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European stocks close higher on Italy's conciliatory budget tone

Nov 26, 2018

 

*Data in Price Return and Updated Real-Time (with a delay), Source: StockDio

European Markets

  • European stocks close higher with Italy's more conciliatory tone in its budget talks with the EU. as well as progress on Brexit
  • The Euro Stoxx 600 closed up +1.23%, the FTSE 100 advanced +1.2%, the DAX rose +1.45%, and the CAC 40 finished up +0.97%
  • European stocks closed at the highs of the session
  • Microsoft (MSFT) overtook Apple (AAPL) as the most valuable US company during trading today
  • 12 stocks in the Euro Stoxx 600 hit 4-week highs while 97 stocks closed at 4-week lows
  • 7 stocks in the Euro Stoxx 600 finished the trading session overbought while 64 stocks closed oversold according to the 16-day RSI Measure
  • VSTOXX, the European stocks equivalent of the VIX, closed  moving down 0.55 points today to 18.42 after closing at 18.97 last week

Stocks Trending in the News

Click name for Q-Factor score and financial data

  • Compagnie De Saint-Gobain SA (ENXTPA: SGO) shares are trading higher after agreeing to sell its German distribution business in an effort to boost profitability for the French building-materials supplier.  De Saint-Gobain’s sale of its German distribution business is a part of its effort to generate cost savings of 250mm euros to cut operating margin by 100 basis points by 2021. De Saint-Gobain is rated “Unattractive” in our European Large-Cap Global Top Stock Ideas.  
  • Eurofins (ERF FP) has confirmed its guidance and that is has lowered its financing costs.  Eurofins made the announcement after Morgan Stanley called into question its growth prospects in a recent note to clients.  Eurofins confirmed its expectation for 5% organic growth, saying its “achievable”.  Eurofins said a number of facts in the Morgan Stanley note are “false”.  Eurofins is rated “Neutral” in our European SMID-Cap Global Top Stock Ideas.
  • Faroe Petroleum (AIM: FPM) shares are soaring on news that DNO ASA (OB: DNO) made an unsolicited bid to acquire Faroe for 607.9mm pounds (USD$780mm). Earlier this year, DNO ASA purchased more than 25% of Faroe’s outstanding shares. DNO ASA did not contact management with the offer and is currently urging shareholders to take no action while considering the offer. The offer represents a 21% premium on Faroe’s closing price. Faroe is not rated in our Global Top Stock Ideas. DNO ASA is rated “Attractive” in our European SMID-Cap Global Top Stock Ideas.
  • Logitech International (SWX:LOGN) reiterates it is not in any acquisition talks to purchase US-based Plantronics (NYSE:PLT).  Reuters reported that Logitech had offered USD$2.2 billion for Plantronics, a 10% premium above last Wednesday's close.  Plantronics traded up as much as 11% during Friday’s shortened trading session before closing +3.74%.  Logitech International is rated “Neutral” in our European Large-Cap Global Top Stock Ideas.  Plantronics is rated “Attractive” in our US SMID-Cap Global Top Stock Ideas and “Neutral” in our US Tech Global Top Stock Ideas. 
  • NavInfo, a mapmaker backed by Tencent (SEHK: 700, ADR: TCEHY) has announced it is building a high-definition map of Singapore for autonomous car.  Tencent’s NavInfo move into Singapore would be the first overseas market for the Tencent-backed company.  According to South China Morning Post, NavInfo has already mapped north of 210k kilometers of highway in China -- 5 times the circumference of Earth!  Tencent is rated ”Attractive” in our China All-Cap Global Top Stock Ideas. 
  • Tele2 AB (SS: TEL2B) shares are trading higher on news that European Union antitrust regulators will clear a bid by Deutsche Telekom (DB: DTE) to acquire Tele2’s Dutch business unit. European Union antitrust regulators will approve the deal without any conditions, according to Reuters. Tele2 AB is rated “Attractive” in our European SMID-Cap Global Top Stock Ideas. Deutsche Telekom is rated “Attractive” in our European Large-Cap Global Top Stock Ideas. 
     

What is Going on with European Currencies?

  • EUR€ is currently little changed against the USD$ at 1.1342
  • GBP£ is currently little changed against the USD$ at 1.2819
  • CHF is currently little changed against the USD$ at 1.0021

Highlights from the European Bond Market

  • Generic Euro 10-Year Bonds are lower with yields up 2.1 basis points to 0.361%
  • German 10-Year Bunds are lower with yields up 2.1 basis points to 0.361%
  • French 10-Year Government Bonds are lower with yields up 1.8 basis points to 0.739%
  • UK 10-Year GILTs are lower with yields up 2.9 basis points to 1.41%
  • Italian 10-Year Government Bonds are higher with yields down -13.8 basis points to 3.269%
     

 

Euro Stoxx 50 Movers

In local currency.
On Mobile/Tablet scroll to the right.

Outperformers Sector Price 1D % Chg Volume
Deutsche Bank AG Financials 8.56 4.79%            15,003,367
Intesa Sanpaolo SpA Financials 2.04 4.52%          166,858,254
Telefonica SA Telecommunication Services 7.66 4.38%            25,899,019
Cie de Saint-Gobain Industrials 33.1 4.06%               3,293,737
Banco Bilbao Vizcaya Argentaria SA Financials 5.09 3.45%            28,658,622
 
Underperformers Sector Price 1D % Chg Volume
adidas AG Consumer Discretionary 199 -1.70%                  763,967
Unilever NV Consumer Staples 48.4 -1.05%               3,757,206
Sanofi Health Care 78.9 -0.73%               2,206,883
LVMH Moet Hennessy Louis Vuitton SE Consumer Discretionary 257 -0.72%                  714,425
L'Oreal SA Consumer Staples 205 -0.68%                  475,378