EUROPEAN OPEN: BAYN GY seeks delay to Roundup settlement hearing; MRK GY raises FY26 sales and EBITDA guidance; SIE GY raises FY26 EPS view; RHM GY cuts FY sales outlook; CBK GY announces EUR 1.2bln buyback; DTE GY raises cash flow and buyback plans

STOCK SPECIFICS:

• HEALTHCARE: Bayer (BAYN GY) requested delaying a hearing on its USD 7.25bln Roundup settlement to 10th September (from 19th August); said that the postponement would help the parties process requests to revoke settlement opt-outs. Merck KGaA (MRK GY) Q2 revenue of EUR 5.43bln (exp. 5.29bln), EBITDA before one-time items EUR 1.6bln (exp. 1.53bln); raised FY26 net sales guidance to EUR 21-21.8bln (prev. 20.4-21.4bln), and EBITDA guidance to EUR 5.9-6.3bln (prev. 5.7-6.1bln). Hikma (HIK LN) H1 revenue GBP 1.73bln (prev. 1.66bln), operating profit GBP 336mln (prev. 259mln); reiterates FY guidance, citing strong fundamentals, disciplined execution and clear strategic priorities. Tobias Hestler appointed as independent non-executive director.
• FINANCIALS: Commerzbank (CBK GY) Q2 revenue EUR 3.3bln (exp. 3.25bln), operating profit EUR 1.37bln (exp. 1.31bln), NII EUR 2.06bln (prev. 2.06bln Y/Y); confirmed FY26 and 2030 targets, and announced an ECB-approved buyback of up to EUR 1.2bln. Banco BPM (BAMI IM) Q2 net income EUR 581mln (exp. 533.2mln), Q2 revenue EUR 1.67bln (exp. 1.6bln); raises FY26 net income guidance above EUR 1.95bln, and DPS above EUR 1.00; CEO said a merger with Credit Agricole (ACA FP) Italia would be industrially solid. Swiss Re (SREN SW) H1 insurance revenue USD 8.24bln (exp. 20.33bln), net profit USD 2.83bln (exp. 2.71bln); Q2 net profit USD 1.3bln (exp. 1.2bln); maintained FY26 guidance, raised its 2028 cost-reduction target to USD 500mln; appointed Velina Peneva as L&H Re CEO. Zurich Insurance (ZURN SW) H1 net income USD 3.5bln (prev. 3.07bln), business operating profit USD 4.77bln (exp. 4.66bln), P&C operating profit USD 2.81bln (exp. 2.73bln); raised FY26 Life operating profit growth guidance to at least 10%.
• COMMUNICATOINS: Deutsche Telekom (DTE GY) Q2 revenue EUR 29.9bln (exp. 29.9bln), Q2 adj. EBITDAaL EUR 11.82bln (exp. 11.70bln); raised FY26 FCF after leases guidance to around EUR 20bln (from ‘more than’ EUR 19.8bln), and increased its 2026 share buyback by up to EUR 3bln. WPP (WPP LN) H1 revenue GBP 6.37bln (prev. 6.66bln Y/Y), operating profit GBP 261mln (exp. 350.6mln); Q2 LFL revenue less pass-through costs -2.8% (exp. 6.3%); maintained FY26 operating margin guidance, expects improving growth despite continued account losses.
• INDUSTRIALS: Honeywell Aerospace (HONA) shares fell 9% in extended US trading after quarterly earnings and revenue missed expectations, and persistent supply-chain constraints prompted cuts to its sales growth and profit forecasts. Siemens (SIE GY) Q3 revenue EUR 20.8bln (exp. 20.44bln), orders EUR 27.90bln (exp. 24.70bln), net profit EUR 2.27bln (exp. 1.90bln), industrial business profit EUR 3.52bln (exp. 3.18bln); raised FY26 EPS pre-PPA guidance to EUR 11.20-11.50, and confirmed the Siemens Healthineers (SHL GY) spin-off can proceed. Rheinmetall (RHM GY) H1 sales EUR 5.227bln, H1 operating profit EUR 786mln; Q2 net profit EUR 124mln (exp. 270.3mln); cuts FY sales guidance by EUR 300mln to EUR 13.7-14.2bln (exp. 14bln), while maintaining an operating margin around 19% (exp. 19.1%). Serco (SRP LN) H1 revenue GBP 2.51bln (prev. 2.42bln Y/Y), operating profit GBP 145mln (prev. 132mln Y/Y); raises FY26 adj. net debt guidance to around GBP 240mln (from around GBP 165mln), and increased its FY26 buyback to GBP 150mln; announced that Carol Borg will join the board in December. Adecco (ADEN SW) Q2 net income EUR 47mln (prev. 58mln Y/Y), Adj. EBITA 165mln (prev. 141mln Y/Y), revenue 6.0bln (prev. 5.78bln Y/Y).
• CONSUMER DEFENSIVE: Henkel (HEN3 GY) H1 sales EUR 10.3bln (exp. 10.3bln), H1 adj. EBIT EUR 1.62bln (exp. 1.57bln); organic sales +3.2% (exp. 2.5%), FY26 organic sales growth guidance was raised to 1.5-3.5% (from 1-3%), with stronger expectations for Adhesive Technologies.
• CONSUMER CYCLICAL: EBay (EBAY) shares pared gains in afterhours, finishing up around 0.5%, after weaker than expected earnings guidance offset stronger quarterly results and an above-consensus revenue view.
• TECH: Sandisk (SNDK) shares fell 8.5% in afterhours trading after its revenue outlook missed elevated expectations, and pointed to slightly lower margins, outweighing stronger quarterly earnings and data centre growth. Western Digital (WDC) shares fell 11% in extended trading with reports suggesting that its outlook underwhelmed, despite forecasting earnings and revenue above consensus. Motorola Solutions (MSI) shares rose 4.4% in extended trading after quarterly earnings and revenue beat expectations, and it raised its FY sales and profit outlook, outweighing softer next-quarter guidance.
• EX-DIVS: Going ex-dividend today: BT Group (BT/A LN), RELX (REL LN), AstraZeneca (AZN LN), Unilever (ULVR LN), Barclays (BARC LN), Standard Chartered (STAN LN), Reckitt Benckiser (RKT LN), St. James’s Place (STJ LN), Rolls-Royce (RR/ LN), Informa (INF LN), Lloyds (LLOY LN), SEGRO (SGRO LN), Schroders (SDR LN).

DAY AHEAD:

• DATA: In Europe, Eurozone retail sales are seen rising 0.2% M/M; July construction PMIs also due across the Eurozone (prev. 42.8), UK (prev. 38.4), Germany (prev. 44.8), France (prev. 38.2). In North America, US initial jobless claims (exp. 202K, prev. 197K) and continuing claims (exp. 1,790K, prev. 1,782K); Challenger job cuts (exp. 59K, prev. 45.849K); nonfarm productivity prelim Q2 and unit labour costs (prev. 1.8% Q/Q); wholesale inventories (prev. 0.1% M/M); Atlanta Fed will update its Q3 GDPNow tracking estimate (currently tracking 5.9%). In Canada, S&P Global Composite (prev. 47.9) and Services PMIs (prev. 47.1).
• CENTRAL BANKS: Fed’s Musalem (2028 voter, hawk) takes part in a moderated discussion. ECB publishes Economic Bulletin Issue 5/2026; Norges Bank releases its Q2 lending survey. Banxico is expected to hold its benchmark rate at 6.5%, and the CNB is also expected to be unchanged at 3.75%.
• SUPPLY: France auctions EUR 10.5-12.5bln of 2036, 2036, 2037 and 2044 lines. Spain sells EUR 5-6bln of 2031, 2033 and 2036, alongside EUR 0.25-0.75bln of 2039 linkers.
• ENERGY: EIA reports weekly natural gas stocks change (prev. +28bcf).
• EARNINGS: Notable corporate earnings due today include: ConocoPhillips (COP), Parker Hannifin (PH), Howmet (HWM), Datadog (DDOG), Monster Beverage (MNST), Constellation Energy (CEG), Airbnb (ABNB), Republic Services (RSG), Aflac (AFL), Warner Bros. Discovery (WBD), Sempra (SRE), Targa Resources (TRGP), Becton Dickinson (BDX), Keurig Dr Pepper (KDP), AIG (AIG), Microchip Technology (MCHP), Consolidated Edison (ED), Kenvue (KVUE), Zoetis (ZTS), ResMed (RMD), Fiserv (FISV), Fox (FOXA), Ralph Lauren (RL), Roku (ROKU), Viatris (VTRS), Evergy (EVRG), Akamai (AKAM), Gen Digital (GEN), APA (APA), Trade Desk (TTD), Molson Coors (TAP).