Direct from the markets | Ftse Mib stalls, construction revenue cools

European indices fell after Wall Street opened in the red. At 3:55 p.m., the Dax lost 0.5%, the Cac 40 lost 0.35%, while the FTSE 100 and FTSE MIB resisted and advanced 0.06% and 0.01% to 24,267 points, respectively. At the bell, the Dow Jones lost 0.04%, the S&P lost 0.12% and the Nasdaq lost 0.49%.

In the bond sector, the yield on the 10-year Btp cooled slightly to 3.632% and the 10-year Bund to 1.791%, widening the gap between yields on the two government bonds to 184 basis points. Across the ocean, the 10-year US Treasury yield is 3.468%.

14:00 Ftse Mib remains on sale, tension in Btp

With the exception of Milan, European stock markets are accelerating downwards. Dax lost 0.63%, Cac40 0.54%, Ftse100 0.15% and Ftse Mib 0.08% to 24,247 points at 14:00 with Iveco, Nexi and STM as brakes). Wall Street futures were also negative (-0.38% in the Dow Jones and -0.63% in the S&P500). At the macroeconomic level, in the week of December 2, the index measuring the volume of mortgage applications in the United States fell to 204.2 points or -1.9% against 208.1 the previous week.

As for bonds, the yield on the 10-year Btp rose to 3.684%, while the yield on the 10-year Bund rose to 1.81%. The spread reaches 187 basis points. The ten-year US Treasury yield traded at 3.549%. The price of oil (Brent +0.09% $79.41 per barrel) was on the rise this morning, having fallen to its lowest level since the beginning of the year.

10:40 European stock markets are cautious and digesting the uneven macroeconomic situation.

European stock markets remain subdued (+0.06% for Dax, -0.41% for Cac40, -0.01% for Ftse100 and +0.08% for Ftse Mib at 24,285 points at 10:40, Enel, Backed by utilities Hera.and Italgas, Post Office, Unicredit and Recordati, the Btp/Bund spread fell to 185 basis points) after a lower Asian session. US futures also pointed to a negative opening (-0.12% on the Dow Jones and -0.21% on the S&P500) as investors digested the mixed macro picture. “Uncertainty caused by the latest EU sanctions against Russia is weighing on market sentiment this week, particularly energy stocks, as traders flee the oil markets,” noted Pierre Veyret, technical analyst at ActivTrades. As investors struggle to assess the medium-term outlook in both the U.S. and the European Union, “a recent string of mixed macro data could weigh on near-term risk appetite as traders look to take their profits before the end of the year. “, Veyrat warned Bey and added that, from a technical point of view, the situation is not so dangerous. “Although the Stoxx-50 has exited the short-term bullish channel, the market is in the phase of lateral consolidation between 3,925 and 4,000 points and is waiting for a new catalyst. “Afternoon market volatility is expected to increase towards energy stocks as investors await data on US crude oil inventories,” Weyret said.

09.05am Ftse Mib resists selling thanks to utilities and Tim

European stock markets fell at the beginning of the session (-0.23% for Dax, -0.59% for Cac40, -0.19% for Ftse100 and -0.04% for Ftse Mib at 24,256 points). Wall Street futures were little changed (+0.07% in the Dow Jones and +0.05% in the S&P500). Investors are already looking ahead to next week when the Fed will meet on the 14th and the ECB will meet on the 15th. Meanwhile, volatility is returning. “Analysts are confident that next week’s rate hike will be ‘just’ 50 basis points, but doubt remains over the terminal rate and the rate of further monetary tightening,” he said. Barini from Integrae Sim. JP Morgan Chase CEO Jamie Dimon said inflation could push the US economy into recession next year. Consumers have $1.5 trillion more in savings from pandemic stimulus programs and are spending 10% more than in 2021. “Inflation is eroding savings and by mid-2023 the trillion and a half will be depleted. From this perspective, the US economy could derail and enter a mild or severe recession. 5% interest rates may not be enough. The result: Wall Street lost 5% in two sessions, returning to mid-November levels,” warned Mr. Barini. The 10-year US Treasury yield was flat at 3.51% and the 10-year Btp yield fell to 3.59%, with a Btp/Bund spread of 183 basis points.

Milan-listed acquisitions in utilities such as Italgas (+0.81%) and Hera (+0.63%) and Tim (+0.39%). Also Unipol (+0.76%) and Bper Banca (+0.80%), but not Banca popolare di Sondrio (-0.21%). According to MF-Milano Finanza, alliances with two former prominent banks in non-life and life branches should be renewed in the coming weeks. Discussions on extending the partnership have been ongoing since last spring, but have accelerated in recent weeks with the aim of reaching a signature by the end of December. The Minister of Finance Giancarlo Giorgetti confirmed that the government is committed to ensuring the orderly exit of the state from the Mps capital (+ 1.14% – 1,895 euros). As for Eni (-0.50% to €13.57), Libya Noc (National Oil Corporation) from Eni to Bp, Total, ConocoPhillips, Omv and Repsol, according to Mf-Milano Finanza asked international energy companies to give new prices. stimulates production. Finally, Deloitte & Touche, Juventus’ independent audit firm, said the revised financial statements provided by Juventus provide an accurate overview of the company’s financial position, but call into question the extent of losses incurred over the past two seasons.

08:20 Europe will be weak, oil is at the lowest level of the year

European stock markets are expected to fall early in the session (-0.15% Eurostoxx futures). Markets are picking up fresh signs of a reopening in China against growing concerns about a U.S. recession and Federal Reserve interest rate hikes. Several media outlets have suggested that the Chinese government is preparing to announce further easing of anti-Covid measures following widespread protests against the country’s new restrictions over the past two months. China’s major cities have already eased some traffic restrictions due to the obvious economic downturn.

Recession fears, oil at lowest level of the year

Expectations of a slowdown in major global economies weigh on commodities. Wti oil fell to its lowest level since December 2021 and is currently at $74.19 (-0.08) a barrel, while Brent oil is at $79.37, its lowest level since early January. After dropping Russian oil to $60 a barrel, the EU is scrambling to agree on a gas price cap a week ahead of a meeting the bloc hopes will resolve the issue. An ounce of gold is stable at $1,780.

Euro remains steady ahead of EU GDP final figure

Euro steady at 1.049, awaiting more important macro data. Already in October industrial production was published in Germany, which fell by 0.1% in October (compared to the consensus estimate of economists -0.5%). October retail sales in Italy at 10:00 (preliminary: +4.1% y/y), final euro zone third quarter GDP at 11:00 (preliminary: +0.2% y/y; +2 .1%) pay attention. Weekly Italian Mortgage Demand Index (initial: +0.2% quarter; +2.1% YoY) Weekly Italian Mortgage Demand Index as of 1pm consensus: QoQ +0.2%; y/y +2.1% y/y), Germany’s weekly mortgage loan application index at 13:00 (preliminary: +0.1% for the quarter; +2.1% for the year). 00 in the weekly US Mortgage Demand Index (prev: -0.8% to 208.1 points), final 3Q unit labor costs (prev: +3.5% qoq) at 2:30 p.m., and 3 final output for the quarter (preliminary: +0.3% for the quarter) and weekly oil inventories at 16:30 (prev: -12.581 million barrels to 419.084 million).

Speech by Philip Lane (ECB).

The spotlight is also on a series of speeches, starting with the ECB’s chief economist, Philip Lane (in an interview with Mf-Milano Finanza, he said he sees signs of a possible rise in rates and inflation). Tomorrow, December 8, the ECB enters a period of silence ahead of its December 15 meeting. Domestically, today is the deadline for submitting amendments to the maneuver, which saw Prime Minister Giorgia Meloni call on unions for a fresh debate. The 10-year BTP yield fell to 3.572%. Greece and Spain were active in the early stages. Yesterday, December 6, the Italian Treasury announced that it will offer 6 billion euros worth of annual BOTs in Friday’s auction.

Watch out for Unipol, Bper, Pop Sondrio, Eni and Juventus in Milan.

Watch out for Unipol, Bper Banca and Banca popolare di Sondrio on the Milan Stock Exchange as alliances with the two former popular banks in life and non-life branches are due to be renewed in the coming weeks, according to MF-Milano Finanza. . Discussions on extending the partnership have been ongoing since last spring, but have accelerated in recent weeks with the aim of reaching a signature by the end of December.

Finance Minister Giancarlo Giorgetti confirmed the government’s commitment to ensuring the orderly exit of MPs from the capital. As for Eni, according to Mf-Milano Finanza, Libya’s Noc (National Oil Corporation) has asked Eni for a new boost to production from international energy companies such as Bp, Total, ConocoPhillips, Omv and Repsol. Juventus is still the independent audit firm Deloitte & Touche said the revised financial statements provided by Juventus provide an accurate overview of the company’s financial position, but cast doubt on the extent of losses incurred over the past two seasons. Although Brunello Cucinelli again improved its revenue forecast for 2022, a growth forecast of around 28% compared to the +25% announced in October. ()