Oil prices slipped in New York trading, with West Texas Intermediate closing at $100.30 per barrel, down 1.58% on the session. Earlier, WTI for October delivery had changed hands at $104.84, off 0.94%. Brent crude for November delivery traded at $108.15, down 0.55% on the day. The declines came amid persistent geopolitical tensions in the Middle East that have kept markets volatile throughout September.
For Italian households and businesses, the movements in crude prices translate directly into costs at the pump and on energy bills. Italy imports roughly three-quarters of its energy needs, making the country particularly exposed to swings in international markets. The current price levels remain elevated compared to earlier this year, with Brent up more than 12% over the past month alone.
Government debt eases slightly, tax revenues rise
Italy's public debt stood at €3,205.8bn at the end of July, a decrease of €1.5bn from June, according to the Bank of Italy's public finance statistics. The decline reflected a cash surplus of €16.1bn, partially offset by an increase in the Treasury's liquid assets to €75.7bn and other technical adjustments.
Tax revenues reached €73.5bn in July, up 7.5% from the same month in 2025, boosted in part by a one-off substitute tax on banks' unavailable reserves. For the first seven months of 2026, tax revenues totalled €334.4bn, an increase of 2.7% or €8.8bn compared with the same period last year.
The average residual maturity of the debt remained unchanged at 7.9 years. The share held by the Bank of Italy continued to edge down to 16.6%, while the portion held by non-residents rose to 36.1% in June.
Energy costs bite households and businesses
The pain from elevated energy prices is spreading across the Italian economy. Three out of four small businesses — 76.5% — reported higher energy bills in the last six months, according to a survey by CNA, the Italian confederation of craft trades and small and medium enterprises. Among those facing higher costs, 45.8% saw increases between 10% and 20%, while 19.1% reported hikes above 20%.
For 84% of firms surveyed, energy costs have a significant impact on operations. The crisis "can no longer be treated as a temporary emergency," said CNA president Dario Costantini. Small businesses are absorbing the increases by reducing margins rather than passing them on to customers, leaving fewer resources for investment and hiring.
The consumer association Codacons has flagged diesel prices on Italian motorways approaching €2.90 per litre at full-service pumps, with some stations on the ordinary road network reporting prices above €3.10. The organisation has called on the Ministry of Enterprise and Made in Italy to clarify whether the figures reflect actual pump prices or reporting errors.
Spread widens, bond yields rise
Italian government bonds came under pressure, with the spread between 10-year BTPs and German Bunds closing at 91 basis points, up from 86 the previous day. The yield on the Italian 10-year rose nine basis points to 4.43%, while the German equivalent stood at 3.51%.
France saw its spread against German bonds exceed 100 basis points for the first time since 2012, with its 10-year yield reaching 4.56%. investors weighed concerns about economic growth and the potential for renewed inflationary pressures from the Middle East conflict.
Gold, traditionally a haven in times of uncertainty, moved higher. The spot price touched $4,372.99 per ounce, up 0.72%, while December Comex futures traded at $4,411.50.
Property price growth slows
House price inflation moderated in the second quarter but remained above the general inflation rate. Istat, the national statistics institute, recorded a 4% increase in residential property prices on an annual basis, down from 5.1% in the first quarter. The national figures mask sharp divergences between cities: Turin saw prices jump 8.5%, more than double the national average, while Milan's once-soaring market cooled to just 2.4%.
New-build prices in Milan slumped from a 20.1% surge in the first quarter to a mere 1.1% gain in the second, a sharp slowdown that may be linked to ongoing investigations into building permits. In Turin, by contrast, new construction prices rocketed 23.3%. Transaction volumes remained broadly stable, with more than 200,000 sales in the quarter.
Export shift towards Asia
Italy's exporters are adapting to a changing global trade map. In the first half of 2026, 90% of world export growth came from Asia, while Europe's contribution was "substantially nil," according to Confindustria's research centre. Italian exports grew 3.3% in 2025, though the increase relied heavily on a narrow group of markets and sectors.
The business association noted that US tariffs had knocked up to 9% off Italian exports over nine months, but this was more than compensated by growth in exempt sectors. New opportunities are opening through EU trade deals with Mercosur countries and India, while trade with Gulf states is becoming an increasingly significant route for Italian goods.
Cheese exports pass €3bn at half-year
Italian dairy exports reached almost 350,000 tonnes in the first six months of 2026, up 3.4% from the same period in 2025, according to Assolatte. The value of cheese exports exceeded €3bn for the first time at the half-year mark. Mozzarella, fresh cheeses and Grana Padano all posted gains, with EU markets — particularly Belgium, Austria, the Netherlands and Poland — driving growth.
"Surpassing €3bn in export turnover at mid-year is a significant achievement," said Assolatte president Paolo Zanetti. But he cautioned that companies have sacrificed margins to maintain market share, and noted that Italy has slipped to second place behind Germany in cheese exports to non-EU markets.
Workers over 55 increase by 65%
Italians are working longer. The number of workers aged over 55 increased by 65% between 2019 and 2025, INPS president Gabriele Fava told a conference on longevity. He cautioned that "living longer does not automatically mean being able to work longer," noting that different jobs wear down workers in different ways.
Fava highlighted persistent barriers for women in the labour market, including career interruptions, a persistent gender pay gap and the disproportionate burden of unpaid care work. Women represent 51% of pensioners but receive only 44% of total pension income, carrying nearly six fewer years of contributions than men on average. "The pension system does not create these distances," Fava said. "It registers them."
