(Il Sole 24 Ore Radiocor) – In the aftermath of one closure in redle European stock exchanges they move higher, supported by the good performance of some quarterly reports but the climate remains cautious, with the increase in cases in China which worries the market for possible new generalized lockdowns. Beijing has announced mass tests on the inhabitants of the capital, with the specter of the lockdown that has already hit Shanghai for a month now that worries investors. On the other hand, investors who appreciate the Chinese central bank’s commitment to support the economy. Concerns remain in the background for the crisis in Ukraine, where the solution to the conflict seems far away, and for the next moves by the Federal Reserve. Technicians in the spotlight, after that Twitter accepted the $ 44 billion offer by Elon Musk.
Central banks remain under special supervision
“The gravity of the situation in China risks slowing growth not only directly given the size of the economy, but also indirectly by intensifying the problems related to the supply chain on many products (already heavily influenced by the war)”, underline the analysts. of Mps Capital Services. Despite this, central banks “continue to receive indications oriented towards a rapid normalization of monetary policy (the last is the ECB which, in the absence of extraordinary short-term events, will probably increase rates already in the first part of the third quarter)”. In addition to the Bank of Japan, the exception remains that of China (PBoC) which reaffirmed its desire to provide greater support to the economy, helping to stabilize the markets.
The accounting season of the big European banks is starting
After the American banks, it is time for the numbers of the big European banks, with the Eurostoxx sector in sharp rise. UBS reported positive numbers with its best first quarter in 15 years. Better than expected also the accounts of the Spanish Santander with the title well bought in Madird. On the other hand, the largest European bank HSBC was weak despite profits falling less than expected by investors, but with the bank announcing that they are less likely to buy backs for 2022 due to economic weakness and inflationary pressures. In the next few days, the accounts of Credit Suisse, Deutsche Bank and Barclays, among others, will arrive.
In Milan, banks in no particular order, highlighting the utilities
Il FTSE MIB oscillates on the threshold of 24 thousand points, in pole position there are Campari, Interpump Group and Telecom, in the aftermath of the Vivendi assembly, during which full support to the management of Telecom Italia and the industrial plan in preparation and defined as “ambitious”. Positive day also for utilities (A2a, Italgas and, outside the main price list, Algowatt). In coda Unicredit e Iveco Groupwaiting for the accounts, while Stmicroelectronics fluctuates around parity on the eve of the first quarter results, which analysts say will be positive. Of note, among the minor titles, is the rally of Beghellistopped in the volatility auction when it gained more than 11%.
The energy stocks that failed the attempt to rebound at the start, in the wake of crude oil prices, which, in turn, changed direction several times during the session after the sharp drops on the eve of the session, are swinging. Looking for ideas Eni, Saipem and Tenaris.
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