LIVE MARKETS-Opening snapshot: European stocks progress as focus turns to earnings
April 17 - Welcome to the home for real-time coverage of European equity markets brought to
you by Reuters stocks reporters and anchored today by Julien Ponthus. Reach him on Messenger to
share your thoughts on market moves: julien.ponthus.thomsonreuters.com@reuters.net
OPENING SNAPSHOT: EUROPEAN STOCKS PROGRESS AS FOCUS TURNS TO EARNINGS (0719 GMT)
It's a stronger open for Europe today with gains across benchmarks, though the FTSE 100 is
lagging its peers on the continent, which could be partly down to sterling climbing to its
highest level since the Brexit vote.
Financials and materials are leading the charge on the STOXX as risk appetite returns with a
renewed focus on corporate earnings.
Top of the charts today is Intrum Justitia, up 12 percent after bidding for $13
billion of Intesa Sanpaolo's bad debts. The Italian bank itself is up just 0.7 percent.
Bayer leads the DAX, up 2.1 percent after selling a 3.6 percent stake to
Singapore's state investment company Temasek.
Polymetal International, which was hit by Russia fears yesterday, is recovering to
trade up 4 percent, while ABF is up 3.6 percent after results.
Some big movers in UK mid-caps too: emerging markets asset manager Ashmore is up
6.8 percent at the top of the FTSE 250 after its results, while strong earnings, driven by
demand for trainers and track pants, are boosting JD Sports shares up 6.5 percent.
(Helen Reid)
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WHAT'S ON OUR RADAR BEFORE THE OPEN (0640 GMT)
European stocks are set to open in positive territory on Tuesday and to catch up somewhat
with Wall Street and Asia after a weak session on Monday.
Sentiment is back to risk-on even if caution is still warranted due to the ongoing tensions
in the geopolitical arena with the aftermath of the U.S. missile strike on Syria and tensions
still high with Russia.
On the macro front, there’s likely to be more "peak growth" for the Euro zone headlines with
Germany ZEW Economic Sentiment expected lower for April.
No major corporate news but AGM season is here and there could be a few interesting ones
such as France’s Vinci and L'Oreal, Italy’s Assicurazioni Generali or TomTom in the
Netherlands which also released Q1 above estimate.
On the earning’s front French supermarket retailer Casino posted a 3.1 percent
rise in first-quarter sales on Tuesday that reflected stronger sales at its Geant Casino
hypermarkets and a resilient performance in Brazil despite food inflation.
In the UK, Associated British Foods reported a 1 percent fall in first-half profit,
with a resilient performance at its Primark fashion business offset by a previously flagged
reduction in sugar revenues.
Swiss construction chemicals group Sika reported first-quarter sales slightly above
expectations.
On the M&A front, Lagardere, the French media group whose assets include Paris
Match magazine and Europe 1 radio is selling some eastern European radio assets to Czech Media
Invest.
Italy's Atlantia said on Monday it would sell a 29.9 percent stake in Spanish
telecoms mast group Cellnex to Edizione, which is the Benetton family holding company and also
its controlling shareholder.
In a headline which might reassure investors further that NPLs are no longer a bogeyman the
Italian banking sector, Sweden's Intrum Justitia has filed a binding bid for Intesa
Sanpaolo's debt collection unit in a 3.6 billion euro deal that rids the Italian bank
of 10.8 billion euros in bad debts.
In the UK, Gatemore Capital Management has built a stake in Wincanton and called on
the British logistics company to break itself up by selling one of its two divisions, according
to a letter sent by Gatemore to its own investors.
Here are some of the main headlines on our radar:
Intesa to shed $13 bln in bad debts with Intrum deal
Singapore's Temasek hikes Bayer stake in $3.7 bln share sale
Navigation firm TomTom posts higher Q1 core earnings, beats estimate
France's Lagardere sells eastern European radio assets to Czech Media Invest
Primark-owner AB Foods' first-half profit held back by sugar
Alexandre de Rothschild to take over at helm of Rothschild bank
Retailer Casino's Q1 sales rise as French hypermarkets improve
Swiss group Sika Q1 sales scrape past estimates amid Saint-Gobain battle
Trump administration delays new sanctions on Russia -official
UK's JD Sports profit surges on demand for trainers, track pants
(Julien Ponthus)
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EUROPE SET TO CATCH UP WITH WALL STREET, ASIA (0607 GMT)
Futures are trading up, confirming earlier indications from financial spreadbetters that
European bourses are set to somewhat catch up with Wall Street and Asia after Monday's weak
session.
Here's how it's looking at the moment:
(Julien Ponthus)
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MORNING CALL: EUROPEAN BOURSES SEEN RISING AT THE OPEN (0524 GMT)
European bourses missed out last session, losing some ground to Wall Street and Asia where
the mood was more optimistic thanks notably to data showing China's economy grew a little faster
than expected.
Some catching appears in order.
According to CMC Markets, the London's FTSE 100 is expected to open 12 points higher at
7,210 points, Germany's DAX 42 points higher at 12,453 points and Paris' CAC 40 17 points higher
at 5,330 points.
(Julien Ponthus)
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