Newsquawk Daily European Equity Opening News - 15th August 2023

15th August 2023

ASIA

Asia-Pac stocks traded mixed in an event-packed session as participants digested key releases including disappointing Chinese activity data and the PBoC’s surprise cuts to its 7-day Reverse Repo and 1-year MLF rates. ASX 200 (+0.5%) was firmer with most sectors in the green including the top-weighted financial industry after earnings from big 4 bank NAB which also announced a share buyback, while the RBA minutes provided little in the way of new information and kept the door open for further rate hikes although the latest Wage Price Index printed softer-than-expected. Nikkei 225 (+0.7%) was lifted in the aftermath of a strong GDP report which showed Japan's economy expanded by 6.0% (exp. 3.1%) which is the fastest annualised pace since Q4 2020 but was led by exports as private consumption contracted for the first time in 3 quarters. Hang Seng (-1.1%) and Shanghai Comp. (-0.3%) were subdued as the miss on Chinese Industrial Production and Retail Sales overshadowed the central bank’s surprise 10bps and 15bps cuts for the 7-day reverse repo and 1-year MLF rates to 1.80% and 2.50%, respectively.

EUROPEAN CLOSES

Bourses: DAX +0.46% at 15,904, FTSE 100 -0.23% at 7,507, CAC 40 +0.12% at 7,349, Euro Stoxx 50 +0.16% at 4,328, IBEX 35 -0.05% at 9,430, FTSE MIB +0.57% at 28,435, SMI +0.26% at 11,110.

Sectors: Consumer Stpl 0.60%, IT 0.50%, Telecoms 0.40%, Healthcare 0.34%, Industrials 0.33%, Financials 0.31%, Utilities -0.01%, Consumer Disc -0.07%, Materials -0.53%, Energy -0.94%

FTSE 100

Housing Names - A computer crash at the BoE delayed thousands of home purchases and other high-value transactions on Monday, as the bank promised to investigate the matter, according to the FT. (FT)

NatWest (NWG LN) - Has been accused by one of its former executives of "covering up" an alleged accounting fraud, which forced its customers into its notorious Global Restructuring Group. (The Times)

UK Banks - FCA begins probe into banks and "politically exposed persons" rules, following the Nigel Farage scandal, according to the FT. (FT)

UK Supermarkets - Kantar data to be released.

OTHER UK COMPANIES

BROKER MOVES

DAX

OTHER GERMAN COMPANIES

Encavis (ECV GY) - H1 (EUR): EPS 0.31 (prev. 0.33 YY), adj. EBITDA 151.6mln (prev. 170.6mln YY), Revenue 226.3mln (prev. 226.4mln YY). (Newswires)

BROKER MOVES

Beiersdorf (BEI GY) upgraded to Outperform from Market Perform at Bernstein

Henkel (HEN GY) downgraded to Underperform from Market Perform at Bernstein

Thyssenkrupp Nucera (NCH2 GY) initiated with Buy at Citi

CAC

OTHER FRENCH COMPANIES

BROKER MOVES

Danone (BN FP) downgraded to Underperform from Market Perform at Bernstein

L'Oreal (OR FP) upgraded to Outperform from Market Perform at Bernstein

PAN EUROPE

BROKER MOVES

SMI

Novartis (NOVN SW) - Sandoz announces positive results from Mylight Phase lll study for biosimilar aflibercept. Results offer hope of new affordable options for patients with nAMD, a leading cause of visual impairment and progressive vision loss for older adults. Sandoz expects to file for regulatory approval for biosimilar aflibercept in the US and EU in the coming months. (Sandoz/Novartis)

UBS (UBSG SW) - Co. is to pay USD 1.435bln to resolve all civil claims by DoJ on RMBS. (Newswires)

OTHER SWISS COMPANIES

Straumann Holding (STMN SW) - Announces Chairman transition, is to propose Vice-Chair Petra Rumpf in next AGM. (Newswires)

BROKER MOVES

Lindt & Spruengli (LISP SW) upgraded to Outperform from Market Perform at Bernstein

SCANDINAVIA

FLSmidth (FLS DC) – Q2 (DKK): Net 118mln (prev. 134mln YY), Revenue 6.4bln (exp. 6.4bln). Affirms FY23 guidance. (Newswires)

Pandora (PNDORA DC) - Q2 (DKK): EBIT 1.19bln (prev. 1.25bln YY), Revenue 5.89bln (exp. 5.73bln). Raises FY23 Organic Revenue +2-5% (prev. -2% to +3%). Launches three new lab-grown diamond collections and expands offering to Australia, Mexico and Brazil, bringing diamond jewellery to more consumers for more wearing occasions. (Newswires)

BROKER MOVES

US

CLOSES: SPX +0.57% at 4,489, NDX +1.18% at 15,205, DJIA +0.07% at 35,307, RUT -0.24% at 1,920.

SECTORS: Technology +1.85%, Communication Services +1.04%, Consumer Discretionary +0.39%, Health +0.33%, Materials +0.19%, Industrials +0.03%, Financials -0.18%, Energy -0.33%, Consumer Staples -0.52%, Real Estate -0.54%, Utilities -0.83%.

Nvida (NVDA) - Saudi Arabia and UAE reportedly buying up thousands of high-performance Nvidia (NVDA) chips that are crucial for building AI software, according to FT. (FT)

US Steel (X) - Esmark announces all-cash public offer for US Steel Shares (X); deal is for an offering for USD 35/shr. (Newswires)

15 Aug 2023 - 06:47- Research Sheet- Source: Newsquawk