European equities dip, giving back gains from the start of the week. FTSE MIB down 0,79%

Indices

Major European indices are showing mixed performance in the latest trading session, reflecting a blend of cautious optimism and sector-specific volatility. The FTSE MIB Index (FTSEMIB.MI) is currently quoted at 44.05K, registering a modest daily decline but maintaining a strong long-term bullish trend, as indicated by its STRONG_LONG signal. This suggests ongoing investor confidence in Italian equities, supported by its proximity to the 45.07K.

The DAX Performance Index (^GDAXI) trades at 24.08K, down -0.62, signaling a FLAT short-term trend. Similarly, the CAC 40 (^FCHI) stands at 8.12K, with a slight decrease of -0.12, also exhibiting a FLAT micro-trend.

The FTSE 100 (^FTSE) is currently quoted at 9.67K, down -0.8. The IBEX 35 (^IBEX) is trading at 16.94K, registering a daily drop of -0.59. Both indices currently exhibit FLAT signals, suggesting market participants are awaiting further direction.

The Euro STOXX 50 (^STOXX50E) sits at 5.72K, with a drop of -0.52, but the presence of a STRONG_LONG trend highlights continued strength among large-cap Eurozone equities. This divergence between short-term flatness and longer-term strength in select indices suggests an environment of selective risk-taking and rotation.

Stocks

Among individual stocks, REZOLVE AI PLC (RZLV) stands out as a leader in both trading volume and price appreciation, closing at 3.11, up 33.84. This outsized gain signals strong speculative interest or positive company-specific news. Biodexa Pharmaceuticals Plc (BDRX) and VivoPower International PLC (VVPR) also posted substantial gains of 17.98 and 13.89 respectively, indicating strong momentum in smaller-cap names.

On the downside, Akari Therapeutics, Plc (AKTX) suffered a notable loss, falling by -35.11. This steep decline may indicate adverse news or broader risk aversion in the biotech space. Meanwhile, sector news highlights that defense stocks such as Rheinmetall (RHM) and Leonardo (LDO) have recently dropped by 4.7% and 4.5%, respectively, as geopolitical tensions ease.

Economic News

Recent economic data underscores the fragile resilience of the European economy. The euro zone continues to post GDP growth just above 1%, demonstrating an ability to stave off recession despite muted household spending and high government debt levels. Purchasing Managers' Index (PMI) figures reflect a slowdown in business activity—most pronounced in Germany's manufacturing sector, though France shows modest improvement.

Sector-wise, European banks are positioned for further gains into 2026, buoyed by robust 2025 earnings and the cost-saving potential of artificial intelligence. The Intercontinental Exchange (ICE) has set a record, exceeding 103 traded in benchmark European gas contracts, underscoring the continent's increasing reliance on globally traded LNG.

Economic Events

This week, market focus is firmly on the release of U.S. employment data, which is widely expected to influence monetary policy decisions by the Federal Reserve. The anticipation of this data has led to a generally cautious tone among European investors, as the outcome could sway rate expectations and impact global equity flows. No major domestic events are scheduled to provide immediate catalysts for European indices, further amplifying the market's sensitivity to U.S. developments.

Market Sentiment

Market sentiment across Europe is currently cautious, shaped by the impending U.S. employment data release and its implications for central bank policy in 2026. The recent uptick in the STOXX 600 index by 0.2 suggests that while underlying optimism exists—especially after the best daily gain in three weeks—investors are reluctant to take aggressive positions ahead of key macroeconomic announcements. Defensive sectors have lagged while travel stocks have outperformed, indicating selective risk-on positioning.

Please note that the analysis is for informational purposes only and does not constitute financial advice. Users should conduct their own research.