Yesterday, European stocks were mixed. The Stoxx Europe 600 Index declined 0.14%, Germany's DAX 30 eased a further 0.12%, France's CAC 40 was little changed, while the U.K.'s FTSE 100 added 0.16%.
51% of STOXX 600 constituents traded lower or unchanged yesterday.
40% of the shares trade above their 20D MA vs 41% Wednesday (below the 20D moving average).
57% of the shares trade above their 200D MA vs 56% Wednesday (below the 20D moving average).
The Euro Stoxx 50 Volatility index eased 0.46pt to 28.99, a new 52w high.
SECTORS vs STOXX 600
3mths relative high: Retail, Autos, Media
3mths relative low: none
Europe Best 3 sectors
travel & leisure, automobiles & parts, banks
Europe worst 3 sectors
technology, basic resources, chemicals
The 10yr Bund yield rose 2bps to -0.59% (below its 20D MA). The 2yr-10yr yield spread fell 1bp to -20bps (below its 20D MA).
UK 07:00: Sep Retail Sales ex Fuel YoY, exp.: 4.3%
UK 07:00: Sep Retail Sales ex Fuel MoM, exp.: 0.6%
UK 07:00: Sep Retail Sales YoY, exp.: 2.8%
UK 07:00: Sep Retail Sales MoM, exp.: 0.8%
FR 08:15: Oct Markit Composite PMI Flash, exp.: 48.5
FR 08:15: Oct Markit Manufacturing PMI Flash, exp.: 51.2
FR 08:15: Oct Markit Services PMI Flash, exp.: 47.5
GE 08:30: Oct Markit Manufacturing PMI Flash, exp.: 56.4
GE 08:30: Oct Markit Services PMI Flash, exp.: 50.6
GE 08:30: Oct Markit Composite PMI Flash, exp.: 54.7
EC 09:00: Oct Markit Manufacturing PMI Flash, exp.: 53.7
EC 09:00: Oct Markit Services PMI Flash, exp.: 48
EC 09:00: Oct Markit Composite PMI Flash, exp.: 50.4
UK 09:30: Oct Markit/CIPS Composite PMI Flash, exp.: 56.5
UK 09:30: Oct Markit/CIPS UK Services PMI Flash, exp.: 56.1
UK 09:30: Oct Markit/CIPS Manufacturing PMI Flash, exp.: 54.1
GE 13:00: Bundesbank Mauderer speech
In Asian trading hours, the ICE Dollar Index climbed above the 93.00 level, as EUR/USD fell to 1.1800 and GBP/USD slid to 1.3070. USD/JPY retreated to 104.73. This morning, official data showed that Japan's national CPI was flat on year in September (as expected). NZD/USD was broadly flat at 0.6676. Government data released earlier today showed that New Zealand's 3Q CPI grew 1.4% on year (+1.7% expected).
Spot gold edged up to $1,916 an ounce.
#UK - IRELAND#
Barclays, a banking group, post 3Q adjusted profit before tax declined 32.6% on year to 1.22 billion pounds and net operating income dropped 9.5% to 4.60 billion pounds on net interest income of 2.06 billion pounds, down 16.0%. CET1 ratio climbed to 14.6% from 13.4% in the prior-year period. The bank stated: "The Board recognises the importance of capital returns to shareholders and will provide an update on its policy and dividends at FY20 results."
London Stock Exchange, a stock market operator, reported that 3Q revenue grew 1% (+2% on an organic and constant currency basis) to 524 million pounds and 9-month revenue was up 3% (+3% on an organic and constant currency basis) to 1.58 billion pounds.
InterContinental Hotels Group, a hospitality company, issued a 3Q trading update: "Trading improved in the third quarter, although progress continues to vary by region. RevPAR declined 53%, compared to a 75% decline in the prior quarter, while occupancy was 44%, up from 25% in Q2."
Daimler, an automobile group, announced that 3Q net profit rose 19% on year to 2.16 billion euros and EBIT increased 14% to 3.07 billion euros on revenue of 40.28 billion euros, down 7%. The company said it expects full-year revenue to be significantly lower than in the previous year, while EBIT is now estimated to be at prior-year's level (previously lower than last year).
Renault, a vehicle manufacturer, announced that 3Q revenue dropped 8.2% on year (-3.2% at constant exchange rates and perimeter) to 10.37 billion euros and vehicle sales were down 6.1% to 806,320 units. The company added that "September showed a positive momentum, particularly marked in Europe, where Group's sales were up 8% in a market up 3%".
From a daily point of view, the stock is facing the key resistance in place since July at 25.9E. Below this key level, a new down leg is excepted with the horizontal support at 20.8E as first target and the support area of April and May at 15.8E in extension.
Source: TradingView, GAIN CapitalKering, a luxury goods company, posted 3Q revenue dropped 4.3% on year (-1.2% comparable basis) to 3.72 billion euros and 9-month revenue was down 21.1% (-20.6% on a comparable basis) to 9.10 billion euros.
Iliad, a telecommunication services provider, said it has agreed to sell 60% of the company that will manage Play's mobile telecommunications passive infrastructure to Cellnex for 804 million euros.
LVMH, a luxury goods conglomerate, said it has decided to pay an interim dividend of 2 euros per share on December 3, and the last trading day with interim dividend rights is November 30.
Moncler, a luxury fashion brand, posted 3Q revenue declined 15% on year to 362 million euros, down 14% at constant exchange rates.
ABB, a power and automation company, reported that 3Q net income jumped to 4.53 billion dollars, citing a 5.3 billion dollars pre-tax book gain on the sale of Power Grids. Operational EPS was down 36% on year to 0.21 dollar and operational EBITA fell 2% to 787 million dollars on revenue of 6.58 billion dollars, down 4% (-4% on a comparable basis).
Nordea Bank, a financial services group, posted a 3Q net profit of 837 million euros, compared with a net loss of 332 million euros in the prior-year period, as net loan losses reduced to nearly zero from 331 million euros. Meanwhile, net interest income rose 6% on year (+8% in local currency) to 1.15 billion euros. The bank added that it intends to pay out a dividend for financial year 2019 and will review the situation in 4Q.
Akzo Nobel: E0.43, Neste: E0.46
Disclaimer: The information on this web site is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement. The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any currency or CFD contract. All opinions and information contained in this report are subject to change without notice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. Any references to historical price movements or levels is informational based on our analysis and we do not represent or warranty that any such movements or levels are likely to reoccur in the future. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness, nor does author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.
Futures, Options on Futures, Foreign Exchange and other leveraged products involves significant risk of loss and is not suitable for all investors. Losses can exceed your deposits. Increasing leverage increases risk. Spot Gold and Silver contracts are not subject to regulation under the U.S. Commodity Exchange Act. Contracts for Difference (CFDs) are not available for US residents. Before deciding to trade forex and commodity futures, you should carefully consider your financial objectives, level of experience and risk appetite. Any opinions, news, research, analyses, prices or other information contained herein is intended as general information about the subject matter covered and is provided with the understanding that we do not provide any investment, legal, or tax advice. You should consult with appropriate counsel or other advisors on all investment, legal, or tax matters. References to Forex.com or GAIN Capital refer to GAIN Capital Holdings Inc. and its subsidiaries. Please read Characteristics and Risks of Standardized Options.