Newsquawk Daily European Equity Opening News - 9th July 2024

9th July 2024

ASIA

APAC stocks were mixed as the region only partially sustained the positive mood seen in the US where the S&P 500 and Nasdaq 100 extended on record highs, but with upside limited amid a lack of major catalysts ahead of upcoming risk events. ASX 200 traded higher as tech, telecoms and real estate stocks benefitted from slightly softer yields. Nikkei 225 extended on its all-time highs with the advances led by electronic and tech-related stocks. Hang Seng and Shanghai Comp. were subdued as the former continued its recent downward momentum to its lowest in more than two months, while sentiment in the mainland was clouded amid lingering trade frictions and ongoing debt-related concerns.

EUROPEAN CLOSES

CLOSES: DAX: flat at 18,489, CAC 40: -0.63% at 7,627, FTSE 100: -0.13% at 8,193, IBEX 35: flat at 11,022, FTSE MIB: +0.17% at 34,047, SMI: +0.27% at 12,050, Euro Stoxx 50: -0.16% at 4,972.

SECTORS: Healthcare 0.40%, Industrials 0.10%, Financials 0.09%, IT 0.04%, Consumer Stpl 0.02%, Telecoms -0.06%, Materials -0.17%, Consumer Disc -0.63%, Utilities -0.75%, Energy -1.21%

FTSE 100

HSBC (HSBA LN) – Co. is looking to name its next CEO; the bank is currently looking at payout options and new roles for executives to retain those who miss out on the CEO position, according to Reuters. (Reuters)

Shell (SHEL LN) - Co. said it will start the process of redeploying personnel to Perdido and Whale assets beginning on Tuesday following hurricane Beryl. (Newswires)

UK Retail - UK BRC Retail Sales YY (Jun) -0.5% (Prev. 0.4%). UK BRC Total Sales YY (Jun) -0.2% (Prev. 0.7%). Barclays UK June Consumer Spending fell 0.6% Y/Y which was the first decline since February 2021. (Newswires)

OTHER UK COMPANIES

BROKER MOVES

DAX

BMW (BMW GY) – UAW members ratified unprecedented contract at BMW in Lehigh Valley; workers voted to ratify new contract securing raises of up to 33%, ending two-tier wage system over the life of agreement. (Newswires)

OTHER GERMAN COMPANIES

BROKER MOVES

BMW (BMW GY) upgraded to Buy from Hold at HSBC

CAC

Airbus (AIR FP) - June deliveries 67 (vs. 53 in May), deliveries to date 323, gross orders 73. Booked 327 gross aircraft orders in January-June. Booked 310 net aircraft orders. Delivered 21 A350 aircrafts. Delivered 114 A320NEO aircrafts. Delivered 147 A321NEO aircraft. (Newswires)

BNP Paribas (BNP FP) – Collaborates with Quantumstreet AI to launch cross-asset trends and AI indexes in Brazil. (Newswires)

Dassault Systemes (DSY FP) – Q2 (EUR): Revenue 1.49bln (exp. 1.55bln), EPS 0.3 (exp. 0.3). Says revenue shortfall estimated at EUR 30mln due to large transaction delays. Cuts 2024 target: EPS growth range 8-11% Y/Y (prev. guided 10-12% Y/Y). FY Rev. growth 6-8%. Says it updated FY24 objectives to integrate volatility factors. (Newswires)

Sanofi (SAN FP)/Kymera Therapeutics (KYMR) - Kymera announced that Sanofi plans to expand Phase 2 trials for KT-474 in Hidradenitis Suppurativa and Atopic Dermatitis, following positive preliminary safety and efficacy data. This expansion aims to accelerate timelines and inform future registrational trials. (Newswires)

Teleperformance (TEP FP) – Co. received a Gold award for best AI-driven tech innovation. (Newswires)

OTHER FRENCH COMPANIES

Amundi (AMUN FP) – Co. and Victory Capital signed a definitive agreement to become strategic partners. Transaction expected to be completed late Q4/24 or early 2025. (Newswires)

Casino (CO FP) – Sherpa Cooperative and Casino renew partnership for the supply of 119 Sherpa stores; the contract will take effect on Oct 1 2024. (Newswires)

Exclusive Networks (EXN FP) - CD&R and Permira reportedly nearing a buyout an offer for Exclusive Networks, according to Bloomberg. (Newswires)

Verallia (VRLA FP) – Cuts 2024 guidance (EUR): Adj. EBITDA 866mln (prev. guided 1bln). Recovery is slower than anticipated and estimate that activity in H2 should continue to improve at a slower pace than initially expected. Will provide further information on 25th July. (Newswires)

BROKER MOVES

Credit Agricole (ACA FP) upgraded to Equal Weight from Underweight at Morgan Stanley; MS said that whilst revenues are expected to remain depressed, costs can continue to trend higher. Recent underperformance due to the French political landscape has also been cited.

PAN EUROPE

Grifols (GRF SM) - Brookfield (BN) is considering investing more than EUR 5bln in Grifols as part of a possible takeover bid, according to Reuters sources. (Newswires)

Phillips (PHIA NA) - Philips North America LLC Updates Instructions For Sense Xl Torso (1.5T & 3.0T) Coils Due To Potential Issue Where Coil Heats Up During MRI Scans. (Phillips)

BROKER MOVES

Prysmian (PRY IM) upgraded to Buy from Hold at Jefferies

SMI

Logitech International (LOGN SW) - The Board recommended a vote for the re-election of Wendy Becker as Chairperson of the Board. (Newswires)

Roche (ROGN SW) - Announced reintroduction of Susvimo (ranibizumab injection) 100 mg/ml for intravitreal use via ocular implant for treatment of people in the US. FDA has approved updates to Susvimo, which will be available to US retina specialists and patients with NAMD in the coming weeks. (Newswires)

OTHER SWISS COMPANIES

BROKER MOVES

SCANDINAVIA

Skanska (SKAB SS) – Signed additional contract for Fitout in USA for USD 49mln. (Newswires)

BROKER MOVES

Handelsbanken (SHBA SS) upgraded to Buy from Hold at HSBC

US

CLOSES: SPX +0.10% at 5,572, NDX +0.23% at 20,439, DJI -0.08% at 39,344, RUT +0.59% at 2,038.

SECTORS: Technology +0.72%, Materials +0.28%, Real Estate +0.17%, Industrials +0.13%, Utilities +0.07%, Consumer Discretionary -0.01%, Health -0.10%, Financials -0.15%, Consumer Staples -0.21%, Energy -0.59%, Communication Services -1.01%.

Nike (NKE) - Nike rehired Tom Peddie, who had worked at Nike for 30yrs prior to retiring, to improve retail sales amidst strained relationships with sneaker sellers, Bloomberg. Peddie returns as vice president of marketplace partners to mend ties and boost performance. (Newswires)

Tech - Microsoft (MSFT), Dell (DELL) and HP (HPQ) are reportedly among makers highlighting new AI pcs; only 3% of PCs shipped in 2024 will be optimized for AI, according to Bloomberg. (Newswires)

US Stocks - Morgan Stanley's Chief Investment Officer Mike Wilson says a 10% decline in the S&P 500 before the US election is highly likely. (Newswires)

09 Jul 2024 - 06:50- EquitiesExclusive- Source: Newsquawk