There are no major stats to provide the majors with direction. That leaves the majors in the hands of the Asian and U.S markets on the day.
French Services PMI (Apr) Final
German Services PMI (Apr) Final
Eurozone Markit Composite PMI (Apr) Final
Eurozone Services PMI (Apr) Final
German Factory Orders (MoM) (Mar)
IHS Markit Construction PMI (Apr)
Eurozone Retail Sales (MoM) (Mar)
German Industrial Production (MoM) (Mar)
German Trade Balance (Mar)
ECB President Lagarde Speech
It was a bullish start to the week for the European majors on Monday. The CAC40 and the DAX30 rose by 0.61% and by 0.66% respectively, with EuroStoxx600 ending the day up by 0.58%.
Economic data from the Eurozone delivered the European majors with support through the early part of the session.
From the U.S, stats were market negative, however, limiting the upside on the day.
It was a busy day on the economic calendar on Monday. Manufacturing PMI figures for Italy and Spain were in focus along with finalized PMIs for France, Germany, and the Eurozone. German retail sales also drew attention ahead of the European open.
In March, retail sales jumped by 7.7% month-on-month, following an upwardly revised 2.7% increase in February.
According to Destatis,
Spain’s Manufacturing PMI rose from 56.9 to 57.7 in April, with Italy’s Manufacturing PMI increasing from 59.8 to 60.7. Economists had forecast PMIs of 59.0 and 61.0 respectively.
From France, the Manufacturing PMI declined from 59.3 to 58.9, which was down from a prelim 59.2.
Germany’s Manufacturing PMI fell from 66.6 to 66.2 which was down from a prelim 66.4.
The Manufacturing PMI rose from 62.5 to 62.9 in April. This was down from a prelim 63.3.
According to the Markit Survey,
Manufacturing PMI figures were also in focus late in the European session.
In April, the ISM Manufacturing PMI fell from 64.7 to 60.7, falling below a forecasted 65.0.
Also market positive was an increase in the Markit Manufacturing PMI from 59.1 to 60.5. This was down marginally from a prelim 60.6, however.
For the DAX: It was a bullish day for the auto sector on Monday. Volkswagen rallied by 2.49%, with BMW rising by 1.78%. Continental and Daimler saw more modest gains of 0.21% and 0.22% respectively.
It was a mixed day for the banks. Deutsche Bank slid by 1.99%, while Commerzbank ended the day up by 1.93%.
From the CAC, it was a relatively bullish day for the banks. Credit Agricole and Soc Gen rose by 0.20% and by 0.25% respectively, with BNP Paribas gaining 0.13%.
It was a bullish day for the French auto sector. Stellantis NV and Renault ended the day with gains of 1.43% and 1.77% respectively.
Air France-KLM rose by 1.38%, while Airbus SE slipped by 0.03%.
After 2 consecutive days in the green, it was back into the red for the VIX on Monday
Partially reversing a 5.68% gain from Friday, the VIX fell by 1.61% to end the day at 18.31.
The NASDAQ slipped by 0.48%, while the Dow and the S&P500 rose by 0.70% and by 0.27% respectively.
It’s a quiet day ahead on the European economic calendar. There are no material stats due out of the Eurozone to provide the European majors with direction.
The lack of stats will leave the majors in the hands of trade data and factory orders from the U.S.
On the day, the markets will also consider corporate earnings and COVID-19 news updates from the EU and around the world.
In the futures markets, at the time of writing, the Dow Mini was down by 59 points, with the DAX down by 21 points.
For a look at all of today’s economic events, check out our economic calendar.
With over 20 years of experience in the finance industry, Bob has been managing regional teams across Europe and Asia and focusing on analytics across both corporate and financial institutions. Currently he is covering developments relating to the financial markets, including currencies, commodities, alternative asset classes, and global equities.