Piazza Affari confirms sales after the auction of three-year BTPs and drops 0,8% dragged down. The spread also remained around 238 basis points and a yield of 4,17%. The other European markets are also down: London -1%, Frankfurt -0,27%, Paris -0,54%. The words of the president of the Atlanta Fed, Dennis Lockhart, who said that the reduction of monetary stimuli to the US economy could start as early as next December weigh on the mood of the markets. As well as the disappointment at the absence of reformatory details from the CCP plenum in Beijing. Thus, the Asian markets also closed heavy, with drops for the Chinese stock exchanges close to 2% while the Nikkei closed down by 0,15%.
Now the attention of the markets is to tomorrow's hearing of Janet Yellen and to the data on the first quarter growth estimates in Europe which will also be released tomorrow. In Italy, the successful outcome of the BTP auction was not enough to divert the markets' attention from the political stalemate on the stability law and from the onslaught of amendments to the stability law. The Treasury allotted all 3 billion euros of three-year bonds obtaining yields down to 1,79% from 2,25% last month, the lowest since March 2010. Demand was more buoyant than the previous auction : 1,8 times compared to 1,41. The spread remained stable close to 238 basis points and a yield of 4,16%.
At the same time, data from the Public Finance Bulletin of the Bank of Italy indicated that in September the public administration debt rose to 2.068,565 billion from 2.060 in August and from 1.996,5 in September 2012. The tax revenues recorded from Bank of Italy fell in the nine months to 278,593 billion, -0,39% compared to 279,700 billion in the same period of 2012. Bank of Italy specified that this aggregate does not correspond to actual tax revenues, as it was recognized at the time of booking and not of the actual payment .
Eurostat then released data on industrial production in the Eurozone which fell by 0,5% compared to August. Throughout the EU, the decline stopped at 0,2%. On an annual basis, +1,1% and +1,2% were respectively recorded. At the individual country level, industrial production in Italy rose by 0,2% compared to August and fell by 3% compared to September 2012. Germany recorded a drop of 0,8% on a monthly basis and an increase in 1,3% on an annual basis. France, respectively -0,4% and -0,2%.
In Piazza Affari, bank stocks weigh: Unicredit loses 4,4%, Banco Popolare 4,13%, Mediobanca 3,31% and Mediolanum 2,88%. Among the worst stocks of the Ftse Mib also A2a -3,69%. Ubi Banca, the best stock of the Ftse Mib +2%, goes against the trend, rising after the accounts despite a net profit halved by 54,2% in the nine months to 101,9 million euro. The net result of the third quarter alone is down to 49 million from 63 million but higher than the consensus of analysts of 30 million. Ansaldo Sts also rose +1,56%. Finmeccanica unchanged. Yesterday the CEO Pansa confirmed the group's willingness to exit the transport sector by selling Ansaldo Sts and Ansaldo Breda. Wdf +1,56%, which raised its year-end revenue guidance yesterday. Enel -0,30%.
