Record-breaking European inflation does not seem to frighten the European stock markets, which, despite the strong volatility, are trading in positive territory at the beginning of the afternoon, demonstrating that they have already partially discounted the price run. After yet another weak start to the session, the lists of the Old Continent - returning from a disastrous first half – have reversed course: Milano marks +0,4%, in line with Frankfurt e Paris. It does better Madrid (+1%), while London salt of 0,2%.
Inflation
Eurozone: it is a record since the birth of the single currency
At the Eurozone level, the annual inflation calculated by Eurostat for the month of June is equal to8,6%. This is the highest figure ever recorded since the birth of single stud, higher than both the May figure (8,1%) and the average market forecast (8,4%). On a quarterly basis, however, consumer prices recorded an increase similar to that of the previous month: +0,8%.
Italy: in June the highest level since 1986
In Italy, the preliminary estimates by Istat on inflation for June speak of 1,2% over the month and a 8% year on year (from 6,8% in May). The trend figure is the highest since January 1986. Energy prices show growth which accelerates from +42,6% in May to +48,7% last month. Core inflation, ie net of energy goods and unprocessed foodstuffs, rose from +3,2 to +3,8 per cent.
Manufacturing slows down
Still on the macro front, in June the manufacturing PMI index of the Eurozone calculated by Markit falls to 52,1 points, from 54,6 in May. The figure is slightly higher than expected (52,0), but still marks the fifth consecutive monthly decline, bringing the index to its lowest since August 2020.
The manufacturing PMI for Italy, on the other hand, stands at 50,9 points, down from 51,9 in May, but slightly above analysts' estimates, which on average did not go beyond 50,8. Again, though, last month's figure is the lowest since the sector's recovery began two years ago.
European banks attempt a rebound
On the equity side, the purchases of investors at the continental level are concentrated on the big names in the retail trade and above all on the banks, after yesterday's collapses triggered by theECB warning on dividends.
Milan is no exception, where Unicredit it goes up 1%. The better title is though Saipem, which rebounded 6% after the sell-off linked to the capital increase.
The best and worst stocks on the Ftse Mib
Also among the best titles of the Ftse Mib Amplifon (+ 2,67%), Leonardo (+ 2,29%) and Cnh Industrial (+ 2,09%).
The worst, however, are nexi (-1,44%), stmicroelectronics (-1,15%), Recordati (-0,63%) And Azimuth (-0,33%).
Also the spread on the swing
Volatility also dominates the scene on the public debt front: the BTP-Bund spread, after closing Thursday's session at 202 basis points, it widened today at the opening to 205, and then fell back to the 190 area.
Euro
On the other hand, no jolt for the euro, which remains substantially stable at 1,0455 dollars.
