This weekend looks rather positive for the main European stock exchanges which are moving in the green this Friday morning, as well as the American stock exchange. Indeed, the financial markets seem to react positively to encouraging Chinese economic indicators that allow global stocks to mitigate their losses.Trade on the Euro Stoxx 50 Index!
This morning, we saw a 1.17% recovery in the CAC 40 stock market index, which stands at 4,322.97 points after a loss of around 6% over the rest of the week. The British FTSE 100 Index gained 1.36% and the German DAX 30 Index gained 1.31%.
As for the European indices, there was a 1.24% rise in the EuroStoxx 50, a 1.25% gain for the FTSEurofirst and 1.26% for the Stoxx 600.
This increase can be attributed to a first rise in Chinese industrial production in April and since the beginning of the year with +3.9%, twice as much as analysts' expectations. Nevertheless, retail sales fell by 7.5% year-on-year and investment in fixed assets fell by 10.3%.
According to analysts, the Covid-19 crisis is having a lasting impact on demand but supply is recovering and should return to decent levels as soon as the pandemic ends. It must be said that Chinese data is particularly observed by investors as it allows them to anticipate the future situation in Europe and the United States. These figures have even managed to erase fears of a hardening of relations between China and the United States after worrying remarks by Donald Trump.
However, other important figures are also to be followed today, including an estimate of German GDP in the first quarter as well as US retail sales and industrial production figures in April. Next up is the University of Michigan's monthly U.S. Household Sentiment Survey.
Among the stocks to follow this morning, we will favor stocks that show interesting rises as well as commodities.
On the French stock market, the performance of the Imerys share will be praised in particular, which rose 13.76% following the announcement of an amicable settlement agreement for talc-related disputes in the United States. The Eutelsat share also gained 7.04% after a limited decline in quarterly results and confirmation of its 2020 guidance.
The European shares to be followed are that of BT Group which gains 6.46% following a press article reporting the sale of part of the capital of its network subsidiary Openreach. We will also keep an eye on the Richemont share in the luxury sector, which remains stable despite a 67% fall in its annual profit, a sign of its solidity.
On the downside, Ubisoft lost points with -0.58% following a downward revision of its financial targets for 2020-2021.