(Alliance News) - Major European stock markets close higher Friday after the release of data showing slowing Eurozone and U.S. inflation.

"Slowing U.S. PCE inflation, the Fed's preferred inflation indicator, and Eurozone inflation slipping to 17-month lows led to risk-off sentiment as the first half of 2023 draws to a close. Investors do not seem to care about rising Eurozone core inflation, which indicates further monetary tightening by the ECB, and continue to buy assets such as equities and oil, while selling the greenback and gold," comments Axel Rudolph, Senior Market Analyst at online trading platform IG.

In addition, the major equity indices ended the first half of 2023 on an uptrend: "At the beginning of the year, even the most optimistic of forecasters did not expect such a stellar performance as many of the world's major equity indices have recorded since the beginning of the year. In Asia and Europe, several indices have reached new all-time highs, while, in the United States, the Nasdaq 100 - a technology-heavy index - has risen nearly 40 percent in just six months. The question is whether the second half of the year will be any different as investors become increasingly complacent, as evidenced by a continuing frenzy of "call" buying, volatility dropping to pre-Covid levels, and the CNN Fear and Greed Index remaining in "extreme greed" territory.

Thus, the FTSE Mib closed up 1.1 percent at 28,230.83.

In Europe, London's FTSE 100 finished up 0.8 percent, while Paris' CAC 40 closed up 1.2 percent and Frankfurt's DAX 40 in the green by 1.3 percent.

Among the smaller listings, the Mid-Cap closed up 0.8 percent at 42,734.60, as did the Small-Cap at 27,041.99, while Italy Growth closed fractionally in the red at 9,074.84.

On the main index in Piazza Affari, ERG leads - up 3.7 percent along with Iveco Group - which signed Thursday, through its subsidiary ERG Power Generation, an agreement with Achernar Assets, a Swiss investment holding company, to sell the entire capital of ERG Power, owner of the environmentally friendly, high-efficiency, natural gas-fired Combined Cycle Gas Turbine cogeneration power plant in Priolo Gargallo, Syracuse.

Tenaris, advances 2.8 percent, in its sixth session on the bullish side.

Eni, on the other hand, advances 2.3 percent. On the stock it is mentioned that Goldman Sachs saw downward to the target price to EUR17.00 from EUR18.00.

Stellantis -- in the green by 0.4 percent -- and Kuniko announced Friday that they have signed a binding purchase agreement to secure the supply of 35 percent of cobalt nickel sulfate from Kuniko's nine-year exploration projects in Norway for future production.

In addition, Stellantis reached an agreement to purchase EUR5.0 million of new shares in Kuniko, resulting in a final 19.99 percent stake and the right to appoint a member of Kuniko's board of directors.

Also advancing well is CNH Industrial -- up 2.1 percent -- which reported that it purchased 1.3 million of its own ordinary shares between June 20 and June 27. The shares were taken over at an average unit price of EUR12.90 or so, for a total value of EUR17.9 million.

On the cadet segment, Mondadori Editore advanced 0.7 percent. The board of directors of Arnoldo Mondadori Editore on Thursday examined and defined - in light of the more favorable development compared to previous estimates with regard to both the business and the prices of the main inputs - the upward revision of the targets for the 2023 financial year.

In detail, the company confirmed the single-digit growth in revenues, adjusted Ebitda is expected to increase high single-digit/low double-digit compared to the previous single-digit estimate, with margins expected to be between 16 percent and 17 percent from the previous 15 percent, and net income is expected to grow by about 20 percent, an estimate doubled from the previous one, due to both operational improvement and the effects of the sale of the stake in Il Giornale.

On the Small-Cap segment, Itway closes up 16 percent after announcing Friday that it has signed a strategic partnership with Mastercard's RiskRecon company through CyberMonks.

This is an exclusive collaboration that sees Itway as the only partner in Italy enabled to provide these services with the extension of the exclusive value-added distribution agreement for Mastercard's RiskRecon services in Greece and Turkey. The agreement with Mastercard provides Itway with incremental revenues of EUR6 million over three years.

I Grandi Viaggi -- in the red by 2.6 percent -- reported Thursday that its board of directors approved results for the first half of the year, which runs from Nov. 1, 2022 to April 30, 2023, reporting revenues at EUR12.7 million from EUR7.1 million recorded as of April 30, 2022.

Net loss amounts to EUR3.8 million down from EUR5.4 million on April 30, 2022.

Borgosesia retreats 0.3 percent after announcing Friday that it has finalized the EUR17.5 million purchase of Hybrid Tower Mestre, a skyscraper built on the areas of the former depot of public transport company ACTV.

Olidata ends 1.2 percent in the red. The company announced Wednesday that board members have resigned following the change of control that took place with the entry of the Rufini family.

Among SMEs, Planetel closed in the green by 1.8 percent. The company reported that Friday saw the closing of the transaction to acquire 100 percent of the share capital of Trivenet, which took place through the purchase of 100 percent of the shares held by Finvis. The sale of 100% of Trivenet in favor of Planetel took place for the total consideration - subject to a negative or positive price adjustment mechanism - of approximately EUR750,000.

RedFish LongTerm Capital - trading at a par at EUR1.50 - made its debut on the Italian stock exchange Friday after an IPO of just over EUR4.0 million which, incase the over-allotment is exercised, would rise to EUR4.5 million.

In New York, the Dow is in the green by 0.7 percent, the Nasdaq is up 1.4 percent, and the S&P 500 rises with 1.1 percent.

Among currencies, the euro changes hands at USD1.0916 against USD1.0883 at Thursday's European equities close. In contrast, the pound is worth USD1.2712 from USD1.2611 last night.

Among commodities, Brent crude is worth USD74.95 per barrel versus USD73.78 per barrel at Thursday's close. Gold, on the other hand, trades at USD1,915.37 an ounce from USD1,918.85 an ounce Thursday evening.

On Monday's economic calendar, the Tankan index of large and small manufacturing companies is expected from Japan at 0150 CEST while the Caixin index will arrive from China at 0345 CEST.

Swiss inflation will arrive at 0830 CEST at 0945 CEST the Italian manufacturing purchasing managers' index for June will come out. Between 0950 CEST and 1030 CEST that of France, Germany, the Eurozone and the UK are also due.

In the afternoon, the same data will arrive from the US at 1545 CEST.

In the Piazza Affari calendar, however, no special events are scheduled.

By Chiara Bruschi, Alliance News reporter

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