Tesla multiplies profits and cheers up Wall Street after Netflix crash – In Milan, highlights for Banco Bpm, Leonardo (merger with Fincantieri?), Generali, Tim and Atlantia
Sanctions from Europe, missiles from Russia. Not a single sign of a decline in international tensions is on the horizon. The Beige Book also provides a chiaroscuro picture of the outlook for the US economy. But Wall Street is busy on other fronts, rejecting and promoting the old heroes.
Yesterday was the day of reckoning Netflix, precipitated by 37%, with a loss of more than 54 billion. Major shareholders, starting with intruder Bill Ackman, have spread avalanches of titles from the streaming company on the list, also causing sharp drop on Nasdaq (-1.22%). It could be the sign of a twistdestined to attack the entire Fang sector (including Facebook and Amazon itself) or the start of a new war for control of show business.
To restore the good mood, with the bag closed, Elon Musk thought again. Tesla announced incredible results: profit of $3.3 billion in the first quarter, or seven times last year’s profit. And the news that the company will sell 1.5 million cars this year, 60% more. The Stock Exchange granted the title with a 5% increase. Musk, in short, has added another $23 billion to his fortune, more than half of what he has offered so far via Twitter. Two flashes, Netflix and Testa, which move uncertain markets, more than ever dependent on geopolitics.
China is on its fifth day of decline
The Nikkei of Tokyo, up 1% as the day’s trading nears the end, is in its third straight session with the plus sign. However, the yen is weakening again, the cross against the dollar up 0.4% to 128.3. the kospi of Seoul (+0.4%) and the BSE Sensex of mumbai (+0.7%).
For the CSI 300 index of Shanghai AND Shenzhen, -1.3% this morning leads to the fifth session in five days. Hang Seng also refused Hong Kong, -1.7%. Hang Seng Tech, -3%, touches last month’s lows.
President Xi spoke yesterday but did not mention measures to stimulate an economy that is at risk of not meeting the growth targets set by the authorities. UBS and Nomura lowered their 2022 GDP forecast below the plan’s targets.
U.S. futures rally, slow down T bond run
This morning, Wall Street futures were up half a point. Yesterday, the Dow Jones closed up 0.7%, the S&P down.
The Petroleum WTI rose 1% to $103 a barrel. Germany will stop importing oil from Russia by the end of the year, German Foreign Minister Annalena Baerbock said last night after a meeting with her Baltic counterparts.
The market climate government bonds remains very tense, although yields have returned slightly from their record earlier in the week. Ten-year Treasury Note at 2.87% from 2.93%. Ten-year BTP at 2.50% from 2.60%, maximum since March 2020, German Bund to 0.85% from 0.91%, the highest since 2015.
On the agenda tomorrow in Washington a speech by Christine Lagarde in the context of the spring meetings of the Monetary Fund, in which Fed Chairman Jerome Powell will speak, among others.
The Bundesbank: Enough of ECB Purchases, Not “Rush Increases”
“Economic data suggest that the European Central Bank may end its bond-buying program soon.” Joachim Nagel, President of central bankrelaunches the theme of stop the bond purchase program by the European Central Bank. The German banker expects me first rate increases in the Eurozone from the third quarter, although, he admits, before following the Fed’s example, the Eurozone will have to wait for the next data from the economy, which is slowing down in a worrying way. The June appointment will be decisive, when the new macro estimates will arrive.
Bund fees are up for auction. A new 15-year-old BTP is in sight
However, it is starting to make its way among investors. I hope inflation is approaching peak. And this is how the run on government bond yields falls, albeit only partially. And the euro rebounds against the dollar to 1.086.
The 10-year BTP closes at +2.51% (from +2.55% yesterday) and the same-duration Bund at +0.86% (from +0.91%) for a spread slightly higher than 165 points base (+0.75%). Germany has placed €859 million in Bund 2046, with rates jumping to 0.95% from 0.39% of the previous placement.
UniCredit writes that Italy could launch a new 15-year BTP these days, given the absence of regular weekday auctions.
Milan + 1.03%. Quarterly reports push price lists
Final growth for Eurozone listings. The EuroStoxx 50 index, dragged by blue chip accounts, rose 1.6%. affari square it approaches 25 thousand again and closes up 1.03%, at 24,878 basis points.
he shines Frankfurt (+1.47%). Producer prices in Germany rose 30.9% year-on-year in March, suffering the effects of the war in Ukraine for the first time, according to data from the Federal Statistical Office.
Fly Danone, chips go from Asml to Stm
toned Paris (+1.38%), boosted by the rally of Yogurt+5.47%, thanks to a higher-than-expected increase in the quarter, but also following rumors in Letter A, a specialist newsletter, about alleged advances by Lactalis to take on more of the group’s businesses.
He runs amsterdam+ 1.26%, where it stands out asml (+5.31%), which drags the entire chip sector with a better-than-expected quarterly report and positive forecasts on demand. JP Morgan analysts confirm their positive recommendation on the stock with an unchanged price target of 780 euros.
He runs in Milan stm (+4%): the company will approve the quarterly report on the 27th.
Credit Suisse misses blow, Rio Tinto slows down
FOR zurich (+0.35%) weighs the decline in Swiss credit (-1.48%), bucking the trend of a well-bought European banking sector: the Swiss group forecasts a loss in the first quarter due to increased provisions for legal expenses, the slowdown in commercial activity and the impact of the war in Ukraine.
FOR London (+0.38%) errors Rio Tintoheld back by declining Chinese imports. Madrid + 0.89%.
The fever returns at Banco Bpm
Day of raises for banks in Piazza Affari under pressure from the bond market. Leading the race is once again Bpm Bank (+4.5%), at the center of the sector’s maneuvers. Attention is linked to new moves by Crédit Agricole, which has presented a non-binding offer to purchase the institution’s insurance joint ventures, currently in force with Cattolica through Vera Assicurazioni and Covea through Bipiemme Vita. Axa also, reports Bloomberg, has expressed interest in buying the Bank’s bancassurance business, valued at around 1.5 billion euros.
In the spotlight Leonardo, a new team for Fincantieri
To report Leonardo (+1.7%), promoted to overweight by Morgan Stanley. The integration project between Leonardo and Fincantieri seems closer. Yesterday, CDP presented the lists for the renewal of Fincantieri’s top management. At the end of Bono’s long season, the new CEO will be Pierroberto Folgiero, while General Claudio Graziano will be the president.
The Cdp also confirmed Roberto Tomasi as CEO of Autostrade, while Elisabetta Oliveri assumes the presidency. Finally, he appointed Giuseppe Marino and Lorenza Franca Franzino as CEO and President of Ansaldo Energia.
Autogrill empties, Sos for Pininfarina
Telecom Italywrites Reuters, is negotiating with a group of banks a credit line worth about 3 billion that can be partially guaranteed by a public guarantee issued by Sace.
Kpmg sos in pininfarina: from the directors’ report, “significant uncertainties about the continuity of the operation” emerge.