The umpteenth Nasdaq record (+0,74%, at 14.174 points), accompanied by new highs for oil while the ten-year T-Bonds remain well below 1,5%, characterizes the financial markets a few hours from the start of the Federal Reserve meeting called for a difficult communication test: on the one hand reassuring the fact that the money policy will remain soft until late summer, but on the other hand convincing the markets that the situation, despite the pressure on prices, remains under control. Not an easy mission because, this morning warned an investigation by Wall Street Journal, Corporate America is burdened with $11.500 trillion in debt, partly contracted to deal with the pandemic. Even a modest increase in the cost of money, given these figures, must be weighed with the utmost attention.
NIKKEI RISES, TOKYO BRAKES BEFORE THE OLYMPICS
Contrasted Asian stock markets awaiting the Fed. The Nikkei opens up in Tokyo (+0,90%), even if, one month after the start of the Olympic Games, the economy is feeling the slowdown imposed by the various lockdowns: GDP will rise by 0,5% in the second quarter, much less than expected (+1,7%).
Weak Chinese markets closed yesterday for holidays: the Csi 300 index of Shanghai -16%, Hong Kong -0,21%. Sidney, on the other hand, rose (+1,03%) after the publication of the minutes of the last meeting of the Central Bank.
Oil remains at its highs: Wti at 71,27 dollars a barrel (+0,55%), Brent at 73,24 dollars, close to Monday's record (73,64), the highest since 2019.
US markets were positive yesterday, with a slight slowdown at the end. In addition to the Nasdaq, the S&P index also reached its maximum +0,18%, while the Dow Jones slowed down to -0,25%.
LORDSTOWN, TOWARDS FAILURE THE FIRST SPAC
Lordstown's electric cars are under fire (-18%) after the business continuity warning. The entire SPAC sector is affected, the financial vehicles created to seize good opportunities: Lordstown had to be one of these.
Little move Novavax after the positive outcome of the vaccine tests.
EUROPE, OPENING RISES. TODAY THE AIRBUS-BOEING PEACE
Futures on European stock exchanges are preparing for a slightly higher start. The European summit with the United States is held today. Various dossiers were at the center of the summit: from vaccines to the fight against Covid-19, via the climate and investments in technology. The meeting is also expected to end the 17-year dispute over government funding of Airbus and Boeing
LONDON POSTPONES TOTAL OPENING
The evolution of the pandemic always remains at the center of attention. In Great Britain, British Prime Minister Boris Johnson officially announced that the lifting of the latest restrictions will be postponed by four weeks, to July 19, due to a surge in cases linked to the Delta variant, which originally appeared in India. “We are very concerned about this variant which is spreading faster than expected”, explained Johnson, who therefore prefers “to wait for July 19 to give the health service the necessary time” to overcome the new emergency.
MUSK MAKES BITCOIN FLY: CONSOB SOS IGNORED
The lunge of the president of Consob Paolo Savona against cryptocurrencies coincided with the rebound of Bitcoin beyond 40 thousand dollars. Almost simultaneously with the highly critical analysis on cryptocurrencies by Savona which spoke of the risk of a second collapse after that of 2008 for derivatives, the virtual currency shot up by 9%.
The rebound is due to Elon Musk: the Tesla group, he tweeted, will return to allowing transactions in the cryptocurrency when “there is confirmation that a reasonable component (about 50%) of clean energy will be used in the mining process”.
Furthermore, the clearance of Paul Tudor Jones, multi-billionaire hedge fund manager, arrived at the Robin Hood conference, who said that bitcoin is "a great means" to protect his assets in the long term and that it is part of his investment portfolio like them. “I like bitcoin to diversify my portfolio” he said, interviewed by CNBC.
GREECE AT 5 YEARS BELOW ZERO: ONLY THE BTP RETURNS SOMETHING
Strange, very strange but true. Greece's 5-year bond slipped into negative territory yesterday. That is, despite the fact that Athens' public debt has exceeded the threshold of 200% of GDP under the stress of the pandemic, the managers agree to finance the Hellenic bonds for free, treated eight years ago as waste paper or so. BTPs thus remain the only five-year bond in the Eurozone that pays interest. The mystery can be explained both by the limited size of the Greek market and, above all, by the shield offered by the ECB's purchases.
THE FIRST TRANCHE OF THE EUROBONDS HAS BEEN OPENED TODAY
The turning point in Athens coincides with a historic date for the European market: today the EU Commission will mandate 39 banks (including Intesa, Unicredit and MPS) to launch a first tranche of bonds that will finance the Recovery Plan. The operation should concern 750-year bonds for an amount of ten billion, the tip of the iceberg of the XNUMX billion in financing envisaged by the Next Generation Eu.
The green light from the Commission should arrive on Wednesday for the first National Recovery and Resilience Plans (Pnrr), among which there will probably also be the Italian one, delivered within the times established to the EU on 30 April last.
SPREAD TO 103, BTP RETURNS 0,77%
The 0,77-year BTP moved to its lowest yield since April, at 0,25%, as did the German Bund at -103%. The Btp/Bund spread remains nailed to XNUMX basis points.
The European Central Bank could focus corporate bond purchases on companies that pollute less or are reducing emissions. This was stated by ECB Governing Council member Isabel Schnabel during a speech.
EUROSTOXX AT HIGHEST SINCE 2008, MILAN +0,16%
In this context, all the main European lists closed with little movement but still above parity, held back by the wait for today's and tomorrow's Fed meeting.
The Eurostoxx index (+0,3%) started off with new highs since 2008. Piazza Affari closed the session with an increase of 0,16%, at 25,757 points. Frankfurt's Dax (+0,1%) updated the historical record.
SHELL (+2,5%) SELLS PERMIAN FIELD
London's FTSE 100 hit its highest level since March 2020, despite concerns over the delta variant of covid-19.
Shell gains 2,52% on prospects for the sale of Permian, the most important American shale oil basin.
Madrid is the liveliest stock exchange with +0,80%.
THE EUROPEAN ECONOMY PUTTING THE TURBO
Comforting news was published during the session regarding the prospects for the European economy. Industrial production in the euro area grew more than expected in April, thanks to an increase in the production of durable consumer goods more than double compared to a year earlier: +0,8% month on month, for an increase on a year-on-year basis by 39,3%. The estimates were much lower: +0,4% on month and +37,4% on year. The most marked increase in April compared to March was recorded in durable consumer goods, whose production grew by 3,4% from -3,4% and -1,2% in February and March. On an annual basis, the production of consumer durables jumped by 117,3%. The data for the previous month were also revised upwards, confirming the indications of acceleration already noted by Bank of Italy in relation to the Italian economy.
FRANCE WILL RISE BY 5,8%
The French central bank expects the domestic economy to head towards higher-than-expected growth: +5,8% this year, well above the euro-zone average of 4,6%, according to the central bank, which reviewed forecasts up by 0,4% compared to the latest March estimates.
ENI LEADS THE CHARGE OF ILO SECURITIES IN MILAN
The race in oil stocks also lends a hand to Eni (+1,63%) after a new discovery in the North Sea by the subsidiary Var Energy. The six-legged dog is in the spotlight of analysts also because it has entered the list of possible suitors for the expansion of North Field in Qatar, the project to increase domestic LNG production by 40% with an investment of 30 billion dollars. Equita reiterated the buy decision. Among the best also Saipem +1,62% and Tenaris +1,48%.
GOLDMAN SACHS PUNISHES FERRARI, STELLANTIS -1,6%
Sales hit Ferrari again (-3,3%), after Goldman Sachs' relegation to "sell" from "buy". The investment bank fears an impact on short-term profitability due to the increase in costs as part of the technology transition plans. The debut in haute couture, following the presentation of a Ferrari collection in the Maranello factory, does not seem to convince the market much, which does not let itself be enchanted even by the "Cavallino", the restaurant opened by chef Massimo Bottura. In the wake of the red, Exor (-1,1%) and Stellantis (-1,06%) lose.
AMPLIFON RUNS, UTILITIES WELL
While waiting to sell the new CEO Benedetto Vigna to Ferrari, Stm advances (+0,67%): the company has strengthened its collaboration with the Milan Polytechnic through a five-year agreement for the establishment of a joint research center on materials advanced for sensors (Steam).
The pink jersey for the day goes to Amplifon (+3,18%). Cash utilities: Terna +1,33%, Hera +1,09%, Enel +1%.
GREAT INTESA, UNICREDIT BUYBACK CONTINUES
Among the financials, Intesa (+1,03%) and Banca Generali (+1,05%) are appreciated; bad Azimuth (-1,16%).
Unicredit purchased approximately 10,615 million treasury shares as part of this year's buyback programme, bringing the total total treasury shares held in the bank's portfolio as of June 11 to approximately 10,620 million, equal to 0,47% of the share capital.
ATLANTIA STABLE AFTER ASPI LEAVING
Atlantia, +0,1%, got off to a cracking start but slowed down in the finale and thus celebrates, in a rather sober way, the signing of the sale of Autostrade per l'Italia to CDP and funds. Positive judgment by Bestinver, which improved the recommendation on the stock to "buy" from the previous "hold" with a valuation target between 19 and 20 euros from the previous 16-17 euros. “Hold” with an evaluation target between 19 and 20 euros from the previous 16-17 euros. This puts an end to uncertainty, analysts say, and frees up useful resources for future strategies.
DEBUT OK FOR THE AUTOGRILL RISE, ACROBATIC CONSTRUCTION RUNS
Outside the main basket, Autogrill achieved a rise of 4,47%, on the first trading day of the rights to the 600 million capital increase.
ENAV (+1,73%) signed a contract with Airservice Australia (Asa), the Australian service provider for air navigation services.
Edilizia Acrobatica shone on Aim (+5,83%) after Friday's gains (+5,19%); Intesa Sanpaolo raised the target price of the shares to 13,5 euros from 10 euros, confirming the buy rating.
