Tariff Shock on EU Sends Futures Markets into Sharp Decline

(Alliance News) - The futures market is also feeling the impact of recent upheavals in the ongoing trade war, as the EU now faces 30% tariffs imposed by the US over the weekend.

European Commission President Ursula von der Leyen is urging caution, but at the same time, member states are considering a range of countermeasures should the trade dispute escalate further.

On the geopolitical front, markets await "important statements" from Donald Trump on Russia today, following the US's delivery of substantial arms shipments "to enable Ukraine to defend itself" and President Putin's deployment of aircraft carriers to the Mediterranean.

As a result, futures are signaling a deeply depressed market. The FTSE Mib is expected to fall by 1.2%, or 467 points.

Paris's CAC 40 is forecast to drop 63 points, or 0.8%; Frankfurt's DAX 40 is set to decline by 1.0%, or 235 points; and London's FTSE 100 is seen down 12 points, or 0.1%.

On the secondary indexes, Friday saw the Mid-Cap fall 0.3% to 55,372.77, the Small-Cap close down 0.6% at 32,156.09, and the Italy Growth end the session up 0.1% at 8,262.83 points.

On the blue-chip board in Milan, Leonardo topped the list with a 1.4% gain to EUR47.29. On Thursday, the company signed an agreement with ENAV - up 0.8% - and UKSATSE to restore air traffic management in Ukraine.

The clash between UniCredit and the German government continues to heat up: Berlin, through Finance Minister Lars Klingbeil, has openly opposed the Italian bank, calling for it to abandon its bid for Commerzbank and voicing support for the latter's independence.

UniCredit shares fell 2.3%, while the German bank has lost more than 6% over the last two sessions.

Eni, slightly bullish at EUR14.288 per share, will partner with Khazna to develop an AI Data Center Campus in Lombardy.

Oddo BHF raised its target price for Brunello Cucinelli to EUR120 with an 'outperform' rating. Swiss bank UBS also increased its target price, though the stock still closed down 1.3%.

Among the 12 gainers on the large-cap list, Saipem rose 1.1%, and utilities made gains with Italgas up 0.7% and Terna rising 0.6%.

Iveco Group closed down 6.1% at EUR15.495 per share, dragged lower by automotive sector sell-offs that also hit Stellantis, which ended the session down 4.7%.

On the Mid-Cap, Fincantieri announced yesterday that its Norwegian subsidiary Vard, one of the world's leading builders of specialized vessels, has signed a contract with US organization Inkfish to design and build a new-generation oceanographic research vessel. The deal is worth over EUR200 million. The shipbuilder's shares rose 2.0%.

d'amico, which ended Thursday at the bottom, surged to the top on Friday with a 4.8% increase to EUR3.692 per share, confirming a positive 30-day trend that has seen the stock rise 4.6%.

GVS, following a EUR740,000 buyback operation, closed among the leaders with a 1.3% gain.

NewPrinces also performed well, up 1.2%, after signing a binding agreement with Heinz Italia, a Kraft Heinz subsidiary, to acquire 100% of its Italian baby and specialty food business.

PharmaNutra ended at the bottom of the list, down 3.3%. The launch of the new supplement Apportal Boost failed to spur buying. Over the past month, the stock has lost 7.4%.

Among small caps, EPH finished trading up 4.3% at EUR0.12 per share, maintaining a positive 6.2% monthly performance.

Aeffe closed at the top of the board with a 12% gain to EUR0.515 per share.

Fiera Milano exercised its option to renew its contract with Fiere di Parma for the "Tuttofood" event, extending it until 2040. The EUR75.5 million deal lifted the stock by 2.3%.

Dexelance - up 2.1% - signed a binding agreement to acquire a 65% stake in Mollura & C - MOHD, an Italian company active in multichannel distribution of high-end furniture and design.

BestBe Holding closed up 4.7%, while Watfood, which holds over 30% of the company's shares, announced it will forgo its takeover bid in exchange for reducing its stake over the next 12 months.

Softlab ended down 6.4% at EUR1.235 per share. The company met with Mimit officials to discuss employment issues and the recovery of 123 workers involved in a labor dispute.

Among SMEs, Emma Villas led throughout the trading day with a 10% gain, matched by GEL, which also posted a 10% rise.

After the Turin prosecutor's office decided to seek trial for unauthorized banking and related offenses against several individuals and entities, including banker Massimo Segre, Directa SIM closed flat at EUR5.7 per share.

Adventure approved a capital increase reserved for qualified and professional investors, with a maximum value - including premium - of EUR2.1 million at an issue price of EUR15.00 per share. The stock closed down 4.5%.

In Asia, the Nikkei was down 0.3%, the Shanghai Composite gained 0.5%, and the Hang Seng rose 0.8%.

In New York, the Dow Jones closed down 0.6% on Friday, the Nasdaq dropped 0.2%, and the S&P 500 lost 0.3%.

On the currency front, the euro trades at USD1.1661, down from USD1.1692 at Friday's close, while the pound exchanges at USD1.3461 from USD1.3503 on Friday evening.

Among commodities, Brent crude trades at USD70.51, up from USD70.19 per barrel at the previous close, while gold is valued at USD3,356.965, compared to USD3,357.97 per ounce on Friday evening.

As for Monday's economic calendar, a light macro day is expected. The Eurogroup meeting is scheduled for 1200 CEST, and French BTF auctions with three-, six-, and 12-month maturities will be held at 1500 CEST.

US Treasury bill auctions - with three- and six-month maturities - are set for 1730 CEST.

In Milan, results from Ubaldi Costruzioni are expected.

By Michele Cirulli, Alliance News Reporter

Comments and questions: [e-mail]

Copyright 2025 Alliance News IS Italian Service Ltd. All rights reserved.