While in Brussels it is underway a fiery NATO summit, European stocks plunge on fresh fears over US-China trade war. After the entry into force of cross-taxes for 6 billion dollars on 34 July, the irrepressible American president is upping the ante again and threatens the imposition of further tariffs - this time at 10% - for 200 billion dollars on food products and tobacco imported into the US from Beijing. China, for its part, has no intention of falling behind and makes it known that it is ready "to take countermeasures to protect the interests of the country and its population", also involving the international financial community in the battle.
The umpteenth escalation on duties blocks the rises of the last few sessions and, after causing a sharp drop in Asia, sends European lists weighed down by cars, technologies and raw materials into deep red. Milano it is the worst with the Ftse Mib which scores -1,4% at 21.749 points. Also down sharply Frankfurt (-1,3%), Paris (-1,24%) And Madrid (-1,2%). Outside the Union the trail of sales continues unabated, with London which yields 1,18%, e Zurich which loses 1%. Across the ocean, Wall Street futures move down by about one percentage point, heralding a very difficult day even for the Stars and Stripes stock markets.
On the currency front, Donald Trump's new threat causes the dollar to appreciate against all other currencies, including theeuro: the cross is currently traveling at 1.1709. The dollar/yen is on the rise, returning to 111,2. Sharp drop in prices Petroleum with Brent in particular which, after having touched 80 dollars a barrel in yesterday's session due to fears related to Libyan and Canadian production and the parallel strike in Norway, is now down 2,5% to 76,88 dollars. Also down is the WTI, whose price drops to 73,35 dollars a barrel (-1%). The overview of the markets concludes with the bond: spread between Btp and Bund up slightly to 238 basis points, while yields on the Italian ten-year bond rise to 2,682%.
In Piazza Affari, the war report opens with Tenaris (-5%), also penalized by the downgrade to "neutral" by Credit Suisse, and continues with the securities of the Agnelli galaxy. Cnh Industrial (-4,6%) falls disastrously on the hypothesis that among the new products affected by US duties there are also cereals, while Exor e fca they lost 3,49% and 2,47% respectively. The worst list also includes Azimuth:-2,65%
The sales do not spare the banks either, all in negative territory: Unicredit (-1,6%), Intesa Sanpaolo (-1,5%), Bpm bank (-1,5%). Oil movements send oil companies into the red: Saipem (-1,06%) ed Eni (-1,6%). The Six-Legged Dog spokesman said the company nowill not participate in the RTR race for the acquisition of the Italian plants owned by Fondo Terra Firma.
Among the blue chips he manages to save himself Leonardo (+0,37%) thanks to the news according to which Qatar is trying to raise 4 billion dollars to finance the purchase of the 24 Eurofighter Typhoons ordered last December. The value of the contract, subject to the financing conditions and the receipt of the first payment expected for the first half of 2018, amounts to approximately 5 billion pounds sterling, 5,6 billion euros at current exchange rates. Up too Campari (+ 0,76%) and Finecobank (+0,16%), on parity Terna (+ 0,09%).
Outside the Ftse Mib, three titles stand out:
- Banca Carige (+3,57%): yesterday the shareholder Mincione, who owns 5,4% of the share capital, asked to include the revocation of the of the board of directors and the consequent appointment of a new board. Carige's Board of Directors, which met yesterday, examined the proposal and should formalize the convocation of the meeting on August 3rd.
- Juventus (-5,73%): the "CR7 effect" which in recent weeks had sent the stock into orbit seems to have ended with the official announcement of the purchase. Despite today's drop, the balance since the beginning of the month remains largely positive: +27,45%.
- Askoll Eva (+29,43%): The Vicenza-based company that produces bicycles and electric scooters made its debut today on the Aim of Borsa Italiana. In the morning, the stock entered the volatility auction with a theoretical increase of 37,14% to 4,8 euros per share, against the 3,5 euros of the price offered for subscription in the context of the private placement. Once back in trading, the shares are close to +30%, achieving one of the best performances of Piazza Affari.
