DE40: Reacts to Ceasefire Talks and Political Visits

There is pessimism on European financial markets today. Contracts on the DE40 are down over 0.4% today, while the EU50 is falling by more than 0.8%. Contracts on the FRA40 and ITA40 are also performing poorly, declining by nearly 0.9% and 0.8%, respectively. The market is reacting this way to the upcoming series of meetings concerning a potential ceasefire in Ukraine. The macroeconomic calendar for the rest of the day remains empty; therefore, investors are fully focusing their attention on the visit of the highest-ranking European politicians to the White House.

Source: xStation

Currently observed volatility in the broader European market. Source: xStation

The German DE40 index is losing 0.4% during today’s session and is very close to support levels defined by the 25-day and 50-day exponential moving averages (the green and purple lines on the chart, respectively). At this moment, both averages appear to be strong support that could maintain the upward trend, but it should be remembered that the coming days could be crucial for European markets.
Source:

xStation

Company news:

Rheinmetall (RHM.DE) is gaining over 3% today. This is a consequence of ongoing peace talks regarding the conflict in Ukraine. Additionally, the company’s stock price is supported by discussions between Trump and the European Union on defense matters, which could translate into increased orders for defense companies.

Source: xStation

RENK Group (R3NK.DE) is rising by nearly 2.5% after confirming a strong order book and stable operating margin despite a difficult geopolitical environment. Additionally, the company benefits from investor sentiment closely watching European countries’ discussions with the U.S. administration regarding peace in Ukraine and security issues on the continent. Renk, as a supplier of specialized solutions for the defense industry, could benefit from potential demand growth related to the intensification of the conflict and increased transatlantic cooperation in defense.

Source: xStation

Novo Nordisk (NOVOB.DK) surged over 5% following FDA approval for the use of the drug Wegovy in treating MASH (non-alcoholic steatohepatitis). This decision undoubtedly opens new opportunities for the company by expanding its portfolio with drugs for patients suffering from liver diseases.

Source: xStation

Vestas (VWS.DK) is up more than 15% today, supported by favorable legislative changes in the U.S. At the same time, positive sentiment in the renewable energy sector and expectations of infrastructure investments in the European Union further support the wind turbine manufacturer’s stock price.

Source: xStation

Company news from firms listed on the German exchange. Source: Bloomberg Financial Lp