DAILY EUROPEAN EQUITY OPENING NEWS: BASF (BAS GY) – Co. has entered into a pact to purchase a significant part of Bayer’s (BAYN GY) seeds unit for a cash value of EUR 5.9bln

**EUROPEAN EQUITY COVERAGE WILL ONLY COVER COMPANIES IN THE STOXX 600 OR COMPANIES OF SYSTEMIC IMPORTANCE TO PARTICULAR SECTORS**

The Daily European Equity Opening News is uploaded at 0700BST/0100CDT recapping all of the overnight equity news

From 0700BST/0100CDT all equity news will be covered in real time over the audio and headline feed and the full audio rundown will be at 0715BST/0115CDT.

There will be an additional audio rundown at 0750BST/0150CDT recapping any company news which has hit the wires since 0715BST/0115CDT ahead of the European equity open

13th October 2017

ASIA

Asia-Pac equity markets shrugged off the pullback in US stocks from record levels, although upside was somewhat capped as the region digested the latest Chinese trade figures. ASX 200 (+0.4%) and Nikkei 225 (+1.2%) were mildly positive with Australia underpinned by defensive stocks, while Nikkei 225 tested 21,200 and was led by strength in index heavyweight Fast Retailing after the Co. reported its FY net more than doubled. Elsewhere, Shanghai Comp. (+0.2%) and Hang Seng (Unch.) traded indecisive after the PBoC skipped open market operations but then offered funds via its MLF facility and as participants mulled over mixed Chinese trade data

FTSE

RBS (RBS LN) – UK Treasury committee chair Nicky Morgan has threatened to use parliamentary powers to force the disclosure of a report into the conduct of the Co.’s controversial business restructuring arm. (Telegraph)

HSBC (HSBA LN)/Deutsche Bank (DBK GY)/Citi (C) – Co.’s have agreed to pay a total of USD 132mln to settle a LIBOR manipulation claim in the US. (Newswires)

TalkTalk (TALK LN) – A co. shareholder is selling 45,125,000 shares which accounts for 4.7% of the company. The shares are to be offered at 210.50 to the market price with Jefferies as the sole bookrunner for the sale. (Newswires) 

Shire (SHP LN) – Co.’s new formulation of ONCASPAR has received a positive CHMP opinion. (Newswires)

Barclays (BARC LN) – Co. has settled their FERC manipulation case for USD 478mln; avoiding a trial, according to reports. (Newswires)

OTHER UK COMPANIES

BROKER RECOMMENDATIONS

TALK TALK (TALK LN) DOWNGRADED TO EQUAL WEIGHT FROM OVERWEIGHT

DAX

BASF (BAS GY) – Co. has entered into a pact to purchase a significant part of Bayer’s (BAYN GY) seeds unit for a cash value of EUR 5.9bln. (Newswires)

Siemens (SIE GY) – US FDA clears magnetom magnetic resonance imaging scanner from Siemens Healthineers. (Newswires)

Volkswagen (VOW3 GY) – CEO sees electric cars making profits within 5-7 years. (Newswires)

OTHER GERMAN COMPANIES

BROKER RECOMMENDATIONS

FRAPORT (FRA GY) DOWNGRADED TO UNDERPERFORM FROM SECTOR PERFROM AT RBC

CAC

Societe Generale (GLE FP) -The co. are said to have halted talks on the sale of its Fiditalia loan unit due to low offers. (Newswires)

Airbus (AIR FP) – US FAA has ordered an inspection of around 120 A380 engines, according to sources. (Newswires)

OTHER FRENCH COMPANIES

Faurecia (EO FP) –The co. notes strong organic growth of 10.7% in Q3, FY2017 guidance affirmed. CEO willing to consider significant acquisitions. (Newswires)

Edenred (EDEN FP) – Q3 revenues +6.6% on a LFL basis to EUR 310mln and maintains 2017 targets. (Newswires)

BROKER RECCOMENDATIONS

FAURECIA (EO FP) DOWNGRADED TO HOLD FROM BUY AT DEUTSCHE BANK

PAN-EUROPE

ACS (ACS SM)/Abertis (ABE SM) - Sources suggest that ACS (ACS SM) is to launch an offer for Abertis (ABE SM) next week. (Newswires)

Banca Monte dei Paschi (BMPS IM) – Generali (G IM) executive states the Co. is seeking seats on the Co.’s board. (Newswires)

BROKER RECOMMENDATIONS

MEDIASET (MS IM) UPGRADED TO NEUTRAL FROM SELL AT UBS

ASML (ASML NA) UPGRADED TO OUTPERFORM FROM NEUTRAL AT EXANE

SMI

Roche (ROG VX) – Co. and Ncardia have reached a broad licensing agreement with the Co.’s to gain access to key disease modelling patents. (Newswires)

Flughaven Zuerich (FHZN) – The co. reports September total passengers up 5.5% from last year, at 2,747,462 and that September total air traffic is down 0.5% compared to last year at 24,392 and that September seat load factor is up 1.9% to 79%. (Newswires)

BROKER RECCOMENDATIONS

SCANDINAVIA

Norwegian Air (NAS NO) – The co. CEO is interested Monarch airport slots

Nokia (NOKIA FH) – Co reportedly aims to sell its submarine cable unit to multiple buyers. (Newswires)

BROKER RECOMMENDATIONS

SWEDBANK (SWEDA SS) DOWNGRADED TO UNDERPERFORM FROM NEUTRAL AT MACQUARIE

US

US equity markets were relatively rangebound as financials weighed with JPMorgan and Citi FICC sales and trading revenues coming in light in the first batch of big bank earnings, while telecoms were the biggest loser as AT&T warned on its upcoming figures owing to the recent Hurricanes.

The S&P 500 -0.18% at 2,550.61, NASDAQ 100 -0.19% at 6,069.99, Dow -0.14% at 22,839.97
Best-performing sectors: Industrials +0.50%, Utilities +0.47%, Cons. Staples +0.36%
Worst-performing sectors: Telecoms -3.58%, Financials -0.77%, Cons. Disc. -0.67%

13 Oct 2017 - 06:47- Research Sheet- Source: RANsquawk