EUROPEAN MOVERS: Bayer (BAYN GY) -6.4%, Barclays (BARC LN) -3.3%, Novartis (NOVN SW) -2.9%, Air Liquide (AI FP) -2.7%, BP (BP/ LN) +3%, WPP (WPP LN) +4%

The movement in European equities reflects a mixed bag of earnings results and legal concerns leading to significant stock price fluctuations.

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BoJ Governor Ueda says there are possibilities of a rate hike if either upward risks to prices emerge or downside risks to the economy are limited

EUROPEAN OPEN: NOVN SW profit & sales fall on generic competition, may upgrade outlook ahead; BARC LN profits flat as provision offsets growth; BP/ LN profit jumps as oil trading beats expectations; WPP LN Q1 sales beats, affirms outlook amid uncertainty

EUROPEAN MOVERS: Bayer (BAYN GY) -6.4%, Barclays (BARC LN) -3.3%, Novartis (NOVN SW) -2.9%, Air Liquide (AI FP) -2.7%, BP (BP/ LN) +3%, WPP (WPP LN) +4%

Spanish Retail Sales MoM (Mar) M/M 1.2% (Prev. -0.1%)

Spanish Unemployment Rate (Q1) 10.83% vs. Exp. 9.8% (Prev. 9.93%)

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  • BAYN GY: The US Supreme Court appeared divided over whether Bayer can be sued for failing to warn that its Roundup weedkiller may cause cancer
  • BARC LN: Beat on Q1 metrics, but set aside GBP 228mln provision due to the failure of MFS. 
  • NOVN SW: Co. missed on top- and bottom-line, whilst re-affirming guidance. 
  • AI FP: Softer than expected headline metrics. Affirmed guidance.
  • BP/ LN: Strong EPS whilst Revenue was short of expectations. 
Context

Bayer's sharp drop is primarily influenced by legal risks surrounding its Roundup product, while Barclays' provision for regulatory issues dampens their earnings surprise. In contrast, BP's strong earnings continue to support its stock, countering a revenue miss amid a volatile environment for the energy sector.

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