In This Article:
Economic Calendar:
Monday, 29th April
N/A
Tuesday, 30th April
French GDP (QoQ) (Q1) 1st Estimate
GfK German Consumer Climate (May)
French Consumer Spending (MoM) (Mar)
Spanish GDP (QoQ) (Q1)
German Unemployment Change (Apr)
German Unemployment Rate (Apr)
Italian CPI (MoM) (Apr)
Eurozone GDP q/q (Q1) 1st Estimate / Eurozone GDP y/y (Q1) 1st Estimate
Eurozone Unemployment Rate (Mar)
German CPI (MoM) (Apr)
Wednesday, 1st May
N/A
Thursday, 2nd May
German Retail Sales (MoM) (Mar)
Spanish Manufacturing PMI (Apr)
Italian Manufacturing PMI (Apr)
French Manufacturing PMI (Apr) Final
German Manufacturing PMI (Apr) Final
Eurozone Manufacturing PMI (Apr) Final
Friday, 3rd May
Eurozone Core CPI (YoY) (Apr) Prelim
Eurozone CPI (YoY) (Apr) Prelim
The Majors
It was a mixed week for the European majors last week. While the DAX and EuroStoxx600 gained 0.76% and 0.14% respectively, the CAC ended the week down 0.2%.
The CAC’s losses came in spite of a 0.21% gain on Friday, with the European majors resuming the upward trend following a mid-week blip.
Economic data out of the Eurozone was limited to French jobseeker figures that had a muted impact on the majors.
The focus through the European session was on corporate earnings. Out of Germany, all eyes were on Deutsche Bank earnings results. Results were due out in the wake of Thursday’s announcement that merger talks with Commerzbank would cease.
While net profit came in well ahead of forecasts, disappointing revenue numbers and a negative revenue outlook weighed. Deutsche Bank ended the day down 2.39%, the slide coming off the back of a 1.25% fall on Thursday.
The auto sector was also in the spotlight as Daimler released its earnings results. A slide in earnings was attributed to production bottlenecks, slower demand from China and slowing global economy. Daimler gained 0.8% on Friday, however. Support came from its outlook for 2019, where growth is anticipated in unit sales, revenue, and earnings.
From the U.S, support came from economic data, which included a better than expected 1st quarter GDP estimate of 3.2%.
While the headline number was impressive, a slide in consumption and investment continued to support the prospect of a FED rate cut later in the year, which was positive for riskier assets.
The Day Ahead
There are no material stats scheduled for release out of the Eurozone. With a lack of key stats, we can expect Eurozone business confidence figures to have an impact in the early part of the day.
Disappointing consumer confidence figures weighed last week. Anything in line with or worse than forecasts today could hit the majors in the early part of the session.