Euro Stoxx 50 Index
Whereas the DAX and the CAC indices represent the German and French markets respectively, the EuroStoxx also includes companies outside those markets such as Aegon (Netherlands), Arcelor Mittal (Luxembourg), BBVA (Spain) and Nokia (Finland).
Like the S&P 500, the index is based on free float market capitalization (i.e. total value of shares listed rather than the total size of the company), and is reviewed every September.
Basically, the price of large Eurozone listed companies. However, most of the companies in the index are either French or German, hence volatility in those markets will also hit the EuroStoxx. Because there are 50 companies in the index, the price of one company is less likely to affect it. But serious price action across European exchanges will move this index.
The index was founded in 1998, hence we have had some opportunity to see how it is affected during times of crisis. Since 2008 the volatility of the EuroStoxx 50 has tended to pick up when the Eurozone itself has been in difficulty. It has been a convenient way of expressing sentiment on the whole European project.
The EuroStoxx 50 is widely available as the underlying market for futures and options, both exchange-traded and OTC. It is also quoted by Contracts for Difference and financial spread betting companies and is readily replicated by Exchange Traded Fund providers. Variants of the EuroStoxx 50 are also available – e.g. with specific sectors removed and replaced, or extended to all European bourses using the similar stock selection criteria.
Euro Stoxx 50 ETFs
EURO STOXX 50 | Euro Stoxx LON:WS5X / EUR | Buy Here | |
EURO STOXX 50® 3x Daily Leveraged | Euro Stoxx LON:3EUL / EUR | Buy Here | |
EURO STOXX 50® 3x Daily Short | Euro Stoxx LON:3USL / EUR | Buy Here |
Latest Euro Stoxx 50 News
Low volatility still offers abundant opportunity
Markets start the week on a slow note with the US and UK sessions limited by Memorial Day and the UK public holiday on Monday.
Investing in stock sectors vs a stock index: what’s the difference?
We look at why simply holding a passive index will cause investors to lose out on some of the underlying sector opportunities.
Seasonal market truisms in the current economic climate
Giles Coghlan of CFD broker HYCM asks whether seasonal market trends still apply in the current economic situation.
Qt Group: an expensive Finnish fintech, but for a good reason
Nordics correspondent Raine Lahtinen looks at the latest numbers out of fast moving IoT software stock Qt Group.
Is it time to get out of European stocks?
We hear from WisdomTree about the prospects for the European economy and European stocks going into 2020 - time to get out or search for those value plays?
Hedge fund manager sounds warning bells for European markets in June
European financial markets could be in for some turbulence in June and it has nothing to do with Brexit or the China-US trade war, according to one hedge fund manager.
Are European equities the place to be right now?
With Macron elected French President, and data suggesting positive growth, European equities are riding high
Is Europe ready to take off?
Indicators point towards potential for solid returns from the best European stocks, especially if Le Pen loses in France.
Greek economic crisis reveals disparity in trader sentiment
All eyes remain firmly fixed on the prospects of an agreement over Greece’s debt package, as the repercussions of a ‘grexit’ (a Greek exit from the Eurozone) will be considerable