DE30: European equity markets lose ground at the end of the week

• Markets in Europe lose ground at the end of the week

• DAX once again tests the recently broken consolidation zone

• Crash in Adidas shares as consequences of Kanye West deal break out

This week's final trading session on European markets brings a deterioration in investor sentiment as investors react to hawkish comments from ECB and Fed bankers and waning bullish momentum in risk assets. The mood was also spoiled by the massive missile attacks carried out by the Russian Federation.  In terms of the macro calendar for today's session, investors are focused on the Canadian labor market report, as well as the initial UoM sentiment reading from the US. Several bankers from the Fed and the ECB will also comment on the current macroeconomic situation, as well as on their banks' monetary policies.

Investor sentiment on the Old Continent deteriorated significantly at the end of the week. Most European companies are currently recording declines.  Source: xStation 5

Company news and bank recommendations: 

• HelloFresh (HFG.DE) shares are trading down nearly 4% today as market sentiment deteriorated and JP Morgan downgraded the company to 'underweight'.

• Shares of Adidas (ADS.DE) are currently trading down almost 12%, having tumbled following the company's weak earnings announcement. Adidas warned that it could end 2023 with an operating loss of up to €700 million due to the discontinuation of its partnership with US rapper Ye, or Kanye West, makers of Yeezy shoes. The company's sales are likely to fall this year, which Bloomberg estimated at up to €1.2bn.

• JP Morgan maintained its buy recommendations on Volkswagen (VOW1.DE) and Mercedes Benz (MBK.DE).

Companies currently trading the highest and key information from each. Source: Bloomberg

DE30 chart:

DE30 futures are trading down sharply at the end of the week, which once again dropped the index into the region of the previously broken consolidation zone.  Source: xStation 5