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EQUITIES: Underpinned By Chinese Stimulus

EQUITIES

{EU} EQUITIES: European stocks have benefitted from the Chinese monetary stimulus package deployed overnight.

  • Euro Stoxx 50 futures have added ~1.2% since yesterday’s settlement, 12 points off session highs.
  • The Sep 19 high (4,985.00) presents immediate technical resistance.
  • The consumer sector outperforms given its links to China (discretionary rallies more than staples in sub-index terms). Elsewhere, material, industrial and energy names also perform well, once again given their links to Chinese demand.
  • Utilities is the only sector to trade lower, with the defensive nature of the sector likely driving the underperformance during this morning’s strong equity rally. 
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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