Mib over 27,000 points; for Campari new high

(Alliance News) - On Tuesday, European stock markets trended bullish -- with Milan above 27,000 points -- as trading rooms carefully assessed what could be the moves of major central banks.

The European Central Bank has indicated its intention to raise interest rates further to address inflation while the Federal Reserve is expected to pause its tightening cycle this month in response to unexpectedly weak services data.

On Tuesday, in the CME Group platform FedWatch Tool, using futures also based on the actual federal funds rate, or EFFR, the rate confirmation at the June 14 meeting has a 78 percent probability for confirmation in the 500/525 bps range. In contrast, the 25 bps rise in the 525/550 bps target is priced at 22%.

Thus, the FTSE Mib closed in the green by 0.7 percent at 27,036.67.

Among the smaller listings, the Mid-Cap up 0.3 percent to 42,669.07, the Small-Cap gives up 0.6 percent to 27,208.72, and Italy Growth is in the green 0.4 percent to 9,178.08.

In Europe, Paris' CAC 40 closed in the green by 0.2 percent as did Frankfurt's DAX, while London's FTSE 100 picked up 0.4 percent.

On the main index in Piazza Affari, Banca Monte dei Paschi di Siena closed in the lead, which closed in the green by 5.0 percent, confirming the trend already seen at the close of trading on Monday despite the difficulties in the banking sector especially after the words of European Central Bank President Christine Lagarde, who said the bank is considering further interest rate hikes to combat inflation.

FinecoBank, on the other hand, pushed ahead by 2.8 percent, with new price at EUR2.75 after declining 2.1 percent on the eve of the meeting.

Recordati, on the other hand, took home 2.6 percent, closing for the fourth session in a row in the green.

Campari, on the other hand, brings home 2.1 percent to EUR12.70 after touching a new 52-week high at EUR12.72. The company--which is continuing its buyback program--reported Monday that it had bought back its own ordinary shares between May 29 and 31 for a total value of EUR2.5 million.

Still hurting is Pirelli, down 0.8 percent after 0.5 percent on the eve. The top management of Camfin and Pirelli are scheduled to be heard at Palazzo Chigi as part of the procedure for analyzing the possible use of Golden Power, through which the government, even without having a single share in hand, can block corporate transactions that it deems harmful to Italy's strategic interests. In the case at hand, for example, this could result in the freezing of voting rights in the Chinese shareholder's meeting in favor of the Tronchetti Provera family holding company.

Stellantis, on the other hand, gave up 0.5 percent, interrupting a three-session long positive mini-trend.

On the Mid-Cap, Safilo advanced 5.3 percent in its third bullish session.

Good buys also on Rai Way, which raised the price bar by 3.8 percent. The company - whose largest shareholder is the Italian government, which holds 65 percent - reverses course after two bearish sessions.

Webuild -- in the money with 1.4 percent -- announced Tuesday that it had been awarded a new EUR1.32 billion contract with a total value, on the Palermo-Catania high-capacity rail line in Sicily.

ENAV, on the other hand, closed down 0.2 percent after announcing Tuesday that it had signed a contract with Luchtverkeersleiding Nederland, the Dutch air traffic control service provider, through its subsidiary IDS AirNav -- a leading international company in aviation information management systems. The contract is worth EUR4.1 million and will last for five years.

On the SmallCap, Il Sole 24 Ore closed the session up 3.2 percent to EUR0.5160, on the heels of the eve's green close of plus 1.2 percent.

Good purchases were also made on Neodecortech, which left 0.7% on the parterre after an almost complete session in the black.

Aeroporto Guglielmo Marconi of Bologna closed down 1.0 percent. The company reported Monday that it had returned to pre-pandemic passenger levels. May's monthly figure of 923,263 passengers shows a 12 percent increase over 2019 and a 16 percent increase over 2022.

At the back of the pack is Risanamento, which gives up 4.2 percent on the heels of eve's 3.0 percent red.

Among SMEs, good buys on Innovatec, which closed up 6.7% in appreciation. The company on Tuesday disclosed the launch of an important strategic partnership with BF - to develop and offer integrated solutions for energy efficiency systems for the agritech market.

Alfonsino also advanced well, closing up 5.8 percent, after Monday night's 1.0 percent loss.

Redelfi, on the other hand, gave up 5.8 percent, placing it at the back of the pack, the subject of profit taking after three sessions among the bullish.

In New York on European night, the Dow, Nasdaq and S&P 500.

Among currencies, the euro changes hands at USD1.0693 versus USD1.0719 in Monday's European equity close. In contrast, the pound is worth USD1.2419 from USD1.2419 on Monday evening.

Among commodities, Brent crude is worth USD76.18 per barrel versus USD77.13 per barrel on Monday evening. Gold, meanwhile, trades at USD1,963.81 an ounce from USD1,975.25 an ounce on Monday evening.

On Wednesday's macroeconomic calendar, at 0800 CEST Germany's industrial production is expected while at 1000 CEST it will be the turn of Italian retail sales.

At 1300 CEST, from the U.S., room for the U.S. mortgage and mortgage rates report, followed at 1430 CEST by the trade balance. At 1630 CEST, focus on the Cushing inventory report and EIA stocks.

Among the companies in the Square of Business, Relatech's quarterly accounts are due.

By Maurizio Carta, Alliance News reporter

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