End of the Fed effect. All European stock exchanges closed the session below par, including Piazza Affari (-0.8%). On the Ftse Mib, only utilities were saved, in particular Italgas (+1.4%), Terna (+1.3%) and Hera (+1.1%). Among banks, Intesa Sanpaolo held firm, closing up 0.6%.
For the rest, a series of minus signs emerge: the largest is Iveco (-6.4%), followed by Tim (-5.9%), Brunello Cucinelli (-5.2%) and Moncler (-5.2%). But as mentioned Piazza Affari is not the only one in the red. The worst European stock exchanges are the Cac 40 and the Dax, which have lost 1.5%. The Ftse 100 (-1.2%) and the Ibex 35 (-0.2%) also did badly.
European stock markets are still down at 12:00, with the sell-off hitting the automotive and luxury sectors hard. At 12:00, the German Dax is down 0.87%, the French Cac40 is down 0.84%, while the British Ftse100 and the Ftse Mib I both forgive him 0.53%, with the latter settling at 33,865 points. Among the stocks in greatest difficulty stand out Brunello Cucinelli, down 4.22%, Moncler which loses 5.31%, Iveco down 4.84%, Stellantis which drops 2.3% and STMicroelectronics which marks -2.91%.
Mercedes’ warning weighs heavily
The new profit warning launched by Mercedes Benz, the second in less than two months, due to the weakening of the Chinese auto market, the largest in the world. The slowdown in GDP growth in Chinacaused by the contraction in consumption and the ongoing crisis in the real estate sector, has prompted the company to revise downwards its earnings forecasts for 2024, both for the Mercedes-Benz Cars division and for the Mercedes-Benz Group as a whole.
Stock Markets 9am: Fed effect already over, luxury and cars in Milan
The effect Fed it’s already over. Stock markets open lower this morning, with Milan at -0.41%; European stocks also opened lower, such as Frankfurt (-0.56%), London (-0.51%) And Paris (-0.23%).
Auto sector down at Piazza Affari
Few and weak increases this morning at Piazza Affari. Among these is Italgas, with an increase of 0.75% and a value of 5.375 euros per share. Terna recorded an increase of 0.51%, reaching 7.954 euros, followed by Invite which recorded a +0.46% with a value of 10.88 euros.
Also Unipol grew by 0.39%, reaching 10.33 euros per share; also A2A gained 0.34% reaching 2.048 euros, while Snam opened with a +0.33% at 4,498 euros. General saw an increase of 0.31%, with its shares touching 25.96 euros. Banco Bpm and Hera also marked an increase of 0.29%, with respective values of 6.156 and 3.514 euros. Finally, Enel recorded a slight increase of 0.27%, with a value per share of 6.992 euros.
The reductions were more marked: Brunello Cucinelli is the one that is suffering the most significant loss, with a drop of 2.79% and a value of 85.30 euros per share. Also doing badly Stellantis (-2.77% to 13,564 euros) as well as the entire automotive sector after the profit warning by Mercedes (the German company on the Frankfurt stock exchange marks a -7.40%), followed by the other luxury brand Moncler which saw a drop of 2.53% with the stock at 49.34 euros.
Iveco Group opens down 2.28%, with a value of 9.238 euros per share. Also Stmicroelectronics recorded a 1.72% decline, reaching 25.70 euros. Among other declines, Tenaris and Ferrari both lost 1.38% this morning, with their respective values of 13.19 and 421.40 euros. Finally, Campari fell by 0.71%, with the stock settling at 7.59 euros, after the events of these days between the sudden farewell of the CEO and yesterday’s rally.
Anticipation for Lagarde’s speech
Weak start for European stock markets therefore, after yesterday’s positive day following the announcement of the Fed’s rate cut. Yesterday the Nasdaq recorded a +2.51%, supported above all by semiconductors, while Apple gained 3.7%. Asian stock markets were also positive, with Tokyo closing up 1.5%, thanks to the announcement by the Japanese central bank to keep rates unchanged. A decision also taken by the Chinese central bank.
In Japan, Inflation accelerated slightly in August to 2.8% from 2.7% in July. In Britain, retail sales rose 2.5% year-on-year in August, while in Germany producer prices fell 0.8%. Anticipation is growing for a speech by ECB President Christine Lagarde, scheduled for 5 p.m., after the stock markets close.
Spread at 135 points
The spread between BTPs and Bunds opened the day slightly down. In particular, the yield differential between the benchmark Italian 10-year BTP and the German Bund with the same maturity stood at 135 basis points, slightly lower than the 136 points recorded at the close of the previous day. The yield on the benchmark 10-year BTP also recorded a slight decline, positioning itself at 3.54% compared to 3.55% of the previous reference.
