Newsquawk Daily European Equity Opening News - 28th May 2025

ASIA

APAC stocks were mostly higher following the rally on Wall St where sentiment was underpinned by strong consumer confidence and as US participants took their first opportunity to react to President Trump's tariff delay for the EU. ASX 200 lacked conviction after mixed data including firmer-than-expected CPI data and disappointing Construction Work. Nikkei 225 gapped higher at the open following the recent currency weakness and the drop in super-long JGB yields. Hang Seng and Shanghai Comp traded indecisively after mixed earnings releases and a lack of major fresh macro drivers.

EUROPEAN CLOSES

CLOSES: DAX: +0.83% at 24,226, FTSE 100: +0.69% at 8,778, CAC 40: -0.02% at 7,827, Euro Stoxx 50: +0.43% at 5,418, AEX: +0.56% at 930, IBEX 35: +0.13% at 14,240, FTSE MIB: +0.34% at 40,125, SMI: +0.18% at 12,340, PSI: -0.02% at 7,371.

SECTORS: IT 1.35%, Industrials 0.69%, Energy 0.59%, Financials 0.26%, Consumer Disc 0.23%, Consumer Stpl 0.08%, Materials 0.07%, Healthcare 0.06%, Telecoms -0.03%, Utilities -0.52%

FTSE 100

British American Tobacco (BATS LN) - Co. said it intends to sell a 2.3% stake in India's ITC, in a block trade worth USD 1.4bln. (Newswires)

Smith+Nephew (SN/ LN) - Co. awarded USD 75mln contract by US DoD for Negative Pressure Wound Therapy Systems. (Newswires)

UK Homebuilders - The UK government will ease planning hurdles for small housebuilders to support PM Starmer’s goal of 1.5mln new homes. Minor developments of up to nine homes will face simpler planning and faster decisions, while sites with 10-49 homes will see reduced costs. (Newswires)

OTHER UK COMPANIES

BROKER MOVES

National Grid (NG/ LN) downgraded to Sector Perform from Outperform at RBC

DAX

OTHER GERMAN COMPANIES

Aroundtown (AT1 GY) - Q1 (EUR): Revenue 378mln (exp. 387mln). FY25 guidance confirmed. Board decided not to recommend a dividend for 2024 at AGM in June. Disposal of around EUR 330mln signed but not closed. (Newswires)

BROKER MOVES

E.On (EOAN GY) downgraded to Neutral from Buy at Citi

CAC

Air Liquide (AI FP) - Acquired two outpatient intensive care companies in Germany. (Newswires)

Airbus (AIR FP) - Air Niugini has signed a firm order with Airbus for two more latest generation single-aisle A220-100. (Newswires)

OTHER FRENCH COMPANIES

Remy Cointreau (RCO FP) - Co. names Franck Marilly as CEO, effective June 25, 2025. (Newswires)

Soitec (SOI FP) - FY (EUR): Revenue 891mln (exp. 897mln), EBITDA Magin 33.5% (exp. 33%). 2026: Revenue expected to fall 20% Y/Y. Withdraws medium-term ambition to reach revenue target of USD 2bln. (Newswires)

BROKER MOVES

PAN EUROPE

Airliners / Lufthansa (LHA GY) - Portugal says TAP is strategic rather than financial as it moves forward with privatisation plans. Minister Antonio Leitao Amaro called the airline a key national asset and confirmed the sale process is ongoing but gave no timeline for completion. (Newswires)

Arcadis (ARCAD NA) - Appointed to support design for a USD 2.3bln project in the US. (Newswires)

BBVA (BBVA SM) - Co. to invest over MXN 100bln in Mexico between 2025-2030. (Newswires)

Banco Sabadell (SAB SM), BBVA (BBVA SM) - Spain’s government will conduct a further review of BBVA’s hostile takeover bid for Banco Sabadell, focusing on general-interest concerns beyond competition, such as sector impact, territorial cohesion, and social policy, potentially prolonging the yearlong acquisition process, WSJ reports. (WSJ)

Eni (ENI IM) - Moody's changes outlook of Eni to Positive. (Newswires)

Pirelli (PIRC IM) - Bloomberg reports that the US has warned Pirelli on possible sale restrictions amid concerns related to its Chinese investors. (Bloomberg)

Santander (SAN SM) - Santander is expanding its Beyond Wealth consultancy for super-rich clients to Miami, Switzerland, and Brazil after launching in Spain. The Spanish office, with 10 employees, charges annual fees starting at EUR 100,000 for its multifamily office services. (BBG)

UniCredit (UCG IM) - La Repubblica reports that the Italian Government is now ready to review its golden power but there still remains doubts regarding loans and Russia. (La Repubblica)

BROKER MOVES

SMI

Kuehne+Nagel (KNIN SW) - Co. and Natilus partner to bring blended-wing-body aircraft to commercial air freight. (Newswires)

OTHER SWISS COMPANIES

BROKER MOVES

SCANDINAVIA

BROKER MOVES

US

CLOSES: SPX +1.90% at 5,913, NDX +2.14% at 21,364, DJI +1.67% at 42,297, RUT +2.33% at 2,087.

SECTORS: Consumer Discretionary +3.04%, Technology +2.55%, Communication Services +2.14%, Industrials +1.79%, Financials +1.79%, Materials +1.68%, Real Estate +1.65%, Health +1.39%, Consumer Staples +0.92%, Energy +0.84%, Utilities +0.77%

Apple (AAPL) - Apple will launch a dedicated gaming app later this year, preinstalled on iPhone, iPad, Mac and Apple TV, Bloomberg reports. The app will act as a central hub for titles, in-game achievements, leaderboards and messaging, aiming to boost Apple’s gaming presence ahead of Nintendo’s (NTDOY) expected Switch 2 release. (Bloomberg)

GM (GM) - Co. to invest USD 880mln for engine production at New York facility, according to sources cited by Reuters. (Reuters)

Nvidia’s (NVDA) - Suppliers resolve AI ‘rack’ issues in boost to sales, via FT "Nvidia’s suppliers are accelerating production of its flagship AI data centre “racks” following a resolution of technical issues that had delayed shipments, as the US chipmaker intensifies its global sales push." Nvidia's (NVDA) partners — including Foxconn (2354 TT), Inventec (8201 TT), Dell (DELL) and Wistron (3231 TT), have reportedly made a series of breakthroughs that have allowed them to start shipments of Nvidia’s highly anticipated “Blackwell” AI servers, according to FT citing sources. (FT)

28 May 2025 - 06:49- Research Sheet- Source: Newsquawk