Europe Factors to Watch-Shares set to fall for 4th day in a row

jueves 11 de diciembre de 2014 03:31 GYT
 

PARIS, Dec 11 (Reuters) - European stocks were set to fall on Thursday,
losing ground for the fourth session in a row as this week's slump in oil and
iron ore prices hurts resource-related shares and fuels worries over the pace of
global growth.
    At 0727 GMT, futures for Euro STOXX 50, for Germany's DAX 
and for France's CAC were down 0.1-0.2 percent.
    Investor focus will also be on the results of the European Central Bank's
loan offer to banks, expected around 1015 GMT. The ECB is offering banks the
cheap, four-year loans as part of a package of measures to add around 1 trillion
euros to the central bank's balance sheet in a bid to pump more money into the
economy and stave off the threat of deflation.
    A Reuters poll of money market traders on Monday pointed to banks taking 130
billion euros on Thursday. They borrowed 82.6 billion in a first tranche in
September and can take up to 400 billion in both rounds combined.
 
    "If the take-up is disappointing, there could be various reactions on stock
indexes: a drop on the news, followed by a rebound as the disappointing news
would spark hopes to see quantitative easing being launched in Europe earlier
than what is currently expected," said John Plassard, senior sales trader at
Mirabaud Securities, in Geneva.
    Resource-related shares were also in focus on Thursday. Brent crude 
ticked higher but remained below $65 per barrel, not far from a five-year low
hit in the previous session, with the market's bearish tone largely intact.
     Iron ore fell to its weakest level in more than five years as a supply glut
continued to weigh on the commodity that has nearly halved in value this year.
Global miners Rio Tinto and BHP Billiton are major iron ore
producers.
    Brent has plummeted more than 40 percent since June, forcing a number of oil
services companies, including Fugro and Seadrill to scrap
dividends as oil majors accelerate cost-cutting efforts.
    The STOXX oil and gas index, home of bellwethers such as BP,
Total and Eni, has tumbled 27 percent since June. The
sell-off has wiped $280 billion off market capitalisation of the sector, nearly
the size of Israel's GDP.
           
    Europe bourses in 2014: (link.reuters.com/pad95v)
    Asset performance in 2014: (link.reuters.com/rav46v)
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   MARKET SNAPSHOT AT 0727 GMT: 
                                         LAST   PCT CHG  NET CHG
 S&P 500                             2,026.14   -1.64 %   -33.68
 NIKKEI                               17257.4   -0.89 %  -155.18
 MSCI ASIA EX-JP                       462.86   -0.71 %    -3.32
 EUR/USD                               1.2465    0.14 %   0.0018
 USD/JPY                               118.10    0.25 %   0.2900
 10-YR US TSY YLD                       2.173        --     0.00
 10-YR BUND YLD                         0.678        --     0.00
 SPOT GOLD                          $1,222.80   -0.32 %   -$3.90
 US CRUDE                              $61.26    0.53 %     0.32
 
  > GLOBAL MARKETS-ASIA DOWN AS OIL FALL HITS SENTIMENT 
  > US STOCKS-INDEXES END DOWN MORE THAN 1 PCT AS ENERGY FALLS FURTHER 
  > NIKKEI SLIPS TO 2-WEEK LOW ON STRONG YEN AND OIL PRICE DROP 
  > FOREX-DOLLAR GETS RESPITE VS YEN; KIWI RISES AFTER RBNZ 
  > PRECIOUS-GOLD CLIMBS TOWARDS 7-WK HIGH AS DOLLAR, EQUITIES SLIDE 
  > METALS-DOLLAR DROP EASES PRESSURE ON METALS 
  > BRENT EDGES UP TOWARD $65, BUT SAUDI STANCE ON OUTPUT CURBS GAINS 
    
    COMPANY NEWS:
    
    INDITEX 
    Zara owner Inditex said on Thursday its nine-month net profit rose 0.8
percent to 1.69 billion euros ($2.1 billion) broadly in line with expectations
after a warm start to autumn and negative currency effects. 
    
    WHITBREAD 
    The owner of Premier Inn hotels and Costa Coffee, said it was on track to
meet full-year expectations after it posted a 6 percent rise in third-quarter
underlying sales. 
    
    BUNZL 
    British business supplies distributor Bunzl reaffirmed its expectation of a
6 percent rise in full-year revenue on Thursday, helped by like-for-like growth
in all its business areas. 
    
    SPORTS DIRECT 
    Britain's biggest sporting goods retailer, said it was confident of at least
reaching its full-year profit target, as it posted an 11 percent rise in first
half earnings on Thursday. 
    
    AIRBUS 
    On the second day of its investor presentation, the focus for the planemaker
will be on the outlook for the A330 and the slow-selling A380 after a
disappointing 2016 outlook on Wednesday. Its shares slid 10.4 percent on
Wednesday after it predicted flat profits in 2016, surprising investors who had
expected new and recently upgraded models to start boosting results that year. 
    
    DEUTSCHE BANK, BARCLAYS 
    The New York banking regulator is investigating if Deutsche Bank and
Barclays used algorithms on their trading platforms to manipulate foreign
exchange rates, a source with direct knowledge of the matter told Reuters.
 
    
    SBM OFFSHORE 
    The oil platform leasing firm announced a restructuring and establishment of
new headquarters. It said it was in the process of releasing about 600
contractor staff and an equal number of permanent staff, totalling approximately
1,200 positions worldwide, over the period 2014 and 2015. 
    
    DANONE 
    The French food group will hold a board meeting on Thursday to discuss
whether to keep or sell its medical nutrition business, a person familiar with
the matter said. Potential buyers include injectable medicine specialist Hospira
 and a group led by Fresenius. 
    
    ORANGE, NUMERICABLE-SFR, BOUYGUES, ILIAD
 
    France plans to award a new batch of mobile telecoms network licences in
December 2015 after holding an auction that the government hopes will raise more
than 2 billion euros ($2.49 billion). 
    
    NESTLE 
    Nestle will announce plans to open 10 skin care research centers worldwide,
deepening its investment in a faster-growing market for healthcare products.
 
    
    DAIMLER, VOLKSWAGEN RENAULT 
A European Union law agreed late on Wednesday to make trucks safer and more
aerodynamic, cutting fuel bills, emissions and improving safety, will be delayed
by around five years after the industry pushed for more time to develop new
vehicles. 

 (Reporting by Blaise Robinson; Editing by Alistair Smout)