RECESSION SYNDROME AND THE GREEK CRISIS
THE EXCHANGES ARE PUSHING DOWN: MILAN -1,80%
We suffer, as expected. But after a catastrophic start, the European stock exchanges have tried, with little success, to reduce the losses. In Milan, the FtseMib index fell by 1,8% (against the initial 2,5%) to 14.569. More massive losses in London -2% on a par with Paris - 2,19% and Frankfurt -2,2%. The most targeted stocks, as always happens when the clouds of recession thicken, are those of the automotive sector: European Stoxx in the sector -4,5%. Closely followed by financial values, insurance companies -3,6% and banks -3,5%.
The euro, as the risk of contagion from the Greek crisis spread, weakened against the dollar to 1,335, from 1,338 on Friday evening. The recession syndrome affects commodity prices. WTI crude is traded at 77,7 dollars a barrel, down 1,8%, Brent at 101 dollars (-1,3%). Both Eni -1,5% and Saipem -3,7% suffer from this. Gold is back on the rise, rising to 1.652 dollars an ounce. On the government bond market, the BTP is stable at 5,51%, but the spread with the Bund widens to 370 basis points (from 366 on Friday) due to the increase in the prices of the German bond, whose yield is dropped to 1,82% (-6 basis points). This pessimism is partly justified by the Greek crisis. Over the weekend it emerged that it will not reach the budget targets agreed only a month ago, despite the fact that Athens is preparing for a mission impossible: 20% wage cut, dismissal of 30.000 state workers: these are fundamental conditions for the release of the sixth tranche of aid, an 8 billion euro package without which Greece would find itself without the funds to pay salaries as early as October.
BPM AND ANSALDO, TWO EXCEPTIONS IN THE BUSINESS PLACE
FIAT AND FINANCIAL SECURITIES UNDER FIRE
Two Italian phenomena must be added to these general factors. The market punishes Fiat -3,78%, even if the stock does better than the European average for the sector. Both the decision to withdraw from Confindustria and to focus on a Jeep off-road vehicle for the Mirafiori plant did not arouse particular reactions. On the other hand, the battle rages over Bpm +2,8% on the eve of the board which will have to deal with the case of the "shadow government" of the internal unions (through the Friends of Bpm) on the governance of the institution, the appointments and salaries of internal workers . While awaiting the confrontation/clash with the national secretariats, which have ousted the representatives of Fiba, Cisl and Fabi, and with the Bank of Italy, which has not yet sent any signals in the direction of approving the new statute, they are accelerating purchases on the Stock Exchange .
The feeling is that the front of Investindustrial is getting stronger. Bonomi Group operates with the blessing of Mediobanca, director of the placement operation of the next capital increase. Among the other stocks, Generali limits losses to 0,75%%, Fondiaria Sai and Unipol both suffer the most -3%. Among the banks, Intesa drops by 2,8%, Unicredit -3%, MontePaschi -2%. Banco Popolare also fell into negative territory -0,64. On the shields Ansaldo Sts +4% while the rumors about the sale thicken. Finmeccanica does not benefit -0,9%.
