The push for more decisive action to resolve the crisis comes from Christine Lagarde, president of the International Monetary Fund. In a report on the repercussions of economic policies, the Fund believes that the actions taken within the euro area, despite progress, do not appear to have been sufficient to stop the spread of stress and mitigate the consequences of the accounts-growth-sector cycle banking. A warning addressed not only to the euro area but also to the United States, which must avoid missing 4 trillion dollars of tax relief and triggering automatic spending cuts next year. And to China and Japan: for the first, the concern is slower investments which, even if necessary to rebalance demand, could have an effect on China's trading partners and prices, for the second, the fear lies in the high public debt. Finally, the UK should take further steps to strengthen the financial system and confidence in banks. For the IMF, further actions by the Fed and the ECB could help ease tensions.
In short, in the construction site of the work to get out of the crisis there is still a lot to do also from politics, whose deficiencies cannot be replaced in any case by central banks which, however, could intervene with new stimuli. The markets, disappointed yesterday by Draghi's lack of "resolution" intervention, are now reinterpreting the words of the ECB president by taking the good part, as Mario Monti himself underlined: the ECB has not taken a step back , will also intervene later. Operators then look to the important US data on jobs arriving in the afternoon after the ADP estimates of recent days on the private sector which exceeded expectations.
Milan rebounds with banks: the Ftse Mib rises by 3,12%, Frankfurt by 1,59%, Paris by 1,64% and London by 1,09%that Btp-bund spread fell below the 500 threshold at 484 basis points and a yield of 6,16%. The Bono-bund spread is down at 579 points. The euro climbed back above 1,22 against the dollar to 1,2237. Eurozone retail trade data in June saw a slight increase over the previous month and a 1,2% year-on-year decline, better results of expectations.
In Piazza Affari the increases are led by the banks: Mediolanum +8,28%, Intesa +5,81% and Unicredit +5,05% both awaiting half-year results, Bpm +4,36%. Generali also did well +4,47% following the data and the debut of Mario Greco. Competitor Allianz today released its accounts with a profit up 23,4% and confirmed its guidance for 2012.
But world institutions are not yet out of the storm of scandals and tensions. RBS has confirmed that it has fired some employees for their defaults after internal investigations related to the scandal for the manipulation of the Libor index. The British bank, 82% controlled by the government, ended the first half with an operating profit of 1,83 billion pounds, down from 1,97 billion a year earlier. Today Dexia released results with a net loss of 1,2 billion in the first half and the share was suspended on the Paris and Brussels stock exchanges.
Good news for Telecom Italia (+2,9%): the subsidiary Tim Brasil will be able to market and activate new sims again in Brazil. In fact, Anatel said that it considered the plans presented by the operator to be satisfactory (as well as for its competitors Claro and Oi, affected by the same measure) and that it will monitor the situation on a quarterly basis: if there is no positive evolution, the measure suspended, it may be reactivated. The authority has announced that the three operators have undertaken to invest 20 billion reais in the period 2012-2014 to improve the service.
Fonsai is down after the accounts communicated yesterday after the markets were closed (first half year with a consolidated net profit of 24,9 million) and the news that the Turin public prosecutor's office is also taking action on the group.
