In Ukraine there is fighting. In the city of eastern Ukraine, reports the Russian agency Ria Novosti, gunshots are ringing out and an armored vehicle is said to be on fire. Down in Asia (Hong Kong -1,5% and Shanghai -1%) with Tokyo which instead managed to snatch a +0,17%. The sparks on Wall Street yesterday on technology stocks were not enough after the quarterly reports of Apple and Facebook: in the middle of the day all European stocks suffered, with Piazza Affari losing almost 1%.
During the day, the United States will consult with European leaders on possible new sanctions against Russia. Barack Obama announced it at a press conference in Seoul with President Park Geun-hye: the goal "is a common approach" given that Russia "has done nothing to implement the Geneva agreement".
Meanwhile, today the S&P rating agency cut Russia's credit rating to BBB-, one step above the junk rating. But Russia's central bank unexpectedly raised its key rate to 7,5% from 7%, amid fears of rising inflation. On the European front, S&P instead saved France's rating and outlook.
Piazza Affari -0,9% around 13pm, on a day of very low trading due to the celebration of Independence Day, did not particularly benefit from Fitch's positive rating: the agency confirmed Italy's BBB+ rating and improved the rating from negative to stable. According to the rating agency, the recession is now over in Italy too, even if growth prospects remain weak. The Btp-Bund spread was not shaken by the news: it is stable around or just above 160 points.
The other European Stock Exchanges are also down. London -0,18%, where retail sales increased by 0,1% in March and 4,2% year on year, better than expected. Frankfurt -0,78%. On the German stock exchange Deutsche Bank dropped 2,3% on rumors of pressing for a capital increase. Paris -0,23%. Alstom stock was suspended from listing at the request of the Financial Markets Authority, "until further notice". Yesterday, the stock rebounded more than 10%, boosted by rumors of a General Electrics takeover. The Economy Minister announced that the French government is working on other solutions and possibilities with respect to the offer on Alstom's energy sector activities by the American group General Electric.
Mediaset rises in Piazza Affari on expectations for a pay-TV alliance with Al Jazeera and Canal Plus. Saipem also did well, +1,4%, still in the wake of its accounts and order portfolio. Among the best are Cnh Industrial +1,14%, Prysmian +0,9% and Stm +0,8%. At the bottom of the Ftse Mib Wdf -2%, Telecom Italia -1,9% and does not seem to react to the confirmation of the buy opinion by Deutsche Bank analysts, Yoox -1,9%. The banks were also in the red: Mediobanca -1,76%, Bper -1,71%, Unicredit -1,67%, Intesa -1,62%, Banco Popolare -1,63%.
