(Alliance News) - The Mib recorded a bullish mid-day path Wednesday, rebounding from the previous session's decline, as investors welcomed clarification from the Italian government regarding its new tax on banks' "extraordinary" profits.
On Tuesday, in the CME Group platform's FedWatch Tool, using futures also based on the actual federal funds rate or EFFR, the confirmation of the rate at the Sept. 20 meeting has an 86 percent probability for confirmation range 525/550 bps. In contrast, the 25 bps hike in the 550/575 bps target is priced at 14%.
Consumer prices in China fell 0.3 percent year-on-year in July, the first decline since February 2021, compared with a flat figure in June and market estimates for a 0.4 percent drop. The data were released Wednesday by the National Statistics bureau of China. Among the various segments, the cost of food is reported to have decreased by 1.7 percent, after rising in the previous 15 months due to a collapse in pork prices.
On the monetary policy front, a top U.S. Federal Reserve official believes interest rates may have peaked, but warned that they will have to remain at a high level for a while.
The FTSE Mib is advancing 1.8 percent to 28,430.26.
Paris' CAC 40 is advancing 1.4 percent, Frankfurt's DAX 40 is up 1.2 percent, and London's FTSE 100 is advancing 0.9 percent.
Among the smaller listings, the Mid-Cap is up 0.9 percent to 41,861.59, the Small-Cap is in the green 0.6 percent to 26,821.29, and Italy Growth is up 0.2 percent to 8,871.98.
On the Mib, banking stocks remain the protagonists, trading in the upper quarters after significant selling volumes yesterday following the government decree on the taxation of the infamous "extra-profits." Palazzo Chigi has since eased its stance on the levy and clarified that it will be limited to 0.1 percent of total banking assets.
FinecoBank leads the pack, advancing 6.0 percent, UniCredit scores a plus 4.4 percent, while Intesa Sanpaolo advances 3.1 percent.
Telecom Italia also quarters high, advancing 2.9% on its way for the second session to close with a positive balance, after a bearish quaternary.
Among the bearish few is Leonardo, which trades 0.2% red, followed by Amplifon, which by contracting 0.4% is closing the bluechip segment.
On the cadet segment, equally starring is banking sector, where BFF and Credito Emiliano both advance 2.7 percent.
The board of directors of Banca Popolare di Sondrio -- also up 2.7 percent -- reviewed and approved the consolidated half-year financial report as of June 30 with a record net profit of EUR207.1 million from EUR105.0 million in the same period last year.
Doing better was Caltagirone, which moved ahead 5.2% to EUR4.22 placing the flag at the top of the list by advancing more than 30% on a monthly basis.
At the tail end, Italmobiliare retreats 1.2 percent to EUR24.50, following up on its 0.6 percent loss on the eve.
On the Small-Cap, algoWatt is advancing, moving ahead 5.2% on the rebound after two bearish sessions in which it accumulated a red of about 12%.
Autostrade Meridionali, on the other hand, is rallying 4.0% with price in the EUR14.30 per share area and bringing weekly assets over 17%.
Pierrel, on the other hand, is advancing 7.0%, recovering from its 1.1% loss on the eve of the meeting. The stock marks, on a monthly basis, a red of almost 30%.
Fidia, on the other hand, gives up 3.5%, following eve's green with a plus 2.0%.
Among SMEs, Iervolino Entertainment advances with 3.9 percent setting the price in the EUR0.68 area and repeating eve's green if confirmed at the close.
Good buying also on Eles, which moves up 4.2% following last night's 1.7% gain.
Digital360 - flat at EUR5.30 - announced Tuesday that it has issued a bond for a total principal amount of EUR8 million.
The fund is for ErreDue, which with 5.1 percent liabilities closes the convoy of SMEs.
In New York overnight Europe, the Dow Jones closed down 0.5 percent, the S&P gave up 0.4 percent, and the Nasdaq finished 0.8 percent in the red.
Among currencies, the euro changed hands at USD1.0972 versus USD1.0970 in Tuesday's European stock close while the pound was worth USD1.2764 from USD1.2731 Tuesday evening.
Among commodities, Brent crude is worth USD85.97 per barrel versus USD85.20 per barrel at last night's close. Gold, on the other hand, trades at USD1,929.25 an ounce from USD1,925.83 an ounce Tuesday night.
On Wednesday afternoon's economic calendar from the US, mortgage data are due at 1300 CEST while crude oil stocks will come out at 1630 CEST.
By Maurizio Carta, Alliance News reporter
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