FTSE MIB Falls More Than 1%

The FTSE MIB fell more than 1% to around 52,100 on Thursday, giving back the previous session's gains as escalating Middle East tensions weighed on sentiment. President Donald Trump warned of strikes on Iranian infrastructure if shipping through the Strait of Hormuz is attacked, while Iran-backed Houthi militants claimed attacks on two Saudi oil tankers in the Red Sea, raising fears of broader supply disruptions. Meanwhile, investors digested a fresh round of corporate earnings while awaiting the ECB's policy decision, where rates are widely expected to remain unchanged. STMicroelectronics led losses, tumbling more than 14% after reporting quarterly profit and sales guidance below expectations despite forecasting stronger AI data center-driven revenue later this year. Moncler also dropped nearly 7% despite reporting Q2 revenue above expectations, as investors focused on weaker European sales that partly offset strong Asian demand.

The FTSE MIB Index rose 507 points or 0.97 percent on Wednesday to close at 52792 points. Leading the gains are Infrastrutture Wire (4.30%), Tenaris (2.78%) and Banca Monte dei Paschi di Siena (2.40%). Top losers were Prysmian (-1.27%), Banco BPM SPA (-0.89%) and Diasorin (-0.62%).

The FTSE MIB rose 1% to close at 52,792 on Wednesday, supported by gains in energy and financial stocks. Oil-related shares outperformed as geopolitical tensions lifted oil and fuel prices. The US renewed threats to target Iranian infrastructure, while renewed Houthi threats against shipping in the Red Sea reinforced concerns over global oil supplies. Tenaris led energy gains, rising 3%, followed by Saipem (2.9%) and Eni (2.3%). Financials also advanced as markets continued to expect the ECB to leave interest rates unchanged at tomorrow's decision, while sentiment was supported by Santander's upbeat earnings and Barclays' upward revisions to revenue forecasts for Italian financial companies. Generali, Barclays' preferred pick, gained 1%, while Unipol rose 2.2%, BMPS rose 2.4%, Banca Mediolanum added 2.3%. Inwit was the top performer on the index, climbing 4.5%. Meanwhile, STMicroelectronics also rose 1.6% on renewed sentiment on AI investments, while defense stocks also traded higher.