2/3, 1:39 PM (Source: TeleTrader)
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Italy's FTSE MIB surges as Draghi gets into politics

Italy's FTSE MIB surged over 2.5% on Wednesday as it was confirmed that President Sergio Mattarella asked Mario Draghi to form the next government in Italy. The move came after former Prime Minister Giuseppe Conte resigned over issues with his coalition.

The FTSE MIB surged 2.66% at 1:15 pm CET, jumping almost 600 points. The index was mostly led higher by the banking sector as investors' confidence grew after the news on Draghi. Intesa Sanpaolo, Banca Mediolanum, Banco BPM, Unicredit and BPER Banca all surged over 5% in early afternoon trading.

If Draghi manages to form a government, prime minister of Italy will be his first political post. Draghi previously served as the governor of the Bank of Italy and the president of the European Central Bank. Earlier in his career, he also worked at the World Bank and Goldman Sachs.

Breaking the News / VP