Newsquawk Daily European Equity Opening News

26th May 2023

ASIA

Asia-Pac stocks traded somewhat mixed following the mild positive bias stateside where the tech sector surged on Nvidia’s blockbuster report and with risk appetite underpinned amid firm US data and progress in debt ceiling talks. Nonetheless, officials have yet to reach a deal although are said to be nearing an agreement which would raise the debt ceiling for two years and cap spending on most items other than military and veterans. ASX 200 (+0.2%) was indecisive with price action rangebound and risk sentiment contained by disappointing Retail Sales data which printed flat. Nikkei 225 (+0.7%) outperformed and reclaimed the 31,000 level with the index lifted by recent currency weakness and mostly softer-than-expected Tokyo CPI, while tech stocks benefitted from the ripple effect which stemmed from the rally in US counterparts. Shanghai Comp. (-0.1%) was subdued amid the closure of Hong Kong markets and Stock Connect trade but with the downside cushioned after the meeting between the US and China’s commerce chiefs where concerns were raised about recent actions taken against US companies in China, as well as US chip policy and export curbs.

EUROPEAN CLOSES

BOURSES: Euro Stoxx 50 +0.14% at 4,269, FTSE 100 -0.74% at 7,570, DAX 40 -0.31% at 15,793, CAC 40 -0.33% at 7,229, FTSE MIB -0.44% at 26,408, IBEX 35 -0.52% at 9,116, SMI -0.51% at 11,325.

SECTORS: IT 2.32%, Consumer Disc 0.26%, Industrials 0.22%, Financials 0.05%, Consumer Stpl -0.61%, Materials -0.65%, Healthcare -0.87%, Utilities -1.48%, Telecoms -1.93%, Energy -2.65%,

FTSE 100

Glencore (GLEN LN) - Nippon Steel remains in discussion with Teck Resources despite the Glencore bid. Elsewhere, Co's Viterria is in talks to merge with Bunge (BG), via Reuters citing sources. (Newswires/Reuters)

IAG (IAG LN) - British Airways is working to resolve a technical issue with its IT system, which has had am impact on multiple flights around Heathrow. (Newswires)

OTHER UK COMPANIES

BROKER MOVES

DAX

Prosiebensat 1 Media SE (PSM GY) - Q1 (EUR): Revenue 816mln (exp. 825mln), adj. EBITDA 53mln (exp. 72mln), adj. Net -15mln (exp. -2mln). Confirms FY23 forecasts. (Newswires))

OTHER GERMAN COMPANIES

BROKER MOVES

K+S (SDF GY) downgraded to Add from Buy at Baader Helvea

CAC

Casino (CO FP) - Les Mousquetaires is to take a minority stake in the future financing round, equity investment of EUR 100mln. Group has undertaken to acquire on Casino's request additional volume of stores representing EUR 461mln in adj. Sales. Additionally, Les Mousquetaires is purchasing EUR 1.05bln worth of sales outlets from Casino. (Newswires)

Sanofi (SAN FP) - Board has appointed Oudea as Chairman, succeeding Weinberg. (Newswires)

OTHER FRENCH COMPANIES

Innate Pharma. (IPH FP) - Preliminary data published show SAR’579 was well tolerated and induced 3 complete responses in the 8 patients at 1 mg/kg as highest dose; a trifunctional anti-CD123 NKp46×CD16 NK cell engager from a joint research collaboration between Innate Pharma and Sanofi (SAN FP), now under development by partner Sanofi. (Innate Pharma.)

Orpea (ORP FP) - Signed an agreement with Adoro to sell a retirement home in Riga. (Newswires)

Valneva (VLA FP) - EMA publishes clinical data for COVID vaccine Valneva, supporting its use as a booster. (EMA)

BROKER MOVES

PAN EUROPE

Andritz (ANDR AV) - To supply three aluminium alloy process lines to Shandong Nanshan Aluminium, from 2025. (Newswires)

BROKER MOVES

Adyen (ADYEN NA) initiated with Outperform at Bernstein

CaixaBank (CABK SM) initiated with Overweight at Barclays

SMI

OTHER SWISS COMPANIES

Dufry (DUFN SW) - Co. has re-opened full mandatory takeover bid on Autogrill (AGL IM) which will end on June 1st. (Newswires)

BROKER MOVES

SCANDINAVIA

Genmab (GMAB DC) - Multiple abstracts evaluating epcoritamab, a T-cell engaging bispecific antibody administered subcutaneously, will be presented at the 2023 American Society of Clinical Oncology (ASCO) Annual Meeting. (Genmab)

Orsted (ORSTED DC) - To purchase a 50% stake in an uncontracted offshore wind seabed from Eversource Energy for USD 625mln. (Newswires)

BROKER MOVES

GN Store Nord (GN DC) maintained with Overweight at JPMorgan

Tele2 AB (TEL2A SS) upgraded to Buy from Neutral at CitiGroup

US

CLOSES: SPX +0.88% at 4,151, NDX +2.46% at 13,938, DJIA -0.11% at 32,764, RUT -0.70% at 1,754.

SECTORS: Technology +4.45%, Communication Services +0.43%, Industrials +0.3%, Real Estate +0.28%, Financials +0.03%, Materials -0.38%, Consumer Discretionary -0.52%, Consumer Staples -0.77%, Health -1.04%, Utilities -1.38%, Energy -1.89%.

Marvell Technology Inc (MRVL) Q1 2024 (USD): Adj. EPS 0.31 (exp. 0.29), Revenue 1.32bln (exp. 1.3bln). +12% after-hours

Ulta Beauty Inc (ULTA) Q1 2023 (USD): EPS 6.88 (exp. 6.87), Revenue 2.63bln (exp. 2.62bln); comp. sales +9.3% (exp. +8.85%) -8% after-hours

26 May 2023 - 06:50- Research Sheet- Source: Newsquawk