Piazza Affari fell on the day of US inflation (-0.7%).

Negative ending for Piazza Affari, which made a U-turn in the afternoon along with the other European stock exchanges in the wake of the deterioration on Wall Street. The Ftse Mib closed trading down 0.7% at 30,249 points.

Iveco bucked the trend, rising 5.9% to reach its highest level since August after Goldman Sachs reiterated its buy rating ahead of March’s Capital Markets Day. Money also on Pirelli (+2.8%) and Brunello Cucinelli (+2.2%), while Mps (-4.5%), Azimut (-2.9%) and A2a (-2.9%) Lose ground.

Wall Street fell after starting above parity on the day of key inflation data. Consumer prices rose to 3.4% annually in December, compared to the market’s expected 3.2%. The core index slowed to 3.9% from 4%, but was below estimates (3.8%).

Additionally, jobless claims (202,000) were lower than expected, another sign of strength in the labor market following last week’s nonfarm payrolls.

This data overall reduces pressure on the Fed to cut rates and reduces the possibility of a 25 basis point rate cut as early as March, even if markets continue to price in 5-6 rate cuts in 2024.

Producer price numbers will also be released tomorrow as Wall Street’s quarterly season gets into full swing with the accounts of banking giants JPMorgan, Bank of America, Wells Fargo, BlackRock and Citigroup.

The ECB’s economic report was released later in the day, while in Italy industrial production fell by 1.5% in November.

In bonds, the BTP Bund spread fell to 157 basis points, with the Italian 10-year bond yield at 3.81% and the Bund yield at 2.24%. 10-year Treasury bonds at 4.04%, ahead of today’s 30-year bond auction ($21 billion).

Among commodities, Brent oil is nearing $79 a barrel following the seizure of an oil tanker in the Gulf of Oman. In the foreign exchange market, the euro/dollar fell to 1.094 and the dollar/yen fell to over 146, with the greenback strengthening.

Finally, Bitcoin rose to $45,900 but was below the daily highs after the SEC gave the green light to the first cryptocurrency ETF.