European Factors to Watch-Shares seen higher, focus on earnings

Wed Jul 18, 2012 1:39am EDT

LONDON, July 18 (Reuters) - European shares were likely to rise on
Wednesday, mirroring overnight gains on Wall Street, with above-forecast
earnings from some U.S. firms raising expectations that the European reporting
season could also surprise markets on the upside.
    Goldman Sachs and Coca-Cola beat profit forecasts on Tuesday,
helping U.S. shares   to finish 0.5 to 0.7 percent higher.
    Investors will focus on a raft of European earnings on Wednesday, with
companies such as Ericsson ASML Holding and Nordea Bank
 reporting results.
    According to Thomson Reuters StarMine data, out of the 6 percent of European
companies that have reported results so far, 81 percent beat or met forecasts,
while the rest missed predictions.
    Financial spreadbetters predicted Britain's FTSE 100 to open 16 to
18 points higher, or as much as 0.3 percent, Germany's DAX to rise 26
to 28 points, or as much as 0.4 percent, and France's CAC-40 to gain 15
to 19 points, or as much as 0.6 percent.    
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     MARKET SNAPSHOT AT 0534 GMT                                 
                                               LAST     PCT CHG    NET CHG
     S&P 500                               1,363.67      0.74 %      10.03
     NIKKEI                                8,730.85     -0.28 %     -24.15
     MSCI ASIA EX-JP                                    -0.88 %      -4.21
     EUR/USD                                 1.2275     -0.16 %    -0.0020
     USD/JPY                                  78.94     -0.13 %    -0.1000
     10-YR US TSY YLD                         1.493          --      -0.02
     10-YR BUND YLD                           1.240          --       0.01
     SPOT GOLD                            $1,578.94     -0.25 %     -$3.95
     US CRUDE                                $88.62     -0.67 %      -0.60
 
    * Shares, euro little changed after Fed's mixed message     
    * Nikkei hangs onto gains after U.S. earnings beat guidance 
    * Coke, Goldman earnings good enough for Wall St            
    * Euro bolstered by hopes of U.S. easing                    
    * Brent slips below $104 a barrel                           
    * Gold steady above $1,580 on Fed stimulus uncertainty      
    * Copper snaps two sessions of losses; gains seen limited   
    * Yields rise as Bernanke mum on new Fed action
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