Surprise move by the ECB which decided to stop lending to Greek banks suspending the derogation from the minimum eligibility requirements for Greek government bonds. In other words, Greek institutions will no longer be able to obtain liquidity from the ECB by giving the country's government bonds as collateral as has been done up to now despite Greece not having an investment grade rating (condition for the eligibility of bonds).
The derogation had been introduced in 2010 and was linked to the permanence of Greece within the Troika's recovery programme, which expires on February 28 but on cgui, explained the ECB, "at the moment it is not possible to assume a positive conclusion of the process program review". The newly installed Greek executive led by Tsipras has decided not to renew its commitments with the troika and to renegotiate the country's debt.
TOKYO ALREADY SENDS OVER 1%
Heavy opening expected in Europe The Eurotower's decision, which came on the same day that Finance Minister Varoufakis met Mario Draghi and after closed exchanges, increases the pressure on Greece and on the Eurogroup which will meet next week in an extraordinary meeting on February 11, on the eve of the European summit in Brussels. A heavy opening for the European markets is therefore expected for today. Nervousness is already being felt in Asia where Tokyo loses more than 1%. The euro dropped below 1,14 against the dollar to 1,1344. Yesterday, the markets closed mixed, feeling the effects of profit taking after the rallies of the day before. In fact, on Tuesday Athens itself had jumped by more than 11% in the wake of expectations of a positive conclusion on the debt renegotiation.
OIL DOWN AT BREAKTHROUGH
Yesterday Athens closed positive at +0,89%. Milan lost 0,33%, Madrid 0,19% while London rose by 0,17%, Paris by 0,39% and Frankfurt by 0,19%. The Btp-bund spread decreased to 118 basis points. Europe has acted cautiously as it awaits the results of the Greek government's tour and benefited from the data on the PMI services index in January which rose to 52,7 in the Eurozone from 51,6 in December. Analysts' expectations indicated 52,3 points. The composite PMI rose to 52,6 in January from 51,4 in December, against expectations that remained at 52,2 points. Also in Germany the index rose above expectations to 54 points while in Italy it rose to 51,2 points from 49,4 in December, above the threshold of 50 points but below analysts' estimates. Oil conditioned the session of the lists on both sides of the ocean with the Wti which collapsed by 5%. The decline continues today with the WTI trading down 1,94% on Asian markets to 47,51 dollars a barrel.
THE MARKET MOVERS OF TODAY
In the US on the macro front, 213 jobs were created in January in the private sector, according to ADP estimates, below analysts' expectations of 240. Instead, the ISM non-manufacturing index was above expectations, rising to 56,7 points from 56,5 in December. Now the market is looking to the unemployment data that will be released tomorrow. Today watch the German December industrial orders expected in the morning and in the afternoon, the US data on the trade balance for December, the productivity of the fourth quarter and the weekly jobless claims.
TUGGLE BETWEEN OIL AND POPULAR BANKS SPEAK ON REFORM
Stocks linked to oil and utilities ended up at the bottom of the Ftse mi in Piazza Affari yesterday: Tenaris worst stock with a drop of 3,03%, Snm loses 2,13 and Saipem 1,95%, Eni the 1,41% and Terna 1,28%. Countercurrent banks with Bper +4,03% and Banco Popolare +3,07%. Popular still in the spotlight after Renzi's ultimatum: the prime minister said he was ready to resort to a vote of confidence on the conversion of the sector reform decree into law. Yesterday the Board of Assopopolari reviewed the hypotheses studied by the committee of experts to which the association has entrusted the task of a self-reform proposal to arrive at a path shared with the Government. Two scenarios identified by the institutes themselves to "modernize the system": the overcoming of the captain vote with the introduction of the weighting of the capital vote, with particular favor for shareholders with limited/lasting share ownership; a more significant opening to capital in the formation of the governing bodies of the popular cooperative. Meanwhile, the Mef has made it known, on the multiple voting dossier, that it will not grant any extension to the deadline (expired on January 31, for the approval in extraordinary meetings of multiple voting with a simple majority instead of the normal two-thirds quorum). Mps +1,81%. Consob has announced that UBS holds 2,164% of which 1,52% without voting rights.
ENEL FINAL RUSH TOWARDS PRIVATIZATION. FOSSATI TELECOM FALLS BELOW 2%.
The Treasury has decided to speed up the placement of a 5-6% stake in Enel by carrying out the operation by the end of February to give a strong signal of the will to continue with the privatizations. Marco Fossati communicated yesterday to Consob that he had fallen to 1,989% from 5% of the ordinary share capital of telecom Italia with split sales on the stock market. The stock yesterday closed down 0,49%. For Findim, participation is no longer considered strategic but financial.
MEDIASET RUNS THANKS TO THE ADVERTISING COLLECTION
Mediaset is running +3,64% thanks to the indications provided by the CFO Marco Giordani of an expected collection of between +2% and +4% in 2015, after the negative trend of 2014, while in Spain press forecasts speak of a beginning of 2015 with increases of around 10% which would confirm the trend of 2014. Among the best stocks also Buzzi Unicem +3,19% and Stm +3,03%.
