Bags today May 24 | Debt and inflation sink Europe, Milan -1.9%
A heavy start in Piazza Affari, with the Ftse Mib worsening after the first negotiations, in line with the other European lists, and dropped by 1.9%. Investors, worried by the continuation of the negotiations on the American debt and by the above-expected data on British inflation, unload Leonardo (-4.5%), Interpump (-3.2%), Cnh (-2.7%) and Pirelli (-2.6%), with the government having to decide on the use of the Golden power. Iveco (-2.9%) and Diasorin (-2.4%) were also bad, while among the banks the Bper (-2.4%) and Mps (-2.2%) led the reductions. Prysmian holds parity (+0.04%) while only Mediobanca (+2.4%) moves against the trend, rewarded by a plan that beats market expectations in terms of dividends and shareholder remuneration. Here the price list in real time.
Slow start for the spread between Btp and Bund just above 186 basis points, on yesterday's closing levels. The 10-year yield rises to 4.364%. Here the spread in real time.
A decisive red at the opening for the European stock exchanges, which follow the mood of Wall Street on the eve of the day and of Asia, when there are still no openings in sight on the front of the agreement on the increase in the US debt ceiling. There is only a week left until the June 1 deadline, indicated as the date when the United States could default. The stalemate increases nervousness, in the absence of other factors that could favor risk-on: Paris loses 1.04%, Frankfurt 0.94%, Madrid 0.87% and Amsterdam 0.84%. London also fell by 1%, after consumer prices in the core figure rose to a 31-year high. Some ideas could arrive in the evening from the minutes of the last Fomc meeting, while on the European front, waiting for the indications of the German Ifo index.
Currencies and oil
On the currency market, euro/dollar nailed at 1.0774 (from 1.0778). It is also worth 149.4 yen, while the dollar/yen is at 138.64. Oil continues to rise after the API data on inventories: Brent in July up 0.7% to 77.37 dollars, Wti with an equal maturity up 0.9% to 73.57 dollars.