INGOT Brokers AU | European market report (2017-06-26)

European market report (2017-06-26)

European equity markets started the week in green after the loses that were recorded last week, European stocks were pressured by the decline in oil prices last week, however the news which came from the Italian government about shutting down two struggling lenders, the rise in oil prices and the raise in Nestle share pushed the markets up on Monday’s trading session.

Italy began winding up two failed Veneto region banks on Sunday in a deal that could cost taxpayers up to 17 billion euros (14.93 billion pounds) but puts an end to a long-running crisis and leaves the lenders' good assets in the hands of Intesa Sanpaolo.

Nestle share ended today’s trading session with strong gains rising 4.3 percent after Activist investor Daniel Loeb's Third Point unveiled a stake of more than 1 percent, urging the group to improve its margins, buy back stock and sell its stake in L'Oreal.

As for the release front, German business sentiment hit a record in June, with the Ifo business climate index surprisingly rising to 115.1 points from 114.6 points in May. In the U.K., the Democratic Unionist Party was said to have made a deal with the Conservative Party to support Prime Minister Theresa May’s minority government.

FTSE 100

Rising oil prices pushed the U.K equities higher with the FTSE 100 gaining 0.3 percent to close at 7,446.80 after reaching its lowest levels since June 15 in the previous session.

Moreover, the index was supported by the gains in the banking sector which took a breath after the news that Italy’s government had stepped in to shut down two failed lenders—and another Italian bank’s rescue deal was reportedly completed.

Rising stocks outnumbered the declining ones by 54 to 44, with 3 shares closed flat.

The best performers of the session on the FTSE 100 were Whitbread PLC which rose 2.17% or 86 points to trade at 4,034.50 at the close. Meanwhile, International Consolidated Airlines Group added 2.09% to end at 611.0916 and Royal Bank of Scotland Group was up 1.71% to 249.89 in late trade.


The worst performers of the session were Fresnillo PLC which fell 3.12% to trade at 1,570.02 at the close. Antofagasta PLC declined 2.72% to end at 766.79 and Provident Financial PLC was down 1.68% to 2,392.19.

DAX 30

Germany equity markets closed Monday’s trading session in mixed territories, as gains in the Transportation & Logistics, Industrials and Consumer & Cyclical sectors pushed the index up, while loses in the Technology, Food & Beverages and Retail sectors have reduced those gains.

The DAX 30 gained 0.29 percent to close at 12,770.83 points

The best performers of the session on the DAX were Lufthansa AG VNA O.N. which rose 3.06% or 0.570 points to trade at 19.200 at the close. Meanwhile, Commerzbank AG O.N. added 2.16% or 0.200 points to end at 9.477 and Deutsche Post AG NA O.N. was up 2.12% or 0.690 points to 33.185 in late trade.

The worst performers of the session were RWE AG ST O.N. which fell 1.13% or 0.215 points to trade at 18.855 at the close. Fresenius Medical Care KGAA ST declined 0.31% or 0.270 points to end at 87.370 and Infineon Technologies AG NA O.N. was down 0.31% or 0.060 points to 19.600.

CAC 40

France stocks outperformed their peers in the European markets on Monday’s trading session; CAC 40 gained 0.56 percent to close at 5,295.75 points driven by the gains in Consumer Goods, Consumer Services and Utilities sectors.

Rising stocks outnumbered the declining ones by 31 to 8, with one share closed flat.

The best performers of the session on the CAC 40 were L’Oreal SA which rose 3.85% or 7.25 points to trade at 195.35 at the close. Meanwhile, Danone SA added 2.90% or 1.96 points to end at 69.44 and Accor was up 2.04% or 0.84 points to 42.20 in late trade.

The worst performers of the session were Vivendi SA which fell 0.78% or 0.16 points to trade at 20.43 at the close. Peugeot SA declined 0.55% or 0.10 points to end at 18.07 and LVMH Moet Hennessy Louis Vuitton SE was down 0.35% or 0.80 points to 230.85.



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