Investing.com UK - Financial Markets Worldwide
Get 40% Off
Get 40% Off
⚠ Earnings Alert! Which stocks are poised to surge?
See the stocks on our ProPicks radar. These strategies gained 19.7% year-to-date.
Unlock full list

European Stocks Recover After Weak Open

ByFOREX.com
AuthorFawad Razaqzada
Published 07/10/2019, 12:10
Updated 18/05/2020, 13:00
Daily % Candles From Asia Open

  • At mid-morning London, CHF, JPY and GBP were among the strongest while the AUD was the weakest in major currencies. Despite the “risk-off” tone from the FX markets, stocks turned positive after a weaker open. Crude oil prices were a touch firmer. Gold, silver and copper all eased back. Bond yields remained soft. It has been a quiet-ish day with Australia and China out, and with only a couple of noteworthy data releases on the economic calendar.

  • Among today’s data highlights, German factory orders fell 0.6% month-over-month in August versus a drop of 0.4% expected, while investors in the Eurozone turned more pessimistic as the Sentix Investor Confidence index deteriorated to -16.8 from -11.1 previously. Despite this, the EUR/USD was flat, clinging onto the key 1.0960 short-term support. US Federal Reserve Chair Jay Powell is speaking at 18:00 BST.

  • Stocks: index futures gapped lower at the open overnight before staging a small recovery. Bloomberg reported that Chinese officials on recent visits to the US have indicated the range of topics they’re willing to discuss as part of a potential trade deal has “narrowed considerably.”

  • The markets had ended higher in the last two days of the previous week after suffering big losses earlier amid concerns over company earnings growth following the release of disappointing macro data, which pointed to a slowdown in economic activity, most notably in US manufacturing. But an unexpected drop in US unemployment rate on Friday eased concerns over a potential recession, allowing the markets to breathe a sigh of relief.

  • With macro concerns back to the forefront of investors’ minds, there will be plenty of economic data to drive sentiment this week, particularly from Europe. In addition, we will have US inflation figures and Canadian employment data to look forward, as well as minutes from both the ECB and FOMC’s last policy meetings. The US-China high level trade talks are also expected to start this week, too.
    • Cash Indices % Change

    Disclaimer: The information on this web site is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement. The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any currency or CFD contract. All opinions and information contained in this report are subject to change without notice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. Any references to historical price movements or levels is informational based on our analysis and we do not represent or warranty that any such movements or levels are likely to reoccur in the future. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness, nor does author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.

    Original Post

    Latest comments

    Install Our App
    Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
    Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
    Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
    It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
    Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
    © 2007-2024 - Fusion Media Limited. All Rights Reserved.