropped by Ben Bernanke brought euphoria to stock exchanges, spreads, oil and the euro. Milan leaps by 2,34%, Frankfurt +1,39%, Paris +2,27%, London +1,64%. The Btp-bund spread drops to 331 points and yield at 5,01%. The euro continues to strengthen against the dollar at 1,3135 while WTI oil in New York is at 99,12, after rising above 100 dollars for the first time since May, thanks to tensions in the Middle East and North Africa. Gold, on inflationary fears, travels up to 1.776 dollars an ounce.
On Wall Street, the Dow Jones rises by 0,40% and the Nasdaq by 1,15%. In the USA, the confidence of stock markets was joined by that of American consumers: the University of Michigan index rose to 79,2 in September from 74,3 in August, beating analysts' expectations. But that a shock was needed is confirmed by the macro data released today which manage not to affect the mood of the markets thanks to Bernanke's bazooka. US industrial production fell 1,2% in August, the largest decline in more than three years since March 2009. July corporate inventories rose 0,8% while sales increased 0,9%.
In Europe, the new tensions in Greece remain in the background where there has been talk of the need, denied by Athens, for a third aid package. The three diehards, Holland, Germany and Austria, they have already barred new aid, however giving Greece more time to achieve its recovery objectives. Jean-Claude Juncker, president of the Eurogroup who met today in Cyprus, reported that the Troika report will be discussed on 8 October, in the meeting in Luxembourg, while decisions will be taken in the "second half of October".
Meanwhile, the existence of negotiations between the ECB and the IMF for a 300 billion euro aid plan for Spain has been denied, as reported by the Dutch newspaper Financieele Dagblad. The Eurogroup expects a reform plan from Spain and "any additional measures if necessary" by the end of September. But it's not about pressing Spain to ask for antispread help. Indeed, the Eurogroup appreciated the progress made by Madrid, as well as by Rome. Italy and Spain “have taken very determined actions. There is no room for complacency, but compared to six months ago we are moving in the right direction”, commented EU Commissioner Olli Rehn at the end of the meeting.
In Piazza Affari today Consob announced that the ban on short selling of bank and insurance securities adopted on 23 July 2012 and extended on 27 July has expired. The banks were positive on the list: Intesa +1,50%, Unicredit +1,62%, Ubi +2,71%, Banco +1,45%. On the other hand, Mps closes in the negative - 0,48% after a morning on the shields. At the top of the Ftse Mib stand Mediaset +6,15&, Stm +6,11% after the news that the group's new strategic plan will arrive in December which will focus on the two pillars, namely digital and analogue. Today Georges Penalver, member of the France Telecom/Orange board of directors, was also appointed executive vice president, member of the Corporate Strategic Committee and Corporate Strategy Officer. Mediolanum +5,92%, Prysmian +5,17%. Fiat Industrial +5%. Eni rises by 4,18%, thanks to the increases in oil prices, after the first easing of the CDP in the capital. Yesterday the Cassa placed a first quota exceeding 30%, equal to 1,7 per cent. Among the possible buyers are the sovereign wealth funds of Qatar, Abu Dhabi and Kuwait.
Telecom Italy -1,20%, which announced an agreement with Fastweb for new generation networks, Lottomatica -0,83%, Diasorin -0,56%.
