With negative economic data, downgrade risks and a government crisis in fact, the stock market would expect a negative trend. And instead Piazza Affari amazes and confuses with a surprise closure. Here is the analysis by the ProiezionidiBorsa Study Office on what happened today in the Milanese list.
Still bad news for our economy
The stock exchanges regain some courage and try to get out of the quagmire of the last few days. A little surprisingly, Piazza Affari marks the most consistent, albeit very limited, rise.
The Ftse Mib index (INDEX:FTSEMIB), made a gain of 0.4% and closed the session at 22,743 points. More or less on the levels of the last few days.
The fact that the Milan Stock Exchange fared better than the other European squares is encouraging on the one hand and a little surprising on the other. In fact, between yesterday and today, there was no shortage of negative news.
From the negative economic data, to the warnings of the rating agencies on the sustainability of our debt, to the tangled political situation. Today, for example, JP Morgan published a report in which it cuts to zero the growth estimates of the Italian economy for the first quarter of the year.
Also JP Morgan has revised down the growth estimates for the whole of 2021 to 3.5%. The correction is due to the prolongation of the restrictive measures against Covid, which will penalize our economy.
Piazza Affari amazes and confuses with a surprise closure
Today, after a slow start, and an uncertain trend throughout the morning, around 13:30, a wave of optimism has arrived that has pushed the Milan Stock Exchange up.
Operators are probably betting on a quick solution to the government crisis, which is now overt though unofficial. This is also demonstrated by the very slight decline in the spread, the rate differential, which today fell by one and a half percentage points.
However, the optimism fades a bit, observing the trend of bank stocks. Intesa lost 0.5%, Mediobanca 0.6%, Unicredit 0.9%, Banco BPM 1.1% and Bper Banca 1.2%.
The grueling performance of bank stocks is not an encouraging sign. It means that investors are not confident in buying the shares of lenders, despite the prices being at an all-time low. They evidently fear problems for the Italian financial system.
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”)
