European equities drop as earnings disappoint

27 January, 2016

The major European equity markets suffered losses as weak corporate earnings triggered concerns regarding the economic slowdown in Eurozone and across globe. Weak oil prices did not help matters either.

At the time of writing, the pan-European blue chip Stoxx 50 index was down 0.50%. Germany’s DAX was and France’s CAC were down 0.30% each. The mining heavy UK’s FTSE was down 0.35%. The Stoxx Europe 600 Index slipped 0.5% and is down more than 7.5% so far this month. 

Shares in BASF SE lost 2.9% after the world’s largest chemical maker said it suffered a Euro 600 million ($652 million) loss in the fourth quarter because of lower oil and gas prices. Novartis AG dropped 2.6% after it reported a weaker-than-expected fourth quarter earnings.


Source link  
USD: Fed being a little more hawkish

The dollar picked up over the past week, and this continued to be in reaction to a Fed that is being a little more hawkish...

EUR sluggish in recent weeks

EUR has also been surprisingly soft in light of the convincing win by French President Macron...

EUR/USD sinks to session lows

The single currency is now losing the grip vs. the buck, sending EUR/USD to test the area of daily lows in the 1.1240/30. Spot met extra downside pressure...


Euro is consolidating below the 1.1300

In view of Karen Jones, Head of FICC Technical Analysis at Commerzbank, the pair still points to some consolidation...

Dollar Index rebound looks plausible

In view of the analysts at Societe Generale, the Dollar Index correction appears to have come...

Oil closed strongly

Oil prices rallied after the EIA weekly report showed gasoline inventories declined the most at this time of the year for at least five years. Stocks dropped 3.26 million barrels to 238.2 million barrels. The market was also buoyed by a fall in US oil production, down 55kb/d to 8.46mb/d last week...


Gold hovering around 3-week high

Gold on Wednesday traded in a narrow band but maintained its bid tone and is hovering around 3-week high level touched on Tuesday to currently trade around $1364 region...

US Dollar weaker, finds support at 97.00

The greenback, tracked by the US Dollar Index, is now picking up some pace after finding some support in the 97.00 neighbourhood...

Gold rises to a four-week high

After hitting a four week high level of $1284 during early late Asian early European session, Gold prices remained bouyant for fourth session in a row and are currently holding steady around $1282 level...

  


Share: