February 13, 2018 / 8:26 AM / 5 months ago

LIVE MARKETS-Opening snapshot: European shares in choppy waters

    * European stocks dip slightly
    * UK inflation data in focus

    Feb 13 (Reuters) - 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 SHARES IN CHOPPY WATERS (0821 GMT)
    It's a choppy start to trading for European stocks, which opened flat, rose, and have now
turned lower as a fall among defensives takes its toll.
    At the individual stock level it's all about results, with top gainers Ubisoft,
Randstad and TUI all rising after updates.
    Kering is feeling the pressure, its shares down around 1.5 percent (even though
premarket calls had it down for a bounce), while Telenet is the biggest faller after
Q4 results.
    Here's your opening snapshot:
    
 
    (Kit Rees)
    *****
    
    KERING, RANDSTAD, METRO SEEN RISING AFTER RESULTS (0756 GMT)
    While stocks futures slip further into negative territory, three stocks in particular are
seen bucking the trend thanks to results - here are some more details.
    Traders are calling luxury stock Kering 2 to 3 percent higher on the back of
forecast-beating sales in the fourth quarter.
    This was thanks to a strong performance at Gucci, which saw revenues rise 27.4 percent
year-on-year on a comparable basis.
    "Kering delivered an outstanding year, both in terms of sales growth and margin improvement
... We are continually impressed by the momentum at Gucci," analysts at Raymond James say in a
note.
    Kering's shares are actually down around 3 percent year to date after a hitting a record
higher at the end of January.
    Elsewhere staffing firm Randstad's shares are seen rising 2 to 5 percent after its
Q4 profit beat estimates, while retailer Metro is also seen gaining slightly after
confirming guidance.
    (Kit Rees)
    *****
        
    WHAT'S ON OUR RADAR BEFORE THE BELL (0743 GMT) 
    Spreadbetters' indications were pointing to a second day of recovery for European stocks
after Wall Street and Asia bounced back, but futures are now painting a different picture with
the DAX, for example, which is set to open down 0.2 percent. 
    On the corporate front, a number of blue-chips have reported FY earnings such as Kering,
whose Gucci brand seems to be shining through the results. 
    Randstad, the world's second-largest staffing company and therefore a bellwether for the
economy, saw fourth-quarter core profit rise 15 percent, buoyed by a strong recovery in the
European job markets.
    European travel group TUI said summer trading was very good with bookings for Greece, Turkey
and Cyprus all growing strongly.
    In the telecoms sector, Belgium’s Telenet and Telekom Austria are publishing their results
while M&A is spicing up the sector with Danish telecoms company TDC urging investors to back a
$6.7 billion cash offer from Australia's Macquarie. 
    For basic materials, smelter Aurubis posted a more than fourfold surge in fiscal
first-quarter operating earnings while Standard & Poor's raised its credit rating on global
miner Rio Tinto for the first time since 2011. 
    Other movers could include BAE Systems which will provide Malaysia a UK government-backed
financing deal if it decides to replace its fleet of combat jets with the Eurofighter Typhoon,
and German retailer Metro which confirmed full-year forecasts.
    In the UK, all eyes will be on UK inflation at 0930 GMT after the BoE surprised investors
last week when it said interest rates would probably need to rise sooner and by slightly more
than it had previously signalled.
    (Julien Ponthus)
    ***** 
        
    NO CLEAR DIRECTION EMERGES AS FUTURES OPEN (0710 GMT)
    While early indications from spreadbetters were pointing to an open in positive territory,
the picture is now far less clear with the futures trading. Is Europe about to end the positive
trend from Asia and Wall Street?   
    Have a look:     
 
    (Julien Ponthus)
    *****
    
    ALL EYES ON UK INFLATION (0632 GMT) 
    UK inflation is set to be today's most watched indicator after the BoE surprised investors
last week when it said interest rates would probably need to rise sooner and by slightly more
than it had previously signalled.
    "Headline CPI is predicted to slip back to 2.9% for January, however we could see an upside
surprise given that January tends to be a month when travel fares see sizeable increases, rail
fares being one such example, while commodity prices are also higher than a year ago", says
Michael Hewson from CMC Markets UK.  
    The date will be published at 0930 GMT.
    (Julien Ponthus) 
    *****   
    
    MORNING CALL: EUROPE'S BOUNCE BACK SET TO CONTINUE  (0615 GMT)
    Good morning and welcome to Live Markets.
    European bourse are set to open in positive territory and enter a second day of recovery
after Asian stocks pulled further away from two-month lows, lifted by Wall Street's extended
rebound. 
    Financial spreadbetters expect London's FTSE to open 37 points higher, Frankfurt's DAX up 
88 points and Paris' CAC to rise 35 points. 
    (Julien Ponthus)
    *****

    
 (Reporting by Danilo Masoni, Helen Reid, Kit Rees and Julien Ponthus)
  
0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below