European stock markets closed February trading with mixed results. While indices in London and Milan recorded monthly gains, the session on February 27 ended uncertainly. The Milan stock exchange (FTSE MIB) rose 3.7% for the month, but on Friday, prices fell 0.2%, driven by weakness in the banking sector, particularly shares of Monte dei Paschi di Siena (MPS) and Mediobanca. Simultaneously, the Italian statistical office Istat reported that industrial turnover in 2025 increased by 0.6%, and by 0.5% month-on-month in December. Italy's trade balance with non-EU countries rose to €2.124 billion in January.
Monthly stock market results
In February, the Milan stock exchange recorded a 3.7% gain, outperforming Wall Street. However, the session on February 27 ended with a 0.2% decline in the FTSE MIB due to banking weakness. London's FTSE 100 rose 0.7% that day, while Paris's CAC 40 fell 0.47%.
Italian economic data
Istat reported that annual turnover in Italian industry in 2025 increased by 0.6%. On a monthly basis, turnover in December increased by 0.5%, and compared with December 2024 – by 3.7%. The trade balance with non-EU countries in January amounted to €2.124 billion, despite an overall decline in trade volume.
Pressure on the banking sector
Bank shares, especially Monte dei Paschi di Siena (MPS) and Mediobanca, recorded significant declines on Friday, February 27. The pressure was related to the presentation of their industrial plans, which did not meet investor expectations, weighing on the entire FTSE MIB index.
Global and Asian context
Asian markets closed the February 27 session in positive territory, with investors focusing on artificial intelligence investment themes. In Europe, sentiment was cautious in anticipation of Wall Street's opening and under the influence of inflation data, which initially supported prices.
The last day of February on European trading floors brought mixed signals, ending a month in which the Milan stock exchange recorded significant growth. The FTSE MIB index rose 3.7% in February, outperforming the U.S. market during this period. However, the session on February 27 confirmed cautious investor sentiment – the Italian index ended it with a 0.2% decline. The main factor weighing on prices was the decline in bank shares, particularly Monte dei Paschi di Siena (MPS) and Mediobanca. Investors reacted negatively to the industrial plans presented by these institutions, translating into selling pressure. Monte dei Paschi di Siena, founded in 1472, is considered the oldest operating bank in the world. After a series of problems, including the need for multi-billion euro bailouts from the Italian state, its situation remains a sensitive barometer of investment sentiment in Italy and the health of the financial sector in Southern Europe. While banks weakened, companies from the old economy and telecommunications sectors stood out during the session. London's FTSE 100 ended Friday with a 0.7% gain, while Paris's CAC 40 fell 0.47%. Macroeconomic data added to the overall picture. The Italian statistical office Istat reported a slight recovery in industry. For the entire year 2025, industrial sector turnover increased by 0.6%. On a monthly basis, December recorded a 0.5% increase, and compared annually with December 2024 – a 3.7% increase. Furthermore, despite a decline in trade volume, Italy's trade balance with countries outside the European Union improved in January, reaching a surplus of €2.124 billion. 3.7% — Growth of the Milan FTSE MIB index in February 2026 Simultaneously, the French statistical office INSEE confirmed its country's GDP growth in 2025 at 0.9%. The session was preceded by positive closes on Asian markets, where investor attention was drawn to topics related to artificial intelligence investments. In Europe, trading for most of Friday moved within a narrow range, awaiting direction from Wall Street. The earlier opening of European indices with slight gains was supported by inflation data, which strengthened hopes for a more accommodative monetary policy from central banks. Therefore, weekly trading was characterized by high caution, and the final summary of February showed the advantage of European markets over American ones, although in the shorter term, volatility and sensitivity to the results of key companies, such as banks, are visible.