European Factors to Watch-Shares seen higher, focus on earnings
(Updates futures prices, adds company news) LONDON, Oct 21 (Reuters) - European shares headed for a higher open on Wednesday after falling in the previous session, with investors focusing on quarterly earnings reports for the market's near-term direction. Futures for the euro zone's blue-chip Euro STOXX 50 index, Germany's DAX, France's CAC and Britain's FTSE were all up between 0.1 and 0.4 percent by 0650 GMT. Earnings reports were mixed on Wednesday, with Swiss power grids maker ABB posting a better-than-expected third-quarter net profit, European pay-TV group Sky reporting a slightly-better-than expected 10 percent jump in operating profit and the Nordic region's biggest bank by market value, Nordea, reporting third-quarter operating profit below forecasts. Swiss bank Credit Suisse posted a bigger-than-expected 24 percent drop in net profit and announced plans for two capital increases to raise just over 6 billion Swiss francs ($6.28 billion), while Thales, Europe's largest defence firm reported flat revenues. Only 6 percent of 284 companies in the STOXX Europe 600 index have reported quarterly results so far, of which 69 percent have met or beaten forecasts, according to Thomson Reuters StarMine. In the United States, 13 percent companies in the S&P 500 index have announced results, with 74 percent firms meeting or beating expectations and the rest missing forecasts. The pan-European FTSEurofirst 300 index ended down 0.5 percent in the previous session. COMPANY NEWS CREDIT SUISSE The Swiss bank announced plans for two capital increases to raise just over 6 billion Swiss francs ($6.28 billion), as well as a raft of changes to its top management and a partial flotation of its Swiss universal bank. The bank posted third quarter net profit of 779 million Swiss francs ($815.37 million), compared with a predicted 921 million francs in a Reuters poll. ABB Swiss power grids maker ABB posted better-than-expected third-quarter net profit as it cut costs to offset sluggish business with oil and gas customers and amid slowing growth in China and the United States, its two biggest markets. SYNGENTA Syngenta Chief Executive Officer Mike Mack has informed the Swiss company's board of his intention to step down, Syngenta said. Mack will be leaving the company at the end of October 2015. SKY European pay-TV group Sky posted a slightly-better-than expected 10 percent jump in first-quarter operating profit, helped by strong new broadband additions in Britain. BASF The company will announce a deal for around 36,000 workers at its main Ludwigshafen base on Wednesday, under which it will invest around 6 billion euros over the next five years and rule out involuntary redundancies until 2020. THALES Europe's largest defence company reaffirmed its financial targets on Wednesday as it reported flat revenue on a like-for-like basis for the third quarter. NORDEA The Nordic region's biggest bank by market value reported third-quarter operating profit below forecasts on Wednesday and said negative interest rates put pressure on interest income. DEUTSCHE TELEKOM Deutsche Telekom is considering selling its T-Mobile Netherlands business, according to two sources familiar with the matter, in a deal that could be worth about 5 billion euros ($5.7 billion). HOME RETAIL Britain's biggest household goods retailer warned on its full-year profit outlook, blaming trading uncertainty ahead of Black Friday and increased investment at its Argos chain. TNT EXPRESS EU antitrust regulators have no objections to FedEx's 4.4 billion euro ($5 billion) acquisition of Dutch peer TNT Express, the companies said on Tuesday, confirming what two people familiar with the matter previously told Reuters. CREDIT AGRICOLE The French bank said it would pay $787 million in sanctions-busting fines agreed with U.S. authorities from existing provisions, with no further effect on its accounts in the second half of the year. DEUTSCHE BANK The lender is pushing back bonus payments for investment bankers and managers to March from February to gain more time to assess the previous year's performance, daily Handelsblatt reported, citing a letter Deutsche's HR department sent to its works council. BHP BILLITON The miner lifted September quarter iron ore production 7 percent to 61 million tonnes versus the year-ago period, while maintaining fiscal 2016 guidance at 247 million tonnes. SAP SAP said it has exceeded 1,300 customers for the SAP Business Suite 4 SAP HANA since the launch in February 2015. NOVARTIS Novartis said it broadened its immuno-oncology pipeline with the acquisition of Admune Therapeutics and licensing agreements with Xoma and Palobiofarma. VOLKSWAGEN Swiss VW distributor AMAG said the registration ban has been lifted for VW commercial vehicles that were not affected by emissions manipulation, and that new vehicle models of Transporter, Amarok (Generation 2) starting in 2012, and Crafter can be registered again in Switzerland. NORSK HYDRO Norsk Hydro, one of the world's largest aluminium producers, posted operating earnings above forecasts, but cut its outlook for global demand growth. FIAT CHRYSLER AUTOMOBILES Ferrari NV priced its initial public offering at the top of expectations on Tuesday, raising $893 million, as drivers enamored with the luxury sports car maker snapped up its shares alongside institutional investors, defying a choppy market. ENI The oil major is working with Barclays on a potential sale of chemical unit Versalis, which may fetch as much as 1 billion euros, Bloomberg said on Tuesday, citing sources. BMW BMW is sticking with its diesel strategy despite the emissions scandal at fellow carmaker Volkswagen, magazine Super Illu quoted board member Peter Schwarzenbauer as saying in an interview. RENAULT France has won Tokyo's cautious acceptance of a move to bolster its influence over the carmaker, sources familiar with the matter told Reuters, despite CEO Carlos Ghosn's warnings that Paris' greater clout imperils the alliance with Japanese partner Nissan. AREVA The French nuclear group said it plans to cut 2,700 jobs in France by 2017 as it restructures. TELE2 Swedish telecom operator Tele2 posted a third-quarter core profit above expectations and slightly cut its 2015 core profit outlook while repeating its sales outlook. RECKITT BENCKISER GROUP Reckitt Benckiser raised its full-year sales outlook after reporting a bigger-than-expected gain in third-quarter sales helped by consumer health products. ARM HOLDINGS The British chip designer whose technology powers the iPhone met market expectations with a 27 percent rise in pretax profit for the third quarter and said it was on track for the year. IBERDROLA Spanish utility Iberdrola posted a 5.8 percent rise in nine-month core profit, slightly beating analysts' forecast, as growth in its international business more than offset a fall in its home market. PEARSON British education publisher Pearson said it expected earnings to be at the bottom end of its range due to lower enrolments at some colleges in the United States and lower school text book purchases in some parts of South Africa. ANHEUSER-BUSCH INBEV The brewer will pay up to $28 million to settle a class action lawsuit over Beck's brand labeling that consumers said falsely led them to believe the beer was brewed in Germany under an agreement approved in Florida federal court. SABMILLER The U.S. Senate Judiciary Committee's antitrust subcommittee will hold a hearing to discuss Anheuser-Busch Inbev SA's plans to buy rival SABMiller, two senators said on Tuesday. TECHNICOLOR The French announced a capital increase with preferential subscription rights for an amount of approximately 227 million euros. DEUTSCHE BANK The lender is pushing back bonus payments for investment bankers and managers to March from February to gain more time to assess the previous year's performance, daily Handelsblatt reported, citing a letter Deutsche's HR department sent to its works council. HANDELSBANKEN The Swedish bank reported third-quarter operating profit below expectations as the bank showed a surprise fall in interest income. For more on the company, click on ------------------------------------------------------------------------------ MARKET SNAPSHOT AT 0512 GMT: LAST PCT CHG NET CHG S&P 500 2,030.77 -0.14 % -2.89 NIKKEI 18518.34 1.71 % 311.19 MSCI ASIA EX-JP 429.25 0.05 % 0.23 EUR/USD 1.1359 0.13 % 0.0015 USD/JPY 119.96 0.12 % 0.1400 10-YR US TSY YLD 2.065 -- -0.01 10-YR BUND YLD 0.636 -- 0.01 SPOT GOLD $1,177.51 0.15 % $1.81 US CRUDE $46.00 -0.63 % -0.29 > Asia shares lag behind Nikkei, euro firm for ECB > Wall Street ends down with healthcare, IBM; United Tech rises > Nikkei rises as investors shrug off weak trade data > Yields add to gains, helped by U.S. housing report > Euro firms as prospects for ECB easing wane on solid data > Gold extends gains to second day on sluggish dollar > London copper hits near 2 week low as demand sours > Oil falls after industry report shows surge in U.S. crude stocks (Reporting by Atul Prakash)
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