High volatility session in Piazza Affari: the FtseMib index closed unchanged a day that saw consistent price movements. The Paris Stock Exchange rose by 0,6%, Frankfurt +0,4%.
The portfolio adjustments of the large operators dominated the scene, busy deciphering the movements triggered by the Trump effect. Banks fell and utilities rallied, as did energy stocks. The latter, in particular, benefited from the sharp rise in oil (Brent +4%) triggered by the resurgence of rumors of negotiations between Russia and Opec countries to arrive at an agreed reduction in production. Brent rose to 46,2 dollars a barrel (+4,1%), Wti to 45,2 dollars (+4,4%). Eni gained 1,9%, Saipem +4,4%, Tenaris +1,1%.
Utilities have also recovered, penalized in recent days: Enel +1,1%, Terna +1,3%. Snam +1,8%. The rebound was made possible by the sharp drop in government bond yields today they regained ground: the 10-year BTP yield fell to 1,96% from 2,07% yesterday. The spread with the Bund narrowed to 165 basis points from 178.
Positive day also for Telecom Italia +1,6%, another highly indebted company and therefore very sensitive to interest rate dynamics. Relay between sectors also on Wall Street. The Tech companies and the oil companies recover. The S&P500 index gains 0,3%, Nasdaq +0,8%. Down the Dow Jones -0,2%. After the very strong rally of banks in recent days, profit-taking is coming to the sector today: JP Morgan falls by 1,8%, Goldman Sachs -1,4%.
New day of passion for MontePaschi -10%, the bank has announced that it intends to promote a voluntary takeover bid on 11 of its outstanding bonds, four of the Tier1 type and seven Tier2, on the entire outstanding value of approximately 4,289 billion euros, the proceeds of which must be reinvested in newly issued shares of the bank.
Unicredit -4,1% was also bad. Intesa fell by 2,2%, Banco Popolare -2%, Ubi -4,9%. In the rest of the list:
– Fiat Chrysler fell -0,7%. In the US, some owners of Ram vehicles equipped with diesel engines supplied by Cummins have filed a complaint accusing FCA of having manipulated the data on exhaust gases.
– Black day for Ferragamo -6,4% after the data for the quarter: revenues rose but operating profit fell more than expected. Among the mid/small caps Trevi collapses down by 18%, after the disappointment of the results. Kepler-Cheuvreux advised to sell.
