(Alliance News) – On Thursday, major European stock markets are expected to be in negative territory after two global central banks announced their monetary policy decisions.
Thus, IG futures give the FTSE Mib in the red by 1.3 percent or down 442.5 points, after closing in the green by 0.5 percent at 34,400.99.
Paris’ CAC 40 is expected down 1.5 percent or down 109.4 points, Frankfurt’s DAX 40 is expected down 1.2 percent or down 237.1 points, while London’s FTSE 100 is expected down 1.1 percent or down 88.3 points.
Among other listings in Milan on Wednesday, the Mid-Cap rose 0.3% to 47,491.48, the Small-Cap closed flat at 28,282.74, and Italy Growth gained 0.3% to 7,841.97.
Looking at central banks, the Federal Reserve decided to cut interest rates further by 25 basis points Wednesday, acknowledging that the economic outlook is uncertain and that inflation, while moving toward the 2 percent target, “remains somewhat elevated.”
The U.S. central bank’s decision-making committee is seeking to achieve maximum employment and inflation at 2 percent over the long run and believes the risks to achieving its employment and inflation targets are roughly balanced.
In contrast, the Bank of Japan left borrowing costs unchanged on Thursday-although some analysts expect a rate hike in January-extending the yen’s retreat after the U.S. Federal Reserve planned fewer rate cuts.
The BoJ said at the end of a two-day policy meeting that it will keep the overnight rate at 0.25 percent, pushing the yen to more than JPY 155 per dollar, up from JPY 153.66 on Wednesday.
On the Mib yesterday, STMicroelectronics closed 2.5% bullish at EUR25.11 per share after a 0.4% gain on the eve of the meeting.
UniCredit ended the run in the green by 1.3%. The bank announced Wednesday that it had subscribed for new financial instruments related to Commerzbank shares, in line with its previously stated goal of reaching a stake of up to 29.9%.
UniCredit’s total position now stands at about 28 percent, including 9.5 percent through direct participation and about 18.5 percent through derivative instruments.
Strength also on BPER Banca, which rose 1.4 percent to EUR6.21 per share, after a negative balance of 2.7 percent on the eve of the meeting. The bank announced, as part of the strengthening of its partnership with BlackRock announced last July, that it will expand its offering with the launch of a new Global Flexible Multi-Asset sub-fund, managed by the asset manager’s Multi-Asset Strategies & Solutions Diversified Strategies team.
Iveco Bus, the city, intercity and touring bus brand of Iveco Group, has signed a five-year framework agreement with the central purchasing powerhouse BusGruppe, the consortium that includes Verkehrsbetriebe Bachstein, CeBus, KVG Stade, Omnibusbetrieb von Ahrenschildt, Pülm Reisen and Reisebüro Schmidt, to supply up to 580 city buses, 250 of them fully electric. The total value of the deal is estimated at up to EUR235 million. The stock closed up 0.9 percent.
During the roundtable talks between the Italian government and Stellantis, as reported Tuesday by ANSA, Jean-Philippe Imparato, the group’s head of Europe, reiterated that the automaker’s Italy plan calls for EUR2.00 billion in investments in Italian plants and EUR6.00 billion in purchases from Italian suppliers by 2025. The automaker’s stock closed down 0.1 percent.
On the bearish side–in the minority on the list–Moncler closed down 1.6 percent after falling 0.1 percent on the eve.
On the Mid-Cap, strength on MAIRE, which finished up 3.1%. The company, along with newcleo Holding on Wednesday, signed an agreement to form a joint venture between MAIRE’s subsidiary NextChem and newcleo to develop commercial-scale next-generation power plants based on newcleo’s 200 MWe advanced modular reactor.
Carel Industries did well, posting a plus 1.7 percent, turning upward after two bearish sessions with an aggregate negative of about 7.5 percent.
In contrast, d’Amico closed up 1.9%, breaking a four-session bearish mini-trend. It should be mentioned that the company continues with its buyback plan where it most recently announced on Monday that it had purchased, in the period between December 10 and 13, treasury shares for a total consideration of about EUR250,000.
Credito Emiliano — in the green by 1.1 percent — on Wednesday reported that the European Central Bank informed that the banking group had largely exceeded its capital requirements. The main parameter used to measure a bank’s soundness is the “Pillar 2 Requirement,” which for Credem is 1 percent, is “the best in Italy and in Europe,” writes the note released.
Sesa, on the other hand, gave up 4.6 percent, in its seventh bearish session, after numbers released earlier in the day showing a slight decline in profit and revenues.
On the Small-Cap, strength on Conafi, which rose 6.3 percent. The company–which has been missing the ex-dividend since 2022–moved on the heels of the eve’s 5.8 percent profit balance.
Significant buying on Giglio Group, up 6.7 percent and priced at EUR0.4120 per share. It is worth mentioning that on Wednesday the company informed that it has become a member of Confagricoltura, the oldest organization representing Italian agricultural enterprises, and Consorzio Agrario Provinciale di Ancona. Together they have started ConfagriMarket, an innovative marketplace dedicated to products and equipment for the agricultural sector.
doValue — bullish by 5.9 percent — on Tuesday reported that all 373,020 unexercised option rights were sold, allowing about 3.25 million new shares to be subscribed. During the offering period, some 166.9 million new shares, or 98.1 percent of the total, were subscribed.
Bialetti-among the many bearish performers, on the other hand-dropped 7.0 percent, following up on the previous session’s 6.2 percent loss.
Among the SMEs, strength on ISSCC Fintech, which rose more than 12 percent, continuing its bullish trend. The company announced Monday that it had finalized the purchase of a portfolio of unsecured individual and corporate NPL loans, traceable to the secondary and financial markets, with a face value of about EUR132 million. The stock consists of 6,020 positions, arising mainly from bank/financial origination contracts.
Cofle, on the other hand, rallied 8.1 percent after a 1.5 percent red in the previous session and with new price at EUR4.28.
On a negative note, among the list’s many bearish performers, Ecosuntek closed down 1.2%, finishing the fifth session in a row with a bearish candle.
Compangia of the Caribbean, on the other hand, gave up 4.9 percent to EUR0.5420 while, earlier in the day, it updated a new 52-week low at EUR0.53 per share.
In New York overnight Europe, the Dow closed down 2.6 percent, while the Nasdaq fell 3.6 percent and the S&P 500 fell 3.0 percent.
Among Asian exchanges, the Hang Seng is picking up 0.3 percent, the Shanghai Composite was down 0.4 percent, and the Nikkei left 0.7 percent on the parterre.
Among currencies, the euro changed hands at USD1.0399 against USD1.0470 on Thursday in closing European equities. The pound is worth USD1.2605 from USD1.2692 on Thursday evening.
Among commodities, Brent is worth USD73.01 per barrel from USD73.98 per barrel at Thursday’s close. Gold trades at USD2,628.81 an ounce from USD2,633.80 an ounce Thursday evening.
Thursday’s macroeconomic calendar includes, at 1000 CET, from the Eurozone, the current account data, while at 1300 CET it will be time for the announcement of the Bank of England’s interest rate decision.
From the US, at 1430 CET, focus on GDP and jobless claims. Closing the day, at 2230 CET, is the release of the Fed’s weekly balance sheet.
On the corporate calendar in Piazza Affari, however, no particular event is scheduled.
By Claudia Cavaliere, Alliance News reporter
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