DE30: Strong rebound in European markets at the end of the week📈

• Friday's session brings a rebound in the markets
• Nike's inventory drop fuels Adidas and Puma shares
• Commerzbank leads gains in today's German session

Overall market situation:

Stock market sentiment during Friday's session in Europe shows a significant improvement over recent sessions. Most of the individual listed companies are posting gains at the moment, which is largely due to a halt in the sharp increases in yields on debt instruments. Investors' attention today is focused on PCE inflation data from the US and Americans' income/spending. 

At the moment, companies listed in Europe are posting sizable gains. Sportswear and luxury goods companies are doing relatively well today. Source: xStation 5

Listings of contracts based on the German DE30 index are gaining nearly 0.91% intraday. It is worth mentioning that the benchmark also broke out above the 200-day exponential moving average (golden curve) today.  Source: xStation 5

News:

Societe Generale raised its recommendation on shares of Sartorius (SRT.DE) to a "buy" rating from its previous "hold" rating. The target price was set at €382. The company's shares are gaining nearly 3% during today's session. 

Source: xStation 5

In the face of a general decline in Nike (NKE.US) stock, very good sentiment is seen today on shares of Adidas (ADS.DE) and Puma (PUM.DE). Moreover, Nike itself reported a higher-than-expected gross margin. JP Morgan also points to good sales in North America and EMEA. 

A number of investment banks have raised their recommendations for Nike shares:

TD Cowen raises target price to $120 from $117
Deutsche Bank raises target price to $125 from $122 
JPMorgan raises target price to $137 from $136
Barclays lowers target price to $119 from $124
Goldman Sachs lowers target price to $136 from $145
BMO Capital cuts target price to $110 from $120

Source: xStation 5

Shares of Commerzbank (CBK.DE) gained as much as 7.5% in today's session, the most since March of this year, after the bank initially announced an enlarged earnings redistribution program to shareholders, which analysts say suggests a significant increase over current consensus. The bank aims to return at least 70% of profits in 2024 to investors. 

Morgan Stanley calculated that the bank's new policy will result in an increase over consensus payouts of at least €700 million and a total return of 25% in 2022-24, compared to a range between 16%-20% that was previously projected. The company plans to publish its overall strategy review on November 8.

The overall payout ratio in dividends and share repurchases is expected to reach above 50% in 2025-2027. 

Source: xStation 5

The largest percentage changes in individual companies in the DAX index. Source: Bloomberg Finance L.P.

Information from individual companies in the DAX index. Source: Bloomberg Finance L.P.