- DAX falls by nearly 0.8%
- At 1 p.m. BST reading of preliminary CPI data for May
- Siemens Energy AG (ENR.DE) considers cutting 4,100 vacancies
Overall market situation:
Wednesday's session on the European stock indices brings relatively significant declines. The German DAX is already down by almost 0.9% (in spot trading). The situation is much worse on the French CAC40, which loses 1.15%. The dynamic rebound in US yields, fuelled by the hawkish stance of Fed bankers, is spoiling sentiment in Europe. For the moment, investors' attention turns to the CPI reading from Germany, which will be published at 01:00 pm BST.
Start investing today or test a free demo
Create account Try a demo Download mobile app Download mobile appThe previously reported data from the individual Länder unfortunately did not make it possible to determine what the outcome of the aggregate reading might be.
European companies traded lower during Wednesday's trading session. Source: xStation 5
Volatility currently observed in the DAX index. Source: Bloomberg Financial LP
The German benchmark DE40 is down nearly 0.65% during today's session. The index continues to hold within the structure of the downtrend initiated on 16 May (it was breached yesterday, however). In the medium term, the continuation of the downtrend may create room to test the historically important support level in the zone of the 50-day exponential moving average (blue curve on the chart). Whether the DE40 breaks out below the 18,600-point zone currently being tested could prove crucial in this aspect. Locally, the most important resistance all along remains the historical peak at 19,000 points. Source: xStation 5
News:
Schaeffler AG (SHA.DE) shares gained as much as 4.2% today, as Citi analysts reinstated their buy recommendation on the company's shares. However, the increases have now been almost completely erased. The target price was set at € 8.10.
Source: xStation
Siemens Energy AG (ENR.DE) is considering cutting 4,100 jobs at its troubled Gamesa wind turbine unit. The company has started negotiations on restructuring measures for Gamesa, but will only announce the outcome of the talks once the details have been discussed with all parties involved. The company's shares are currently losing 1.5%.
Morgan Stanley downgrades Delivery Hero (DHER.DE) to ‘equal-weight’ due to continued pressure on margins and increased competition in the Saudi market. The stock is losing 3% today.
Source: xStation
Other incoming news from individual companies of the DAX index. Source: Bloomberg Financial LP
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.
