Nov 06 ,2026
Synopsis:
European indices ended broadly lower. Media, insurance, retail and personal goods the main laggards. Travel/leisure the only sector advancing. Follows weaker performance on Thursday. Risk-off tone continues despite some stabilisation in AI/momentum trade after deep selloff in US markets on Thursday. Attention also on US-Iran developments. Optimism surrounding diplomatic progress has cooled somewhat.
On the European macro-data front, German industrial production beat expectations after jump in factory orders on Thursday. French trade deficit unexpectedly widened in September. Lloyds UK house price index missed and is showing modest weakness on an annual basis. Eurozone retail sales recorded a larger-than-expected decline.
Sell-side takeaways split on next BoE move after hawkish rate hike on Thursday. Market pricing in more than a 50% chance for a December hike. In other news, press discusses proposed UK-EU reset, which is estimated to give the UK economy a potential £17B boost. Elsewhere, Germany's defense ministry has privately warned that moving too quickly to reduce dependence on US weapons could jeopardize relations with Washington.
On the reporting front, Daimler Truck Holding (DTG.GR), Krones (KRN.GR), JOST Werke (JST.GR), Stabilus (STM.GR), Amadeus IT Group (AMS.SM), Cellnex Telecom (CLNX.SM), International Consolidated Airlines Group (IAG.LN), Rightmove (RMV.LN), Euronext (ENX.FP), Teleperformance (TEP.FP), Vicat (VCT.FP), Medacta Group (MOVE.SW), Orkla (ORK.NO) and Pirelli & C. (PIRC.IM) were among few other names to update investors. Elsehwere, Kering (KER.FP) announced the departure of Pierpaolo Piccioli as Creative Director of Balenciaga and Aryzta (ARYN.SW) CFO stepped down.
In M&A deals, Alfa Laval (ALFA.SS ) agreed to acquire maritime software platform NAVTOR AS for SEK6.85B ($700M) in an all-cash transaction.
Looking ahead to next week EU econ-calendar, notable releases on Monday will include, amongst others, Germany September trade balance, and Eurozone November economic index - Sentix.
Digest:
Sectors - STOXX Europe 600:
Outperformers:
Travel & Leisure +0.85%, Real Estate (0.07%), Technology (0.16%), Basic Resources (0.29%), Construct & Mtls (0.47%), Utilities (0.70%), Health Care (0.70%), Oil & Gas (0.81%), Banks (0.95%)
Underperformers:
Insurance (2.61%), Media (2.26%), Retail (2.04%), Persnl & HHold Goods (1.89%), Financial Svcs (1.51%), Chemicals (1.42%), Autos & Parts (1.39%), Telecom (1.36%), Food & Beverage (1.14%), Ind Goods & Svcs (1.12%)
Macro:
Central banks:
EU:
EU accuses TikTok of designing algorithm that creates 'rabbit holes' -- Politico
UK:
UK retail investors buy the dip after bruising tech sell-off -- FT
Germany:
German-French Car Emissions Deal Risks Pushback in EU Talks -- Bloomberg
France:
French PM Lecornu Considers Using Article 49.3 Or Executive Order For 2027 Budget - BFM
Italy:
More Italian flights affected by bomb alerts -- Ansa
Company news:
Notable Gainers
+16.8% BTS.B.SS (BTS Group SEK266.00, +38.20) -- Q3 earnings
+16.2% ATT.SS (Attendo SEK130.30, +18.20) -- to buy back shares for a maximum amount of SEK 300M; Q3 earnings
+11.4% HEX.NO (Hexagon Composites NOK11.78, +1.21) -- Q3 earnings
+9.7% FIA1S.FH (Finnair €4.95, +0.44) -- Barclays upgrade; Oct traffic
+7.9% WINE.LN (Naked Wines £0.70, +0.05) -- FY trading update
+7.1% AF.FP (Air France-KLM €13.47, +0.90) -- welcome ruling by Court of Justice of EU, which sets aside judgment of General Court of EU of 7-Feb-24; barclays upgrade
+7.1% VSSAB.B.SS (Viking Supply Ships SEK167.00, +11.00) -- Q3 earnings
+6.4% TOKMAN.FH (Tokmanni Group €6.59, +0.40) -- to pay second instalment of dividend for FY25
+5.8% DIA.SM (Distribuidora Internacional De Alimentacion €48.10, +2.65) -- to sell DIA Argentina for total proceeds of $53.8M
+5.5% HOT.GR (Hochtief €357.20, +19.20) -- ACS is reportedly weighing options for Hochtief, including takeover -- Bloomberg
+4.5% JST.GR (JOST Werke €60.30, +2.60) -- raises outlook for FY26
+3.5% NAS.NO (Norwegian Air Shuttle NOK12.93, +0.44) -- Barclays upgrade
+3.1% LHA.GR (Deutsche Lufthansa €8.43, +0.25) -- Barclays upgrade
+2.9% SCHO.DC (Schouw & Co DKK863.00, +24.00) -- Q3 earnings
+2.8% RYA.ID (Ryanair Holdings €25.67, +0.69) -- Barclays upgrade
+1.8% TBCG.LN (TBC Bank Group £48.84, +0.84) -- Q3 earnings
+1.5% PIRC.IM (Pirelli & C. €6.81, +0.10) -- Q3 earnings
Notable Decliners
-33.0% BINV.SS (BioInvent International SEK2.54, -1.23) -- reports final terms for the Rights Issue of approximately SEK 430M
-23.3% BPOST.BB (bnode €0.90, -0.27) -- Q3 earnings
-23.1% SIFG.NA (Sif Holding €2.21, -0.67) -- Q3 earnings
-15.7% OUT1V.FH (Outokumpu €3.79, -0.70) -- Q3 earnings
-15.3% TEP.FP (Teleperformance €69.26, -12.36) -- Q3 revenue
-13.6% MOVE.SW (Medacta Group CHF106.00, -16.80) -- updates guidance for 2026 and reiterates 2024-2027 mid-term outlook
-12.1% EAH.LN (Eco Animal Health Group £0.84, -0.12) -- H1 trading update
-12.0% STAB1L.GR (Stabilus €14.42, -1.94) -- prelim Q4 earnings
-7.8% GL9.ID (Glanbia €19.63, -1.65) -- Morgan Stanley downgrade
-7.6% EMG.LN (Man Group £3.00, -0.25) -- notes judgment of High Court delivered today in relation to claim brought by PIFSS
-6.9% BRNL.NA (Brunel International €7.03, -0.52) -- Q3 earnings
-6.7% SEA1.NO (Sea1 Offshore NOK24.55, -1.75) -- Q3 earnings
-4.4% HNR1.GR (Hannover Re €292.60, -13.40) -- JPMorgan downgrade
-4.3% MUV2.GR (Munich Re €570.00, -25.40) -- JPMorgan downgrade
-4.2% TLT1V.FH (Teleste €3.19, -0.14) -- Q3 earnings
-3.4% RHM.GR (Rheinmetall €813.00, -28.80) -- Bernstein and Oddo downgrade
-3.3% COLO.B.DC (Coloplast DKK508.20, -17.20) -- UBS downgrade
-2.6% EQNR.NO (Equinor NOK394.90, -10.50) -- Morgan Stanley downgrade
-2.4% ISS.DC (ISS A/S DKK297.00, -7.20) -- initiated outperform at RBC Capital Markets
-1.8% KER.FP (Kering €186.12, -3.42) -- announces departure of Pierpaolo Piccioli as Creative Director of Balenciaga
-1.6% LOU.GR (DEAG Deutsche Entertainment €2.70, -0.04) -- Enhanced Group Inc entered into definitive exchange agreements to acquire a 77% majority stake in the company
-1.4% SOON.SW (Sonova Holding CHF288.00, -4.20) -- RBC Capital Markets downgrade
EU companies reporting tomorrow:
Earnings:
DACHs: Hannover Re (HNR1.GR), GEA Group (G1A.GR), Endeavour Silver (EJD.GR), Patrizia (PAT.GR), Hypoport (HYQ.GR)
France: Transgene (TNG.FP)
Nordics: NTG Nordic Transport Group (NTG.DC)
Southern Europe: Almirall (ALM.SM), NewPrinces (NWL.IM), Pharmanutra (PHN.IM), SECO (IOT.IM), Acinque (AC5.IM), doValue (DOV.IM), Valsoia (VLS.IM), Sonaecom (SNC.PL)
UK: Kainos Group (KNOS.LN), SRT Marine Systems (SRT.LN)
Other: Turkcell (TCELL.E.TI)
Trading Statement:
Benelux: Theon International (THEON.NA)
UK: RHI Magnesita (RHIM.LN)
Other: Kingspan Group (KRX.ID)
Data:
Economics:
Eurozone Sep Retail Sales +0.4% y/y vs consensus +0.6% and prior revised +1.3% from +0.8%; (0.7%) m/m vs consensus (0.1%) and prior revised +0.4% from +0.1%
UK Oct Lloyds House Prices y/y (1.2%) vs consensus (0.3%) and prior revised to (0.1%) from 0.0%
Germany Sep Industrial Production +0.7% m/m vs consensus 0.0% and prior revised +1.0% from +2.0%
France Sep Trade Balance (€7.3B) vs consensus (€5.8B) and prior revised to (€6.0B) from (€6.1B)
Switzerland Oct Consumer Sentiment (44.9) vs consensus (35) and prior (35.8)
Markets:
WTI Crude (26-Dec): +$0.11 or +0.12% to $90.63
€-$ (0.0069) or (0.62%) to 1.1150
£-$ (0.0086) or (0.64%) to 1.3365
€-£ +0.0000 to 0.8344
S&P 500 +0.96%
Performance year-to-date:
FTSE 100: +7.48%
DAX: +5.43%
CAC: (0.13%)
MIB: +11.37%
Stoxx 600: +9.48%
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