Newsquawk Daily European Equity Opening News - 12th June 2025

ASIA

APAC stocks traded mixed following the subdued handover from Wall St where the major indices were choppy and wiped out initial data-driven gains as geopolitical concerns clouded over risk sentiment. ASX 200 was initially led higher by strength in energy and gold miners after the recent rallies in their respective underlying commodity prices, although the gains in the broader market were limited and the index eventually returned to flat territory. Nikkei 225 underperformed as exporters suffered the ill effects of the recent currency strength. Hang Seng and Shanghai Comp were mixed alongside a similar overall picture across the Asia-Pac region and with markets somewhat unimpressed following the lack of solid details from the recent US-China agreement.

EUROPEAN CLOSES

BOURSES: DAX: -0.05 % at 23,976, FTSE 100: +0.13 % at 8,864, CAC 40: -0.36 % at 7,776, Euro Stoxx 50: -0.37 % at 5,395, AEX: -0.33 % at 936, IBEX 35: -0.59 % at 14,137, FTSE MIB: -0.07 % at 40,180, SMI: -0.11 % at 12,339, PSI: -0.21 % at 7,479.

SECTORS: Utilities 0.43%, Industrials -0.07%, Financials -0.12%, IT -0.19%, Healthcare -0.27%, Telecoms -0.35%, Energy -0.40%, Materials -0.60%, Consumer Stpl -0.64%, Consumer Disc -0.68%.

FTSE 100

AB Foods (ABF LN) - Vivergo bioethanol facility will stop the purchase of wheat food stock, however the full decision on closing the facility will be delayed until June 25th. (Newswires)

Glencore (GLEN LN) - Bunge (BG) is reportedly nearing a decision from Chinese regulators on the USD 8.2bln acquisition of Viterra, via Bloomberg. (Bloomberg) Glencore has a stake in Viterra

OTHER UK COMPANIES

Pod (POD LN) - Is expected to issue a statement on Thursday recommending that they accept the low-value offer from EDF, which values the Co. at around GBP 10mln. (Sky News)

BROKER MOVES

DAX

Adidas (ADS GY)/Puma (PUM GY) - Vietnam’s trade minister Nguyen Hong Dien met Nike (NKE) and Walmart (WMT) executives in the US to seek support ahead of trade talks aimed at avoiding steep tariffs, Bloomberg reports. He urged the companies to promote a fair, balanced, and sustainable agreement. (Bloomberg)

Allianz (ALV GY) - Australia's ACCC says it will not oppose the proposed acquisition of RAA by the Co. (Newswires)

SAP (SAP GY) - Oracle (ORCL) shares rose nearly 8% after it forecast solid cloud infrastructure revenue growth for the next fiscal year, with orders seen more than doubling. See US section for full details

OTHER GERMAN COMPANIES

BROKER MOVES

Allianz (ALV GY) downgraded to Underweight from Equalweight at Barclays

CAC

Airbus (AIR FP) - Co. is cautiously hopeful to meet its 2025 delivery target of 820 jets despite engine supply bottlenecks, with nearly 40 completed airframes parked awaiting CFM engines, Reuters reports. Supply chain pressures have improved overall, and Airbus is trending toward assembling over 60 A320neo-family jets monthly, aiming for 75 by 2027, the report adds. Additionally announces 20yr demand forecasts: commercial jet deliveries 43.4k, +2%; passenger jets 42.4k, single-aisle 34.2k. (Newswires)

TotalEnergies (TTE FP) - Co's Saft has been selected for the Gurin energy project within Japan, to provide over 1GWh of storage. (Newswires)

OTHER FRENCH COMPANIES

BROKER MOVES

ADP (ADP FP) upgraded to Overweight from Equalweight at Barclays

PAN EUROPE

Energy Names - The US is partially evacuating personnel from its Middle East posts, including the Iraqi embassy, due to heightened security risks amid escalating tensions with Iran, Reuters reports. Military dependents in Bahrain and Kuwait are authorised to leave voluntarily. The moves come as nuclear talks with Iran stall and Israel prepares potential strikes. (Newswires)

Grifols (GRF SM) - Delisting offer has been accepted for a total of 416k ordinary shares of Biotest and 3mln and non-voting preferred shares of biotest. Settlement of the delisting is expected on June 16th. To pay EUR 108mln as an offer price. (Newswires)

InPost (INPST NA) - UK High Court has dismissed the motion for an injunction against Yodel. As such, Co. continues to restructure Yodel's business and focuses on transformation plans. (Newswires)

Pharmaceutical Names - US HHS Secretary RFK Jr. replaced the CDC’s vaccine advisory panel with eight new members, including several known vaccine critics and some with limited vaccine expertise, STAT News reports. The shake-up drew sharp criticism for undermining scientific trust and transparency, raising concerns about potential rollbacks of vaccine recommendations, it adds. (STAT News)

Pirelli (PIRC IM) - Italian Government is delaying a decision on whether Sinochem is in breach of rules designed to limit influence into the Co., via Bloomberg. (Bloomberg)

UCB (UCB BB) - Dapirolizumab pegol (DZP) showed efficacy across multiple clinical endpoints in the PHOENYCS GO study, including fatigue and measures of disease activity. (UCB)

BROKER MOVES

SMI

OTHER SWISS COMPANIES

Baloise (BALN SW) - Conducting a capital increase for the Swiss Property Fund, to occur between the 13tth and 26th of August. Proceeds of up to CHF 153mln for the acquisition of up to 11 properties. (Newswires)

BROKER MOVES

Swiss Re (SREN SW) downgraded to Underweight at Equalweight at Barclays

Zurich Insurance (ZURN SW) downgraded to Equalweight from Overweight at Barclays

SCANDINAVIA

Clas Ohlson (CLASB SS) - Q4 (SEK): Sales 2.3bln (exp. 2.3bln), EBIT 109mln (exp. 86mln), EPS 1.26 (exp. 0.92), Net Income 80mln (exp. 58mln). Dividend of 7/shr (exp. 6.80/shr). Good start to the new financial year, planning investments of 250mln for 2025/26. (Newswires)

BROKER MOVES

US

CLOSES: SPX -0.27% at 6,022, NDX -0.37% at 21,861, DJI unch at 42,866 , RUT -0.38% at 2,148

SECTORS: Consumer Discretionary -1.02%, Materials -0.98%, Communication Services -0.58%, Real Estate -0.55%, Consumer Staples -0.38%, Technology -0.28%, Financials -0.14%, Industrials +0.03%, Health +0.04%, Utilities +0.05%, Energy +1.49%.

CoreWeave (CRWV) - CoreWeave will provide GPU-based compute capacity to Google Cloud (GOOG) under a new arrangement supporting OpenAI’s growth, sources cited by Reuters said. The move diversifies CoreWeave’s revenue beyond Microsoft (MSFT) and helps Google benefit from OpenAI demand. OpenAI has existing deals with CoreWeave worth up to USD 15.9bln through 2029.

Dana (DAN), Allison Transmission (ALSN) - Dana to sell its Off-Highway unit to Allison for USD 2.7bln, with USD 2.4bln net proceeds used to repay USD 2bln debt and fund a USD 1bln capital return plan. Allison expects the deal to be EPS accretive, with USD 120mln in run-rate synergies.

Microsoft (MSFT) - Microsoft is preparing a version of its Microsoft 365 Copilot AI tool for the Pentagon, expected by summer 2025. The tool aims to meet high security and compliance standards and could add over 1mln users, marking a significant contract for Microsoft’s AI business, Business Insider reports.

Nvidia (NVDA) - Nvidia will hold its 2025 annual stockholders meeting online on June 25th.

OpenAI - OpenAI has explored fundraising talks with investors from Saudi Arabia and India to fuel its growth, The Information reports. The AI company is in advanced talks to raise around USD 40bln from Saudi Arabia’s Public Investment Fund, India’s Reliance Industries, UAE’s MGX, and others to accelerate AI model development and its "Stargate" infrastructure project; it is also in talks for potential further funding up to USD 17bln by 2027.

Oracle (ORCL) - Oracle shares rose nearly 8% after it forecast solid cloud infrastructure revenue growth for the next fiscal year, with orders seen more than doubling. It reported Q4 adj. EPS of 1.70 (exp. 1.64), Q4 revenue USD 15.9bln (exp. 15.59bln). Q4 cloud revenue +27% Y/Y at USD 6.7bln; IaaS +52%, SaaS +12%. Total RPO +41% Y/Y to USD 138bln. Sees Q1 EPS 1.44–1.48 (exp. 1.48), Q1 revenue +11–13%, and sees cloud revenue growth of +26-30%. Exec said it believes FY26 revenue will be even better as revenue growth rates will be dramatically higher. Raises its FY26 revenue view to over USD 67bln (exp. 65.4bln); sees FY26 cloud revenue +40%+, IaaS +70%+, RPO +100%+, capex over USD 25bln.

12 Jun 2025 - 06:50- Research Sheet- Source: Newsquawk