LIVE MARKETS-What's on the radar for the open
* European stocks futures edge lower
* Trade tensions weigh on Wall St
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WHAT'S ON THE RADAR FOR THE OPEN (0644 GMT)
Currency falls and trade war pressures sent Wall Street and Asian shares down overnight and
Europe was also set to fall on Friday, with futures down around 0.2 percent.
Despite the simmering tensions, pan-European stocks and Germany’s DAX – which is highly
exposed to trade and China - were set for a third straight week of gains as earnings streamed
in, taking the focus away from trade tensions.
Car parts maker Faurecia and aerospace & defence firm Thales are both seen rising around 3
percent after stronger profits, while price pressures on spirits maker Remy Cointreau are likely
to rein back its gains after results, with shares indicated up 1 percent.
Food processing firm Koninklijke Wessanen is seen falling 4 to 10 percent, after its
like-for-like growth disappointed.
And trade tariff effects were one factor cited by Belgian steel wire maker Bekaert for its
big profit warning. It now expects first-half profit to be 20 percent below analysts’ estimates
– and is likely to see a sharp share price drop as a result.
Another profit warning from Norwegian sports retailer XXL, indicated down 10 percent at the
open.
(Helen Reid)
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FUTURES DOWN AS TRADE CLOUDS RETURN (0611 GMT)
Futures are pointing to modest losses across European benchmarks today after a slide in Wall
Street and Asian stocks as trade worries dent the yuan and Trump talks down the dollar.
Germany's DAX, which has become somewhat of a European bellwether for trade tensions, should
hold on to its third straight week of gains however - it's currently up 1.2 percent on the week.
Apart from earnings streaming in, another event on the radar is EU chief negotiator Michel
Barnier's presentation after he meets the European Affairs Ministers Council to discuss the
latest developments in fraught negotiations.
"We expect the discussion will likely focus on the White Paper published by the UK
government last week, potentially offering the first official EU response to the UK proposals,"
write Societe Generale analysts.
(Helen Reid)
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EARLY MORNING HEADLINE ROUND-UP (0549 GMT)
Earnings will drive the day again today with car parts maker Faurecia, aerospace and defence
firm Thales and spirits group Remy Cointreau among notable results. And the U.S. Department of
Commerce hearing on car tariffs yesterday saw the auto industry rally together to blast the levy
plans.
French group Thales posts higher H1 profits, says Gemalto deal on track
Car parts maker Faurecia posts higher H1 profit, raises outlook
Remy Cointreau's Q1 sales growth curbed by impact of price increases
Sweden's Telia buys Bonnier's TV unit in SEK 9.2 billion deal
Britain says Huawei "shortcomings" expose new telecom networks risks
Fiat Chrysler kicks off Magneti Marelli spin-off
Roche gets breakthrough status for Alzheimer's test Elecsys
Ill-prepared suppliers threaten aerospace giants in case of hard Brexit
Volkswagen to furlough 1,000 workers in Brazil as sales slow -union
EU, Mexico automakers blast Trump auto tariff plan
(Helen Reid)
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MORNING CALL: EUROPE TO FALL IN STEP WITH WALL ST, ASIA DECLINE (0535 GMT)
The week is set to end on a more pessimistic note for European stocks with benchmarks likely
to follow in the footsteps of falls on Wall Street and in Asian shares.
Trump's comments criticising the Fed's decision to hike rates and expressing concern about a
strong dollar shook the greenback from a one-year peak, while a slide in the Chinese yuan
unnerved investors in Asian stock markets and stoked concerns Beijing's currency management
could become the next flash point in a fierce trade dispute with the United States.
Spreadbetters CMC Markets expect the FTSE 100 to open 8 points lower at 7,676, the DAX is
expected to open 30 points lower at 12,656, and the CAC40 is seen opening 13 points lower at
5,404.
The STOXX is currently set for its third straight week of gains, though losses today might
erase that.
(Helen Reid)
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(Reporting by Helen Reid, Danilo Masoni, Julien Ponthus and Kit Rees)