Friday, European stocks were mixed. The Stoxx Europe 600 Index added 0.25%, the U.K.'s FTSE 100 climbed 0.39%, France's CAC 40 was broadly flat, while Germany's DAX 30 dropped 0.33%.
51% of STOXX 600 constituents traded higher Friday.
48% of the shares trade above their 20D MA vs 48% Thursday (above the 20D moving average).
56% of the shares trade above their 200D MA vs 56% Thursday (above the 20D moving average).
The Euro Stoxx 50 Volatility index added 0.28pt to 26.82, a new 52w high.
SECTORS vs STOXX 600
3mths relative high: Media
3mths relative low: Energy
Europe Best 3 sectors
construction & materials, media, utilities
Europe worst 3 sectors
retail, technology, automobiles & parts
The 10yr Bund yield fell 1bp to -0.54% (below its 20D MA). The 2yr-10yr yield spread fell 0bp to -17bps (above its 20D MA).
FR 08:50: Sep Markit Services PMI final, exp.: 51.5
FR 08:50: Sep Markit Composite PMI final, exp.: 51.6
GE 08:55: Sep Markit Services PMI final, exp.: 52.5
GE 08:55: Sep Markit Composite PMI final, exp.: 54.4
EC 09:00: Sep Markit Services PMI final, exp.: 50.5
EC 09:00: Sep Markit Composite PMI final, exp.: 51.9
EC 09:00: Eurogroup Meeting
UK 09:00: Sep New Car Sales YoY, exp.: -5.8%
UK 09:30: Sep Markit/CIPS UK Services PMI final, exp.: 58.8
UK 09:30: Sep Markit/CIPS Composite PMI final, exp.: 59.1
EC 10:00: Aug Retail Sales MoM, exp.: -1.3%
EC 10:00: Aug Retail Sales YoY, exp.: 0.4%
FR 10:00: Aug Retail Sales YoY, exp.: 5.8%
FR 10:00: Aug Retail Sales MoM, exp.: 1.5%
FR 14:00: 12-Mth BTF auction, exp.: -0.6%
FR 14:00: 6-Mth BTF auction, exp.: -0.6%
FR 14:00: 3-Mth BTF auction, exp.: -0.65%
In Asian trading hours, EUR/USD rebounded to 1.1731 and GBP/USD bounced to 1.2946. USD/JPY climbed to 105.56. AUD/USD advanced to 0.7187. This morning, Australia's NAB Business Confidence Index improved to -4 in September from -8 in August.
Spot gold was little changed at $1,899 an ounce.
#UK - IRELAND#
Weir Group, an engineering company, said it has agreed to sell its entire Oil & Gas division to Caterpillar for an enterprise value of 405 million dollars.
Wizz Air, a low-cost airline group, reported that it carried 1,567,836 passengers in September, down 58.9% on year, and the load factor dropped 29.9 percentage points to 64.6%.
Experian, a consumer credit reporting company, was upgraded to "overweight" from "equalweight" at Morgan Stanley.
Hapag-Lloyd's, a shipping and container transportation company, credit rating was upgraded to "BB-" from "B+" at S&P, outlook "Positive".
Thyssenkrupp, an industrial engineering group, was upgraded to "equalweight" from "underweight" at Morgan Stanley.
Suez, an utility company, said it renewed its support to the proposal being developed by investment firm Ardian and its partner, which envisages the acquisition of a 29.9% stake in the company from Engie and an all-cash public offer immediately thereafter. On the other hand, Veolia announced that it unconditionally commits not to file a hostile takeover bid following the sale of the shares held by Engie in Suez.
Engie, an electric utility group, announced the appointment of Catherine MacGregor, a former President of oil-services firm Technip Energies, as CEO, effective from January 1, 2021.
BNP Paribas, a banking group, was upgraded to "hold" from "sell" at Societe Generale.
From a chartist point of view, the stock has broken below the horizontal support of June at 33E. The recent Bollinger bands' widening calls for further downside. Below 34.6E look for the horizontal support at 27.5E and the previous low of April at 24.5E in extension.
Source: TradingView, GAIN Capital
Ems-Chemie, a chemical group, announced that 3Q net sales declined 13.3% on year (-8.7% organic growth) and 9-month sales were down 22.6% (-17.7% organic growth). The company added: "EMS continues to expect the net operating income (EBIT) for 2020 to be below previous year. Given the result-oriented distribution policy, the ordinary dividend is also expected to be below previous year."
This report is intended for general circulation only. It should not be construed as a recommendation, or an offer (or solicitation of an offer) to buy or sell any financial products. The information provided does not take into account your specific investment objectives, financial situation or particular needs. Before you act on any recommendation that may be contained in this report, independent advice ought to be sought from a financial adviser regarding the suitability of the investment product, taking into account your specific investment objectives, financial situation or particular needs.
GAIN Capital Singapore Pte. Ltd., may distribute reports produced by its respective foreign entities or affiliates within the GAIN Capital group of companies or third parties pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the report is distributed to a person in Singapore who is not an accredited investor, expert investor or an institutional investor (as defined in the Securities Futures Act), GAIN Capital Singapore Pte. Ltd. accepts legal responsibility to such persons for the contents of the report only to the extent required by law. Singapore recipients should contact GAIN Capital Singapore Pte. Ltd. at 6826 9988 for matters arising from, or in connection with the report.
In the case of all other recipients of this report, to the extent permitted by applicable laws and regulations neither GAIN Capital Singapore Pte. Ltd. nor its associated companies will be responsible or liable for any loss or damage incurred arising out of, or in connection with, any use of the information contained in this report and all such liability is hereby expressly disclaimed. No representation or warranty is made, express or implied, that the content of this report is complete or accurate.
GAIN Capital Singapore Pte. Ltd. is not under any obligation to update this report.
Trading CFDs and FX on margin carries a high level of risk that may not be suitable for some investors. Consider your investment objectives, level of experience, financial resources, risk appetite and other relevant circumstances carefully. The possibility exists that you could lose some or all of your investments, including your initial deposits. If in doubt, please seek independent expert advice. Visit cityindex.com.sg for the complete Risk Disclosure Statement.
Cryptocurrencies are not legal tender currency and trading of derivatives on Cryptocurrencies are currently not covered under any regulatory regime in Singapore. Consequently, investors should be aware they do not have protection under the Securities and Futures Act (Cap. 289). Please ensure that you are fully aware of the risks.