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European Factors to Watch - Shares to edge up on China relief
July 15, 2013 / 5:36 AM / 4 years ago

European Factors to Watch - Shares to edge up on China relief

LONDON, July 15 (Reuters) - European stocks were seen edging higher at the
open on Monday as in-line economic data from China eased concerns about a growth
slowdown in the world's second-largest economy.
    At 0639 GMT, futures for the Euro STOXX 50 were up 0.5 percent,
while contracts for Germany's DAX, Britain's FTSE 100 and for
France's CAC were up 0.3 percent.      
     The Chinese economy expanded by 7.5 percent in the second quarter, or as
much as analysts polled by Reuters had forecast, bringing some relief to
investors after recent, disappointing data and bearish outlook comments,
including from finance minister Lou Jiwei on Friday. 
    "There was the perception the finance minister was preparing the market for
bad news and that hasn't happened," Michael Hewson, senior market analyst at CMC
Markets, said. "On balance, (that was) a bit of a side relief."
    He expected Britain's FTSE 100, which ended up 0.6 percent at
6,543.41 in the previous session, to test 6,600 points on Monday.   
    Asian stocks and copper prices erased early losses
and oil futures advanced after the data. 
    Providing further support to investor sentiment, the U.S. Dow Jones
industrial average and the S&P 500 index ended Friday's session at
record closing highs, even though the point and percentage gains for the day
were slim. 
    The euro zone Euro STOXX 50 closed down 0.2 percent at 2,674.87
points on Friday, but still recorded its biggest weekly gain since March at 3
percent.
    Over the last three weeks, the index halved the losses recorded between May
and June, helped by reassuring comments from central bankers over future
monetary stimulus, and it now stood roughly 5 percent away from a nearly 5-year
high hit in May.    
    
--------------------------------------------------------------------------------
  MARKET SNAPSHOT AT 0639 GMT: 
    
    
                                                   LAST   PCT CHG  NET CHG
 S&P 500                                       1,680.19    0.31 %     5.17
 MSCI ASIA EX-JP                                 516.34   -0.03 %    -0.13
 EUR/USD                                         1.3056   -0.08 %  -0.0010
 USD/JPY                                          99.31     0.1 %   0.1000
 10-YR US TSY YLD                                 2.593        --     0.00
 10-YR BUND YLD                                   1.555        --     0.00
 SPOT GOLD                                    $1,286.96    0.21 %    $2.67
 US CRUDE                                       $106.26    0.29 %     0.31
 

    
  > Asian stocks, Australian dollar bounce on China data           
  > Wall St rises on banks' results; S&P's best week since January 
  > TREASURIES-Bonds mark narrow losses as traders take profits    
  > Aussie dollar edges up after China GDP meets expectations      
  > Gold extends gains on stimulus hopes, China data               
  > London copper firms after in-line China 2Q GDP; Fed eyed       
  > Brent rises towards $109 as China growth meets forecast        
    
    COMPANY NEWS
    
   COMMERZBANK 
   Indicated 3.6 percent higher 
   German Finance Minister Wolfgang Schaeuble has spoken to the chairman of UBS
 about the possibility of the Swiss bank buying the government's
remaining stake in Commerzbank, Focus magazine reported, citing no sources.
 
    
    GLAXOSMITHKLINE 
    The British drugmaker used travel agencies and consultancies as vehicles to
bribe Chinese officials and doctors to illegally boost the sales prices of its
medicines in China, police said on Monday. 
    
    ROCHE 
    Swiss drugmaker Roche Holding AG is seeking financing for a potential bid
for Alexion Pharmaceuticals Inc, a transaction that if successful would
be the largest healthcare deal of the year, two people familiar with the matter
said on Friday.  
    Roche said on Monday it had received conditional approval from the European
Commission for Erivedge, a drug used to treat adults with basal cell carcinoma,
a disfiguring form of skin cancer.
    For more, click on: 
    
    G4S 
    The British security firm has held talks with large investors about the
prospects for tapping them for cash, a spokesman for the company said on Sunday.
 
    
    BRITISH AMERICAN TOBACCO 
    British American Tobacco Kenya posted a 11 percent jump in first
half pretax profit to 2.2 billion shillings ($25.24 million) due to higher sales
and prices. 
    
    INVENSYS 
    U.S. General Electric is gearing up for a 3.5 billion pound ($5.3
billion) counterbid for British engineer Invensys that would trump last week's
offer from France's Schneider Electric, a newspaper said on Sunday.
 
    
    RED ELECTRICA 
    The Spanish grid operator Red Electrica said on Monday it estimated that the
country's new energy reform would hit its regulated revenues by about 100
million euros ($130.53 million) in 2013. ($1 = 0.7661 euros)
    
    UBS 
    German Finance Minister Wolfgang Schaeuble has spoken to the chairman of UBS
. about the possibility of the Swiss bank buying the government's
remaining stake in Commerzbank, a magazine reported on Saturday.
    
     SEB 
    The Swedish bank posted a much sharper than expected rise in second quarter
operating earnings and said business sentiment had strengthened in the quarter.
Operating profit rose to 4.78 billion crowns ($715 million) to come in well
above even the highest estimate in a Reuters poll of analysts. 
    For more on the company, double click 
    
    H&M 
    The Swedish clothing retailer is set to publish June sales figures at 0600
GMT. Like-for-like sales are seen up 4 percent year-on-year in the month,
according to a Reuters poll of analysts.
    For the full poll, double click 
    For more on the company, double click

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