UPDATE 4-Europe Factors to Watch-Shares set to fall after Greek election

lunes 26 de enero de 2015 03:16 GYT
 

PARIS, Jan 26 (Reuters) - European stocks were set to fall sharply at the
open on Monday, trimming some of last week's sharp gains on heightened concerns
the Greek election results could lead to renewed instability in Europe.
    At 0715 GMT, futures for Euro STOXX 50, for Germany's DAX 
and for France's CAC were down 0.6-0.9 percent.
    Greek leftist leader Alexis Tsipras promised that five years of austerity,
"humiliation and suffering" imposed by international creditors were over after
his Syriza party swept to victory in a snap election on Sunday. 
    While Tsipras fell just short of an overall majority, he is set to lead the
first euro zone government committed to overturning the kind of budgetary rigour
that was imposed on Greece as a condition of the bailout in 2010, which could
embolden anti-austerity parties across the euro zone. 
    "Tsipras's comments last night don't appear to leave any room for doubt as
he stated that the troika and the bailouts belong to the past," Michael Hewson,
chief market analyst at CMC Markets, wrote in a note.
    "You can be almost certain that these negotiations will be watched carefully
by the anti-austerity movements in Spain, Portugal, Italy and France to see what
measures if any Greece is able to get out of EU politicians to deal with the
problem of Greece's debt, and the terms of the bailout program."
    ECB board member Benoit Coeure said in a newspaper interview published on
Monday that the European Central Bank would not take part in any debt cut for
Greece.
    "It is not up to the ECB to decide whether Greece needs debt relief," Coeure
told the German business daily Handelsblatt. "But it's absolutely clear that we
cannot agree to a debt relief that includes Greek bonds that are located at the
ECB," he said, adding this would not be possible for legal terms.
 
            
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 MARKET SNAPSHOT AT 0713 GMT:        
                                         LAST   PCT CHG  NET CHG
 S&P 500                             2,051.82   -0.55 %   -11.33
 NIKKEI                              17468.52   -0.25 %   -43.23
 MSCI ASIA EX-JP                        479.7    -0.2 %    -0.95
 EUR/USD                               1.1212    0.04 %   0.0005
 USD/JPY                               118.16    0.36 %   0.4200
 10-YR US TSY YLD                       1.777        --    -0.04
 10-YR BUND YLD                         0.348        --    -0.02
 SPOT GOLD                          $1,291.85   -0.18 %   -$2.30
 US CRUDE                              $44.87   -1.58 %    -0.72
   
  > GLOBAL MARKETS-EURO, STOCKS SLIP AS SYRIZA WINS GREEK ELECTION 
  > WALL ST FALLS ON MINERS, UPS; INDEXES UP FOR WEEK 
  > NIKKEI FALLS AS ANTI-AUSTERITY PARTY WINS GREEK ELECTION 
  > FOREX-EURO HITS 11-YEAR LOW AS GREEK LEFTISTS SWEEP TO POWER 
  > GOLD RISES TOWARDS $1,300 AS GREEK VOTE SPARKS SAFE-HAVEN DEMAND 
  > LME COPPER HITS NEAR 2-WEEK LOW AS EURO SKIDS AFTER GREEK POLLS 
  > OIL FALLS AFTER GREEK ELECTION SENDS EURO TUMBLING 
    
    COMPANY NEWS:
    
    BNP PARIBAS, BANCA POPOLARE DI MILANO 
    BNP Paribas may consider buying Banca Popolare di Milano, Il Messaggero
wrote on Sunday in a story looking at various merger scenarios for the popolari
after the government's decree changing shareholder voting rules. BNP Paribas
officials were not immediately available for comment. 
    
    CREDIT SUISSE 
    The Swiss bank is considering a cost-savings package in response to the
recent appreciation of Switzerland's currency, a Swiss newspaper reported on
Sunday. 
    
    SWATCH 
    The watchmaker will not change its long-term strategy in response to the
Swiss National Bank's decision to end its currency cap against the euro, its
chief executive said in a newspaper interview published on Sunday. 
    
    BANCO POPOLARE 
    The chairman and the chief executive of the bank have written a letter to
employees saying that the government decree changing the shareholder voting
rules is unconstitutional, several newspapers said on Sunday. According to Il
Sole 24 ore on Saturday, one possible amendment to the decree would see the
introduction of a 3-5 percent voting right cap. 
    
    ENEL 
    The fall in the share price of Enel is delaying the sale of a stake by the
treasury, Il Messaggero said on Saturday. 
    
    INTESA SANPAOLO 
    The Carifirenze foundation could sell its 10.3 percent stake in the Tuscan
bank to Intesa, Il Corriere della Sera said on Sunday. A decision on the
foundation's stake in Intesa is not around the corner: a small reduction, if it
happens, will not take place before spring 2016, the paper said. 
    
    ADECCO 
    The staffing firm's chief executive said in an interview published on Sunday
he believed the company would hit its margin target for 2015, despite sluggish
growth in the euro zone. 
    
    DELHAIZE 
    Belgian supermarket group on Monday unveiled better-than-expected sales
growth in the United States for the fourth quarter and a decline in Belgium,
marred by industrial action, that was not as bad as feared. 
    
    FRESENIUS, FRESENIUS MEDICAL CARE 
Fresenius plans to raise its dividend for the 22nd year in a row after hitting
its financial targets for 2014, its chief executive told the Euro am Sonntag.
He said subsidiary Fresenius Medical Care had gained a measure of clarity about
U.S. budget cuts for dialysis payments but price pressure would remain.
 
    
    CARREFOUR 
    The Moulin family that owns French department store Galeries Lafayette
 has raised its stake in supermarket chain Carrefour CARR.PA to 9.5
percent. In an interview with business daily Les Echos, Philippe Houze, chairman
of Galeries Lafayette's management board, said the family's holding did not plan
to increase its stake further but would request two seats on Carrefour's board.
    
    IAG, AER LINGUS 
    The owner of British Airways and Iberia has made a third takeover approach
to Aer Lingus, offering to pay 2.50 euros per share, or around 1.3 billion euros
in total for the Irish airline, Sky News reported on Saturday. 
    
    SACYR 
Spanish builder Sacyr said late on Friday that it had reached agreement with 80
percent of creditors on a 2.2 billion euro debt refinancing backed by its 9.5
percent stake in oil major Repsol. 

 (Reporting by Blaise Robinson; Editing by Atul Prakash)