Newsquawk Daily European Equity Opening News - 22nd November 2024

ASIA

APAC stocks mostly sustained the momentum from Wall St where stocks ultimately gained after whipsawing on geopolitical-related headlines and amid mixed data, although pressure was seen in China after weak earnings and an underwhelming briefing from Beijing. ASX 200 rallied with energy leading the advances seen in nearly all sectors aside from tech, while sentiment was also unfazed by the contractions across Australia flash PMI figures. Nikkei 225 gained following confirmation from Japanese PM Ishiba of a JPY 39tln stimulus package, while the latest inflation data from Japan printed mostly in line with expectations and is unlikely to have any ramifications for BoJ policy. Hang Seng and Shanghai Comp were pressured with Baidu the worst performer in the Hang Seng Index following a decline in its profit and revenue, while sentiment was also not helped by the PBoC's net liquidity drain and after comments from China's Vice Commerce Minister on foreign trade failed to inspire.

EUROPEAN CLOSES

CLOSES: DAX: +0.75% at 19,147, FTSE 100: +0.79% at 8,149, CAC 40: +0.21% at 7,213, Euro Stoxx 50: +0.59% at 4,757, AEX: +0.88% at 866, IBEX 35: +0.19% at 11,612, FTSE MIB: +0.20% at 33,295, SMI: +0.51% at 11,598, PSI: +0.12% at 6,360

SECTORS: IT 1.53%, Energy 1.18%, Financials 0.81%, Industrials 0.80%, Materials 0.24%, Healthcare 0.10%, Consumer Disc 0.07%, Consumer Stpl -0.06%, Utilities -0.08%, Telecoms -0.24%

FTSE 100

BP (BP/ LN) - And partners will invest USD 7bln in Indonesia's carbon capture project with the project expected to unlock 3tln cubic feet of additional gas resources, while production at the Ubadari field in Indonesia's Papua will start in 2028. (Newswires)

Lloyds (LLOY LN) - Fitch upgrades Lloyds to "A+"; outlook stable. (Newswires)

UK Consumer Confidence - UK GfK Consumer Confidence (Nov) -18.0 vs. Exp. -22.0 (Prev. -21.0)

OTHER UK COMPANIES

BROKER MOVES

JD Sports (JD/ LN) downgraded to Neutral from Overweight at JP Morgan; cuts PT to 105p (prev. 171p) as a reminder, co. shares slipped 15% to 96.10p in the prior session after a profit warning

DAX

Volkswagen (VOW3 GY) / Northvolt - Volkswagen has taken note of the fact that Northvolt has filed for Chapter 11 proceedings. (Newswires)

OTHER GERMAN COMPANIES

BROKER MOVES

CAC

Thales (HO FP) - UK fraud agency opens bribery investigation of Thales, via FT. (FT)

OTHER FRENCH COMPANIES

BROKER MOVES

PAN EUROPE

Autos - Group representing major automakers (GM, F, Stellantis (STLAM IM/STLAP FP), TSLA, Volkswagen (VOW3 GY) urges US President-elect Trump to preserve EV tax and production tax credits and take steps to boost self-driving vehicles, via a letter. (Newswires)

Colonial (COL SM) - Deutsche Bank begins ABB process of up to 5% of Colonial; sellers contemplating selling up to 31.6mln shares. (Newswires)

Santander (SAN SM) - Fitch affirms Santander UK at "A"; outlook stable. (Newswires)

BROKER MOVES

Galp Energia (GALP PL) initiated with Buy at Berenberg

Reply (REY IM) downgraded to Hold from Buy at Berenberg

SMI

OTHER SWISS COMPANIES

Software One (SWON SW) - Completes its CHF 70mln share buyback programme. (Newswires)

Ypsomed (YPSN SW) - Co. to make injection pens for Novo Nordisk's (NOVOB DC) CagriSema, according to Reuters citing sources; report adds that the contract was signed last September. (Reuters)

BROKER MOVES

Chocoladefabriken Lindt & Spruengli (LISP SW) upgraded to Add from Reduce at Baader Helvea

SCANDINAVIA

Nokia (NOKIA FH) - Completed share buyback program launched in March. (Newswires)

BROKER MOVES

US

CLOSES: SPX +0.53% at 5,949, NDX +0.36% at 20,741, DJIA +1.06% at 43,870, RUT +1.65% at 2,364

SECTORS: Communication Services -1.73%, Consumer Discretionary -0.3%, Technology +0.56%, Real Estate +0.64%, Energy +0.82%, Health +0.83%, Materials +1.2%, Industrials +1.23%, Consumer Staples +1.24%, Financials +1.27%, Utilities +1.75%.

Google (GOOGL) - OpenAI reportedly considers taking on Google with browser, according to The Information, adds OpenAI has discussed powering AI features on devices made by Samsung (005930 KS)

Gap (GAP) - Shares surged 15.7% afterhours following a Q3 earning beat, and raised guidance. Q3 EPS 0.72 (exp. 0.58), Q3 revenue USD 3.80bln (exp. 3.81bln), Q1 comp sales +1% (exp. +1.7%); Q3 operating margin 9.3% (exp. 8.2%). Exec said the holiday season was off to a strong start. Raises FY24 revenue growth outlook: sees FY net sales increasing +1.5-2.0% (prev. guided 'up slightly'), and sees FY gross margins rising around +220bps (prev. saw +200bps). (Newswires)

Intuit Inc (INTU) - Q1 2025 (USD): Adj. EPS 2.50 (exp. 2.35), Revenue 3.28bln (exp. 3.14bln). (Newswires)

Procter & Gamble (PG) - Targets long-term organic sales to grow ahead of the market, Core EPS growth in the mid-to-high single digits and adj. FCF productivity of 90%+, via Investor Day slides. (Newswires)

Microsoft (MSFT) - Urges US President-elect Trump to push harder against Russia and China hacks, according to FT. (FT)

22 Nov 2024 - 06:44- Research Sheet- Source: Newsquawk