European Factors to Watch-Shares seen lower on Greek jitters

martes 12 de mayo de 2015 02:37 GYT

(Adds futures prices, company news)
    By Atul Prakash
    LONDON, May 12 (Reuters) - European shares headed for a weaker start on
Tuesday, with lingering concerns about Greece's debt situation seen prompting
equity investors to trim their trading positions.
    At 0636 GMT, futures for the Euro STOXX 50, Germany's DAX,
France's CAC and Britain's FTSE fell 0.4 to 1.0 percent.
    Finance ministers of the euro zone welcomed on Monday progress achieved in
negotiations between Greece and its creditors on a cash-for-reform deal but said
more work is needed to bridge differences holding up a comprehensive agreement. 
    "Reaching an agreement remains difficult to achieve despite expectations for
Greece to commit a number of reforms to unlock aid," Capital Spreads dealer
Jonathan Sudaria said in a note.
    Greece calmed immediate fears of a default by making a crucial 750 million
euro payment to the International Monetary Fund a day early. But Finance
Minister Yanis Varoufakis said the liquidity situation was "terribly urgent" and
a deal to release further funds was needed in the next couple of weeks.
    Investors will also keep a close eye on the bond market. German Bund yields
rose on Tuesday as a global sell-off in bond markets, which has surprised
investors and puzzled analysts since the end of April, resumed. 
    Analysts have said in the past two weeks that the sell-off was partly
sparked by an uptick in inflation expectations amid a rise in oil prices and
uneasiness with record low yields. 
   The pan-European FTSEurofirst 300 index ended 0.3 percent higher at
1,592.40 points on Monday, before the U.S. equities . closed
0.2 to 0.5 percent lower. 
    The postal and logistics group said it would review the restructuring
process at its freight division after reporting a lower than expected first
quarter operating profit. 
    Allianz saw another 68.3 billion euros ($76.3 billion) in assets flow out of
its U.S.-based asset manager Pimco in the first quarter, pushing the operating
profit for the group's asset management division down by 14 percent.
    General Electric Co said on Monday for the first time it would be
willing to consider concessions in order to win European approval to acquire the
power equipment unit of France's Alstom. 
    The miner expects to cut unit costs at Western Australia iron ore by 21 per
cent to $16 per tonne during the 2016 financial year. 
    Belgian financial group KBC on Tuesday reported better-than-expected net
profit in the first quarter due to a strong improvement in the company's
insurance business and a return to profit for its unit grouping smaller markets
such as Ireland. 
    Britain has reduced its stake in Lloyds by 1 percentage point to below 20
percent, days after a surprise election triumph for the Conservative party sent
the bank's shares soaring to multi-year highs. 
    German industrial group ThyssenKrupp raised its full-year profit forecast
thanks to better execution and stabilising economic conditions, it said on
    The consumer goods company has agreed to acquire Colgate-Palmolive's 
entire range of laundry detergents and pre-wash brands in Australia and New
Zealand for 220 million euros ($245.43 million). 
    Europe's largest hotel group said it had sealed a deal to open a luxury
hotel in Cuba, the 518-room Pullman Cayo Coco, near the Caribbean island's
international airport. 
    France's third-largest construction company posted slightly lower
first-quarter sales as robust concessions and energy businesses offset lower
revenue from public works and construction amid a weak economic climate.
    The German potash miner K+S lifted its full-year sales forecast on Tuesday,
citing higher volumes at its salt business. 
    The French media group said it signed a 1.25 billion euro five-year
multi-currency syndicated credit facility for "general corporate purposes",
replacing a previous 1.645 billion facility signed in 2011. 
    Danish brewer Carlsberg reported on Tuesday a rise in first-quarter
operating profit due to growth in beer volumes in Western Europe and Asia, and
maintained its 2015 guidance.  
    The cement maker said it noted that Holcim had filed its public exchange
tender offer for Lafarge with France's AMF regulator in "an important step
toward the proposed merger to create LafargeHolcim". 
    VW will break up MAN and transfer MAN's truck and bus businesses,
as well as MAN Latin America, into VW's new Truck & Bus Holding GmbH, German
daily Frankfurter Allgemeine Zeitung said. 
    Separately, Formula One remains an option for Audi, the German carmaker's
chief executive Rupert Stadler was quoted as saying on Monday amid speculation
about a partnership with former world champions Red Bull. 
    Swiss Life said premium income rose by 11 percent in the first quarter,
supported by growth in its largest market Switzerland. For more, click on
    Norwegian mobile phone group Telenor appointed Sigve Brekke, the head of its
Asian operations, to take over as chief executive from August 17, when Jon
Fredrik Baksaas retires after 13 years atop the firm. 
    The company has neither received any offers of a takeover, nor has it been
contacted by interested parties, its chief executive was quoted as saying by a
Swiss paper on Tuesday. 
    The French oil major signed an agreement to explore for offshore oil with
Cuban state oil monopoly CubaPetroleo (Cupet), Cuban state-run television
reported without giving further details. The announcement was made during a
visit to the Communist-run country by French President Francois Hollande.
    The oil and gas services company said it won a contract from BP to
provide production pipeline systems for the Thunder Horse project in the Gulf of
    Anglo American may increase capacity at its Minas-Rio iron ore mine in
Brazil by nearly 10 percent, a move that could cut unit costs at the troubled
$13 billion project, the company's Brazil chief executive said on Monday.
    Royal Dutch Shell's quest to return to oil drilling in the U.S. Arctic for
the first time since 2012 took a big step forward on Monday when the Obama
administration approved the company's exploration plan. 
                                           LAST  PCT CHG     NET CHG
 S&P 500                               2,105.33  -0.51 %      -10.77
 NIKKEI                                19592.54  -0.14 %      -28.37
 MSCI ASIA EX-JP                         503.65  -0.13 %       -0.66
 EUR/USD                                 1.1179   0.22 %      0.0025
 USD/JPY                                 120.24   0.14 %      0.1700
 10-YR US TSY YLD                         2.298       --        0.03
 10-YR BUND YLD                           0.609       --        0.01
 SPOT GOLD                            $1,182.86  -0.07 %      -$0.84
 US CRUDE                                $59.23  -0.03 %       -0.02
  > Asia stocks, euro falter as Greek crisis saps confidence 
  > Wall Street ends down on global jitters; oil stocks lower 
  > Japan shares drop on earnings caution, bond volatility 
  > Wall Street ends down on global jitters; oil stocks lower 
  > Dollar strengthens as Greek debt crisis weighs on euro 
  > Gold struggles below $1,200 as dollar firms 
  > London copper steady, overshadowed by stronger dollar 
  > Oil prices dip on oversupply, worries over Greece 

 (Reporting by Atul Prakash)