Newsquawk Daily European Equity Opening News - 20th January 2026

ASIA

APAC stocks traded mostly in the red, except the KOSPI, as the tech sector led the declines. ASX 200 continued to fall away from its 2026 peak of 8915, despite the positivity seen in the metals space as BHP upgraded its FY26 copper production guidance. Nikkei 225 neared 53,000, falling from its ATH of 54,522, as traders assess the policies put forward by the LDP and Centrist Reform Alliance going into the February 8th elections. KOSPI was set to snap its 5-day winning streak, falling from its ATH at 4924, as the tech sector weighs on sentiment. Samsung Electronics and SK Hynix briefly led losses, with shares down as much as 3% each before price gradually rebounded but remained in the red. Hang Seng and Shanghai Comp traded with modest losses, and little follow-through from the PBoC unsurprisingly holding LPRs steady. Global equities continue to price in the re-escalation of tariffs between the US and EU.

BHP Group (BHP AT) - BHP raised FY26 group copper production guidance to 1.9–2.0mln metric tons (from 1.8–2.0mln), citing strong operational performance across assets. Escondida achieved record throughput, Antamina lifted guidance, and other copper operations tracked to plan, supporting strong momentum into the H2. (BHP)

EUROPEAN CLOSES

CLOSES: Euro Stoxx 50 -1.77% at 5,923, Dax 40 -1.33% at 24,960, FTSE 100 -0.39% at 10,195, CAC 40 -1.78% at 8,112, FTSE MIB -1.32% at 45,196, IBEX 35 -0.26% at 17,665, PSI -0.90% at 8,561, SMI -0.95% at 13,281, AEX -1.73% at 993.

SECTORS: Telecoms 0.69%, Consumer Stpl -0.40%, Utilities -0.71%, Materials -0.72%, Financials -0.72%, Energy -0.96%, Healthcare -1.20%, Industrials -1.57%, Consumer Disc -2.36%, IT -3.31%

FTSE 100

AstraZeneca (AZN LN) / Daiichi Sankyo (DSNKY) - The EMA validated a Type II Variation marketing authorisation application for Enhertu with pertuzumab as a first-line treatment for unresectable or metastatic HER2 positive breast cancer. (Newswires)

UK Small- and Mid-Cap Stocks - Norway’s sovereign wealth fund has begun selling a significant number of London-listed small- and mid-cap stocks in recent weeks, Sky News reports. The USD 2tln fund is offloading scores of holdings, while retaining large-cap positions, despite the FTSE 100 reaching record highs this week, the report adds. (Sky News)

UK Banks - UK parliamentarians urged regulators to begin stress-testing AI risks in banking, warning a wait-and-see approach could cause serious harm. A parliamentary committee said the BoE, FCA and Treasury are falling behind as more than three quarters of UK financial services firms now use AI. (Bloomberg)

OTHER UK COMPANIES

BROKER MOVES

AstraZeneca (AZN LN) downgraded to Sell from Hold by Nordea Shares -1% in pre-market trade

DAX

Allianz (ALV GY) - Allianz Global Investors secured USD 690mln for its new Allianz Credit Emerging Markets fund, aimed at blending public and private capital for climate projects, Bloomberg reports. The fund is about 70% toward its USD 1bln target, with USD 150mln in concessionary junior capital from British International Investment and multilateral lenders. (Bloomberg)

Henkel (HEN3 GY) / Wendel (MF FP) - Wendel confirmed it is in non-exclusive discussions with Henkel regarding a potential transaction involving Stahl; it added that there was no cerainty of a deal, and will not make any further comments unless appropriate. (Henkel) 

Mercedes-Benz Group (MBG GY) - Mercedes has started production of its fully electric GLB compact SUV in Hungary, concentrating output at its Kecskemet plant, Bloomberg reports. The model, priced at around EUR 59k, is shifting from Mexico as Mercedes cuts costs amid tariff risks and Chinese competition.

OTHER GERMAN COMPANIES

Hypoport (HYQ GY) - FY25 (EUR): Europace transaction volume for mortgages increases by +13% YY in 2025. (Hypoport)

BROKER MOVES

Carl Zeiss Meditec (AFX GY) downgraded to Neutral from Buy at Goldman Sachs Shares -2.2% in pre-market trade

Fresenius Medical (FME GY) downgraded to Neutral from Buy at Goldman Sachs Shares -1.7% in pre-market trade

SAP (SAP GY) initiated with Hold at HSBC

CAC

Eiffage (FGR FP) – Co. acquired a 70% stake in Socotis for an undisclosed amount. (Newswires)

French alcohol names - US President Trump said, "I will impose 200% tariff on French wines and champagne, and President Macron will join the Board of Peace". (Truth) Pernod Ricard -1.1%; Remy Cointreau -0.9% in pre-market trade

Renault (RNO FP) – FY25 (Sales update): Vehicle Sales 2.37mln +3.2% Y/Y. EV vehicle sales 194k +767% Y/Y. Elsewhere, Renault said that it will help France develop a domestic drone industry after being approached by the Ministry of the Armed Forces, Bloomberg reports. The automaker will contribute its expertise as Europe responds to rising geopolitical tensions linked to US threats over Greenland. (Renault / Bloomberg)

OTHER FRENCH COMPANIES

Eurazeo (RF FP) - Co. entered into an agreement to sell a significant minority stake in EX NIHILO; exp. to close Q1’26. Elsewhere, announces investment in Germany-based Terralayr. (Eurazeo)

BROKER MOVES

PAN EUROPE

Adyen (ADYEN NA) - Co. nominates Herna Verhagen as Supervisory Board member and Chair. (Adyen)

European Equities - Citigroup downgraded European equities for the first time in over a year, citing worsening transatlantic tensions and tariff uncertainty linked to President Trump’s push over Greenland, Bloomberg reports. Strategists said the dispute with Washington weakens the near-term investment case and earnings outlook for European companies. (Bloomberg)

Flughafen Wien (FLU AV) - FY25 passenger volume at 43.4mln, +4.9% Y/Y. In 2026, sees 41.5mln at Vienna Airport. (Flughafen Wien)

Ryanair (RYA ID) - Elon Musk replies to a Ryanair post, “How much would it cost to buy you?”, adding that “I really want to put a Ryan in charge of Ryan Air. It is your destiny”. (X)

BROKER MOVES

SMI

OTHER SWISS COMPANIES

BROKER MOVES

Alcon (ALC SW) upgraded to Buy from Hold at Deutsche Bank

SCANDINAVIA

Skanska (SKAB SS) - Co. builds a new 400 kV cable connection in Sweden, for approx. SEK 500mln. (Skanska)

BROKER MOVES

Kone (KNEBV FH) upgraded to Buy from Hold at SEB

Rockwool (ROCKB DC) initiated with Buy at Goldman Sachs

Norsk Hydro (NHY NO) downgraded to Hold from Buy at SEB

SSAB (SAABB SS) downgraded to Sell from Hold at SEB

SKF (SKFB SS) downgraded to Sell from Buy at Goldman Sachs

US

US stocks were shut on Monday, on account of MLK Day

Meta Platforms (META) - The UK Gambling Commission said that Meta Platforms is overlooking adverts from illegal gambling sites on Facebook and Instagram. The regulator found unlicensed operators targeting UK users via Meta’s ad library.