Sharp turnaround on the equity and bond markets. After the strong increases at the beginning linked to the European aid plan for Spanish banks, at the beginning of the afternoon Piazza Affari turns red about half a point.
Fondiaria and Azimut suspended due to excessive reductions. The initial euphoria also fades on bank stocks: Intesa Sanpaolo (-2,28%), Unicredit (-2,57%), Mediobanca (-2,97%), Bpm (-0,63%) turn negative and Banco Popolare (-0,82%). A2A losses widen (-2,35%), on the day in which the supervisory board is called to appoint the new management board.
Also the spread, which had dropped to 420 points this morning, is back on the rise over 460. The new level of the yield differential between ten-year BTPs and the corresponding German Bunds corresponds to interest rates on our securities at 5,97%. For a few minutes, the value even returned above the psychological threshold of 6% for the first time since May 31.
They may have contributed to eroding the euphoria about Italy GDP data: Istat confirmed for the first quarter a contraction of 0,8% on a quarterly basis and 1,4% on an annual basis.
Same trend also for the Spanish spread, returned to overtake by more than 10 points the 500 basis point wall (at the opening it was at 482 and in the first hours of trading it had reached the low of the day at 462 points).
Gains on the other European stock exchanges also fell sharply, with Madrid up 1,7% in the same minutes, after having risen by almost five points at the start. They remain in positive territory Paris (+ 1,15%), Frankfurt (+ 1,54%) and London (+0,56%). Meanwhile the euro is back below 1,26, 1,2547.
