European stock exchanges closed on March 9 with a strong rise and Europe recovered 464.53 billion in one day. stock markets that They are looking forward to negotiations between Moscow and Kiev In light of tomorrow’s meeting in Turkey between the Foreign Ministers of Russia and Ukraine, Sergey Lavrov and Dmytro Kuleba. But they also helped slowing energy prices And the belief that current stock prices, in the wake of the crashes of recent weeks, actually reflect the impact of the economic sanctions imposed on Russia in the wake of the invasion of Ukraine has actually led investors to take a new stance on stocks, in particular, rewarding titles that have suffered the most in the last days. But since the Russian invasion of Ukraine, the balance remains negative at 688.81 billion.
Milan + 6.95% at 23,889 points
After a day marked by a stable rally and acceleration in the final influenced by the positive start on Wall Street: Milan + 6.95% to 23,889 points, Paris + 7.13% and Frankfurt+ 7.89%While London is more contained (+3.44%). The rally, which started in the morning and remained stable throughout the session, is due to the sharp drop in gas prices and to the glimmer of positive developments in the crisis in Ukraine – at least according to official data. Gas drops about 25% to €145 per MWh at Ttf in Amsterdam after peaking at €295 on the morning of March 8. Decline is also dictated by momentumThe EU maximum bond hypothesis for financing energy and defense costs. On the Ukrainian front, Moscow said it knows new talks with Kyiv. Russia (Fitch International considers it one step away from default) does not want to overthrow the government of Ukraine. This was stated by the spokeswoman for Russian Foreign Minister Maria Zakharova, who emphasized progress in the negotiations.
Flashes in Ukraine and energy independence from Russia
They were actually Hope the peace talks to support the stock exchanges, with the possibility of holding meetings in a third country to bring about a relaxation of the situation in Ukraine. He explains that stock markets rise due to a combination of factors Giacomo Califf, Director, NS Partners, Italy – Including the little flashes at the forefront of the war in Ukraine. But it is also rising because raw materials, especially agricultural materials and energy, are going down a little bit today because Europe has announced that it can reduce its dependence on Russia and this is a breath of fresh air. Then there is also an element of technical throwback.
Headlines in Piazza Avari
Piazza Avary, which has been among the most sanctioned exchanges in Europe since the start of the Russian invasion, was among the best on Wednesday with Frankfurt, with banks asserting themselves at the forefront of supporting the list (Here are the quotes in real time). In Ftse Mib, the best stock Stellantis (+12.28%) and Unicredit is running (+11.7%), which confirmed the dividend on the eve after determining the amount of its exposure in Russia. Purchases in general on banks: Bper (+9.99%), Intesa (+11.1%) and Banco Bpm (+8.67%). Instead, they took profits for Tenaris (-5.53%), also frozen on the downside, and Saipem (-1.44%), after the race on the eve of the day. The minus sign for Eni (-0.5%), which, along with other oil products in Europe, mitigates the decline in crude oil prices (Wti at $117.67 and Brent at $121.45). The The BTP-Bund’s margin decreased by about 5.47% to 142 points.
Tech recovery too
According to Carlo De Luca, Chief Investment Officer at Gamma Capital Markets, the market is now also rebounding due to technical reasons.. We see the closing of open short positions in the last two weeks, he comments. The violent correction in the past 14 days is not only attributed to the “emptying” of bags but also to deleveraging (On Monday, March 7, the DAX touched a critical support – 12,500 points – so that the market can maintain a positive long-term trend, the level at which algorithms begin to automatically close short positions and buy back regardless of fundamentals.) In fact, the heavy losses on Monday morning eased a lot in the afternoon, indicating a lower level for European stock exchanges. From here we believe that a very strong technical bounce could start in the next few days, although we can’t talk about a trend reversal.
Russia and the impending default
And while the Russian Central Bank has decided to continue to largely suspend trading on the Moscow Stock Exchange, the ruble is slipping further after another downgrade of Russia’s sovereign debt by Fitch, which coincided with the reopening session of the Russian currency. currency market. And Fitch International downgraded the Russian Federation from B to C due to the impact of sanctions on the national economy. For the rating agency, the risk of Russia defaulting on sovereign debt is imminent.
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