European stock markets cautious awaiting the ECB: focus on inflation and raw materials

European stock markets cautious awaiting the ECB's imminent decision on rates, with an expected increase of 25 basis points. A move to counter the inflation driven by the rise in crude oil (WTI +1.25% to 97.24 dollars per barrel and Brent +0.82% to 102.02 dollars per barrel) and natural gas (+2.1% to 80.91 euros per MWh), which broke the threshold of 81 euros, at the highest levels since the end of December 2022.

Madrid and Milan gain 0.15% and Paris 0.05%, while Frankfurt loses 0.05% and London 0.45%. US futures mixed in view of data on the labor market, existing home sales and gas and crude oil inventories.

Gold resists (+0.06% to 4,381.4 dollars per ounce) and the dollar stabilizes at 1.16 to the euro and 1.35 to the pound. The spread between German 10-year BTPs and Bunds stands at 84 points, with the Italian annual yield falling by 0.4 points to 4.29%, the German one growing by 0.7 points to 3.45% and the French one by 0.4 points to 4.34%.

The purchases reward the oil companies BP (+1.1%) and Shell (+0.7%), more cautious TotalEnergies (+0.27%) and Eni (+0.2%), which is on the rise. Ferrari runs (+2.1%) followed by Porsche (+0.95%), Renault (+0.5%) and Stellantis (+0.3%). Luxury suffers with Adidas (-3.5%), Moncler (-2.25%) and Puma (-1.4%). Semiconductor producers were weak, defense was brilliant with Leonardo (+3.15), Kongsberg +2.75% and Fincantieri 1.65%.