Mib in green at 33,700; Banca Mediolanum bullish

(Alliance News) - European stocks moved slightly higher Thursday as investors weighed in on guidance from leading central bankers. ECB official Mario Centeno stressed the institution's commitment to adapt monetary policy to local dynamics rather than mirror U.S. actions.

Bank of England Governor Andrew Bailey, on the other hand, stressed the relatively subdued inflationary pressures in the UK and Europe compared to the US.

Finally, Cleveland Fed President Loretta Mester said that the U.S. central bank should not be in a hurry to cut interest rates.

The FTSE Mib, therefore, is marking a fractional asset at 33,646.08 with a high for the day at 33,805.95.

Among other European exchanges, London's FTSE 100 is advancing 0.3 percent, Paris' CAC 40 is advancing 0.4 percent, and Frankfurt's DAX 40 is advancing just above par.

Mid-Cap is advancing 0.1 percent to 46,307.49, Small-Cap is advancing 0.1 percent to 27,801.17 while Italy Growth is giving up 0.3 percent to 7,991.35.

On the Mib, strength on Banca Mediolanum, which is leading the price up 1.0% to EUR10.13, on the heels of the eve's green closed with a plus 1.0%.

Banca Monte dei Paschi, on the other hand, advances 1.3% to EUR4.12 per share, following up on the eve's bullish candle of 2%. Rocca Salimbeni announced that it has completed the placement of a EUR750 million five-year covered bond issue. As the company explains, this is the first European covered bond issue carried out by the bank after the transposition of the European harmonization directive on covered bonds. In detail, orders exceeded EUR2.3 billion with coupon at the 3.5 percent level and at a re-offer price of 99.919 percent.

Enel is moving up 1.4 percent with price at EUR5.86 per share. Deutsche Bank Research on Monday cut its target price to EUR6.30 from EUR6.70 with a 'hold' recommendation.

Leonardo, on the other hand, is giving up 3.3 percent on the heels of Wednesday night's 1.7 percent decline.

Saipem marks a 2.5 percent red, pending quarterly results due on Monday.

Tenaris, on the other hand, marks minus 2.5 percent, after a 0.6 percent green in the previous session.

On the cadet segment, boost on MFE, with class A and B shares appreciating 9.0% and 9.3%, respectively. The group's fiscal year 2023 financial results, approved Wednesday by the board of directors, are well above the company's estimates from the beginning of the year. Net income - excluding the accounting impact arising in the two fiscal years from the contribution of the shareholding in Prosiebensat1 - is positive at EUR217.5 million, up 18 percent from EUR184.7 million in 2022.

OVS -- in the black by 7.6 percent -- announced Thursday that it ended the year ended Jan. 31, 2024 with a reported net profit of EUR52.4 million, up from EUR39.6 million in the same period last year. The board of directors proposed a dividend of EUR0.07 from EUR0.06 as of Jan. 31, 2023. Net sales stood at EUR1.54 billion from EUR1.51 billion as of January 31, 2023.

On the other hand, d'Amico is giving up 1.4 percent, after 3.8 percent in the green on the eve of the day, after announcing on Wednesday that its operating subsidiary, d'Amico Tankers DAC, has entered into a construction contract with Jiangsu New Yangzi Shipbuilding Co. in China for the purchase of two new 'Long Range' tankers at a contract price of USD55.4 million each. The company expects these two new ships to be delivered in September and November 2027, respectively.

Technoprobe, on the other hand, is giving up 3.3 percent to EUR7.82 per share, in its third bearish session.

On the Small-Cap, SIT is advancing, posting a plus 8.1% at EUR1.60 per share, breaking the three-session bearish mini-trend.

Avio, on the other hand, is picking up 4.1 percent with new price at EUR10.92 per share. The stock has increased its market cap by more than 26 percent since the beginning of 2024.

At the tail end, Fidia marks a minus 4.3 percent on the heels of eve's bearish candle of 4.1 percent.

KME Group steps back 5.0%,with price at EUR0.99 per share after two sessions closed with bullish candle.

Among PMIs, Energy confirms its good start and leads the rises with a surplus balance close to 10% in its fourth session in the green.

Giglio.Com, on the other hand, advances 8.0 percent, bringing weekly assets to over 33 percent. The stock - on an average of two analysts - is priced with an average target price of EUR3.55, thus being under-priced by about 118%.

At the back of the pack, Alfonsino gives up 3.3 percent, the subject of profit-taking after two sessions in which it accumulated an asset of nearly 24 percent.

Esautomotion, on the other hand, marks a minus 4.7 percent to EUR3.86 per share, after a 0.7 percent decline in the previous session.

In New York on European night, the Dow closed down 0.1 percent, the Nasdaq gave up 1.2 percent, and the S&P 500 left 0.6 percent on the parterre.

Among Asian exchanges, the Nikkei rallied 0.3 percent, the Hang Seng is advancing 1.1 percent, and the Shanghai Composite is green by 0.1 percent.

Among currencies, the euro changed hands at USD1.0681 from USD1.0636 in Wednesday's European stock close while the pound is worth USD1.2471 from USD1.2451 last night.

Among commodities, Brent crude is worth USD87.47 per barrel from USD89.24 last night and gold trades at USD2,376.1 from USD2,390.63 last night.

Thursday's macroeconomic calendar has euro area construction output coming in at 1100 CEST.

China's foreign direct investment will be released at 1200 CEST, the time when EU and Eurogroup leaders will meet.

In the afternoon, at 1430 CEST, space will be given to U.S. jobless claims ahead of home sales by an hour and a half. Later in the day, several members of the Federal Reserve, European Central Bank and Bundensbank will speak. At 2230 CEST, the Fed's balance sheet will be released.

By Maurizio Carta, Alliance News senior reporter

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