Market Day

Stock exchanges, positive week for Europe pending US tariffs. Milan +0.8%.

Contrary to expectations, the US President also announced a missive to the European Union and tariffs of 35% on Canada. Banks and luxury goods down in Piazza Affari

11 July 2025

4' min read

La Borsa in un minuto

(Il Sole 24 Ore Radiocor) - European stock exchanges closed the last session of the week in the red, with investors closely monitoring developments in the tariffs issue. The wait is on for the letter to the EU on tariffs announced overnight by US President Donald Trump, from which it will become clear whether the tight negotiations between the US and the EU will lead to a favourable agreement along the lines of the one between the US and Great Britain or whether, instead, 10% higher tariffs will be applied. Investors are also wondering about the future of Ukraine, after Trump announced that he will make a important statement on Russia on Monday 14 July, also pointing out that he was disappointed with the decisions taken by the president, Vladimir Putin. Thus Milan ended trading with the worst performance in the Old Continent at -1.1%. Paris dropped 0.92% and Frankfurt 0.89%.

Europe does not hold highs, but closes the week up

European stock exchanges, despite the slide in the last session, closed a positive week. Indeed, indices reached new highs on the back of optimism over the outcome of the negotiations on the trade front between the EU and the White House, only to retreat again after the announcement of 35% tariffs for Canada and the imminent letter with tariffs that Donald Trump intends to deliver to Brussels. Against this backdrop, Milan recovered from last week's declines and finished at +0.8%. Frankfurt closed at a similar level (+0.9%) and Paris (+1.8%). In Milan's equities, Buzzi (+12% for the week) took the pink jersey, while better than expected inflows data rewarded Azimut (+8.7%). Purchases were also made on Generali (+3.8%), Ferrari (+3.1%) and Leonardo (+3.1%), which continued to benefit from the positive momentum in defence stocks. On the opposite front, rumours of a bid for the Defence division by the group led by Roberto Cingolani penalised Iveco (-7.1%). On the banking front Mediobanca left 1.9% on the parterre, pending the start on Monday, 14 July of the offer acceptance period launched by Mps (-2.15%).

Wall Street closes lower on tariffs, DJ -0.63%, Nasdaq -0.22%

Wall Street closed lower as a result of tariffs threatened by Donald Trump. The Dow Jones lost 0.63 per cent to 44,371.51 points, the Nasdaq gave up 0.22 per cent to 20,585.53 points while the S&P 500 dropped 0.33 per cent to 6,259.75 points.

Trump announced 35% tariffs on Canada. Trump cited fentanyl as the reason for the increase in Canadian tariffs, adding that he is also prepared to increase them further if Ottawa retaliates. The tycoon also said he wanted to impose generalised tariffsof 15% or 20% on most trading partners and added: 'I think the tariffs have been very well received. The stock market reached a new high today'. Nvidia's jump in the wake of hopes over artificial intelligence, which led to a $4 trillion market valuation, has contributed to the market's recent gains. At the stock level, Nvidia is up half a percentage point after a run in recent days on the back of hopes about artificial intelligence, which led to a market valuation of $4 trillion. Speaking of artificial intelligence, the stock of Goldman Sachs gave up 0.8%, after the investment bank disclosed a test on a computer engineer created by Cognition, an artificial intelligence startup, who is expected to soon join the company's 12,000 human developers. Levi Strauss's stock is up sharply after its second quarter results beat expectations.

Luxury and banks down in Milan

At Piazza Affari the spotlight was on Brunello Cucinelli (-1.28%) in the aftermath of the release of half-year revenues, which grew by over 10%. After a bullish start, the luxury stock reversed course, adjusting to a list with few stocks in the green. Banks were still in focus, especially Unicredit (-2.34%) after the German government demanded a step back in the takeover of Commerzbank. Bper (-1.86%) was also in focus, with the Popolare di Sondrio (-1.52%) bidding on the penultimate day of the subscription period on the eve of the offer, reaching 35.96% of capital. Still down Iveco (-6%) on rumours that Leonardo (+1.4%) has submitted a EUR 1.6 billion bid for the Defence division. Outside the main basket, Dexelance (+2%) was bought on the announcement of the acquisition of a 65% stake in Mohd.

Bitcoin falls back after record highs, oil rises

On the currency side, the dollar strengthened, with the euro/dollar exchange rate back at 1.16. The Bitcoin, after hitting new records breaking the $118,000 mark, stands at $117,719. "Since the beginning of the year it has gained 27 per cent, +42 per cent in the past three months and +105 per cent in the past twelve. The market capitalisation has reached $2,350 billion, a figure comparable to Italy's GDP in 2024," stressed Gabriel Debach, market analyst at eToro, pointing out that "the figure that counts is not just the price. It is the quality of demand'. "More and more listed companies are integrating Bitcoin into their treasury reserves, turning it into a strategic asset."

Gold also rose, with futures trading above $3,300 an ounce. On the energy front, oil is running again: the North Sea Brent at over 70 dollars a barrel, while the Wti is trading above 68 dollars. Slightly moved gas at EUR 35 per megawatt-hour on the Ttf platform in Amsterdam.

Spread stable at 88 points

The spread between the BTp and Bund closed at unchanged levels. At the end of the session, the yield differential between the benchmark ten-year BTp and the German peer maturity stood at 88 basis points, unchanged from yesterday's close. On the other hand, the yield on the benchmark ten-year BTp rose to 3.60% from 3.58% at the close of the previous day.

3.5bn 3-year BTp notes issued, yield rises 23 cents to 2.47%

Yields were up for the BTp bonds offered at auction today by the Treasury. In detail, the first tranche of the three-year BTp maturing 15/01/2029 was placed for an amount of 3.5 billion against requests for 5.316 billion. The bid-ask ratio was 1.52, while the gross yield, up 23 cents on the previous auction, stood at 2.47%. The sixth tranche of theseven-year BTp maturing on 15/07/2032 was also issued. The bond was placed for EUR 3.5 billion against demand of EUR 5.232 billion, with a bid-ask ratio of 1.5. The yield increased by 14 cents on last month's auction, stopping at 3.17%. Finally, the Treasury issued the second tranche of the 15-year BTp maturing on 01/10/2040 for EUR 1.75 billion. Demand amounted to 2.928 billion. The yield stood at 4.03 per cent.