EUROPEAN OPEN: AMD surges as data centre growth drives beat; IFX GY sees Q3 revenue above estimates on AI spending; NOVOB DC tweaks outlook as Wegovy sales beat; BMW GY beats expectations, confirms guidance; DGE LN sales beat despite US weakness

EUROPEAN OPEN: European equities opened firmer after stocks rose to records overnight and oil fell, as President Trump signalled progress towards a final US-Iran agreement. Sentiment was supported after Trump said Project Freedom would pause briefly to see whether a final Iran agreement can be signed, while the blockade remains in full force; he said the US has total control, reiterated that Iran wants a deal and did not shoot US-guarded ships, while adding Iran must not obtain a nuclear weapon. MSCI’s Asia Pacific equities gauge advanced to an all-time high, led by technology shares, while South Korea’s Kospi jumped more than 6% to a record high, rising above 7,000 for the first time as chipmakers rallied; Samsung Electronics surged 15% to a USD 1tln valuation. China’s tech-heavy Star 50 Index also hit a record as trading resumed after an extended holiday, supported by a broader AI-led rally across Asia following solid afterhours results from US chipmaker AMD (AMD). Oil fell for a second day as hopes for a US-Iran peace deal and a holding ceasefire renewed selling pressure, with July Brent trading above USD 108/bbl as the European day begins. The JPY rose to its strongest level in more than two months, with USDJPY falling as low as 155.04, fuelling speculation Japanese officials may have intervened again. Gold rose as easing Middle East tensions supported positive investor sentiment, trading above USD 4,665/oz, while iron ore reached its highest since October 2024 as China’s markets reopened after a five-day holiday. Data showed China’s RatingDog services PMI rose to 52.6 in April (exp. 52.0, prev. 52.1), with services activity expanding faster despite price shocks from the Iran war. South Korea CPI rose to a 21-month high of 2.6% Y/Y, adding pressure on the BoK after rates were held following a May 2025 cut. New Zealand Q1 unemployment unexpectedly fell to 5.3% (exp. 5.4%, prev. 5.4%), while employment rose 0.2% Q/Q (exp. 0.3%).

STOCK SPECIFICS:

TECH: AMD (AMD) shares surged by over 17% in extended trading after earnings and revenue beat expectations, and guidance came in stronger than forecast, driven by accelerating data centre growth and strong demand for processors and GPU shipments. Infineon (IFX GY) forecast Q3 revenue of around EUR 4.1bln (exp. 4.04bln), as it benefits from AI infrastructure spending; also expects revenue to rise significantly Y/Y (prev. saw a moderate increase).
HEALTHCARE: Novo Nordisk (NOVOB DC) Q1 sales fell 10% to DKK 70.1bln (exp. 60.1bln), adjusted for a one-time provision linked to US rebates; Q1 Wegovy sales DKK 18.25bln (exp. 17.36bln). Q1 total prescriptions were around 1.3mln, and more than 2mln since launch, marked the strongest-ever GLP-1 volume launch in the US. Slightly lifted its 2026 outlook, citing higher expectations for GLP-1 product sales; sees FY26 adj. sales growth at CER between -4% and -12% (prev. saw -5% to -13%), excluding the 340B provision reversal; adj. operating profit growth also seen between -4% and -12%. Pending regulatory decisions, the first Wegovy pill launches outside the US are expected during H2 2026. Fresenius (FRE GY) Q1 EBIT +6% in constant currency terms to EUR 678mln (exp. 686mln), missing expectations as pricing pressure in China weighed on its clinical nutrition business; revenue was EUR 5.74bln (exp. 5.82bln); reaffirmed FY26 guidance. It also said that it was investing in Avelios Medical, and further expanded its strategic partnership with SAP (SAP). Philips (PHIA NA) Q1 earnings above expectations after strong orders, and pledged further savings and productivity measures to withstand a volatile environment marked by tariffs and rising costs. It will focus on controllable measures to protect earnings, including strengthening its supply chain.
CONSUMER: Diageo (DGE LN) Q3 organic net sales rose 0.3% (exp. -2.3%); growth in Africa and LatAm offset significant weakness in the US; said it is working to revive weaker drinks sales in North America, which its new CEO called the company’s biggest challenge. Next (NXT LN) Q1 full-price sales +6.2% (exp. 4.0%), and it raised FY26/27 pretax profit guidance to GBP 1.218bln (from 1.210bln), while maintaining guidance for full-price sales for the rest of the year; plans moderate international price rises and cost savings to offset Middle East conflict costs. BMW (BMW GY) Q1 automaking EBIT margin fell Y/Y as intense pricing competition, weaker China deliveries, tariffs and raw material costs weighed, though it still beat expectations; pre-tax earnings and revenue declined, global deliveries fell, FY26 guidance was confirmed, and exec sees global auto market posting a slight decrease. Continental (CON GY) Q1 adj. EBIT rose to EUR 522mln (exp. 484mln), while sales were EUR 4.4bln (exp. 4.36bln); it confirmed FY sales guidance of EUR 17.3-18.9bln, and an adj. EBIT margin of 11.0-12.5%, citing higher profitability in Tires and ContiTech. Zalando (ZAL GY) Q1 revenue EUR 3bln (exp. 2.99bln), adj. EBIT EUR 64.8mln (exp. 58mln); GMV rose +21.7% to EUR 4.3bln; confirmed FY26 guidance, including adj. EBIT of EUR 660-740mln, and cited AI-driven efficiency and personalisation. Pandora (PNDORA DC) Q1 sales DKK 7.11bln (exp. 7.13bln), EBIT margin fell to 20.9% (from 22.3% Y/Y), while gross margin fell 90bps to 79.5%, reflecting tariff, commodity and FX headwinds; FY guidance was unchanged; exec said Q2 trading showed around flat LFL growth. Ahold Delhaize (AD NA) Q1 sales EUR 22.3bln (exp. 22.6bln), underlying operating income +0.7% to EUR 896mln (exp. 858mln), online sales growth +8.3% at constant FX; reiterated FY guidance; plans to appoint Thierry Garnier as CEO in April 2027.
FINANCIALS: Banco BPM (BAMI IM) said it considers Credit Agricole (ACA FP) and Monte dei Paschi (BMPS IM) natural M&A targets, but added that deals are not necessarily ideal, and it will wait and see. Santander (SAN SM) plans to retire the TSB brand a year after announcing its acquisition of Banco Sabadell’s British unit, after it completing the EUR 3.3bln TSB acquisition last week, and it expects about GBP 400mln of cost cuts, FT reports.
INDUSTRIALS: Leonardo (LDO IM) Q1 new orders rose to EUR 9.002bln (exp. 8bln); said the increase extended its streak of contract wins, ahead of the abrupt ouster of CEO Cingolani; FY26 guidance confirmed. Vestas (VWS DC) Q1 revenue rose to EUR 3.966bln (vs 3.466bln Y/Y), adj. EBIT margin improved to 3.2%; order backlog was EUR 76.1bln, order intake reached 4.504GW, adj. free cash flow was EUR -533mln; backed FY revenue guidance.
ENERGY: Equinor (EQNR NO) Q1 adj. operating income after tax USD 2.86bln (exp. 2.6bln), supported by higher oil and gas prices linked to the Iran war. Q1 adj. pretax profit rose to USD 9.77bln (exp. 9.0bln) from USD 8.65bln Y/Y. Output hit a record 2.31mln boed (exp. 2.22mln; prev. 2.12mln Y/Y). Maintained quarterly dividend at USD 0.39; said it will begin a second tranche of its 2026 share buyback programme of up to USD 375mln.
UTILITIES: Orsted (ORSTED DC) Q1 revenue DKK 27.6bln (exp. 23bln), EBITDA ex-new partnerships and cancellation fees rose to DKK 9.545bln (exp. 9.47bln); FY EBITDA guidance was confirmed at DKK 28bln (exp. 29.3bln).

DAY AHEAD:

EVENTS: President Trump will host Brazilian President Lula for a working visit; the meeting comes amid tensions over the Iran war and its impact on the global economy, and the talks will cover economic and security matters.
DATA: In Europe, Eurozone producer prices are expected to rise to 1.6% Y/Y (prev. -3%); final PMI readings for April are due, with the Eurozone; ECB’s wage tracker for May. In North America, ADP employment change (exp. 118K, prev. 62K) comes ahead of this week’s NFP on Friday; weekly MBA mortgage applications. Canada’s Ivey PMI is seen little changed at 49.9 (prev. 49.7).
CENTRAL BANKS: Poland’s central bank is seen keeping rates unchanged at 3.75%.
SPEAKERS: ECB chief economist Lane (dovish; slide release), ECB’s Cipollone (text release). Fed’s Musalem (2028 voter, hawk); Fed’s Goolsbee (2027 voter, dovish). BoC Governor Macklem and Deputy Governor Rogers (text release).
SUPPLY: UK auctions GBP 1.6bln of 2035 linkers; Germany sells EUR 3.5bln of 2032 bunds; US announces quarterly refunding, and the Treasury holds a press conference following the announcement.
ENERGY: DoE weekly energy inventories published; afterhours on Tuesday, API data reportedly showed headline crude stocks posting a larger than expected draw of -8.1mln bbls (exp. -2.8), Cushing drawing by -1.1mln bbls; in products. gasoline stocks saw a larger than expected draw of -6.1mln bbls (exp. -1.7mln), as did distillate stocks, at -4.6mln bbls (exp. -2mln).
EARNINGS: Notable US corporate earnings due today include: ARM Holdings (ARM), Disney (DIS), Uber (UBER), AppLovin (APP), Johnson Controls (JCI), Marriott (MAR), CVS Health (CVS), Apollo (APO), DoorDash (DASH), Warner Bros. Discovery (WBD), Cencora (COR), Coherent (COHR), Fortinet (FTNT), Exelon (EXC), MetLife (MET), NRG Energy (NRG), Atmos Energy (ATO), TKO Group (TKO), Albemarle (ALB), Nutrien (NTR), Kraft Heinz (KHC), NiSource (NI), CF Industries (CF), APA (APA), Global Payments (GPN), Amcor (AMCR), Flutter Entertainment (FLUT), PTC (PTC), Snap Inc. (SNAP), Zillow (Z), Insulet (PODD).