FTSE MIB Gains on Hopes for Middle East Diplomacy

The FTSE MIB Index went up by 648 points or 1.36 percent on Tuesday to close at 48176 points. The rise was led by Stellantis N.V. (3.26%), Amplifon (3.18%) and UniCredit (3.15%).

The FTSE MIB rose 1.4% to close at 48,176 on Tuesday, its highest level since 2000, following reports that US-Iran talks could resume in Islamabad as early as this weekend. Oil prices fell on hopes for an end to conflict-driven supply shortages, easing stagflation and rate hike fears, reducing pressure on financial stocks. UniCredit advanced 3.2%, Intesa Sanpaolo gained 1.9%, Generali added 1.7%, and MPS rose 2%. The luxury and auto sectors posted gains as risk aversion declined, with Stellantis up 3.5%, Ferrari advancing 2.1%, Moncler up 3.2%, and Brunello Cucinelli gaining 2.3%. STMicroelectronics rose 2.8% as tech stocks posted gains in the US, supporting the semiconductor sector. In contrast, lower oil prices pressured Eni, down 2.2%, and Tenaris, down 1.9%.

The FTSE MIB climbed 0.7% to around 47,800 on Tuesday, scaling a new record as market sentiment improved on renewed expectations that the US and Iran may resume ceasefire negotiations. Both sides are reportedly considering another round of discussions before the current two-week ceasefire expires, easing concerns over further escalation in tensions. This comes after President Trump’s decision to impose a US naval blockade on the Strait of Hormuz, a move that has heightened uncertainty in global energy markets. The index gains were led by heavyweight financials, namely UniCredit (+1.4%), Intesa Sanpaolo (+1.1%), Mediobanca (+1.1%), and Banca Monte dei Paschi di Siena (+1.2%). Luxury stocks also traded higher, including Ferrari (+1.3%), Moncler (+2.0%), Stellantis (+2.8%), and Brunello Cucinelli (+0.4%). Meanwhile, defence stock Leonardo fell over 1%.