Euro Stoxx 50 & IBEX 35 Outlook: European Stocks Mixed Following US CPI Print (2024)

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Euro Stoxx 50 & IBEX 35 Outlook: European Stocks Mixed Following US CPI Print (1)

Euro Stoxx 50 & IBEX 35 Outlook: European Stocks Mixed Following US CPI Print (2)

Brendan fa*gan, Contributor

What's on this page
  • Euro Stoxx 50, IBEX 35, ECB, US CPI, Inflation – Talking Points
  • IBEX 35 1 Hour Chart
  • Euro Stoxx 50 1 Hour Chart
  • Key Eurozone Economic Events
  • Resources for Forex Traders

Euro Stoxx 50, IBEX 35, ECB, US CPI, Inflation – Talking Points

  • IBEX 35 trend remains negative as energy prices put consumers in a pinch
  • Euro Stoxx 50 outlook remains neutral ahead of inflation data on Friday
  • US CPI shows inflation slowing, yet still running hot at 5.3% increase year-over-year

European stocks closed mixed on Tuesday as market participants eagerly awaited key inflation data from the US. The consumer price index (CPI) increased 0.3% from the previous month against a street expectation of 0.4%. Despite the better than expected print, which lends credence to the Fed’s transitory view, US indices also reversed lower.

Investors may have become more risk-averse as the notion of cooling inflation may impact when the Federal Reserve decides to taper. With a Fed policy meeting right around the corner, market participants may remain on edge as to any sudden shift(s) in monetary policy. Specifically for Europe, a shift from the Fed may pave the way for the European Central Bank (ECB) to move towards tightening, just one week after the ECB decreased asset purchases in a “recalibration.” For more on the CPI print from earlier, click here.

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IBEX 35 1 Hour Chart

Euro Stoxx 50 & IBEX 35 Outlook: European Stocks Mixed Following US CPI Print (6)

Chart created with TradingView

Spanish equities have experienced a sluggish start to September, retreating over 270 points from the monthly high on September 1. Despite the ECB leaving rates unchanged and pledging to continue monetary support, the “recalibration” of asset purchases may continue to weigh on sentiment. Rising inflation across the continent also appears to be worrying market participants, evidenced by the recent jump in energy costs in Spain. The government announced it was cutting energy taxes and redirecting corporate profits in an emergency effort to lower the burden on consumers.

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Euro Stoxx 50 1 Hour Chart

Euro Stoxx 50 & IBEX 35 Outlook: European Stocks Mixed Following US CPI Print (10)

Chart created with TradingView

Unlike its Spanish counterpart, the Euro Stoxx 50 has been relatively choppy of late, as market participants digested an ECB policy meeting and two key data prints from the US (jobs & CPI). Despite the lack of direction, price has been supported by an ascending trendline, hinting that an exploration of higher prices may be on the cards. Reaction to last week’s ECB meeting was muted, with price gyrating between 4,210 and 4,150. In what is a relatively light week on the calendar, market participants may look to Friday’s release of inflation data for event-linked volatility. The print may potentially shift the market’s outlook on ECB policy.

Key Eurozone Economic Events

Euro Stoxx 50 & IBEX 35 Outlook: European Stocks Mixed Following US CPI Print (11)

Courtesy of the DailyFX Economic Calendar

Resources for Forex Traders

Whether you are a new or experienced trader, we have several resources available to help you; indicator for tracking trader sentiment, quarterly trading forecasts, analytical and educational webinars held daily, trading guides to help you improve trading performance, and one specifically for those who are new to forex.

--- Written by Brendan fa*gan, Intern

To contact Brendan, use the comments section below or @Brendanfa*ganFX on Twitter

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

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Euro Stoxx 50 & IBEX 35 Outlook: European Stocks Mixed Following US CPI Print (16)48m

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Euro Stoxx 50 & IBEX 35 Outlook: European Stocks Mixed Following US CPI Print (17)48m

Last updated:Mar 11, 2024

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Leveraged trading in foreign currency or off-exchange products on margin carries significant risk and may not be suitable for all investors. We advise you to carefully consider whether trading is appropriate for you based on your personal circ*mstances. Forex trading involves risk. Losses can exceed deposits. We recommend that you seek independent advice and ensure you fully understand the risks involved before trading.Information presented by DailyFX Limited should be construed as market commentary, merely observing economical, political and market conditions. This information is made available for informational purposes only. It is not a solicitation or a recommendation to trade derivatives contracts or securities and should not be construed or interpreted as financial advice. Any examples given are provided for illustrative purposes only and no representation is being made that any person will, or is likely to, achieve profits or losses similar to those examples. DailyFX Limited is not responsible for any trading decisions taken by persons not intended to view this material.

Euro Stoxx 50 & IBEX 35 Outlook: European Stocks Mixed Following US CPI Print (2024)

FAQs

What is the Euro STOXX 50 return index? ›

Average returns
PeriodAverage annualised returnTotal return
Last year14.0%14.0%
Last 5 years9.6%58.0%
Last 10 years6.9%94.4%
Last 20 years5.7%203.0%

Which country is the Euro STOXX 50 index? ›

The EURO STOXX 50 Index, Europe's leading blue-chip index for the Eurozone, provides a blue-chip representation of supersector leaders in the region. The index covers 50 stocks from 8 Eurozone countries: Belgium, Finland, France, Germany, Ireland, Italy, the Netherlands and Spain.

What is the euro stoxx 50 cash index? ›

What is Euro Stoxx 50 Index value today? The current value of Euro Stoxx 50 Index is 4,862.51 EUR — it has risen by 1.06% in the past 24 hours. Track the index more closely on the Euro Stoxx 50 Index chart.

What is the Euro STOXX 50 index sector? ›

The index is composed of 50 stocks from 11 countries in the Eurozone. EURO STOXX 50 represents Eurozone blue-chip companies considered as leaders in their respective sectors. It is made up of fifty of the largest and most liquid stocks.

Is EURO STOXX 50 a good investment? ›

An investment in the EURO STOXX 50 can be a wise investment option for someone interested in buying and holding onto their investment for a longer period of time.

Which companies are in EURO STOXX 50? ›

EURO STOXX 50 STOCKS
NameLatest Price Previous Close6 Mo. +/- %
adidas233.00 229.1056.92 32.40%
Adyen B.V. Parts Sociales1,051.20 1,082.80-64.80 -5.65%
Ahold Delhaize29.39 29.844.05 15.68%
Air Liquide164.82 165.609.38 6.01%
28 more rows

Who is the owner of STOXX? ›

Deutsche Börse Group

What is the meaning of STOXX? ›

What Is STOXX? STOXX, a subsidiary of Deutsche-Borse Group (stock symbol: DBOEF), is a leading provider of market indexes that are representative of European and global markets. Some of the more notable indexes provided by STOXX include Euro Stoxx 50, Stoxx Euro 600, Euro Stoxx 50 ESG, and the Stoxx Global 1800.

Does EURO STOXX 50 include dividends? ›

The EURO STOXX Quality Dividend 50 Index aims to select 50 high quality, high dividend-paying and low volatility stocks. Starting from an index universe defined by the EURO STOXX Index, a number of less liquid stocks is filtered out.

What is the meaning of STOXX 50? ›

The EURO STOXX 50 index is a blue-chip index designed to represent the 50 largest companies in the eurozone. The index holds stocks from eight eurozone countries: Belgium, Finland, France, Germany, Ireland, Italy, the Netherlands, and Spain.

How is EURO STOXX 50 calculated? ›

The largest 40 stocks on the selection list in terms of free-float market cap are selected; the remaining 10 stocks are selected from the largest remaining current stocks ranked between 41 and 60; if the number of stocks selected is still below 50, then the largest remaining stocks are selected until there are 50 ...

What is US 500 cash index? ›

About US SPX 500 - Cash

The US SPX 500 is based on a US stock market index that measures 500 of the largest US publicly traded companies, weighted by market capitalisation. These blue-chip stocks fall within many industries and sub-sectors, such as technology, energy, healthcare and engineering.

Which country has the EURO STOXX 50 index? ›

Euro Stoxx 50 (STOXX50E)

It was designed by Stoxx Ltd to represent a blue-chip leaders sector in the EuroZone. The index covers 50 stocks from 12 Eurozone countries: Austria, Belgium, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg, the Netherlands, Portugal and Spain.

What does 50 index mean? ›

The EUROSTOXX 50 Index was introduced as a convenient way of benchmarking the performance of the 50 largest companies within the Eurozone listed on stock exchanges. This way, investors know what companies market capital is day by day, helping them to decide what the most fruitful companies to invest in are.

How is EURO STOXX 50 weighted? ›

The index limits the weighting of any one member to 10%, but no sector limitations are applied to the index's construction. As such, banking companies dominate the STOXX 50. The index is meant to capture blue chip companies in the region, so the average weighted market cap is large.

What is the CBOE Eurozone 50 index? ›

The Cboe Eurozone 50 index (Symbol: BEZ50P) aims to represent the performance of the largest 50 European issuers ranked by their full Euro denominated market capitalisation whose primary listing is in Euro.

What is the composition of the Euro STOXX 50 index? ›

Euro Stoxx 50 Constituents
CompanyTickerMarket Cap
AxaCS€72.9bn
Banco Bilbao Vizcaya Argentaria.BBVA€58.2bn
Banco Santander S.A.SAN€74.5bn
Basf SEBAS€39.9bn
26 more rows

What is the Euro Stoxx 50 standard? ›

The Dow Jones Euro STOXX 50 is a stock index representing 50 of the largest companies in Europe based on market capitalization. The MSCI EMU Index is a market capitalization-weighted index that represents 10 developed market countries in the European Economic and Monetary Union.

What is the return of the STOXX Europe 600 Index? ›

Annual returns

So far in 2024 (YTD), the STOXX Europe 600 index has returned an average 6.61%.

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