Stock Exchange: Impact of Gas, Milan opens sharply – Economy

Stock Exchange: Impact of Gas, Milan opens sharply – Economy

Avary heavy apron at the beginning of negotiations, with the black shirt price list in Europe Afraid of the consequences of stopping Russian gas on its economy. The Ftse Mib index fell 2.4% with sales hitting banks particularly hard: Unicredit lost 4.4%, Banco Bpm 3.8%, Bper 3.6% and Intesa 3.5%. Strong decreases were also in Pirelli (-3.7%), Interpump (-3.6%), Amplifon (-3.5%), Unipol and Poste (-3.4%), Stm (3.2%) and Exor (-3.1%). Oil companies were bailed out, taking advantage of possible production cuts to be decided today by OPEC +: Tenaris advanced 0.9% and Eni rose 0.5%. Outside of the Ftse Mib, Mps sells 2.7% after the European Central Bank approved a 2.5 billion capital increase.

Heavy start for European stock exchanges Following Gazprom’s decision to keep the Nord Stream gas pipeline closed. In London, the Ftse 100 index fell by 0.74% to 7227 points, in Paris, the Cac 40 index fell by 1.93% to 6048 points, while in Frankfurt, the Dax lost 1.71% to 12827 points.

The euro rises 0.99 against the dollar, after adjusting to its lowest levels since 2002 to 0.98: the single currency is now trading with the dollar at 0.991

The price of gas in Amsterdam is slowing down a bit, having reached a maximum of €290 per megawatt-hour at the start of the session. Ttf futures rose 22% to €262 per megawatt-hour in the wake of Russia’s decision to shut down Nord Stream.

EU gas stocks rose over the past week to 81.55%. of storage capacity. GIE (Gas Infrastructure in Europe) data, as of last Saturday, indicates 85.55% of storage is filled in Germany and 83.74% in Italy.

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Oil prices are rising sharply At the beginning of the week, waiting for the OPEC + meeting that may take a decision on production cuts and after the position of the Group of Seven on setting a ceiling for Russian oil prices. West Texas Intermediate crude was trading at $88.53 a barrel, up 1.91%. Brent crude rose 2.13 percent to $95 a barrel.

The drop in the euro comes on the heels of Moscow’s announcement, before the weekend, to cut off gas supplies to Germany and Europe via Nord Stream 1. The slow decline of the euro against the dollar has continued since the beginning of the year, due to the economic uncertainty that has erupted. After the Russian invasion of Ukraine.

The red mark prevails in the Asian stock markets, which is paying for the effects of the energy crisis and weighed down by the potential limits, subject to the assessment of the US administration, to US investments in Chinese technology companies. Tokyo lost 0.1% and Seoul 0.2% while Sydney closed 0.3% higher. On the other hand, Hong Kong is down 1.3%, Shanghai is down 0.1% and Shenzhen is down 0.7%. Futures in Europe fell sharply, pushing gas prices (+23.4% to €275) caused by the prolonged closure of Nord Stream: futures in Frankfurt lost 2.9%, those in Milan 2.5% and those in London 2.2%. Meanwhile, the euro touched a twenty-year low against the dollar, falling below 0.99. On the day when Wall Street will be closed for Labor Day, investors’ eyes are also on the OPEC+ meeting, which may decide to cut oil production (WTI rises 2.1% to $88.7) in order to support prices.

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