THE INDUSTRY IS PULLING, THE PLACE OF BUSINESS AS WELL
HI TECH, GLASSES AND RUNNING CARS
THEItalian industry, despite the opinion of the president of Confindustria, shows signs of life, if not recovery: production in May it unexpectedly went up by 0,8% after -2% in April. The same is happening across the Channel: in May, British industrial production grew by 1% (after the 0,4% drop in April).
This too, together with the agreement inEurogroup aid for Spanish banks and on the ECB's role in anti-spread operations, explains the rebound in share prices and sovereign debt in the EU periphery.
In Milan, the Ftse Mib index rises by 1,64% to 14.038, in London the FTSE 100 is up by 0,84%. Paris and Frankfurt gain 1,2%. Madrid +1,26%.
On the government bond market, they snap purchases on the BTP, the differential with the Bund drops to 459 basis points (-16 basis points compared to yesterday's closing). The yield on the 10-year BTP drops below 6% again.
The euro appreciates against the dollar to 1,231 (against 1,229). WTI-type oil is down 0,4% to 85,5 dollars a barrel, following the end of the long strike (two weeks) by Norwegian platform workers.
The news of the day comes from the technology sector (+ 2,2% the Stoxx index): the Dutch Asml it was up 9% on news that Intel is investing about $4 billion in the chip-making machinery company. The agreement provides that the Californian giant, intending to develop a new generation of microchips, will initially take over a 10% stake in ASML with an outlay of 1,7 billion dollars.
The novelty is good for Stm which has reversed course and rises by 1,7%.
The key news for the Italian price list concerns sapphire up 5% after announcing the renewal of the license with Hugo Boss.
Up 1,8% also the Stoxx automotive index together with those of the oil and construction sectors (both +1,5%). Banks +1,2%. The best blue chip in Milan is Finmeccanica +5,75%. Impregilo's rise continues +2.01%.
Fiat rose by 3,76%, ahead of Fiat Industrial + 2,86%. Exor +3,79%. Ok day for the Oil sector: Eni +1,3%, Saipem + 2,41% and Tenaris + 3,03% promoted by Ubs to buy from neutral.
Also recovering financial sector. Unicredit +2,49%, Intesa Sanpaolo +1,84%, Banco Popolare +3%.
The insurance companies involved in the four-way aggregation plan rebound. Fondiaria Sai is suspended due to excess increases, Milano Assicurazioni +6%, Unipol +5%, Premafin +5%. The agreement on the consortium of banks that should guarantee the capital increase of Fondiaria Sai Unipol has almost been reached. In addition to Mediobanca and Unicredit there would be Deutsche Bank, Nomura, Barclays, Credit Suisse and Ubs. Foreign banks would be guaranteed an unopted guarantee fee of around 14%. Mediobanca would guarantee 250 million euros and Unicredit 200 million (with lower commissions).
Safilo is on the rise by 5%, this morning the eyewear company announced the renewal of the license with Hugo Boss.
Saras +5%, Prysmian +2,99% and Mittel +5% are also running.
