The European stock markets are seen opening little changed, but with attention to the Fnac-Darty and RUBY takeover bid on Unieuro and the two new operations of Essilor Luxottica. Wall Street is repositioning itself and has seen a series of profit-taking on tech stocks after the powerful rises, in favor of banks and small and medium-sized businesses instead. In Asia, Chinese stock markets are falling after Trump's warning on Taiwan
Wall Street soars, even without the tech titans: Tesla -3,16%, Nvidia -2,02%
Wall Street is repositioning itself, giving priority to banks and small and medium-sized businesses and instead taking advantage of the big names technology sector who had broken a series of records. The data on the retail sales, better than expected, and the quarterly reports of the big banks, while in the background the bets of a remain rate cut in September
Il Nasdaq it closed up by 0,2%, the S&P500 by 0,6%, the 38th record since the beginning of the year. Best session since June 2023 and new all-time high for Dow Jones + 1,85%. Russell Index 2000 of small and medium-sized businesses +3,5%, +12% in the last five sessions. The yield on ten-year Treasury Notes at 4,16%, from 4,21% the day before. The banks were robust with a new round of quarterly reports yesterday: Bofa, which closed at +4,40% reported declining quarterly profits, but forecast better-than-expected interest earnings for the fourth quarter. Goldman Sachs + 4,44%. Morgan Stanley closes down 1,65% Second quarter net income rose to $3,1 billion, or $1,82 per share, compared to $2,2 billion, or $1,24 per share action, of the previous year. In the second quarter alone, investment banking revenues grew by 51% to $1,62 billion.
The technological titans, on the other hand, are declining: Tesla -3,16%. Nvidia -2,02%. Trump Media & Technology -10%, from +31% yesterday. The company has told regulators that there are 38 million shares potentially coming to market. Tonight at 20pm Italian time, the Beige Book will be published in which the Fed outlines the conditions of the US economy.
Chinese stock markets falling: Trump's warning on Taiwan weighs
A contrasting session for the Asian stock markets which, on the one hand, benefit from the good performance of Wall Street and bets on the Fed's monetary policy, on the other hand they are affected by purely local issues, such as the Chinese bags, which negatively discount some of Trump's comments. The former president stated that Taiwan should "pay the US” for military protection, implicitly making it clear that support against Beijing's pressure could fade since there is no formal protection agreement. Shanghai reacts with a drop of 0,30%, while Shenzhen loses 0,14%. Worse Taiwan which slips by 1,22%. Just above parity Hong Kong (+ 0,28%).
Around parity Tokyo Stock Exchange, reopening after yesterday's holiday, with the Nikkei 225 trading with a reduction of 0,14%, while the Topix 100 earns 0,42%. Below parity Seoul, which shows a decline of 0,65%. The best bag is that of Australia, the S&P ASX 200 index gained 0,9%. The company's stock also rises New Zealand (NZX50 index +0,7%) on the day of the publication of inflation data: in the first quarter the growth of consumer prices slowed more than expected, reaching the lowest levels of the last three years.
Stock market today July 17st: what to follow
European stock markets are expected to move little at the start of the session. The future on the Eurostoxx50 marks -0,08%. US futures were mixed: +0,02% on the Dow Jones and -0,20% on the S&P500. Yesterday the Ftse Mib of Milan closed yesterday on parity. The yield of Waist German is at 2,42, down from 2,47% and that of construction sector at 3,69%, a new low for over three months. The Italy-Germany spread it is at 127 basis points, levels not seen since March. The OAT French ten-year yields 3,08% and the differential Bund/OAT it is at 65 basis points. The change euro dollar stuck at 1,089. Petroleum falling to the lowest levels of the last four weeks, due to indications that China's economy is sluggish. WTI at $80,5 a barrel. Brent at 83,5 dollars. Gold slightly down after yesterday's record, to 2.465 dollars. Bitcoin to 65.500, +1,5%.
Essilor Luxottica today announced two acquisitions, one in apparel and accessories (Supreme), the other in medical (Heidelberg Engineering). On the one hand, the definitive agreement with VF Corporation, global leader in the clothing, footwear and lifestyle accessories sector, for the acquisition of the Supreme brand for a sum of 1,5 billion dollars in cash. On the other hand, the agreement for the acquisition of an 80% stake in Heidelberg Engineering, a German company specialized in diagnostic solutions, digital surgical technologies and IT solutions for clinical ophthalmology.
Unieuro. Fnac Darty has launched a takeover bid on the Italian distributor of consumer electronics and household appliances presented jointly with Ruby Equity Investment with a valuation of 12 euros per share, with a premium of 42% compared to the closing price on 15 July. The fee can be paid with 9 euros in cash and 0,10 euros in Fnac Darty shares.
doValue. The institute has announced that it will increase its assets under management thanks to the transfer of UTP credit portfolios and a stage 2 component for a gross book value of 300 million euros.
Azimuth. In an interview with Sun 24 Hours Pietro Giuliani, president of Azimut Holding, as well as one of its founders, says that the spin-off announced in March will create an independent fintech bank and add approximately 1,5 billion more value for our shareholders. Regarding the possibility of a hostile takeover, Giuliani says he is ready for the barricades: there are various poison pills worth more than 500 million that would nullify a possible offer.
Mediobanca aims to grow in wealth management and at the same time develop the investment banking model in the direction of advisory. CEO Alberto Nagel recalled this in an interview with Bloomberg, adding that the investment bank aimed to evolve towards low capital absorption activities based on commissions
Solid World Group concluded the capital increase, with the subscription of all 811.250 newly issued ordinary shares, for a value, including share premium, of 2,3 million. The resources will be allocated to the expansion of the production spaces of SolidFactory, the subsidiary specialized in the design and manufacturing of entire lines of photovoltaic panels, and for the creation of a cellular analysis laboratory
Adidas presented quarterly data that exceeded expectations and raised its full-year profit and revenue forecasts.
Asml Holding, one of the main manufacturers of chip manufacturing machinery, closed the second quarter with an order intake of 5,6 billion euros, one more than analysts' estimates. Revenues amount to 1,6 billion euros.
Italian post Barclays raises the target price to 11,6 euros, it was 11,2 euros previously.
Italy. Prometeia has revised Italy's growth estimate for 2024 slightly upwards to 0,9% from the 0,8% forecast in May. For 2025 the institute estimates a GDP of +0,9%, as stated in the July 'Brief'. The Meloni government is aiming for growth of 1% this year and 1,2% next year, after +0,9% in 2023. Yesterday the International Monetary Fund confirmed Italy's growth estimate for this for the year to 0,7%, while it revised upwards that for 2025 to 0,9% from 0,7% expected in April.
Today's data. At 11 am Index of consumer prices (final) in June 2024 of the euro area, (Consensus: +0,2% m/m; +2,5% y/y). Consumer price index (core, final) in June 2024. (Consensus: +2,8% y/y).
