STOXX 50 Off Lows, Little Changed On The Day

Euro STOXX 50 futures have recovered from session lows, registered around the time of the cash open, after the impulses from a pull lower in Chinese equities into their closing bell faded. That leaves the VG1 contract and the cash equivalent incrementally below yesterday’s respective settlement/closing levels.

• The IT sector has seen the biggest losses, with a mark lower in guidance from Taiwanese semiconductor giant TSMC feeding through there.
• Materials and energy names find themselves at the other end of the performance table, with some linkages to a bid in UK name Anglo-American noted in the wake of the company’s quarterly production release.
• Disappointing after-market earnings from the U.S., namely via Tesla & Netflix, were also flagged, while Johnson & Johnson beat on the headline metrics in the early round of pre-market earnings.
• Technically, Euro STOXX 50 futures hold above initial support at the 50-day EMA, with attention remaining on key resistance and the bull trigger (4,447.00). Key support and the bear trigger has been defined at 4,220.00, the Jul 7 low.