(Alliance News) - Europe's major marketplaces meet forecasts and all open close to parity, on a day lacking in macro economic data and in the aftermath of Russia's decision to cut oil exports by 500,000 barrels per day, just as Saudi Arabia's previously announced cut of one million went into effect. Brent crude thus hovers around USD75.
Holding the day's headlines, however, is China's decision to cut exports of gallium and germanium, materials useful in semiconductor production.
"Just when the battle to tame inflation seems to be working, a new skirmish in the U.S.-China trade war threatens to disrupt supply chains, potentially driving up prices," commented Susannah Streeter, head of money and markets at Hargreaves Lansdown.
"China's move appears to be a response to U.S. restrictions on sales of chips, which are in high demand for artificial intelligence. The policy move, which comes just days before U.S. Treasury Secretary Janet Yellen's visit to Beijing, is likely designed to put pressure on the United States to release current export bans and lift others, which are expected," the analyst added.
The FTSE Mib, therefore, rises 0.3 percent to 28,523.47, the Mid-Cap is in the fractional red at 42,593.92 as is the Small-Cap at 27,055.52, and Italy Growth picks up 0.2 percent to 9,075.25.
In Europe, London's FTSE 100 is just above par as is Paris' CAC 40 and Frankfurt's DAX 40.
On the highest-capitalization list in Piazza Affari, Tenaris gives up 0.6 percent after announcing Monday evening that its Brazilian subsidiary Confab Industrial SA, along with its affiliates Ternium Investments and Ternium Argentina, which make up the T/T group within the Usiminas control group, completed the acquisition of 68.7 million ordinary shares of Usinas Siderúrgicas de Minas Gerais SA from Nippon Steel Corporation, Mitsubishi and MetalOne, in proportion to their current holdings in the T/T group within the Usiminas control group, at a price of BRL10 per ordinary share, approximately USD2.08.
Under the terms of the transaction, Tenaris thus paid BRL110 million -- or about USD23 million -- for 11.0 million ordinary shares, increasing its stake in the Usiminas control group to 9.8 percent.
In the green, however, the other two oils on the list, with Saipem rising 1.7 percent, the subject of recommendations from Redburn, which raised its target price to EUR2.57 per share, and Eni picking up 0.5 percent instead.
Generali opens down 0.3%, after Delfin of the Del Vecchio family was allowed by IVASS to rise from its current 10% to a potential 20% in the Trieste-based lion, and with ally Caltagirone's rise to 9.9% in Mediobanca, the pincer of the two big losers in April 2022 is strengthened considerably.
Prysmian Group rises 1.0% to EUR38.39 - JPMorgan raised its target price to EUR50.00 from EUR45.00 with 'overweight' title - after announcing Monday that it has been awarded a new contract awarded by Ørsted Wind Power A/S to supply inter-array submarine cables for the Hornsea 3 offshore wind farm, located 160 km off the English Yorkshire coast.
When completed, the park will be able to supply clean, renewable electricity to more than three million homes.
DiaSorin raises 0.3 percent. The Court of Appeal of Milan ordered the suspension of the administrative interdiction sanction imposed on CEO Carlo Rosa by Consob "for the alleged unlawful communication of privileged information related to the completion of the studies for the launch of the serological test for the diagnosis and identification of the immune response to SARS-CoV-2," according to the company's note.
Therefore, "Rosa can immediately resume his functions of administration, management and control of the company. This order was issued as part of the appeal proceedings brought by Rosa in order to obtain the full annulment of the ruling by Consob."
On the Mid-Cap, Juventus Football Club opens up 0.2 percent after reaching an agreement with Lille Olympique Sporting Club for the outright acquisition of the right to the sporting services of footballer Timothy Weah for a consideration of EUR10.3 million, payable in two fiscal years, plus ancillary charges up to a maximum of EUR1.0 million.
In addition, bonuses of up to a maximum of EUR2.1 million are expected upon the fulfillment of certain sporting goals or conditions.
Sesa - in the green by 0.4 percent - announced that it has signed an industrial partnership and acquisition agreement, through its wholly owned subsidiary Var Group, for a 51 percent stake in Wise Security Global, thus strengthening its distinctive digital security expertise.
Among the small-cap companies, BF -- up 0.8 percent -- announced Monday that it has signed a contract to sell a 1.25 percent stake in the share capital of its subsidiary Bonifiche Ferraresi Spa Società Agricola to Regolo Spa, an investment holding company that controls Antares Vision Spa.
The consideration that will be paid to BF for the transaction, amounting to EUR5.0 million, will enable the company to recognize a capital gain of about EUR1.7 million, the company specified in a note.
Risanamento divests 2.7 percent after the deeds related to the Project Starfighter transaction concerning the transfer of the entire development area called Milano Santa Giulia - except what has already been sold to Esselunga and the CTS Eventim group - at a consideration of EUR648 million in line with the fair market value, to the closed-end mutual investment fund managed by "Lendlease Italy Società di Gestione del Risparmio, which will be in charge of the real estate development, under the Integrated Intervention Plan, of the remaining building area of 385.091 square meters of mixed-use, complementing the approximately 265,000 square meters already built in the southern area near Rogoredo station.
Technoprobe -- which opens up with 0.7 percent -- announced Monday that it has signed a binding offer to acquire 100 percent of the capital of Harbor Electronics, a company specializing in the production of printed circuit boards for the testing market from the group headed by Shenzhen Fastprint Circuit Tech Co, for USD50 million.
GPI -- flat at EUR11.70 -- announced Monday that it had signed an agreement to take over about 97 percent of the capital of the French group headed by Evolucare Investment SAS through its subsidiary GPI France SASU.
On the alternative capital market of Piazza Affari, Pozzi Milano -- up 4.9 percent -- announced Tuesday that it had signed an agreement to manage its brand in several countries with Licensing Italia Srl, an agency that specializes in finding potential licensees worldwide.
IDNTT opens in the green by 0.6 percent after announcing Monday that it has exercised its option right on the purchase of an additional 15 percent stake in the share capital of In-Sane! Srl from non-operating partner Perseo Srl, at a price of EUR360,000.
In Asia, the Nikkei closed 1.0 percent in the red at 33,422.52, the Hang Seng was in the green by 0.5 percent at 19,410.46, and the Shanghai Composite closed fractionally in the green at 3,245.35.
In New York, where markets closed mid-session for Independence Day eve, the Dow finished in fractional green at 34,418.47, the Nasdaq rose 0.2 percent to 13,816.77 and the S&P 500 closed up 0.1 percent at 4,455.59.
Among currencies, the euro changed hands at USD1.0902 against USD1.0910 in Monday's European equities close. In contrast, the pound is worth USD1.2694 from USD1.2691 on Monday evening.
Among commodities, Brent crude is worth USD75.28 per barrel versus USD75.41 per barrel at Monday's close. Gold, meanwhile, trades at USD1,927.44 an ounce from USD1,925.89 an ounce on Monday evening.
Monday's macroeconomic calendar, devoid of insights from the U.S., where markets will remain closed, includes the release of Italian government deficit data at 1000 CEST.
Among companies in the Piazza Affari, no particular events are scheduled.
By Chiara Bruschi, Alliance News reporter
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