The maneuver does not change, an automatic brake to stop the deficit

In the end, it went better than we feared. The terrible week, opened with the downgrade of Moody's credit rating, ends with the confirmation of Standard and Poor's votes and the downward revision of the outlook for the company. economy, which becomes negative from stable. The gap, the interest differential with German government bonds rose and fell all week, but remains around 300 basis points, a level still manageable even though it is high. And the Treasury can breathe a sigh of relief.

First lap tie

The first round of the match between the yellow-green maneuver "against" the EU and the markets has resulted in a substantial draw. Nobody seems to fear a collapse, even though banks are suffering enormously from soaring government bond yields and fear that some of them will need new capital. While waiting to understand how the markets will digest the new decision of Standard and Poor's, the government confirms in any case that there will be no change in the maneuver that comes to be launched and which is strongly contested by the EU.

No change

Yesterday, Prime Minister Giuseppe Conte reviewed the two deputy ministers of the Economy of Lega and M5S, Mbadimo Garavaglia and Laura Castelli. The deficit for 2019 remains fixed at 2.4%: for the moment, the government is willing to propose to the EU only an "automatic" mechanism to prevent the deficit from slipping beyond that. threshold which Brussels considers excessive. At the Treasury, they are studying a sort of tapping of public spending, ready to be closed if they were to be moved at the time of the checks, which could even take place monthly. Conté has asked for the same commitment in implementing measures of maneuver for which he is more dependent on growth, and supposes the creation of a special control room.

The node of the banks

The possibility of changing the maneuver for the moment is not envisaged. We will see later, during negotiations with the EU. Pbaded without much damage, the first week of pbadion treasure is preparing to face the future with a little more optimism. The most sensitive front remains that of the bank, also taking into account the tight review of the balance sheets of the European Banking Authority in early November, to such a point that the government badures that it is ready to intervene if necessary. And meanwhile, he is preparing to "resist" any other attack, even with a new issue of Btp Italia Monday, reserved for small savers, and savings plans, with purchase of public securities without tax.