The primary focus will be on US inflation figures due early this afternoon, the main macroeconomic event of the week. If the CPI aligns with consensus expectations, the data should not alter forecasts for unchanged rates at the upcoming end-of-month Fed meeting or the two rate cuts priced in for 2026.
The corporate front also warrants attention, with JP Morgan kicking off the US earnings season by reporting a decline in fourth-quarter profits, weighed down by extraordinary costs.
Comments from the CEO of the world's largest bank are always closely watched by investors and are now drawing even more interest amid tensions between the Fed and the US presidency, as well as President Trump's request to cap credit card interest rates at a maximum of 10%.
On Wall Street, futures are slightly down in a market that so far has not been significantly affected by geopolitical tensions or the ongoing clash between the US Department of Justice and the Fed.
Around 13:10, the Ftse Mib index was down 0.14%. Trading volumes stood at 1.33 billion euro.
Stocks in focus:
** After four consecutive sessions of gains and yesterday's rally, FINCANTIERI drops 2.7% on profit-taking, with Deutsche Bank lowering its target price to 23 euro from 26 euro. Conversely, in the defense sector, LEONARDO is recovering from early losses and is up 0.5%, despite Deutsche Bank revising its recommendation to 'hold' from 'buy'.
** The index is also weighed down by declines in some industrial and utility stocks.
** STELLANTIS falls 1.9% as investors await clarity on the implications of EU-China guidelines for the marketing of electric vehicles in Europe.
** The few gains are concentrated among oil stocks, which are benefiting from crude oil price increases due to rising concerns about production in Iran after the US administration threatened 25% tariffs on countries maintaining trade relations with Iran. SAIPEM leads the Ftse Mib with a 2.8% gain, while ENI and TENARIS are both up about 1%.
** Another positive session for DIASORIN, up 2.4%. The latest gains in the stock are driven by an announcement from Dutch biotech company Qiagen, which identified the QuantiFERON test—marketed in partnership with the Italian group—as a key revenue growth driver.
** Among banks, MPS stands out with a 1.9% increase amid renewed speculation around M&A and governance issues. According to three sources close to the matter, Unicredit CEO Andrea Orcel has discussed the possibility of acquiring the 17.5% stake in the Siena-based bank held by Delfin during talks with the holding company. Equita notes that "the government's role in such an operation should not be underestimated, with Prime Minister Meloni recently reiterating her hope for the creation of a third banking hub." The broker also cites media rumors of tensions within the board over the renewal of CEO Lovaglio.
** BANCO BPM is up 0.4% after Credit Agricole confirmed it has received ECB approval to increase its stake above 20% in the institution led by Giuseppe Castagna.
** Among financials, BANCA GENERALI is little changed. Yesterday, the company reported December net inflows above expectations. Kepler Cheuvreux has maintained a 'buy' rating on the stock with a target price of 59 euro.
** Finally, PIRELLI is strong, up 2.7%, supported by a 'buy' rating as Berenberg initiated coverage with a target price of 8 euro.
(Andrea Mandalà, editing by Stefano Bernabei)
