(Alliance News) - European marketplaces futures showed a cautious approach by trading rooms Wednesday after Chinese trade data pointed to a slowdown in the global economy.
"Looking ahead to today's European open, Asian markets have had to assess the latest May trade data from China at a time when there are real concerns that the recovery is going gangbusters," said Michael Hewson of CMC Markets.
Chinese exports fell in May for the first time since February, state media reported, breaking a two-month growth streak as the post-Covid rebound in the world's second-largest economy faded. Foreign shipments fell 7.5 percent year-on-year last month, a sharp decline from April's 8.5 percent increase, according to data published by the official Xinhua news agency.
Meanwhile, imports fell 4.5 percent in May, according to Xinhua. A Bloomberg survey forecast showed economists expected exports to fall 1.8 percent and imports to fall 8.0 percent.
"While import numbers were better than expected, the collapse of exports into negative territory for the first time in three months is a real concern, suggesting that while domestic demand is starting to pick up, global demand is starting to falter and that the Chinese government may need to do more to boost the domestic economy," said CMC's Hewson.
Thus, the FTSE Mib, after closing in the green by 0.7 percent at 27,036.67 on Tuesday, is down 12.5 points.
In Europe, Paris' CAC 40 is just below par, Frankfurt's DAX is up 5.00 points, and London's FTSE 100 is giving up 6.00 points.
Among the smaller Milanese listings last night, the Mid-Cap closed up 0.3 percent to 42,669.07, the Small-Cap gave up 0.6 percent to 27,208.72, and Italy Growth finished in the green by 0.4 percent to 9,178.08.
On the main index in Piazza Affari on Tuesday, leading the way was Banca Monte dei Paschi di Siena, which closed in the green by 5.0 percent, confirming the trend already seen at the close of trading on Monday despite the difficulties in the banking sector especially after the words of European Central Bank President Christine Lagarde, who said the bank is considering further interest rate hikes to combat inflation.
FinecoBank, on the other hand, pushed ahead by 2.8 percent, with new price at EUR2.75 after declining 2.1 percent on the eve of the meeting.
Recordati, on the other hand, took home 2.6 percent, closing for the fourth session in a row in the green.
Campari, on the other hand, took home 2.1 percent to EUR12.70 after touching a new 52-week high at EUR12.72. The company--which is continuing its buyback program--reported Monday that it had bought back its own ordinary shares between May 29 and 31 for a total value of EUR2.5 million.
Still hurting is Pirelli, down 0.8 percent after 0.5 percent on the eve. The top management of Camfin and Pirelli are scheduled to be heard at Palazzo Chigi as part of the procedure to analyze the possible use of Golden Power, through which the government, even without having a single share in hand, can block corporate transactions that it deems harmful to Italy's strategic interests. In the case at hand, for example, this could result in the freezing of voting rights in the Chinese shareholder's meeting in favor of the Tronchetti Provera family holding company.
Stellantis, on the other hand, gave up 0.5 percent, interrupting a three-session long positive mini-trend.
On the Mid-Cap, Safilo advanced 5.3 percent in its third bullish session.
Good buys also on Rai Way, which raised the price bar by 3.8 percent. The company - whose largest shareholder is the Italian government, which holds 65 percent - reverses course after two bearish sessions.
Webuild -- in the money with 1.4 percent -- announced Tuesday that it had been awarded a new EUR1.32 billion contract with a total value, on the Palermo-Catania high-capacity rail line in Sicily.
ENAV, on the other hand, closed down 0.2 percent after announcing Tuesday that it had signed a contract with Luchtverkeersleiding Nederland, the Dutch air traffic control service provider, through its subsidiary IDS AirNav -- a leading international company in aviation information management systems. The contract is worth EUR4.1 million and will last for five years.
On the SmallCap, Il Sole 24 Ore closed the session up 3.2 percent to EUR0.5160, on the heels of the eve's green close of plus 1.2 percent.
Good purchases were also made on Neodecortech, which left 0.7% on the parterre after an almost complete session in the black.
Aeroporto Guglielmo Marconi of Bologna closed down 1.0 percent. The company reported Monday that it had returned to pre-pandemic passenger levels. May's monthly figure of 923,263 passengers shows a 12 percent increase over 2019 and a 16 percent increase over 2022.
At the back of the pack was Risanamento, which gives up 4.2 percent on the heels of eve's 3.0 percent red.
Among SMEs, good buys on Innovatec, which closed up 6.7% in appreciation. The company on Tuesday disclosed the launch of an important strategic partnership with BF - to develop and offer integrated solutions for energy efficiency systems for the agritech market.
Alfonsino also advanced well, closing up 5.8 percent, after Monday night's 1.0 percent loss.
Redelfi, on the other hand, gave up 5.8 percent, placing it at the back of the pack, the subject of profit taking after three sessions among the bullish.
In New York on European night, the Dow closed just above par, the Nasdaq ahead 0.4%, and the S&P 500 picked up 0.2%.
Among Asian exchanges, the Nikkei closed 1.7 percent in the red, the Hang Seng is in the green by 1.1 percent, while the Shanghai Composite is picking up 0.2 percent.
Among currencies, the euro changed hands at USD1.0683 against USD1.0693 at Tuesday's European equities close. In contrast, the pound is worth USD1.2416 from USD1.2419 last night.
Among commodities, Brent crude is worth USD75.58 per barrel versus USD76.18 per barrel Tuesday night. Gold, on the other hand, trades at USD1,963.13 an ounce from USD1,963.81 an ounce Tuesday night.
On Wednesday's macroeconomic calendar, at 1000 CEST it will be the turn of Italian retail sales.
At 1300 CEST, from the US, the report on US mortgages and mortgage rates, followed at 1430 CEST by the trade balance.
At 1630 CEST, the Cushing inventory report and EIA stocks.
Among corporations, Relatech's quarterly accounts are due.
By Maurizio Carta, Alliance News reporter
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