EURO STOXX50 Rises Up, Edenred Tops Gainers – Growth Continue
Feb, 20th 11:50
European shares edged back in positive territory on Tuesday after ending a three-day recovery in the previous session when Wall Street and Chinese markets were closed for a holiday.
The pan-European Stoxx 50 was 0.2 percent higher during early morning deals, with sectors and major bourses pointing in opposite directions.
Shares Edenred were the top performers on the STOXX, up 9.2 percent, after the French prepaid meal voucher and card provider reported record 2017 earnings, increased its dividend and expressed confidence over 2018.
Europe’s chemicals sector led the gains on Tuesday, up around 0.7 percent amid earnings news. Germany’s Covestro said it had generated cash at a faster rate than previously thought in its quarterly earnings. The maker of materials for insulation foams and transparent plastics said it now believes it will reach its cumulative operating cash flow target of 5 billion euros ($6.19 billion) in three years, rather than a previous target of five years. Its shares were around 2 percent higher on the news.
Banks were among the worst performers during early morning deals, with HSBC slipping towards the bottom of the benchmark on worse-than-anticipated earnings. Europe’s biggest lender reported a jump in annual pre-tax profit but missed analysts expectations after U.S. tax changes prompted the bank to take a $1.3 billion write-down. Its shares were more than 3 percent lower.
On the technical charts, EURO STOXX50 is trading sideways below all the moving averages. The RSI is at 41.42 and the MACD is below the signal line and is ready to make a positive crossover above the signal line.
But digital Call options between 3412 and 3420, valid until 23:00 GMT February 20th 2018