Europe Factors to Watch-Shares set to dip on NY Ebola case

viernes 24 de octubre de 2014 02:22 GYT
 

PARIS, Oct 24 (Reuters) - European stocks were set to fall on Friday,
reversing the previous session's gains as investors fretted about news that a
doctor who had recently returned to New York from West Africa had tested
positive for Ebola.
    At 0610 GMT, futures for Euro STOXX 50, for UK's FTSE 100,
for Germany's DAX and for France's CAC were down 0.3-0.5
percent.
    A New York City doctor who treated Ebola patients in West Africa became the
first person to test positive for the virus in America's largest city, setting
off fresh fears about the spread of the disease. 
    U.S. stock index futures   fell on the news while
safe-haven assets such as the yen and U.S. bonds gained ground. 
    On the earnings front, global truck maker Volvo will be in the
spotlight after posting a surprise rise in core earnings, but said it expected
industry-wide heavy-duty truck sales to be flat in Europe next year.
 
    BASF, the world's largest chemicals company by sales, also posted
forecast-beating quarterly results, while mobile telecom gear maker Ericsson
 posted third-quarter operating profit below expectations, and said
business activity in North America had slowed down.
    So far in Europe's earnings season, about a fifth of STOXX 600 
companies have reported results, of which 68 percent have met or beaten analyst
forecasts, according to Thomson Reuters Starmine data. In absolute terms,
companies have posted a 13.7 percent rise in quarterly profits, well above a 6.8
percent rise in quarterly earnings posted by S&P 500 companies.
    On the macro front, data showed German consumer morale picked up heading
into November after slight declines in the previous two months, suggesting
consumers feel confident about their own incomes and are willing to spend even
though Germany's economy is slowing. 
    Euro zone banking stocks will also be in focus. On Thursday, the euro zone's
130 biggest banks received the European Central Bank's final verdict on their
finances after a review aimed at drawing a line under persistent doubts about
the health of the region's banking sector. They will not be made public until
1100 GMT on Sunday.         
    
    Europe bourses in 2014: (link.reuters.com/pad95v)
    Asset performance in 2014: (link.reuters.com/rav46v)
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  MARKET SNAPSHOT AT 0615 GMT: 
                                         LAST   PCT CHG  NET CHG
 S&P 500                             1,950.82    1.23 %    23.71
 NIKKEI                              15291.64    1.01 %   152.68
 MSCI ASIA EX-JP                       472.49   -0.08 %    -0.38
 EUR/USD                               1.2658    0.11 %   0.0014
 USD/JPY                               107.95   -0.28 %  -0.3000
 10-YR US TSY YLD                       2.248        --    -0.03
 10-YR BUND YLD                         0.886        --    -0.01
 SPOT GOLD                          $1,231.05   -0.07 %   -$0.84
 US CRUDE                              $81.72   -0.45 %    -0.37
 
  > GLOBAL MARKETS-US STOCK FUTURES SLIP ON NY EBOLA CASE REPORTS 
  > US STOCKS-WALL ST GAINS ON INDUSTRIAL EARNINGS BUT ENDS OFF HIGHS 
  > NIKKEI GAINS CAPPED BY EBOLA CASE IN NEW YORK 
  > TREASURIES-BOND YIELDS CLIMB ON STOCK GAINS, U.S. AND OVERSEAS DATA 
  > YEN RALLIES ON SAFE-HAVEN BIDS AFTER NEW YORK EBOLA CASE REPORTS 
  > GOLD SLIPS, POISED FOR WEEKLY LOSS ON STRONG U.S. DATA, DOLLAR 
  > METALS-LME COPPER SET FOR WEEKLY RISE ON SEASONAL CHINA DEMAND 
  > BRENT SLIPS TOWARDS $86 AS NEW YORK EBOLA CASE HITS RISK APPETITE 
    
    COMPANY NEWS
    
    VOLVO 
    Global truck maker Volvo posted a surprise rise in core earnings on Friday
and said it expected industry-wide heavy-duty truck sales to be flat in Europe
next year while further growth was forecast for the resurgent North American
market. 
    
    BASF 
    Quarterly operating earnings at BASF, the world's largest chemicals company
by sales, rose 8.9 percent as a strong U.S. petrochemicals business offset weak
demand in Europe. Earnings before interest and tax (EBIT), adjusted for one-off
items, rose to 1.84 billion euros ($2.33 billion), ahead of the 1.74 billion
euro average estimate in a Reuters poll of analysts. 
    
    ERICSSON 
    The mobile telecom gear maker posted third-quarter operating profit below
expectations on Friday and said business activity in North America had slowed
down. 
    
    BANKIA 
    The Spanish nationalised lender said on Thursday it had sold a loan
portfolio worth 772 million euros ($976.4 million), almost all of which was
comprised of non-performing loans. Separately, the bank lost an estimated 1.7
billion euros due to 11 irregular operations, mostly committed by Bancaja before
the merger, Expansion reported, citing legal documents. 
    
    CAIXABANK 
    Spanish lender Caixabank on Friday posted a 1.6 percent rise in nine-month
net profit from a year ago, at 466 million euros, just missing a 474 million
euros forecast in a Reuters poll of six analysts.
    
    AIR LIQUIDE 
    French industrial gases group Air Liquide confirmed on Friday its
expectation that net profit would rise this year, barring a downturn in market
conditions, after third-quarter sales grew 4.3 percent like-for-like.
 
    
    BELGACOM 
    Belgian telecoms group on Friday raised its 2014 profit forecast after a
surprise increase in the third quarter due to improved mobile income and lower
costs. 
    
    ESSILOR 
    Essilor, the world's largest maker of ophthalmic lenses, stuck to its
full-year revenue and margin forecasts after organic sales growth accelerated in
the third quarter. 
    
    AXA 
    Europe's second-biggest insurer said a stronger euro wiped out revenue
growth in the first nine months of the year, but the currency's recent
depreciation is expected to bring benefits. 
    
    ENI, SAIPEM 
    Russian energy giant Rosneft is waiting to see what Eni plans to
do with its 43-percent stake in Saipem before deciding whether to buy into the
Italian oil services company. 
    
    THALES 
    The French aerospace and defence group reported flat nine-month revenue and
3 percent growth in orders, driven by emerging markets as European defence cuts
continue to bite. 

    SAINT-GOBAIN 
    Europe's biggest supplier of building materials said it expected operating
income to rise 5 to 10 percent this year on a like-for-like basis even after
third-quarte sales fell 3.3 percent. 

    VINCI 
Europe's biggest construction and concessions company reported a 7.5 percent
decline in third-quarter sales but stuck to its full-year earnings guidance
thanks to a resilient performance by its motorway and airport concessions
businesses. 
    
    UNICREDIT 
    Unicredit is talking with a consortium comprising Fortress Investment Group
FIG.N and Italy's Prelios PCRE.MI on the sale of its bad loan unit Unicredit
Credit Management Bank and could soon enter exclusive talks. A source said an
announcement could come on Friday. 
    
    TELECOM ITALIA 
    Telecom Italia is in advanced talks to sell the mobile phone towers of its
Brazilian unit TIM Participacoes TIMP3.SA and could agree a deal in weeks, three
people with direct knowledge of the situation told Reuters. 
    
    ACCIONA 
    A consortium, including Spanish builder Acciona, has been chosen as
preferred bidder to extend Sydney's South East Light Rail through an estimated
investment of over 1.11 billion euros.
    
    KERING 
    Gucci's parent company posted a 4.4 percent third-quarter revenue gain and
said the fashion house showed signs of turning a corner in the third quarter,
even as its own sales fell. 
    
    RHOEN KLINIKUM 
    The hospital operator said on Thursday its share buyback programme had so
far been accepted by shareholders holding about 6.35 percent of its basic
capital. 
    
    SEB 
    The household equipment manufacturer said third-quarter revenue rose to 1.03
billion euros from 998 million euros a year earlier. 
        
    NORBERT DENTRESSANGLE 
    The freight and logistics operator said third-quarter revenue rose to 1.19
billion euros from 1.03 billion euros a year earlier. 
    
    SAFT GROUPE 
    The battery maker said third-quarter revenue rose to 156.8 million euros
from 153.2 million euros a year earlier. 

 (Reporting by Blaise Robinson; Editing by Atul Prakash)