The FTSE MIB rose to around 51,800 on Thursday, rebounding from a slight decline in the previous session, as gains in financial stocks supported the index.
UniCredit advanced 1% after JPMorgan reiterated its Buy rating.
Its peers also traded higher, with Intesa Sanpaolo up 0.6%, Banca Mediolanum 0.6%, Mediobanca 0.5%, BPER Banca 0.4%, and Banco BPM 0.4%.
Defence stocks also extended their gains, with Leonardo, Fincantieri, and Avio rising 3.1%, 1.5%, and 1.1%, respectively.
On the downside, technology-related stocks continued to decline amid renewed concerns over elevated AI-related valuations, with STMicroelectronics falling 0.7% and Prysmian losing 2.8%.
On the data front, Italy’s jobless rate fell to 5% in May, below expectations and April’s 5.1%, and marking the lowest reading since records began in 1983.