- European indices gain at the end of the week
- Powell's speech at 3:00 p.m. BST in the investors' spotlight
- Delivery Hero leads gains on the German stock exchange
General market situation:
Friday's session on the European stock markets is in good moods. The German DAX is currently gaining 0.65% on an intraday basis. At the same time, the French CAC40 adds 0.62%. Investors' attention turns to Powell's speeches in Jackson Hole at 3:00 p.m. BST today. Investors can expect a spike in market volatility on many instruments around this event.
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Create account Try a demo Download mobile app Download mobile appIn Germany alone, we can see large increases today, m.in. on the shares of Delivery Hero (DHER.DE). As part of a shift in strategy, Delivery Hero appears to be exploring financial services as a potential source of revenue. Furthermore, Foodpanda, owned by Delivery Hero SE, has become the largest food delivery app in Asia, excluding China, and the unit is anticipated to continue further expansion in areas such as groceries. The company's shares are currently gaining more than 6%.
Volatility currently observed in the broad European market. Source: xStation
The German benchmark DE40 is trading nearly 0.95% higher during Friday's session. The index broke above the key resistance level set by the 50-day EMA (blue curve on the chart) and the local peaks of the consolidation zone from the last few sessions. A dynamic breakout of these zones could theoretically open the way for further increases towards the historical highs of 19,000 points. On the other hand, it is worth bearing in mind that the scale of the recent rebound is large, which may lead to investors booking some profits. In this aspect, the previously mentioned 50-day EMA and the 100-day EMA (purple curve on the chart) may be a relatively important support zone. Source: xStation
News:
Infineon Technologies (IFX.DE) and Qimonda's insolvency practitioner have agreed to the terms of a settlement to end a legal dispute that has been pending before the Munich Regional Court since the end of 2010.
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The settlement provides for a payment of EUR 753.5 million; consists of a nominal settlement of €800 million less deductions from previous contracts
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Infineon will use the reserves set aside for the legal dispute; the amount of the surplus will have a negative impact on the profits and cash flows from the discontinued operations
The company's shares slightly lost value today, but have now made up for these movements and are trading slightly higher on an intraday basis.
Nestle (NESN.CH) shares are down more than 2.3% in today's session, hovering near a five-year low, after the company said Laurent Freixe would replace Mark Schneider as CEO. Analysts at the investment banks expressed uncertainty about whether the unexpected change in leadership would lead to Nestle deviating from its current financial projections and whether the change would actually bring about the intended corrective changes.
Other news coming from individual companies of the DAX index. Source: Bloomberg Financial LP
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