Europe Factors to Watch-Shares set to extend winning streak

miércoles 21 de enero de 2015 03:33 GYT
 

PARIS, Jan 21 (Reuters) - European stocks were set to rise on Wednesday,
gaining ground for the fifth straight session, fuelled by expectations the
European Central Bank is about to launch a quantitative easing programme to
boost the region's economy.
    At 0730 GMT, futures for Euro STOXX 50, for Germany's DAX 
and for France's CAC were up 0.1-0.2 percent.
    European tech shares will be in the spotlight after U.S. bellwether
International Business Machines Corp posted a new 2015 profit target and
quarterly revenue that both missed analysts' estimates. 
    Resource-related shares will also be in focus after North Sea oil and gas
field operator Talisman Sinopec Energy UK said it would cut 300 jobs due to
falling production and rising operating costs in the wake of plunging oil
prices, becoming the latest company to axe jobs after oil majors BP and
ConocoPhillips cut more than 500 jobs in the North Sea. 
    Total's chief executive said the oil major plans to reduce capital
spending by 10 percent this year following a sharp drop in crude prices.
 
    Miner BHP Billiton said it would cut its spending on shale drilling
over the next six months as it looks to meet its promise not to reduce dividends
in the face of a collapse in iron ore, copper and oil prices. 
    The FTSEurofirst 300 has surged 5 percent in the past four
sessions, hitting its highest level in seven years and outperforming Wall
Street, as investors bought European shares on mounting expectations the
European Central Bank will unveil a programme to print money and buy bonds when
it meets on Thursday to try and revive the euro zone economy and inflation.
            
    Europe bourses in 2014: (link.reuters.com/pad95v)
    Asset performance in 2014: (link.reuters.com/rav46v)
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  MARKET SNAPSHOT AT 0730 GMT:     
    
                                         LAST   PCT CHG  NET CHG
 S&P 500                             2,022.55    0.15 %     3.13
 NIKKEI                              17280.48   -0.49 %   -85.82
 MSCI ASIA EX-JP                       475.26    1.39 %     6.52
 EUR/USD                               1.1565    0.14 %   0.0016
 USD/JPY                               117.58   -1.02 %  -1.2100
 10-YR US TSY YLD                       1.788        --    -0.02
 10-YR BUND YLD                         0.449        --     0.00
 SPOT GOLD                          $1,298.91    0.41 %    $5.35
 US CRUDE                              $46.87    0.86 %     0.40
 
  > GLOBAL MARKETS-SHARES UP ON ECB EASING HOPES, BOJ HOLD LIFTS YEN 
  > WALL ST ENDS FLAT AS HOPE FOR ECB MOVE INCREASES 
  > TOKYO'S NIKKEI SHARE AVERAGE CLOSES DOWN 0.49 PCT 
  > TREASURIES-LONG BONDS GAIN AS INVESTORS GRAB FOR HIGHER YIELDS 
  > FOREX-YEN REBOUNDS AGAINST DOLLAR AFTER BOJ STANDS PAT ON POLICY 
  > GOLD EXTENDS GAINS TO 5-MONTH HIGH AHEAD OF ECB MEETING 
  > METALS-LONDON COPPER EDGES UP IN THIN TRADE, ECB MEET EYED 
  > BRENT CRUDE INCHES ABOVE $48, BUT OUTLOOK REMAINS WEAK 
    
    COMPANY NEWS:
    
    BHP BILLITON 
    The world's largest miner said on Wednesday it would cut its spending on
shale drilling over the next six months as it looks to meet its promise not to
reduce dividends in the face of a collapse in iron ore, copper and oil prices.
 
    
    TOTAL 
    The French oil and gas group plans to reduce capital spending by 10 per cent
this year, its new chief executive Patrick Pouyanne told the Financial Times.
 
    
    ENERGY SECTOR
    North Sea oil and gas field operator Talisman Sinopec Energy UK said it
would cut 300 jobs due to falling production and rising operating costs in the
wake of plunging oil prices, becoming the latest company to axe jobs after oil
majors BP and ConocoPhillips cut more than 500 jobs in the North
Sea. 
    
    SABMILLER 
    International brewer SABMiller on Wednesday reported a rise in
third-quarter sales despite ongoing weakness in China due to poor weather last
year. 
    
    PEARSON 
    The education and media group said it expected to grow its earnings in 2015
after solid growth in its North American higher education business helped it
bring an end to a turbulent two-year period of restructuring and profit
downgrades. 
    
    DIXONS CARPHONE 
    Electricals and mobile phone retailer Dixons Carphone raised its guidance
for 2014-15 profit after a strong Christmas, it said on Wednesday.
 
    
    FIRSTGROUP 
    The transport firm said it expected to meet its forecasts for the current
financial full year after strong third-quarter performances from its rail
operations in Britain and its shuttle bus business in the United States.
 
    
    ASML NV 
    The world's second largest maker of semiconductor production equipment
posted better-than-expected fourth-quarter results, saying demand from memory
chip makers was stronger than expected. 
    
    ALSTOM 
    The group, which is selling most of its power equipment business to General
Electric to focus on transport, confirmed its full-year revenue and
profit target after posting a 10 percent quarterly sales jump at its remaining
rail arm. 
    
    BOUYGUES 
    The company said its construction division won a contract worth close to 100
million euros to build a power station in Gibraltar. 
    
    VIVENDI 
    The French national rugby league said Canal+ has won the exclusive right to
broadcast the next four seasons of Top 14 rugby.  
        
    ACCOR 
    Europe's largest hotel group said it estimated its operating profit last
year was above target after robust demand in Europe and emerging markets gave a
boost to revenue growth in the fourth quarter.  
    
    UNICREDIT 
    Italy's biggest bank is not interested in making acquisitions even after the
latest move by the Italian government to reform the country's cooperative banks,
the lender's CEO Federico Ghizzoni said on Tuesday. 
    
    ITALIAN BANKS
    Italian Prime Minister Matteo Renzi's government on Tuesday defied
widespread political opposition by drafting an emergency decree to change
shareholder voting rules at the country's popolari or cooperative lenders.
    
    IAG, AER LINGUS 
    The Irish government will "exercise great caution" in evaluating whether a
bid for Aer Lingus by the owner of British Airways and Spain's Iberia is in the
country's best interest, its transport minister said on Tuesday.
    
    LONZA 
    The life sciences company held off giving a quantitative forecast for sales
and profit growth this year, as it grapples with an unexpected surge in the
Swiss franc after the country's central bank scrapped its cap on the currency.
 
    
    BARRY CALLEBAUT 
    The world's largest maker of chocolate and cocoa products said the strong
Swiss franc could impact its reported figures, after sales rose 15.1 percent in
the quarter to November, helped by higher cocoa bean prices. 
    
    ALLIANZ 
    Pimco said on Tuesday it has placed an overweight position on global
equities, particularly European and Japanese equities, and is underweight on
global government bonds and other securities that reflect interest rate
exposure. 
    
    CARMAKERS   
    Toyota Motor Corp took the unusual step of projecting a drop in
annual vehicle sales on Wednesday in a move that could see Volkswagen steal the
industry crown this year as demand slumps in Japan, Indonesia and other key
markets. 
    

 (Reporting by Blaise Robinson; Editing by James Regan and Alistair Smout)