MILAN, THE BULL CHALLENGES S&P'S AX ON BANKS
EVERYBODY IS CRAZY ABOUT FACEBOOK ON WALL STREET: +20%
Piazza Affari, yesterday +1,26% to 16.442 is chasing a record: the seventh consecutive day of rise. Objective complicated by the decision of Standard & Poor's it has cut the rating of 18 Italian banks. The two Bigs, Intesa Sanpaolo and Unicredit, have escaped the rating agency's ax confirmed at the 'BBB' level. The cut of a step has instead affected, among others, Ubi and Credem which now have a rating of 'BBB-'. 'BB' Popolare di Vicenza, Veneto Banca, Bpm, Bper and Banco Popolare went down a notch. Down at 'BB-' Unipol Banca. According to Standard & Poor's "Italian banks are operating in an environment with higher economic risks leaving them more exposed to a longer and deeper recession than what we had previously forecast in Italy".
More generous JP Morgan, which identifies two positive drivers for the sector: 1) the advance payment of 40 billion in tax arrears by the government to businesses: 2) the state guarantee scheme for loans to SMEs which could add to the total another 50 billion in new loans, equal to 5% of loans already disbursed to companies and small businesses. JP Morgan's favorite is Unicredit + 1,93% at 4 euros.
The other banks are positive Understanding + 1,6% Banco Popolare + 2% Where's Banca + 4% Banca Popolare dell'Emilia Romagna + 3,4%.
Meanwhile, the Italian 4,38-year bond rose to 273% while the differential with the German equivalent fell to 9 basis points with a drop of 10 points due to the surge in the yield on the 9-year German Bund, +1,63 basis points to XNUMX ,XNUMX%.
The key figures of the financial day are:
1) The publication of the Ifo confidence index in Germany: an increase is expected for the third consecutive month
2) Data on durable goods orders and requests for subsidies in the United States, useful for identifying the Fed's next moves. 50% of economists interviewed by Bloomberg believe that the Fed will reduce purchases from 85 to 60 billion already from the very next September.
3) Chinese premier Li Kequiang has announced an extraordinary plan for the railways to counter the fall in GDP growth.
It explodes after the Stock Exchange Facebook +20% after record results. The profit for the quarter reached 488 million (65% compared to a year ago.
BAGS IN BRAKING IN ASIA AND THE USA.
Stock markets down this morning in Asia . Tokyo falls -0,80% on which the prospect of the VAT increase weighs, the most indigestible part of the plan envisaged by the benomics. Hong Kong also down -0,3%
Despite booming data, new home sales climbed 8,3% in June to 497.000 units from 476.000 in May, Wall Street lagged behind.
The Standard & Poor's index closes at -0,38%, Dow Jones -0,16%, Nasdaq +0,38%.
It explodes after the Stock Exchange Facebook +20% after record results. The profit for the quarter reached 488 million (65% compared to a year ago).
But the barrage of corporate results (46 in all) draws a multi-colored picture.
Apple is the best stock on the Nasdaq 100 with an increase of 4%.
The worst blue chip is Caterpillar with a reduction of 1,5%. The group of construction equipment has released data for the quarter below expectations and has revised downwards the targets for 2013 profit and revenues.
Ford salt by 3%. The automaker closed the second quarter with earnings per share before taxes of 45 cents, 8 cents more than analysts' expectations. It moves in wake General Motors+ 2%.
EUROPE, AIR OF RECOVERY. NEW REFERRAL FOR GREECE
Brilliant closing for the European Stock Exchanges. TO Paris the Cac 40 closes at +1,01%, In Frankfurt the Dax +0,78%, London +0,35%. Best of all, Madrid +1,47%.
The excellent data from the PMI index has relaunched the European lists. According to the July preliminary reading, at a year-and-a-half high, the single currency area is moving away from the contraction phase and heading towards a possible economic expansion as the index released by Markit stood at 50,4 .48,7 points, up from the previous June figure of 49,3 points and from the consensus set at XNUMX points.
A new postponement is looming for the EU tranche of aid to Greece. The 8,5 billion loan should be disbursed today, but the head of the Eurogroup, the Dutch Fieter Dijsembloem, said that Brussels will await the vote of the Ateme Parliament on the cuts expected for tomorrow.
UBS BOCCIA TOD'S, FIAT DRAGING FORD
Best title of Piazza Affari was Fondiaria Sai + 4%.
Tod’s, by contrast, was the worst blue chip with a 4% decline. UBS cut the rating on the stock to "sell" from "neutral" with a target price raised to 104 euros from 102.
On positive ground Luxottica +1,2% on the eve of today's board meeting on quarterly accounts.
Fiat rose by 2%, the stock accelerated in the final session after the good quarterly performance of Ford [FN], a positive indication for Chrysler.
Saipem -1,8%. Morgan Stanley cut the recommendation to "equalweight" from "overweight". stm ha lost 2,6% after -10% yesterday.
