European markets are advancing on the long wave of expansionary signals launched by Central Bank of Japan, which removed its limits on government bond purchases and raised the share of what it can buy corporate bonds and trade credits according to courses that could be followed this week by both the Fed and the ECB.
Business Square scores an increase of 2,4%, above 17.200 points, in line with Frankfurt. Slightly less than the increase of Paris, Madrid e London. Zurich, weighed down by the strength of the franc against the dollar and the euro, limits the increase to 1,2%.
It reduces it spread after the verdict of the rating agencies: the gap between the BTP and the Bund is reduced to 229 basis points from 265 last week, recovering from last week's lows. The 1,74-year yield falls to 2%. Progress also on the short end of the curve: yield on the 0,74-year BTP to 1,25% from 88%. The gap with Spain narrows: spread to XNUMX basis points.
It still goes down the oil: Brent loses 3% to 20,5 dollars a barrel. In North America, the return of the fear of running out of space in storage pushes Texas crude much lower: the WTI loses 13%, to 14,7 dollars. Production cuts will begin at the end of the week, but already in the last few hours, some major producers, including Saudi Arabia, have begun to slow down. But the scenario could get even worse if the estimates of the International Monetary Fund are confirmed (-3% of world GDP in 2020).
At Piazza Affari Eni + 1,5% Tenaris + 1% Saipem + 0,4%.
The banking sector is very evident throughout Europe: the Eurostoxx Banks index leaps forward by 4%, trailed by +11% Deutsche Bank. The Italian sector also plays its part with an increase of 3,6%, justified by the confirmation of the rating by S&P which arrived on Friday evening.
Avanza Understanding (+3,7%), while the shareholders' meeting for the capital increase to service the offer on Where's Banca (+3,7%). The institute has already credited one thousand current accounts for requests for loans up to 25 thousand euros in the context of access to credit governed by the liquidity decree of 8 April last, it received over 104 thousand requests, of which 32 thousand in the last day alone. A quarter of applications are incomplete and require further processing.
Salt too Unicredit (+3,75%). Strong too Mediobanca, up 3,5%. Generali + 3%.
Asset management is also recovering: Azimuth + 4,03% Poste Italiane + 4% General Bank +3,78%. In March, the Italian asset management industry recorded outflows of €10,4 billion. Assets under management fell below the 1.000 billion euro mark.
38 out of 40 companies in the main basket rose. Negative only Atlantia (-0,9%) And Italgas (-0,2%). On positive ground too Diasorin (+1,11%) even if the ministry has entrusted Abbott with the contract for the coronavirus test kits.
Positive Stm (+ 3,5%) and Leonardo (+1%). Morgan Stanley has downgraded the rating to Equal Weight.
Also worth mentioning Fiat Chrysler (+3,5%). Today, with the arrival of about a hundred employees at Mirafiori, the electric 500 operation has begun. The Atessa plant in central Italy has also reopened, in view of the restart of Melfi.
Ferrari rebounds by 1,8%. In a new research, Morgan Stanley has raised the target price from 163 to 170 dollars, approximately 159 euros, reinforcing the Overweight opinion.
