(Alliance News) - Major European stock markets are expected to open lower Thursday morning, according to IG futures, in the aftermath of the Fed's decision to raise its benchmark rates by an additional 25 basis points.

"U.S. equities closed the day lower, reflecting disappointment with Powell's statements that ruled out the prospect of rate cuts anytime soon, although falling yields suggest that bond markets believe they are coming instead," commented Michael Hewson, Chief Market Analyst at CMC Markets.

"European markets managed to close the day cautiously higher, although gains were modest compared to the declines seen the day before but in light of yesterday's negative U.S. close, today's opening looks set to be negative."

Meanwhile, the focus has shifted to Europe, with the ECB "expected to follow suit this afternoon with its own rate hike of 25 basis points, although there is a possibility of seeing a 50 basis point increase," the analyst adds.

Thus, the FTSE Mib is expected to open in the red by 80.0 points or 0.3 percent after closing in the green by 0.8 percent at 26,835.31.

In Europe, Paris' CAC 40 is expected to fall 16.3 points or 0.2 percent, the FTSE 100 is given down 22.2 points or 0.3 percent while Frankfurt's DAX 40 is expected to open in the red 13.0 points or 0.1 percent.

Among Italy's smaller lists last night, the Mid-Cap rose 0.2 percent to 43,038.66, the Small-Cap picked up 0.1 percent to 28,741.11, and Italy Growth, on the other hand, gave up 0.6 percent to 9,159.69.

On the main Piazza Affari list, Amplifon closed up 7.2 percent to EUR35.49 per share on Wednesday, benefiting from excellent first-quarter numbers.

UniCredit, on the other hand, finished up 3.8 percent after announcing that its board of directors on Tuesday approved its first quarter 2023 results, calling it "the best first quarter ever and the ninth consecutive quarter of improved results in every respect." Net book profit amounted to EUR2.1 billion from EUR274 million in the same period of 2022.

Reflecting the good session for the banking sector, Mediobanca took home a plus 3.8 percent to EUR9.75 per share. In this regard, Francesco Bonazzi writes in Alliance News, "It was Turin's "La Stampa" this morning that revealed the Roman financier's leap in Mediobanca's capital, where the latest official announcements gave it at 5.6 percent, after purchases that began in February 2021. At this point, Caltagirone is the second largest shareholder in the bank founded by Enrico Cuccia with 9.9 percent, behind the Del Vecchio group, which holds 19.8 percent and in the past was its ally in the (lost) battle for control of the Leone di Trieste."

Campari also travels well, picking up 1.5 percent rewarded by analysts after a good quarterly report. Raising the target price were Jefferies, Deutsche Bank, Goldman Sachs and Credit Suisse.

Among the negative notes Telecom Italia gave up 4.4 percent, on which Société Générale cut its target price to EUR0.30 from EUR0.30 with 'hold' title.

On the Mid-Cap, Credito Emiliano closed up 4.3%, rearing its head after two bearish sessions.

Brunello Cucinelli, up 2.9 percent, also rebounded after four sessions in which the sell side prevailed.

Maire Tecnimont's board of directors on Wednesday reviewed and approved the interim management report as of March 31 that closed with a consolidated net profit of EUR26.2 million, up 47 percent. Group net income amounted to EUR25.2 million, up 37 percent from the first quarter of 2022. Despite the good numbers, the stock closed lower, giving up 2.1 percent at the end of the day.

Saras, on the other hand, gave up 3.1%, dragged down by the bearish direction of the barrel price. It is reported that board of directors on Wednesday confirmed the appointment of Massimo Moratti as chairman and chief executive officer. Franco Balsamo, general manager of the company, was instead appointed deputy ceo.

On the Small-Cap, Giglio Group gave up more than 15 percent with new price at EUR0.7140.

Conafi Prestitò's board of directors - flat at EUR0.40 - approved Tuesday the financial statements as of December 31, 2022 reporting a net loss of EUR3.4 million for the full year, worsening from a net loss of EUR1.7 million in 2021. Consolidated revenues amounted to EUR5.9 million up from EUR2.7 million in 2021.

FILA, on the other hand, took home 2.9 percent, turning upward after two bearish sessions.

Good buys were also made on Piquadro, pushing the stock ahead 2.5 percent after declining - by 0.8 percent - on the eve of the session.

Finally, among SMEs, Fenix Entertainment gave up 7.2 percent after closing on top with more than 14 percent. On Friday, it let it know that the value of production for the first quarter of 2023 will amount to EUR7.5 million from EUR4.6 million in the first quarter of 2022.

Pharmacosmo left almost 12 percent on the parterre. The stock traded high, with more than 120,000 traded compared to a three-month daily average of just under 30,000.

Boost on Convergenze, which closed up 3.0 percent, repeating the eve's green also up 3.0 percent.

Friulchem, on the other hand, took home 3.9 percent, signing its fourth session in surplus.

In Asia, with the Japanese stock exchange closed for holidays, the Shanghai Composite trades in the green by 0.7% at 3,347.16, the Hang Seng is up 0.9% at 19,872.46.

In New York, the Dow Jones closed in the red 0.8 percent to 33,414.24, the Nasdaq finished down 0.5 percent to 12,025.33 while the S&P 500 closed down 0.7 percent to 4,090.75.

Among currencies, the euro changed hands at USD1.1085 versus USD1.1053 at Wednesday's close. In contrast, the pound is worth USD1.2586 from USD1.2549 on Wednesday evening.

Among commodities, Brent crude is worth USD73.08 per barrel compared to USD71.91 per barrel on Wednesday evening. Gold, on the other hand, trades at USD2,039.10 an ounce from USD2,023.71 an ounce at Wednesday's close.

On Thursday's macroeconomic calendar, at 0800 CEST space will be given to Germany's trade balance and current account balance.

At 0945 CEST, Italy's services PMI will be released and, at five-minute intervals, those of France, Germany and the Eurozone. At 1030 CEST, the same data will come instead for the United Kingdom.

At 1100 CEST, for the Eurozone, the producer price index will be released.

At 1415 CEST, eyes on the ECB and the interest rate announcement. This will be followed half an hour later by the cosuete press conference with the central bank president, Christine Lagarde.

At 1430 CEST, focus on U.S. claims for unemployment benefits while, at 1730 CEST, an auction of four- and eight-week U.S. Treasury bonds is scheduled.

Among Piazza Affari companies, accounts from Ferrari, Italgas, Moncler, and Edison, among others, are expected.

By Chiara Bruschi, Alliance News reporter

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