04/05/2022 15:39
Piazza Affari closed in trouble on the day of great anticipation for the Federal Reserve’s monetary policy decision. The announcement will arrive tonight at 20.00 Italian time with a conference by Jerome Powell at 20.30. All signs point to an interest rate hike of a whopping 50 basis points from +25bps in March. It would be the largest rate hike since May 2000 by the Fed. Investors mainly expect comments from Powell on the future rate path and also on the balance sheet reduction, the so-called Quantitative Tightening, which is expected to occur at the pace of a cut. of asset purchases of $ 95 billion per month.
The Ftse Mib index marks –1.4% at the end of the day at 23,902 points. On the Piazza Affari parterre, ENI dodged sales (+ 0.53%) in the wake of the surge in oil prices in light of the EU’s announcement that it is ready to do without Russian crude within 6 months. A modest decline for Terna (-0.54%) despite Societe Generale’s decision to cut the recommendation on the holdings stock with a target price of € 8.10. Little move TIM (+ 0.11%) which in the evening will release the accounts for the 1st quarter. Meanwhile, the results of TIM Brasil were above consensus expectations, driven by mobile ARPU improvement.
Among other stocks, Ferrari suffered with over -5.5%. The market welcomed the accounts for the first quarter of 2022 with coldness, which nevertheless recorded double-digit progress in terms of revenues and profits. The EBITDA slightly disappointed, which stood at 423 million euros, below the 425 million of the consensus. Unicredit is also bad (-2.82%) which tomorrow morning will in turn release the accounts for the 1st quarter.