**EUROPEAN EQUITY COVERAGE WILL ONLY COVER COMPANIES IN THE STOXX 600 OR COMPANIES OF SYSTEMIC IMPORTANCE TO PARTICULAR SECTORS**
9th March 2018
The Daily European Equity Opening News is uploaded at 0700GMT/0100CST recapping all of the overnight equity news
From 0700GMT/0100CST all equity news will be covered in real time over the audio and headline feed and the full audio rundown will be at 0715GMT/0115CST.
There will be an additional audio rundown at 0750GMT/0150CST recapping any company news which has hit the wires since 0715GMT/0115CST ahead of the European equity open
Asian stocks were higher across the board after the positive lead from US where President Trump confirmed aluminium and steel tariffs, but exempted NAFTA partners and was also said to be open to providing relief for allies. In addition, Asia-Pac risk appetite was further bolstered by geopolitical developments in which the South Korean National Security Office chief announced that North Korean Leader Kim is committed to denuclearization and will refrain from conducting further tests, with President Trump and North Korea’s Kim to meet by May. ASX 200 (+0.3%) and Nikkei 225 (+0.5%) were positive but with upside capped by a subdued commodities sector and weakness across steel names on Trump tariffs, while KOSPI (+1.0%) outperformed on the further appeasement in the Korean peninsula. Elsewhere, Hang Seng (+0.9%) was underpinned amid the broad positivity in the region, while Shanghai Comp. (+0.3%) somewhat lagged after PBoC inaction led to a net weekly drain of CNY 240bln, while participants also digested US tariffs alongside mixed Chinese lending and inflation data.
Shell (RDSA LN) – Co. is planning a US 10bln joint venture takeover bid for BHP’s (BLT LN) American shale division. (Newswires)
Aviva (AV/ LN) – Co. was accused of considering “very aggressive actions” against thousands of retail investors following the co. saying it may buy back their lucrative bonds without paying a premium. (Newswires)
OTHER UK COMPANIES
VODAFONE (VOD LN) DOWNGRADED TO MARKET PERFORM FROM OUTPERFROM AT BERNSTEIN
BHP BILLITON (BLT LN) UPGRADED TO BUY FROM HOLD AT INVESTEC
Linde (LIN GY) – According to sources, the co. and Praxair (PX) have asked for first round bids by the end of March. (Newswires)
Deutsche Telekom (DTE GY) – German labour union, Verdi, called a targeted strike for some workers at Co. after management failed to produce a wage offer after a second round of talks. Verdi stated the strike will begin on Friday and around 5,000 employees countrywide will be asked to participate in protests and industrial action in the coming days; according to the union. (Newswires)
Airbus (AIR FP) – Indigo has plans to send an order of up to 50 A330 Wide body planes. Separately, Germany’s SPD and domestic unions are looking to link funding for the Co. to commitments to maintain jobs and facility locations. (Newswires/Handelsblatt)
Lagardere LAGA FP) – FY revenue EUR 7.07bln vs Prev yr. EUR 7.39bln, FY operating income EUR 403mln vs Prev. 395mln, issued ordinary dividend at EUR 1.3/shr, expects operating income to be stable compared to 2017. (Newswires)
OTHER FRENCH COMPANIES
Eurazeo (RF FP) – FY consolidated revenue EUR 3.48bln vs. Prev. EUR 2.94bln. FY adjusted EBIT of fully consolidated companies EUR 378.8mln vs. Prev. 331.6mln. FY consolidated net income EUR 480.1mln vs. Prev. EUR 588.3mln. Proposed dividend EUR 1.25/shr. (Newswires)
Salvatore Ferragamo (SFER IM) – 2017 EBITDA EUR 249mln vs Exp. EUR 244mln, Net Profit EUR 114mln vs Exp. EUR 132mln, Issues dividend of EUR 0.36/shr. Co. gave chairman Ferruccio Ferragamo management powers on an interim basis, co. wants to introduce a loyalty share programme. Notes negative trends seen at the end of 2017 are continuing into the beginning of 2018. (Newswires)
TELECOM ITALIA (TIT IM) UPGRADED TO BUY FROM HOLD AT GOLDMAN SACHS
Richemont (CFR SW) – Co. says CONSOB reopened Thursday review period for the approval of Richemont’s bid on Yoox Net-a-Porter (YNAP IM). (Newswires)
UBS (UBSG SW) – 2017 net profit attributable to shareholders at CHF 1.1bln. Diluted EPS CHF 0.27. Provisions for litigation reduced both 2017 basic and diluted EPS by CHF 0.03. (Newswires)
OTHER SWISS COMPANIES
EQUITIES: SPX +0.4%, DJI +0.4%, NDX +0.5%
* US STOCKS bounced to fresh session highs in late trade after AP reported that Canada and Mexico would be indefinitely exempt from Trump’s steal/aluminium tariffs, spurring risk sentiment as traders welcomed a watered-down version of trade wars. However, the gains proved fleeting, and after Trump began his announcement, the sellers returned, as the trade war narrative gripped the news cycle.
* SECTORS: CONS DISC (XLY): +0.18%, CONS STAP (XLP): +0.74%, ENERGY (XLE): -0.24%, FINANCIALS (XLF): +0.09%, HEALTH CARE (XLV): +0.48%, INDUSTRIALS (XLI): +0.33%, MATERIALS (XLB): -0.05%, TECH (XLK): +0.26%, TELECOMS (XTL): +0.26%, UTLITIES (XLU): +0.60%.