Donald Trump It caused a significant reaction to the markets (shareholders and currency) at the beginning of this week, announcing high rates on Canada, Mexico and China Starting from February 4, which pushed the dollar in general upwards and made the actions drop. However, after quickly suspending the duties on Mexico and Canada for a month, the market reaction has reversed and the equity indices closed the week on the rise thanks to the positive quarterly.
Today’s session
Today’s session ended with the red sign for most of the markets of the old continent. Frankfurt showed a drop of 0.53%, London un modest reduction of 0.31% and Paris scored a drop of 0.43%.
No significant variation in closing for the Milanese price list, with the FTSE MIB which stands on the values of the eve of 37,056 points; On the same line, the day closes without infamy and without honors the Ftse Italia All-Share, which remains at 39.301 points. Just below equality the Ftse Italia Mid Cap (-0.37%); As well, the Ftse Italia Star (-0.73%). At the closure of Milan it appears that the unwillingness of the exchanges in the session of 7/02/2025 was equal to 4.27 billion euros, with an increase of 14.80%, compared to the previous ones 3.72 billion euros; While the volumes exchanged from 0.81 billion actions of the previous session to 1.54 billion.
At the top of the titles ranking Most important in Milan, we find Iveco (+21.54%), Telecom Italia (+6.28%), Banca Popolare di Sondrio (+5.39%) and Buzzi (+3.75%). The worst performances, on the other hand, recorded themselves on Bper, which closed to -7.57%. Nexi drops by 4.43%. Black session for Fineco, which leaves a loss of 4.01%on the carpet. Floor decisive for Inwit, which marks a -3.57%.
Bank consolidation
The theme of the week, On the Italian market, it was once again the banking Risiko. The CEO of Bper Banca, Gianni Franco Papa, said that his 4.3 billion euro public purchase offer for the smallest Banca Popolare di Sondrio was a defensive move urged by a series of merger proposals in Italian banking sector. The combined entity will have a market share of 14% in Lombardy, the richest region in Italy, double the current share of Bper. A Union would bring together two banks whose main shareholder is Unipol, the second Italian insurance company that has an shareholding of almost 20% in the two credit institutions.
Bper’s offer For Sondrio follows that of Banca Monte dei Paschi di Siena (MPS) for the largest medium -sized rival. The chain reaction was triggered by the sale by the Italian government of a share of MPS in November, which brought on board as shareholders Banco Bpm and two Italian investors with large shares in Mediobanca and Generali (Delfin and Caltagirone). The prospect of a possible alliance between Banco Bpm and Mps had pushed Unicredit to focus on BPM.
Central banks
From the view of the decisions oninterest rates, This week the attention was for the Bank of England, which lowered the reference rate of 25 basis points to 4.50%, as widely expected. At the same time, Boe gave an accommodating turn to its guidance, since two members voted for a broader cut of 50 basis points and lowered their growth projections.
Important indications have arrived also from the ECB. A study by the European Central Bank has in fact indicated that the neutral interest rate of the Eurozone remains in the fork between 1.75% and 2.25%. The neutral interest rate is a rate that is neither expansive nor restrictive. The measures of this rate (defined r*) are generally built as a balance value towards which interest rates tend to gravitate in the medium-long term, as the aggregated imbalances of savings and investment attenuates and the inflationary pressures Or disappointment that may have developed as a consequence of these imbalances dissipate.
