Italian Stocks Rise Further

The FTSE MIB Index dropped 525 points or 1.03 percent on Thursday to close at 50506 points. Losses were led by STMicroelectronics (-9.44%), Technoprobe (-8.75%) and Fincantieri (-4.65%).

Milan’s FTSE MIB closer 1% lower at 50,506 on Thursday, reversing earlier gains as a selloff in chipmakers weighed on the benchmark. STMicroelectronics and Technoprobe plunged 9.3%, while Prysmian dropped 4%, tracking losses among US chipmakers as investors reassessed the pace of the AI buildout following the US midterm elections. A Democratic takeover could increase regulation on AI and data centers. In turn, Stellantis declined 4.5%, as its extends the production stoppage at its Fiat 500 factory in Turin. Defence stocks also extended their declines, tracking a sharp fall in Rheinmetall after the German firm cut its 2026 sales target for a second time. Fincantieri dropped 4.8%, while Leonardo, which has projects with the German firm, fell 3.5% despite raising its 2026 outlook. Avio lost 2.8%. Weakness among heavyweight financials added to the pressure, with BPER Banca shedding 3%. MPS, Mediobanca, Unicredit and Unipol all tumbled over 1%.

Milan’s FTSE MIB rose 0.3% to around 51,170 in early trading on Thursday, extending gains from the previous session and hovering at its highest level in a month. The local market followed gains across its European peers amid improved risk sentiment following the Democrats’ sweeping victory in the US midterm elections, which could constrain President Trump’s ability to pursue further military action against Iran. Banks were among the notable gainers, with Intesa Sanpaolo rising 1%, Banco BPM adding 1.1% and FinecoBank advancing 2.7%. Other notable performers included Buzzi (+1.6%), Davide Campari-Milano (+1.6%) and Amplifon (+4%). In contrast, STMicroelectronics dropped 2.1%, while Technoprobe slipped 1.2%, mirroring losses among Asian technology stocks amid concerns that greater Democratic scrutiny could slow AI infrastructure investment in the US.