Observing the closure of the various stock exchanges in Europe, a very clear element stands out. The strong difference in performance between the European stock exchanges and Piazza Affari. The main European stock exchanges closed the session almost unchanged.
The major index of the Italian stock exchange, the Ftse Mib (INDEX:FTSEMIB), closed with a gain of 0.7% to 24,802 points, pushed by the banks. And this is because surprising news has had a perverse effect on the stock exchanges but not on Piazza Affari where these stocks took off.
While the Ftse Mib gained 0.7%, the German Dax index closed on the same level as on Friday. The same goes for the Paris and London stock exchanges. The same Euro Stoxx 50 index, the index of the 50 largest stocks in the euro area, closed down 0.3%. But there is a reason for this difference in performance.
A surprising news has had a perverse effect on the stock exchanges but not on Piazza Affari where these stocks took off
It is not so much the difference in yield that is surprising. It is surprising that the European stock exchanges are moved with great caution despite very important and decidedly positive news for the EU economy. In May, the investor confidence index in the euro zone (Sentix) rose to its maximum since August 2018. Surprising news because it clearly exceeds analysts’ expectations. It is the signal that the economic situation in Europe is improving. Yet the stock exchanges of the Old Continent did not react to this news. Why?
The answer comes once again from overseas. At the time of the close of the stock exchanges in Europe, the indices on Wall Street were mixed. The Dow Jones was up and had hit an all-time high. The S & P500 was unchanged. The Nasdaq was losing about 1.2%. And it is at this index that traders have been looking for some time. This is why the stock exchanges in Europe have slowed down.
Returning to Piazza Affari, the reason for the solo rise in the stock market has its own logical explanation. Just look today which were the top three stocks of the top 40 stocks. Unicredit gained 5.4%, BPER Banca 3.8% and Banco BPM 2.6%. Intesa Sanpaolo also rose by 1.1% as did Mediolanum. Interest is also growing on Italian banking stocks, as has been happening for some time in the rest of Europe. And this pushed our price list up into a lonely position.
Deepening
This the multidays analysis and the analysis of international markets by the ProiezionidiBorsa Research Department.
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