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RWE or Infineon – who will move up into the Euro Stoxx 50?


Is Infineon moving up in the Euro Staxx 50?
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Infineon and RWE have chances of moving up in the leading index for the euro zone. Both have an attractive technical overall picture, but there will only be space for one share. Which?

NAfter the fact that there was a change of five index stocks in the Euro Stoxx 50 in September during the regular annual index adjustment against the background of the high fluctuations on the European stock markets, there are now indications of an additional extraordinary adjustment of the index composition. The Unilever Group will merge its classes of shares, so that the Dutch Unilever NV will probably leave the Euro Stoxx 50 at the end of November. As a consequence, the then largest non-index stock should move up in the Euro Stoxx 50. Both Infineon and RWE are currently in the running. In addition to this index fantasy, both stocks have an attractive overall technical picture. As a consequence, Infineon is currently offering itself as a technical (additional) purchase, while RWE is interested in a dual technical strategy.

In the Euro Stoxx 50, the last change of five stocks already reflects part of the current situation on the Eurozone stock exchanges, since the inclusion stocks tend to be “Corona crisis winners” (for example from the technology sector) and the withdrawal stocks rather “Corona- Crisis losers ”(for example from the banking sector). Now an extraordinary index adjustment is on the agenda. The Unilever Group previously had two classes of shares. The Dutch Unilever NV was included in both the Euro Stoxx 50 and the Stoxx 50. The British share – which is somewhat smaller in terms of market capitalization in free float – was only included in the Stoxx 50. After the majority of the shareholders voted in favor of merging the two share classes, this is to be implemented at the end of November – if the necessary approvals have been obtained.

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