Stoxx 50 Little Changed Early On Friday

The Euro Stoxx 50 index is 0.1% lower on the day, while the futures equivalent has added 0.1%.

• Technically, Euro Stoxx 50 futures traded higher again yesterday, delivering another fresh cycle high that confirms a resumption of the current uptrend. This reinforces the bullish importance of the recent break of a key resistance at the Dec 14 high (4,634.00). The clear breach of the 4,700.00 handle paves the way for a climb towards 4,753.50, a Fibonacci projection. Initial firm support lies at the 20-day EMA (4,618.30).
• Consumer staples shed 3%, seeing the heaviest losses in sectoral terms. Converselt, health care outperforms, adding 1.0%.
• L’Oreal struggled in the wake of quarterly earnings, with a particular focus on a disappointing set of results out of China. The name is the best part of 7% lower on the session.
• Hermes earnings results have propelled the name higher, adding over 4% on the day, albeit trading shy of best levels at typing.
• Delivery Hero initially spiked lower on the back of reports pointing to revived M&A talk between rivals Grab and GoTo, although the name has recovered from worst levels to show ~2.5% lower on the day at typing.
• BBG sources have recently reported that KKR and Macquarie are shortlisted bidders for XpFibre, part of Altice France.
• Vivendi & Telecom Italia equities have been fairly unresponsive to a RTRS sources piece noting that Telecom Italia’s CEO met with main investor Vivendi on Thursday with the meeting described as “friendly” and “positive” - Vivendi has previously been reported as considering a sale of it’s TI stake as part of a wider restructuring.