(Alliance News) - European stock markets moved into the red in mid-session Thursday, with traders assessing a number of important economic data. Among them, the Eurozone's inflation rate slowed less than expected in February while unemployment remained at record highs, pending the minutes of the ECB's latest policy meeting to be released today.

ECB President Christine Lagarde said rates will have to rise higher and stay higher for a while to fight inflation. Markets are fully priced in for a 50 basis point ECB hike this month and are flirting with another 50 basis points in May. Investors have also heard aggressive signals from U.S. Federal Reserve officials that more work is needed to reduce inflation.

On Thursday in the CME Group platform's FedWatch Tool -- using futures also based on the actual federal funds rate, or EFFR -- the main rate hike for the March 22 meeting has a 69% probability of a hike in the 475/500 bps range. In contrast, the probability of an increase in the 500/525 bps area is at 31%. The current target is between 450 and 475 bps.

On the domestic front, according to Istat's preliminary estimates released Thursday, the national consumer price index rose 0.3 percent month-on-month and 9.2 percent year-on-year in February, up from 10.0 percent in the previous month.

The slowdown in the inflation rate is primarily due to the accentuation of the trend-based decline in prices of regulated energy goods, from minus 12.0 percent to minus 16.7 percent, and the deceleration of prices of unregulated energy goods, from 59 percent to nearly 41 percent.

As a result, the FTSE Mib is sinking fractionally to 27,311.75.

In Europe, London's FTSE 100 is giving up 0.1 percent as is Paris' CAC 40, while Frankfurt's DAX 40 is down 0.3 percent.

Among the smaller lists, the Mid-Cap is giving up 0.1 percent to 44,650.92, the Small-Cap is in the green 0.1 percent to 30,407.50, and Italy Growth is up 0.2 percent to 9,411.20.

On the main list, among the few bullish stocks is Tenaris, which rises well with 1.9 percent.

Amplifon -- up 2.7 percent -- on Wednesday approved its draft operating budget as of December 31, 2022 reporting record revenues at EUR2.12billion up 8.8 percent at current exchange rates and 6.8 percent at constant exchange rates from EUR1.95billion in 2021. Net income on a recurring basis is EUR183.3 million, up 4.6 percent from EUR175.2 million recorded in 2021. The board also proposed a dividend of EUR0.29 per share, up nearly 12 percent from EUR0.26 per share in 2021, with a pay-out of more than 36 percent of consolidated net income per share.

Good buying also on Eni, leading the stock to rally 1.6% with price at EUR13.38.

CNH Industrial - in the red by 0.4 percent - reported on Wednesday that it bought back 622,807 of its own shares between Feb. 20 and Feb. 24, 2023. The shares were taken over at an average price of EUR15.46 or so for a total of EUR9.6 million.

STMicroelectronics closes the list, which gives up 6.5 percent bringing the price to EUR42.70 per share.

Moncler, on the other hand, gives up 1.2 percent to EUR59.00. On the stock it is mentioned that Deutsche Bank raised its target price to EUR69.00 from EUR63.00.

On the cadet segment, Brembo gives up 2.8 percent to EUR14.23, on the heels of Wednesday's red 1.9 percent drop. The stock had previously come from four bullish sessions.

Banca Monte dei Paschi depreciates 2.2%, pending the numbers to be published next Wednesday.

Fincantieri, on the other hand, retreats 0.6% to EUR0.6030, reversing the trend after three sessions closed among the bullish.

Ahead, Iren advances 1.7 percent bringing the price to EUR1.6369 and rearing its head again after two sessions ended on a negative note.

The board of Maire Tecnimont - up 1.5 percent - on Wednesday evening reviewed and approved the group's draft budget for 2022, which with a consolidated net profit of EUR90.4 million, up more than 12 percent from the previous year. The board approved the proposal regarding the allocation of the profit for the year and dividend distribution totaling EUR40.7 million, with a unit dividend of EUR0.124. Maire Tecnimont Group revenues amounted to EUR3.46 billion, up 21 percent on the previous year.

On the Small-Cap, Eems contracted 3.4 percent to EUR0.04 after eve's green with 0.5 percent.

Biesse, on the other hand, gives up 2.8% to EUR16.95.It should be noted that on a weekly basis, the stock has appreciated 13%, bringing its assets since the beginning of the year to over 34%.

On the highs, among the few stocks on a positive note, Eukedos advances with 4.6% bringing the price to EUR4.60 before being stopped at the volatility auction.

Bioera, on the other hand, rises 4.8 percent to EUR0.2495 after a 0.6 percent decline on the eve.

Among SMEs, Aton Green Storage advances 4.3% bringing the price to EUR6.78.

Allcore rises 1.3% to EUR2.30, rearing its head again after two bearish sessions.

Medica--flat at EUR24.20--on Wednesday evening announced that its subsidiary Medica USA Inc has signed a definitive agreement with Evoqua Water Technologies, a company active in mission-critical water treatment solutions, to buy assets to produce blood filters and water filters. Evoqua will retain distribution rights to the water filtration product line.

Clabo, however, gives up 0.3 percent to EUR1.93, after two sessions closed on the bullish side.

In New York on Wednesday evening, the Dow Jones closed just above parity, the S&P gave up 0.5 percent, and the Nasdaq left 0.7 percent on the sidelines.

Among currencies, the euro changed hands at USD1.0636 versus USD1.0677 at Wednesday's close. In contrast, the pound is worth USD1.1973 from USD1.2022 on Wednesday evening.

Among commodities, Brent crude is worth USD84.05 per barrel versus USD83.15 per barrel on Wednesday evening. Gold, on the other hand, trades at USD1,831.09 an ounce from USD1,837.35 an ounce at Wednesday's close.

On Thursday's macroeconomic calendar, at 1000 CET comes the Italian unemployment rate, while at 1100 CET it will be the turn of the inflation rate, also coming from the Eurozone at the same time.

At 1330 CET, from the ECB the minutes of the latest monetary policy meeting.

From the US, at 1430 CET initial unemployment claims, while at 1730 CET an auction of 4- and 8-week Treasury bonds is scheduled.

A speech by Fed member Waller is scheduled at 2200 CET.

By Maurizio Carta, Alliance News reporter

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