(Updating with full report)
MILAN (Thomson Financial) - Share prices closed flat with Wall Street's closure for a public holiday dampening interest. Gains in Fiat on strong French new car registrations offset weak oil sector stocks, brokers said.
The Mibtel index was down 0.10 percent to 22,218 points and the S&P/Mib off 0.05 percent to 28,775.
Volume was an estimated 2.386 billion euros.
Brokers said volumes were depressed because of Wall Street's close and after Friday's end to the half-year reporting season, including a rash of bank results at the end of last week.
The economic outlook remains uncertain and this could bring further weakness in equities later in the year, one broker said.
Oil price is seen falling below $100 a barrel, supported by weaker hurricane activity in the Gulf of Mexico and a lessening of tensions between Russia and Europe/U.S., he said.
Fiat gained 4.48 percent to 11.06 euros. Brokers said this evening's August Italian car registrations are expected to be weak, with this factor already discounted.
Other gainers included media stocks, buoyed by hopes of higher cover prices for newspapers. L'Espresso was up 5.16 percent to 1.795 and RCS MediaGroup rose 3.37 percent to 1.597.
L'Espresso is also benefiting from speculation that its owner CIR will de-list the media unit, one broker said. CIR rose 1.09 percent to 1.764.
Mediaset lost 0.40 percent to 4.95. The weekend start to the football season is a factor for Mediaset sales of pay-TV products, one broker said.
In the luxury sector, Luxottica added 2.69 percent to 17.71, supported by the dollar.
Brokers said luxury company results have shown that rich consumers are continuing to spend at previous levels, while cheaper, low-end product sales are suffering in the economic downturn.
Geox was down 2.21 percent to 8.15. Bulgari added 0.64 percent to 7.035. Autogrill rose 3.03 percent to 8.77. The stock reacted to the stronger dollar value.
Among oils, Saipem fell 3.76 percent to 26.09 and Tenaris was down 2.41 percent to 18.21. Eni lost 1.39 percent to 21.92.
Utility Hera was up 0.65 percent to 2.315 after recent results seen as 'good' by one broker. Hera merger partner Iride was unchanged at 1.85. Brokers see the merger going ahead despite reports on problems emerging.
Enel added 0.16 percent to 6.285.
Banks were were mostly weaker. BMPS lost 0.56 percent to 1.788. Brokers said results were weaker than expected, while one broker said BMPS is having to sell more branches than previously expected.
Banco Popolare rose 0.08 percent to 13.05. Brokers expressed contrasting opinions after its results. JP Morgan reiterated its 'overweight' on 'a solid operating' performance and Lehman stayed 'equalweight'.
Intesa Sanpaolo gained 1.21 percent to 3.7175.
Mediobanca lost 0.87 percent to 9.655 amid a continuing row between main shareholders over governance changes.
Among insurers, Fondiaria-SAI added 2.04 percent to 19.33. Credit Suisse raised its rating to 'outperform', from 'neutral'. Unipol was down 1.41 percent to 1.681 as the Swiss broker cut its rating to 'neutral', from 'outperform'.
Generali eased 0.31 percent to 22.70. Brokers said the Commerzbank purchase of Dresdner bank from Allianz will have little short-term impact on Generali's links with Commerzbank. nigel.tutt@thomsonreuters.com nt/rw/nt/rw COPYRIGHT Copyright Thomson Financial News Limited 2008. All rights reserved. The copying, republication or redistribution of Thomson Financial News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Financial News.
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