EUROPEAN SHARES
European markets slid lower on Thursday, extending declines seen overnight in Asia as traders digested mixed corporate results. The STOXX-50 index pared some of its recent gains, led lower by luxury and tech shares after Meta Platforms outlook disappointed investors, ahead of earnings reports from Alphabet and Microsoft later today.
Elsewhere, market sentiment remains uncertain after investors were provided with uneven corporate results from the banking sector with Barclays PLC, Deutsche Bank AG and BNP Paribas. While today’s focus will largely remain on corporate results, with 17 out of the 30 biggest French companies delivering their Q1 earning reports today, traders will also pay close attention to this afternoon’s US GDP and Initial jobless claims data.
Indeed, US figures falling short of expectations could help lift market sentiment toward riskier assets, with the prospect of a less hawkish stance from the Fed. With so many market drivers, we expect market volatility to remain high for the end of the week as traders will likely keep recalibrating their portfolio’s exposure depending on what the macro front provides them. The Pan-European index still trades slightly over its immediate support level above 4,975pts following its recent pull-back, so the very short-term bullish trend remains alive.
Pierre Veyret – Technical analyst, ActivTrades
Source: ActivTrader
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