Pessimistic stock markets, banks under observation

European markets opened in the red, with Milan down 0.2 percent, Paris down 0.53 percent, London closed for holidays, and Frankfurt down 0.6 percent.

In Milan, banks are still under scrutiny. Unicredit announced this morning that it has raised its stake in German company Kommerzbank to 26 percent. The Milanese bank has no intention of requesting a seat on the board of directors. The stock, which started in the red, is up 0.29 percent. Meanwhile, Banca MPS (+1.27 percent) continues its rally, focused on its takeover of Mediobanca (+0.65 percent).

European stock markets therefore appear to have absorbed the words of Fed Chairman Powell, who last week opened up to the possibility of an interest rate cut in September.

These words have given Wall Street renewed momentum, with both the Dow Jones (+1.89%) and Nasdaq (+1.88%) gaining nearly two points. Futures, however, are currently cautious (Dow Jones -0.07%), Nasdaq -0.05%). The technology market is still impacted by uncertainty surrounding artificial intelligence stocks. Artificial intelligence is currently driving Hong Kong (+2.24%), which has gained two points following the release of the latest Deepseek model update. The Hong Kong stock exchange also today saw the permanent delisting of Evergrande, a Chinese construction giant whose crisis has severely impacted Beijing's economy in recent months.

As for the spread, the difference between ten-year BTPs and German Bunds remains stable at 83 basis points

We close with a look at currencies, with the Euro continuing its run against the US Dollar, one Euro is worth 1.17 greenbacks