Trading in eurobonds on the EuroMOT and in Idem stock futures reached new historical highs.
Trend of indices
In May, the Mib index experienced constant growth closing, with 13 positive and 8 negative sessions, at a new high for the year of 17,951, representing a rise of 3.9% on the end of April and 5.9% on the end of 2002. Compared with the low for the year recorded on 12 March, the upswing has been 20.7%.
The reconstruction of the S&P/Mib index - displayed in real time since the start of June - shows a monthly change of +4.4% (+6.1% on the end of 2002).
The MibSTAR index grew by +1.1%, remaining above the levels achieved at the end of 2002 (+1.3%).
The Nuovo Mercato Numex index fell by 2.4% (-1.6% on the end of 2002, +15.5% compared with the low for the year recorded on 12 March).
Continuous indices - all at a high for the year at the end of the month with the exception of the Midex - grew at different rates: Mibtel +4.4% (+5.8% on the end of 2002), Mib30 +5.0% (+6.8%) and Midex +1.9% (+4.0%).
In Europe, the Italian market - along with the London market (+4.1%) - performed better than the other principal markets (Zurich +1.9%, Frankfurt +1.4%, Paris +1.3%, Madrid +0.3%), maintaining an excellent position compared with the end of 2002 (Madrid +7.1%, Frankfurt +3.1%, London +2.7%, Zurich 0.0%, Paris -2.4%).
The three macro-sectors all increased at different rates: Financial +0.8%, Industrial +4.7% and Services +6.6%, a trend reflecting a change, compared with the end of 2002, of +10.3% for Financial, +9.6% for Services and -5.1% for Industrial. Of the main sectors (representing at least 1% of the capitalisation), the performances of note are, on the one hand, Public Utilities (+7.5%) and Minerals-Metals-Petroleum (+7.0%) and, on the other, Property (-3.7%) and Construction (-3.5%). Compared with the end of last year, the most significant changes were seen, on the one hand, in Transportation-Tourism (+26.1%) and Property (+14.1%) and, on the other, in Textiles (-10.0%) and Minerals-Metals-Petroleum (-8.7%).
Best-performing of the Mib30 shares were Banca Intesa (+16.7%) and Enel (+10.6%).
Volatility remained stable at the moderate levels recorded in April, with a figure of 15.4% for the Borsa (where the STAR segment volatility is significantly lower at 6.7%) and 18.5% for the Nuovo Mercato.
Capitalisation and listing
The increase in share prices boosted the capitalisation of Italian listed companies, which rose from €460.8 billion at the end of April to €478.5 billion (representing 36.7% of GDP and higher than the figure of €458.0 billion posted at the end of 2002).
In detail, a breakdown of the markets shows the Borsa with a figure of €467.7 billion, the Nuovo Mercato with €5.8 billion and the Mercato Ristretto with €4.9 billion.
The Borsa list was affected in May by the delisting of Aedes savings shares (27 May), which were converted into ordinary shares. The number of listed companies therefore remained at 287. In detail, the listed companies include 229 on the Borsa (including 6 foreign companies), 44 on the Nuovo Mercato (2 foreign) and 14 on the Mercato Ristretto.
As a result of 219 admissions and 34 delistings, the number of instruments listed on the MCW rose from 2,998 to 3,183.
Primary market
The operations to increase the capital of Enertad and Banca Pop. Intra were completed, which - before auctioning of the unexercised rights - raised €31.3 million and €101.4 million respectively. The percentage of unexercised rights was very low, 0.11% and 0.74% respectively.
Also completed was the total compulsory tender offer made by Ibi nv for Alerion Industries and by Risanamento Napoli for Ipi and the voluntary offer made by Cortiplast for Saiag (ordinary and savings shares), which returned to the market €8.6 million, €33.3 million and €24.0 million respectively.
Trading
Trading in shares (144,500 contracts and €2.54 billion a day) fell marginally on the previous month (-8.7% contracts, -8.8% turnover). A comparison with May 2002 however shows a growth of 0.1% for contracts. In the first five months of the year, the daily average was 153,900 contracts and €2.65 billion (-1.4% and +5.5% on the corresponding period in 2002).
In detail, the daily average was 136,700 contracts and €2.51 billion for shares listed on the Borsa (+2.1% and -4.7% compared with May 2002) and 7,500 contracts and €22.9 million for Nuovo Mercato shares.
The average size of stock contracts (Borsa, daytime trading) remained stable in line with April levels (falling slightly from €18,800 to €18,600), and above the average figure for 2002 (€17,100).
STMicroelectronics was the most traded share in terms of turnover, with 13.1% of total trading, followed by Eni (10.1%) and Unicredito Italiano (9.7%).
Trading in covered warrants declined slightly both in terms of traded contracts (daily average 17,600, -10.4% on April 2003, -34.7% on May 2002) and turnover (daily average €34.6 million, -9.0% on April 2003, -67.8% on May 2002). In the first five months of the year, the daily average was 19,000 contracts and €35.2 million (-23.3% and -58.4% compared with the corresponding period in 2002).
After hours trading achieved a daily average of 4,900 contracts (-17.8% on April 2003 and -19.0% on May 2002) and €27.6 million (-7.4% and +28.2%). The intensity of trading activity compared with daytime trading remained stable both in terms of contracts (11.9%) and turnover (3.2%). In the first five months of the year, the daily average was 5,600 contracts and €28.2 million (-13.8% and +21.6% compared with the corresponding period in 2002).
Exchange Trading Funds recorded total trading of 2,500 contracts and €71.0 million, substantially in line with the levels achieved in April. The average size of contracts, at levels similar to those in April (€28,200) and lower than those of previous months, shows the progressive success of the new instruments amongst the retail public.
Positive growth was achieved with regard to trading in fixed-income securities on the Mot: for Government securities, the daily average increased to €559 million (+12.4% on April, -17.3% on May 2002), and to €40.6 million for private bonds (+18.7% and +20.9%). In the first five months of 2003, the daily average for trading in Government securities reached €523 million (-18.7% compared with the corresponding period last year), whilst the average for private bonds was €41.8 million (+18.8%). The EuroMOT, in May, showed a further rise in trading activity, bringing it to a new historical high, with a daily average of 815 contracts (+39.0% on April 2003 and +184.8% on May 2002) and €20.7 million (+48.7% and +114.7%).
In the first five months of 2003, average daily turnover was €16.2 million, +76.8% compared with the corresponding period last year. In the same period, the EuroMOT represented 28% of the turnover traded on bonds. In May, new historical highs were set for a single trading day both in terms of contracts (1,094 Tuesday 6 May) and turnover (€29.7 million Thursday 8 May).
Also on the increase was trading in equity derivatives on the Idem. Futures on the Mib30 recorded a daily average of 17,000 standard contracts (-5.2% on April 2003, -6.6% on May 2002); the miniFIB achieved its second best ever result, with 12,700 standard contracts a day (+0.2% on April 2003 and +77.3% on May 2002); options on the Mib30 recorded an average of 11,800 standard contracts (+9.0% and +42.2%). Trading in stock futures reached a new historical high of 4,000 standard contracts a day (+8.2% on April), whereas stock options remained steady at 30,600 standard contracts a day (+0.2% on April, -18.5% on May 2002). On Thursday 8 May, stock futures achieved a total of 16,052 contracts representing a new historical high for standard contracts traded in a single session.
In aggregate terms, the average figure of 76,200 standard contracts a day shows a rise of 0.6% on the previous month and 6.9% on May 2002. In the first five months of 2003, the Idem daily average was 76,300 standard contracts, representing an increase of 24.8% over the corresponding period in 2002.
