|Day's range||5,325.72 - 5,378.74|
|52-week range||4,555.99 - 5,672.77|
The majors are set for a positive open. Sentiment could deteriorate rapidly, however, should trade war chatter hit the news wires…
Trade war chatter influenced a busy week on the economic data front. Stats out of the U.S and UK impressed, while the EUR took a beating.
China’s Ministry of Finance said fresh 10% tariffs on $300bn of Chinese goods violated a consensus reached with the US and threatened trade talks.
Economic data out of China fails to impress early. With trade tensions easing, Germany’s GDP numbers could upset the markets later this morning…
Geopolitics, the Yuan and a string of key stats may test risk sentiment further in the week ahead, which would support the central bank doves…
A string of weak economic data and an escalation in the U.S – China trade war drove the majors, which also led to a surprise move by the RBNZ.
Can the rebound continue? Trump Twitter account will need to remain on the quieter side later on in the day to let the numbers do the talking…
Stock markets enjoyed a tentative recovery on Thursday after better-than-expected Chinese export data and a steadying of the yuan restored some calm to global markets. European markets followed Asia higher in early trade, helped by data showing Chinese exports rose 3.3% in July from a year earlier, beating an expected decline of 2%. Chinese imports fell by less than forecast, despite the Sino-U.S. tariff struggle.
It’s data light, with the ECB Economic Bulletin the only market driver from the Eurozone. China trade data and geopolitics will drive the majors today.
MILAN/PARIS (Reuters) - PSA's shares briefly rose as much as 6.6% on Wednesday and trading volumes spiked after a Bloomberg report said Dongfeng Motor Corp is exploring options for its 2.2 billion-euro ($2.5 billion) stake in the French carmaker. The French carmaker's board has not received any notification or signal that Dongfeng planned to reduce its stake, a source close to the company said.
Following 3 consecutive days in the red, the European majors may find support early on, though earnings and German data could spoil any chance of a rebound.
Can the markets look beyond Twitter to focus on the stats, or will trade war chatter continue to pressure the majors on the day ahead?
Germany's trade-sensitive DAX index slumped 3.1%, while losses for luxury goods makers, which draw a large part of their revenue from China, dragged down France's CAC 40 by 3.6%. Abruptly ending a temporary trade truce between the two countries, U.S. President Donald Trump said on Thursday he would impose a 10% tariffs on $300 billion of Chinese exports to the United States from September 1, prompting Beijing to warn of retaliation. "When the global economy seems to be quite dependent on the outcome of trade negotiations, that would almost necessarily mean the markets are quite volatile as the negotiations progress," said Bert Colijn, senior economist for eurozone at ING in Amsterdam.
European stock indexes lost up to 2% in value in early deals on Friday as U.S. President Donald Trump's warning of new tariffs on China sank stock markets worldwide and sent trade-sensitive sectors like mining and carmakers into a tailspin. Abruptly ending a temporary trade truce between the two countries, Trump said he would impose a 10% tariffs on $300 billion of Chinese exports to the United States from September 1. Spooking investors further, Bloomberg reported that Trump is scheduled to make a statement on trade with the European Union at 1745 GMT on Friday.
The futures are signaling a sharp tumble as investors react to Trump’s latest tariff threat. Today’s stats may well be brushed aside…
* European stocks end sharply lower after rollercoaster day * ECB signals rate cut in September, more QE, triggering brief rally * Stock gains wiped out after ECB's Draghi quashes talk of rate cut today * EZ banks briefly rallied on tiered rate hopes, but gains evaporated * German business morale deteriorates * CAC 40 outperformed broader market on solid updates from LVMH, Schneider Electric * Nokia rose 7% after surprise Q2 profit jump * Cobham +35% after Advent agrees to buy for $5 billion Welcome to the home for real-time coverage of European equity markets brought to you by Reuters stocks reporters and anchored today by Thyagaraju Adinarayan. Reach him on Messenger to share your thoughts on market moves: rm://firstname.lastname@example.org CLOSING SNAPSHOT: MARIO GIVETH AND THEN HE TAKETH AWAY (1558 GMT) The ECB's bank's policy statement delivered much of what the market had expected, signalling a September rate cut, changes to inflation targets, more QE and a gift to banks with possible tiered deposit rates and the ensuing euphoria sent euro-zone stocks rallying, led by banks.
* European stocks rise after ECB signals potential rate cuts * EZ banks rally on tiered rate hopes * German business morale deteriorates * Cars go into reverse after Nissan news * CAC 40 outperforms on solid updates from LVMH, Schneider Electric * Nokia rises 7% after surprise Q2 profit jump * Cobham +35% after Advent agrees to buy for $5 billion Welcome to the home for real-time coverage of European equity markets brought to you by Reuters stocks reporters and anchored today by Thyagaraju Adinarayan. Reach him on Messenger to share your thoughts on market moves: rm://email@example.com NOW MARIO, GIVE US THE DETAILS (1237 GMT) It looks that the ECB statement didn't disappoint anyone, sending euro-zone shares shooting higher across the board, as the euro took a turn lower.