Stock market, clearing up on Greenland kicks off rebound. Milan +1.3% but defence collapses
Trump's 'truce' on tariffs against countries that had sent soldiers to Greenland calms financial tensions. Gold rises again, dollar weak. Wall Street closes higher, DJ +0.63%, Nasdaq +0.91%
(Il Sole 24 Ore Radiocor) - The truce between the US and the EU over Greenland and US President Donald Trump's step back on tariffs kick-started the stock market rebound. Milan ended the session up 1.36%, with the FTSE MIB regaining 45,000 points, Paris 0.99% and Frankfurt 1.3%, while Madrid gained 1.9%.
US President Donald Trump announced a framework agreement on Greenland with NATO and the cancellation of threatened tariffs against European countries that had sided with Denmark. In a more relaxed general climate, Wall Street also moved into positive territory, while the dollar remained weak. The most exposed stocks rose, primarily automotive and technology (buoyed by the optimistic words of Nvidia CEO Jensen Huang, who spoke of AI as the "engine of the greatest infrastructural expansion in human history"), while the defence sector fell.
Wall Street closes up, DJ +0.63%, Nasdaq +0.91%
Wall Street closed positive. The Dow Jones rose 0.63 per cent to 49,383.58 points, the Nasdaq advanced 0.91 per cent to 23,436.02 points, and the S&P 500 advanced 0.55 per cent to 6,913.34 points. The US stock market moved higher after President Donald Trump ruled out the use of force to obtain Greenland and after, on the macro front, the Pce inflation (personal consumption expenditures price index), the Federal Reserve's preferred measure of inflation, rose 0.2 percent in November from the previous month, in line with expectations. Compared to a year earlier, it rose 2.8%, again in line with expectations and the previous month. Also on the macro front, the GDP for the third quarter in the second reading was revised upwards to +4.4% from +4.3%, while weekly unemployment claims stood at 200,000, a thousand more than the previous reading.
On the stock market, Procter & Gamble shares lost ground after its fiscal second-quarter revenue disappointed expectations; profit, however, was above consensus. Intel, which rose to its highest level in three years, is still on the rise ahead of the release of its quarterly earnings report, scheduled after the markets close.
Buzzi and Nexi lead in Milan. Sales sink defence
At Piazza Affari, Buzzi (+3.89%), Nexi (+3.86%) and Azimut (+3.02%) topped the list. The banking sector was tonic, with Unicredit (+2.95%) Mediolanum (+2.78%), Mediobanca (2.28%) and Mps (+2.12%) among the best performers. Purchases were also made on Stellantis (+1.88%) and Stellantis (+1.65%) at the head of their respective sectors. At the tail end of the list, defence stocks Leonardo (-3.1%) and Fincantieri (-8.73%) slipped, following rises in previous sessions.
