Newsquawk Daily European Equity Opening News - 13th September 2024

ASIA

APAC stocks were ultimately mixed and initially took their cues from the gains in the US, but with upside capped by a lack of fresh drivers ahead of a long weekend. ASX 200 was led by outperformance in mining stocks with gold miners boosted after the precious metal hit a fresh record high. Nikkei 225 underperformed owing to currency strength and as participants headed towards the extended weekend in Japan. Hang Seng and Shanghai Comp were mixed as the former spearheaded the advances in the region with the help of developers, energy stocks and financials, while the mainland was lacklustre ahead of the latest Chinese activity data on Saturday and the four-day weekend closure.

EUROPEAN CLOSES

CLOSES: DAX: +0.97% at 18,508, FTSE 100: +0.57% at 8,241, CAC 40: +0.52% at 7,435, Euro Stoxx 50: +1.04% at 4,813, AEX: +0.99% at 893, IBEX 35: +1.08% at 11,400, FTSE MIB: +0.84% at 33,454, SMI: +0.56% at 11,990, PSI: +0.18% at 6,792.

SECTORS: IT 2.53%, Industrials 1.69%, Energy 1.18%, Financials 1.14%, Materials 0.97%, Consumer Disc 0.60%, Telecoms 0.55%, Consumer Stpl -0.10%, Healthcare -0.12%, Utilities -0.37%                         

FTSE 100

BP (BP/ LN) - Says Francine did not have any significant impacts on its offshore assets in the Gulf of Mexico. Elsewhere, its Indiana refinery (435k bpd) is to begin planned maintenance as early as Sept 20. (Newswires)

BAE Systems (BA/ LN) - Awarded USD 440mln to produce additional Bradley fighting vehicles for the US Army. (Newswires)

easyJet (EZJ LN) - Co. has called on the UK's board of the UK's air traffic control to sack Chief Executive Rolfe over his handling of continued disruption over the past two summers, via the FT. (FT)

Shell (SHEL LN) - Says at this early stage, there does not appear to be serious damage from wind, rain or storm surge at sites in Louisiana, Geismar and Norco. Hydrocracker shut at Shell's Norco Louisiana refinery after storm, according to Reuters citing sources. (Newswires/Reuters)

OTHER UK COMPANIES

BROKER MOVES

DAX

OTHER GERMAN COMPANIES

Evonik (EVK GY) - Invests EUR 35mln into Abolis Biotechnologies. (Newswires)

BROKER MOVES

BASF (BAS GY) upgraded to Hold from Underperform at Jefferies

Fresenius (FRE GY) upgraded to Overweight from Neutral at JP Morgan

Henkel (HEN3 GY) downgraded to Hold from Buy at Jefferies

CAC

Engie (ENGI FP) - Enters a partnership with Ares Management for a 2.7 GW portfolio of renewables and storage assets in the US. (Newswires)

TotalEnergies (TTE FP) - Co. joins the first Japanese fund dedicated to the development of low-carbon hydrogen. (Newswires)

Thales (HO FP) - Alaska awards the Co. a driver's license and ID card contract for next-gen security. (Newswires)

OTHER FRENCH COMPANIES

BROKER MOVES

PAN EUROPE

Autos - An alliance of automakers, which includes Volkswagen (VOW3 GY), General Motors (GM) and others, say a bill to tighten restrictions on Chinese content for EV tax credits would require rolling back emissions rules. (Newswires)

Banco BPM (BAMI IM) - Sells real estate assets for EUR 295mln. Sale to happen in multiple tranches from end-2024. (Newswires)

BROKER MOVES

SMI

Roche (ROG SW) - FDA approved Genentech’s Tecentriq Hybreza, the first and only subcutaneous Anti-PD-(L)1 cancer immunotherapy. New subcutaneous (SC) option reduces treatment time to approximately 7 minutes, compared with 30-60 minutes for IV infusion.

OTHER SWISS COMPANIES

ams OSRAM (AMS SW) - Optimises financing structure with a successful private placement of EUR 200mln 10.5% senior notes due 2029 replacing short-term financing facilities. (Newswires)

BROKER MOVES

SCANDINAVIA

Kesko (KESKOB FH) - Sales in August -0.7% M/M. (Newswires)

Konecranes (KCR FH) - Expects Net Sales to increase in 2024 vs 2023; expects FY24 comparable EBIT margin to improve from 2023. (Newswires)

BROKER MOVES

Demant (DEMANT DC) upgraded to Hold from Reduce at HSBC

GN Store Nord (GN DC) upgraded to Buy from Hold at HSBC

Wartsila (WRT1V FH) downgraded to Reduce from Hold at HSBC

US

CLOSES: SPX +0.75% at 5,596, NDX +0.97% at 19,423, DJIA +0.58% at 41,097, RUT +1.22% at 2,129.

SECTORS: Real Estate +0.10%, Financials +0.12%, Utilities +0.17%, Health +0.31%, Consumer Staples +0.56%, Industrials +0.72%, Technology +0.82%, Materials +0.91%, Energy +0.94%, Consumer Discretionary +1.15%, Communication Services +2.01%.

Adobe (ADBE) - Shares slipped 9% afterhours on soft guidance for the next quarter. It reported Q3 adj. EPS 4.65 (exp. 4.53), Q3 revenue USD 5.41bln (exp. 5.37bln). Q3 Digital Media ARR was USD 504mln (exp. 460mln). Sees Q4 adj. EPS between 4.63-4.68 (exp. 4.68), Q4 revenue between USD 5.50bln-5.55bln (exp. 5.6bln), Q4 digital media revenue between USD 4.09bln-4.12bln (exp. 4.14bln), Q4 digital experience revenue between USD 1.36bln-1.38bln (exp. 1.4bln), Q4 Digital Media net new ARR around USD 550mln.

Boeing (BA) - US factory workers vote to strike and reject contract. (Newswires)

Intel (INTC) - Is reportedly getting help from US Commerce Secretary Raimondo as part of an effort to spur US production, according to CNBC. (CNBC)

Oracle (ORCL) - Oracle Corporation's shares surged in aftermarket trading, hitting a fresh record high, after it announced strong AI-driven revenue forecasts, with annual revenue expected to reach USD 66bln by 2026 (prev. saw USD 65bln; FY25 revenue was expected at 64.9bln, according to Refinitiv) and to USD 104bln by 2029 (exp. 89bln), with annual EPS growth of 20% Y/Y. CEO said "those numbers should not be a problem. At all", and added that it also expects CapEx will double in the current FY25 year.

Wells Fargo (WFC) - Says they have been working to address a substantial portion of what's required in the formal agreement, and are committed to completing the work with the same sense of urgency as our other regulatory commitments

13 Sep 2024 - 06:48- Research Sheet- Source: Newsquawk