[MARKET ANALYSIS] European bourses continue to gain while SAP GY slips following ORCL earnings; US equity futures rebound ahead of SPCX pricing

European bourses (STOXX 600 +0.6%) start Thursday's trade with broad gains despite another round of US-Iran strikes. The US targeted Iranian military surveillance capabilities, communication systems and air defence sites across Iran, while Iran's IRGC said it launched two waves of retaliatory strikes, hitting and destroying 18 key military targets in US bases in Kuwait and Bahrain. Germany's DAX 40 (+0.1%) underperforms, weighed on by losses in SAP (-4.2%) following Oracle's earnings (see more below). The Kiel Institute also published its summer 2026 forecast, expecting the German economy to recover more slowly than previously thought due to higher energy prices.
Sectors trade mixed. Basic Resources (+1.4%) tops the list as precious metals hold steady following another day of selling on Wednesday. Energy (+1.3%) and Banks (+1.1%) round out the top 3. Autos (-0.3%), Real Estate (-0.7%) and Telecoms (-0.7%) are the underperformers.
Key movers: Hugo Boss (+6.9%), as Frasers Group launches a EUR 1.98bln takeover bid; Wizz Air (+5.1%), operating profit beating estimates offsetting a lower forecast in revenue per available seat kilometre; Halma (-12.8%), raises its dividend and reports "record" revenue; Porsche (+1.7%), upgraded to buy at Goldman Sachs due to a more visible path to multi-year EPS recovery.
US equity futures rebound sharply following Wednesday's losses, with the NQ (+1.2%) leading gains. Oracle (-9.2%) slumped after-hours, which is weighing on European peers, as plans to raise additional financing (c. USD 40bln through debt and equity financing) for its AI buildout clouded better-than-expected results and a higher profit forecast. Looking ahead to what is expected to be the biggest IPO in history, Elon Musk is expected to appear at an ASML event to discuss Terafab and the SpaceX IPO. The pricing of the IPO is expected later today.