MILAN – With the exception of London, the European stock markets developed positively in the middle of the session. The focus of the market is the publication of the minutes of the last meeting fed, from which investors will try to glean clues about the timing of the Federal Reserve’s first interest rate cut. You also have to wait for the billing in the evening Nvidiawhich lost 5.8% on the eve of yesterday’s publication of the quarterly report Wall Street.
In Asia, Chinese stock markets saw great momentum after Beijing decided to cut 5-year interest rates yesterday to support the property market. Hong Kong rose 2.2% after posting gains of more than four percentage points, while Shanghai rose 1.4% and Shenzhen rose 1.6%. However, other Asian and Pacific bourses were weak Tokyo which closed with a loss of 0.26%.
Edenred: Stock market collapse in Paris after investigations in Italy
The share price of Edenred, the services company that markets Ticket Restaurant, fell more than 9% on the Paris Stock Exchange after it was announced that an investigation had been opened against the group’s Italian branch. The Rome Public Prosecutor’s Office has entered the top management of the company Edenred Italia in the suspect register and the police have seized 20 million euros; The offenses were controversial: serious fraud, bid-rigging and administrative offenses.
US: Mortgage rates return to 7%, highest since early December
The average contract interest rate for 30-year fixed-rate mortgages in the United States rose 19 basis points to 7.06% last week, the highest since early December, tracking rising Treasury yields. As a result, home loan applications fell by 10.6%, the sharpest decline recorded so far this year.
Milan: Confirmation of increase mid-session
The Milan Stock Exchange confirmed its partial mid-session rise, awaiting Fed minutes and US chip giant Nvidia’s earnings after Wall Street closed.
Positive EU stock markets except London
European stock markets remain positive, with the exception of London, which continues to deteriorate, losing 0.81% to 7,656.78 points. Frankfurt rose by 0.38%, Paris by 0.28%, Madrid by 0.51%. Milan is the best value with +0.80%.
Fincantieri, joint venture with Edge for military ships in the Emirates
Edge, one of the world’s leading advanced technology and defense groups, and Fincantieri have signed an agreement to establish a joint venture, the main purpose of which is the production of a wide range of military vessels and a production chain based in the United Arab Emirates. United with an estimated value of 30 billion euros. The signed term sheet stipulates that Edge will hold a 51% stake, while management will be taken over by Fincantieri; It will be based in Abu Dhabi and have first refusal rights for non-NATO orders, benefiting from the attractiveness of the Emirates’ G2G agreements and export credit financing.
HSBC: Profits rise 78% but disappointing
The HSBC banking group reported a 78% increase in pre-tax profits in 2023, reaching a record $30.3 billion compared to the previous year. However, the figure disappointed analysts’ average expectations of $34.06 billion, weighed down by devaluation costs related to the lender’s stake in China’s Bank of Communications. The shares lost 7% on the London Stock Exchange.
Hong Kong ends on a positive note
The Hong Kong stock market continues its rally after the Central Bank of China (PBOC) recently cut the 5-year key interest rate (LPR), the benchmark for real estate mortgages, by 25 basis points to 3.95% Efforts to revive the economy: The slope -Seng index rises by 1.57% to 16,503.10 points.
MPS in the spotlight in Piazza Affari, the Ministry of Finance plans to sell another stake
Monte dei Paschi highlighted in Piazza Affari: On a positive day for the banking sector, MPS continues to stand out due to the rumors that appear in the press that bring closer the sale of another holding by the Ministry of Finance, which recently fell to 39% of capital. Further accelerated bookbuilding is being examined, the sale of the securities package on the market for a further 8-10%. After the blocking period that prevented the MEF from further sales expires, the horizon would be the month of April. Citi analysts, who have a price target of 4 euros on Siena shares, note the rumors and point out that the bank, under the leadership of Luigi Lovaglio, has seen a sharp increase in profitability in recent quarters and that a further sale of shares on the stock exchange is planned to be part of the public shareholder, it would be a step towards the normalization process of the institute. “We see positive momentum for stocks,” they say. What remains in the background is the role that Monte can play in banking risk.
European stock markets open higher
Rising open for Piazza Affari with the Ftse Mib up 0.26% in the first few minutes of trading. The Dax in Frankfurt also did well with an increase of 0.10% and the Cac40 in Paris gained 0.18%. In London, the FTSE 100 rose 0.37%.
Gas, price falling slightly
Slightly bearish start to the day for March TTF gas futures traded on the European reference hub Amsterdam, with a loss of 0.281% to 24.10 euros per megawatt hour. April futures lost 0.107% to 24.26 euros per megawatt hour and May futures fell 0.053% to 24.46 euros per megawatt hour. Yesterday the gas price at the end of the meeting was 23.63 euros per megawatt hour.
The spreads decrease slightly at the beginning
The spread between 10-year BTPs and Bunds fell ever so slightly at the start of the day: on electronic markets the difference was 147 basis points compared to 148 at yesterday’s close.
The Treasury product yield is 3.86%.
