EUROPEAN EQUITY OPEN: Indices continue higher; mixed earnings reports, though US tech earnings provide macro support

OPEN: European stocks continue their advance, with gains underpinned by earnings results and as fears about aggressive monetary policy moves ease. Tech earnings out of the US have continued to offer support this week, after blowout earnings from Alphabet (GOOG), while semiconductor AMD (AMD) also reported solid results. In Europe, the landscape is more mixeD: Novartis (NOVN SW) gave a soft update, and its downside seems to be dragging on the SMI index; Santander (SAN SM) numbers appeared decent, but the stock is lower after the open, while Julius Baer (BAER SW) is also lower after its report. Today’s focus will fall on flash inflation data ahead of Thursday’s ECB, where some desks have flagged risks for an upside surprise after regional reports from Germany and France this week. Stateside, the ADP report will provide the customary preview for Friday’s NFP report.

INDICES: At 08:05GMT, Euro Stoxx 50 +0.4%, FTSE 100 +0.5%, DAX 40 +0.5%, CAC 40 +0.4%, FTSE MIB +0.4%, IBEX 35 +0.1%, SMI -0.1%. The tech sector is leading gains this morning after blowout earnings from Google (GOOG) and AMD (AMD); health care is a little above neutral, with defensive styles underperforming after the constructive risk backdrop, while soft Novartis (NOVN SW) update is also a headwind.

NOTABLE MOVERS:

• Novo Nordisk (NOVOB DC) +3.8%: Revenue beat, announces buyback.


• Hexagon (HEXAB SS) +3.5%: Sales small beat, EBIT beat.


• Vodafone (VOD LN) +2.4%: Trading update, on track to achieve FY22 guidance.


• Glencore (GLEN LN) +0.6%: FY21 production report


• BAE Systems (BA LN) -0.5%: JPM reiterates underweight


• Santander (SAN SM) -0.9%: Earnings


• Swedbank (SWEDA SS) -2.8%: Earnings


• Novartis (NOVN SW) -3.0%: Soft Q4 earnings update


• Julius Baer (BAER SW) -4.0%: Earnings

NOTE: Our full Newsquawk Daily European Equity Opening News (2/Feb) can be accessed here; additional European Equity News can be accessed here. 

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WEDNESDAY FEBRUARY 2ND:

• 10:00GMT/05:00EST: EZ Inflation (JAN, FLASH)


• 11:00GMT/06:00EST: Mexico FX Reserves (DEC)


• 11:00GMT/06:00EST: Thermo Fisher Scientific Inc (TMO) earnings (preview)


• 12:00GMT/07:00EST: Brazil Industrial Production (DEC)


• 12:00GMT/07:00EST: US MBA Mortgage Applications (28/JAN)


• 12:40GMT/07:40EST: Abbvie Inc (ABBV) earnings (preview)


• 13:15GMT/08:15EST: US ADP Employment Change (JAN)


• 13:30GMT/08:30EST: Canada Building Permits (DEC)


• 15:00GMT/10:00EST: BoC Dep Gov Gravelle


• 15:30GMT/10:30EST: US Weekly EIA Energy Inventories (28/JAN)


• 16:00GMT/11:00EST: Russia Industrial Production (DEC)


• 21:00GMT/16:00EST: T-Mobile US Inc (TMUS) earnings (preview)


• 21:00GMT/16:00EST: Qualcomm (QCOM) earnings (preview)


• 21:05GMT/16:05EST: Meta Platforms Inc (FB) earnings (preview)


• 21:30GMT/16:30EST: Australia Ai Group Construction Index (JAN)


• 22:00GMT/17:00EST: Australia Markit Services, Composite PMI (JAN, Final)


• Full Daily Economic Releases (February 2nd)


• Full Daily US Earnings Estimates (February 2nd)

02 Feb 2022 - 08:13- EquitiesData- Source: Newsquawk