Newsquawk Daily European Equity Opening News - 1st September 2026

APAC stocks traded with a mild negative bias amid higher prices and yields following the recent geopolitical flare-up, although some of the losses were stemmed as participants also digested recent data. ASX 200 was pressured amid underperformance in the consumer, tech and telecom sectors, while Australia's 10yr yield was at its highest since 2011, but with downside in the index stemmed amid strength in the commodity-related industries and after better-than-expected data. Nikkei 225 traded indecisively but was off earlier lows and briefly turned positive as headwinds from higher yields were partially offset by better-than-expected Company Sales and Profits data, while a Ministry of Finance senior official said the BoJ is expected to steer monetary policy aligned with the economy and not influenced by the US, in response to a recent report that US Treasury Secretary Bessent told Japanese officials that rate hikes are needed. KOSPI initially dropped but then gradually returned to flat territory amid light pertinent newsflow and with indecisive performances in the tech heavyweights. Hang Seng and Shanghai Comp were somewhat mixed as the Hong Kong benchmark underperformed amid weakness in some big platform names and property stocks, while sentiment was also not helped by a weak debut for fast fashion retailer Shein. Conversely, the downside in the mainland was cushioned by stronger-than-expected RatingDog Manufacturing PMI data.

Chinese PMI - RatingDog Manufacturing PMI (Aug) 51.5 vs. Exp. 51.0 (Prev. 50.9). S&P says ""Overall, the manufacturing sector strengthened in August, with demand, output and exports all accelerating. The acceleration in new order growth and the robust expansion in exports were positive signals, while the first cut in output prices in 2026 indicated ongoing competitive pressures." (S&P)

Shein (0625 HK), Temu - France has begun imposing penalties to try to curb a surge in sales of cheap clothing sold by e-commerce, with penalties ranging from EUR 0.25-12. (Reuters)

South Korean Trade - Exports (Aug YY) 68.7% vs. Exp. 62.6% (Prev. 63.0%); Imports (Aug YY) 22.5% vs. Exp. 24.7% (Prev. 26.5%).

CLOSES: Euro Stoxx 50 -1.07% at 6,416, Dax 40 -1.09% at 26,281, CAC 40 -0.79% at 8,335, FTSE MIB -0.01% at 52,613, IBEX 35 -0.27% at 19,988, PSI +0.07% at 9,437, SMI -0.79% at 14,286, AEX -0.59% at 1,106

BP (BP/ LN) - Co. says its Whiting oil refinery, Indiana (440k BPD) is undergoing planned operational activities and will continue for the next several days. (BP)

Glencore (GLEN LN) - Co. reportedly took a USD 480mln provision on its exposure to Radiant World, Bloomberg reports. (Bloomberg)

Reckitt Benckiser (RKT LN) - Co.'s Mead Johnson unit was ruled in favour by a jury regarding a group of federal cases alleging that formula for premature babies is linked to a deadly bowel disease. (Business Wire)

UK Banks and Oil - UK Chancellor Healey is reportedly considering a windfall tax on banks and oil majors in the Autumn budget as the Treasury finds ways to fill a GBP 4.7bln hole, the Telegraph reports. (The Telegraph)

UK Cost of Living - UK PM Burnham is to appear in the House of Commons on Tuesday to signal fresh measures to help with the cost of living. (FT)

UK Grocery - BRC Shop Price Inflation (Aug) 1.5% (Prev. 0.9%); Food inflation 2.8%. BRC says higher energy and other input costs are having a particular impact on the prices of room-temperature products and that the months ahead look challenging for households, with rising bills putting further pressure on budgets.

UK Trade - UK government says as of September 1st, British businesses can now access the full benefits of the UK’s membership of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership.

OTHER UK COMPANIES

WPP (WPP LN) - Co. is cutting an additional 1,000 jobs by the end of the year as the Co. undergoes a restructuring plan that will also see non-core businesses and surplus properties offloaded. (FT)

BROKER MOVES

Drax Group (DRX LN) upgraded to Buy from Neutral at Goldman Sachs, stating that its medium-term earnings picture is heavily supported by subsidies, providing a contracted premium to power prices and high visibility on cash flows with limited merchant power price risk.

Reckitt Benckiser (RKT LN) upgraded to Overweight from Neutral at JPMorgan

Shaftesbury Capital (SHC LN) upgraded to Overweight from Equal Weight at Morgan Stanley

Standard Life (SDLF LN) downgraded to Neutral from Buy at UBS

Unite Group (UTG LN) downgraded to Equal Weight from Overweight at Morgan Stanley

Symrise (SY1 GY), Mutares (MUX GY) - Symrise agrees to sell its terpene ingredients business to Mutares; no terms disclosed. (EQS)

OTHER GERMAN COMPANIES

BROKER MOVES

Merck KGaA (MRK GY) upgraded to Buy from Hold at HSBC

Air Liquide (AI FP) - Elliott Management has reportedly built a stake in Air Liquide, the FT reports. (FT)

Vinci (DG FP) - Co. is to buy back EUR 250mln of shares. (Vinci)

OTHER FRENCH COMPANIES

BROKER MOVES

Spie (SPIE FP) initiated with Buy at Deutsche Bank

BROKER MOVES

Alcon (ALC SW) - US White House announces price agreements with several pharmaceutical companies, including Alcon, with the drug makers committing to invest a minimum of USD 19.6bln collectively in US manufacturing in the near term. (White House)

Novartis (NOVN SW) - Co. says it has paused 8 clinical trials of an experimental therapy targeting autoimmune and neurological disorders in late August after 3 fatal cases of a severe immune response, WSJ reports. Elsewhere, the Co. announces its remibrutinib significantly reduces relapse rates and shows favourable safety profile in Phase III RMS trials, and met its primary endpoints. (WSJ/Novartis)

Partners Group (PGHN SW) - H1 2026 (CHF): Revenue 1.12bln (exp. 1.14bln), EBITDA 706mln (prev. 774mln Y/Y), Operating Profit 622mln (prev. 725mln Y/Y). Expects total new client assets between USD 26-32bln in FY26. Announces that CEO Layton is to transition into an investment role while Cagnati and Jenkner will be appointed as Co-CEO. (Partners Group)

Swiss Life (SLHN SW) - H1 2026 (CHF): Net Profit 649mln (prev. 602mln Y/Y), Operating Profit 967mln (prev. 903mln Y/Y), Gross written premiums 12.33bln (prev. 12.11bln Y/Y). Announces a new CHF 250mln share buyback programme. Says "Swiss Life 2027" is well on track, aiming its fee result to over CHF 1bln and RoE between 17-19% by 2027. CEO says "we will see a reduction of around 600 positions by the end of 2028.” (EQS)

UBS (UBSG SW) - The Economic Affairs and Taxation Committee of the upper house announced that UBS should be able to use AT1 debt for as much as 50% of the extra requirement. (Bloomberg)

OTHER SWISS COMPANIES

BROKER MOVES

Givaudan (GIVN SW) downgraded to Hold from Buy at Jefferies

Straumann (STMN SW) upgraded to Buy from Neutral at UBS

BROKER MOVES

DNB ASA (DNB NO) upgraded to Equal Weight from Underweight at Morgan Stanley

Nordea Bank (NDAFI FH) downgraded to Equal Weight from Overweight at Morgan Stanley

Orsted (ORSTED DC) upgraded to Outperform from Sector Perform at RBC

Swedbank (SWEDA SS) upgraded to Equal Weight from Underweight at Morgan Stanley

CLOSES: SPX -0.33% at 7,686, NDX +0.08% at 29,457, DJI -0.70% at 53,191, RUT -0.54% at 2,956

SECTORS: Communication services -1.63%, Utilities -1.18%, Industrials -1.16%, Materials -0.85%, Real estate -0.77%, Consumer discretionary -0.72%, Financials -0.71%, Health -0.41%, Consumer staples -0.33%, Technology +0.3%, Energy +2.1%

Apple (AAPL) - John Ternus officially becomes Apple CEO today, succeeding Tim Cook, who will remain executive Chairman. Ternus is seen prioritising AI, new hardware and design, while relying on senior executives for operations. Ternus will lead as Apple prepares a foldable iPhone and expanded Siri AI, while facing talent losses to OpenAI and pressure in its services and supply chains.