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European shares end the day (and the week) with solid gains

Global hope on Brexit and a US/China deal

The major European indices are ending the day (and the week) with solid gains. The provisional closes are showing:
  • German DAX, up 2.7%. That is the best day cents January 4
  • France’s CAC, up 1.7%
  • UK’s FTSE, up 0.7%
  • Spain’s Ibex, up 1.7%
  • Italy’s FTSE MIB, up 1.8%
For the week, the major indices are also ending with decent games.  Provisional changes for the week are showing:
  • German DAX, +4.1%
  • France’s CAC, +3.2%
  • UK’s FTSE, +1.22%
  • Spain’s Ibex, +3.28%
  • Italy’s FTSE MIB, +3.1%

In the European debt market, the benchmark 10 year yields are mostly higher with UK yields soaring by 12.1 basis points on hopes for a Brexit deal.

UK yields have soared by 12.1 basis points today
Looking at the yield chart for the 10 year in the UK, the yield moved above its 100 day moving average today for the 1st time since little looks above in April and May (that failed).  The last extended time above the 100 day MA was back in November 2018 (at much higher levels).
The UK 10 year yield

European equity close: Solid close to wrap up a great week

Closing changes for the main European equities

  • UK FTSE 100 +0.4%
  • German DAX +0.6%
  • French CAC +0.3%
  • Italy MIB +0.4%
  • Spain IBEX +0.9%
On the week:
  • UK FTSE 100 +1.3%
  • German DAX +2.3%
  • French CAC +1.1%
  • Italy MIB +1.1%
  • Spain IBEX +1.7%
Given the gains in the euro and (especially) the pound on the week, the performance was particularly impressive.
The FTSE 100 is right at the 55-day moving average:
Closing changes for the main European equities

European equity close: Italy leads the slump on election worries

Closing changes for the main European bourses:

  • UK FTSE 100 -0.5%
  • German DAX -1.3%
  • French CAC 40 -1.1%
  • Italy MIB -2.5%
  • Spain IBEX -1.2%
On the week:
  • UK FTSE 100 -2.3%
  • German DAX -1.5%
  • French CAC 40 -0.8%
  • Italy MIB -3.5%
  • Spain IBEX -1.7%

It was a rough week for European stocks but it’s not as quite as bad as it looks (in dollar terms at least) because the euro made some headway. Still, too many of the numbers that have been coming out of Europe have been pointing in the wrong direction.

European shares closing with losses

German Dax, Frances, CAC, UK FTSE all in the red

The major European stock indices are closing with losses on the day.  The provisional numbers are showing:
  • German DAX, -0.72%
  • France’s CAC, -0.77%
  • UK’s FTSE, -0.61%
  • Spain’s Ibex, -1.17%
  • Italy’s FTSE MIB, -0.56%
In the European debt market the benchmark 10 year yields are also lower.   France’s yield is back below the 0.0% level (closed at 0.009% yesterday), trading at -0.036% near the close.
German Dax, Frances, CAC, UK FTSE all in the red

European shares little changed to end the week

Major indices lower on the week

The major European indices are in the week little changed. For the week, there are modest declines.

The provisional closes for today are showing:

  • German DAX, -0.1%
  • France’s CAC, +0.3%
  • UK’s FTSE, -0.1%
  • Spain’s Ibex, +0.35%
  • Italy’s FTSE MIB, unchanged
For the week, most indices are ending lower:
  • German DAX, -1.95%
  • France’s CAC, -0.44%
  • UK’s FTSE, -0.63%
  • Spain’s Ibex, -0.40%
  • Italy’s FTSE MIB, +1.1%
Looking at the hourly chart of the German Dax below, the index traded below its 50 hour MA on Monday, below the 100 hour MA (blue line) on Tueday and felll below its 200 hour MA (green line) yesterday. Today, that 200 hour MA was a lid for the brief ralllies.
On the downside, the 38.2% at 12260.52 is the next target.

European shares end mostly in the red

German Dax down -0.85%

The European major stock indices are closed and the provisional closes by pointing mostly to the downside:
  • German DAX, -0.85%
  •  France’s CAC, -0.3%
  • UK’s FTSE, -0.1%
  • Spain’s Ibex, -0.1%
  • Italy’s FTSE MIB, -0.41%
Over the last 24 hours, BASF, the large German chemical company gave an earnings warning blaming what weakness and US-China trade war.  They do not see the situation improving in the 2nd half of 2019. The German economy saw factory orders fall on Friday.  Daimler cut its profit outlook for the 3rd time in a year.  Deutsche Bank announced yesterday that it would cut 18,000 jobs globally in a restructuring play to save the bank.
In the European debt market, the benchmark 10 year yields are ending the session mixed with German, France and UK rates higher, while the riskier Spain, Italy and Portugal yields saw investor demand (lower yields).
German Dax down -0.85%

European shares close with gains

10 year yields are lower

The major European indices are ending the day with modest gains. The provisional closes are showing:
  • German DAX, +0.1%
  • France’s CAC, +0.2%
  • UK’s FTSE, +0.9%
  • Spain’s Ibex, +0.3%
  • Italy’s FTSE MIB, +0.65%
In the 10 year benchmark note sector, yields are lower with Italy and UK yields down sharply. The UK PMI construction data was much weaker than expectations and BOE Carney also came out with dovish comments in the NY morning session.
10 year yields are lower