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HAS - Hays News Story

158.8p -2.9  -1.8%

Last Trade - 21/02/20

Sector
Industrials
Size
Mid Cap
Market Cap £2.33bn
Enterprise Value £2.54bn
Revenue £6.14bn
Position in Universe 277th / 1838

LIVE MARKETS-Opening snapshot: that Friday feeling

Tue 15th October, 2019 8:33am
* European stocks up on fresh Brexit deal hopes
    * STOXX 600 +0.7%, FTSE 100 lags as sterling rises
    * UK midcaps, Irish banks lead gains
    * Wirecard sinks after FT report

Welcome to the home for real-time coverage of European equity markets brought to you by Reuters
stocks reporters and anchored today by Thyagaraju Adinarayan. Reach him on Messenger to share
your thoughts on market moves: thyagaraju.adinarayan.thomsonreuters.com@reuters.net
    
    OPENING SNAPSHOT: THAT FRIDAY FEELING (0730 GMT)
    A promising start for European stocks this morning with the pan-European STOXX 600  .STOXX 
rising 0.7%, mainly driven by mid-cap UK stocks and Irish banks.
    It looks like a repeat of last Friday with domestically-exposed UK banks, retailers,
airlines and housebuilders rising on fresh Brexit deal hopes as EU's Barnier says a deal is
still possible this week.
    "Even if an agreement has been difficult, more and more difficult, it's still possible this
week," Barnier says.
    Among single stocks, Wirecard  WDIG.DE  is sinking 20% set for its worst day since February
after the FT published documents on Wirecard's accounting practices which it alleges an effort
to inflate sales and profits.  urn:newsml:reuters.com:*:nL3N2701UU
    Earnings check: Indivior up 10% after it raises outlook; Hays +6.5% in a relief rally after
its results weren't as bad as its peers, who issued profit warnings last week; Bellway  BWY.L 
is sliding 4.6% after it reported FY results, which Jefferies says "contain little to surprise"
and they believe consensus numbers for the company will come down.
        
    (Thyagaraju Adinarayan)
    *****
    
 
    BREXIT DEAL HOPS FUEL GAINS, BUT EARNINGS TEST KEY (0659 GMT)
    Brexit deal hopes again take centre stage as futures trading at European bourses point to a
strong open, but the real litmus test will be in the afternoon, when some big Wall Street banks
kick off the earnings season.
    Germany's DAX futures  FDXc1  are up 0.6% at their highest since July 27 and the Eurostoxx
 .STXEc1  futures are just shy of a two-week high. 
    A BBC report overnight that the European Union is considering a new emergency summit to get
a Brexit deal brought back optimism in markets, although London FTSE stock futures  FFIc1  are
rising just 0.3%, lagging the broader market as sterling's rally limits gains.
    In corporate news, Kloeckner & Co's  KCOGn.DE  shares are sliding 8% in pre-market Frankfurt
trade after the steel company warned on profits in a latest European industrials are still
suffering blows from trade tensions and faltering demand.
    It's a different picture at consumer-facing companies with shares in German meal-kit company
Hellofresh  HFGG.DE  seen up 6% after it raised its profit outlook.
    In the UK, dealers call British housebuilder Bellway's  BWY.L  shares 2% higher citing
positive tone in statement and the Street is divided on Hays  HAYS.L  after the recruiter
reported no growth in net fees. Rivals Britain's PageGroup  PAGE.L  and Robert Walters  RWA.L 
warned on profits last week.
    Hard day for UK industrials: dealers call Renishaw  RSW.L  shares down 20% after the British
engineering group's profits tanked 85%, while they see Vesuvius  VSVS.L  shares dropping 10%
after its profit warning.
    European companies with exposure to Turkey in focus after U.S. President Trump slapped
sanctions. BBVA  BBVA.MC , UniCredit  CRDI.MI , BNP Paribas  BNPP.PA , Telia  TELIA.ST  and
Lufthansa  LHAG.DE  are among the top companies with exposure to Turkey.
    Later today, we have JP Morgan  JPM.N , Citi  C.N , Goldman Sachs  GS.N , Wells Fargo
 WFC.N  and Blackrock  BLK.N  kicking-off the third-quarter earnings season.
    
    Key headlines:    
    BRIEF-Kloeckner & Co SE outlook for full year EBITDA burdened  urn:newsml:reuters.com:*:nASP00182T
    Schroders assets under management up to 450.8 bln stg at end-Sept  urn:newsml:reuters.com:*:nFWN26Z0TP
    Italy's Ferretti cuts IPO price range to 2.0-2.5 euros per share - source  urn:newsml:reuters.com:*:nS8N1ZU02F
    Indivior raises full-year revenue forecast on Suboxone strength  urn:newsml:reuters.com:*:nL3N2701J9
    Hays reports flat quarterly net fees  urn:newsml:reuters.com:*:nL3N2701JB
    African masts operator Helios Towers prices IPO at low end of range  urn:newsml:reuters.com:*:nFWN26Z0WN
    Neil Woodford's flagship Equity Income Fund to be shut down  urn:newsml:reuters.com:*:nL5N27010P
    Bellway reports higher annual profit on strong demand for homes  urn:newsml:reuters.com:*:nL3N2701IV
    Steel trader Kloeckner cuts guidance again, shares tank  urn:newsml:reuters.com:*:nL5N2700NV 
    Engineering firm Renishaw first-quarter profit tanks 85%  urn:newsml:reuters.com:*:nL3N2701OL
    
    (Thyagaraju Adinarayan)
    *****
       
    TENTATIVE GAINS (0532 GMT)
    European stocks are seen opening slightly higher on renewed hopes that Britain had a chance
to leave the European Union with a deal later this week as UK-EU go into negotiations later this
week.
    Fresh optimism was underpinned by a BBC report overnight that the European Union is
considering a new emergency summit to get a Brexit deal.  urn:newsml:reuters.com:*:nFWN26Z10M
    Citi strategists however were sceptical on a Brexit deal, saying there was "little landing
space for a deal before 19th October".
    Financial spreadbetters IG expect London's FTSE to open 7 points higher at 7,220,
Frankfurt's DAX to open 8 points higher at 12,495, and Paris' CAC to open 8 points higher at
5,651.

    (Thyagaraju Adinarayan)
    *****           
    

 (Reporting by Danilo Masoni, Joice Alves, Josephine Mason, Julien Ponthus and Thyagaraju
Adinarayan)
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