EU indices up this morning | TA focus on Cranswick

European stocks report | Vodafone | Cranswick | Wirecard |BBVA...

Uptrend 2

Yesterday, European stocks closed in negative territory, with the Stoxx Europe 600 Index falling 0.8%. Both Germany's DAX 30 and France's CAC 40 lost 0.6%, and the U.K.'s FTSE 100 was down 0.8%.

69% of STOXX 600 constituents traded lower or unchanged yesterday.
51% of the shares trade above their 20D MA vs 65% Friday (below the 20D moving average).
44% of the shares trade above their 200D MA vs 42% Friday (above the 20D moving average).

The Euro Stoxx 50 Volatility index added 1.57pt to 33.78, a new 52w high.

3mths relative high: Technology
3mths relative low: Telecom.

Europe Best 3 sectors
automobiles & parts, retail, basic resources

Europe worst 3 sectors
food & beverage, telecommunications, energy

The 10yr Bund yield fell 1bp to -0.42% (below its 20D MA). The 2yr-10yr yield spread rose 1bp to -25bps (above its 20D MA).

FR 08:15: Jun Markit Composite PMI Flash, exp.: 32.1
FR 08:15: Jun Markit Services PMI Flash, exp.: 31.1
FR 08:15: Jun Markit Manufacturing PMI Flash, exp.: 40.6
GE 08:30: Jun Markit Composite PMI Flash, exp.: 32.3
GE 08:30: Jun Markit Services PMI Flash, exp.: 32.6
GE 08:30: Jun Markit Manufacturing PMI Flash, exp.: 36.6
EC 09:00: Jun Markit Composite PMI Flash, exp.: 31.9
EC 09:00: Jun Markit Manufacturing PMI Flash, exp.: 39.4
EC 09:00: Jun Markit Services PMI Flash, exp.: 30.5
UK 09:30: Jun Markit/CIPS Manufacturing PMI Flash, exp.: 40.7
UK 09:30: Jun Markit/CIPS UK Services PMI Flash, exp.: 29
UK 09:30: Jun Markit/CIPS Composite PMI Flash, exp.: 30
GE 10:40: 2-Year Schatz auction, exp.: -0.66%
UK 10:45: 10-Year Treasury Gilt auction, exp.: 0.22%

In Asian trading hours, EUR/USD held gains at 1.1272 while GBP/USD eased to 1.2476. USD/JPY climbed to 107.19.

Spot gold marked a day-high near $1,760 before easing to $1,753 an ounce.

Vodafone, a multinational telecommunications group, is planning an IPO for its 2 billion euros European towers business, reported Bloomberg citing people familiar with the matter.

Cranswick, a food producer, announced full-year results: "Reported revenue increased by 16.0 per cent to £1,667.2 million. (...) Reported adjusted Group operating profit increased by 13.9 per cent to £105.1 million. (...) Adjusted earnings per share increased by 8.4 per cent to 156.4 pence (2019: 144.3 pence). (...) Together with the interim dividend of 16.7 pence per share this is a total dividend for the year of 60.4 pence per share and compares to 55.9 pence per share previously." From a chartist point of view, the share has been supported by a rising trend line in place since 2012. Above 2750, look for 4000 and 5000 in extension.

Source: GAIN Capital, TradingView

CRH, a diversified building materials company, was downgraded to "hold" from "buy" at Societe Generale.

Wirecard's, a payment processor and financial services provider, credit facility may be terminated by Bank of China, as the Chinese bank may write off most of the company's 80 million euros loan, reported Bloomberg citing people familiar with the matter.

Bouygues, an industrial group, was upgraded to "overweight" from "neutral" at JPMorgan.

Saint-Gobain, a construction materials supplier, was downgraded to "hold" from "buy" at Societe Generale.

BBVA's, a major Spanish bank, credit rating was downgraded to "BBB+" from "A-" at Fitch, outlook "Stable". The rating agency stated: "The downgrade reflects the significant influence that exposure to less stable and weakening emerging economies has on the group's overall risk profile and its profit generation capabilities."

ArcelorMittal, a steel producer, was upgraded to "hold" from "sell" at Societe Generale.

Kering: E4.5, Vinci: E1.25

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