Europeans up after US core PCE.

(Alliance News) - Major European indexes close the day higher on Friday, driven by cooling U.S. inflation and positive business news in individual markets.

Indeed, according to the Bureau of Economic Analysis, core personal consumption expenditures in the U.S. rose 2.9 percent year-on-year in December, slowing from November's 3.2 percent increase. The core PCE figure, then, the Fed's preferred inflation indicator, fell to its lowest level since March 2021.

On a monthly basis, however, core personal consumption expenditures rose 0.2 percent in December after a 0.1 percent increase in November.

Thus, the FTSE Mib, finished in the green by 0.7 percent to 30,379.33, the Mid-Cap closed up 0.3 percent to 45,498.60, the Small-Cap up 0.4 percent to 27,842.68 while Italy Growth is in the fractional red at 8,298.63.

In Europe, London's FTSE 100 closed up 1.4 percent, Paris' CAC 40 rose 2.3 percent while Frankfurt's DAX 40 gained 0.3 percent.

"The FTSE 100 rose nearly 2.4 percent this week, helped by higher oil prices, strong personal spending in the U.S. and weaker-than-expected growth from the PCE index, the Fed's preferred inflation indicator," comments Axel Rudolph, market analyst at IG.

"The French CAC 40 did even better, buoyed by a nearly 14 percent jump in LVMH shares on better-than-expected sales growth and higher dividend yields. The DAX 40 did less well, though still in positive territory, losing upward momentum as German consumer morale unexpectedly plummeted."

In Piazza Affari, on the Mib, it is the fashion sector that takes the top spots, with Moncler closing up 9.6 percent and Brunello Cucinelli advancing 6.3 percent. Campari follows, in the green by 5.5 percent.

At the other end of the list, Banca Monte dei Paschi di Siena ends up at the bottom and gives up 3.3 percent.

Also hurting is STMicroelectronics -- in the red by 2.7 percent --, which reported Thursday that it had revenues of USD4.28 billion in the fourth quarter of the year, down 3.2 percent from USD4.42 billion in the same period of 2022. Gross profit amounted to USD1.95 billion down 7.3 percent from USD2.10 billion in the fourth quarter of 2022.

Snam, on the other hand, closed in the green by 0.4 percent after approving its 2023-2027 strategic plan. The company aims to achieve an increase in adjusted Ebitda of 7.4 percent on average per year, from about 7 percent in the previous plan. It also expects adjusted net income with growth of about 4 percent on average per year, up from 3 percent in the previous plan, "despite more onerous interest rates," the released note said.

On the Mid-Cap, Salvatore Ferragamo -- up 7.6 percent -- reported Thursday that preliminary revenues for 2023 stand at EUR1.16 billion from EUR1.25 billion in the previous year and therefore down 7.6 percent. The retail distribution channel as of December 31 reports net sales down 11 percent from 2022 and wholesale sales down 12 percent on the previous year.

Better does only GVS, up 8.3 percent.

De' Longhi--on the bottom with a 4.4 percent decline--reported preliminary revenues in the first 12 months of 2023 of EUR3.1 billion, down slightly by 2.7 percent from the same period last year. As for the fourth quarter, preliminary revenues stood at EUR1.02 billion, up 4.6 percent on the same period a year earlier.

On the Small-Cap, Italian Exhibition Group does best of all with a rise of 7.9 percent after Thursday's approval of the 2023-2028 Strategic Plan, which calls for 2028 revenues of EUR323 million, adjusted Ebitda of EUR90 million and a Net Financial Position of EUR3.0 million. Over the entire plan period, IEG anticipates a EUR172 million investment plan and dividends between EUR16 and EUR21 million.

Trevi Finanziaria Industriale follows, up 6.7 percent, while Antares Vision closes the podium by advancing 5.9 percent.

Aeffe's board of directors -- up 1.0 percent -- on Thursday approved preliminary sales figures for fiscal year 2023, which closed with consolidated revenues of EUR319 million, down 9.0 percent at constant exchange rates and 9.5 percent at current exchange rates, compared to EUR352 million in 2022.

Among SMEs, Xenia Hotellerie Solution closed up 0.7 percent after announcing Thursday that its board of directors viewed the preliminary figures for the year ended Dec. 31 reporting full-year revenues up nearly 11 percent to EUR50.2 million from EUR45.4 million in 2022.

Marzocchi Pumps -- in the red by 1.0 percent -- reported Thursday that during the 2023 fiscal year, consolidated net revenues stood at EUR49.8 million, up 2.6 percent from the 2022 figure of EUR48.5 million. The figure represents an all-time high achieved by the group.

In New York, the Dow advances 0.3 percent, the Nasdaq is in fractional green while the S&P 500 gains 0.2 percent.

Among currencies, the euro changes hands at USD1.0862 against USD1.0835 recorded at Thursday's European stock close, while the pound is worth USD1.2716 from USD1.2697 last night.

Brent crude is worth USD81.96 per barrel versus USD81.33 per barrel at Thursday's close. Gold, meanwhile, trades at USD2,018.32 an ounce from USD2,016.20 an ounce last night.

On Monday's calendar at 1000 CET the Italian trade balance is expected. In the afternoon, French BTF auctions will be held at 1455 CET while the Dallas Fed PCE index will be released from the US at 1500 CET.

In Piazza Affari, Take Off results are scheduled.

By Chiara Bruschi, Alliance News reporter

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