The specter of nuclear disaster has alarmed the markets after the attack on the Zaporizhzhia plant (Ukraine) by the Russians. A real point of no return in a war that has been going on for 9 days now, which has weighed mainly on European stock exchanges, leaving Wall Street relatively safe, where the drops are close to one percentage point. In the Old Continent the thud was strong, with almost 400 billion in capitalization (393.71 to be exact) burned in a single day. In his small Piazza Affari he sent 36.14 up to 83.96 billion since last February 24, the day of the first Russian attack on Ukraine. A thrilling scenario, with Milan down by 6.24%, Paris by 4.97%, London by 3.59%, Frankfurt by 4.39% and Madrid by 3.68% at the end, but still far from the levels Brexit on June 24, 2016, when the decline was double.
The prices of raw materials rose, starting with gas, which reached new records at 204.15 euros per MWh, with an increase of 26.94%, even reaching 29.5% at 208. euro, despite the reassurances of Gazprom that it announced the regular shipment of methane to Europe via Ukraine, with flows reaching 109.5 million cubic meters. But crude oil also ran, with the barrel above the $ 110 threshold for both WTI (+ 3.17% to $ 11.14) and Brent (+ 2.96% to $ 113.71) and aluminum (+ 4.13% to 3,716.5 dollars a ton), of which Russia is a major exporter. But the tension has grown, as has been happening for days, also on the agricultural front. Wheat hit the record price of 400 euros per tonne on the Paris Stock Exchange, gaining 38% in one week, while in Chicago it gained 6.52% at $ 1,225.25 per 5,000 bushels (bushels), while corn it rose to 773 dollars per 5mi bush. Strong tension also on the monetary front, with the euro falling below the threshold of 1.1 dollars, leaving 1.3% on the field at 1.092 dollars. The pound sterling also fell (-0.89% to $ 1.322), while the collapse of the ruble continued (-11.86% to $ 124.23), the only spy to measure the state of the war economy. Russia. The Moscow Stock Exchange has in fact continued to be closed since last February 25 and the securities listed in London are at a standstill after reaching values close to zero. On the other hand, the possibility of insolvency on Moscow government bonds is increasing.
Credit-default swaps (CDS) on Russian five-year debt have in fact soared to $ 1,584, a value that implies an implied probability of default of 67%. Flare-up also due to the risk of a collapse in the private sector: Sberbank, one of the main banks hit by the sanctions, this morning saw CDS contracts, which insure against insolvency, fly to almost $ 2,400 from about $ 750 at the beginning of the month. As for shares, sales were concentrated on the financial sector, with Unicredit (-14.6%), Bper (-10.58%) and Intesa (-9.01%) frozen even downwards in Piazza Affari, as not had been seen for some time. Especially for Piazza Gae Aulenti, the exposure in Russia weighed, also shared by Commerzbank (-10.27%) and SocGen (-10.03%). The auto sector is under pressure with Stellantis (-7.61%) and the luxury brands from Volvo (-7.63%) to BMW (-5.69%) and Mercedes (-3.67%), while Renault (- 4.42%). owner of the first local producer Avtovaz, has suffered from the strong exposure in the country. The farewell to Russia finally drowned the oil sector, in contrast with the trend in crude oil. In a bloodless Piazza Affari Eni sold 7.3%. In Paris it was TotalEnergies (-3.63%), while in London Shell suffered above all (-4.65%).
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