MILAN – European stock markets are struggling to take a precise direction after the publication of the negative PMI index on the Eurozone manufacturing sectorexpectations of the economic movement because they were raised by the study of purchasing managers of companies. The data of the day is the fall in Eurozone inflation below 2%, the target of the ECB, as it has not happened since 2021.: consumer prices in September registered +1.8%, from 2.2% previously, with the sharp decline in the energy sector. An indication that it is being read in the operating rooms in support of the fact that the Central Bank may cut rates again in October.
Also because in the meantime, as mentioned, new negatives arrive for the totality of the area with the single currency, with the index at 45 points (50 points is the threshold that separates contraction from economic expansion) and at low levels 2024. The Old Continent is moving at two speeds: the south is holding on, with Spain and Greece in good territory, while it still shrinking Germany. Specifically for Italy, the indicator falls to 48.3 points and such activity is still in contraction. Next on the agenda for investors is the data on inflation in the Eurozone, after yesterday Italy e Germany showed lower than expected price growth.
The markets also record the words of the Jerome Powellwho said yesterday that the next interest rate cut will be by the A deer they could be more than to the 50 point reduction decided in September.
Narrow days in Asia, with Chinese stock markets closed for a holiday, ending the day with the strongest intraday rise since 2008. Tokyo benefiting from the weakening of the yen and recovering part of yesterday’s losses, closing trade at +1.93%.
Adnoc takes over Covestro for 11.7 billion
After months of negotiation, the company
The Abu Dhabi oil company Adnoc will acquire the German chemical producer Covestro: this is the largest operation ever undertaken by a Middle Eastern investor in Europe. The price of the work is 11.7 billion. Adnoc is therefore offering shareholders a price of 62 euros per share.
Covestro CEO Markus Steilemann said: “We are confident that the agreement we reached today with Adnoc is in the best interests of Covestro, our employees, our shareholders and all other stakeholders. Adnoc International’s support gives us an even stronger foundation for sustainable growth. in sectors that are very attractive and we can contribute even more to the green transformation.” Steilemann said: “We see Adnoc International as a strong financial partner, with whom we can promote our successful strategy of ‘Sustainable Future’ in any market situation sustainability is an important pillar of the partnership The acquisition is aimed at securing Adnoc’s place among the top 5 in the chemical industry. According to Sultan Ahmed Al Jaber, head of Adnoc, the operation fits perfectly with Adnoc’s sustainable growth strategy, which aims to be one of the five largest chemical companies in the world.The Emirati company initially offered 55 euros per share, a figure that management and shareholders considered too low the now agreed price of 62 euros is more than 50% higher than the share price before Adnoc’s interest in Covestro emerged.
Eurozone inflation fell to 1.8% in September
In September, according to Eurostat’s ‘flash’ estimate, inflation in the Eurozone fell to 1.8%, compared to 2.2% in August. The highest price increases are recorded in services (4%), followed by food, alcohol and tobacco (2.4%), and industrial goods (0.4%). Energy is still down (-6%, after -3% in August). Among individual countries, values are higher in Belgium (4.5%) and Estonia (3.2%) and lower in Ireland (0.2%) or Lithuania (0.4%). Inflation in Italy is at 0.8%.
Milan cancels the first promotion
Piazza Affari cancels the small increase with which it opened the second weekly session with the Ftse Mib which is now shaking 0.10% to 34,095 points. The performance of Stellantis should be noted on the price list, which is now rising by 0.92% after yesterday’s fall.
Manufacturing PMI, Italy extends recession
In September, the Italian manufacturing sector continues to contract more due to the greater decline in production levels, new orders and factor production investments. The PMI Index (Purchasing Managers Index) for the Italian manufacturing sector fell to 48.3 in September, from 49.4 in August. The contraction, explains the note, has been extended to the sixth consecutive month and has increased due to the sharp decline in three of the five components of the PMI: production, new orders and shopping list. Weak demand is the main reason for this growth. Both total and foreign orders fell in September at higher and faster rates. Weak demand conditions also affected manufacturers’ production plans. Production rates fell at a higher and faster rate than in August.
PMI manufacturing index, lowest of the year in September for the Eurozone
The latest data from the Hcob PMI survey showed that the euro area manufacturing sector slipped at the end of the third quarter into contraction, with the main parameters usually measuring the health of companies, ie production, new orders, employment rate and procurement activity is declining at faster rates. Eurozone manufacturing producers also revised their inventories lower, with expectations for future activity growth falling to a 10-month low. After the previous three months without change, the Hcob PMI of the Eurozone Manufacturing Sector, which measures the health of Eurozone manufacturing companies and is designed by S&P Global, fell to 45 points in September from 45.8 in August, and It pointed to a sharp and accelerated decline in the health of eurozone manufacturing companies. A figure of 44.8 points was expected. In particular, the main index went down to the lowest level of the current year, reaching a value lower than the average contraction in the last 27 months.
Russia, first contraction in manufacturing PMI since April 2022
The S&P Global Russia PMI manufacturing index fell to 49.5 points in September from 52.1 in August, marking the first contraction in manufacturing activity since April 2022. This was driven by a renewed contraction in output, new orders and employment.
Production held for the first time since July 2022, mainly due to weak demand conditions and delays in supplier deliveries, which led to a shortage of entries. However, overseas sales rose at the fastest pace since August 2023. Employment also fell, with layoffs at the fastest pace since October 2022, and job backlogs fell for the third time in four months. Meanwhile, purchasing activity moderated to the slowest pace in two years.
In terms of prices, both input and output costs have accelerated due to higher transport and supply costs. Retail prices rose at the fastest pace in nearly a year as companies passed those costs on to consumers. Finally, business sentiment worsened to its lowest level since February 2023.
Gas returns below $39 per megawatt hour
The price of gas returns below the 39 euro threshold at the opening of the commodity session. In Amsterdam the TTF lost 1.59% to 38.43 euros per megawatt hour.
Gold continues to grow
The price of gold increased slightly in the morning on the commodity markets: the precious metal for immediate delivery (Spot Gold) changed hands at 2,644.14 dollars with a growth of 0.36% while gold for delivery in December (Comex) is trading at 2,664.90 dollars with a year-to-date change of +0.21% compared to yesterday
2024-10-01 09:20:44
#Stock #markets #today #October #Download #cost #lists #search #instructions #Eurozone #inflation #PMI #indices #bad
