Incipit of the last session of the week in sharp decline for the European markets. In Italy, the Ftse Mib fell by 1.34% to 22,065 points. Among the individual stocks, the declines of Moncler and Poste stand out, both losing more than 2%. Unicredit was also bad, positive protagonist of the previous sessions, which lost 1.4%. The worst of the Ftse Mib, however, is TIM with -3.31% in the 0.1925 euro area.
Recessive fears hold the market. The World Bank warned of a global recession next year, triggered by the wave of tightening by central banks; Indermit Gill, chief economist at the World Bank, said he was concerned about “generalized stagflation,” a period of low growth and high inflation, in the global economy, noting that the bank cut its forecast for most countries. Instead, the IMF said it expects some countries to enter recession in 2023, but it is too early to say whether there will be a widespread global recession.
On the bond front, the two-year Treasury yield hit 3.873% yesterday, a new 15-year high. Mixed data on US retail sales and jobless claims data have reinforced the case of aggressive Federal Reserve rate hikes.