Bitter Tuesday on the markets with fears of an acceleration in inflation weighing on investor sentiment, with sales especially on tech stocks. At the end of the day, the Ftse Mib lost 1.64% to 24,396 points. The data from China contributed to exacerbate concerns: in April, inflation measured by the consumer price index rose by 0.9% on an annual basis, slightly below the + 1% expected by analysts, while the he producer price index jumped 6.8%, the strongest rise since October 2017. Chinese data show that “inflation is strongly felt at the producer level, with the PPI raising the question of how much that inflation will eventually be passed on to the consumer, ”argue from IG.
One of the worst performers of the day is Stm with a thud of 3.37% thanks to the very negative mood of the entire technology sector. Utilities also hurt, with Enel slipping back by 2.5 percent. The new rise in bond yields weighs with the ten-year BTP approaching 1%.
Assets under management also fell on the day they were all at the quarterly accounts test. Banca Mediolanum sold 0.39% after reporting a net profit of 133.4 million euros in the first quarter of 2021, an increase of 85% compared to the 72.2 million in the first quarter of 2020. The consensus indicated a profit of 116 million. Total Assets Managed and Administered reached 97,718 million, an increase of 5% compared to 31 December 2020 and 25% compared to 31 March.
Fineco was also weak (-1.8%) despite record profits and revenues. In the January-March period, revenues increased by 8.4% to € 218.2 million, driven by the Investing area (+ 13.8% yoy) and by Brokerage (+ 2.1% yoy) ). Net profit reached a new record of 94.7 million, higher than the 85.6 million indicated by the consensus of the analyzes.
Accounts arriving tomorrow before the start of negotiations for Poste Italiane (-0.45%) which retraces from the top 2021 touched yesterday. The consensus sees Poste revenues of 2,877 million euros, ebit of 573 million and net profit of 408 million. Intesa Sanpaolo analysts see EBIT at 562 million (+ 27.6% yoy) and profit at 400 million.
Among the few more signs of the day are some banks: + 0.98% Banco BPM, + 0.9% Bper and + 0.57% Unicredit; the latter announced the start of the share purchase program for 178.7 million euro. Meanwhile, banking risk continues to hold its own. Deutsche Bank analysts note that the Sostegni-bis Decree in the process of being approved, with the changes to the DTAs that move the terms for the approval of mergers to June 2022, makes M&A scenarios even more likely in the second half of the year with Unicredit , Mps, Banco BPM, Bper and Popolare Sondrio who are the main suspects.
Meanwhile, Mediobanca’s clear no to a possible combination with Unicredit. “In finance, all fantasies are legitimate and also interesting. From an industrial point of view, I think it is a combination that is of little use to both, ”said Alberto Nagel, CEO of Mediobanca.