Closing of European stock exchanges
The European stock exchanges closed slightly, with the Ftse Mib in Piazza Affari ending up 0.4%, reaching 34,857 points.
Among the stocks in evidence, Brunello Cucinelli saw a significant increase of 8% after revising its revenue forecasts upwards, now expected to grow between 11% and 12%.
The decisions of the ECB
The European Central Bank (ECB) has announced a cut in interest rates by 25 basis points, removing the previous indication of sufficiently restrictive rates. This move was accompanied by a downward revision of the economic growth forecasts up to 2026. President Christine Lagarde highlighted the downside risks for the economy, stressing that the fight against inflation is still ongoing and that
monetary policy remains restrictive.
Impact on bond markets
The reactions in the bond markets were immediate, with a surge in European government bond yields, in particular those of peripheral countries. The spread between BTP and Bund increased to 113 basis points, with the Italian 10-year yield reaching 3.32%. These developments were influenced by Lagarde’s less accommodating tones, which
surprised the markets.
Commodity and currency trends
In the commodities market, Brent oil declined, falling below 73 dollars per barrel, while gold lost value, reaching 2,680 dollars an ounce.
In the currency market, the euro/dollar exchange rate remained stable at 1.05, while the dollar/yen showed little volatility at 152.2.
Analysis of US macroeconomic data
In the United States, producer prices increased by 0.4% compared to the previous month, exceeding analysts’ expectations. The annual increase was 3%, with the core component in line with forecasts. These data come at a crucial moment, a few days before the Federal Reserve meeting, where a possible cut in interest rates is expected
.
Business news and strategic plans
In the corporate sphere, Pirelli’s shareholders’ meeting approved significant changes to the Articles of Association, in response to recent regulatory interventions. These changes concern participation in the shareholders’ meeting through a designated representative and the certification of the sustainability report. In addition, the Italian State Railways Group presented an ambitious 2025-2029 Strategic Plan, with planned investments of more than 100 billion euros to promote development and innovation
in the country.