(Il Sole 24 Ore Radiocor) For European stock exchanges, July is starting at a slow pace and the semester has just ended. Piazza Affari is not surprised by the June inflation figure, which has risen to its highest level since 1986, while the rest of the Old Continent is not paying the price for the additional acceleration in prices. As a result, I am heightening fears of a possible recession and sharper monetary tightening than anticipated by the European Central Bank. Meanwhile, in the wake of a nightmare session in which the nightmare crushed the listings with Milan closing at a 19-month low, the FTSE MIB index, as well as the CAC 40 in Paris, the DAX 40 in Frankfurt, the IBEX 35 in Madrid, and the FT-SE 100 in London, and AEX in Amsterdam. That must be said PMI boost did not reduce volatility In European markets, which are moving without a specific direction awaiting key inflation data.
A nervousness comes after an early part of the year for investors to forget, with Milan losing more than 22% in the half year, while Wall Street posted its worst first half since 1970 on the S&P 500 Index. Meanwhile, on the macroeconomic front, there is conflicting data on record. : Manufacturing sentiment index, measured on a quarterly basis by the Bank of Japan (Tankan Index), shows a sharp slowdown at the end of June; Conversely, industrial production in China rebounded, beating expectations in the same month.
Inflation rate in Italy has reached its peak since 1986
The price rush in Italy does not stop. According to Istat’s first estimate, in June the National Consumer Price Index for the Whole Society (Nic) posted a monthly increase of 1.2% and 8% year on year (from 6.8% in the previous month) to reach its highest levels in more than 36 years. Istat asserts that the annual level reached in June is the maximum since January-June, and inflation accelerated again, rising to a level (+8.0%) not recorded since January 1986 (when it was equal to +8.2%).
Manufacturing SMEs in the Eurozone at a minimum as of 2020, down in Italy
Dark and dark news from the European manufacturing sector. In Italy, the June manufacturing PMI fell from 51.9 to 50.9 points, a slightly better number than the consensus estimate (50.8) after the 51.9 figure in May. In France, it rose from 54.6 to 51.4 points, while in Germany it fell from 54.8 to 52 points, marking the weakest expansion in two years. The overall euro zone average fell from 54.6 to 52.1 points, the fifth monthly drop that brings the index to its lowest level since August 2020.
In Milan Technology and Auto, Atlantia and Leonardo are saved
The high-tech segment is located on the Ftse Mib with Stmicroelectron and Nexi. You oppose the banks following the ECB’s intention to require credit institutions to include a possible recession scenario in their business plans and use this new calculation basis to approve dividends. The worst are Intesa Sanpaolo and Banca Mediolanum, while Unicredit is on the rise. Leonardo – Finmeccanica also goes against the trend, while Atlantia is just below par, with Yunex closing Thursday with markets closed.