MILANO – After a first semester in deep red also the month of July for the European markets is likely to start in the name of sales.
Today in the Old Continent the wait is for the key figure of Eurozone inflationwhich could accelerate further (analysts expect + 8.5% against 8.1% the previous month), thereby exacerbating fears of a possible recession and a more aggressive monetary tightening by the ECB expected.
In the first hour of trading on European lists in London, the Ftse 100 index drops 0.77% to 7,114 points, in Paris the Cac 40 drops by 0.8% to 5,875 points while in Frankfurt the Dax falls by 1.22% to 12,627 points.
In Milan, the Ftse Mib index opened, yielding 0.5%, adjusting the lows since November 2018: on the main list suffer from Stm (-2.4%) and Enel (-2.1%), which is affected by the cut in judgment by Hsbc. Also in letter Nexi (-2%)Prysmian (-1.9%), Terna (-1.9%) and Snam (-1.6%).
But after the first few bars Piazza Affari clears the discounts in a session dominated by volatility. The banks, led by Unicredit (+ 2.1%) and Bper (+ 1.4%), insurance companies Generali and Unipol (+1) give breath to the Ftse Mib index, which rises by 0.1% , 3%) and some industrial stocks such as Leonardo (+ 1.65%) and Pirelli (+ 1.2%).
In line with the Tim price list (-0.6%) while press rumors speak of difficulties in reaching an agreement with CVC for entry into the EnterpriseCo. Still high volatility due to the increase in Saipem, with rights suspended due to an excess of rise (+ 34.9%) after the collapse of the last few sessions.
The bear on global lists: rates on and spectra of recession, the black half-year of the stock exchanges
by Andrea Greco, Vittoria Puledda
A nervousness that comes after an early part of the year to forget for investors, with Milan closing at its lowest in 19 months on the eve, losing over 22% in the half year, while Wall Street recorded the worst first half since 1970 on the S&P 500 index.
Meanwhile, on the macroeconomic front, conflicting data are recorded: the confidence index of manufacturing companies, measuredu quarterly basis from the Bank of Japan (Tankan index) shows a sharp slowdown at the end of June; on the contrary, manufacturing production in China rebounded beyond expectations in the same month.
And in the next few hours it will also be Europe’s turn, given that, in addition to the flash estimate on inflation, also the SME indices. Finally, expected from the USA the manufacturing PMI from Markit, construction spending and the ISM Manufacturing index.