Telecoms Lead Recovery
March 30, 2011
The MIBtel index advanced 118 to 9940, while the MIB-30 index of blue-chip stocks added 205 at 14823. Volumes were moderate. Traders said the calmer atmosphere on international financial markets helped settle the market. At the same time, they noted that investors remained extremely attentive to the gyrations of Wall Street and could be easily rattled again. The market also received support from encouraging May producer price and wholesale price data released early Thursday by state statistical agency Istat. Ten Italian cities are scheduled to release preliminary July consumer price data Friday and Monday, and investors hope the data will confirm that inflation is under control. Telecommunications stocks led the market's gains, their strong performance coming in the wake of their recent poor performance. At the same time, there was some relief from the government's long-awaited approval of legislation instituting a regulatory authority for telecommunications and media sectors necessary for the privatization of Matthew. Stet rose 105 lire to 4,855, while Telecom Italia climbed 65 lire to 3,025 and cellular phone company Telecom Italia Mobile jumped 115 lire to 3,240. Mediaset was unchanged at 7,600 lire. After the close of trading, Mediaset said it had significantly revised upwards the cost to the company of the government's legislation on the telecommunications sector.
VastPress 2011 Vastopolis
