EU indices consolidate | TA focus on Zalando

European stocks report | Tesco | Zalando | Siemens Gamesa...

Stocks (2)

INDICES
Yesterday, European stocks were firm, with the Stoxx Europe 600 Index rising 0.7%. Germany's DAX 30 increased 0.5%, France's CAC 40 advanced 0.9%, and the U.K.'s FTSE 100 was up 0.2%.

EUROPE ADVANCE/DECLINE
56% of STOXX 600 constituents traded higher yesterday.
73% of the shares trade above their 20D MA vs 73% Tuesday (below the 20D moving average).
41% of the shares trade above their 200D MA vs 38% Tuesday (above the 20D moving average).

The Euro Stoxx 50 Volatility index eased 0.74pt to 35.36, a new 52w high.

SECTORS vs STOXX 600
3mths relative high: Technology
3mths relative low: Telecom

Europe Best 3 sectors
health care, technology, retail

Europe worst 3 sectors
automobiles & parts, insurance, energy

INTEREST RATE
The 10yr Bund yield rose 2bps to -0.43% (below its 20D MA). The 2yr-10yr yield spread fell 4bps to -26bps (below its 20D MA).

ECONOMIC DATA

EC 09:00: ECB Economic Bulletin
FR 10:00: 3-Year BTAN auction, exp.: -0.53%
FR 10:00: 5-Year BTAN auction, exp.: -0.33%
UK 12:00: BoE Interest Rate Decision, exp.: 0.1%
UK 12:00: BoE Quantitative Easing, exp.: £645B
UK 12:00: MPC Meeting Minutes
UK 12:00: BoE MPC Vote Hike, exp.: 0/9
UK 12:00: BoE MPC Vote Unchanged, exp.: 44083
UK 12:00: BoE MPC Vote Cut, exp.: 0/9

MORNING TRADING

In Asian trading hours, EUR/USD fell to 1.1237 and GBP/USD dipped to 1.2534. USD/JPY dropped to 106.81. AUD/USD declined to 0.6853. This morning, official data showed that Australia's economy shed 227,700 jobs in May (-78,800 jobs expected), while jobless rate rose to 7.1% (6.9% expected) from 6.2% in April,

Spot gold was little changed at $1,725 an ounce.

#UK - IRELAND#
Tesco, a groceries and general merchandise retailer, said it has agreed to sell its business in Poland to Salling Group for a total enterprise value of 181 million pounds.

Taylor Wimpey, a housebuilding company, reported that it has raised 515 million pounds through the placing of 355 million new ordinary shares.

Schroders, an asset management company, was downgraded to "sell" from "neutral" at Goldman Sachs.

Marks & Spencer, a retailer, was upgraded to "buy" from "hold" at HSBC.


#GERMANY#

Zalando, an e-commerce company, said it "expects a significant increase in sales and EBIT in the second quarter, which is significantly above current market expectations", citing a strongly increasing consumer preference for digital offerings. From a chartist point of view, the upward breakout above the 48 area (resistance between 2018 & 2020) has triggered a new measured move up towards 75.



Source: GAIN Capital, TradingView

Wirecard, a payment processor and financial services provider, is expected to report 1Q results.


#FRANCE#
Remy Cointreau, a spirits company, was upgraded to "overweight" from "underweight" at Barclays.


#SPAIN#
Siemens Gamesa, a wind turbines manufacturer, announced the appointment of Andreas Nauen, currently Offshore head, as new CEO with immediate effect. At the same time, the company said "project costs and the financial impact of COVID-19 disruptions will result in a negative EBIT in the third quarter", and "the anticipated positive EBIT in the fourth quarter is not expected to completely offset the negative development for the full fiscal year".

Aena, an airport and heliport operator, was upgraded to "neutral" from "underweight" at JPMorgan.


#SWEDEN#
EQT, a Swedish investment group, has agreed to sell its 3.9 billion euros credit arm to private equity firm Bridgepoint, reported the Financial Times citing people familiar with the matter.


EX-DIVIDEND
ArcelorMittal: $0.3, Henkel: E1.85, Informa:15.95p, Investor: SEK9, Symrise: E0.95

More from Equities

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.