The stock markets reacted decisively to yesterday’s crash. Now the question is whether today’s can only be considered a rebound or the beginning of a new rise in prices. In other words, was yesterday’s a bad parenthesis or the beginning of a downward phase of the stock exchanges? Today Piazza Affari recovered part of yesterday’s losses. Thanks to a shower of purchases, today the stock market goes up, a sector explodes but Piazza Affari risks a crash. Let’s see why.
Let’s start with the result of the stock markets, which for today’s session is not irrelevant, especially for the Milan Stock Exchange. The German stock exchange gained 1.7%, the English one 1.3%, the French one over 2%. Piazza Affari ended the session gaining 1.6%, therefore in line with what was done by the other lists of the Old Continent. The Ftse Mib (INDEX:FTSEMIB) closed at 25,051 points, above the threshold of 25,000 points, a significant detail.
On the Stock Exchange, a sector explodes but Piazza Affari risks a thud
The close above 25,000 points is a good sign for our stock market. As we remembered in this article: “Piazza Affari on the abyss will be saved only with the recovery of this sector“, Closing above 25,000 points would have been important. Furthermore, in the same article, we remembered how the success or failure of our stock market was linked to the performance of the banking sector.
Banks exploded to the upside today, notably a stock. Banco BPM was the best stock in the basket of the top 40, with an increase of as much as 5.8%. Unicredit gained 3.2%, Mediobanca 2.7%, BPER Banca 2.2%, Intesa Sanpaolo 2.1%.
But the causes that led to yesterday’s collapse were not resolved overnight. The risk remains that the Delta variant of Covid will slow down the economic recovery. Furthermore, interest rates that are still low for a long time will squeeze banks’ profit margins. Beware of the illusion that everything has passed, that Thursday was a strong summer storm with rain and hail. If it was a thunderstorm we’ll find out next week. The fact remains that for many sessions our stock market has shown a certain weakness.
Deepening
This the multidays analysis and the analysis of international markets by the ProiezionidiBorsa Research Department
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(We remind you to carefully read the warnings regarding this article, which can be consulted who”)
