The FTSE MIB Index Closes 0.46% Lower

The FTSE MIB fell 0.5% to close at 50,029 on Wednesday, weighed down by escalating tensions in the Middle East. Iran launched attacks against several Gulf nations after US retaliatory strikes following the downing of an American helicopter. Oil prices rose, renewing inflation fears and pushing bond yields higher. Financials traded mixed, with UniCredit down 1.3% and Intesa Sanpaolo losing 0.9%, while Generali gained 0.7% and Banco BPM rose 3.7%. Earlier this week, Intesa Sanpaolo, together with Unipol (+1.5%), launched a public exchange offer for MPS (-0.9%), a move that will also affect affiliate BPER (+0.2%). Banco BPM had proposed a friendly merger with MPS on Sunday. Luxury shares weakened amid higher risk aversion, with Ferrari down 1.5% and Moncler losing 0.9%. In contrast, Eni gained 1.6% on rising oil prices.

The FTSE MIB Index fell 234 points or 0.46 percent on Wednesday to close at 50029 points. Leading the losses are Prysmian (-4.35%), Stellantis N.V. (-3.83%) and Davide Campari-Milano (-1.68%). Top gainers were Banco BPM SPA (3.70%), Poste Italiane (2.36%) and Unipol Gruppo (2.15%).

The FTSE MIB rose 0.6% to around 50,585 in early trading on Wednesday, marking a third consecutive session of gains, with most heavyweight stocks supporting the advance despite new US strikes against Iran. Investors appeared to shrug off persistent Middle East tensions after the US launched retaliatory strikes on Iran following the crash of a US Army helicopter. Market participants are now awaiting key US inflation data later in the day for further clues on the Federal Reserve’s policy path. Attention is also on the ECB’s policy decision on Thursday, where policymakers are widely expected to deliver a 25-basis-point rate hike. Among the index’s top performers were Unicredit (+1.4%), Poste Italiane (+1.4%), Leonardo (+1.6%), STMicroelectronics (+2.2%), and Banca Monte dei Paschi di Siena (+1.9%).