DAILY EUROPEAN EQUITY OPENING NEWS: Volkswagen (VOW3 GY) – Co. and its China joint ventures, FAW and SAIC, are to recall 4.86mln vehicles

**EUROPEAN EQUITY COVERAGE WILL ONLY COVER COMPANIES IN THE STOXX 600 OR COMPANIES OF SYSTEMIC IMPORTANCE TO PARTICULAR SECTORS**

The Daily European Equity Opening News is uploaded at 0700BST/0100CDT recapping all of the overnight equity news

From 0700BST/0100CDT all equity news will be covered in real time over the audio and headline feed and the full audio rundown will be at 0715BST/0115CDT.

There will be an additional audio rundown at 0750BST/0150CDT recapping any company news which has hit the wires since 0715BST/0115CDT ahead of the European equity open

14th September 2017

ASIA

Asia equity markets were lacklustre with a non-committal tone seen for most of the day after the cautious gains in the US and as the region also digested key data releases. ASX 200 (-0.1%) and Nikkei 225 (-0.2%) were subdued with weakness across miners and discouraging Chinese data weighing on Australia, while a softer JPY struggled to keep the Japanese index afloat. Elsewhere, Hang Seng (-0.5%) and Shanghai Comp. (-0.2%) also lacked demand as an increased liquidity effort by the PBoC was clouded by a miss on Chinese Industrial Production and Retail Sales data.

FTSE

GlaxoSmithKline (GSK LN) – US FDA advisory panel votes 11-0 that available data supports efficacy of the co.’s Shingrix shingles vaccine in adults age 50 and older. (Newswires)

Sky (SKY LN) – Twenty First Century Fox (FOX A) says they are confident that they will complete deal with the co. by the middle of 2018. (Newswires)

Barclays (BARC LN) – Co. has won the dismissal of US class action litigation by investors who bought shares before the financial crisis. (Newswires)

G4S (GFS LN) – Co. appears to have been making more profit from it immigration removal centres than it is allowed to under the terms of the contract. (Guardian)

London Stock Exchange (LSE LN) – Co. has agreed to buy additional 6.8% stake in its LCH clearing arm from some of its minority shareholders. (Newswires)

Unilever (ULVR LN) - Co. says that it will not rule out partnerships, including Amazon (AMZN). (Newswires)

BROKER RECOMMENDATIONS

MCCARTHY AND STONE (MCS LN) CUT TO NEUTRAL AT GOLDMAN SACHS

PROVIDENT FINANCIAL (PFG LN) CUT TO UNDERPERFORM FROM SECTOR PERFORM AT RBC

AUTO TRADER (AUTO LN) RAISED TO NEUTRAL FROM BUY AT UBS

SAGE GROUP (SGE LN) RAISED TO EQUAL WEIGHT FROM UNDERWEIGHT AT BARCLAYS

 

DAX

BASF (BAS GY) - making progress in auction for Bayer’s (BAYN GY) seed unit. (Newswires)

 

Munich Re (MUV2 GY) – Co. says US storms to wipe-out profit and threaten 2017 targets. (Newswires)

 

Volkswagen (VOW3 GY) – Co. and its China joint ventures, FAW and SAIC, are to recall 4.86mln vehicles over airbag issues. (Newswires)

 

Deutsche Bank (DBK GY) – Co. is intending to dispose of part of its commitments in certain distressed loan facilities in oil and gas sector. (Newswires)

 

OTHER GERMAN

 

Air Berlin (AB1 GY) – Niki Lauda is to make an offer for parts of Air Berlin, together with Thomas Cook’s (TCG LN) German carrier Condor. (Kurier)

 

 

 

 

BROKER RECOMMENDATIONS

 

ALLIANZ (ALV GY) RAISED TO HOLD FROM SELL AT SOCGEN

INFINEON (IFX GY) DOWNGRADED TO NEUTRAL FROM BUY AT GOLDMAN SACHS

 

CAC

Euronext (ENX FP) – The co. has launched its share repurchase programme. (Newswires)

Zodiac Aerospace (ZC FP) - Q4 Revenue EUR 1.34bln. Co. said revenue was down 10% at its seats division. (Newswires)

OTHER FRENCH COMPANIES

 

Icade (ICAD FP) – Co. said the decision to hand the 2024 Olympics to Paris should boost business. (Newswires)

 

PAN-EUROPE

 

Telecom Italia (TIT IM) – Italy’s market watchdog has ruled that Vivendi (VIV FP) has de facto control of the company. Vivendi says they will appeal the ruling. (Newswires)

 

ASR Nederland (ASRNL NA) – NLFI is to sell its remaining 30.15mln shares in the company. (Newswires)

 

BROKER RECOMMENDATIONS

 

AEGON (AEG NA) DOWNGRADED TO HOLD FROM BUY AT SOCGEN

RED ELECTRICA (REE SM) DOWNGRADED TO SELL AT GOLDMAN SACHS

ACCIONA (ANA SM) DOWNGRADED TO NEUTRAL AT GOLDMAN SACHS

INDRA (IDR SM) CUT TO NEUTRAL FROM BUY AT GOLDMAN SACHS

 

SMI

 

Sonova (SOON VX) – Major shareholder Beda Diethelm is pushing the company’s CEO to expand its US presence. (Handelszeitung)

 

Swiss Life (SLHN VX) – Co. is in dialogue with US DoJ regarding its cross-border business with US clients. (Newswires)

 

Adecco (ADEN VX) – Co. is buying US life sciences career manager Biobridges; terms undisclosed. (Newswires)

 

BROKER RECOMMENDATIONS

 

RICHEMONT (CFR VX) DOWNGRADED TO HOLD FROM BUY AT DEUTSCHE BANK

 

SCANDINAVIA

 

BROKER RECOMMENDATIONS

 

DNO (DNO NO) CUT TO UNDERWEIGHT FROM EQUAL WEIGHT AT BARCLAYS

WILLIAM DEMANT HOLDINGS (WDH DC) DOWNGRADED TO UNDERPERFORM FROM HOLD AT JEFFERIES

NOVO NORDISK (NOVOB DC) UPGRADED TO BUY FROM HOLD AT MIRABAUD GROUP

 

US

 

Stock indices were struggling to add to Tuesday’s record highs but managed to go positive in late trade, registering fresh closing highs. Energy names were leading gains, tracking the rise in crude prices following reports from the IEA, weekly inventory data, as well as OPEC-speak. S&P 500 +0.07% at 2,498.24; DJIA +0.17% at 22,156.39; NDX +0.15% at 6,004.38

Top-Performing Sectors: Energy +1.23%; Cons. Disc. +0.72%; Telecoms +0.75%

Bottom-Performing Sectors: Utilities -0.52%; Healthcare -0.39%; IT -0.18%

14 Sep 2017 - 06:52- EnergyData- Source: RANsquawk

Subscribe Now to RANsquawk

Click here for a 1 week free trial

RANsquawk provides audio news and commentary for over 15,000professional traders and brokers worldwide. Services include: