Indices flat; MPS tops on Mib.

(Alliance News) - European stock markets open near the parity line on Friday as investors continued to assess the global economic and interest rate outlook.

As a result, the FTSE Mib is fractionally in the red at 29,215.53 as is the Mid-Cap at 41,578.01, the Small-Cap rises 0.2 percent to 25,839.18, and Italy Growth is down 0.1 percent to 7,848.32.

In Europe, London's FTSE 100 opens in the red by 0.3 percent, Paris' CAC 40 is just above par, and Frankfurt's DAX 40 is down slightly.

"While the U.S. economy has been surprisingly resilient this year to the Federal Reserve's aggressive monetary tightening, we cannot say we have an equally reassuring picture in Europe," comments Ipek Ozkardeskaya, Senior Analyst at Swissquote Bank. "The energy crisis, which followed the pandemic, has hit Germany hard. The country needs money when money becomes rare and expensive. Germany has decided to suspend the debt limit for the fourth year in a row, signaling that indebtedness in Europe will continue to rise and the new debt that Europeans will take on will cost much more than a few years ago."

"As expected by the European Central Bank, European officials are doing their best to tame rate-cutting expectations in the Eurozone. Belgian central bank governor Pierre Wunsch said yesterday that the ECB will not cut rates as long as wage growth remains high, while German central bank chief Joachim Nagel said cutting rates too soon would be a mistake. A mistake? Perhaps. However, the economic data is further evidence that European economies are not heading for sunny days. Based on the current data, the Fed has more leeway to hold rates steady than its European counterparts," the analyst concluded.

On the main list in Piazza Affari, Banca Monte dei Paschi di Siena leads, up 1.1 percent followed by Leonardo, which opens up 1.0 percent while Intesa Sanpaolo closes the podium advancing 0.6 percent.

Mediobanca is 0.3% in the red after reporting Thursday that the board of directors appointed Vittorio Pignatti Morano and Sabrina Pucci as vice presidents of the bank.

In addition, Angela Gamba was confirmed as lead independent director.

Eni opens just above par. The company reported that, with its partner Petroci, it successfully started production from Baleine in August this year, achieving a time-to-market of less than two years from the giant discovery.

Oil production from Baleine stands at 20,000 barrels per day, far exceeding the 12,000 barrels per day originally planned. The project is expected to reach its plateau of 50,000 barrels of oil per day by the end of 2024, with the completion of the second phase of development; full development of the field is expected to produce up to 150,000 barrels per day.

Banco BPM -- up 0.1 percent -- reported that it has successfully completed a new senior preferred social issue with a maturity of four years in the amount of EUR500 million. The issue is the group's first full investment grade. Orders, amounting to more than EUR2 billion, exceeded four times the amount issued, with the participation of more than 150 investors, confirming the increasing recognition by investors in the Banco BPM name. About 90 percent of the allocated orders had an ESG connotation.

The bond was issued at a price of 99.818 percent and pays a fixed coupon of 4.625 percent. The bond, which is reserved for institutional investors, was issued under the bank's Euro Medium Term Notes Program.

On the Mid-Cap, Juventus Football Club -- in the red by 0.2 percent -- reported Thursday that the shareholders' meeting approved proposals to increase its share capital and regroup shares in the ratio of one for every 10 shares held.

In detail, the shareholders' meeting resolved to reduce the share capital to EUR50,000 from EUR23.4 million and to approve the proposed share capital increase, for cash, to be carried out by December 31, 2024, for a total maximum amount of EUR200 million, including share premium, by issuing new ordinary shares with no par value.

MFE-MediaForEurope did better than all after announcing Thursday that in the first nine months of the year it reported a consolidated net profit of EUR71.0 million from EUR78.5 million in the same period last year.

As of Sept. 30, consolidated revenues stood at EUR1.86 billion, down from EUR1.90 billion in the first nine months 2022. Ebit in the period was EUR98.3 million from EUR97.6 million as of September 30, 2022. MFE's class A shares are in verd ed by 3.1 percent while class B shares are up by 5.6 percent.

Fincantieri - in the green by 0.2 percent - announced that it has signed a 10-year contract with the Armament Authority of the Ministry of Defense of the Arab Republic of Egypt for two Fremm units of In-Service Support and Integrated Logistic Support, i.e., preventive maintenance services, logistic studies and corrective maintenance on demand, worth about EUR260 million.

On the Small-Cap, Piquadro opens up 0.9 percent after reporting Thursday that it closed the first half of its fiscal year with revenues up to EUR85.9 million from EUR80.2 million in the same period last year.

In detail, revenues of the Piquadro brand rose to EUR39.5 million from EUR35.2 million, those of The Bridge increased to EUR16.6 million from EUR14.9 million while those of Lancel fell to EUR29.8 million from EUR30.0 million.

Immsi - in the red by 1.7 percent - reported Thursday that Intermarine, a group company, was awarded the tender called by the Ministry of the Interior for the supply of eight multi-purpose fire-fighting naval units that will be destined for the National Fire Department to cope with rescue activities at sea.

Banca Sistema--in the red by 0.2 percent--reported Thursday that Kruso Kapital Spa, a group company, has signed a binding agreement with the current shareholders of Banco Invest SA to purchase the pledged credit business in Portugal.

Kruso Kapital will recognize a consideration, including goodwill, of EUR11 million, subject to possible adjustment mechanisms at closing.

Aquafil opens in the green by 2.0%. The company presented its 2023-2025 strategic plan on Tuesday, reporting, for the period, a sales volume growth forecast.

However, for fiscal year 2023, in terms of volumes, a negative change of between 3 percent and 4 percent compared to the previous year is expected. Expected Ebitda for FY 2023 is in the range of EUR45-50 million while adjusted Ebitda from this effect is in the range of EUR68-70 million.

GPI, in the green by 1.1 percent, reported Thursday that the board of directors has selected a small number of investors interested in the valuation of its subsidiary Argentea Srl.

SIT opens up 0.9 percent, announced Thursday that it has partnered with Panasonic to launch a new complete fan solution for residential heat pumps.

Among SMEs, Eprcomunication is not yet trading. The company let it know Thursday that its subsidiary Justbit Srl has signed a digital consulting contract with "a multinational group."

The contract, which runs for two years from the signing and will thus continue until November 2025, has a total value of EUR243,900 and could be increased in light of additional client needs, the company noted in a note.

Portobello--in the red by 2.3 percent--reported on Thursday that the shareholders' meeting had decided to give the board of directors the authority to approve a capital increase of up to EUR20 million by issuing ordinary shares within five years.

In Asia, the Nikkei finished in the green by 0.5 percent to 33,625.53, the Hang Seng closed down 2.0 percent to 17,567.50, and the Shanghai Composite closed in the red by 0.7 percent to 3,040.97.

Among currencies, the euro changed hands at USD1.0914 against USD1.0905 recorded at Thursday's European equities close, while the pound was worth USD1.2550 from USD1.2531 last night.

Among commodities, Brent crude is worth USD81.40 per barrel from USD80.97 per barrel at yesterday's close. Gold, on the other hand, trades at USD1,993.51 an ounce from USD1,991.65 an ounce on Thursday evening.

Friday's macroeconomic calendar has the ifo index on German business confidence coming in at 1000 CET.

In the US, where markets will close at 1300 local due to the Thanksgiving holiday, the manufacturing PMI will be released at 1545 CET, along with the services PMI.

Among companies listed on the stock market, DHH's results are expected.

By Chiara Bruschi, Alliance News reporter

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