TELECOM +8% IS NOT ENOUGH. BANKS HOLDING BACK PRICE LISTS. DOWN ALSO STM. CAPITOMBOLO FOR ITALIAN POST
European stock lists are losing ground, weighed down by the banks and held back by messages from the Fed. The Milan Stock Exchange, bank-centric as usual, closed with a sharp decline: the Ftse Mib index lost 1,07%. Paris, Frankfurt and Madrid were also down, all down by 0,7%.
The prospect of a US rate hike in December held back the debt securities market. The 10-year BTP weakens, with the yield rising by 7 basis points to 1,47%. The spread remains unchanged at 95 basis points due to the simultaneous rise in the yield on the 0,54-year German bund to 0,44% from 1,10% yesterday. The euro rebounds from its lows, but remains below XNUMX against the dollar.
The US stock market is also down. The Dow Jones lost 0,3%, the S&P500 0,3% and the Nasdaq 0,5%. Macroeconomic data point to a slightly more pronounced slowdown in GDP growth than expected. In the third quarter the increase was 1,5%, slowing down from +3,9% at the end of June.
Big hit in pharma: Pfizer -0,7% deals with Allergan +8%. Together, the two pharmaceutical groups would have a capitalization of 331 billion dollars. But the reasons for the operation are mainly fiscal: Allergan is based in Dublin.
It shines on the list Telecom Italy +8,7% (close to the highs of the last seven years) after the lunge of Xavier Niel who bought an 11% share of the capital, between shares and derivatives. Niel is the founder and largest shareholder (54% stake) of Iliad, second French internet provider and third transalpine mobile operator.
On the other hand, the banks sunk by the news coming from are bad Barclays -6% after lower-than-expected quarterly data and from Deutsche Bank down 7,3% which, among other things, announced that it will cut its workforce by 15.000.
Italian institutes also suffer: Unicredit -2,4% Understanding -2% Mount Paschi -3,3% Popular Bank -4% Ubi -4% Pop. Emilia -3,6%. Poste Italiane -4,3% to 6,41 euros, slipping to a price well below the 6,75 euros of the IPO.
Another hotbed of decline: StM the worst blue chip with a 5% drop. Europe's largest chipmaker cuts its fourth-quarter forecast. The global sector index, the Sox, lost 2,7%.
Down too Eni -1,2%: the quarter ended in September recorded a loss of 257 million euro. Retrace Saipem -4% after yesterday's +10%. The utilities are also bad: Enel -2,2% Enel Green Power -1,5% A2A -1,7%. In the industry Finmeccanica -1,5% Fiat Chrysler -1,6%. Cnh Industrial -0,9%.
