THEUS inflation, higher than expected, puts the brakes on European markets, which end a session that started with a certain liveliness in contrast.
Business Square finds a rebound and appreciates by 0,28% to 34.039 basis points, thanks to purchases on banks starting from Ps (+4,83%) in the smell of marriage during this year. Technology stocks are supportive Amsterdam +0,64%, in the wake of the results of the Taiwanese chip manufacturer Tsmc. Are flat Frankfurt e Paris, London appreciates by 0,32%, Madrid it lost 0,38%. The chocolate producer stands out on European stocks Barry Callebaut, +10,24%, which is celebrating a leap in profits driven by the rise in cocoa prices.
The balance sheet for the day is thus in chiaroscuro, taking into account that the Asian stock markets also suffered following the Fitch cut, to negative from stable, ofChina outlook. Bucking Hong Kong (+1,85%), thanks to the push of Alibaba (+ 4,89%).
Wall Street in red, March inflation rises
Overseas Wall Street moves down, although showing a partial recovery after the emotional reaction to the higher-than-expected growth in consumer prices in March (+3,5%, against +3,2% in February and +3,4% estimated). A figure still far from the Federal Reserve's 2% objective which, at this point, is unlikely to act on rates at its June meeting. Traders are now focusing on the month of September and analysts are betting on two reductions in the cost of money in 2024, by a quarter of a point each, for a total of 0,50%. New insights may come later from reading the minutes of the latest Fed meeting.
It is regaining its share on New York stocks Nvidia (+2,05%), after the recent losses that cost it around 10% due to the negative closing of five out of six sessions. After the Asian gains, Alibaba also rises to WS after yesterday the company's co-founder, Jack Ma, wrote a lengthy note to employees, expressing his support for the internet giant's restructuring efforts – an unusual move from the billionaire, who has spent the last few years out of the spotlight. Delta Air Lines also performed well, optimistic for the current quarter.
Tomorrow the word goes to the ECB, meanwhile the Central Bank of Canada leaves rates unchanged
Tomorrow i spotlight they will move on ECB, from which no surprises on rates are expected, but the statements following the monetary policy meeting will be interesting to understand Eurotower's attitude towards the future. To remain within the scope of central banks, it should be noted that the New Zealand Bank kept rates unchanged at 5,5% and did the same a little while ago Bank of Canada, which confirmed rates at 5%. According to the institute, it is necessary to wait for confirmation on the progress of inflation, but experts now reduce the probability of a cut in June to 40% from the previous 70%.
T-Bond yields and the dollar rise
The inflation data negatively affects the Stars and Stripes government bond market, which see falling prices and rising yields, with the 4,5-year bond moving at a rate of XNUMX%.
The new forecasts on the moves of the American central bank are also reflected in the dollar, which is trading in clear progress against the main currencies. L'euro it loses almost a percentage point, for a change around 1,075.
Among raw material Gold prices are decreasing and oil prices have changed little (Brent is just under 90 dollars a barrel).
Piazza Affari, banks doing well; Enel down after the Suviana tragedy
In Piazza Affari the balance of the day is positive above all thanks to the banks, which found points of optimism in the prospect of higher rates for longer.
Monte Paschi leads the way, on the expectations of aggregation operations also in light of the declarations of the Minister of Economy, Giancarlo Giorgetti, according to which 2024 should be the "good" year to find strategic partners for the Sienese institute.
They place themselves in the wake Popular of Sondrio + 3,44% Bpm bank + 2,28% Bper + 1,78% Unicredit +1,25%. The topic of privatization is heating up Post + 1,69%.
Among the oil stocks it stands out Saipem +2,48%, while in the auto sector it shines Ferrari +1,23%. Interpump did well +1,41%.
Among the most negative blue chips today is Enel, -2,16%, after the tragedy that struck the Bargi plant, inside the artificial lake of Suviana, on the Bolognese Apennines. According to Banca Akros, the hydroelectric power plant, built in the mid-330s, has a capacity of 12.998 MW compared to Enel's overall hydroelectric capacity in Italy of 20 MW. Equita hypothesizes a negative impact on Ebitda level of XNUMX million euros if total production is lost in a year. “This value does not include insurance reimbursements and operational continuity of either group.”
The CEO of the electric giant Flavio Cattaneo, in a phone call to the mayor of Bologna Matteo Lepore, said that Enel will not abandon Suviana and the entire surrounding area. A note from the municipality states that Enel "will rebuild what is needed and will stay close to the area and to the entire affected community, as well as obviously the families of the workers involved".
Among utilities it loses share Italgas -2,81%. According to Corsera, the company has sent a preliminary proposal to acquire 2i Rete Gas, controlled by the F2i infrastructure fund, with an operation that would value the company at 4-5 billion.
They also continue on the path of rebates, after yesterday's slip, Amplifon -4,03% and Iveco -2,03%. You realize about Diasorin -2,23%.
Out of the main basket Ferragamo it dropped 4,85%, weighed down by JP Morgan's cut, which cut the target price to 9,50 euros from the previous 10,5 euros.
Stable spreads
Despite some slippage, the Italian card closed a moderately positive session: lo spread between ten-year BTPs and Bunds of the same duration it is indicated at 135 basis points, with rates only rising slightly, to 3,76% and 2,41% respectively.
