- European indices mostly drop during Thursday's session
- A range of corporate news from Europe
- BofA raises recommendation on Kering shares
General market situation:
Thursday's session on European stock markets is marked by moderate declines. The German DAX is currently gaining nearly 0.23% on the spot market and is one of the few benchmarks posting gains. At the same time, France's CAC40 is losing 0.53%, and Britain's FTSE 100 is down 0.31%. Investors' attention is turned today towards information coming from individual companies and GDP data from the US.
Volatility currently observed in the DAX index. Source: Bloomberg Financial LP
Volatility currently observed in the broad European market. Source: xStation
Germany's benchmark DE40 is up nearly 0.2% during today's session. The index continues to remain in the structure of the downtrend initiated on May 16. The continuation of the downward trend led to the testing of a historically important support level in the zone of the 100-day exponential moving average (purple curve on the chart, all the time it remains a key support point). Locally, the most important resistance all the time remains the zone of the 50-day exponential moving average (blue curve). The DE40 index is currently testing this zone and trying to break out above its upper limit. Source: xStation
Interestingly, a test of the zones of the previously mentioned 100-day EMA brought a clear activation on the volume side. This may indicate that we have seen a lot of activation by institutional investors in this zone. Source: xStation 5
News:
Hennes & Mauritz (HMB.SE) shares are losing nearly 12% in today's session, following the release of worse-than-expected quarterly results and a forecasted drop in sales for June.
GSK (GSK.UK) is losing nearly 6% during today's session after the U.S. CDC narrowed recommendations for all respiratory syncytial virus (RSV) vaccines and halted its recommendation for use in people under 60. The company recently began distributing Arexy, a vaccine designed to combat RSV.
Serco Group (SRP.UK) shares are gaining 4%, after the company raised its earnings forecast for the year.
In the fashion market, Kering (KER.FR), a conglomerate that brings together brands such as Gucci and Yves Saint Laurent, stands out in a big way. BofA Global raised its rating on the company's stock to "buy" from its previous "underperform" rating. The bank cites signs of early improvement in momentum around the Gucci brand. Target price at 450 euros. The stock is gaining 4% today.
Other news coming out of individual companies in the DAX index. Source: Bloomberg Financial LP
Daily Summary: Powell pulls markets back up! 📈 EURUSD higher
Salesforce announces partnerships with OpenAI and Anthropic🚨
Intel down 5% 📉
JPMorgan, Goldman Sachs, and Citigroup: Sector Overview and Challenges
The content of this report has been created by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, (KRS number 0000217580) and supervised by Polish Supervision Authority ( No. DDM-M-4021-57-1/2005). This material is a marketing communication within the meaning of Art. 24 (3) of Directive 2014/65/EU of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending Directive 2002/92/EC and Directive 2011/61/EU (MiFID II). Marketing communication is not an investment recommendation or information recommending or suggesting an investment strategy within the meaning of Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014 on market abuse (market abuse regulation) and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC and Commission Delegated Regulation (EU) 2016/958 of 9 March 2016 supplementing Regulation (EU) No 596/2014 of the European Parliament and of the Council with regard to regulatory technical standards for the technical arrangements for objective presentation of investment recommendations or other information recommending or suggesting an investment strategy and for disclosure of particular interests or indications of conflicts of interest or any other advice, including in the area of investment advisory, within the meaning of the Trading in Financial Instruments Act of 29 July 2005 (i.e. Journal of Laws 2019, item 875, as amended). The marketing communication is prepared with the highest diligence, objectivity, presents the facts known to the author on the date of preparation and is devoid of any evaluation elements. The marketing communication is prepared without considering the client’s needs, his individual financial situation and does not present any investment strategy in any way. The marketing communication does not constitute an offer of sale, offering, subscription, invitation to purchase, advertisement or promotion of any financial instruments. XTB S.A. is not liable for any client’s actions or omissions, in particular for the acquisition or disposal of financial instruments, undertaken on the basis of the information contained in this marketing communication. In the event that the marketing communication contains any information about any results regarding the financial instruments indicated therein, these do not constitute any guarantee or forecast regarding the future results.
