Piazza Affari continues to rise, in a week + 10%
2020-06-03T10:52:47.040Z
The reopenings that take place in the world push the markets. Yesterday the Milan Ftse Mib rose by 2.42%, today the main list of Piazza Affari marks + 2.05%, which brings the weekly increase to 10.14%. In the rest of Europe London + 1.2%, Paris 1.8%, Frankfurt +2.3 percent. The Frankfurt Dax index rose more than 3 percent yesterday, in part to align with the performance of the other exchanges after Monday's close. But expectations also have to do with a new public stimulus between 50 and 100 billion euros, which could also include subsidies and incentives for the purchase of cars. However, there is still no agreement on the plan between the coalition parties. Meanwhile, the data coming from the real economy give a sense of the extent of the lockdown. Istat released provisional employment data in April. As the Institute of Statistics notes, compared to March "there has been a marked decrease in employment, the decline in unemployed people looking for work already registered in March is strengthening, with a further strong increase in inactivity". More specifically, employment fell by 1.2% to -274 thousand units. Inactive people increased by 5.4%, equal to + 746 thousand units. The unemployed, i.e. people looking for work, fell by 23.9%, equal to -484 thousand units. The PMI services index in Italy in May rose from 10.8 in April to 28.9, just above the forecast of 26.1, but far below the 50 level, which marks the border between expansion and contraction. Yesterday, the manufacturing PMI was at 45. The index measures the orders and expectations of the purchasing managers of the companies. In terms of government bonds, a record request for the 10-year syndicated BTP announced yesterday by the Ministry of Economy and Finance. According to market sources, orders have exceeded the 100 billion euro threshold. The rate is currently given at 9 basis points above the reference rates of 0.95%. The mandate for the placement was entrusted by the Mef to BNP Paribas, Citigroup, HSBC France, Monte dei Paschi di Siena, NatWest Markets and UniCredit. On the European business front, the airline Lufthansa today reported a loss in the first quarter of 2.1 billion euros. Renault, meanwhile, has obtained the go-ahead for a 5 billion euro loan, guaranteed by the state, after having presented in recent days a plan that foresees a cut of 14 thousand jobs. Market expectations have been focused for days on tomorrow's ECB meeting which, according to many analysts, could increase the anti-pandemic plan for securities purchases by another 500 billion euros. The hikes in the night also affected Asia: in particular the Seoul stock exchange, which is only two percentage points below the level at the beginning of the year. Yesterday also climbed to Wall Street (Dow Jones + 1.05%, Nasdaq + 0.59%), despite the curfew involving many cities in the United States. Brent crude oil rose above $ 40 a barrel overnight, only to fall slightly below. It is the result of both an increase in demand and the agreement between the OPEC + countries to prolong the cut in production decided in April. In Piazza Affari today the leap in the technology stocks index, + 5%. Among the main oil & gas sectors + 2%, banks + 2.3%, utilities + 2.7%, industrial + 1.7%. Best Ftse Mib stocks: Leonardo, StMicroelectronics, Tenaris, Saipem, Mediobanca, with increases of over 4%. Decline close to 2% for Tim, profit taking continues on Diasorin, -3.07%.
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by Fabrizio Patti 03 June 2020 The reopenings that take place in the world push the markets. Yesterday the Milan Ftse Mib rose by 2.42%, today the main list of Piazza Affari marks + 2.05%, which brings the weekly increase to 10.14%. In the rest of Europe London + 1.2%, Paris 1.8%, Frankfurt +2.3 percent. The Frankfurt Dax index rose more than 3 percent yesterday, in part to align with the performance of the other exchanges after Monday's close. But expectations also have to do with a new public stimulus between 50 and 100 billion euros, which could also include subsidies and incentives for the purchase of cars. However, there is still no agreement on the plan between the coalition parties. Meanwhile, the data coming from the real economy give a sense of the extent of the lockdown. Istat released provisional employment data in April. As the Institute of Statistics notes, compared to March "there has been a marked decrease in employment, the decline in unemployed people looking for work already registered in March is strengthening, with a further strong increase in inactivity". More specifically, employment fell by 1.2% to -274 thousand units. Inactive people increased by 5.4%, equal to + 746 thousand units. The unemployed, i.e. people looking for work, fell by 23.9%, equal to -484 thousand units. The PMI services index in Italy in May rose from 10.8 in April to 28.9, just above the forecast of 26.1, but far below the 50 level, which marks the border between expansion and contraction. Yesterday, the manufacturing PMI was at 45. The index measures the orders and expectations of the purchasing managers of the companies. In terms of government bonds, a record request for the 10-year syndicated BTP announced yesterday by the Ministry of Economy and Finance. According to market sources, orders have exceeded the 100 billion euro threshold. The rate is currently given at 9 basis points above the reference rates of 0.95%. The mandate for the placement was entrusted by the Mef to BNP Paribas, Citigroup, HSBC France, Monte dei Paschi di Siena, NatWest Markets and UniCredit. On the European business front, the airline Lufthansa today reported a loss in the first quarter of 2.1 billion euros. Renault, meanwhile, has obtained the go-ahead for a 5 billion euro loan, guaranteed by the state, after having presented in recent days a plan that foresees a cut of 14 thousand jobs. Market expectations have been focused for days on tomorrow's ECB meeting which, according to many analysts, could increase the anti-pandemic plan for securities purchases by another 500 billion euros. The hikes in the night also affected Asia: in particular the Seoul stock exchange, which is only two percentage points below the level at the beginning of the year. Yesterday also climbed to Wall Street (Dow Jones + 1.05%, Nasdaq + 0.59%), despite the curfew involving many cities in the United States. Brent crude oil rose above $ 40 a barrel overnight, only to fall slightly below. It is the result of both an increase in demand and the agreement between the OPEC + countries to prolong the cut in production decided in April. In Piazza Affari today the leap in the technology stocks index, + 5%. Among the main oil & gas sectors + 2%, banks + 2.3%, utilities + 2.7%, industrial + 1.7%. Best Ftse Mib stocks: Leonardo, StMicroelectronics, Tenaris, Saipem, Mediobanca, with increases of over 4%. Decline close to 2% for Tim, profit taking continues on Diasorin, -3.07%.
