My views are my own and they do not constitute investment advice. My views are derived from Equiduct’s unique data set which represents a clean retail signal free of distortion from institutional investors and therefore are telling of what the sentiment of European retail investors is.
Without further ado, let’s dive right into it!
Last week …
Started slowly but finished with a banking sector sell off on Friday caused by credit concerns with some US regional banks.
Wednesday saw quarterly earnings driven volatility with two of the top ten traded stocks on Equiduct (LVMH and ASML) turning over nearly €100million between them.
These quarterly updates can often see huge upticks in trading. Average Daily Volume for LVMH and ASML the previous week had been €11million and €22million respectively.
On Friday EssilorLuxottica shares climbed 10% after releasing Q3 figures that showed a boost in sales of their Ray-Ban Meta smart glasses, contributing to a record quarter.
Turnover on Equiduct was just short of €27million with the previous week’s ADV in this stock just €1.3million.
It had been a subdued week for Madrid with Paris being our most traded market Monday through to Thursday.
However, the banking sell off on Friday, coupled with Sabadell shareholders rejection of BBVA’s takeover offer, resulted in a surge of activity and Spanish turnover of €278million.
BBVA trading topped €79million on Friday alone confirming BBVA as Equiduct’s most traded stock last week.
This week …
Will begin with the US government shutdown entering its 20th day. Key economic data continues to be delayed as a result causing uncertainty for investors.
Inflation updates are due from the US, Canada, Japan and the UK with US numbers due for particular scrutiny ahead of the upcoming Federal Reserve interest rate decision.
Quarterly earnings releases ramp up further this week with Tesla and Netflix amongst those announcing in the US. In Europe, updates are due from Sabadell in Spain, SAP in Germany and several French stocks such as L’Oréal, Hermes and Sanofi which are all well traded on Equiduct.
There is much for traders to weigh up at the moment with Friday’s banking jolt likely to cause further nervousness. Gold is at record highs, Oil prices are still falling. Trade tensions between the US and China continue. Is there an AI bubble? and if so, when will it burst? Is there a possible peace deal between Russia and the Ukraine on the horizon?
The VIX volatility index hit its highest level since May last week so I’m expecting another busy week ahead for markets.
That’s all folks, until next week… Happy investing!
Carl
