European stock exchanges in red and more and more volatile which cannot withstand the impact of the concerns triggered by fears over high, and long-term, levels of interest rates. Added to all this are the crisis of the Chinese real estate giant Evergrande and oil which, despite the slowdown, is fueling inflationary pressures. All the main European stock markets remain negative at mid-session: the worst are Milan (-0,81%), Frankfurt (-0,63%), Paris (-0,72%) And Amsterdam (-0,78%). While Madrid reduces its losses (-0,13%). Turn positive London (+0,11%). Even futures on Wall Street they slow down the fall, while remaining negative.
Luxury, banks and utilities are down in Piazza Affari
The Milanese price list, like the other price lists, is continuing the bearish trail of four consecutive declines, which began last Thursday. TO Business Square the best is Iveco which earns over one percentage point. While luxury suffers due to doubts about the stability of Chinese demand: Moncler loses 2,88%. Rain of sales also for nexi -3,57% and in general on banks, managed savings and insurance companies, with the sole exception of Mediobanca +0,61% and General Bank +0,99%, while Ps loses over 4% e Bper 3,41%. There is no peace for utilities either, except Hera (+ 0,53%): Saipem (-2,63%), Eni (-1%). Undertone too Team which changes hands with a drop of 2,16%. Out of the main list, thump for BuildingAcrobatics -5,69% after sudden death of the founder and CEO Riccardo Iovino.
Spread rising, 10-year yield at top
It widens it spread between BTP and German Bund in a context of general increase in government bond yields in Europe. The yield differential between the two ten-year bonds breaks through to 190 points (+3,6 basis points). Yields are also rising. The yield of BTP Italian ten-year bond remains at the highest level since March, exceeding 4,7%. Also the Waist German follows the same upward trend, reaching 2,8%, the highest level since July 2011. Also noteworthy is the increase in US 4,55-year yields to 16%, the highest level for XNUMX years.
Strong dollar, slows down oil
On the monetary front, the strength of the dollar. The greenback is stable at 1,0580, the highest since last March. Brake the gas at 41,9 euros per MWh (-6%), as well as the Petroleum: WTI at 89.03 dollars per barrel (-1%) and Brent at 92.64. However, supply remains tight, with Russia and Saudi Arabia extending production cuts until the end of the year.