DE30 plunges over 1% ahead of ECB strategy announcement

• Stocks in Europe trade lower
• ECB is most likely to announce its new inflation target today
• Suedzucker (SZU.DE) stock under pressure after weak quarterly earnings

European indices launched today's session sharply lower ahead of the publication of the ECB’s strategy review which is likely to include a shift in the inflation target to 2% from "below but close to 2%" currently - which would theoretically allow for inflation overshoots. Meanwhile investors digest latest FOMC minutes and concerns that Chinese economic growth is slowing after the PBoC hinted at monetary easing.

DE30 experienced steep downward moves shortly after opening of today's session and is testing the lower limit of the range in the 15,450 pts area. Should break lower occur, then downward move may accelerate towards next support at 15280 pts. On the other hand, if buyers will manage to halt declines here, then another upward move towards  15,650 pts may be launched. Source: xStation5.

Suedzucker (SZU.DE) shares fell by more than 3.5% after Europe's largest sugar producer recorded a weak first-quarter earnings amid the economic impact of the coronavirus pandemic. However, the company believes that profits will increase throughout the fiscal year.

Suedzucker (SZU.DE) stock launched today’s session lower and broke below 50 SMA (green line). Stock is currently testing major support at €13.03. If current sentiment prevails, then downward move may accelerate towards next support at €12.37. Source: xStatio5

Lufthansa (LHA.DE) raised 1 billion euros ($1.2 billion) in a corporate bond sale yesterday, boosting its finances after a state bail-out due to the COVID-19 pandemic. Company said it would use the proceeds to strengthen its liquidity.

Deutsche Post DHL (DPW.DE) raised its short and medium-term profit outlook and will send another coronavirus bonus to employees, as the logistic group believes that the ecommerce boom driven by the pandemic would continue. Company expects operating profit to increase to more than 7 billion euros ($8.26 billion) in 2021, up from a previous forecast of 6.7 billion euros.