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European stocks trade higher on Wednesday
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DE30 tests 50-hour moving average
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Covestro (1COV.DE) expects 2020 to be a challenging year
Stocks in Europe launched the day higher following a rebound in Asian equities. UK and Russian stocks are top performers while Polish and Belgian equities lag the most. Financial services companies and miners lead rebound in Europe today.
Source: xStation5
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Create account Try a demo Download mobile app Download mobile appDE30 was trading in 13650-13700 pts range yesterday. However, after a second test of the lower limit of the range that index launched recovery that extended overnight. The index made a small pullback after the opening of today’s cash session and trades near the 50-hour moving average at press time (green line). The nearest support zone to watch can be found at 13700 pts and it was tested shortly after the launch of the cash session. Near-term resistance can be found at 13755 pts while ATH at 13805 is the next one in line. The major macro release of the day is FOMC minutes (7:00 pm GMT). Apart from that, today’s trading is likely to be dominated by incoming news.
DAX members at 9:30 am GMT. Source: Bloomberg
Covestro (1COV.DE) generated full-year EBITDA of €1.6 billion in 2019, marking a 50% YoY drop. Net income dropped 70% YoY, to €552 million). Sales were 15% YoY lower and stood at €12.41 billion. EBITDA and net income were slightly better than expected while revenue missed forecast. The company expects 2020 to be challenging as well. EBITDA in Q1 2020 is expected in the €200-280 million range. Full-year volumes are expected to rise at a low-single digit pace.
Deutsche Telekom (DTE.DE) reported full-2019 results today ahead of the session open. The German telecommunications company reported adjusted net income of €6.655 billion, marking a 46% YoY increase. Revenue of €80.531 billion was 6.4% YoY higher. Adjusted EPS increased from €0.96 in 2018 to €1.40 in 2019. The company enjoyed improved performance in countries that were a drag recently, like Poland, Russia or the Netherlands.
Wirecard (WDI.DE) teamed up with Raiffeisen to provide payments services in Eastern Europe.
Adidas (ADS.DE) said that it suffers material negative impact from the Chinese coronavirus outbreak as business activity in the country dropped 85% from a year ago.
Deutsche Telekom (DTE.DE) surges after releasing strong 2019 figures. Share price broke above 2019 peak and trades at the highest level since mid-2017. The near-term resistance to watch can be found at €16.50 and is marked with the upper limit of the trading range from January-April 2017 period. Source: xStation5
