The emergency continues, but the intervention of the authorities has managed, for now, to limit the effects on the markets of the health crisis which is still raging: the victims have risen to 425, the patients affected to 20.438. The data, better than expected, arriving from industry both in the US and in Europe, has given some optimism back to the stock exchanges, while in China home-working is taking off to remedy the temporary closure of factories. In short, do not panic, even if the damage is profound and destined to last: Beijing, the cause of the damage to the economy, could ask for the postponement of the tariff agreement with Washington. Weakness in commodities, not just oil, suggests caution. But there are (see Tesla) reasons to take risks. Perhaps on Goldman Sachs, which has announced an alliance with Amazon to develop a line of small loans to be developed with the e-commerce giant.
PANASONIC +10%, TESLA +20%: MUSK'S CAR IS WORTH MORE THAN DETROIT
Asian stock markets rebound in line with Wall Street.
The Shanghai Composite index, after yesterday's collapse (-7,9%), is up 0,2%. Hong Kong's Hang Seng gains 1%, Taipei's Taiex 1,8%, Seoul's Kospi 1,9%. Tokyo's Nikkei climbed 0,4%.
Noteworthy was the performance of Panasonic (+10%), Tesla's partner for the production of batteries for electric cars. The US gigafactory of the Japanese group has announced the first profits.
However, the triumph of the electronic car was celebrated at the Nasdaq: Tesla scored yet another flight (+20%), a performance that celebrates the collapse of short sellers, who have been betting against Elon Musk for years and who only yesterday burned $6,1 billion.
Tesla (+90% since the beginning of the year) is worth 140 billion dollars at current prices, much more than the sum of the capitalization of the major Detroit manufacturers, GM, Ford and FCA.
Strong purchases on Gilead Sciences (+5%): one of its drugs is used to try to cure the epidemic.
Tesla's flight favored the take-off of the Nasdaq, partly downsized after the Stock Exchange by the disappointing accounts of Alphabet, which lost the gains made during the day, thanks to YouTube: Dow Jones +0,51, S&P 500 + 0,73%. Nasdaq +1,43% driven by Microsoft (+1,34%).
RENMIMBI RECOVERS, OIL WEAK
On the foreign exchange market, the Chinese renminbi recovered, returning below seven. The dollar-yuan cross trades at 6,99 (-0,3%).
Oil is still weak, at 54,7 dollars a barrel. China's daily oil demand fell three million barrels, or about 20%, in the past week.
SPARKS BETWEEN EU AND BORIS JOHNSON. WEAK pound
The positive signals from industry have favored the recovery of European stock markets, despite the tensions related to the Brexit confrontation that started in the worst way, the health emergency and the first accounts on the impact of the epidemic on heavy sectors, such as fashion and tourism .
Milan rose by 0,96%, to 23.460 points, and is one of the best places.
Moderately positive day for Frankfurt (+0,49%) and for Paris, which shows an increase of 0,45%. Madrid +0,36%.
London increased (+0,57%). Boris Johnson clashed with Michel Barnier, Europe's chief Brexit negotiator, on the future deal between the EU and Britain. Last Friday at midnight, Great Britain definitively left the EU. Barnier said that: "We are ready to offer a very ambitious agreement that includes tariffs and zero duties on all goods," provided that Johnson signs rules against unfair competition. Johnson rejected the proposal, arguing that the UK can thrive even if negotiations with the EU fail.
Weak sterling, -1,2%, cross Euro/GBP at 0,85.
In the City, Ryanair shines, +6,66%, which closed the third quarter with a profit of 88 million euros.
BTP, A NEW 15 YEAR IS COMING SOON
The BTP closed a session in negative territory which saw the fear of the markets with respect to the Chinese virus diminish. In closing, the spread is 143 basis points from 140 on Friday.
The 0,96-year rate stands at 0,93%, after closing on Friday at XNUMX%.
The decline in Italian bonds is particularly marked on the long stretch, with investors expecting the launch via syndicate of the new 15-year BTP in the short term, after the boom in requests recorded last month for the 30-year bond.
While awaiting the results of the brands headed by Exor (Ferrari +1,17%, FCA -0,77% on Thursday), important news for the car arrived yesterday. Registrations in January were 155.528 with a drop of 5,9% compared to the first month of 2019. The FCA share rose to 25,6%. “A flat start”, is the comment of the Promotor research centre.
THE AWARD FOR FCA EMPLOYEES IS COMING SOON
Fiat Chrysler communicated to the unions that a bonus will be paid to all Italian employees of the group equal on average to around 1.350 euros for the 2019 results. The results, measured with the WCM (World Class Manufacturing) system, once again reward Pomigliano and Verrone, who "for the fifth consecutive year have achieved excellence and will receive on average around 1.675 euros,” says a note.
NEXI FLIES, PRYSMIAN SHINES
In great evidence Nexi (+5%), in the wake of a large operation in the world of alternative payments to money that could accelerate the merger with Sia. Worldline has bought the French Ingenico at a price equal to 7,8 billion euros of asset valuation. From the merger, the fourth world entity in the sector was born.
Prysmian also shines, announcing a big step forward for the cable sector. The company has launched the Sirocco High Density minicable range providing record diameters and fiber densities for blown minicables. "Kind-insensitive fiber optic cables are a crucial part of the transition to more flexible and reliable connectivity," said research director Ian Griffith.
Banca Akros confirmed the Buy judgment on Tip stock with a target price of 7,20 euro after the company exceeded the 5% threshold in Prysmian.
Weakness for energy and oil penalized by fears about the drop in demand in China, the largest importing country of crude oil, due to the virus.
Saipem down 1,6%. The company will repay a 500 million euro bond in advance. Eni -0,5%. Tenaris -1,16%, Eni -0,4%.
BANKS RECOVERING, TOD'S RISES UP CHINA
Stock market indices were offered the greatest support by bank stocks, recovering after the recent declines. Among the big companies Intesa Sanpaolo rises by 1,76% on the eve of the accounts, Unicredit +1%. Better Finecobank and Mediobanca with growth of more than 2%.
Tod's is still tonic, up by more than two percentage points again on the back of the fourth quarter revenue results, better than analysts' expectations announced on Thursday evening. Moncler +0,4%.
In the red Tim, who loses 1%, a drop which adds to the approximately 4% drop of the previous session. On Friday, with the market closed, the Antitrust announced a fine of 114 million euros in the context of the proceeding against the 28-day invoicing.
MEDIASET WINS A ROUND AGAINST VIVENDI
In terms of increases, Mediaset, after hitting new lows for over three years, closed with a rebound of 0,9% in the wake of the news of the rejection, by the Court of Milan, of the request for precautionary suspension presented by Vivendi on the MediaforEurope project .
