Europe

Technically, the DAX leans bearish, trading below key moving averages with an RSI of 45.11 and Stochastic RSI near oversold at 19.20, hinting at potential short-term support. A rebound above 19,184.5 could signal a return to range trading, while a drop below 18,984.7 confirms further downside risk.

Hannover Rück is positioned for growth, with strong demand in reinsurance and an expected full-year net income target of €2.1 billion. The company’s strategic use of retrocession and insurance-linked securities (ILS) aids in expanding capacity. Continental shows improved profitability with a projected adjusted EBIT margin of 8.9%, despite a sales decline. Strong cost management and price adjustments helped drive earnings, particularly in the Automotive and Tires sectors.

Following the recovery in the previous month, consumer sentiment in Germany suffers a severe setback in August. Income and economic expectations recorded noticeable losses and the propensity to buy also fell slightly.

European stocks slumped Monday, with France's CAC-40 leading declines with a 1.68% slide, following European Parliament elections on Sunday that showed a surge in support for far-right parties across the world's biggest economic bloc.

Both EUR/GBP and EUR/GBP are hugging various pivot points ahead of the open, but whichever way they break initially our bias is for a break to new lows.

A 750 billion euro stimulus package is on the European table.

With new Coronavirus cases in Italy, fears are spreading that the virus may move further into Europe.

With today’s price action in Euro and Sterling, the next pair to look at is EUR/GBP.

Today officials from both sides began laying out the groundwork for a new agreement

Coronavirus Continues to Remain Market Focus