A high volatility session closes in Europe, where hopes of a rebound definitively faded when Wall Street, in the American morning, began to move in contrast.
Business Square it is the best and limits damages to 0,32%, dropping to 21.846 basis points. So too spread archives a day in swing: after a flare above 250 basis points, the yield differential with the German stock closes colorless at 237 basis points. However, rates are up: +4,1% for the BTP and +1,73% for the Waist. Today's auctions of 3-year and 7-year BTPs contributed to keeping the tension on Italian government bonds high, with yields rising respectively to 3,04% (top since July 2012) and 3,75%, a true record since the expiry was introduced in 2014.
The interview of the Dutch governor with Le Monde, Klaas Knot, according to which the ECB's options for a increase in interest rates of September are not limited to 50 basis points. It is recalled that the European Central Bank last week announced the end of QE on the first of July and a rate hike of 25 basis points at the end of the same month. A new hike is likely to come in September, unless inflation shows signs of calming down. For now, this is not the case, as inflation in Germany shows, which accelerated in May, on a trend basis, to 7,9% (+0,9% on a monthly basis), in line with expectations.
In this context, the red of the other price lists in the euro area is brighter: Frankfurt -0,91% Paris -1,2% Amsterdam -1,31% Madrid -1,37%. Off the block loses 0,27% London.
Nervous Wall Street: Twitter is waiting for Musk
The markets are nervous, pressed by inflation, by central bank decisions, by the surge in government bond yields, by fears of a recession. Wall Street is mixed, having changed direction several times. Among the most famous titles it is appreciated Twitter (+3,3%), driven by the news that the potential buyer, Elon Musk, will meet the employees of the bird for the first time on Thursday.
Oracle it is among the best performers on the S&P 500 (-0,14%) with an increase of 8%, after a better-than-expected quarterly, thanks to a "significant increase in demand" for its cloud services. This performance comes in the aftermath of a heavy session, in which the S&P 500 officially entered bear territory, with an overall decline of 21% from the record reached in January.
Focus on the Fed for rate hikes
In these hours the focus of investors is on the Fed, which today started its monetary policy meeting and which will announce its decisions tomorrow. The probability that the rate hike will be 75 points and not 50 has increased due to the data above the consumer price estimates, seen on Friday. Today producer prices are in line with expectations.
If this were the decision, it would be the largest increase in 26 years. JP Morgan does not even rule out a more massive intervention, equal to one percentage point. The bank's CEO, James Gorman, says he sees a 50% danger of an American recession.
In the meantime, the index of the dollar. The euro remains squeezed in area 1,041. The pound weakens further.
Gas and oil up: Gazprom cuts supplies to Germany
With the entire financial world focused on the problems triggered by high inflation, oil and gas prices continue to rise.
In particular, the price of gas, which moved little throughout the first part of the session, flew by 10% to 94,73 euro megawatt-hour after Gazprom's announcement on the reduction 40% of supplies to Germany, through the Nord Stream pipeline, due to the non-delivery of some equipment by Siemens (-1,47%).
They also run oil prices and Brent strengthened by 2,3%, above 125 dollars a barrel.
Piazza Affari holds up with oil, asset management and banks
The rebound in asset management, oil stocks and banks contributes to limiting the damage to Piazza Affari today.
Saipem, after yesterday's collapse, recovers 2,82%, driven by an agreement with Trevi linked to drilling for offshore wind farms.
Among the oil stocks, it also finds its place in the top ten of the main list Eni + 1,48%.
Managed savings stocks, recently sold with both hands, are making a comeback. The pink jersey goes to Banking Mediolanum +4,01%, they follow Post + 3,08% General Bank + 2,34% Azimuth + 1,1,31%.
Finally, the purchases of banks are back, heavily penalized by the surge in government bond yields. In particular, they are tonic Unicredit +2,41%; Bpm bank + 1,2% Mediobanca + 0,93%.
In the top ten of the main basket of Piazza Affari peeps out Telecom + 0,77%.
The most consistent discounts are for Campari, -4,2%, A2a -3,37% Inwit -3,31% Diasorin -2,92%. It does not stop the descent of nexi, -2,74%, which further updates its historical low to 7,31 euros per share, despite today's announcement of the sale to Euronext of a technological component Capital Markets for 57 million euros.
