(Alliance News) - European stock markets closed lower -- but recovering from intraday lows -- on the day the European Central Bank decided to raise rates by 25 basis points and, through its president, Christine Lagarde, let it be known that the hikes will continue to fight inflation.

Chris Beauchamp, chief market analyst at IG, said, "The Fed's more aggressive talk last night unnerved investors but, in contrast, the ECB's move to raise interest rates did not overly worry markets. European markets fell around the announcement but recovered from their lows, relieved that the ECB did not adopt a more aggressive tone."

"Dollar bullishers saw their gains fade as the greenback reverses last night's gains. The Fed may want to suggest that the pause in rate hikes will not continue but the market is clearly convinced otherwise. The euro is strengthening and gold has risen once again. But,with many Fed speakers on the calendar next week, an attempt to "polish the Fed's hawkish credentials" is a real possibility."

The FTSE Mib closed down 0.3 percent to 27,731.78, the Mid-Cap fell 1.0 percent to 43,544.97, the Small-Cap lost 0.1 percent to 27,587.71, and Italy Growth finished in a tie at 9,139.52.

In Europe, London's FTSE 100 closed up 0.3%, Paris' CAC 40 fell 0.7% and Frankfurt's DAX 40 lost 0.1%.

On the highest-capitalization basket in Piazza Affari, Assicurazioni Generali fell 0.1 percent after announcing Thursday that it had reached an agreement with Liberty Mutual to acquire Liberty Seguros, a Spanish insurance company that operates in Spain, Portugal, Ireland and Northern Ireland.

"The transaction, consistent with the "Lifetime Partner 24: Driving Growth" strategic plan, will allow the group to grow further, increase the development of its non-life business and strengthen its leadership in Europe. Thanks to this transaction, Generali will achieve its fourth position in the Non-Life business in Spain and consolidate its second position in Portugal," the company explained in a note.

The total consideration for the transaction is EUR2.3 billion, including the entire excess capital of Liberty Seguros, subject to adjustment at closing. The estimated impact on the group's Solvency ratio is minus 9.7 percent.

A2A gained 0.5 percent after announcing Thursday that it "does not see the conditions to present any offer with respect to the possible acquisition of a majority stake in the share capital of Egea."

The utility had requested, in early May, an extension to Egea of the previously agreed exclusivity period expiring next May 15 in order to continue due diligence activities. As announced on March 16, A2A intended to submit a non-binding offer to enter, through a capital increase transaction, the shareholding structure of Egea - Ente Gestione e Ambiente with an absolute majority stake of 50.1 percent.

Intesa Sanpaolo rose 0.3 percent on the day it unveiled Isybank, the group's new digital bank, a "qualifying project of the 2022-2025 Business Plan, central to the customer service model and digital development strategy," a note said.

Italgas gave up 2.4 percent on the day of the presentation of its new business plan, which envisages total investments of EUR7.8 billion, mainly dedicated to interventions for the development of gas distribution assets and activities in Italy and Greece, energy efficiency activities and development in the water sector.

In addition, the company anticipates the maintenance of ratios in solid investment grade and an extension to 2026 of the dividend policy confirmed 65 percent payout and floor of 4 percent DPS growth, now carried on a 2022 basis.

On the Mid-Cap, Maire lost 0.9 percent after announcing its participation in Euronext Tech Leaders, the new initiative dedicated to leading and high-growth Tech companies developed by Euronext, the leading pan-European market infrastructure that manages the regulated stock exchanges of Belgium, France, Ireland, Italy, Norway, the Netherlands, and Portugal.

Maire was included in the "Green Production Practices" subsector of the Cleantech cluster, which includes companies that develop production processes, products or services to reduce the consumption of natural resources.

Tamburi Investment Partners closed 0.8 percent in the red after selling a 3.98 percent stake in Azimut-Benetti.

The transaction took place in the context of a shareholder reorganization of the Azimut-Benetti group as a result of which the Public Investment Fund, Saudi Arabia's sovereign wealth fund, entered the capital of Azimut-Benetti acquiring a 33 percent stake.

ENAV gained 0.3 percent. The company announced Thursday that through its subsidiary IDS AirNav-a leading international company in aviation information management systems and flight procedure design-it has signed a contract with ANS CZ, the Czech Republic's air traffic control service provider.

Among the small-cap companies, Tessellis lost 0.4 percent after announcing that it had received two expressions of irrevocable commitment from CC & Partners and Drag to subscribe for a portion of the shares from the capital increase approved by the board of directors last May 11.

Both subscription commitments are subject to the condition that the subscription price does not exceed EUR0.50 per share.

d'Amico International Shipping closed up 4.7 percent. A new share buyback program of up to 18.6 million shares will start on June 19. As of today, d'Amico owns 18 million of its own shares, corresponding to 1.5 percent of its share capital.

The board of directors of Zucchi -- in the red by 2.9 percent -- approved the interim report as of March 31, having reported a profit of EUR1.9 million from EUR2.1 million in the same period last year. Consolidated sales as of March 31 were EUR33.3 million, up 14 percent from EUR29.1 million in the same period last year.

Ebitda was positive EUR5.5 million in the first quarter, compared to EUR5.1 million in the first quarter of FY2022. Operating income was positive EUR2.9 million in the first quarter compared to EUR3.1 million in the corresponding period of the previous year.

On the alternative capital market of Borsa Italiana, Monnalisa gained 4.0 percent after announcing that the CEO, Christian Simoni, is also investor relations manager as of today. Simoni will replace Stefano Paoletti, who resigned to pursue new professional opportunities.

Cover 50 gained 0.7 percent after announcing that the liquidation procedure has been completed as the settlement of the purchase and sale of all 146,600 ordinary shares for which the right of withdrawal was exercised and which were subsequently fully subscribed under option and pre-emption.

SolidWorld Group rose 0.8 percent. The SME received three orders totaling EUR1.2 million for the 3D printer that makes decorated fabrics, which has an economic value of about EUR400,00. Selling it on the Italian market is subsidiary Energy Group, based in Bentivoglio in the province of Bologna.

In New York, the Dow is up 0.7 percent to 34,228.25, the Nasdaq gains 0.4 percent to 13,682.68, and the S&P 500 is up 0.5 percent to 4,394.66.

Among currencies, the euro changes hands at USD1.0910 versus USD1.0849 yesterday in closing European equities. In contrast, the pound is worth USD1.2743 from USD1.2689 on Wednesday evening.

Among commodities, Brent crude is worth USD74.27 per barrel versus USD74.18 per barrel last night. Gold, on the other hand, trades at USD1,956.41 an ounce from USD1,956.91 an ounce last night.

Friday's macroeconomic calendar opens with the Bank of Japan's rate decision, at 0400 CEST, and continues with Italy's inflation, due at 1000 CEST, and Eurozone inflation, due out an hour later. Also scheduled for release is Italy's trade balance data, at 1100 CEST.

Among companies in the Piazza Affari, no particular events are scheduled.

By Giuseppe Fabio Ciccomascolo, Alliance News senior reporter

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