Milan Stocks Rise Amid US Rally, Italian Companies' Q2 Results

Milano's FTSE Mib index rises 0.55% as US stocks hit new highs and Japanese market surges. Leonardo leads gains with a 1.9% increase, followed by oil companies Saipem and Eni. Stellantis drops 4% before recovering to -2.5% due to uncertainty over its quarterly shipments data. Luxury sector rebounds with Ferragamo, Safilo, and Moncler up 1.4-1.6%. Tinexta soars 15% after reports of a potential control change, with a possible sale value of 700 million euros.

Asian markets witnessed significant gains on Friday, driven by the strong performance of U.S. stocks and robust earnings from key sectors. The S&P 500 and NASDAQ Composite hit record highs on Thursday, buoyed by strong earnings and economic data, which in turn lifted risk appetite in Asia. The Australian ASX 200 was a standout performer, rising 1.2% to a record high of 8,743.30 points [1].

Japan's Nikkei 225, however, lagged its Asian peers, losing 0.3% as consumer price index data showed a slightly bigger than expected decline in core inflation in June. Despite this, a core reading that is watched by the Bank of Japan (BOJ) as an indicator of underlying inflation rose to 3.4%, pushing further above the central bank’s 2% annual target [1]. This sticky inflation presents a hawkish outlook for the BOJ, potentially leading to interest rate hikes. However, the threat of U.S. trade tariffs may temper the BOJ's hand [1].

Taiwan's TSMC, the world's largest contract chipmaker, also provided limited cheer to the sector. TSMC's shares rose over 2% and were near record high levels, following a record profit in the second quarter. The company benefited from robust artificial intelligence-driven demand for its advanced chips but flagged concerns over the impact of higher U.S. trade tariffs [1]. This caution was echoed by chip equipment giant ASML Holding NV, which warned about the impact of trade tariffs on the industry [1].

In contrast, European markets faced uncertainty due to U.S. trade tariffs. The FTSE MIB tumbled 9% in early trading on Monday, marking a third consecutive session of losses, as President Donald Trump's new tariff threats kept investors on edge [2]. The tariffs, set to take effect on August 1, are seen as unfair and disruptive by the EU, which has extended its suspension of retaliatory tariffs on U.S. goods until early August [2].

Milano's FTSE Mib index rose 0.55% as U.S. stocks hit new highs and Japanese markets surged. Leonardo led gains with a 1.9% increase, followed by oil companies Saipem and Eni. Stellantis dropped 4% before recovering to -2.5% due to uncertainty over its quarterly shipments data. The luxury sector rebounded with Ferragamo, Safilo, and Moncler up 1.4-1.6%. Tinexta soared 15% after reports of a potential control change, with a possible sale value of 700 million euros [1].

References:
[1] https://uk.investing.com/news/stock-market-news/asia-stocks-rise-japan-lags-on-sticky-inflation-tsmc-brings-some-cheer-4173997
[2] https://www.tradingview.com/news/te_news:469915:0-italian-stocks-slide-as-trump-imposes-new-tariffs/