Start today with Piazza Affari, US non-farm payrolls

Negative start for European stock markets after Wall Street and Asian stock markets closed in the red. In Piazza Affari, Ftse Mib fell by 1.3% to around 34,000 points, slowed mainly by Stellantis (-2.1%), Banco Bpm (-2.4%) and Intesa Sanpaolo (-2.4%). Eni bucked the trend (+1.6%) after approving the fourth tranche of dividend of 0.23 euros per share, a buyback worth 1.1 billion euros and a bond worth 5 billion euros.

The focus is on the US jobs report, which is expected to highlight the creation of over 200,000 jobs in March. Also focus on unemployment and wage growth. A strong set of data could bolster belief that there is no rush to cut rates and raise expectations for the Fed’s first move heading into the July meeting.

Also in Europe, factory orders arrived from Germany, coming in lower than expected (+0.2% month-on-month and -10.6% year-on-year in February), while Eurozone retail sales are due out this morning.

For bonds, the BTP-Bund spread is again over 140 basis points, with the yield on the ten-year Italian bond at 3.75% and that on the Bund at 2.35%.

Among commodities, Brent oil topped $91 a barrel, supported by the threat of escalating tensions in the Middle East.

following OPEC+’s decision to confirm production cuts until the end of June. Gold is falling after hitting a new intraday all-time high of $2,305 an ounce yesterday.

In the foreign exchange market, the euro/dollar exchange rate is stable at 1.084, while the dollar/yen rate is at 151.2, following some statements from Ueda, the BoJ governor, pointing to a possible second interest rate hike in the second half of 2024 indicate.