They come back sales in Europe , volatility on Wall Street, in a climate of uncertainty fueled above all by the trade war declared by the White House against all US rivals and its consequences on the economy. It is no coincidence that gold reaches new highs above 3.057 dollars, only to then fall back.
European stock market closes in the red at Milan -1,32% (which falls back to 39.188 basis points), Frankfurt -1,29% Paris -0,95% Madrid -0,89% Amsterdam -0,38%. It's almost flat London (-0,09%), on the day in which the BoE left interest rates unchanged. After the Fed yesterday left interest rates unchanged, the Fed also spoke out today. Swedish Bank, which followed the same line as the American one and the Swiss central bank which cut 0,25%. All as expected.
Lagarde: 25% rates cost 0,3% of GDP
The words of the president of the ECB contributed to fueling the nervousness Christine Lagarde, according to which the New US tariffs of 25% could cost 0,3% of growth of the block. In a context of already modest growth, a further deterioration of the economy suggests caution to investors, because April 2 is approaching and the EU will also be involved in reciprocal duties. EU Commission on the other hand, it has decided today that the retaliation will not be launched at the beginning of next month, but on April 13. Among the stocks most affected by the sell-off today are those of banks,auto and defenseMeanwhile, the heads of state and government of the EU are confronting and dividing themselves on how to finance the ambitious military projects in the region.
Wall Street in Search of a Compass
Overseas moves between modest ups and downs Wall Street, positive yesterday following the attitude of the Fed and its president Jerome Powell, which is in no hurry to lower the cost of money, but has not changed its line either (two cuts this year). However, this is not enough for the tenant of the White House Donald Trump, who would like to balance the duties with low-cost money.
The macro page is offering lukewarm support to risk appetite today, although only the DJ remains in positive territory (+0,18%). In quick detail: the existing home sales in February they performed better than estimated (+4,2%) despite the increase in mortgage costs. The weekly data on unemployment benefits were better than estimated, showing a lower increase than expected. The manufacturing sector is suffering in the Philadelphia area and the index worsened in March (from 18,1 points to 12,5 points) but less than the market estimated (expected 10 points). In this context, government bonds are seeing rising prices and falling rates, while in the stock market the shares of large technology companies are buoyant.
Rising dollar
The Fed's cautious stance favors purchases on the dollar, which strengthens against the major currencies. The euro loses 0,5% and the exchange rate is below 1,085.
Among the raw materials, purchases are back on the PetroleumBrent and WTI futures gained about 1,5%, to prices of $71,83 a barrel and $67,92 a barrel respectively.
Prudence has given wings to thegold, which rose during the day to a new peak of $3057,36 an ounce, but is currently trading slightly lower at $3041,66.
Piazza Affari, Nexi and defensive stocks rise
In Piazza Affari they moved against the trend nexi +4,12% and stocks considered defensive such as Campari + 2,29% Recordati +1,31% and utilities starting from Terna + 1,11%.
In particular, the digital payments company has benefited from rumours about a850 million purchase offer of the Digital Banking Solutions division by the US fund “TPG”.
The declines are strong for stm, -3,74%, Stellantis -2,99% and A2a, -3,2% which has presented its accounts today.
Banks are retreating starting with the two largest, Understanding -2,91% and Unicredit -2,8%.
The Ps, in great shape lately, is down 2,35%. CEO Luigi Lovaglio said he is waiting for the necessary authorizations for the takeover bid on Mediobanca (-0,53%) by June and that the goal is to create the third Italian banking hub. The share of Generali (-0,98%) instead “is not crucial for the potential we want to explore by making this agreement”.
You also make money on defense stocks: Leonardo -1,6%.
Spreads up
Bund purchases pushed the yield up today spread between the Italian and German 106-year bonds, which widens to XNUMX basis points. The yield of the BTP It still appears little moved at 3,85%, while the Bund falls to 2,79%.
