|Bid||0.00 x 0|
|Ask||0.00 x 0|
|Day's range||428.55 - 438.25|
|52-week range||254.35 - 439.05|
|Beta (5Y monthly)||0.95|
|PE ratio (TTM)||32.73|
|Earnings date||28 Jan 2020|
|Forward dividend & yield||6.20 (1.41%)|
|Ex-dividend date||06 Dec 2019|
|1y target est||319.92|
(Bloomberg Opinion) -- If you have to ask the price, you can’t afford it. No wonder Bernard Arnault, France’s richest man, isn’t disclosing the details of LVMH Moet Hennessy Louis Vuitton SE’s deal to carve up the second-biggest diamond ever recorded in the history books.On Thursday, Lucara Diamond Corp. said it had entered into a collaboration with LVMH that will see the 1,758-carat Sewelo diamond, which is roughly the size of a tennis ball, turned into Louis Vuitton jewelry. The stone’s name means “rare find.” LVMH is probably one of the few luxury groups that could pull off such a coup.But this is no vanity project. It comes hard on the heels of LVMH’s close to $16 billion purchase of Tiffany & Co., the go-to destination for engagement rings wrapped in that iconic little blue box. If that indicated the French company’s intent in jewelry, this leaves no doubt.It’s not yet clear how exactly the rough diamond will be used. Louis Vuitton has been expanding in fine jewelry, and with its Maison Vendome flagship store has a dedicated space for the category with its own entrance on the Place Vendome, the epicenter of Paris jewelry retailing. The group’s other jewelry houses include Bulgari, Fred, Chaumet, and the soon-to-be-added Tiffany. Christian Dior, meanwhile, has the potential to sell lots of pricey adornments to its fashionista fans.However it eventually polishes up, the Sewelo will be part of the classic luxury playbook. LVMH will likely create several extremely high-end pieces to establish a sense of exclusivity. While only a small number of customers may be wealthy enough to purchase these, many more will be able snap up Tiffany bangles or Louis Vuitton rings. LVMH is counting on the stone to encourage these purchases, too. It’s the diamond-encrusted equivalent of sending extravagant creations down the catwalk to sell trunk loads of Louis Vuitton’s popular Neverfull bags, which sell for about 1,000 pounds ($1,307).Even taking this strategy into account, it’s likely that LVMH will seek to take Tiffany upmarket. There’s scope to increase its margins by jettisoning lower-price products and selling more high-end pieces. The allure of the Sewelo will help in this process, too.The luxury jewelry market is growing strongly, with particular demand for items boasting a designer label. Bain & Co. estimates that excluding currency fluctuations, sales rose 9% in 2019, in contrast to watches, where sales fell 2%. Timepieces have been hurt not only by the unrest in Hong Kong but by the segment’s continued disruption by smart and connected watches. Jewelry faces no such technological shifts. So there’s plenty of room for LVMH to expand.A more muscular rival is a worry for companies including Richemont, which owns Van Cleef & Arpels and Cartier, as well as Swatch Group AG, which owns Harry Winston. It could also make it harder for LVMH’s French archrival Kering SA, which also has scope to sell more jewels, to do so. Luca Solca, analyst at Bernstein, has suggested that a merger between Richemont and Kering would be a formidable response.LVMH’s Sewelo gem gambit is not without some potential pitfalls. At the moment it is a rough stone, whose outer surface is still covered in a layer of carbon. It’s not yet clear what kind or quality of polished gem it will reveal. Lucara Diamond previously said it may not deliver the highest standard.Whatever emerges, the stone’s size alone will make for an interesting story for LVMH’s marketing team. And with the group being at the cutting edge of fashion, it may be bolder and more creative than a diamond dealer, whose primary concern is usually how many carats can be secured in order to maximize the sale price. Add in the halo effect around the jewelry maisons — the Sewelo will be shown to clients and press at the Paris couture shows next week before embarking on a world tour — and there’s even less of a risk.So even if the Sewelo doesn’t turn out to be as much of a sparkler as hoped, it will still help LVMH sell plenty of other baubles.To contact the author of this story: Andrea Felsted at firstname.lastname@example.orgTo contact the editor responsible for this story: Melissa Pozsgay at email@example.comThis column does not necessarily reflect the opinion of Bloomberg LP and its owners.Andrea Felsted is a Bloomberg Opinion columnist covering the consumer and retail industries. She previously worked at the Financial Times.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
(Bloomberg) -- Want the lowdown on European markets? In your inbox before the open, every day. Sign up here.The second-biggest diamond in history will be cut, polished and turned into a collection of Louis Vuitton jewelry.Lucara Diamond Corp., which found the 1,758-carat Sewelo diamond at its Botswana mine last year, said it’s struck a deal with the luxury brand and Antwerp diamond manufacturer HB Company. It’s unclear how valuable the polished diamonds will be though, as Lucara previously said the Sewelo wasn’t a type of diamond that yields top jewelry standard gems.Lucara will get a “non material” upfront fee and own 50% of the polished diamonds from the Sewelo, which means “rare find” in Tswana, a language spoken in Botswana, and is roughly the size of a tennis ball.Louis Vuitton has been pushing into fine jewelry since opening a flagship store on Paris’s Place Vendome — the famed district home to Cartier and Boucheron — and since tapping a new head jewelry designer, Francesca Amfitheatrof.Game of Thrones actress Sophie Turner and Brokeback Mountain star Michelle Williams have posed for recent campaigns for necklaces and earrings often depicting the recognizable flowers from the LV monogram.Read more: Second-Biggest Diamond in History Found, But It’s Not That GreatIn 2015, Lucara found the 1,109-carat Lesedi La Rona, which at the time was the second-largest ever and eventually sold for $53 million. The mine has also yielded a 813-carat stone that fetched a record $63 million. Those two gems were both much more valuable Type-IIa stones.Read more: A list of some of the biggest diamonds ever foundThe biggest diamond discovered is the 3,106-carat Cullinan, found near Pretoria in South Africa in 1905. It was cut into several polished gems, the two largest of which -- the Great Star of Africa and the Lesser Star of Africa -- are set in the Crown Jewels of Britain.\--With assistance from Robert Williams.To contact the reporters on this story: Yuliya Fedorinova in Moscow at firstname.lastname@example.org;Thomas Biesheuvel in London at email@example.comTo contact the editors responsible for this story: Lynn Thomasson at firstname.lastname@example.org, Liezel HillFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
(Bloomberg Opinion) -- The billionaire bromance between Donald Trump and France’s richest man, Bernard Arnault, has surely been one of the more unexpected consequences of the U.S. president’s global trade war. Back in October, Trump lavished praise on the king of luxury — calling him by turns an artist, a great businessman and a gentleman — after LVMH Moet Hennessy Louis Vuitton SE opened a handbag factory in Texas. The symbolism was rich, considering Trump had just days earlier removed leather goods from a list of European products worth $7.5 billion that were hit with higher U.S. import tariffs. Trump wasted no time in spelling out the link: “I can’t tax him, because he moved to the United States.”The mood has cooled since then. Leather handbags and luxury items worth $2.4 billion are now back on the U.S. president’s hit list as part of potential tariffs targeting France, which the White House says is discriminating against U.S. firms such as Apple Inc., Facebook Inc. and Amazon.com Inc. with a new digital-services tax. The U.S. has also threatened more tariffs targeting the European Union related to the long-running dispute over aircraft subsidies between Boeing Co. and Airbus SE. Brussels has dispatched its top trade official this week to try to calm tensions, but there’s every chance the spat could worsen. For a president fighting impeachment and campaigning for re-election, French wines and German cars are tempting political targets.That has put Trump-whisperers like Arnault in an awkward position. While by no means the chief culprit of the EU’s trade surplus with the U.S. that Trump so hates, luxury products sold by LVMH such as wine and spirits are France’s key export sector after aerospace. The U.S. market brings in about 24% of the group’s revenue, almost as much as France and Europe put together. Shrewd re-jigging of the supply chain, and the luxury industry’s ability to pass on price increases to its well-heeled buyers, have so far helped keep the wolf from the door. LVMH’s pledge to create 1,000 jobs in Texas, even if a “Made In the USA” label leads to upturned noses, has made Trump less likely to want to penalize the company with luxury levies. He’s also less likely to oppose Arnault’s proposed $16 billion acquisition of iconic U.S. jeweler Tiffany & Co.It’s not just LVMH: Airbus, one of Trump’s favorite punching bags and the biggest brand in European aerospace, pulled off a similar feat. Its local presence in Alabama has spared the aircraft it produces in the U.S. from the 10% EU tariffs (and likely deterred Trump from pricier duties). Considering France is being singled out for harsher punishment, the fact that Paris-listed LVMH and Airbus are among the top five best-performing euro-area blue-chip stocks since Trump arrived in the White House will comfort French President Emmanuel Macron.But how much longer can moving resources into the U.S. keep delivering results? Airbus is scrambling to continue ramping up production in Alabama, where its investment now totals $1 billion, but that hasn’t been enough to silence the threat of higher tariffs. For the luxury-goods sector, not everything “Made in France” can be “Made in the USA.” LVMH is clever enough to sell locally-made U.S. sparkling wine in funky single-serve bottles, but it will never be the same as champagne. European corporate takeovers of U.S. targets, while rising, are vulnerable to Trump’s unpredictability.Europe’s top multinationals may have also been helped by the fact that Trump’s focus so far has been primarily on China. Being a secondary target hasn’t been too bad for the EU: Tit-for-tat tariffs between China and the U.S. actually saw France get a total export boost to both countries worth an estimated 0.3% of GDP, according to Nomura research. (For Germany it was 0.1%.)It’s clear that exporting high-value items that are difficult to substitute, such as aircraft or luxury goods, is a natural defense against trade wars; Airbus was also helped by Boeing’s troubles. But China may now be receding into Trump’s rear-view mirror following the signing of a phase-one trade deal. If Europe takes its place as Trump’s chief concern, things will be different. While European investment into the U.S. increased by $226.1 billion in 2018, to $3.0 trillion, the U.S. trade deficit with the EU also hit a record that year. Tariffs on German cars — which would be far harder to pass on to consumers than for a bottle of Dom Perignon, or an A320 airplane — remain an ugly prospect, even after an increase in their local U.S. production over the past decade.Europe’s CEOs will be praying the EU can convince the White House that an escalation in tariffs would hurt American jobs, saddle the consumer with higher prices and deter hiring and investment. If that’s not enough, then maybe the next delegation the EU sends should include Arnault and the gift of a few handbags — Made in USA, of course.To contact the author of this story: Lionel Laurent at email@example.comTo contact the editor responsible for this story: Melissa Pozsgay at firstname.lastname@example.orgThis column does not necessarily reflect the opinion of Bloomberg LP and its owners.Lionel Laurent is a Bloomberg Opinion columnist covering Brussels. He previously worked at Reuters and Forbes.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
(Bloomberg) -- Chinese flexible display maker Royole Corp. has filed confidentially for a U.S. initial public offering to raise about $1 billion, people familiar with the matter said.The startup seeks funding to expand its sales and marketing and research facilities, the people said, requesting not to be named because the matter is private. It had originally planned to raise that amount via a private financing round at a valuation of about $8 billion, people familiar with that deal said in March. But the Chinese company is now tapping U.S. markets after liquidity tightened during a downturn in China’s venture capital sector, the people said.Royole, known for manufacturing the world’s first commercial foldable phone, competes with Samsung Electronics Co. and BOE Technology Group Co. to produce bendable screens using cutting-edge organic light-emitting diode technology. The company, which gave away wraparound-screen hats at the 2018 World Cup in Russia, this month unveiled a smart speaker that packs a bendable display around a cylinder.It’s unclear what timeframe the company’s looking at, the people said. A Royole representative declined to comment.Royole is regarded as one of a coterie of Chinese technology startups working to dismantle the decades-old image of China as a clone factory by leading in design and innovation. Like Huami and Insta360, these upstarts aim to take advantage of home bases in China close to where devices are manufactured, developing products faster and more cheaply.Founded by Stanford alumni Bill Liu, Peng Wei and Xiaojun Yu, Royole needs capital to plow back into research and expand production. The company, valued at about $5 billion in a previous funding round, invested 11 billion yuan ($1.6 billion) into a flexible display plant in Shenzhen that commenced production in June. Royole is working with Airbus to install displays in planes and also collaborates with clothing, furniture and kitchen-supply customers. Royole has said it secured a deal with Louis Vuitton that will see the two companies putting flexible screens on handbags of the future.Its full line of products encompasses head-mounted displays intended for use as so-called mobile theaters and other wearable flexible displays. The company even has a smart writing pad that it sells on Amazon.com, JD.com and in stores across China, the U.S. and Europe.Royole’s earlier investors include Knight Capital, IDG Capital, Poly Capital Management, AMTD Group, the funds of Chinese tycoon Xie Zhikun and the venture capital arm of the Shenzhen city government.Read more: The Trade War Spurs China’s Technology Innovators Into Overdrive(Updates with details on Royole’s inception from the fifth paragraph)To contact the reporters on this story: Julia Fioretti in Hong Kong at email@example.com;Lulu Yilun Chen in Hong Kong at firstname.lastname@example.orgTo contact the editors responsible for this story: Edwin Chan at email@example.com, Colum MurphyFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Today we'll evaluate LVMH Moët Hennessy - Louis Vuitton, Société Européenne (EPA:MC) to determine whether it could...
(Bloomberg Opinion) -- There’s a hypocrisy at the heart of the Duke and Duchess of Sussex’s assertion that they will strive to become “financially independent.” No matter what they do, they’re likely to be cashing in on their status as A-list members of the royal family.Prince Harry and Meghan Markle want “space to focus on the next chapter,” they said in a bombshell statement this week. It’s an effort to cut themselves free of the worst vicissitudes of life as members of the British monarchy, not least the unwanted scrutiny of the country’s fearsome tabloid press.But it’s hard to conceive of a path they can plot that doesn’t exploit that very “royalness” they want to flee. And the “His and Her Royal Highness” brand certainly affords them plenty of opportunity.When they announced their “Sussex Royal” charitable foundation in June, they trademarked the name for everything from hoodies to health and wellness training, according to the Financial Times. While the profit from these products would probably go to charity, as is the case with Prince Charles’s Duchy Organic food business, it would still pose a risk to a royal brand that has been cultivated carefully for decades by those around the Queen and the Prince of Wales. That’s one reason why “the firm” — Princess Diana’s nickname for the Windsor family — is so agitated by the potential lack of control over a Sussex spin-off. Were Meghan and Harry to capitalize on their 10 million Instagram followers, they could expect to make $34,000 for a sponsored post, according to an estimate from the website InfluencerMarketingHub. For the duchess, the evolution of Rihanna from popstar to social media influencer to fashion impresario might offer some useful pointers. Last year, the singer joined forces with LVMH Moet Hennessy Louis Vuitton SE, the world’s biggest fashion company, to create the fashion brand Fenty. There are already rumors about Markle speaking to LVMH-owned Givenchy about possible collaborations. It would be a far cry from her earlier royal duties, which ranged from visiting primary schools to netball shootouts in England’s East Midlands.It’s absurd to argue that any of this would be possible without the Windsor cachet. Indeed, if the duke is ever truly able to command $500,000 speaking fees, in line with former U.S. President Barack Obama, as Bloomberg News reported he might on Wednesday, it won’t be because he has unparalleled leadership experience or insights — or his Cicero-like oratory skills. It’s because of who his family is.The desire to strike out alone is in some ways admirable. With Charles looking to slim down the “working royals” to their core essentials, there’s logic in Harry getting on the front foot (even if his seizing the initiative might have infuriated his father, who would probably have preferred a gentler decoupling, if it were to happen at all). But Harry is 35-years-old, and has been raised to be a prince. Though he’s a graduate of the Royal Military Academy Sandhurst and a qualified helicopter pilot, he doesn’t have so much as an undergraduate degree. That makes a transition to a normal civilian existence that could sustain his current quality of life tricky. The couple’s yearly security costs alone probably stretch into the millions of pounds.Prior to the pair’s marriage, Markle did of course have a successful acting career, with some estimates that she made more than $400,000 per season as a cast member on the TV series Suits. Perhaps she’ll resume that path; if so, her box office clout will have been hugely augmented by her royalty.Prince Charles also has a decision to make. The couple says 95% of their funding comes from the Duchy of Cornwall — the property and financial portfolio controlled by Harry’s father — money that pays for their public duties as well as some private costs. Unless that’s stopped, it would hardly be an example of Harry’s sought-for financial freedom.He does have personal wealth of some 30 million pounds ($39 million), thanks to inheritances from his mother and great-grandmother. Neither of those is, strictly speaking, tied to his royal status, but rather the product of aristocratic antecedents. Perhaps the capital provides an opportunity to branch into angel investing or other ventures, but he’d need savvy advisers if he’s going down that route.The Queen, blindsided by this week’s furor, is reportedly seeking a “workable solution” for the couple’s future roles. That the Sussexes didn’t work with the royal household to thrash this out before their announcement suggests they haven’t properly thought out their plans.Perhaps they will prove everybody wrong, and maybe they’ll use the proceeds of their new lives to fund the noble causes that are dear to them, such as tackling climate change, protecting the environment and promoting diversity. But they will need to tread extremely carefully after already attracting criticism for their occasional use of private jets. A life where they pick and choose the royal obligations that suit them, while benefiting from the perks afforded by their status, would not go down too well with the British public.To contact the author of this story: Alex Webb at firstname.lastname@example.orgTo contact the editor responsible for this story: James Boxell at email@example.comThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Alex Webb is a Bloomberg Opinion columnist covering Europe's technology, media and communications industries. He previously covered Apple and other technology companies for Bloomberg News in San Francisco.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Understanding LVMH Moët Hennessy - Louis Vuitton, Société Européenne's (ENXTPA:MC) performance as a company requires...
Watches of Switzerland is considering buying more stores in the United States and predicted on Tuesday that luxury watch demand will hold up in the U.S. and Britain, where it has just bought four shops from Fraser Hart. Britain's biggest watch retailer, which distributes Rolex, Patek Philippe, Omega, Cartier, TAG Heuer and Breitling, began expanding in the U.S. in 2017 by buying U.S. jeweller Mayors. Watches of Switzerland, which reported a 10.3% increase in like-for-like sales in the half and said it expected 8-9% growth for the full year, sees opportunities to buy more stores in the U.S. where the market is "very fragmented", its CEO said.
(Bloomberg Opinion) -- Moncler SpA’s hotline just blinged. The brand, sported by Drake in his video for the popular song of that name, is being courted by Kering SA, according to Bloomberg News.Moncler has been a fashion-hit maker itself. If Francois-Henri Pinault’s Kering wants to get its hands on it, the Gucci owner will have to pay a price as rich as that commanded by one of its $1,000-plus down jackets.The Italian brand, with a market capitalization of 11 billion euros ($12.2 billion), would bring a sizable name that’s still capable of growth to Kering, valued at 69 billion euros. It would also usefully reduce the French group’s reliance on Gucci, which now accounts for more than 60% of group sales and 80% of operating profit.Moncler has scope to add further stores, particularly flagship locations, in China. While it has successfully expanded its range of products from its core down jackets into knitwear, there is an opportunity in bags and accessories. Kering’s expertise would bolster these ambitions. Digital marketing skills and the French company’s focus on sustainability could be useful too, as younger luxury buyers’ concerns about natural resources, such as down and fur, shape their buying habits.But Moncler won’t come cheap. Assuming a 25% premium over Wednesday’s closing price, a takeover would cost about 12 billion euros, adjusting for estimated net cash of 550 million euros. That equates to about 20.5 times this year’s likely Ebitda, exceeding the multiple that Kering’s French arch-rival LVMH has offered for the iconic diamond and jewelry brand Tiffany & Co.With Moncler forecast to make about 750 million euros of operating profit in 2023, the returns from a deal would be a mere 5% after tax, unless Kering could turbocharge the business. Given that the target is already well run under Remo Ruffini, its chief executive officer and biggest shareholder, that looks like a tall order. Moncler's operating margin is already strong at about 30%.This wouldn’t be a case of taking a tired brand and rejuvenating it. So the pressure would be on Kering to engineer ways of achieving higher sales in order to earn returns at closer to the 7%-8% level that would make a deal easier to justify.The French house can afford Moncler. Assuming an all-cash deal, net debt would increase from 0.4 times Ebitda to 2.4 times. That’s manageable. Kering also has a 16% stake in sportswear maker Puma SE, worth about 1.6 billion euros, to play with. But a deal would wrap up much of Kering’s acquisition firepower up in a puffer jacket, leaving little room to expand into other areas, such as jewelry.There is better value to be found elsewhere, for example in Britain’s Burberry Group Plc, whose recovery plan has yet to pay off. Kering could also bring the skills it used to reinvigorate the Gucci brand to Prada SpA or Salvatore Ferragamo SpA. While this could mean more upfront investment, there is a much bigger turnaround potential.Although Burberry has no controlling family, Prada and Ferragamo do. So far, they have shown no indications of wanting to sell. A reshuffle of Moncler’s ownership recently reduced Ruffini’s stake to 22.5%Even so, Moncler’s down jackets are best known for keeping out the cold. The company has plenty to help it repel a predator, or more likely, make them pay a bulky price.\--With assistance from Chris Hughes.To contact the author of this story: Andrea Felsted at firstname.lastname@example.orgTo contact the editor responsible for this story: Melissa Pozsgay at email@example.comThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Andrea Felsted is a Bloomberg Opinion columnist covering the consumer and retail industries. She previously worked at the Financial Times.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
London's FTSE 100 slid on Thursday due to a 9% plunge in Glencore after news of a bribery investigation and as dollar earners fell with sterling gaining on growing hopes that the upcoming election will not result in a hung parliament. The blue-chip FTSE 100 index ended 0.7% lower, lagging its peers in Europe and on Wall Street. The more domestically focused mid-cap index, the FTSE 250 , added 0.2%, led higher by a near 20% surge in home furnishings retailer Dunelm after it raised profit expectations.
Welcome to the home for real-time coverage of European equity markets brought to you by Reuters stocks reporters and anchored today by Joice Alves. Luxury stocks are taking the stage in Europe after reports the owner of Gucci and Balenciaga Kering is in talks to acquire Italy's Moncler. Shares in Moncler jumped over 11% and hit record high after the report of Kering's interest.
PARIS/MILAN, Dec 5 (Reuters) - The chief executive and top shareholder of puffer jacket maker Moncler played down speculation around a takeover by Gucci-owner Kering on Thursday, saying the two firms sometimes talked but that there was no deal in the works. Shares in the Italian label, which has become a luxury industry darling in recent years after a makeover under CEO Remo Ruffini, surged earlier after Bloomberg reported that it had held exploratory discussions with Kering.
Welcome to the home for real-time coverage of European equity markets brought to you by Reuters stocks reporters and anchored today by Joice Alves. Stock futures of most European bourses point to a flat or slightly higher start as investors try and make sense of the latest development of the 17-month trade war between the U.S. and China, while digesting some weak industry data from Germany. Sentiment improved yesterday after Bloomberg reported that the two countries were closer to seal a "phase-one" deal and Trump said trade talks were going "very well".
U.S. President Donald Trump cancelled his scheduled news conference at the end of the NATO summit in Britain on Wednesday, saying he had briefed the media many times during his two-day trip. "When today's meetings are over, I will be heading back to Washington," Trump said in a tweet. Trump said he would hold final bilateral meetings with Denmark and Italy at the golf resort near London where the military alliance has gathered for its 70th anniversary before returning to the United States.
NATO Secretary-General Jens Stoltenberg said on Wednesday that Turkey had dropped its block on a plan to bolster the defences of Baltic states and Poland against Russia. Ahead of the summit, Ankara had refused to back the NATO defence plan for the Baltics and Poland until it received more support for its battle with the YPG, including other alliance members recognising it as a terrorist group. In a final press conference after the summit, Stoltenberg also said that NATO was in favour of dialogue and a better relationship with Russia, and believed that China should be part of future arms limitations or reductions talks.
European shares bounced back from a four-day slump on Wednesday, lifted by a report that Beijing and Washington are moving closer to a trade deal. The STOXX 600 closed 1.2% up after Bloomberg reported that the two sides were closer to agreeing on the amount of tariffs that would be rolled back in a phase one trade deal. The report lifted the benchmark from a one-month low hit on Tuesday after U.S. President Donald Trump said a deal might have to wait until after the presidential election next November.
British Prime Minister Boris Johnson said he would press ahead with new taxes on U.S internet giants like Facebook and Google, putting him at odds with U.S. President Trump who has threatened retaliation against France over its digital tax plans. "On the digital services tax, I do think we need to look at the operation of the big digital companies and the huge revenues they have in this country and the amount of tax that they pay," Johnson said on Tuesday, according to a BBC report.
* Trump says trade deal could come after 2020 election * STOXX 600 reverses gains, now down 0.7% * Wall Street futures plunge * Luxury stocks hit by US tariff threats 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: firstname.lastname@example.org CLOSING SNAPSHOT: TRUMP SPREADING THE LOVE (1710 GMT) Today was all about Trump, who is visiting the UK for a NATO summit and the European bourses felt the proximity. The London bluechip index had its worst day in a month and was down 1.75% and the pan European index was down 0.6% after the U.S. President said he could wait after the November 2020 election to reach a trade deal with China.
French stocks were already under pressure after the US proposed $2.4bn of tariffs on French cheese, champagne, and handbags overnight.
* Trump says trade deal could come after 2020 election * STOXX 600 reverses gains, now down 0.7% * Wall Street futures plunge * Luxury stocks hit by US tariff threats 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: email@example.com HOW DOES GOLDILOCKS END AGAIN? "Goldilocks's fate varies in the many retellings: in some versions, she runs into the forest, in some she is almost eaten by the bears but her mother rescues her, in some she vows to be a good child, and in some she returns home".
U.S. President Donald Trump said on Tuesday the United States and Russia wanted to reach a new treaty agreement on nuclear weapons. "Frankly, the whole situation with nuclear is not a good situation," Trump said ahead of NATO leaders summit. Trump said China was interested in joining the talks.
President Donald Trump said on Tuesday he was looking at imposing sanctions on Turkey over its purchase of a Russian missile system, blaming his predecessor for not selling Ankara a U.S. missile system. Sitting alongside French President Emmanuel Macron, Trump was asked whether he would issue sanctions on Turkey over the purchase of the S-400 missile system.