(Alliance News) - European stocks continued in a bullish trend Tuesday, extending a rebound after last week's sharp decline, as markets assess the extent of risks of slowing growth in Europe and the outlook for the cost of money ahead of key U.S. price data this week.

Fed Governor Michelle Bowman said over the weekend that despite more modest inflation numbers in May and June, inflation remains above the FOMC's 2 percent target. Markets have therefore downgraded their positioning on Federal Reserve rate cuts, seeing a greater likelihood of a 25 basis point cut in September than a larger 50 basis point cut.

Analysts still expect a total Fed cut of more than 100 basis points this year.

The FTSE Mib is marking a 0.2 percent green at 31,992.13.

Among the smaller listings, the Mid-Cap is fractionally red at 45,106.09, the Small-Cap is in the red 0.1% at 27,825.80, and Italy Growth is in the green 0.3% at 7,894.27.

In Europe, London's FTSE 100 is advancing just above parity, Paris' CAC 40 is in the green by 0.1 percent, and Frankfurt's DAX 40 is marking plus 0.3 percent.

On the Mib, among the minority of bullish investors, Ferrari advances 0.9% to EUR389.10 per share, after a flat session on the eve of the session.

Banca Mediolanum, on the other hand, advances 1.3%. The company reported on Monday that it bought 589,000 of its own ordinary shares between August 5 and 9, for a total value of EUR5.8 million.

Interpump is giving up 1.3 percent, after a 1.1 percent gain in the previous session and with new price in the EUR36.92 per share area.

Telecom Italia, on the other hand, is giving up 1.0 percent. The company, together with Impulse I - a consortium led by Ardian - and Daphne 3 have reached an agreement to sell TIM's remaining 10% stake in the share capital of the holding company Daphne 3, which holds a 29.9% stake in Infrastrutture Wireless Italiane. The agreement is based on a valuation of the INWIT shares of EUR10.43 and results in additional proceeds for TIM compared to the 2024 guidance of approximately EUR250 million, taking into account existing net debt at the Daphne 3 level.

BPER Banca, on the other hand, contracted 0.5 percent to EUR4.73, following up on the eve's 0.3 percent decline that broke three sessions with a bullish candle.

On the MidCap, Pharmanutra advances 2.2%, on its third session with a bullish candle.

Alerion, on the other hand, pushes ahead by 1.7%, after two bearish sessions and with price at EUR15.44.

Cembre, on the other hand, advances 0.8 percent, following the 1.1 percent green with which it closed Monday evening.

OVS, on the other hand, is giving up 1.3 percent. The company on Monday reported that it purchased -- in the period between Aug. 5 and Aug. 9 -- 520,594 of its own ordinary shares. The average unit price was EUR2.4051, for a total value of just under EUR1.3 million.

Rear-ends also for Zignago Vetro, which gave up 2.9 percent, in its fourth bearish session and priced at EUR10.60 per share.

On the SmallCap, Bastogi is advancing 2.6 percent to EUR0.3960 per share, after 3.0 percent in the red on the eve of the session and with the day's high at EUR0.4030.

Gabetti, on the other hand, is registering a plus 3.6 percent, after 3.1 percent red in the previous session.

Landi Renzo, on the other hand, is advancing 1.8%, after a 1.4% gain on the eve.

Among SMEs, Defence Holding is up 3.6 percent to EUR3.46, after a 0.3 percent decline in the eve.

Circle - in the green by 0.5 percent - on Tuesday reported that it has signed a major contract with a Mediterranean port to implement advanced Port Community System (PCS) services. The deal is worth more than EUR150,000.

Askoll Eva, on the other hand, gives up more than 10 percent after two sessions closed in the red.

Ambromobiliare, on the other hand, gives up 5.4 percent, heading for the third session to close with a negative balance.

In New York, on the European evening, the Dow gave up 0.4 percent, the Nasdaq picked up 0.2 percent, and the S&P 500 closed at a parity.

Among Asian exchanges, the Shanghai Composite picked up 0.3 percent, the Hang Seng closed in the green by 0.4 percent, while the Nikkei closed ahead by 3.5 percent.

Among currencies, the euro changed hands at USD1.0918 versus USD1.0933 in Monday's European stock close while the pound was worth USD1.2789 from USD1.2788 on Monday evening.

Among commodities, Brent crude is trading at USD82.10 per barrel versus USD80.54 per barrel at Monday's close. Gold, on the other hand, trades at USD2,460.71 an ounce from USD2,448.24 an ounce on Friday evening.

Tuesday's macroeconomic calendar includes a focus on US producer prices in the afternoon at 1430 CEST. The day will close with weekly crude oil inventories of the States.

By Maurizio Carta, Alliance News reporter

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