The rally of shares on Wall Street slows down in anticipation of the last, dramatic act of the US election year: in Georgia the two seats that can attribute control of the Senate to the Democrats are assigned, strengthening the grip of Joe Biden, or guarantee the Republicans a solid basis for limiting the President's action. The new measures to contain the contagion launched by Germany and Great Britain contribute to complicating the march of the Bull. Even the Asian stock exchanges first chose the path of prudence, consolidating the highs reached yesterday, and then closed on a recovery.
THE KOREA RALLY CONTINUES, JACK MA IS NOT FOUND
The MSCI Asia Pacific index is down 0,1%. Tokyo's Nikkei down 0,3%, Hong Kong's Hang Seng +0,1%, Mumbai's BSE Sensex on parity. In the final part of the session, the Kospi of Seoul made a strong recovery: +1,4%. The CSI 300 index of the Shanghai and Shenzen stock exchanges, which fell at the start of the session tonight, also turned around and is now gaining 1,5%. To stop the appreciation of the Chinese currency against the dollar, which has risen to its highest level in the last two-and-a-half years, the central bank of Beijing has mobilized intervention by the country's main banks, which all bought dollars together.
The absence from public events of Jack Ma, the founder and chairman of Alibaba, in the party's sights, is worrying. The tycoon, who disappeared from the public scene since the end of October, should have participated yesterday as a guest on a TV show. The Financial Times he writes that the editorial staff of the program would have been informed in time of Ma's unavailability to play the role of judge in the reality show dedicated to new entrepreneurs to which he had given his support.
BORE USA DOWN BY ONE AND A HALF. THUMP OF BOEING
Tension also on the US markets, awaiting the confrontation in Georgia and Biden's inauguration in the White House. Democrats have asked the FBI to open an investigation into President Donald Trump's call to Georgia Secretary of State Bran Raffensperger to try to subvert presidential election voting in the state. Trump is increasing pressure on members of the Republican party to overturn the outcome of November: S&P and Nasdaq left on the ground one and a half points, Dow Jones down 1,25%. Boeing -4%: concern grows over the cash levels of the aeronautical industry giant.
The New York Stock Exchange halted the de-listing of three major Chinese telephony firms, as per the Trump administration's order.
OPEC+ DIVIDED ON PRICES, EMBARGO ON QATAR ENDS
Brent oil is little moved at 51 dollars a barrel. The OPEC+ delegates meet again via videoconference at 14.30pm. Yesterday, after three hours of confrontation, no agreement was reached.
Saudi Arabia, Egypt, the United Arab Emirates and Bahrain have decided to lift the embargo that has hit Qatar for three years, accused of supporting terrorism and too close relations with Iran.
The progression of gold stops, yesterday reaching the highs of the last two months at 1.942 dollars an ounce. This morning, we are at $1.938. Euro-dollar at 1,227 (+0,2%).
MILAN TOUCHES THE MAXIMUM, THEN BRAKS
The Milan Stock Exchange started 2021 on the rise: Ftse Mib +0,4%. During the morning, the reference index of Piazza Affari reached its nine-month high. But it was a choral rise, driven by the optimism of London, galvanized by the agreement with the European Union and by the comforting feedback from the data on the economic trend: in December, the PMI index on the expectations of the purchasing managers of the Italian manufacturing companies rose less than expected, to 52,8 points from 51,5 in November; the consensus expected 53,5.
Piazza Affari rose by 0,4%, to 22.315, after the slowdown in the afternoon at the opening of Wall Street. The value of trades rose sharply: 2,37 billion euro, with an increase of 82,16%, compared to 30 December (1,3 billion).
LVMH RECORD, TUI RUNS
Frankfurt +0,09%: from +1,1% in the morning it has practically eliminated all gains, also in the perspective that the anti-Covid restrictive measures are confirmed until 31 January. Madrid +0,24%. Paris +0,68%: Lvmh started the year with a new absolute record at 518,30 euros.
The world's largest tourism group, Germany's Tui, advanced 8,3% after the group's chief executive told the Swiss newspaper View to predict “a practically normal summer” this year.
LONDON AT THE TOP, BETTING WAR ON THE CITY
The liveliest market was London (+1,75%). “Given that UK equities have been one of the worst performers among major global markets since the Brexit referendum in June 2016, now could be a good time to buy,” said Stephen Innes, chief global markets strategist at Axi.
The US gaming giant MGM Resort (+0,7%) offered 11,1 billion dollars in paper for Entain, the English gaming and betting company. The offer was allegedly rejected by Entain, which said the figure underestimates the company and also asked for "additional information on the rationale for the combination of the two companies". Entain rises 30% on the London Stock Exchange.
The single currency of the European Union appreciates against the pound at 0,902.
BITCOIN DEFLATES, GALLOPING GOLD
Bitcoin loses more than 14% after hitting $33.670, erasing more than half of the 20% rally seen from New Year's Eve, which hit a record $34.800 on Sunday.
SPREAD TO 116, TREASURE LAUNCHES A NEW 15 YEAR
The BTP closed the first session of the year substantially stable. At the end of the day, the 0,55-year rate was 0,58%, after a peak in the morning at 116%, the highest since the beginning of December. The spread on the Bund is at XNUMX bps.
In the evening, the Treasury announced that it had mandated a pool of banks to launch a new 15-year syndicated BTP.
LAUNCHED DEPARTURE FOR FCA/PSA, THE 18 STELLANTIS ON THE PRICE LISTS
The shareholders' meetings of FCA (+1,92%) and PSA (+2,19%) gave the go-ahead for the merger between the two groups from which the fourth giant in the world in terms of sales volumes was born, behind Volkswagen, Toyota and the Renault-Mitsubishi-Nissan alliance. Once some formal steps have been completed, Stellantis will make its debut on Piazza Affari and on the Paris Stock Exchange on January 18th.
The two assemblies approved the operation with Bulgarian majorities: the green light for Peugeot was voted by 99,85% of the shareholders, yes for FCA by 99,15%. “Our priority will be to reach the 5 billion euros of synergies indicated per year”, underlined Carlo Tavares, future CEO of Stellantis. Exor +0,4%.
THE CAR ARCHIVES THE BLACK YEAR: FIAT CHRYSLER -26,7%
The Italian car market closed 2020 in the red. In the full year, registrations were 1.381.496, 27,93% less than in 2019. In December, 119.454 cars were registered, with a decrease of 14,95% compared to the same month in 2019. The FCA group registered 331.120 cars in Italy in 2020, 26,76% less than in 2019. Male Pirelli: -1,67%.
CREDIT SUISSE MAKES STM FLY, TESLA IS A GOOD CUSTOMER
Brilliant start to the year for another Italian-French joint venture: Stm closed the first day of trading of the new year, rising by almost 3,83%, to 31,72 euros, making it the best stock in the Ftse Mib. The opinion of Credit Suisse pushed the price, which confirmed the outperform recommendation and the target price of 35 euro. The good demand from some key customers, such as Apple and Tesla, which represent around 20% and 2,5% of sales, contributes to the success.
Other industrial stocks in great evidence: Buzzi +3,64% and Interpump +1,64%.
IN RED ATLANTIA AND ENERGY
Atlantia (-2,31%), banks and oil stocks, which changed sign during the session following crude oil sales, weighed down the list. Brent -1,3%, at 51,12 dollars a barrel. Mediobanca -1,75%, Bper -1,67%. According to some operators, bank stocks are looking with some fear at the evolution of the possible government crisis.
Among the ten worst blue chips, Tenaris -1,33% and Eni -1,17%. In red Generali, (-1,33%), which has signed an agreement for the acquisition from AXA of 100% of AXA Insurance (AXA Greece) for 165 million euros. The Lion of Trieste also renegotiated the existing distribution agreement between AXA Greece and Alpha Bank expiring in March 2027, extending it for 20 years from the closing with the definition of future payments by the Generali companies in Greece to Alpha Bank. In recent days, Assicurazioni Generali was also admitted to the Collaborative Compliance regime (or Cooperative compliance), established by Legislative Decree no. 128/2015, which allows an innovative method of constant and preventive dialogue with the Revenue Agency.
UTILITY IN RUN, FOR EQUITA A2A IS BUY
Enel (+2,2%) and A2A (+2,03%) stand out among the utilities, on which Equita sim confirmed the buy rating and the target price of 1,55 euro. President Patuano underlined that the strategic plan that will be approved in January will see investments in all the sectors in which the group is present. As regards mergers, however, Patuano believes there is room to accelerate the synergies in Acsm-Agam (41% controlled).
NEW HIGH SINCE 2007 FOR FALCK RENEWABLES
Falck Renew +6,3% at 7 euros. The renewable energy company hit new highs since 2007, at 7,0950 euros. Wiit +3%, at 168 euros. The operator active in the Cloud computing services market and listed on the Star segment was among the best. Wiit recently made its first international acquisition. The company has concluded an agreement in Germany for the purchase of all myLoc, a German provider of cloud services for businesses and individuals, part of the ProSiebenSat Group.
