The FTSE MIB Index Closes 0.64% Lower

The FTSE MIB Index decreased 321 points or 0.64 percent on Wednesday to close at 49579 points. The decline was led by Saipem (-4.51%), Tenaris (-3.24%) and STMicroelectronics (-3.19%). On the upside, the strongest performers were Moncler (4.98%), Avio (4.91%) and Stellantis N.V. (4.64%).

The FTSE MIB shed 0.6% to close at 49,579 on Wednesday in a cautious session for European stock markets despite the sharp drop in oil prices amid reports of an unofficial draft of a US-Iran interim peace deal. According to the text, Iran would commit to restoring commercial traffic in the Strait of Hormuz to pre-war levels within a month, while the US would withdraw military forces from the vicinity of Iran and lift the naval blockade. It remains unclear whether the US has agreed to the terms. The BTP-Bund spread narrowed slightly, while financials traded mixed, with UniCredit down 0.5% and Intesa Sanpaolo up 1.4%. Utilities also traded lower, with Enel losing 2.4%. Eni retreated 2.8% and Prysmian shed 2.5% as oil prices declined. Meanwhile, Stellantis rose 3.8% after peer Volvo Cars obtained approval from US authorities to continue operating in the American market.

The FTSE MIB edged above 49,900 on Wednesday, after declining in the previous session, as traders looked for clearer signals from US–Iran negotiations following renewed hostilities that stalled efforts to reopen the Strait of Hormuz. Auto stocks and luxury brands led gains, with Stellantis jumping 3.6% and Ferrari rising 1%, while Moncler and Brunello Cucinelli advanced 3.3% and 2.7%, respectively. Heavyweight financials were also mostly in the green, namely Intesa Sanpaolo (+1.2%), Banco BPM (+1.1%), Mediobanca (+1.9%), and BPER Banca (+1.2%). On the flip side, energy related stocks declined, including Eni (-2%), Enel (-2%), Tenaris (-1.5%), Snam (-1.4%), and Terna Rete Elettrica Nazionale (-1.4%).