Jul 28 ,2026
Synopsis:
European equity markets closed higher Tuesday. Personal Care Drug and Grocery Stores, Media and Food, Beverage and Tobacco the top gainers; energy, miners, banks and tech lag. Follows positive performance on Monday, though European markets ended off their best levels. Asian equity markets lower, with a deep selloff in South Korea amid weakness in memory stocks. Japan and Taiwan also sharply lower. China a relative outperformer.
Attention on selloff in Asian tech stocks amid AI spending concerns and worries over circularity following Nvidia deals with South Korean memory giants and reports it is in talks to provide ~$250B backstop for OpenAI as part of SoftBank Ohio data center project. Chip equipment firms also tracking the ASML selloff following report in Information China mass producing DUV machines. Meanwhile, more positive developments regarding US-Iran after Trump said good chance of an agreement. Coupled that with warning of renewed strikes if no deal while Iran denied formal negotiations taking place. Strait of Hormuz remains focal point of tensions and there remain heightened skepticism of a deal.
On macro data front, French consumer confidence beat expectations, while Spanish retail sales also firmer than forecast. Bundesbank will publish monthly report. In the UK, Lloyds business barometer showed increase in investment intentions despite worries over economic fallout from geopolitical risk. BRC shop price inflation eased for the sixth consecutive month. UK PM Burnham has shifted focus to welfare reform and changes to the social care system. Reports late Monday said he is looking at a tax on all estates after someone dies to pay free social car for elderly.
A busy day for earnings; out of DACHs, Sika Group (SIKA.SW), Mercedes-Benz Group (MBG.GR) out with better-than-expected earnings. In France, Safran (SAF.FP) amidst gainers post strong set of H1 numbers, Orange (ORA.FP) also higher with better-than-expected Q2 and raised FY26 guidance; LVMH Moet Hennessy Louis Vuitton (MC.FP) slightly in the green post H1, while Cie Generale des Etablissements Michelin SA (ML.FP) and Air Liquide (AI.FP) lower following H1 earnings. Elsewhere, Koninklijke Philips (PHIA.NA) shares lost over (10%) despite better-than-expected Q2 as analysts highlight beat was due to tariff refund and also point to weak orders. In the UK, Barclays (BARC.LN) lower post Q2 while Unilever (ULVR.LN), Man Group (EMG.LN) are trading higher at this time.
Looking ahead to tomorrow's calendar (see - Europe Week Ahead: 27-Jul to 31-Jul attached) Standard Chartered (STAN.LN), Reckitt Benckiser (RKT.LN), Rio Tinto (RIO.LN), Weir Group (WEIR.LN), St. James's Place (STJ.LN), Aberdeen Group (ABDN.LN),UBS Group (UBSG.SW), Telefonica (TEF.SM), CaixaBank (CABK.SM), Aena (AENA.SM), EDP-Energias de Portugal (EDP.PL), Kerry Group (KRZ.ID), Hexagon (HEXA.B.SS), Intesa Sanpaolo (ISP.IM), Eni (ENI.IM), Telecom Italia (TIT.IM), Deutsche Bank (DBK.GR), BASF (BAS.GR), Porsche (P911.GR), DWS Group (DWS.GR), Nordex (NDX1.GR), L'Oreal (OR.FP), Hermes (RMS.FP), Airbus (AIR.FP), VINCI (DG.FP), Danone (BN.FP), Legrand (LR.FP),and Elia Group (ELI.BB), will be amongst other names to update investors, whilst the macro-calendar releases will include Switzerland Jul expectations - ZEW, UK Jun mortgage approvals, M4 money supply, Norway Jun retail sales, Sweden Q2 preliminary GDP, Belgium Q2 preliminary GDP, Greece Jun unemployment rate, Ireland Q2 preliminary GDP, Portugal Jun unemployment rate.
Digest:
Sectors - STOXX Europe 600:
Outperformers:
Personal Care Drug and Grocery Stores +3.63%, Media +3.26%, Food, Beverage and Tobacco +2.63%, Autos & Parts +2.37%, Retail +1.82%, Telecom +1.67%, Health Care +1.45%, Travel & Leisure +1.14%, Construct & Mtls +1.10%, Chemicals +0.93%, Real Estate +0.83%, Ind Goods & Svcs +0.50%, Financial Svcs +0.36%,
Underperformers:
Energy(2.37%), Utilities (1.34%), Banks (0.69%), Basic Resources (0.38%), Technology (0.07%), Insurance +0.23%,
Macro/Peripheral markets:
Geopolitics
Zelensky arrives at White House to meet Trump with Netanyahu due there later - BBC
Trump sets stage for Netanyahu meeting amid tensions with Israeli PM - FT
Oman presents Iran with Gulf-backed plan for voluntary fees to use Hormuz - Reuters
Trump cites 'good' talks on Iran, reiterates threat to hit targets - Reuters
EU
Merz for cutting the EU budget by several 100 billion - Handelsblatt
EU Plans to Sanction Record 1,600 Firms for Helping Russia - Bloomberg
Traders Stick With Europe's Rate Curve Bet After Painful Run - Bloomberg
UK
Cut welfare and we'll rebel, Labour MPs warn Burnham - The Telegraph
Reform UK reports Zack Polanski to police over guillotine T-shirt post - The Times
Burnham rejects northern Labour MPs' call to abolish council tax - FT
UK's Burnham outlines youth training overhaul as AI reshapes jobs market - Reuters
France
France and Spain race to control wildfires as fresh heatwave hits, as UN warns 'the climate alarm is blaring' - The Guardian
French Consumer Confidence Increases to Highest Since March - Bloomberg
Germany
Merz hopes for an end to the personnel debates in the CDU from Wednesday - Handelsblatt
Sentiment among German exporters rises again - Handelsblatt
German economy likely showed some resilience to war in Q2, Bundesbank says - Reuters
Italy
Italy's League says parliament will have final say on EU defence funds - Reuters
Company news:
Trading Higher:
+21.0% LEHN.SW (LEM Holding CHF461.50, +80.00) -- Q1 earnings
+16.3% STORY.B.SS (Storytel SEK103.90, +14.55) -- Q2 earnings
+16.1% SWTQ.SW (Schweiter Technologies CHF349.00, +48.50) -- Baader Helvea upgrade
+11.9% ESNT.LN (Essentra £1.08, +0.12) -- H1 earnings
+11.7% FORN.SW (Forbo Holding CHF881.00, +92.00) -- H1 earnings
+10.6% GEMD.LN (Gem Diamonds £0.04, -0.00) -- H1 trading update
+9.9% NTG.DC (NTG Nordic Transport Group DKK255.50, +23.00) -- price target upgraded at Nordea
+9.8% SIKA.SW (Sika Group CHF177.00, +15.75) -- H1 earnings
+9.6% COA.LN (Coats Group £0.85, +0.07) -- H1 earnings
+8.6% ULVR.LN (Unilever £50.24, +3.97) -- H1 earnings
+8.4% SIGN.SW (SIG Combibloc Group CHF15.33, +1.19) -- Q2 earnings
+8.3% OBD.LN (Oxford BioDynamics £0.00, -0.00) -- signs first commercial agreement for the use of EpiSwitch Orion
+7.6% SUN.SW (Sulzer CHF152.30, +10.70) -- H1 earnings
+6.6% EVPL.LN (Everplay £2.41, +0.15) -- H1 trading update
+6.5% LOOMIS.SS (Loomis SEK545.50, +33.50)
+6.2% BFIT.NA (Basic-Fit €34.02, +1.98) -- H1 earnings
+6.2% HEX.NO (Hexagon Composites NOK11.20, +0.65) -- signs exclusive long-term agreement with IVECO BUS
+4.8% DATA.LN (GlobalData £0.82, +0.04)
+4.6% ADM.LN (Admiral Group £37.54, +1.64) -- Citi upgrade
+4.3% PAH3.GR (Porsche Automobil Holding SE €28.56, +1.18) -- MBG sympathy
+4.2% VOW3.GR (Volkswagen €73.72, +2.98) -- MBG sympathy
+4.2% RELAIS.FH (Relais Group €15.00, +0.60) -- acquires 70% of tershine AB from founder and entrepreneur Tobias Ericson
+3.3% BMW.GR (Bayerische Motoren Werke €59.36, +1.88) -- MBG sympathy
+3.0% SDF.GR (K+S AG €14.75, +0.43) -- BNP Paribas Exane upgrade
+3.0% STG.DC (Scandinavian Tobacco Group DKK72.60, +2.10) -- Deutsche Bank upgrade
+2.8% STAF.LN (Staffline Group £0.48, +0.01) -- H1 earnings
+2.7% MBG.GR (Mercedes-Benz Group €46.55, +1.23) -- Q2 earnings
+2.3% EMG.LN (Man Group £3.07, +0.07) -- H1 earnings
+2.3% MTX.GR (MTU Aero Engines €358.20, +8.10)
+2.3% SAF.FP (Safran €340.90, +7.70) -- H1 earnings
+1.9% FORT.LN (Forterra Plc £1.39, +0.03) -- H1 earnings; appoints new CFO
+1.8% STX.LN (Shield Therapeutics £0.06, -0.00) -- study results
Trading Lower:
-28.5% ABDP.LN (AB Dynamics £7.62, -3.04) -- FY trading update
-15.9% SGF.IM (Sogefi €1.80, -0.34) -- H1 earnings
-12.2% LUCE.LN (Luceco £2.24, -0.31) -- H1 trading update
-9.8% AIXA.GR (Aixtron €34.57, -3.74) -- sector move
-7.3% WAF.GR (Siltronic €72.75, -5.75) --
-5.9% IFX.GR (Infineon Technologies €57.88, -3.61) --
-4.6% ASM.NA (ASM International €762.00, -36.40) --
-3.2% ASML.NA (ASML Holding €1,384.20, -45.60) --
-3.0% NOD.NO (Nordic Semiconductor NOK156.40, -4.90) --
-2.9% ELG.GR (Elmos Semiconductor €146.20, -4.40) --
-9.5% SPM.IM (Saipem €3.94, -0.42) -- Q2 earnings
-8.9% PAL.AV (Palfinger €30.15, -2.95) -- H1 earnings
-8.8% AAD.GR (Amadeus FiRe €22.30, -2.15) -- prelim H1 earnings; lowers FY guidance
-6.6% BSL.GR (Basler €24.25, -1.70)
-6.3% SUBC.NO (Subsea 7 NOK304.60, -20.60)
-5.8% MAIRE.IM (MAIRE €12.87, -0.79) -- initiated market perform at Bernstein
-5.7% PHIA.NA (Koninklijke Philips €22.19, -1.34) -- Q2 earnings;
-5.6% SQZ.LN (Serica Energy £2.25, -0.13)
-5.5% BARC.LN (Barclays £5.01, -0.29) -- Q2 earnings
-4.4% VSVS.LN (Vesuvius £3.77, -0.17) -- BNP Paribas Exane downgrade
-4.0% TGS.NO (TGS-NOPEC Geophysical Co. NOK125.70, -5.30)
-3.1% NIOX.LN (NIOX Group £0.63, -0.02) -- H1 earnings
-3.1% SESG.FP (SES €6.87, -0.22)
-2.8% NWF.LN (NWF Group £1.37, -0.04) -- FY earnings
-2.4% AI.FP (Air Liquide €172.94, -4.24) -- H1 earnings
-2.0% GAW.LN (Games Workshop Group £198.20, -4.00) -- FY earnings
EU companies reporting tomorrow:
Earnings:
Belgium: Elia Group (ELI.BB), Melexis (MELE.BB), Solvay (SOLB.BB)
France: L'Oreal (OR.FP), Hermes (RMS.FP), Airbus (AIR.FP), VINCI (DG.FP), Danone (BN.FP), Legrand (LR.FP), Bureau Veritas (BVI.FP), Klepierre (LI.FP), Aeroport de Paris (ADP.FP), Elis (ELIS.FP), Nexans (NEX.FP), La Francaise des Jeux (FDJU.FP), Tikehau Capital (TKO.FP), Sopra Steria Group (SOP.FP), Vicat (VCT.FP), Bic (BB.FP), Altarea (ALTA.FP), Imerys (NK.FP), Clariane (CLARI.FP), Eramet (ERA.FP)
Germany: Deutsche Bank (DBK.GR), BASF (BAS.GR), Porsche (P911.GR), DWS Group (DWS.GR), Nordex (NDX1.GR), Auto1 Group (AG1.GR), Krones (KRN.GR), Befesa (BFSA.GR), Redcare Pharmacy (RDC.GR), Muhlbauer Holding (MUB.GR)
Greece: Hellenic Telecommunications Organization (HTO.GA)
Italy: Intesa Sanpaolo (ISP.IM), Eni (ENI.IM), Telecom Italia (TIT.IM), Snam (SRG.IM), TERNA Rete Elettrica Nazionale (TRN.IM), FinecoBank (FBK.IM), Banca Generali (BGN.IM), Pirelli & C. (PIRC.IM), Davide Campari-Milano (CPR.IM), Hera (HER.IM), Infrastrutture Wireless Italiane (INW.IM), Fincantieri (FCT.IM), Brembo (BRE.IM), Cementir Holding (CEM.IM), Webuild (WBD.IM), Italmobiliare (ITM.IM), Ariston Holding (ARIS.IM), Acinque (AC5.IM), Geox (GEO.IM)
Netherlands: IMCD (IMCD.NA), Banijay Group (BNJ.NA), AMG Critical Materials (AMG.NA)
Nordics: Hexagon (HEXA.B.SS), Electrolux (ELUX.B.SS), Sanoma (SANOMA.FH), PhotoCure (PHO.NO)
Other: Kerry Group (KRZ.ID), Permanent TSB Group Holdings (PTSB.ID), CRH (CRH.ID), Arion Banki (ARION.IR), Íslandsbanki (ISB.IR), Sberbank Russia (SBER.RU)
Portugal: EDP-Energias de Portugal (EDP.PL), Banco Comercial Portugues (BCP.PL), EDP Renovaveis (EDPR.PL), Jeronimo Martins (JMT.PL), Sonae (SON.PL), Corticeira Amorim (COR.PL)
Spain: Telefonica (TEF.SM), CaixaBank (CABK.SM), Aena (AENA.SM), ACS (ACS.SM), Redeia Corporacion (RED.SM), Ebro Foods (EBRO.SM), Viscofan (VIS.SM), Pharma Mar (PHM.SM), Vocento (VOC.SM)
Switzerland: UBS Group (UBSG.SW),Autoneum Holding (AUTN.SW), Ascom Holding (ASCN.SW)
UK: Standard Chartered (STAN.LN), Reckitt Benckiser (RKT.LN), Rio Tinto (RIO.LN), Weir Group (WEIR.LN), St. James's Place (STJ.LN), Aberdeen Group (ABDN.LN), Shaftesbury Capital (SHC.LN), Greggs (GRG.LN), Lancashire Holdings (LRE.LN), Rathbones Group (RAT.LN), Breedon Group (BREE.LN), Conduit Holdings (CRE.LN), International Personal Finance (IPF.LN), Nichols (NICL.LN), Aston Martin Lagonda Global Holdings (AML.LN), Franchise Brands (FRAN.LN), Hargreaves Services (HSP.LN), Hostelworld Group (HSW.LN), SDI Group (SDI.LN), Ilika (IKA.LN)
Trading Update:
DACHs: Greencoat Renewables (GRP.GR), Jadestone Energy (8KW.GR)
France: Remy Cointreau (RCO.FP), Emeis (EMEIS.FP), Wavestone (WAVE.FP), Inventiva (IVA.FP), Infotel (INF.FP), ICAPE Holding (ALICA.FP), Claranova (ALCLA.FP)
Southern Europe: HBX Group International (HBX.SM)
UK: Glencore (GLEN.LN), Sage Group (SGE.LN), PayPoint (PAY.LN), Ecora Royalties (ECOR.LN)
Data:
Economics:
Jun Retail Sales
Denmark +4.8% y/y vs consensus +2.3% and prior revised +3.7% from +3.8%
Ireland +0.6% y/y vs consensus +1.2% and prior +0.8%
Sweden Jun Trade Balance SEK2.6B vs consensus (SEK1.0B) and prior revised SEK2.1B from SEK2.9B
France Jul Consumer Confidence 86 vs consensus 85 and prior 84
Spain
Q2 Unemployment Rate 9.9% vs consensus 10.7% and prior 10.8%
Jun Retail Sales +0.5% y/y vs consensus +1.1% and prior +1.3%
Markets:
WTI Crude (Sep 26): ($3.38) or (4.09%) to $79.23
€-$ +0.0028 or +0.25% to 1.1397
£-$ +0.0017 or +0.13% to 1.3306
€-£ +0.0010 to 0.8567
S&P 500 +0.39%
Performance year-to-date
FTSE 100: +9.46%
DAX: +3.98%
CAC: +3.80%
MIB: +15.15%
Stoxx 600: +9.24%
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