Markets are preparing for a negative corporate season.
An avalanche of macroeconomic risks is expected to inflict damage on corporate performance, causing analysts to forecast a decline in revenue growth. Strategists, economists, and investment advisers are looking for additional signals for a rising dollar, the trade war between the Trump administration and China, as well as some sector-specific developments.
A good example and an early signal for all of this came from Apple, which prepared the scene with its warning for lower than the estimated new revenue figures. On Monday, China, the world's second largest economy, reported that imports of Chinese imports and exports fell in 2018 with the most in the past two years.
Even if they are exaggerated, they certainly affect the psyche of investors who are launching another session selling shares of all regions. In Europe, the screens glow red in the morning, and the lack of key economic recesses means that sentiment will again be driven by fears and uncertainties.
Theresa May has survived the vote of no confidence in parliament, but that does not mean that her place is secure, as is the case for the future of Britain outside the EU. The critical date for leaving the bloc is approaching the future of the economy of the old continent, and the trade relations within it are hanging in uncertainty.
Indicative opening prices of European stock indices:
UKX: 6,830 -26 points
DAX: 10,888 -41 points
CAC: 4,788 -18 points
Read more:
25 Canada Square, Level 33, office 50, Canary Wharf London, E14 5LQ +44 20 3608 6256
World Financial Markets - 0700 17 600 Varchev Exchange - 0700 115 44
Varchev Finance Ltd is registered in the FCA (FINANCIAL CONDUCT AUTHORITY) with a passport in the United Kingdom: FCA, United Kingdom - registration number: 494 045, which allows provision of financial services in the United Kingdom.
Varchev Finance Ltd strictly comply with the statutes of the European directive MiFID (Markets in Financial Instruments). targeting increased efficiency, transparency and uniformity of financial instruments.
Varchev Finance Ltd is authorized and regulated by the Financial Supervision Commission - Sofia, Bulgaria: License number RG-03-02-05 / 15.03.2006
The information on this site is not intended for distribution or use by any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.
Disclaimer:
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 63,41% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.