Milan –”Investors are reducing risk“This week is expected to see a lot of big events, from central bank meetings to big tech earnings,” said Charu Chanana, a strategist at Saxo Capital Markets. Bloomberg Perfectly sums up the market sentiment these few hours. With interest rate decisions coming from Japan, the US and the UK, and quarterly reports approaching (tonight’s turn), we are waiting for two days of central bank meetings. Microsoftwhile Piazza Affari is expected to see a large number of accounts after To Intesa), caution is the priority.
The financial institution noted that European companies are reducing profit targets due to weak demand, a trend also seen in the U.S. as factors that have so far hampered the market’s rebound. U.S. banks see ‘dramatic’ increase in forecast cuts this reporting seasonexceeding the growth rate of the previous four quarters.
The macroeconomic agenda is also rich Ancient Worldreleased the second quarter GDP data. The results exceeded expectations France +0.3%.
Markets are currently pricing in an 80% chance of a second rate cut from the ECB in September, but analysts warn that the last mile in reducing inflation could be difficult given the “stickiness” of price increases. Bonds could suffer.
Asian indices were weak, with the MSCI Asia Index set to post losses in July (first decline since April). Futures on Wall Street were also weak following yesterday’s eight-day volatile session, with the US July jobs monthly report also on the horizon, in addition to the Fed.
Lottomatica’s collections grew significantly in the first half of the year, reaching 18 billion (+23% compared to the first half of 2023). Of this, online collections grew by 41% compared to the same period last year. Revenues grew, reaching $931 million in the first half of the year (+14%) and $491.7 million in the second quarter (+24%). Adjusted EBITDA reached $317.3 million, up 6% compared to the first half of 2023.
EssilorLuxottica has entered the Romanian optical retail sector by acquiring Optical Investment Group, one of the country’s main operators, from Innova Capital Group’s private equity fund Innova/6 and a group of individual minority shareholders.
Financial terms of the business were not disclosed and “will allow us to further strengthen our retail presence in Central and Eastern Europe,
to develop the local market and support the goal of promoting access to quality eye care for the benefit of all stakeholders”, explains Francesco Milleri, President and CEO.
Following yesterday’s negative close, European stocks are bracing for an uncertain start as the Fed’s directive to keep interest rates steady but hinted at a rate cut in September, Bank of England: Observers expect the Bank of England UK to ease monetary tightening, but the decision is not yet certain as wage inflation is a concern, with a 10% increase in the minimum wage in April clearly having an impact on broader wages as well as prices in labor-intensive sectors such as services. Eurostoxx 50 futures rose 0.23%, while Dax futures fell 0.06% and Cac 40 futures rose 0.12%. FTSE 100 contracts were negative, down 0.05%.
CNH Industrial has introduced its new Global Leadership Team (GLT). The Construction business unit (explanatory note) will operate as a separate business unit within CNH with greater autonomy. “The new GLT features a simplified matrix organisation and includes industry experts and professionals from across CNH. Their deep internal and industry knowledge, combined with a wealth of experience, will support the company’s strategic execution,” it said in a statement. The appointments will take effect from August 1 and all those in the new roles will report to CEO Gerrit Marx. The CEO has direct responsibility for the Agriculture division, overriding the previous responsibilities of division president. Humayun Chishti, who has been with CNH since 2002 and was previously a finance business partner in the construction industry, has been appointed president of the Construction division. Douglas Macleod, who has been with CNH for more than 15 years, has been confirmed as president of financial services. “I am confident this management team will accelerate the delivery of world-class products and services to the market. Our continued focus on quality, brand, and the convergence of world-class manufacturing and technology will drive our operational execution,” Marx said, anticipating “an updated strategic plan to be announced at our Investor Day in early 2025.” The company continues to “reclaim its position in the competitive landscape.”
Wall Street futures were weak, mixed, in line with yesterday’s flat close. The New York Stock Exchange recorded a volatile trading day, ushering in a week full of events, including earnings results for important technology stocks and the Federal Reserve Board, which is not expected to have surprises, but may give signs about the timing of a rate cut. The agenda for this week also includes the US monthly employment report for July. Investors showed caution as they awaited quarterly reports from Microsoft, Apple and other tech giants, as well as the decision of the Federal Reserve, but the central bank’s president Jerome Powell said at a press conference that the Fed is expected to keep interest rates unchanged. , which may support the argument for a rate cut at the September meeting. The Dow Jones contract fell 0.01%, the Nasdaq contract fell 0.10%, while the S&P 500 contract was flat.
French GDP grew 0.3% quarter-on-quarter in the second quarter, beating expectations of 0.2%. The 0.2% growth in the first quarter followed a 0.1% increase in the fourth quarter of 2023. On an annual basis, GDP grew 1.1%, the same as the previous quarter.