Donald Trump stated that Tehran could call if it wishes to negotiate an end to the conflict, following the U.S. President's cancellation on Saturday of a visit to Islamabad by envoys Steve Witkoff and Jared Kushner. Meanwhile, Iranian Foreign Minister Abbas Araqchi landed in Russia today to seek President Vladimir Putin's support, following visits yesterday to mediators Pakistan and Oman.
One trader noted that in such an environment, caution remains the priority for investors, leaving a climate of uncertainty hanging over the markets.
U.S. stock futures are also little changed, suggesting a flat opening for Wall Street later this afternoon.
On the monetary policy front, the week is packed with key events: the Bank of Japan meets tomorrow, alongside the start of the Federal Open Market Committee meeting which concludes Wednesday evening. Thursday will see rate decisions from the Bank of England followed by the ECB.
By 1:00 p.m. CET, the FTSE Mib was up 0.41%. Volumes are very thin, failing to reach the 800 million euro mark.
Stock highlights:
** Banks are performing well, with the sector index advancing 0.8%. Heavyweights UNICREDIT and INTESA are up 0.9% and 0.45% respectively. Similar gains are seen across other lenders, with BANCO BPM climbing 1.44%.
** NEXI is recovering from its lows, currently down 0.85%, while French rival WORLDLINE has swung into positive territory, rising 1.74% after a weak start.
** LEONARDO is attracting interest, up 0.7% after Morgan Stanley raised its price target to 82 euros from 71 euros.
** The recovery of Brent crude prices above 100 dollars per barrel is lifting the energy sector. ENI is up 0.2%, but SAIPEM is the standout performer, jumping 4.3% to hit new highs since late January 2022, still buoyed by last week's quarterly results. TENARIS is also performing well, advancing 1.4%.
** Outside the main index, SOGEFI surged 9% following better-than-expected quarterly results. Released after Friday's close, the data showed a decline in revenue but an increase in profit.
** Conversely, AVIO is down sharply by 2.6%, continuing its recent volatile streak.
(Giancarlo Navach, editing Andrea Mandalà)
