FTSE MIB Falls Over 1%

The FTSE MIB fell more than 1% to around 45,100 in early trading on Thursday, giving back gains from the previous session and moving in line with declines in global equities, as investor optimism for a quick end to the conflict with Iran waned after comments from US President Trump. He indicated that US operations were approaching their goals and promised tougher measures, including possible strikes on electrical plants over the next two to three weeks. Most stocks traded in the red, particularly heavyweight financials, as the speech propelled oil prices higher, reignited inflation concerns, and pushed yields up. Unicredit fell over 3%, alongside Intesa Sanpaolo (-2.2%), Banco BPM SPA (-1.7%), Bper Banca (-2.7%), Mediobanca (-2%), Unipol Gruppo (-1.6%), and Banca Mediolanum (-1.7%).

The FTSE MIB Index went up by 1405 points or 3.17 percent on Wednesday to close at 45715 points. The rise was led by Leonardo SpA (8.48%), Interpump Group (7.01%) and Buzzi Unicem (6.31%).

The FTSE MIB surged 3.2% to 45,715 on Wednesday, in line with global stocks as hopes of Middle East de-escalation grew. Iran and the US exchange ceasefire offers, but both sides rejected the respective conditions for an end to the war. Most stocks posted notable gains, led by heavyweight financials as easing energy inflation concerns and lowered yields. UniCredit jumped 5.6%, Intesa Sanpaolo rose 4.4%, while BPER and BPM gained between 3-4%. Also, Leonardo spiked 7.9% after Citigroup upgraded it to Buy from Neutral. Avio surged 10% as European defence stocks rallied following Citigroup's upgrade of Leonardo and BofA's upgrade of Rheinmetall, with momentum also bolstered by SpaceX's IPO announcement. Meanwhile, Buzzi was up 6.3% after announcing 4.8% revenue growth in fiscal 2025. In contrast, Eni trimmed prior gains, losing 4.7% on lower oil quotes.