Friday, June 10, 2016

Bags to peak, Milan lost 3.6%: Brexit worries. Waiting for the judgment of Moody’s on Italy – La Repubblica

MILAN – The Old Continent Bags do not find the rebound after the session of the vigil and even fall down with heavy sales in the banking sector. Markets fear prevails in view of the increasingly uncertain vote June 23 on the permanence of Great Britain in the European Union: second Axioma, a company specializing in the definition of risk models, if London left the EU European stocks could lose up to 24 %. A scenario that governments around the world try to avoid. Also because the latest data on the US labor market have raised doubts about the strength of the recovery.

Investors prefer well move to less risky assets: the yields on government bonds are about the minimum, while purchases on ‘resumed gold, on the back of three-week highs. Today, among other things, comes the possible revision of the Moody’s rating on Italy: Paris lost 2.24%, London 1.86%, while Frankfurt lost 2.52%. Sinks Square Business losing 3.62% under the weight of banks. Among the stocks under always observing Unicredit losing 6.4% pending the appointment of the new CEO which should take place by the end of July and RCS: Board of Directors should communicate its verdict on ‘ Cairo offer, while on June 20 will start the tender offer launched by Bonomi. Also hurt Wall Street : when European markets are approaching the close, the Dow Jones sells 0.5%, while the Nasdaq loses 1%, the S & amp; P 500 of 0 , 7%.

on the macroeconomic front, the ‘ inflation is up slightly in Germany in May, according to the statistical office of the final data, the prices increased by 0.3% on a cyclical basis and 0.1% on an annual basis. Positive signs also from France where he records the unexpected jump in Industrial production in April: according to official data, the increase compared to March was 1.2% while the esteemed analysts limited growth 0.2 percent. Revised downwards, with the occasion, the negative figure in March: industrial production decreased by 0.4% and not 0.3% as previously announced. signs of recovery from the incoming data from Italy. In the US, consumer confidence, as measured by Michigan (preliminary data), falls in June to 94.3 from 94.7 in May. The result, says the Bloomberg agency, is higher than analysts’ expectations, which aimed to 94 points.

Meanwhile, on markets has returned to move the European central Bank that has triggered the extended phase of his Quantiative easing , also including the securities of non-financial companies among the possible objects of purchases by 80 billion per month. Free operation began Wednesday, with some methods that analysts have seen as “aggressive.” The case relates to school-Telecom Italy, whose bonds were being purchased by the Eurotower (even if the authorities do not confirm). These are stocks that in two out of three cases a negative opinion by the agencies of rating , which classify as “speculative”. One of them – Fitch specifically – assigns the license of “investment grade” and so allows the phone company’s bonds to be among those purchased by Mario Draghi: the rules that the ECB has given fact predict that there is at least an opinion positive between the various rating because the bond can end up in Frankfurt portfolio. “It ‘was an aggressive departure for the” acquisition program, said Jeroen van den Broek of Ing Bloomberg . “The wide range of purchases by the ECB indicates that Draghi is serious.”

According to the latest estimates of Morgan Stanley , the Qe extended to bonds corporate tools can draw from a pool of bonds by about 675 billion of securities. Bloomberg has surveyed 1,049 bond purchased, 130 of which are issued by Italian companies (there are over 80 billion euro in value). The monthly estimates on the amount of purchases are very different, between 3 and 10 billion according to analysts. Many, however, are betting on an accelerated pace in the first phase of the program, also in view of the summer during which the market is less liquid. The fact that the effects have already seen and, on the eve of the extended Qe, the average bond rated ‘investment grade’ of ‘yield Eurozone has fallen below 1% to minimum of one year.

Cautious currency markets: the euro closes down, below $ 1.13 on concerns of a Brexit. The single currency is changing hands at $ 1.1295 and 120.76 yen. Stable the spread between BTP and German Bund. The differential marks on share markets 136 points on Thursday on the same level. The yield amounted to 1.36%. In the morning, the Treasury has registered an increase in performance for fractional Bot 12 months awarded in the auction: the Bot Annual was placed with a gross annual rate of -0.122%, slightly up ( +2 basis points) compared with the previous auction in May. The intensity of the demand has dropped slightly compared to the placement of May. Given the amount offered by the Treasury amounted to 6.5 billion euro, the overall requests have come to 9.373 billion.

In the morning, the Nikkei index of Tokyo Stock Exchange closed down 0.4% with bond rates to new record lows. A worry investors is the decline of 4.2% in wholesale prices in May: a dynamic that confirms the return of deflationary pressures and that should push the central bank to launch new expansionary measures in the coming weeks. In terms of raw materials, the price of Oil is slightly down on the markets where it is still above 50 dollars a barrel. Crude WTI marks a decline of 0.7% to $ 50.19 a barrel. This week the gain was more than 3% due to the decline in stocks in the United States. Brent advancing to $ 51.59 per barrel (+ 0.7%). Swing the price of ‘ Gold in the wake of the strengthening dollar. The metal for immediate delivery down 0.2% to $ 1,266 an ounce after the recent appreciation. Advancing instead the silver to $ 17.2 who scored so that a 5% rise in the week.

Topics:
European shares
Wall Street
Milan Stock
spread
gold
EUR
oil
Asian stocks
Starring:
mario dragons
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