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European stocks higher, rebounding from worst losses in over 2 years yesterday

Dec 07, 2018

 

*Data in Price Return and Updated Real-Time (with a delay), Source: StockDio

European Markets

  • European stocks are bouncing back this morning after the worst trading day in 2 years, with every sector gaining today
  • Despite today's relief rally, European investors have a number of concerns weighing on sentiment in addition to US-China trade as we head into the weekend: total uncertainty around Brexit and more protests in the streets of France this weekend, to name just two
  • UK Prime Minister Theresa May is considering a plan to postpone the Brexit vote in Parliment where she would likely suffer a massive defeat if held on December 11th as planned, Conservative Party members are encouraging her to take this path though it is not clear how that would happen
  • The Euro Stoxx 600 is currently up +1.24%, the FTSE 100 is higher by +1.52%, the DAX has advanced +0.71%, and the CAC 40 has risen +1.45%
  • Overall market volatility, measured through a cross asset volatility index across stocks, bonds, currencies and gold, continues to remain muted in spite of the volatility in stocks 
  • Sanford Bernstein is advising clients to buy low volatility stocks with a flattening yield curve a headwind for momentum stocks
  • Investor sentiment for European stocks is positive with the advance/decline ratio for the Euro Stoxx 600 currently at 9.17x
  • Retail (+2.12%), Personal & Household Goods (+2%), and Travel & Leisure (+1.91%) stocks are the top performers in the Euro Stoxx 600 today
  • Health Care (+0.47%), Automobiles & Parts (+0.85%), and Banks (+0.91%) stocks are the worst performers in the Euro Stoxx 600 today
  • 2 stocks in the Euro Stoxx 600 are at 4-week highs while 278 stocks are at 4-week lows
  • 1 stocks in the Euro Stoxx 600 are overbought while 98 stocks are oversold according to the 16-day RSI Measure
  • VSTOXX, the European stocks equivalent of the VIX, is lower this morning  and is currently at 21.37 after closing at 24.61 yesterday

What is Going on with European Currencies?

  • EUR€ is currently little changed against the USD$ at 1.1378
  • GBP£ is currently little changed against the USD$ at 1.2766
  • CHF is currently little changed against the USD$ at 1.0069

Highlights from the European Bond Market

  • Generic Euro 10-Year Bonds are lower with yields up 1.8 basis points to 0.254%
  • German 10-Year Bunds are lower with yields up 1.8 basis points to 0.254%
  • French 10-Year Government Bonds are lower with yields up 1.9 basis points to 0.683%
  • UK 10-Year GILTs are lower with yields up 2.3 basis points to 1.269%
  • Italian 10-Year Government Bonds are higher with yields down -5.7 basis points to 3.145%
  • Spanish 10-Year Government Bonds are flat with yields little changed 0 basis points to 1.461%

 

 

 

Euro Stoxx 50 Movers

In local currency.
On Mobile/Tablet scroll to the right.

Outperformers Sector Price 1D % Chg Volume
Nokia OYJ Financials 4.94 3.87%      12,821,969
CRH PLC Telecommunication Services 23.1 3.78%                  536,227
L'Oreal SA Health Care 209 3.06%                  226,961
Kering SA Consumer Staples 401 2.71%                     80,577
adidas AG Financials 199 2.69%                  318,506
 
Underperformers Sector Price 1D % Chg Volume
Fresenius SE & Co KGaA Telecommunication Services 40.1 -15.28%               5,331,766
AXA SA Health Care 19.8 -0.55%               3,219,107
EssilorLuxottica SA Consumer Staples 110 -0.27%                  519,141
Bayerische Motoren Werke AG Utilities 71.9 0.03%                  623,939
Safran SA Industrials 106 0.28%                  221,501