Newsquawk Daily European Equity Opening News - 1st July 2025

1st July 2025

ASIA

APAC stocks began the new quarter mostly higher, albeit with gains capped amid this week's busy data calendar and with underperformance in Japan owing to recent currency strength. ASX 200 treaded water with the index just about kept afloat as strength in defensives offset the losses in the mining and materials sectors. Nikkei 225 underperformed as exporters suffered the ill effects of recent currency strength and with the predominantly better-than-expected BoJ Tankan survey increasing the scope for a more hawkish BoJ, while US President Trump also noted they would be sending Japan a letter regarding tariffs after not accepting US rice. Shanghai Comp edged mild gains after Chinese Caixin Manufacturing PMI topped forecasts with a surprise return to expansionary territory, although the upside was limited for Chinese markets amid the holiday closure in Hong Kong and the absence of Stock Connect flows.

XPeng (9868 HK) - June deliveries rose 224% Y/Y to 34.6k vehicles and it achieved record quarterly deliveries of 103.2k vehicles in Q2. (Newswires)

India-US Trade - India seeks to seal a trade deal with the US this week, according to FT. (FT)

South Korea Chipmakers - South Korea’s exports rose 4.3% Y/Y in June, led by record semiconductor sales, providing a temporary boost ahead of planned US tariff increases. (Newswires)

EUROPEAN CLOSES

CLOSES: : DAX: -0.44 % at 23,928, FTSE 100: -0.43 % at 8,761, CAC 40: -0.33 % at 7,666, Euro Stoxx 50: -0.38 % at 5,305, AEX: -0.75 % at 913, IBEX 35: +0.16 % at 13,991, FTSE MIB: +0.13 % at 39,792, SMI: -0.60 % at 11,906, PSI: -0.89 % at 7,456

SECTORS: Consumer Stpl 0.02%, Telecoms -0.22%, Utilities -0.25%, IT -0.28%, Financials -0.37%, Consumer Disc -0.49%, Industrials -0.60%, Healthcare -0.64%, Energy -1.14%, Materials -1.40%

FTSE 100

Shell (SHEL LN) - Shell has shipped the first LNG cargo from Canada’s inaugural LNG project in British Columbia, aimed at meeting rising Asian demand. Shell holds a 40% stake in the LNG Canada Development project. (Bloomberg)

Standard Chartered (STAN LN) - Liquidators Alsen Chance Holdings, Blackstone Asia Real Estate Partners and Brightstone Jewellery have filed a USD 2.7bln claim against the Co., FT citing source reports that the Co. is alleged to have not conducted expected AML checks. (FT)

UK Retail - UK BRC Shop Price Index YY (Jun) 0.4% (Prev. -0.1%). (Newswires)

UK Tech - The UK is currently planning to keep its digital services tax, according to Bloomberg sources; This Comes after Canadian PM Carney scrapped their own levy to restart trade talks with President Trump’s administration. The US wanted Britain to drop the tax as part of trade talks between the two countries and Starmer’s government had been considering making changes, but the prospect isn’t on the table and hasn’t been for some time. (Newswires)

OTHER UK COMPANIES

BROKER MOVES

DAX

SAP (SAP) - SAP won an early legal victory in the US as a federal judge dismissed antitrust claims by Celonis accusing SAP of blocking data access to favour its Signavio unit, Bloomberg reports. The judge allowed Celonis to revise and refile its claims. (Bloomberg)

Mercedes-Benz (MBG GY) - Co. sees Q2 2025 group sales expected to be roughly flat vs. Q1. (Newswires)

OTHER GERMAN COMPANIES

BROKER MOVES

CAC

Renault (RNO FP) - Renault will report a non-cash loss of EUR 9.5bln on its 35.7% stake in Nissan for H1 2025 after changing its accounting to fair value through equity based on Nissan’s share price. The change will not affect Renault’s net income, dividends, or ongoing operational cooperation with Nissan. (Newswires)

Sodexo (SW FP) - Q3 (EUR): Revenue 6.12bln (prev. 6.10bln Y/Y). Organic Revenue +3.0% (exp. +3.0%). Guides FY25 Organic revenue growth between +3% and +4% and Underlying operating profit margin improvement between +10 and +20 bps, at constant currencies. (Sodexo)

OTHER FRENCH COMPANIES

BROKER MOVES

PAN EUROPE

BBVA (BBVA SM) - Co. maintains bid for Sabadell (SAB SM) despite tighter requirements, according to Bloomberg. (Bloomberg)

China-exposed sectors - Chinese Caixin Manufacturing PMI Final (Jun) 50.4 vs. Exp. 49.0 (Prev. 48.3). (Newswires)

EU-US Trade - The EU is to accept Trump’s universal tariff but seeks key exemptions and it wants the US to commit to lower rates on key sectors such as pharmaceuticals, alcohol, semiconductors and commercial aircraft, while it is pushing for quotas and exemptions to effectively lower a 25% tariff on automobiles and car parts as well as a 50% tariff on steel and aluminium, according to Bloomberg. (Bloomberg)

Italy-US - The US and Italy are forming a task force to promote agricultural trade, with Italy increasing imports of US soybeans to rebalance trade. (Newswires)

BROKER MOVES

SMI

OTHER SWISS COMPANIES

BROKER MOVES

SCANDINAVIA

BROKER MOVES

US

CLOSES: SPX +0.52% at 6,205, NDX +0.64% at 22,679, DJI +0.63% at 44,095, RUT +0.12% at 2,175

SECTORS: Technology +0.98%, Financials +0.86%, Real Estate +0.64%, Health +0.63%, Industrials +0.50%, Consumer Staples +0.45%, Utilities +0.39%, Communication Services +0.34%, Materials +0.10%, Energy -0.66%, Consumer Discretionary -0.86%.

Alphabet (GOOGL) - Google urges EU antitrust regulators to give more guidance on how to comply with EU rules. (Newswires)

Apple (AAPL) - Reportedly weighs powering Siri with Anthropic or OpenAI tech; Apple hasn't made a final decision, and is still considering its own models. (Newswires) Separately, Apple must face a US antitrust lawsuit accusing it of monopolizing the smartphone market, via a court ruling. (Newswires)

Boeing (BA) - Boeing appointed former Lockheed Martin (LMT) CFO Jay Malave as CFO, effective August 15th, replacing Brian West who will stay on as an adviser. The move aligns with CEO Kelly Ortberg’s broader leadership reshuffle amid efforts to restore Boeing’s reputation and increase jet output. Malave left Lockheed Martin in April. (Newswires)

Tesla (TSLA) - US President Trump posts on Truth "Elon Musk knew, long before he so strongly Endorsed me for President, that I was strongly against the EV Mandate...Electric cars are fine, but not everyone should be forced to own one...". CEO Musk says "Cut it all now" in response to a post from US President Trump that DOGE should look at subsidies that Musk's companies receive. (Newswires) Tesla raised the price of the long-range Model 3 in China by RMB 10,000 (USD 1,400) to RMB 285,500, alongside a range boost from 713 km to 753 km and faster 0-100 km/h acceleration (4.4 to 3.8 seconds). The Model Y long-range range also improved to 750 km, with prices unchanged. Delivery wait times were shortened for both models. (Newswires)

Trade - The US is said to narrow trade focus to secure deals, while officials were seeking phased deals with the most engaged countries as they race to find agreements by July 9th, according to FT. The US administration was still considering imposing tariffs on critical sectors as the tariff deadline approaches. (FT)

01 Jul 2025 - 06:48- Research Sheet- Source: Newsquawk