LIVE MARKETS-Europe: short covering rally on its way?

Welcome to the home for real-time coverage of markets brought to you by Reuters reporters. You can share your thoughts with us at markets.research@thomsonreuters.com

EUROPE: SHORT COVERING RALLY ON ITS WAY?

In its latest weekly check in on futures markets and ETF flows, Citi highlights that investor positioning levels have markedly rebounded across most indices it tracks following the recent US-China tariff discussions.

For Europe, this means there is a bigger chance of a short-covering rally materialising, with many bearish bets now facing losses following the recovery from the post Liberation-day lows.

Here's Chris Montagu, Global Head of Quantitative Research at Citi: "The rapid resurgence has left the majority of existing model short positions in loss. This is more pronounced for EuroStoxx, and the combined position and loss setup could lead to a near-term short-covering rally".

(Danilo Masoni)

TUESDAY'S OTHER LIVE MARKETS POSTS:

EUROPEAN TELCOS AT A STRUCTURAL INFLECTION POINT CLICK HERE

FORGET THE DOWNGRADE: "PERFECT WEEKS" FLASH BULLISH SIGNAL CLICK HERE

WHAT IF THE JUNE ECB CUT IS THE LAST ONE? CLICK HERE

EUROPEAN SHARES MUTED, UTILITIES LEAD CLICK HERE

EUROPE BEFORE THE BELL: FUTURES SIGNAL HIGHER OPEN CLICK HERE

MARKETS MOODY AS TRADERS LOOK FOR TRADE DEALS CLICK HERE