- European stock markets are trading higher
- Ukraine neutrality examined in peace talks
- E.ON (EOAN.DE) expects lower earnings in 2022
European indices jumped to near two-week highs during today's session amid hopes of progress in Ukraine-Russia peace talks. Russian Foreign Minister Lavrov said parts of a possible peace deal with Russia are close to being agreed, with neutral status for Kyiv under "serious" consideration. However this was not confirmed by the Ukrainian side. It is worth remembering that Lavrov's previous statements turned out to be empty words, so today's assurances should be treated with a pinch of salt. Meanwhile, market sentiment was also supported by China's pledge to roll out policies favourable for capital markets. Today investors will keep an eye on the Ukrainian President's address to Congress, President Biden's speech and fresh economic data, including US retail sales. In the evening markets attention will focus on the FED interest rates decision.
Yesterday DE30 bounced off the upward trendline and broke above local resistance at 14097 pts, which now acts as support. Upbeat moods prevail today as well. Index is approaching major resistance at 14408 pts which is marked with 38.2% Fibonacci retracement of the upward wave launched in November 2020. However, if sellers manage to halt advances, another downward impulse towards the aforementioned support at 14097 pts may be launched. Source: xStation5
Start investing today or test a free demo
Create account Try a demo Download mobile app Download mobile appCompany news:
E.ON (EOAN.DE) stock fell nearly 3.0% after Germany’s largest energy firm announced it expects 2022 core earnings to fall up to €7.6 billion from €7.9 billion in 2021, on concerns over the Nord Stream 1 pipeline. Company has stopped procuring new gas amounts from Gazprom trading companies in Europe in response to the war in Ukraine, the group's Chief Executive Leonhard Birnbaum said on Wednesday.
E.ON (EOAN.DE) stock launched today's session with a bullish price gap, however momentum quickly faded away. Price failed to stay above the local resistance zone around €10.90 which coincides with 38.2% Fibonacci retracement of the upward wave launched in March 2021. If current sentiment prevails, support at €9.90 may be at risk. Source: xStation5
BMW (BMW.US) lowered its 2022 operating profit forecasts due to the Russian aggression which is causing production interruptions. Automaker now projects growth of earnings before interest and taxation (EBIT) in its car segment in a range of 7-9% compared to previous forecasts of 8-10%.
Mercedes-Benz AG (MBG.DE) stock jumped over 2.0% on Wednesday after the automaker announced it will not reduce investments on electric vehicles segment even as it copes with supply-chain cost pressures exacerbated by the Russia-Ukraine conflict, chief executive said on Tuesday.
