(Alliance News) - Piazza Affari is expected to open lower ahead of Italian inflation data, with Jerome Powell's words not supporting sentiment in the markets.

The Federal Reserve chairman said Monday that recent data increase the central bank's confidence that inflation is falling toward its 2 percent target, a trend that signals interest rate cuts on the horizon.

"We didn't gain any additional confidence in the first quarter, but the three readings in the second quarter, including last week's reading, increase that confidence somewhat," Powell said in an interview with David Rubenstein of the Economic Club of Washington DC.

Although the central bank has largely focused on inflation-which has risen in the wake of the pandemic-it is now also closely monitoring its mandate to promote maximum employment, Powell added.

The FTSE Mib is seen down 142.5 points or 0.4 percent after closing 0.6 percent in the red at 34,375.92 on Monday's session.

London's FTSE 100 is expected down 35.3 points or 0.4 percent, Paris' CAC 40 is shown down 23.5 points or 0.3 percent and Frankfurt's DAX 40 is expected down 77.2 points or 0.4 percent.

In Milan last night, the Mid-Cap closed 0.8 percent in the red at 48,530.07, the Small-Cap gave up 0.5 percent to 29,095.03 while the Italy Growth rose 0.1 percent to 8,127.97.

On the Mib, boost on Leonardo, which led the price up 1.3 percent to EUR23.24 per share after two sessions closed in the red.

Saipem, on the other hand, rose 2.1 percent, on its second session in bullish fluctuation with price in the EUR2.40 per share area.

Tenaris - up 1.4 percent - reported the purchase of 3.0 million shares that took place between July 8 and 12. The shares were taken over at an average price of EUR14.2198 for a total value of EUR42.1 million. As a result of these purchases, the company holds 50.4 million or 4.3 percent of the share capital.

Intesa Sanpaolo gave ground at EUR3.60 per share, losing 0.3 percent. Worth mentioning, Barclays raised its target price to EUR4.20 from EUR4.10 previously.

From the same London-based bank, Mediobanca also increased its target price to EUR15.80 from the previous EUR15.20 per share. The stock closed just above par at EUR14.29.

Among the many bearers, Prysmian, on the other hand, gave up 1.9 percent, following a 0.7 percent red on the eve of the day with price correction to EUR61.46.

Red for luxury stocks, with Brunello Cucinelli giving up 4.3% while Moncler left 2.4% on the parterre.

As Francesco Bonazzi writes on his column in Alliance News, "China has been the world's top luxury outlet for years now and today it has frozen financial markets as well. The economy of the country led by Xi jin Ping grew 4.7 percent in the second quarter, up from 5.3 percent in the previous quarter and 5.1 percent expected. On a cyclical basis, as the National Bureau of Statistics reported, GDP growth was 0.7 percent, compared with 1.6 percent in the first quarter and 1.1 percent estimated by economists and think tanks.

"The news of the slowdown comes on the first day of the Chinese Communist Party Plenum, which is called to give a new direction to economic policy and decide on possible forms of support for consumption. Two figures are enough to give an idea of the situation: in June, China's industrial production rose 5.3 percent, while retail sales grew only 2 percent. And in the real estate market, disrupted by the Evergrande crack, new home prices are down 4.5 percent year-on-year."

On the Mid-Cap, Danieli & C rose 2.7 percent, following up Friday's 1.3 percent rise. The stock had previously come from a four-session bearish mini-trend.

PharmaNutra gained 0.6 percent, following the same red percentage on eve.

ENAV Group -- in the red by 1.0 percent -- on Monday announced that it had signed a contract with Teledife -- that is, the "Telematics and Advanced Technologies Directorate of the Ministry of Defense" -- for the supply, installation and commissioning of a new radar for air traffic surveillance carried out by the Air Force at the Sigonella air base.

Specifically, the two-year contract calls for the supply of the new radar and equipment for the room that will house the air traffic controllers including the installation and commissioning activities of the new equipment.

Maire Tecnimont - up 0.2 percent - reported Monday that Tecnimont, through its Indian subsidiary Tecnimont Private Limited, in collaboration with NextChem, has been awarded by Sembcorp Green Hydrogen India Pv. an engineering study for a green ammonia plant in India.

Marked selling also on Salvatore Ferragamo, which gave up 6.8 percent after a 3.6 percent rise Friday night.

On the Small-Cap, strength on Fidia, which led the price up 4.5% to EUR0.6920 per share, following Friday's gain of 0.3%.

IRCE rose 3.9% to EUR2.15 per share. There is a high trading volume of about 33,500 pieces on the stock compared to the three-month daily average of about 7,100.

At the rear is Met.Extra, which left 4.8 percent on the parterre repricing at EUR2.36. It should be noted that the stock, since the beginning of 2024, is marking an asset of more than 28 percent.

Among PMIs, Fope closed up 2.9%, on its fifth bullish candle session.

Casta Diva -- up 0.8 percent -- reported first-half production value up 9.0 percent to EUR57.2 million from EUR52.7 million. The consolidated backlog value as of June 30 stood at EUR34.2 million.

CrowdFundMe, on the other hand, gave up 7.1 percent, breaking an eight-session bullish trend.

Elsa Solutions, on the other hand, retreated 3.5 percent to EUR3.88 per share, subject to profit taking after four sessions with a bullish candle.

In Asia, the Nikkei is up 0.2 percent to 41,269.30, the Shanghai Composite gives up 0.1 percent to 2,972.17 and the Hang Seng is down 1.4 percent to 17,769.17.

In New York at Monday's close, the Dow gained 0.5 percent to 40,211.72, the Nasdaq rose 0.4 percent to 18,472.57 while the S&P 500 closed up 0.3 percent to 5,631.22.

Among currencies, the euro changed hands at USD1.0885 from USD1.0912 on Monday in European equities closing while the pound was worth USD1.2957 against USD1.2986 on Monday evening.

Among commodities, Brent crude is trading at USD84.46 per barrel from USD85.09 per barrel at Monday's close. Gold, on the other hand, trades at USD2,430.98 an ounce from USD2,433.31 an ounce on Monday evening.

Tuesday's macroeconomic calendar includes, at 1000 CEST, the Italian inflation figure while, at 1100 CEST, it will be the turn of the trade balance of both Italy and the Eurozone.

Also at 1100 CEST, the ZEW business confidence sentiment data for Germany and the Eurozone will be available.

In the afternoon, from the U.S., at 1430 CEST, it will be the turn of retail sales data while, at 2230 CEST, the weekly oil stocks figure will be released.

On the corporate calendar in Piazza Affari, the half-year results of Saccheria F.lli Franceschetti are scheduled.

By Giuseppe Fabio Ciccomascolo, Alliance News senior reporter

Comments and questions to redazione@alliancenews.com

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