* European stocks fall
* STOXX set to end six-session winning streak
* U.S. may impose 10 pct tariffs on $200 bln of Chinese goods
LONDON, July 11 (Reuters) - Welcome to the home for real-time coverage of European equity
markets brought to you by Reuters stocks reporters and anchored today by Kit Rees. Reach her on
Messenger to share your thoughts on market moves: email@example.com
TELECOMS: A PLACE TO HIDE FROM TRADE WARS? (1051 GMT)
There's a lot of talk about how to build a defensive portfolio as the summer is shaping up
as a hot one on the trade war front.
One possible sector on the European stock market to consider for its defensive qualities is
telecoms, although its growth outlook remains challenged by continued competition.
"The sector has defensive characteristics (limited sensitivity to GDP growth, digitalization
driven cost cutting) and valuation is attractive with low but sustainable EBITDA and OpFCF
growth," they say in a note.
"After two and a half years of underperformance these characteristics could prove attractive
if concerns about global growth emerge," they add.
Europe's telecoms index has done slightly better then the broader market over the
last month, although it has clearly underperformed since the start of 2016, as you can see.
IT'S COMING HOME TO FRENCH TV, EVIL KNIEVIL BETS AGAINST ENGLAND (AGAIN)(1037 GMT)
Among the handful of France's biggest caps sailing through the trade war storm in
clear World Cup winner.
Sunday now that Les Bleus beat Belgium's Red Devils to make it to the final, TF1 is set to see
Still on the soccer front, our Brussels bureau reports that commuters in the Belgian capital
were treated to a French soccer anthem this morning after the city's public transport lost a bet
with its counterpart in Paris.
While on this side of the Channel, England's "It's coming home" World Cup anthem is
everywhere, we, sadly for English fans, have to report a sinister omen ahead of their game
You may remember that about two weeks ago, we told you that veteran London trader Simon
Cawkwell - nicknamed Evil Knievil - had bet on Belgium to beat England.
That gamble paid off for Cawkwell, who said he made 25,000 pounds when Belgium beat England
in the group stages.
Evil Knievil, who won his nickname from successful bets on the communications firm of late
tycoon Robert Maxwell, the failed British bank Northern Rock and Brexit, is now preparing to bet
in the range of 20,000 pounds against the Three Lions who face Croatia this evening.
"The whole country appears to have gone potty. I just feel I have to bet against England,"
he just told us.
Cawkwell added he had also made money from specialist bets offered by Sporting Index dubbed
"Shocking Decision, Ref!" - which allowed gamblers to predict the amount of goals that would end
up being cancelled by VAR (Video Assistant Referee).
Cawkwell rightly predicted that hardly any goals would be scrubbed because of VAR, with only
one cancelled so far in the tournament.
(Sudip Kar-Gupta, Julien Ponthus, Robert-Jan Bartunek and Helen Reid)
OPENING SNAPSHOT: NOT A SPAT, NOT A DISPUTE (0728 GMT)
"Let me put this in simple language for the markets to try to understand: 'This is a
T-R-A-D-E W-A-R. Not a spat'," - Rabobank Global Daily.
Accordingly European bourses are tanking as the trade war negative vibes spread from Asia.
WHAT'S ON THE RADAR AHEAD OF EUROPE'S OPEN (0638 GMT)
It's looking like a gloomy start to European equity trading this morning after the U.S. said
that it may impose tariffs on an additional $200 billion worth of Chinese goods, sending
European stocks futures 0.5-0.8 percent lower.
While the STOXX 600 has risen for the past six sessions, this is likely to come to an end
today as tariffs talk knocks risk appetite. However, the upcoming earnings season could provide
Today a number of British companies have given trading updates. Burberry's Q1 sales rose in
come in ahead of consensus.
And M&A news is never lacking these days after Rupert Murdoch's 21st Century Fox said it had
Here are this morning's key headlines:
Burberry first quarter sales rise 3 pct, in line with forecasts
UK recruiter PageGroup says FY profit to beat estimates
UK housebuilder Barratt sees 9 pct FY pretax profit growth
Britain's NEX Group says first-quarter revenue rose 7 pct
Wetherspoon comparable sales rise but cautions on rising costs
Electrical upset triggers flaring at Shell Deer Park complex -sources
M&S chairman tells investors there's no quick fix
EUROPEAN STOCKS FUTURES ON THE BACK FOOT (0612 GMT)
The fresh news on the trade front is weighing on European stocks futures, which have opened
lower. So it looks like the STOXX's six-day winning streak is going to come to an end.
Here's your snapshot:
EUROPEAN COMPANIES: WHO'S REPORTING WHAT (0555 GMT)
While European Q2 earnings are yet to kick off in earnest, we've got a few updates today
with a trading statement from luxury retailer Burberry and preliminary results from
troubled software company Micro Focus.
Here's the full list below:
BDEV.L Barratt Developments PLC Trading Statement Release
KLED.ST Q2 2018 Kungsleden AB Earnings Release
KVAER.OL Q2 2018 Kvaerner ASA Earnings Release
COMH.ST Q2 2018 Com Hem Holding AB Earnings Release
OMVV.VI Half Year 2018 OMV AG Trading Update
FOE.OL Q2 2018 Fred Olsen Energy ASA Earnings Release
PAGE.L Q2 2018 Pagegroup PLC Trading Statement Release
BRBY.L Q1 2019 Burberry Group PLC Trading Statement Release
MCRO.L Preliminary 2018 Micro Focus International PLC Earnings Release
ORX.ST Q2 2018 Orexo AB Earnings Release
KOF.PA Q2 2018 Kaufman & Broad SA Earnings Release
MORNING CALL: EUROPEAN SHARES SEEN OPENING LOWER (0533 GMT)
Good morning. An escalation in the U.S.-China trade dispute is set to knock back European
shares this morning, after the Trump administration said it would slap 10 percent tariffs on an
extra $200 billion worth of Chinese imports.
"While this marks a significant escalation in the US-China trade dispute, we believe a
negotiated settlement is still likely to happen before the new tariffs are implemented,"
Nevertheless, financial spreadbetters expect Britain's FTSE 100 to fall 0.5 percent,
Germany's DAX is seen retreating 0.6-0.7 percent and France's CAC is seen opening 0.5-0.6
The U.S. threat of additional tariffs hit Chinese shares, though Wall Street ended in
positive territory with the S&P 500 reaching its highest close since the February sell-off.
(Reporting by Danilo Masoni, Helen Reid, Kit Rees and Julien Ponthus)