Newsquawk Daily European Equity Opening News - 10th April 2024

ASIA

APAC stocks traded mixed with some lacking conviction ahead of looming risk events, while there were also holiday closures in South Korea, Singapore, Malaysia, Philippines, Indonesia & Middle East. ASX 200 was led higher by outperformance in the mining and defensive sectors. Nikkei 225 remained subdued but was off worst levels following mixed PPI data. Hang Seng and Shanghai Comp. were mixed with Hong Kong boosted by tech after China's Cyberspace Administration said several firms including China Mobile, Alibaba, Huawei and Tencent completed the filing of large model AI services registration. However, the mainland declined amid a lack of fresh drivers and with the EU wanting to talk with China about unfair competitive conditions and over-capacity during German Chancellor Scholz's visit.

Chinese AI - The Cyberspace Administration of China said several firms including China Mobile (9941 HK), Alibaba (9988 HK), Huawei and Tencent (700 HK) have completed filing of large model AI services registration, adding 117 AI large language models completed registration. (Newswires)

Chinese Stocks - Fitch revised China's Outlook to Negative and affirmed its rating at A+. (Newswires)

TSMC (2330 TT/TSM) - Sales (TWD): March 195.21bln (+34% Y/Y, vs Feb TWD 181.7bln); Q1 Revenue 592.6bln (Q4 625.5bln). (Newswires) 

EUROPEAN CLOSES

CLOSES: DAX: -1.32% at 18,078, FTSE 100: -0.11% at 7,935, CAC 40: -0.86% at 8,049, Euro Stoxx 50: -0.76% at 4,989, IBEX 35: -0.88% at 10,816, FTSE MIB: -1.08% at 33,946, SMI: -0.36% at 11,506.

SECTORS: Telecoms 0.39%, Consumer Stpl 0.20%, Energy 0.18%, Utilities 0.04%, Materials -0.08%, Healthcare -0.22%, Consumer Disc -0.96%, Financials -1.05%, IT -1.19%, Industrials -1.20%

FTSE 100

Frasers (FRAS LN)/ Next (NXT LN) - Cos have emerged as potential suitors for Ted Baker following its collapse into administration, according to the Telegraph. Details in the article were light. (Telegraph)

Lloyds (LLOY LN) - To cut risk management jobs following an internal review, via FT citing a memo; the investigation found that the risk management function was a blocker to the "strategic transformation”. (FT)

Rio Tinto (RIO LN) - Co. is to partner with Founders Factory and invest AUD 14.4mln in global pre-seed and seed-stage start-ups. (Newswires)

UK Cos - Globacap, a private market platform, CEO says that the government's plan to increase the IPO pipeline by allowing private firms to trade shares on exchanges could encourage Cos to delist. (FT) Separately, an FCA survey released on Wednesday showed the UK's cost of living crisis is showing signs of easing. (Newswires)

OTHER UK COMPANIES

Ferrexpo (FXPO LN) - Co. is to ship Ukrainian iron ore to Japan again within three years, according to the Co. Chair. (Nikkei)

BROKER MOVES

DAX

OTHER GERMAN COMPANIES

Aurubis AG (NDA GY) - LME tin prices hit the highest since Jan 2023 as inventories fell to the lowest in months, according to Reuters. (Reuters)

BROKER MOVES

CAC

Airbus (AIR FP) - Reports March gross orders of 137 (prev. 2 in Feb), and March deliveries of 63 (prev. 49); YTD deliveries 142 (prev. 79); YTD orders 170 (prev. 33). (Newswires)

OTHER FRENCH COMPANIES

BROKER MOVES

Edenred (EDEN FP) initiated with Underperform at Jefferies

PAN EUROPE

Merlin Properties (MRL SM) - The board of Directors of Merlin has not taken any decision to increase Co's capital nor has it mandated banks for such purpose. The Board of Directors is currently analysing various strategic alternatives available for its development. (Newswires)

BROKER MOVES

Merlin Properties (MRL SM) upgraded to Overweight from Neutral at JP Morgan

SMI

Novartis (NOVN SW) - Co. said in light of recent regulatory guidance on intake limits for nitrosamines in medications, enrolment of new patients in ribociclib early breast cancer (eBC) studies has been paused in alignment with health authorities. Co. is implementing manufacturing adjustments to ensure alignment with the latest regulatory standards in eBC by the end of Q2 and currently expects the regulatory review of ribociclib in eBC to proceed as planned. "This does not impact patient use or commercial supply of Kisqali® in its approved indication of metastatic breast cancer (mBC)". (Novartis)

Roche (ROG SW) - Obtains CE Mark for first companion diagnostic to identify patients with HER2-low metastatic breast cancer eligible for ENHERTU. (PR Newswire)

OTHER SWISS COMPANIES

Barry Callebaut (BARN SW) - HY (CHF): EBIT 178mln (exp. 266mln), Net Income 77mln, adj. Net Debt 245mln. FCF CHF -1.16bln due to bean price impact on working capital. Significant increase in cocoa prices drove +19.6% Y/Y sales revenue to CHF 4.6bln. Co. said HY operating profit was hit by one-off expenses caused by its transformation plan. Additional financing secured, including a CHF 600mln bond which helped to mitigate higher cash requirements in bean sourcing. (Newswires)

BROKER MOVES

SCANDINAVIA

Vestas Wind Systems (VWS DC) - Co. said no dividend will be paid out for FY23. (Newswires)

BROKER MOVES

US

CLOSES: SPX +0.14% at 5,209, NDX +0.39% at 18,169, DJIA -0.02% at 38,883, RUT +0.34% at 2,080.

SECTORS: Real Estate +1.29%, Utilities +0.55%, Consumer Staples +0.51%, Consumer Discretionary +0.46%, Health +0.39%, Materials +0.27%, Technology +0.16%, Communication Services +0.11%, Energy +0.06%, Industrials -0.22%, Financials -0.5%.

Intel (INTC) - Co. reveals details of new AI chip to fight Nvidia (NVDA) dominance. (Newswires)

Super Micro (SMCI) - Announces upcoming X14 server family with future support for the Intel (INTC) Xeon 6 processor with early access programmes. (Newswires)

10 Apr 2024 - 06:51- Research Sheet- Source: Newsquawk