Historic Peaks in Milan: MPS and Mediobanca Bank Stocks Drive the Market

The Italian capital market is experiencing a period of exceptional prosperity, with the FTSE MIB index breaking through a barrier not seen for nearly a quarter of a century. The main driver of the gains turned out to be speculation surrounding the banking sector. Shares of Monte dei Paschi di Siena and Mediobanca banks surged sharply, which analysts link to growing hopes for a merger. Investors are betting on a favorable exchange ratio, which in the case of these two institutions would create a new, powerful entity in the financial market. While the Milan trading floor was celebrating triumphs, optimism spread across Europe, evidenced by the record level of the Eurostoxx 600 index. The market ignored morning fluctuations and focused on positive signals from the industrial sector. The defense conglomerate Leonardo finalized significant agreements to establish a new joint venture company in the aerostructures segment and confirmed the acquisition of Iveco's defense division by the end of March. The previous peak of the Milan stock exchange in 2000 coincided with the culmination of the internet bull market, which ended abruptly after the bursting of the so-called dot-com bubble. Despite widespread gains, not all companies could count the session as successful. Shares of Gruppo Campari recorded a decline, contrasting with the strong position of energy companies such as Saipem. The latter declared its readiness to return to the Venezuelan market, which was well received by shareholders. However, the entire financial world operated in the shadow of anticipation for the financial report from Nvidia, which, as the leader in the graphics processor industry, is currently a barometer of the artificial intelligence sector's health. „Commessa elicotteri Uk? 24 ore e saprete.” (Helicopter contract for the UK? 24 hours and you'll know.) — Roberto Cingolani It is also worth noting the decline in the yield of Italian government bonds known as BTP. During the auction of short-term securities, their interest rate fell to 2.16%, indicating growing investor confidence in Italy's public debt while maintaining a spread against German bonds at a low level of around 60 basis points.