(Alliance News) - Wednesday's trading continues down, with trading rooms focusing on corporate interim reports and awaiting the ECB meeting scheduled for tomorrow, which is expected to confirm the current interest rate regime. In focus will certainly be the Eurotower's intention on balance sheet easing, with quantitative tightening under the lens.

As disclosed by the ECB -- as far as the Eurosystem's weekly financial statement is concerned -- in the week ended Oct. 20, the Eurotower's total assets amounted to EUR7.037 billion, a decrease of about EUR18.7 billion from the previous week.

As for the Federal Reserve, the expectation is equally for the confirmation of rates at its Nov. 1 meeting. In the CME Group platform's FedWatch Tool, using futures also based on the actual federal funds rate or EFFR, the rate confirmation in the Nov. 1 meeting has a 99 percent probability for the confirmation range 525/550 bps. In contrast, the 25 bps rise in the 550/575 bps target is priced at 1%.

The FTSE Mib, therefore, is marking a 1.0 percent decline to 27,296.82.

In Europe, London's FTSE 100 is giving up 0.1 percent as well as Paris' CAC 40 is giving up 0.5 percent, while Frankfurt's DAX 40 is down 0.3 percent.

Among the smaller lists, the Mid-Cap is in the red 0.9 percent to 37,895.80, the Small-Cap is flexing 1.4 percent to 24,090.15, and Italy Growth is marking a 0.6 percent red at 7,701.33.

On the main list in Piazza Affari, Banca Monte dei Paschi is losing 2.3 percent, following up on the eve's loss that closed with 0.3 percent.

Negative note also on Telecom Italia, in the red by 4.1% with price at EUR0.2388, following up on the previous four bearish sessions.

UniCredit, meanwhile, is giving up 2.3%, with price at EUR22.46 per share, after two bullish sessions. Of note, Barclays, UBS and JP Morgan have raised their target prices on the stock.

On Tuesday morning the board of directors approved "record results" for the first nine months of the year, during which the group made a profit of EUR6.70 billion, up nearly 68 percent from EUR4.00 billion in the same period of 2022. In the third quarter, the group realized revenues of EUR6.00 billion, up 24 percent from EUR4.82 billion in the third quarter of 2022. Net interest income amounted to EUR3.60 billion, up 45 percent from EUR2.48 billion in the same period of 2022, mainly due to higher interest rates and good management of deposit pass-through.

Enel -- down 0.8 percent -- and its listed subsidiary Enel Chile SA announced Wednesday that they had finalized the sale to Sonnedix of their entire shareholdings in the share capital of Arcadia Generación Solar SA, a Chilean company that owns a portfolio of four operating photovoltaic plants totaling about 416 MW of installed capacity. The buyer paid a total consideration of USD556 million, or approximately EUR525 million, corresponding to 100 percent of the enterprise value agreed by the parties.

The board of directors of Italgas -- in the green by 0.8 percent -- approved the consolidated results for the first nine months, which closed with adjusted net income attributable to the group of EUR316.7 million, up nearly 11 percent from September 30, 2022 when it was EUR285.9 million. Total revenues were EUR1.37 billion, up 26 percent over the same period last year from EUR1.09 billion.

Also advancing is Banco BPM, which is priced bullishly by 0.7 percent after the eve's red with 1.9 percent.

On the cadet segment, Antares Vision is stepping back 5.0% to EUR2.65, a new 52-week low.

Eurogroup Laminations is retreating 4.2% with price at EUR3.27, but also updating during trading to a one-year low at EUR3.26 per share.

Webuild, on the other hand, is retreating 2.2%, after two sessions closed with a bullish candle.

Good session for SOL, which trades well since the bell rang and is ahead 1.6 percent with new price at EUR28.15 per share.

Positive note also for Salcef, which moves ahead 0.4 percent, with the company regularly continuing its buyback program. Most recently, it reported Monday that it bought back 27,703 of its own ordinary shares between Oct. 16 and Oct. 20, for a total value of EUR620,000 or so.

Salvatore Ferragamo marks a positive balance of 0.9 percent with price at EUR11.81. Of note, on the stock Kepler Chevreux cut the target price to EUR10.00 from EUR13.00, while Goldman Sachs raised it to EUR13.60 from EUR14.00 per share.

On the Small-Cap, Aeffe is giving up 3.9 percent to EUR0.73, with the stock marking a new 52-week low at EUR0.71.

Geox, on the other hand, is giving up 5.4 percent to EUR0.66 and after stroking a new 52-week low of EUR0.66 per share.

Esprinet - down 3.5 percent - announced Tuesday that the deed of merger by incorporation into of its wholly owned subsidiary 4Side Srl has been finalized.

Mondo TV - in the red by 2.7 percent - announced Tuesday that it had signed an agreement with Mi Media International, a major Asian distributor, for the placement of the animated series Meteo Heroes in Brunei. The final agreement covers freetv, internet, mobile rights for the next three years against payment of a "flat fee."

On a negative note, Bastogi is advancing 4.6 percent, following a 3 percent loss on the eve and pricing itself in the EUR0.54 per share area.

Among SMEs, Comal is advancing 2.2%, after 0.6% red on eve and priced at EUR3.19 per share.

Cofle -- in the 0.6 percent letter -- reported Wednesday that the board of directors reviewed consolidated sales for the first nine months of the year, which came in at EUR46.8 million, up nearly 18 percent from the same period last year, when it was EUR39.7 million.

The board of directors also resolved to propose to the shareholders' meeting the adoption of a plan to purchase and dispose of treasury shares up to a maximum number not exceeding 20 percent of the company's capital. The amount that can be used for the purchase of treasury shares was set at EUR1 million.

Among the bearish, Digital Magics closed the convoy, which contracted 5.4 percent, after three sessions closed with a bullish candle.

In New York--on European night--the Dow advanced 0.6 percent, the Nasdaq picked up 0.9 percent, and the S&P 500 marked a plus 0.7 percent.

Among currencies, the euro changed hands at USD1.0590 versus USD1.0590 recorded at Tuesday's European stock close, while the pound was worth USD1.2165 from USD1.2166 last night.

Among commodities, Brent crude is worth USD87.47 per barrel from USD88.05 per barrel at yesterday's close. Gold, meanwhile, trades at USD1,973.06 an ounce from USD1,967.77 an ounce last night.

On Wednesday's macroeconomic calendar, at 1300 CEST from the US comes the weekly mortgage report, while at 1400 CEST it is the turn of building permits. At 1630 CEST the EIA report and Cushing's inventory is released, while a 5-year Treasury bond auction is scheduled at 1900 CEST.

A speech by Federal Reserve Number One Powell is scheduled at 2235 CEST.

Among the companies listed in Piazza Affari, the publication of the results of Compagnia dei Caraibi, Saipem, and STMicroelectronics are noted.

By Maurizio Carta, Alliance News reporter

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