FRANKFURT (Dow Jones) – The European stock markets started trading on Wednesday with slight losses. The DAX lost 0.3 percent to 15,204 points, the Euro-Stoxx-50 was 0.5 percent lower at 4,130 points. While the crisis in the Middle East and the recent rise in yields are weighing on sentiment, the US economy remains robust. “Despite the stable expectations, the situation remains unstable,” said a trader. He points to the renewed rise in oil prices overnight and the demand for the safe haven gold.
Comparatively good Chinese economic data cannot support the Shanghai stock market. The Chinese economy grew more strongly than expected in the third quarter with an increase of 4.9 percent, and there were also better figures for industrial production and retail sales. Overall, the templates from Asia are rather inconsistent.
Adidas is becoming more optimistic for the year
Adidas (+3.8%) has presented early results that are convincing at first glance. However, the numbers are not easy to interpret because the sales and income from Yeezy sales are difficult to estimate. Analysts at Jefferies attested that Adidas had a strong third quarter, with sales slightly above their estimates, while EBIT was significantly higher. This provided the basis for raising the outlook, with the company also reporting a good start to the current quarter. In the wake of this, Puma shares rose by 2.7 percent.
Continental shares are up 1.8 percent. The trigger is a circle report from Bloomberg, according to which the automotive supplier is examining the sale of areas, including that of the autonomous mobility business. The story is not new on the stock market, according to one market participant. What would be important here is a reliable statement from the company, regardless of whether it is a sale or the spin-off of certain areas. We are now eagerly awaiting the Capital Markets Day at the beginning of December.
ABB’s figures (-6.3%) are classified as inconsistent; the Swiss narrowly missed market expectations in terms of sales and EBITDA, but were convincing in terms of free cash flow (FCF). The outlook for the fourth quarter is classified as cautious.
The Stoxx sub-index Oil & Gas is trending better than the overall market with an increase of 0.3 percent. Participants point to the price of oil, which is currently increasing by almost 2 percent. “Things are still on a knife edge in the Middle East,” said one market participant. The market still sees the risk that Iran will actively intervene in the war between Israel and Hamas.
On the other hand, airline stocks are trending lighter, with Lufthansa falling by 2.0 percent and Air France-KLM by 1.4 percent. Among other things, the high price of kerosene is a burden here. In the USA, competitor United Airlines had also warned of a decline in profits in the fourth quarter, triggered by the war between Israel and Hamas.
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Stock index last +/-% absolute +/-% YTD
Euro Stoxx 50 4,129.94 -0.5% -22.38 +8.9%
Stoxx-50 3,930.04 -0.6% -25.05 +7.6%
DAX 15,203.57 -0.3% -48.12 +9.2%
MDAX 24,864.55 -0.4% -112.25 -1.0%
TecDAX 2,924.03 -0.6% -16.67 +0.1%
SDAX 12,704.35 -0.2% -24.35 +6.5%
FTSE 7,636.43 -0.5% -38.78 +3.0%
CAC 7,007.19 -0.3% -22.51 +8.2%
Bond market last absolute +/- YTD
German ten-year return 2.90 +0.02 +0.33
US ten-year yield 4.86 +0.02 +0.98
FOREX last +/- % Wed 8:14 am Tue 5:20 pm % YTD
EUR/USD 1.0573 -0.0% 1.0593 1.0589 -1.2%
EUR/JPY 158.27 -0.1% 158.50 158.50 +12.8%
EUR/CHF 0.9508 -0.2% 0.9509 0.9520 -3.9%
EUR/GBP 0.8668 -0.1% 0.8677 0.8679 -2.1%
USD/JPY 149.68 -0.1% 149.64 149.69 +14.2%
GBP/USD 1.2199 +0.1% 1.2208 1.2200 +0.9%
USD/CNH (Offshore) 7.3149 -0.1% 7.3136 7.3206 +5.6%
Bitcoin
BTC/USD 28,610.74 +0.4% 28,723.76 28,551.66 +72.4%
CRUDE OIL most recently VT-Settlem. +/-% +/- USD% YTD
WTI/Nymex 88.27 86.66 +1.9% +1.61 +13.4%
Brent/ICE 91.19 89.90 +1.4% +1.29 +11.6%
METALS last day previous +/- % +/- USD % YTD
Gold (spot) 1,936.99 1,923.70 +0.7% +13.29 +6.2%
Silver (spot) 23.05 22.85 +0.9% +0.20 -3.8%
Platinum (spot) 905.05 902.00 +0.3% +3.05 -15.3%
Copper future 3.62 3.58 +1.1% +0.04 -5.1%
YTD based on the previous day’s closing level
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DJG/thl/ros
(END) Dow Jones Newswires
October 18, 2023 03:30 ET (07:30 GMT)