DE30 moves back above the 12000 pts handle

• European indices shrug off early weakness

• DE30 bounces back above the 12000 pts handle

• Commerzbank (CBK.DE) considers “4-digit” job cuts

In spite of a lower opening on most European stock markets, shares from the Old Continent are trading higher after the first hour of the session. Russian and German equities gain the most while stocks from Poland lag behind. 

Source: xStation5

DE30 failed to break back above the lower limit of the earlier-broken Overbalance structure earlier this week. The index pulled back to the support zone ranging below the 12000 pts and halted a decline there. Upbeat moods at the beginning of today’s session allow the German index to bounce higher and distance away from the aforementioned support. In case the upbeat moods prevail, buyers may try to push the price back to the 12115 pts handle. This level should serve as the first important resistance to watch. In case bears’ return and take control over the market support to watch are: area below the 12000 pts handle and are above 11800 pts handle.

DAX members at 8:45 am BST. Source: Bloomberg

According to the Handelsblatt report, Commerzbank (CBK.DE) is considering major jobs cuts. The German business newspaper claims that the Bank plans to deliver “4-digit” job cuts in its private and business customer units. Moreover, the Bank plans to close 250 existing branches and open 50 new ones. When asked for comment, Commerzbank spokeswoman said that details are not yet final and are still subject to negotiations with employee committees. Commerzbank shares rise slightly at the beginning of Wednesday's session.

ECB and German BaFin are reluctant to approve Juerg Zeltner candidacy to the Deutsche Bank (DBK.DE) supervisory board. European Central Bank and financial watchdog are said to approve to candidacy only if Zeltner resigns from the post of CEO of KBL European Private Bankers as retaining both positions would create a conflict of interests.

Evotec (EVT.DE), the German biotech company and MDAX member, announced that it has entered a partnership with Celmatix Inc aimed at developing pre-clinical programmes for underserved programmes affecting women’s reproductive health. Evotec is trading slightly higher today on this news.