EUROPEAN EQUITY UPDATE: Choppy opening amidst light newsflow

STOXX 600: +0.1%, DAX: -0.1%

• European bourses have opened mixed and traded choppy throughout the morning so far, amid light newsflow. FTSE 100 (+0.2%) is the slight outperformer out of all major European indices, driven by gains in HSBC (+1.7%) , after the Co. named former NatWest exec, to lead its UK business. On the contrary, downsides can be seen in AEX (-0.2%) due to a pullback in ASML (-1.1%) after AMIES unveiled its lithography lineup, which may reduce China's reliance on the Dutch chip-maker.


• Elsewhere, ECB Chief Economist Lane spoke earlier, saying monetary policy is progressing smoothly. Scheduled later is ECB President Lagarde, and ECB's Nagel; BoE Governor Bailey and BoE's Breeden will speak at a Lords Select Committee on growth of private markets in the UK; UK Chancellor Reeves will host a regional investment summit.

Sectors: Mixed

• European sectors have opened mixed. Real Estate (+0.8%) has emerged at the top, driven by gains in Segro (+3.2%) after its Q3 trading update showed strong letting activity and highlighted that occupancy and customer retention are high at 94.3% and 86% respectively. Utilities is second (+0.6%) and Insurance is third, although newsflow has been light in those sectors.


• At the bottom we have chemicals (-0.7%), basic resources (-0.6%) and Health Care (-0.3%). Once again there’s been any lack of macro newsflow to explain the downward pressure for those sectors, although some downside in copper prices has weighed down the Basic Resources sector following the prior day swing.

Movers:

• Getinge (+3.3%) - Q3 (SEK): Net sales 8.226bln (exp. 8.035bln), adj.EBITDA increased in quarter despite tariff costs and currency effect, reiterates financial target considering tariff levels. (Getinge)


• Coca-Cola (-1.5%) - Co. to buy 75% controlling interest in Coca-Cola Beverages Africa from Coca-Cola Company (KO) and Gutsche Family Investments. Deal values CCBA at USD 3.4bln. Co. plans to buy the remaining 25% stake in CCBA within a 6-year period. (Coca-Cola)


• Bunzl (-0.5%) - Reaffirms FY guidance, Y/Y operating margin decline over quarter moderated compared to first half of year in Q3. (Bunzl)

US Equity Futures: ES -0.1%, NQ -0.1%, RTY -0.2%

• US equity futures are broadly modestly lower across the board, paring back some of the upside seen in the prior session.


• Looking ahead, Fed's Waller will speak at the Federal Reserve Board Payments Innovation Conference but is not expected to comment on monetary policy. Notable corporate earnings due today include DHR, GE, KO, RTX, PM, LMT, NFLX, TXN, COF, ISRG, CB. Canadian CPI (SEPT) is also set to release.

21 Oct 2025 - 10:00- EquitiesResearch Sheet- Source: Newsflow