Newsquawk Daily European Equity Opening News - 17th June 2025

ASIA

APAC stocks traded mixed/mostly lower with the region failing to coattail on Wall Street's gains, as geopolitical angst kept risk subdued, namely after US President Trump posted that "Everyone should immediately evacuate Tehran!" before cutting his G7 trip short, stoking fears of a US military offensive. Sentiment later stabilised after CBS reported that the US is not joining Israel offensively in its military operations against Iran, with US officials also backing a defensive stance amid assets in the region. ASX 200 traded slightly softer and in a narrow range, with upside in gold miners cushioning losses for the index. Nikkei 225 was kept afloat amid the softer JPY after the US and Japan failed to reach an agreement. The index saw a modest hawkish reaction to the BoJ decision which reduced the pace of JGB purchases as telegraphed. Hang Seng and Shanghai Comp opened flat before tilting lower in overall uneventful trade across the Chinese bourses amid the cautious risk tone with the immediate focus largely on geopolitics.

BoJ - BoJ maintains its rate at 0.5% as expected via unanimous vote; to reduce amount of monthly JGB purchases by about JPY 200bln each quarter from April 2026 onward (as telegraphed); Decision on bond taper plan made by 8-1 vote, Tamura dissented on taper plan

Japanese Trade Deal - Japanese PM Ishiba and US President Trump did not reach a tariff agreement, but confirmed they are to continue tariff talks, according to Fuji TV. (Fuji TV)

EUROPEAN CLOSES

CLOSES: DAX: +0.75% at 23,692, FTSE 100: +0.28% at 8,875, CAC 40: +0.75% at 7,742, Euro Stoxx 50: +0.97% at 5,342, AEX: +0.25% at 925, IBEX 35: +1.46% at 14,114, FTSE MIB: +1.24% at 39,929, SMI: -0.27% at 12,113, PSI: +0.94% at 7,546

FTSE 100

Informa (INF LN) - Underlying revenue growth of 9.3% in five months to 31 May 2025. 2025 group underlying revenue growth guidance of above 5% reaffirmed with B2B events at above 7%. (Newswires)

Shell (SHEL LN) - CEO says local price index makes the LNG Canada project attractive. (Newswires)

UK Inheritance Tax - UK Chancellor Reeves is exploring reversing a decision to charge UK inheritance tax on the global assets of non-doms, according to FT. (FT)

UK Steel - US tariff on UK steel to remain at 25% for now, according to Bloomberg citing a UK official

OTHER UK COMPANIES

Assura (AGR LN) - FT writes that some shareholders favour the PHP proposal over the bid led by KKR. (FT)

BROKER MOVES

Bunzl (BNZL LN) downgraded to Sector Perform from Outperform at RBC

Shell (SHEL LN) downgraded to Market Perform from Outperform at SocGen

DAX

Deutsche Telekom (DTE GY) - SoftBank Group (9984 JT) is reportedly seeking to raise up to USD 4.9bln through the sale of T-Mobile (TMUS) shares, according to terms cited by Bloomberg. (Bloomberg) Note: Deutsche Telekom holds a 51.5 percent stake in T-Mobile

OTHER GERMAN COMPANIES

BROKER MOVES

CAC

Kering (KER FP) - Appoints Luc De Meo as CEO and Pinault will stay on as Chairman. Pinault says group's performance in the past few years has not been up to its expectations. Is not worried about Valentino. (Newswires)

OTHER FRENCH COMPANIES

ADP (ADP FP) - May Airport Traffic, 32.4mln passengers, +2.7% Y/Y. (Newswires)

Covivo (COV FP) - Acquired 25% minority stake in CB21 Tower. (Newswires)

BROKER MOVES

TotalEnergies (TTE FP) upgraded to Outperform from Market Perform at Bernstein

PAN EUROPE

Eni (ENI IM) - Chief said the proposed Petronas-Eni JV will pay a dividend to shareholders. (Newswires)

Geopolitics - US President Trump posted that "Everyone should immediately evacuate Tehran!" before cutting his G7 trip short, stoking fears of a US military offensive. Sentiment later stabilised after CBS reported that the US is not joining Israel offensively in its military operations against Iran. (Newswires)

Lottomatica (LTMC IM) - Gamma International launched an ABB to sell its entire 21.3% stake in the Co. (Newswires)

Sabadell (SAB SM) - The Co. said it had received prelim non-binding expressions of interest for TSB and will assess any bid it may receive. (Newswires)

BROKER MOVES

SMI

Roche (ROG SW) - Genentech says Phase 3 Verona study did not meet primary endpoint. (Newswires)

OTHER SWISS COMPANIES

BROKER MOVES

SCANDINAVIA

BROKER MOVES

US

CLOSES: SPX +0.95% at 6,034, NDX +1.42% at 21,938, DJI +0.75% at 42,515, RUT +1.15% at 2,125.

SECTORS: Communication Services +1.53%, Technology +1.52%, Consumer Discretionary +1.20%, Financials +1.13%, Materials +0.78%, Industrials +0.71%, Consumer Staples +0.02%, Real Estate -0.02%, Energy -0.29%, Health -0.40%, Utilities -0.50%.

Microsoft (MSFT) - OpenAI and Microsoft tensions are reaching a boiling point, via WSJ; "The startup, growing frustrated with its partner, has discussed making antitrust complaints to regulators". (WSJ)

17 Jun 2025 - 06:48- Geopolitical- Source: Newsquawk