European Markets Are Strong Early on January 19
Following a strong performance for six consecutive trading weeks, the United Kingdom’s FTSE 100 Index started this week on a weaker note and declined in the first four trading days of the week. However, the FTSE 100 Index opened higher on Friday and traded with stability above the opening prices in the early hours.
Amid profit-booking and a lower risk appetite, the FTSE 100 Index traded with weakness at the beginning of the week. The market is stable on Friday amid the improved sentiment in Asian markets. The expectations of upbeat corporate earnings reports also added strength to the market on Friday. There’s weakness in financial stocks in the early hours, while miners are strong. On the economic data front, according to data released by the Office for National Statistics, the United Kingdom’s retail sales fell 1.5% in December, which was more than the expected fall of 1%.
At 4:40 AM EST today, the FTSE 100 Index was trading at 7,711.25—a gain of 0.13%. The iShares MSCI United Kingdom (EWU) remained unchanged on January 18.
Germany’s DAX Index started this week on a weaker note by falling to ten-day low price levels on Monday. The DAX Index regained some strength on Thursday amid strength in small-cap stocks. On Friday, the market opened higher and rallied to two-month high price levels in the morning session. At 4:45 AM EST on January 19, the DAX Index was trading at 13,387.50—a gain of 0.8%. The iShares MSCI Germany (EWG) rose 0.58% on January 18.
France’s CAC 40 Index started this week on a mixed note and consolidating near two-month high price levels. With no major economic releases scheduled today, the CAC 40 Index is trading with strength in the morning session. The improved market sentiment in Asian and European markets on Friday supported the CAC 40 Index.
At 4:50 AM EST today, the CAC 40 Index was trading at 5,519.70—a rise of 0.45%. The iShares MSCI France (EWQ) fell 0.12% on January 18.
Next, we’ll discuss how US Treasury yields and the US dollar performed in the early hours on Friday.