Italian markets react to ECB buyback approval and Treasury bond auction

BPER Banca Pugliese e Regolarità (BPER) saw its shares rise modestly to €13.86 after the European Central Bank authorised a share buy‑back of up to €750 million – no more than 3 % of the bank’s capital. The approval, valid for one year, comes as the board prepares further steps in its integration with Mediobanca and as investors watch ongoing talks over Monte dei Paschi di Siena (MPS).

The Italian Treasury announced the 12th tranche of the 15‑year inflation‑linked BTp€i bond will be auctioned on 24 June, with an offering size between €1.5 billion and €1.75 billion. The bond carries a 2.40 % coupon tied to the Eurozone HICP (excluding tobacco) and currently yields a real return of about 2.05 %, implying a break‑even inflation rate of roughly 1.93 %, below the ECB’s 2 % medium‑term target.