PORTUGAL AND GREECE LAND ITALY
PERIPHERAL SPREADS SPLASH
Markets knocked out by Greece and Portugal: the Ftse Mib sinks by 2,44% to 19.783,21 points, Madrid drops by 1,22%, the Cac by 0,44%, the Dax by 0,11 and the Ftse London 100 of 0,36. Moody's cut Portugal's debt by 4 steps from Baa1 to Baa2 at “junk” level with a negative outlook has rekindled panic and speculation on the markets, bringing banks and peripheral countries to their knees above all. Peripheral bonds are back under heavy pressure. Portugal's ten-year bond rates thus exceeded 12% for the first time in the country's history (they stood at 10% last night). Btp spreads have jumped over 220 basis points and the spread with respect to Spanish bonds is 263,9 points. On the government bond market, the ten-year BTP suffers with the yield rising by 11 basis points to 5,1%, the highest since November 2008. Complicating the session was news that China's interest rates would rise by a quarter of a point. It is the third time in 2011, demonstrating Beijing's will to tame inflation, equal to 5,5% in May, the highest in 34 months. A negative note also from the USA. The data on the US services industry was below expectations: the ISM non-manufacturing index in June fell to 53,3 from 54,6 in the previous month, against expectations which indicated it at 53,7. As if that weren't enough, on the front of the difficult solution to the Greek debt crisis, the doubts raised by the Wall Street Journal on the role of private individuals in the bailout-encore of Greece have arrived. The attempt to lengthen the maturities of Greek debt, involving private investors, could be more difficult due to the fact that many credit institutions have sold part of the bonds in their portfolios. And this after S&P rejected its debt rollover plan on Monday. But the EU Commission is not willing to submit to the judgments of the agencies, which despite the events related to the subprime crisis continue to shake the markets. The decision of the Moody's agency on Portugal was described as "unpleasant" and not based on economic analyses, but only on hypotheses by the president of the EU Commission, José Manuel Durao Barroso. Who also intervened on the reform of the rating agencies on which Europe has been working "for months". "The EU Commission - he said - will present "legislative proposals" by the end of the year to "reduce dependence" on the judges of these agencies, "avoid conflicts of interest" and introduce the concept of "assumption of responsibility" into the system. Opening up to a European-based agency. As for the idea of a European rating agency, Barroso underlined that it is not a question of "a political decision", but of "a decision by the markets". At the same time he noted that the sector "is dominated by three players" and that "it is strange that there is not even a European agency". “There are elements – concluded the President of the Commission – for the creation of an agency that comes from Europe”. Despite the measure, this morning's auction of Portuguese government bonds was quite successful. Lisbon has placed three-month Treasury bonds for 848 million euros, against an initial intention to sell for 750 million. The average yield increased slightly, passing to 4,926% from 4,863% in the mid-June auction. Overseas Wall Street opened weak (Dow Jones -0,01% and S&P 500 -0,22%), at the moment the Dow Jones is up 0,28% and the Nasdaq up 0,08 percent while the S&P500 is up 0,05. 0,31% Brent also fell by 113,26% to XNUMX dollars a barrel.
ATTACK ON ITALIAN BANKS
THE MANEUVER GOES IN THE JOURNAL
Piazza Affari is the heaviest stock exchange in Europe dragged by the banks due to fears of the risks associated with the contagion of peripheral bonds. Intesa San Paolo loses 4,46% to 1,78, Ubi 6,58% to 3,8 euros, Banco Popolare 5,07% to 1,54 euros, Bmps 6,22% to 0,54 and Bpm 6,34% at 1,61 euros. In Piazza Meda the spotlights are on the meeting on Thursday 14 July between the president Massimo Ponzellini (with the general manager Enzo Chiesa) and the deputy general manager of the Bank of Italy Anna Maria Tarantola. In via Nazionale, the Bpm will bring the guidelines of the industrial plan to the Bank of Italy. This was stated by the president of the Banca Popolare di Milano, Massimo Ponzellini, explaining that "next week we will go to the Bank of Italy and we will certainly bring the guidelines, we will then present the plan to the Board of Directors". Unicredit sells 7,06 to 1,40 euros. The bank was ordered to pay a provisional amount of 200 million euros by the court of Rome in the context of the Crac Cirio trial. "'Regarding the provisional, i.e. the civil effects of the sentence, we are not caught unprepared even if the entity seems disproportionate to us", said the CEO of Unicredit Federico Ghizzoni, in an interview published in the issue of Tomorrow's landscape. From Consob communications Norges Bank entered the share capital of Unicredit on 30 June with a stake of 2,018 percent. Meanwhile, the president of the Antitrust confirmed that the meeting to decide on Unicredit's entry into Fonsai is expected for tomorrow following the capital increase of the insurance company and the decision could arrive as early as tomorrow when the markets are closed. Unicredit has pledged to the Antitrust not to take part in Fonsai's board of directors when decisions involving the insurance group's stake in Mediobanca (-3,51% to 6,74 euros) and Generali (-2,99% to 14,28 euros). Fondiaria has undertaken with the Antitrust to sell the stake in Generali. The share of the Ligresti family continues its collapse, with a plunge of 8,91% to 2,35 euros. Telco, the holding company that controls the reference share (22,5%) of Telecom Italia, has written down the value of the investment to 1,8 euros per share. The financial statements at the end of April recorded a loss of 1,15 billion euros after the adjustment of the value of the equity investments in Telecom Italia for a total of approximately 1,2 billion. After the write-down, the book value of the stake in Telecom Italia amounts to 5,406 billion. Telco is 46% owned by Telefonica by Generali with 30,6% and by Intesa Sanpaolo and Mediobanca with 11,6% each. Banks and insurance companies then suffer from the measures introduced by the maneuver which increases Irap. Meanwhile, today the maneuver was signed by the President of the Republic Giorgio Napolitano and it will arrive in the Official Gazette tonight Once the fixed danger has escaped, the stamp duty on securities accounts that affects about 10 million citizens hits the financial sector. Specifically, for the two-year period 2011-2012, stamp duty will go from the current 34,20 euros to 120 euros, with a nice +250,88% increase in fixed costs for investors. From 2013, on the occasion of a further stamp duty, the distinction will be made on the total value of the deposit.
ATLANTIA RESUMES THE DESCENT
PARMALAT SHARES WITHOUT TENDER OFFER
PRYSMIAN SUFFERS FROM THE EU ANTITRUST INVESTIGATION
Atlantia does not regain momentum and sells 2,55% (to 13,36 euros) still weighed down by the 2% annual limit on the amortization of motorway concessions, envisaged in the manoeuvre. From today, the shares purchased on the Parmalat Stock Exchange (-2,78% to 2,52 euros) cannot be transferred to the tender offer. Prysmian suffers -0,85% to 13,96 euros after the EU Antitrust made some objections within a broader investigation that also involved other cable operators: in any case, they confirmed their opinion on the stock positive Morgan Stanley and Citigroup
LOTTOMATICA, MEDIOBANCA RAISES THE ESTIMATES
FINMECCANICA FINDS 200 MILLION IN MEXICO
Mediobanca analysts raised their estimates on the group's results and the stock closed at 13,68, up 2,70 per cent. Finmeccanica, through its subsidiary Alenia Aeronautica, has been awarded a contract worth approximately USD 200 million for the supply of four C-27J tactical transport aircraft to Mexico. However, the stock closes the session down by 2,83 percent to 8,07 euros.
MURDOCH WATCH LA7, THE MEDIA FLYES
Ti Media definitely benefits from the rumors about the possible interest of media tycon Murdoch in the television station that controls La7. At the opening, the stock jumped by 8% against a drop of 1% in the list to close the session at 0,2397 euro per share, up 6,72%.
