DE40: European stocks wipe out bullish momentum at week's end

• European stock markets erase some of their week-end gains
• Automotive and fashion the best performing sectors of today's session

Overall Market Situation: European markets are trading in mixed sentiment at the end of the week. Germany's DAX on the spot market is already losing nearly 0.4%, although the index is still close to its historic highs. The theme of the day today may turn out to be further comments on tariffs and data from the US, particularly those focused on retail sales. 

In the broader European market, we are seeing relatively positive sentiment among major economic sectors. The automotive and fashion sectors are doing well. Source: xStation

The German DE40 index is gaining ground today and is back in the zones of historical maxima. The most important support for the index invariably remains the 50-day EMA (blue curve on the chart) and the support area of the consolidation zone near 21,230 points. Technically, the DE40 continues to maintain a stable upward trend all the time. Source: xStation

Corporate news:

We have had a great week for European stock markets. It would even seem that slowly the market is beginning to price in the scenario of the end of the war in Ukraine, which has been quietly resounding in the news domains for some time. Trump and Putin have been holding phone conversations, and there is talk in the background that another mediation meeting in the Middle East is expected to lay the groundwork for a bilateral accord. Although these are just market guesses and speculations, with the light reception of Trump's announcement on retaliatory tariffs, the European market is soaring.

The drivers of growth today are fashion companies (driven by strong results from Hermes and Moncler) and automotive (although the sector initially struggled in the face of Trump's comments about wanting to focus tariffs on the sector.

Interestingly, it is Volkswagen (VOW1.DE) among the largest car companies that is most exposed to a possible increase in tariff pressure, as it is the brand that imports its cars into the US the most. Source: Bloomberg Financial LP

The Euro Stoxx 50 benchmark has rarely been so overbought in the past four years. Source: Bloomberg Financial LP

Other news:

Oddo BHF downgraded its recommendation on Deutsche Boerse AG (DB1.DE) to neutral from positive.The target price was set at €253, an increase of 2.2% from the last price. Interestingly, it is worth recalling that Deutsche Boerse reported earnings and sales on February 11, which beat estimates for the quarter.

United Internet (UTDI.DE) shares are down nearly 8% after higher costs put pressure on the company's earnings.

Other news from individual companies in the DAX index. Source: Bloomberg Financial LP