EUROPEAN SHARES
European shares opened slightly lower on Thursday, following the trend set by Asian markets, as risk-off mood continues to prevail.
The global market sentiment towards riskier assets continues to be negatively impacted by a combination of factors, including decreasing bond markets, higher oil prices, increased borrowing costs, and poor economic developments such as challenges in the Chinese property sector, the US Federal shutdown, and disappointing macro data.
Despite the September sell-off in stock markets that sent many shares to much more attractive prices, investors still struggle to find good reasons to buy the market.
With uncertainty and risk rising almost everywhere, trading minds tend to shift from equity to commodity markets.
Most investors will, however, keep on monitoring the situation on both data and monetary fronts, especially today with another batch of macro developments from both Europe (Eurozone confidence and consumer confidence) and the US with the highly awaited initial jobless claims and GDP data, alongside a batch of speeches from Fed officials.
The STOXX-50 index still trades inside its 35-point wide range between 4,110.0pts and 4,145.0pts, below its mid-term bearish trendline.
Pierre Veyret– Technical analyst, ActivTrades
Source: ActivTrader
The information provided does not constitute investment research. The material has not been prepared in accordance with the legal requirements designed to promote the independence of investment research and as such is to be considered to be a marketing communication.
All information has been prepared by ActivTrades (“AT”). The information does not contain a record of AT’s prices, or an offer of or solicitation for a transaction in any financial instrument. No representation or warranty is given as to the accuracy or completeness of this information.
Any material provided does not have regard to the specific investment objective and financial situation of any person who may receive it. Past performance is not a reliable indicator of future performance. AT provides an execution-only service. Consequently, any person acting on the information provided does so at their own risk.