European Factors to Watch-Stocks to surge after Greece submits reform plan
LONDON, July 10 (Reuters) - European stocks were seen surging at the open on Friday after Greece submitted fresh reform proposals to its euro zone creditors, making substantial concessions in a bid to win new funds and avert bankruptcy. U.S. futures jumped 1 percent in early Asian trade after proposals were announced. Greece has asked for 53.5 billion euros ($59 billion) to help cover its debts until 2018, but has pledged new tax hikes in return. Traders said that the latest reform plan had made investors cautiously optimistic that a deal could be struck by Sunday's deadline. "The proposals appear to offer additional concessions from Greece on the key issues that have stalled negotiations this year," said Craig Erlam, senior market analyst at OANDA. "(The proposals) could offer a platform on which a deal could be agreed this weekend." Futures for the Euro STOXX 50, Germany's DAX and France's CAC were up 1.8-2.3 percent by 0603 GMT, with futures for Britain's FTSE lagging slightly, up 1.1 percent. The pan-European FTSEurofirst 300 closed 2.3 percent up at 1,511.64 points on Thursday, moving further away from a 5 month low hit earlier this week. However it remains down over 8 percent from a 14-year high hit in April, pressured by uncertainty over the Greek debt crisis and volatility in Chinese markets. In addition to optimism over a potential Greece deal, global markets also took heart from a continued recovery in China's stock market, which rose strongly for a second day on Friday, buoyed by a barrage of government support measures. COMPANY NEWS AUTOS Brazil's government is preparing measures to increase vehicle exports, part of a plan to bolster its faltering automobile industry, the country's most important manufacturer, the head of the country's automakers association said on Thursday. Separately, Volkswagen told employees on Thursday that new VW brand chief Herbert Diess had been lured by Chief Executive Martin Winterkorn, a political gesture designed to gloss over any signs of rivalry between the two executives as VW seeks to move on from a damaging leadership crisis. Also, Bloomberg reported that Volkswagen was offering its China car dealers $161 million as demand slows. DEUTSCHE TELEKOM T-Mobile US Inc said on Thursday that aggressive pricing helped boost its net customer additions in the second quarter by 41 percent over a year ago to 2.1 million, and also offered free calls to and from Mexico and Canada. MUNICH RE The reinsurer is considering calling off its planned 90 million-euro takeover of Greece's ATE Insurance if political developments in Greece deteriorate, the company said on Thursday. SAP A U.S. appeals court on Thursday upheld the cancellation of a software patent owned by Versata Inc that previously led to a $345 million jury verdict against SAP. SIEMENS The industrial company has not seen an easing in pricing pressures in the gas-fired turbine market, the head of the company's energy business said on Thursday. SYNGENTA Monsanto President Brett Begemann told U.S. soybean growers that if it buys Syngenta, the combined company would be run out of the United States and enough Syngenta operations would be shed to ensure continued market competition for seeds and chemicals. For more click on [SYNN.VX} HOLCIM The Swiss cement maker holds 87.5 percent of the capital of French merger partner Lafarge after a tender offer that ended this week. The two companies unveiled a "merger of equals" last April to create the world's biggest cement maker, but terms were revised in March after shareholders in the Swiss company complained they were getting a raw deal. For more news see RBS France The French branch of Royal Bank of Scotland should soon open a voluntary redundancy plan, financial daily Les Echos said, adding that in a worst-case scenario staffing at the bank could fall to 20 people. On its website, RBS says the Paris office, opened our office in 1999, employs more than 170 French and international bankers. LAFARGE Swiss cement maker Holcim will hold 87.46 percent of the share capital of French merger partner Lafarge and at least 83.94 percent of its voting rights under final results of an exchange offer, Holcim said on Thursday. PLASTIVALOIRE Plastivaloire acquired through subsidiary BAP GmbH the Turkish plasturgiste Otosima. The acquisition to be paid entirely in cash and financed through banking credit. HOUSEBUILDERS - Britain will announce on Friday an overhaul of rules on how and where new houses can be built as it tries to address a chronic shortage of homes and put its economy on a sounder footing. BRITISH AMERICAN TOBACCO - The Chilean unit of British American Tobacco said on Tuesday it will close various plants in the South American nation after Congress stiffened an anti-tobacco law. SEB French household appliances group Seb reached an agreement with funds advised by Triton to purchase OBH Nordica group, a company operating in the small domestic appliance (SDA) industry in Scandinavia. FRAPORT The company reported June traffic figures showing passenger numbers at Frankfurt airport rose 2.8 percent, while freight volumes fell 2.5 percent. SMA SOLAR The solar company said on Thursday it has raised its 2015 sales and profit guidance. UNITED INTERNET United Internet said it was acquiring Polish webhosting firm home.pl for 135 million euros in cash and considering an IPO in its applications segment. MAJOR MACROECONOMIC DATA/EVENTS (GMT) : 0600 DE Wholesale Price Index 0645 FR Current account, Industrial output 0800 IT Industrial output 0830 GB Construction data, Trade balance 1230 CA Employment data 1500 US Wholesale Inventories, Sales 1530 US ECRI Weekly index ------------------------------------------------------------------------------ MARKET SNAPSHOT AT 0519 GMT: LAST PCT CHG NET CHG S&P 500 2,051.31 0.23 % 4.63 NIKKEI 19735.83 -0.6 % -119.67 MSCI ASIA EX-JP 457.82 1.2 % 5.41 EUR/USD 1.1098 0.56 % 0.0062 USD/JPY 121.79 0.38 % 0.4600 10-YR US TSY YLD 2.345 -- 0.04 10-YR BUND YLD 0.739 -- 0.01 SPOT GOLD $1,161.07 0.17 % $1.92 US CRUDE $53.34 1.06 % 0.56 > Asian shares ride China bounce, euro up on Greek hopes > US STOCKS-China relief fuels Wall St gains; Apple drops > Nikkei rises and market stabilises, but Fast Retailing caps gains > TREASURIES-Prices drop as China, U.S. stocks rally > FOREX-Signs of Greek progress lift euro, yen sags > PRECIOUS-Gold clings above 4-month low on euro > METALS-London copper volatile amid Greece, China relief > Oil prices rise on China stocks rebound, Greek deal hopes (Reporting by Alistair Smout)
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