Aug 04 ,2025
Synopsis:
European equity markets opened slightly higher, and after a brief period of range-bound trade, pan-European indices moved higher, becoming range-bound again around the then best levels of the session from mid morning to Wall Street open. Late trading saw shares push to the best levels of the day.
The exception to the firmer trend is Switzerland, where the focus is on the possible impact of US tariffs
Switzerland (0.2%), Netherlands +0.4% and Norway +0.7% join FTSE100 in leading underperformers. Greece +2.3%, Italy +1.9% and Spain +1.8% lead outperformers.
Backdrop for markets included Ukraine/Russia headlines ahead of US President Trump's envoys visit to Moscow as Trump's ultimatum nears for Putin to agree to a cease-fire in Ukraine or face U.S. sanctions., the US President also pressed to recognise Palestinian state, whilst reportedly, Israeli PM Netanyahu spoke with Russian President Putin. Market participants also had one eye on the results of its 2025 EU-wide stress test released by the EBA after the close Fri, and in the UK, the implications of Supreme Court's judgement on car financing - as well as the FCA subsequently announcing to consult on a compensation scheme for motor finance customers - worked its way through the sector. Also EU member countries continue to express dis-satisfaction with it's trade deal with the US as clarification required, this time from German finance minister Klingbeil.
Over the weekend, OPEC+ agreed to fully unwind voluntary crude output cuts in Sept
Amongst the economic data releases, Switzerland Jul CPI and manufacturing PMI disappointed, whilst Eurozone Sentix survey shows slump in sentiment. Spain Jul unemployment change was better than expected in Jul.
Company earnings/updates were limited and included PostNL (PNL.NA), Clarkson (CKN.LN), Anima Holding (ANIM.IM) and Stabilus (STM.GR).
Digest:
Sectors - STOXX Europe 600:
Outperformers:
Banks +2.46%, Insurance +1.88%, Real Estate +1.36%, Utilities +1.20%, Travel & Leisure +1.18%, Ind Goods & Svcs +1.14%, Telecom +1.07%
Underperformers:
Autos & Parts (0.31%), Retail (0.12%), Basic Resources +0.08%, Food & Beverage +0.12%, Health Care +0.12%, Persnl & HHold Goods +0.20%, Oil & Gas +0.29%, Media +0.30%, Chemicals +0.48%, Construct & Mtls +0.49%, Technology +0.56%, Financial Svcs +0.69%
Macro/Peripheral markets:
Central Bank:
Switzerland:
UK:
UK drivers set for £18B payout in motor finance scandal - Telegraph, Reuters
Labour does not deserve to win next election if it does not deliver change, says Reeves - Independent
Brexit regret grows as poll shows only 29% would vote to leave EU - London Times
Company news:
Notable Gainers
+23.5% CBG.LN (Close Brothers Group) -- comments on the "Hopcraft" Supreme Court judgment; FCA's motor finance consultation
+12.4% STB.LN (Secure Trust Bank)
+9.0% LLOY.LN (Lloyds Banking Group) - outperform from sector perform at RBC Capital Markets; neutral from underweight at JPMorgan
+12.5% ITM.LN (ITM Power) -- buy from hold at Berenberg
+9.8% JDC.GR (JDC Group) -- to acquire 60% of the FMK Group; raises FY guidance
+7.6% ZEG.LN (Zegona Communications) -- announces GIC invests in Vodafone Spain FibreCo
+5.6% WIIT.IM (WIIT) -- H1 adjusted net income €10.0M vs FactSet €8.3M
+5.1% CKN.LN (Clarkson) -- H1 underlying EPS 98.6p vs year-ago 129.1p
+5.1% OMASP.FH (Oma Savings Bank) -- Q2 EPS €0.44 vs FactSet €0.46 [1 est], reaffirms FY comparable pretax income guidance
+4.4% PNL.NA (PostNL) -- Q2 normalised EBIT €11M vs consensus (€3.0M); no interim dividend and reiterates FY25 outlook
+3.4% WIZZ.LN (Wizz Air Holdings) -- Jul traffic +6.8% y/y, load factor (1.0) pts to 92.8%
+3.2% TEL2.B.SS (Tele2) -- buy from sell at UBS
+3.1% HNSA.SS (Hansa Biopharma) -- announces topline results from three patients with DMD treated with imlifidase prior to receiving ELEVIDYS in SRP-9001-104 trial
+2.7% OXUR.BB (Oxurion) -- completes the acquisition of Axiodis CRO
+2.6% BDT.GR (Bertrandt) -- Q3 EPS (€2.87) vs FactSet (€1.90) [1 est]; reaffirms FY guidance
+2.3% GSF.NO (Grieg Seafood) -- buy from hold at Fearnley
+2.2% MTO.LN (Mitie Group) -- completes the acquisition of Marlowe (MRL.LN)
+2.2% BIRG.ID (Bank of Ireland Group) -- outperform from market perform at Keefe, Bruyette & Woods
+1.9% BP.LN (bp)
starts up Argos expansion project in US Gulf of America; project adds 20,000 boepd
announces oil and gas discovery at the Bumerangue prospect in the deepwater offshore Brazil
+1.8% HMSO.LN (Hammerson) -- buy from add at Peel Hunt
+1.6% TE.FP (Technip Energies) -- buy from neutral at CIC Market Solutions
+0.9% ANIM.IM (Anima Holding) -- H1 adj. net income €153.9M, +23% vs year-ago €124.9M
Notable Decliners
-20.8% ATG.LN (Auction Technology Group) -- to buy online marketplace Chairish for $85M in cash; now expects margin to be 42-43% for FY, before the impact of the acquisition
-11.3% BTS.B.SS (BTS Group) -- prelim Q2 EBITA ~SEK85M vs FactSet SEK105.7M, lowers FY guidance
-11.2% STM.GR (Stabilus) -- Q3 EBIT €33.1M vs FactSet €34.1M [2 est, €31.3-36.9M], guides FY to the lower end of the respective range
-9.7% DAL.IM (Datalogic) -- Q2 adjusted EBITDA €14.0M vs FactSet €13.0M [1 est]
-3.6% AB.FP (AB Science) -- completes capital increase of €2.55M
-3.6% SNR.LN (Senior) -- H1 EPS 5.1p ex-items vs year-ago 4.7p; trading in line with expectations, reaffirms 2025 outlook
-3.0% CICN.SW (Cicor Technologies) -- acquires Malaga Aerospace, Defense & Electronics Systems from Latecoere (LAT.FP)
+1.5% LAT.FP (Latecoere)
-2.6% NOD.NO (Nordic Semiconductor) -- neutral from overweight at JPMorgan
-1.9% VOLCAR.B.SS (Volvo Car) -- Jul car sales (14%) y/y to 49,273 units
-1.5% SCATC.NO (Scatec) -- hold from buy at SEB
-1.3% CTEC.LN (ConvaTec Group) -- CEO to take a medical leave of absence
-1.2% MARR.IM (Marr) -- H1 net income €12.6M vs year-ago €17.5M
-1.1% CRBN.NA (Corbion) -- hold from sell at Berenberg
On earnings/updates: EGLA.IM (EuroGroup Laminations)
EU companies reporting tomorrow:
Earnings:
Benelux: B&S Group (BSGR.NA)
Finland: Aktia Bank (AKTIA.FH), eQ (EQV1V.FH), NoHo Partners (NOHO.FH), Tecnotree (TEM1V.FH)
France: Eutelsat Communications (ETL.FP), Maurel et Prom (MAU.FP)
Germany: DHL Group (DHL.GR), Infineon Technologies (IFX.GR), Continental (CON.GR), Fresenius Medical Care (FME.GR), Rational (RAA.GR), Fraport (FRA.GR), Aurubis (NDA.GR), Hugo Boss (BOSS.GR), Washtec (WSU.GR), Hamborner REIT (HABA.GR), Alstria (AOX.GR)
Italy: Telecom Italia (TIT.IM), Banco BPM (BAMI.IM), BPER Banca (BPE.IM), Banca Monte dei Paschi di Siena (BMPS.IM), Buzzi SpA (BZU.IM), Banca Popolare di Sondrio (BPSO.IM), Credito Emiliano (CE.IM), Marr (MARR.IM), IGD SIIIQ (IGD.IM), Datalogic (DAL.IM)
Other: Bank of Cyprus Holdings (BOCH.CY)
Sweden: International Petroleum Corp (IPCO.SS), Coinshares International (CS.SS)
Switzerland: Adecco Group (ADEN.SW), OC Oerlikon Corp. (OERL.SW)
UK: BP (BP.LN), Diageo (DGE.LN), Fresnillo (FRES.LN), Smith & Nephew (SN.LN), Rotork (ROR.LN), GlobalData (DATA.LN), Travis Perkins (TPK.LN), Keller Group (KLR.LN), Domino's Pizza Group (DOM.LN), Serica Energy (SQZ.LN), Capita (CPI.LN), SIG (SHI.LN), Synthomer (SYNT.LN), Zotefoams (ZTF.LN), Naked Wines (WINE.LN)
Trading Update:
France: Actia Group (ALATI.FP)
Data:
Economics:
Denmark Jun manufacturing production +2.7% m/m vs consensus +0.5%, prior revised (0.3%) from +0.1%
Switzerland Jul
CPI +0.2% y/y vs consensus +0.1%, prior +0.1%
Manufacturing PMI 48.8 vs consensus 49.9, prior 49.6
Spain Jul unemployment change (1.4K) vs consensus (21.3K), prior (48.9K)
Eurozone Aug investor confidence (3.7) vs consensus 6.2, prior 4.5 - Sentix
Markets:
WTI Crude (Sep 25): ($0.48) or (0.71%) to $66.85
€-$ (0.0024) or (0.21%) to 1.1573
£-$ +0.0003 or +0.02% to 1.3288
€-£ (0.0020) to 0.8709
S&P 500 +1.15%
Performance year-to-date:
FTSE 100: +11.69%
DAX: +19.33%
CAC: +3.40%
MIB: +19.05%
Stoxx 600: +6.50%
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