European Factors to Watch- Shares to halt fall, eyes on German Ifo

miércoles 24 de septiembre de 2014 02:44 GYT
 

(Rewrites throughout, adds futures, more company news)
    By Francesco Canepa
    LONDON, Sept 24 (Reuters) - Euro zone indexes were seen halting their recent
slide on Wednesday, helped by some supportive comment by the European Central
Bank President Mario Draghi and mirroring gains in Asian shares, although the
mood remained cautious ahead of a key German sentiment report.
    At 0638 GMT, futures for the Euro STOXX 50, Germany's DAX 
and France's CAC were between 0.1 percent and 0.3 percent higher, while
contracts on Britain's FTSE 100 were 0.1 percent lower.
    Speaking in a French radio interview, Draghi said euro zone monetary policy
would remain accommodative for a long period and that the goal was to push
ultra-low inflation back up closer to the two percent level. 
    European investors were taking their cue from a recovery in the Asian
markets, where the MSCI broadest index of Asia-Pacific shares outside Japan
 recovered from a four-month overnight thanks to a rally in
Chinese shares. 
    Following a raft of worse-than-expected economic data from euro zone
countries, including German and French business surveys on the previous day,
investors braced for more disappointment when Germany's Ifo business morale
index is published at 0800 GMT.
    The Ifo business climate index was expected to have fallen to 105.7 points
in September from 106.3 points in the previous month.
    "I think everybody will be careful as there is a real risk of
disappointment," Mike Reuter, a broker at Tradition, said.
    "Some risk-off is likely to continue with more shift into safer assets out
of equities but not a dramatic move. China is actually helping a bit with
Shanghai and Hong Kong ticking better for the second session so we might get
some help from there." 
    The United States and its Arab allies bombed militant groups in Syria for
the first time on Tuesday, opening a new front amid shifting Middle East
alliances and sapping demand for risk. 
    
    COMPANY NEWS
    
    ROYAL BANK OF SCOTLAND 
    RBS said the initial public offering of Citizens Financial Group Inc 
was priced at $21.50 per share, valuing its U.S. unit at about $12 billion.
 
    
     ADECCO 
     Adecco, the world' largest temporary staffing company by sales, said on
Wednesday sales rose in the first two months of the third quarter. 
    For more click on 
        
    UNICREDIT, SANTANDER 
    UniCredit and Spain's Santander SA are in talks to merge their fund
management businesses and create a European powerhouse overseeing some 350
billion euros ($450 billion) of assets. 
    
   TELEFONICA 
   Spain's Telefonica is considering a range of tie-up options in Mexico with
broadcaster Grupo Televisa, including creating a new telecommunications company
together, a person with knowledge of the matter said. For more click on
 
    
    FCC 
    Billionaire George Soros will not raise his stake in Spanish building and
services company FCC when the company implements a planned share sale, Bloomberg
reported on Tuesday, citing two people familiar with the matter. 
    
    PHARMA
    Pfizer Inc, which in May abandoned its attempt to buy British
drugmaker AstraZeneca Plc, has approached Dublin-based generic drugmaker
Actavis Plc to express its interest in an acquisition, Bloomberg
reported, citing people with knowledge of the matter.   
    
    TELECOMS
    The elimination of roaming fees for using mobile phones in other EU
countries could be delayed in what would be a win for big European telecoms
operators at the expense of consumers, according to a draft EU proposal.
   
    
    VESTAS WIND SYSTEMS 
    The Danish wind turbine maker announced late on Tuesday it had received an
order in Texas for 55 of its V110-2.0 MW turbines, corresponding to a total
order size of 110 MW.
    For more on the company, click 
        
    ASSA ABLOY 
    The Architecture Billings Index, considered a leading indicator of U.S.
non-residential construction, fell in August from a seven-year high in July, the
American Institute of Architects said.
    The ABI fell to 53.0 in August from 55.8 in July, still reflecting an
increase in design activity, while the Institutional sector index, the most
relevant sub-index to Assa Abloy, the world's biggest lock maker, posted its
largest gain since 2007.
    For more on the company, double click  
    
    AIRBUS GROUP 
    French industrial group Airbus is in talks with GMR Group to buy a stake in
the Indian group's aircraft maintenance Unit, Indian newspaper Business Standard
reported on Wednesday.
    The Financial Times reported Airbus Group is packing more seats into its
A380 superjumbo aircraft, hoping to revive interest in the world's largest
passenger jet.
    
    ARM HOLDINGS PLC 
    British technology company Arm Holdings is releasing a chip designed for
connected home appliances and wearable products, hoping to open up new avenues
for future growth.
    
    KINNEVIK 
    The Swedish investment group said the planned floatation of Germany's Rocket
Internet would value its stake in the company 5.3-6.7 billion crowns ($741-937
million) higher than reported at the end of June, equivalent to an increase in
net asset value of 19-24 crowns per share.
    Rocket on Tuesday set the price in a range of 35.50 to 42.50 euros per share
and said it expected gross proceeds of about 1.48 billion euros ($1.90 billion),
assuming it places the maximum number of shares at the mid-point of the price
range, corresponding to a market capitalisation of 6.2 billion euros.
    For a full story double click on 
    
    CODERE 
    Spanish gambling company Codere said on Tuesday it had struck a
debt refinancing deal with the majority of its bondholders. For more, please
click on   
    
    MAJOR MACROECONOMIC DATA/EVENTS (GMT)  :
    0800 IT Consumer Confid Sep
    0800 DE Ifo Current Con Sep
    1400 US New Home Sales  Aug
    
    No major European company is due to report results on Wednesday.
 
    
    MAJOR U.S. COMPANIES REPORTING :
    Q4 2014 Accenture                         
    
------------------------------------------------------------------------------
  MARKET SNAPSHOT AT 0640 GMT: 
    
    
                                                   LAST     PCT CHG     NET CHG
 S&P 500                                       1,982.77     -0.58 %      -11.52
 NIKKEI                                        16167.45     -0.24 %      -38.45
 MSCI ASIA EX-JP                                 486.29      0.16 %        0.76
 EUR/USD                                         1.2842     -0.02 %     -0.0003
 USD/JPY                                         108.66      -0.2 %     -0.2200
 10-YR US TSY YLD                                 2.549          --        0.02
 10-YR BUND YLD                                   1.024          --        0.01
 SPOT GOLD                                    $1,224.05      0.11 %       $1.36
 US CRUDE                                        $91.78      0.24 %        0.22
 

  
  > ASIA STOCKS HIT BY SYRIA AIR STRIKES, LOWER YIELDS CHECK DOLLAR 
  > WALL ST ENDS LOWER, S&P 500 FALLS FOR THIRD STRAIGHT DAY        
  > NIKKEI SLIPS AS U.S. AIR STRIKES STOKE GEOPOLITICAL CONCERNS    
  > BOND YIELDS FALL ON WEAK EUROPEAN DATA, U.S. STRIKES            
  > DOLLAR INDEX UNDERPINNED BY SAFETY-BID AFTER U.S. STRIKES       
  > GOLD HOLDS GAINS AS EQUITIES DIP, BUT INVESTORS CAUTIOUS        
  > LONDON COPPER MIRED NEAR 3-MONTH LOWS WITH SUPPLY SET TO GROW   
  > BRENT SLIPS FURTHER AWAY FROM $97 AS AMPLE SUPPLY WEIGHS        
    

 (Reporting By Francesco Canepa, editing by Tricia Wright)