European equities mostly moved higher
European equities mostly moved higher, led by a 0.58% gain the DAX after a stronger than expected ZEW headline reading and with positive reports from Zalando lifting the retail sector amid a rise that was mainly boosted by banks and insurers. A Reuters source story suggesting that a sizeable minority at the ECB is unconvinced that the Eurozone economy will recover in the second half of the year suggests that the ECB will continue to support markets for the foreseeable future. Still, ongoing growth concerns and the weakness in the ZEW current conditions indicator saw peripheral bond as well as stock markets underperforming. The FTSE 100 meanwhile managed to move up 0.34%, after China led a further improvement in Asian equities. The Topix underperformed and closed -0.09% lower, but the Nikkei managed a gain of 0.24% and CSI 300 and Shanghai Comp rallied 2.77% and 2.39% respectively. The Hang Seng was up 1.07% at the close, the ASX gained 0.42%. Hang Seng now up 0.65% , CSI and Shanghai Comp up 1.77% and 1.36% respectively. Lacklustre bank earnings report yesterday saw some investors turning cautious again and in Asia many will be waiting for Chinese GDP numbers tomorrow for more indications on the health of the Chinese economy, but ahead of today's round of U.S. earnings, futures are posting broad gains, with the Dow Jones mini up 0.5%. Dovish comments from Chicago Fed President Evans who saw rates on hold well into 2020 are also adding support. The front end WTI future meanwhile is trading at USD 63.48 per barrel.