(Alliance News) - European stock markets continued in a bullish trend Wednesday after PMI data on services and manufacturing indicated a pickup in business activity in the single currency area, giving a boost to investors who await the next European Central Bank meeting scheduled for Thursday.
This is expected to keep interest rates stable, but officials are likely to continue to keep markets on their toes by expressing caution.
Meanwhile, China's central bank will cut by 0.5 percent the amount of reserves that banks must maintain as of Feb. 5, People's Bank of China Governor Pan Gongsheng said Wednesday, as the world's second-largest economy battles strong deflationary pressures. The cut to the central bank's reserve requirement ratio follows two reductions last year.
Pan said the direction of the Federal Reserve's monetary policy this year, with markets predicting that the U.S. central bank will soon begin easing rates, suggests that the PBoC will have more room for its own monetary policies after the renminbi came under devaluation pressure last year.
?
Thus, the FTSE Mib advances 0.4 percent to 30,204.41 points.
In Europe, Paris's CAC 40 is advancing 0.7 percent, London's FTSE 100 is advancing 0.2 percent, and Frankfurt's DAX 40 is posting a green of 1.1 percent.
Among Italy's smaller listings, the Mid-Cap is in the green by 0.5 percent to 44,869.84, the Small-Cap is up 0.7 percent to 27,787.84 while Italy Growth is advancing with 0.2 percent to 8,305.84.
On the Mib, Banca Monte dei Paschi continues with the bullish trend seen since the bell rang and moves ahead 3.5% to EUR3.32 per share rearing its head after two bearish sessions. Worth mentioning that at the end of last week, Capital Fund Management raised the short position to 0.9 percent from the previous 0.74 percent.
Iveco, on the other hand, advances 1.3%, with price at EUR9.43, in its third bullish session.
Good buying also on BPER Banca, which marks a plus 1.1% at EUR3.32 after two bearish sessions.
For Banco BPM, meanwhile, the rise is 1.4 percent to EUR4.94 per share.
Among the few bearish performers, STMicroelectronics is giving up 0.3% to EUR42.20 per share on the eve of the release of its accounts.
Campari also trails behind, retreating 1.6 percent to EUR9.05. Citigroup upgraded the stock to 'buy' from 'neutral' and cut its target price to EUR10.50 from EUR11.50.
In the cadet segment, good session for Buzzi, which moves ahead 1.6 percent by setting the new price at EUR30.02 per share, after a 0.9 percent decline in the previous session.
Cembre advances 1.8% with new price at EUR39.40 per share, at its new 52-week high.
Technoprobe, meanwhile, marks a plus 1.9 percent to EUR9.46--best on the list--after touching a new 52-week high during the session at EUR9.57.
SOL, on the other hand, is giving up 0.9 percent, closing the list with price at EUR26.35 per share.
Juventus FC also lags behind, contracting 3.1 percent after a 1.9 percent gain in the previous session.
On the Small-Cap, Cellularline advances well, posting a plus 5.7% at EUR2.58 per share. High trading volume is recorded on the stock at more than 48,000 pieces changed hands compared to a three-month daily average of about 17,500.
Softlab, meanwhile, advances 8.6 percent, with new price at EUR1.90, heading for the fifth session to close on the bullish side.
SIT is giving up 1.6 percent, following eve's green with 0.3 percent, after six sessions closed among the bearish.
Giglio.Group is giving up 2.1 percent, after two sessions closed on the upside.
Among SMEs, Aton Green Storage is advancing 7.8 percent, pointing to its fifth session to close on the bullish side.
Health Italia advances 8.0 percent, following 8.2 percent green on eve.
In the rear, in a still uneventful list, Italia Independent is giving up 9.3%, with new price at EUR0.15.
H-Farm, meanwhile, is giving up 7.4 percent, to its new 52-week low at EUR0.1190.
In New York overnight Europe, the Dow gave up 0.3 percent, the Nasdaq advanced 0.4 percent, and the S&P 500 picked up 0.3 percent.
Among currencies, the euro changed hands at USD1.0895 against USD1.0827 recorded in Tuesday's European stock close, while the pound is worth USD1.2751 from USD1.2658 last night.
Brent crude is worth USD79.53 per barrel versus USD79.74 per barrel at Tuesday's close. Gold, meanwhile, trades at USD2,033.03 an ounce from USD2,026.01 an ounce last night.
On Wednesday afternoon's macroeconomic calendar, from the US will come the mortgage rate at 1300 CET. At 1545 CET the manufacturing and services PMI will be released, at 1630 CET the Cushing inventory and oil stocks data, and at 1900 CET an auction of five-year Treasury securities is scheduled.
By Maurizio Carta, Alliance News reporter
Comments and questions to redazione@alliancenews.com
Copyright 2024 Alliance News IS Italian Service Ltd. All rights reserved.
