The push to Bull this morning comes from China. Premier Li Kequiang has ensured that Chinese GDP this year "will not grow less than 7 percent". That is, Beijing is ready to activate economic stimuli to prevent the slowdown from turning into a recession. After these words, the Shanghai index reports growth of 2,2%, thanks to the push of the big banks (Industrial & Commercial Bank +3,9% in Hong Kong). Other Asian big names stand out: Samsung +2%, Nippon Steel +2,7% after the price agreement with Toyota.
In short, the general situation remains fragile, but the possible sources of crisis appear to be under control. The reassurances of the Chinese government add to two reassuring factors:
1) Wall Street does not give in to nervousness, despite the tile of the accounts McDonald's-3% which confirm the problems on the consumption front, both in the United States where, despite the new menus and promotional campaigns, sales grew by only 1%, and in Europe (-0,1% sales, sharply down in Germany and France).
The S&P index closed up 0,2% at 1695 after having touched a maximum of 1.697 during the session, one step away from the psychological threshold of 1.700 points. Dow Jones +0,01%, Nasdaq +0,38% unchanged. It is the confirmation that Wall Street has now understood the Fed's message: the expansionary monetary policy cannot be changed.
2) Europe banishes the nightmare of a Portuguese political crisis capable of putting aid to the Portuguese country at risk. In line with the role played by Giorgio Napolitano, the Portuguese president Cavaco Silva (only 75 years old, 13 younger than the tenant of the Quirinale), took the field with his authority in support of the current government coalition of the premier, Pedro Passos Coelho, deciding not to hold early elections. Silva underlined that at the moment the executive "enjoys an unequivocal majority in Parliament" and that, in any case, "there are no political alternatives".
Eurozone markets are thankful: the Portuguese 6,19-year yield is down to 43%. The differential with the 467-year German bund contracted by 281 basis points to XNUMX, the lowest in the last three weeks. As a consequence, the Italian spread (XNUMX points) and Spain also decreased.
The London Stock Exchange falls by 0,1%, Paris +0,37%, Frankfurt is unchanged.
Piazza Affari rises by 0,68%.
QUARTERLY, TODAY IT'S APPLE'S TURN
The highlight of the week are the results of Corporate America. At least 150 companies that make up the S&P500 index will announce their April-June accounts between today and Friday.
Today it's the turn of one of the most awaited quarterly, that of Apple Lossless Audio CODEC (ALAC),.
The key day will be tomorrow when the accounts arrive Ford, Boeing, Caterpillar e Visa.
TLC, THE GERMAN WAR BREAKS OUT. AND IS WATCHING YOU...
Yesterday the heads of the major European telecommunications companies were in Brussels in consultation with Commissioner Neelie Kroes, more than ever determined to accelerate the process of aggregation of the sector in the Old Continent through the cancellation of roaming. In the same hours there was an unexpected twist on the German telecommunications market, the most important in Europe. Telefonica, according to the Financial Times, acquired from the "enemy" Carlos Slim owner of the Dutch Kpn the control of E plus, Germany's fourth largest mobile operator. Thanks to a package owned by the same E-plus Telefonica exceeds the threshold of 50 percent in the company in Deutsche Telefonica, the third operator beyond the Rhine. In this way, the competitors on the German market are reduced to three: Deutsche Telekom, Vodafone (of recently strengthened by the purchase of Kabel Deutschland) and the combined Telefonica Deutschland and e-Plus, soon merged together. The operation has two consequences: a) speeding up the process of concentration of European TLCs, as the EU commission wishes; b) marks the rapprochement between Slim and Telefonica (large shareholder of Telecom Italia), rivals in South America. Starting from Brazil, the main market of Telecom Italy stopped yesterday on parity.
FIAT, THE DUTCH CNH INDUSTRIAL IS BORN TODAY
In the spotlight today the Dutch assembly of CNH, the last act of the merger by incorporation of Fiat Industrial. After the operation, Cnh Industrial will apply for admission to Wall Street (debut expected between September and October) and then request a subsequent secondary listing in Milan.
Avanza unicredit, one of the Italian banks with the largest number of Italian government securities in its portfolio and the share rises by 2,5%. Understanding+ 1,8% Ubi +1,1%. I'm down Pop.Milano -1,8% and MontePaschi-0,5%.
Report cards arrived yesterday, mostly positive, from analysts:
Mediolanum +1,6% thanks to the confirmation of the judgment buy by Deutsche Bank which raised the target price of the stock to 6,5 euro.
Bene Saipem +2,52% after Barclays raised its recommendation on the stock from equal weight to overweight, with the target price confirmed at 20 euros.
Equita Sim, on the other hand, increased the target price up Fiat -0,08% from 4,7 to 5,9 euros (the recommendation remains hold).
Weak instead Buzzi Unicem +0,09%: Morgan Stanley reduced the target price from 12,7 to 12,5 euro, confirming the equalweight recommendation.
Rising sharply Fondiaria-Sai +4,6% after the request for seizure of the assets of the Ligresti family made by the ad acta commissioner, Matteo Caratozzolo, appointed by IVASS (formerly ISVAP) .
Generali +0,2
