The world stock markets are knocked out, stunned by the uncertain outcomes of the trade war between the US and China, with the new round of talks starting today in Washington. European lists close in deep red, while Wall Street, which started trading lower for the fourth day in a row, is accelerating lower. Tariffs will go up tomorrow at 25% from 10% on 200 billion of Chinese imports and Donald Trump has assured that he will not back down unless Beijing "desists from making fun of our workers". Technologists suffer, Apple (-2,5%).
In this climate, Frankfurt loses 1,65%; Paris -1,93%; Madrid -1,43%; London -0,92%; Zurich -1,93%. Even football has a hand in it and Ajax sinks in Amsterdam by 20% after the defeat in the Champions League.
Piazza Affari falls short of the threshold of 21 basis points and falls to 20.817, -1,82%. The Milanese price list is shaken by major international issues and their repercussions on exporting companies, but also from the many quarterly reports presented in recent days. The banking sector also weighs on the Blackrock retreat from the Banca Carige bailout plan. Banco Bpm pays the price, -8,16%, which disappoints in quarterly revenues and suffers from the rejection of the Kepler Cheuvreux agencies (which brings the title to "reduce" from the previous "hold") and Equita SIM (target price reduced to 2,8 compared to the previous 3). Intesa, -2,32%, suffers from the rumors that it would be involved in the future of Carige. Mps loses 4,39%, after closing the first quarter with a profit of 28 million euros, a sharp drop compared to 188 million in the same period of 2018. The result, read in a note, is weighed down by non-operating negative components and non-recurring for 92 million euros.
Rain of sales on Azimut -5,93, Stm -5,04%, Prysmian -4,52%, Fiat -3,75%. The results instead support Leonardo +2,71% and again Amplifon +2,42%. Well Juventus +1,53% and Terna +0,56%.
The negative phase of BTPs continues: the 2,68-year yield is at 272.00% and the spread with the Bund rises to 1,64 basis points (+XNUMX%). Concerns about the Italian economy are accentuating, after the downward estimates of the EU Commission, the tensions in the government majority and the risk of world trade entangled in tariffs.
In the evening, the Treasury will announce the details of the securities that will be made available to investors in the medium-long term placement on Tuesday 14 May. According to Unicredit, Via XX Settembre could offer the 3-year BTP, the 7-year BTP and the 30-year BTP, the latter in the first reopening after the February syndicate issue, according to Unicredit.
Still on the primary front: Ireland has launched the new government bond with a maturity of 15 May 2050 of 4 billion euro, with revised yield indications in the area of 47 basis points on the midswap curve and orders over 18 billion.
The uncertainty about the outcome of the meetings between the USA and China, preceded by a series of jabs at the highest levels, is making itself felt on the dollar and on oil, while pushing safe-haven assets such as the yen and gold. The greenback weakens against the major currencies. The euro trades at 1,122 and prevails over the pound (0,862), still mired in Brexit.
Brent-type oil loses 0,55% and falls to 69,98 dollars a barrel. Gold moves above $1285 an ounce.
