(Alliance News) - On Thursday, major stock exchanges in Europe closed in the positive after U.S. inflation data indicated a broad easing of price pressures, with the main rate and core rate below forecasts, supporting the assumption that the Fed will soon end its monetary tightening campaign.

On Thursday, after the release of new U.S. economic data, 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 a probability that rose to 91 percent for the 525/550 bps range confirmation.

In contrast, the 25 bps hike in the 550/575 bps target is priced at 9%.

The U.S. annual inflation rate rose to 3.2 percent in July from 3.0 percent in June but below forecasts of 3.3 percent, the U.S. Bureau of Labor Statistics reported Thursday. July's acceleration marks a halt to 12 consecutive months of declines, due to base effects.

On a monthly basis, U.S. inflation was 0.2 percent in July, the same as in June and in line with market expectations.

On the labor market front, initial claims for unemployment benefits rose above expectations in the past week, as released Thursday by the Labor Department. The number of Americans filing for unemployment benefits jumped by 21,000 from the previous week to 248,000 in the week ended Aug. 5, well above expectations of 230,000.

Thus, the FTSE Mib closed up 0.9 percent to 28,575.05, the Mid-Cap up 1.0 percent to 42,145.35, the Small-Cap up 0.3 percent to 26,933.92, and Italy Growth in the green 0.4 percent to 8,917.05.

In Europe, London's FTSE 100 closed in the green by 0.4 percent, Paris' CAC 40 up 1.5 percent, and Frankfurt's DAX 40 finished up 0.9 percent.

On the main index in Piazza Affari, the highs included Moncler, which closed up 3.6 percent on the heels of eve's green, albeit by 0.3 percent.

Also doing well was Banco BPM, up 2.9 percent. The stock, which closed with price at EUR4.34, replicates eve's positive balance of 5.5 percent.

Telecom Italia equally positioned itself on the highs with a 2.8% rise, while talks between the KKR fund and the Treasury to buy Netco intensified. As Francesco Bonazzi explains in Alliance News, "the important date in the handling of the dossier, until yesterday, was September 30, by which the KKR fund must submit its binding offer for the Telecom network. An offer ranging from EUR21 billion to EUR23 billion in value, depending on how certain assets shape up. But now all the spotlight is on the next meeting of the Council of Ministers, scheduled for August 28, when government work resumes after the summer break.

"Indiscretions not denied by the executive speak of a four-way agreement between the Ministry of Economy, Cassa Depositi e Prestiti (which has 10 percent of Telecom Italia), F2i and KKR. A formal step in Palazzo Chigi is obviously needed to make the Treasury's entry into the field official. Also at the end of August, in parallel, the U.S. fund is expected to sign credit lines with a pool of 10 banks (some of which are also TIM's creditors) for about EUR10.5 billion," the Alliance News columnist points out.

Intesa Sanpaolo, on the other hand, advanced 1.9 percent, following up on the eve's green closed with 2.3 percent.

Among the few bearish performers, Pirelli gave up 0.4 percent, closing for the seventh session in a row on the bearish side.

On the Mid-Cap, Saras brought home a 3.7% green on the heels of Wednesday's 2.7% green, with the stock well driven by oil price rises.

Brunello Cucinelli, on the other hand, advanced 4.1 percent-following Wednesday's green with 1.1 percent-taking the lead.

Banca Popolare di Sondrio closed up 1.2 percent, thanks to a half-year with a record net profit of EUR207.1 million from EUR105.0 million in the same period last year. Net interest income amounted to EUR427.0 million up from EUR320.0 million in the first half of 2022.

On a negative note, Mutuionline stepped back 6.0 percent with new price at EUR28.25.

On the Small-Cap segment, Aquafil closed up 2.9%, bringing its price to EUR3.35. The stock on a weekly basis still marks a red of about 7 percent.

Autostrade Meridionali, on the other hand, picked up 5.2%, bringing its assets on a weekly basis to about 32%.

Netweek, on the other hand, gave up 5.4 percent. There was a high trading volume of more than 92,000 traded on the stock, compared with a three-month daily average of about 15,700.

SIT, on the other hand, left 2.8 percent on the parterre, after 1.4 percent green on the eve of the day.

Among SMEs, Arterra Bioscience brought home a plus 7.2 percent, turning upward after two bearish sessions.

Altea Greenpower, on the other hand, picked up 3.7 percent, following a 0.8 percent loss on eve.

Ecosuntek soared 1.3% after reporting Wednesday evening that Eco Trade, a 63.4% subsidiary, signed two preliminary agreements on July 31 to purchase the stakes held in + Energia Spa by Paolo Marinangeli for a 17.90% stake and by Soni Mar Srl for a 26.875% stake for a total share of about 45%. The purchase involves a total price of about EUR21.3 million to be paid at the closing, expected by the end of October 2023. A sum of just under EUR1.3 million was paid as a down payment on Wednesday.

At the back of the pack, Estrima gave up 4 percent, after a 0.9 percent green on the eve of trading.

In New York, the Dow is up 0.7 percent, the Nasdaq up 0.7 percent, and the S&P 500 up 0.6 percent.

Among currencies, the euro changes hands at USD1.1018 against USD1.0978 on Wednesday in European equities closing, while the pound is worth USD1.2732 from USD1.2720 on Wednesday evening.

Among commodities, Brent crude is worth USD87.28 per barrel versus USD87.00 per barrel at last night's close. Gold, on the other hand, trades at USD1,918.59 an ounce from USD1,950.75 an ounce Wednesday night.

Friday's economic calendar includes, at 0800 CEST, British Gross Domestic Product data along with industrial production while, at 1000 CEST, the Italian trade balance is due.

From the U.S., at 1430 CEST, room for the producer price index; at 1900 CEST, will come data on Baker Hughes drilling rigs and, as usual on Fridays, at 2230 CEST, the COT Report.

On the corporate calendar, no events are scheduled.

By Maurizio Carta, Alliance News reporter

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