EUROPEAN EQUITY OPEN: European shares start the week on the front foot

OPEN: European stocks advanced at the start of the week. There doesn’t appear to be a specific catalyst for this morning’s upside; some theories being cited include: potential sympathy with APAC (mixed session) and the Wall Street (late Friday rally); technical factors as key indices approach multi-month support after sliding for four weeks; monpol divergence (even though the ECB hawkishly surprised last week, it is still expected to remain accommodative relative to the US, where tightening is being accelerated). It is also worth noting that recently a few desks have talked up European stocks over their US counterparts. The docket today appears generally benign, although geopolitics will continue to feature as President Biden meets Germany’s chancellor Scholz. ECB chief Lagarde will also speak later today.

INDICES: At 08:05GMT, At 08:05GMT, Euro Stoxx 50 +0.7%, FTSE 100 +0.5%, DAX 40 +0.8%, CAC 40 +0.6%, FTSE MIB +0.4%, IBEX 35 +0.4%, SMI +0.4%. Sectors are broadly green, with gains being led by Basic Resources, Banks and Tech; Energy and Telecoms lag.

NOTABLE MOVERS:

• Aurubis (NDA GY) +4.1%: Solid results


• Faurecia (EO FP) +3%: Updates on outlook after Hella deal


• ADP (ADP FP) +2.4%: Upgrade at MS


• Fraport (FRA GY) +2%: Kepler positive


• Reckitt (RKT LN) +1.9%: Mulls sale of nutrition unit


• Credit Suisse (CSGN SW) +1.7%: Managing oligarch risks


• Porsche Automobile (PAH3 GY) +1.1%: Exec commentary


• Ceconomy (CEC GY) -7.4%: Soft earnings


• Aareal Bank (ARL GY) -4.5%: Unsuccessful takeover offer

NOTE: Our full Newsquawk Daily European Equity Opening News (7/Feb) can be accessed here; additional European Equity News (7/Feb) can be accessed here. 

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DAY AHEAD 7TH FEBRUARY:

• US President Biden meets German Chancellor Scholz


• 08:00GMT/03:00EST: China Foreign Exchange Reserves (JAN)


• 09:30GMT/04:30EST: EZ Sentix Index (Feb)


• 11:00GMT/06:00EST: UK BBA Mortgage Rate (JAN)


• 11:30GMT/06:30EST: Brazil BCB Focus Market Readout


• 13:00GMT/08:00EST: Brazil Car Production, New Car Registrations (JAN)


• 13:00GMT/08:00EST: Russia FX Reserves (JAN)


• 14:30GMT/09:30EST: Turkey Treasury Cash Balance (JAN)


• 15:00GMT/10:00EST: US Employment Trends (Jan)


• 15:45GMT/10:45EST: ECB's President Lagarde


• 16:30GMT/11:30EST: US 3-Month, 6-Month Bill Auction


• 20:00GMT/15:00EST: US Consumer Credit Change (DEC)


• Newsquawk Daily Economic Releases (7/Feb)

07 Feb 2022 - 08:12- Equities- Source: Newsquawk