EUROPEAN EQUITY OPEN: European shares broadly gain following positive leads from Wall Street/Asia. Fed ahead.

INDICES: At 08:10GMT, Euro Stoxx 50 +2.4%, FTSE 100 +1.2%, DAX 40 +2.2%, CAC 40 +2.1%, FTSE MIB +2.2%, IBEX 35 +1.8%, SMI +1.3%.

OPEN: European indices follow the positive leads from Wall Street and APAC trading sessions, opening higher on Wednesday. Traders noted that Ukraine President said talks with Russia had become more ‘realistic’, though more progress was needed (although the Russian President claimed Kyiv was not serious in wanting to find a mutually acceptable solution). Chinese stocks posted the largest daily gains since July 2020 on hopes that policymakers would provide more economic support amid the resurgence in COVID cases. The highlight of the day ahead comes after the European close, with the Federal Reserve’s policy announcement (rate decision at 18:00GMT, Powell Press conference at 18:30GMT – expect +25bps rate hike, updated projections; not expecting balance sheet details; our preview is here). Elsewhere, there are also US retail sales data for February, Canadian CPI for February, the weekly energy inventory report from the EIA, as well as the IEA’s OMR. Our full Daily Economic Calendar can be accessed here.

STOCK SPECIFICS: In deal news, Shell (SHEL LN) is reportedly one of the final bidders to acquire India's Sprng Energy, deal could be valued at around USD 2bln. Foxtons (FOXT LN) has reportedly been urged to explore a sale. In corporate updates, BMW (BMW GY) cut its car unit profit forecast amid uncertainties around Ukraine/Russia war. Inditex (ITX SM) FY revenue topped estimates, 2021 profit more than doubled vs 2020, where digital sales underpinned. E.ON (EOAN GY) flagged Nord Stream 1 risks, expects lower profits this year.  Restaurant Group (RTN LN) reported a narrowing of FY pretax losses. Fevertree (FEVR LN) FY profits rose. MorphoSys (MOR GY) saw the UN National Comprehensive Cancer Network (NCCN) update its designation of Monjuvi. In broker news, Delivery Hero (DHER GY) was downgraded at JPMorgan Chase; Credit Agricole (ACA FP) downgraded at HSBC; ABN AMRO (ABN NA) upgraded at HSBC. Novo Nordisk (NOVOB DC) upgraded at Deutsche Bank.

Our full European equity briefings for March 16th can be accessed here and here.

16 Mar 2022 - 08:10- EquitiesData- Source: Newsquawk