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(Il Sole 24 Ore Radiocor) – European stock exchanges are struggling to find their way up again with determination, after the sharp slowdown on the eve of the day, which put an end to the mini-rally of the indices at the beginning of the week. The FTSE MIB in Milan followed suit, weighed down by the weakness of banks and financial stocks. Markets remain strong uncertaintyboth for the high-tension geopolitical context, both because investors who continue to question both the trend of the economy and inflation, and the moves of central banks. Some disappointing macro data earlier in the week hinted that the Fed (and probably the ECB as well) will be more cautious in the rate hike in the coming months, favoring the rebound.
On the European macro front, the o data confirms the difficult moment in Germanyrdini to industry, down by 2.4% compared to the previous month of July. This is a worse than expected result which indicated -0.5 percent. The trend decline, i.e. compared to August 2021, was 4.1 per cent. In this sense, the publication of the minute of the ECB
US data and Friday’s unemployment expectation
In the session of Wednesday 5 October, however, new data were announced in the States that highlighted the holding the economy, thus dampening the hopes that the central institute will review the intention to tighten the rope in a decisive way, significantly raising the cost of money. The ISM index of services last month reached 56.7 points, exceeding expectations of around 56, with a clear improvement in the component linked to employment. In addition, the private sector recorded an increase in new jobs equal to 208,000 units, against expectations of 200,000. If today overseas the weekly unemployment claimsthe official data on the September employment market will be released on Friday 7 October, closely followed by the Fed economists, who are also aware that the labor market always moves with a delay compared to the economic cycle.
Tim rebounds in Milan, down Saipem
Purchases on Telecom Italia are returning to Piazza Affari, among the worst stocks in the session of Wednesday 5 October. Stmicroelectronics continues the positive streak, after the good performance of the eve. Attention remains focused on Banca Generali, while the market continues to question the future of the company, which Generali could sell. After the rises of the previous session, oil stocks are holding back: Saipem, which had risen by more than 8 percent, is at the bottom of the list, Eni weak, in contrast with Tenaris. Out of the main market, volatile Banca Mps awaiting the capital increase.
The BTp / Bund spread above 240 points
The spread between BTp and Bund on the secondary market moves above 240 points. Ten-year BTPs confirm the yield above 4.4%, also driven by Moody’s warning that if the Pnrr steps are not respected, Italy will risk a scissor cut in its debt judgment. Not only that: in the session on Wednesday the ECB data relating to Pepp purchases in the August-September period also arrived, which showed that the institute is loosening its grip on peripheral securities, withnet Italian purchases which were negative for 1.2 billion euros (+9.76 billion in the previous two months). “It must be considered – say the analysts of Mps Capital Services – that the government portfolio has shrunk by 4.32 billion probably due to the fact that some securities expired at the end of September have not yet been fully reinvested”.
