After the ECB and the Fed also the central bank of england today it decided to leave rates unchanged and the markets once again toasted the possibility that the cycle of tightening has come to an end, overshadowing the wars, the weather storm in Europe and the contraction of manufacturing in the single currency area. The same thing happened in the bond sector, which saw prices rise and yields fall.
Business Square closes a brilliant session, with a progress of 1,77%, which brings the Ftse Mib back to 28.479 basis points, despite the weakness of the banks. Even higher is the tone of Paris + 1,85% Amsterdam +1,91% and Madrid +2,02%, while they are slightly further behind Frankfurt +1,49% and London + 1,41%.
Wall Street opened well and is moving at two-week highs, buoyed by the decisions taken yesterday by the central bank, which left rates unchanged (between 5,25% and 5,5%), while Jerome Powell said that the the cost of money may rise again, but admitting that further interventions would risk weighing on the economy. The market considered the tone to be cautious.
Ferrari shines in Milan and New York
The most effervescent sectors, on both sides of the Atlantic, are the most sensitive to rates, such as real estate and tech, while investors continue to carefully follow the numerous quarterly reports released, among which that of Ferrari, su new record levels which pushes the stock (+5,47%) among the best of the day in Milan and New York.
The Nasdaq rises Apple Lossless Audio CODEC (ALAC), +1,48%, which will present its accounts this evening, while Starbucks (+10%) dominates the S&P 500. However, it suffers Modern (-8,53%), penalized by the collapse in sales of anti-Covid vaccines.
Bring the dollar back
Risk appetite penalizes the dollar, while the euro recovers a change around 1,063.
The feeling that Powell spoke like a dove also loosens the grip on T-Bonds and the ten-year Treasury sees the rate fall to 4,67%.
It strengthens the petrolium: Brent +1,55%, 85,95 dollars a barrel; Wti +1,65%, 81,75 dollars a barrel.
Tenaris queen of Piazza Affari
She is the queen of the blue chips of Piazza Affari today Tenaris, +8,27%, after the quarterly report and despite a 10% drop in net profit. The purchases were driven by the announcement of a buyback plan of up to $1,2 billion to be achieved within one year, on 75,4 million shares or 6,4% of the working capital. Banca Akros confirms Buy on the stock and judges the results to be "good, even if lower than the exceptional results of the second quarter and cash generation remains solid in the third quarter. The outlook for 2024 is promising and the buyback is substantial."
Among the titles in dusty there are also stm + 4,41% Moncler + 3,33% Amplifon + 3,89% Campari + 2,99% Diasorin +2,91%. The cash phase continues Ivy +2,89%. salt Telecom, +2,21%, on the eve of the first of the two boards of directors that will evaluate Kkr's binding offer for NetCo.
The red is still intense for Iveco -1,32%, while today they are also going down Unicredit -1,73% Bpm bank -0,41% Leonardo -0,31% A2a -0,25%.
The spread falls and yields fall
The good news continues spread which narrows to 184 basis points (-2,47%) and rates fall. The Btp 10 years is indicated at closing at 4,55% and the Bund of the same duration at 2,71%.
Manufacturing still contracting in Italy and the eurozone
The markets today were not affected by the very unencouraging macroeconomic data and, above all, manufacturing in the month of October in Italy and in the Eurozone revealed a reality with different shadows.
The Hcob PMI index in Italy recorded the lowest value in three months, 44,9, compared to 46,8 in September, remembering that only over 50 is in an expansionary phase and below that limit the sector is in contraction. According to S&P Global, the Italian manufacturing industry therefore “has had to deal with yet another difficult month, with production and new orders contracting at faster rates than those of September. Companies reported excess production capacity, while backlogs of work and employment levels contracted at the fastest rates in three months. The weakness in demand was also manifested in the purchasing activity of companies, which decreased significantly, while purchasing and selling prices continue to fall." The declining streak has reached seven consecutive months.
In the euro zone, the definitive Purchasing Managers' Index (PMI) fell to 43,1 from 43,4 in September, just above the preliminary estimate of 43,0.
France shows a decline to 42,8 points compared to 44,2 points in September, while Germany has just improved, to 40,8 from 39,6.
