Prevalence of sales today in Piazza Affari. The Ftse Mib, after an upward start, progressively made room for sales, closing at 25,077 points (-0.94%) and confirming the recent underperformance. Bad mood in the EU markets that clashes with the reassurances that arrived last night from Jerome Powell. The number one of the Federal Reserve remarked how the US central institution keeps an eye on inflation but is not in a hurry to raise rates.
From the macro front, new confirmations have come on the strength of the recovery also in Europe with the increase in the services PMI in June from 55.2 to 58, reflecting the optimism on the reopening of the economies as demand has started to grow again. The manufacturing PMI increased from 62.2 to 62.4.
Oil stocks are in the forefront today under the pressure of new increases in crude oil prices. In particular, Tenaris closed the day with + 0.67%. ENI also did well (+ 0.08% to € 10.422) which, according to its CEO Claudio Descalzi, could consider the spin-off of the biorefinery activities to combine them with retail operations, as it plans to do with renewable assets. . “It is premature, but it is an operation that could be interesting in the future”, Descalzi said yesterday speaking at the virtual event dedicated to the theme ‘Global Energy Transition 2021’.
Male Enel (-1.69%) as well as the entire utility sector (-1.88% Hera). An opaque day also for the banks (-0.16% Unicredit, -1.11% Intesa Sanpaolo, -1.33% Bper) which in any case reduced the losses in the second part of the session in the wake of the words of Luis De Guindos, vice president of the ECB, which opened to the removal of restrictions on banks’ dividends. “If the pace of activity we are estimating continues, clearly this recommendation will sooner or later disappear,” De Guindos said today. The ECB expects to take a decision on bank dividends and also on buybacks on 23 July.
Among the few more signs of today Campari stands out with an increase of approximately 0.45%, benefiting from the increase in guidance by Pernod Ricard thanks to a stronger-than-expected pace of business recovery. Equita recalls that read across for Campari is generally limited, given the different geographic mix (China + India = 22% of pre-Covid Pernod vs. 2% for CPR), channel (Global Travel retail 7% for Pernod vs. . 1.6% for CPR) and product (1/3 of Campari turnover in aperitifs).
Lastly, Leonardo was weak (-1.29%) with the rumors of DRS’s listing in the autumn that did not warm investors. On 24 March Leonardo announced the postponement of the IPO due to adverse market conditions that did not allow for an adequate valuation of DRS.