- European stocks start Thursday's trading with gains
- Sentiment drives fashion and semiconductor stocks
- Richemont gains 14.5% ahead of quarterly results release
- TSMC's strong results drive ASML and ASM
- Zalando expects higher earnings for 2024
European stock indices started Tuesday's trading with gains. The DAX is currently losing 0.06% on an intraday basis while Britain's FTSE100 is gaining 0.72%. The CAC40, meanwhile, adds 1.67%.
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Create account Try a demo Download mobile app Download mobile appInvestor attention today turns to corporate news and retail sales data from the US.
Volatility currently observed in the broader European market. Technology companies and luxury goods stand out in particular from the broader background. Source: xStation
Germany's DE40 index surged to new historic highs yesterday, after CPI data from the US supported investor sentiment. The most important support for the index invariably remains the 50-day EMA (blue curve on the chart). Technically, DE40 continues to maintain a stable uptrend all the time. Source: xStation
News
Investors' attention today turns to companies in the luxury goods sector. Richemont (CFR.CH), owner of the Cartier, Piaget, IWC and Jaeger-LeCoultre brands, beat market expectations for third quarter sales, fueling hopes that the luxury sector could recover from the recent slowdown. The company's sales rose 10% year-on-year to €6.2 billion in the three months through the end of December, well ahead of analysts' expectations for 1% growth. The company posted its highest-ever quarterly sales. The company's shares are currently gaining nearly 15%.
On an annual basis, the company is posting sales growth in every region except Asia-Pacific. The company's jewelry is selling well, although the luxury watch market remains under pressure at all times. Source: CFR
That's not all, however, as in addition to CFR's results, sentiment in the sector is driven by LVMH (MC.FR) shares, which are gaining in the face of an upgraded recommendation on the company's stock from Bank of America.
Sentiment in the luxury goods sector is doing very well today. Source: xStation
The other sector doing well is the technology/semiconductor sector. TSMC's quarterly results, which positively surprised investors, create hopes that companies in this sector will regain some ground after recent declines. ASML (ASML.NL) shares are currently gaining 2.6% while ASM International (ASM.NL) shares are up nearly 3.2%.
Zalando (ZAL.DE) shares are gaining more than 14% after the company said it expects earnings for 2024 to beat previous management expectations. EBIT for Q4 came in 10% higher than figures expected by JP Morgan analysts.
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