Newsquawk Daily European Equity Opening News - 12th May 2026

ASIA

APAC stocks traded mixed following the mild gains on Wall St, where the S&P 500 and NDX extended record highs, but with the upside capped by higher oil prices and geopolitical uncertainty after US President Trump said the ceasefire is unbelievably weak and is on life support, but added that a diplomatic solution with Iran is still possible. Furthermore, Trump was said to be now more seriously considering a resumption of major combat operations than he has in recent weeks, although sources also stated that a major decision on how to proceed is unlikely to be made prior to the president’s departure to China. ASX 200 was dragged lower as weakness in the tech, healthcare, financials and consumer sectors offset the commodity-related gains, while sentiment was also not helped by a soft NAB Business Survey. Nikkei 225 ultimately gained, but with price action choppy amid a softer currency, disappointing Household Spending data and hawkish undertones from the BoJ Summary of Opinions, while participants also reflected on the record earnings from SoftBank. KOSPI swung between gains and losses after its recent surge, and with some cautiousness seen after South Korean policymakers proposed the establishment of an AI 'citizen dividend'. Hang Seng and Shanghai Comp were mixed with the Hong Kong benchmark led higher by Kuaishou Technology after it was reported that the Co. plans to spin off its Kling AI video unit at a USD 20bln valuation, while the mainland lacks conviction as participants await the looming Trump-Xi summit in Beijing.

EUROPEAN CLOSES

CLOSES: Euro Stoxx 50 +1.83% at 5,869, Dax 40 +1.67% at 24,392, FTSE 100 -1.40% at 10,219, CAC 40 +1.08% at 8,062, FTSE MIB +2.27% at 48,558, IBEX 35 +1.80% at 17,668, PSI -0.04% at 9,165, SMI +0.43% at 13,059, AEX +0.95% at 1,015.

SECTORS: Materials 1.48%, Energy 1.36%, Utilities 1.01%, Healthcare 0.66%, Industrials 0.04%, Financials 0.00%, IT 0.00%, Telecoms 0.00%, Consumer Stpl -1.23%, Consumer Disc -1.84%

FTSE 100

HSBC (HSBA LN) - Co. reportedly held a meeting with British banks to discuss rising pressure from regulators and investors to disclose more information on climate risks, according to FT sources. (FT)

UK Retail - UK BRC Retail Sales Monitor YoY (Apr) Y/Y -3.4% vs. Exp. 0.8% (Prev. 3.1%)

UK Politics - Four UK cabinet ministers, led by the Home Secretary, have gone into Number 10 to tell the PM to set out a timetable for him to resign, according to ITV News. Furthermore, it was reported that UK Deputy PM Lammy urged PM Starmer to set out a timetable to quit, and Foreign Minister Cooper also told UK PM Starmer he should see an orderly transition of power, while Sky News's Rigby previously reported that cabinet members were gearing up to tell UK PM Starmer the "game is up". (ITV News / Sky News)

OTHER UK COMPANIES

Harbour Energy (HBR LN) - Co. wins a new UK North Sea contract, adding USD 150mln in firm backlog. (Harbour Energy)

BROKER MOVES

DAX

Bayer (BAYN GY) - Q1 2026 (EUR): Revenue 13.4bln (exp. 13.5bln), Adj. EBITDA 4.5bln (exp. 3.94bln), core EPS 2.71 (exp. 2.22), guides FY26 sales between 44.5-46.5bln (prev. guided 44-46bln) and core EPS between 4.10-4.60 (prev. guided 4.00-4.50).

Munich Re (MUV2 GY) - Q1 2026 (EUR): Net Result 1.71bln (prev. 1.09bln Y/Y), EPS 13.41 (exp. 13.62), Insurance Revenue 15.01bln (exp. 16.1.2bln, prev. 15.1bln Y/Y), Op. Result 2.23bln (prev. 1.46bln Y/Y). Confirms 2026 guidance. (Munich Re)

Siemens Energy (ENR GY) - Final Q2 2026 (EUR): Net Income 835mln (prev. 501mln Y/Y), Revenue 10.3bln (prev. 9.96bln Y/Y), Orders 17.7ln (prev. 14.4bln Y/Y), announces additional share buybacks of up to EUR 1bln. Raises FY26 revenue growth of between +14-16% (prev. guided +11-13%) and Net Income around EUR 4bln (prev. guided between 3-4bln). (Siemens Energy)

OTHER GERMAN COMPANIES

Carl Zeiss Meditec (AFX GY) - H1 2026 (EUR): Revenue 991mln (prev. 1.05bln Y/Y), Adj. EBITA 60.5mln (prev. 112.6mln Y/Y). Approximately EUR 40mln per year will be required by fiscal year 2028/29 to offset rising infrastructure costs. Cost savings will be complemented by targeted initiatives to accelerate revenue growth. In connection with the aforementioned measures, one-off expenses and investments of up to EUR 150mln in total are expected through fiscal year 2028/29. FY Outlook: Revenue 2.15-2.2bln (prev. guided 2.3bln), EBITA Margin 8-10% (prev. guided 12%) Shares -3% in pre-market trade

Salzgitter (SZG GY) - Final Q1 2026 (EUR): External Sales 2.3bln (prev. 2.3bln Y/Y), EBITDA VX 280mln (prev. 79mln Y/Y), strong EBITDA growth attributed to the contribution of EUR 147mln from the participating investment in Aurubis AG included at equity. Guides FY26 sales of around EUR 9.5bln and EBITDA VX between EUR 625-725mln. (Salzgitter)

Thyssenkrupp (TKA GY) - Q2 2026 (EUR): Adj. EBIT 198mln (exp. 175.2mln), Sales 8.4bln (exp. 8.13bln), Order Intake 10.6bln (prev. 8bln Y/Y). Order intake was significantly above the prior-year figure, mainly due to the strong performance of Marine Systems. Confirms 2026 guidance. (Thyssenkrupp)

BROKER MOVES

Commerzbank (CBK GY) upgraded to Buy from Hold at DZ Bank

GEA Group (G1A GY) upgraded to Neutral from Underweight at JPMorgan

CAC

OTHER FRENCH COMPANIES

Ipsen (IPN FP) - The US FDA is alerting patients and health care providers about the voluntary withdrawal of Tazverik (tazemetostat) tablets from the market due to an increased rate of hematologic second primary malignancies (SPMs). (US FDA)

BROKER MOVES

Kering (KER FP) upgraded to Equal Weight from Underweight at Barclays

LVMH (MC FP) upgraded to Overweight from Equal Weight at Barclays

PAN EUROPE

BMPS (BMPS IM) - Q1 2026 (EUR): Net Profit 520.8mln (exp. 511mln), Revenue 1.96bln (exp. 1.92bn), NII 1.03bln (prev. 543mln Y/Y). Performance in line with strategic trajectory set out in 2026-2030 business plan. (BMPS)

EU-China - France presses EU to crack down on platforms like Shein and Temu, according to FT. (FT)

Eni (ENI IM) - Co. launches two USD fixed rate bonds totalling USD 3bln. (Eni)

KBC Groep (KBC BB) - Q1 2026 (EUR): Net Income 557mln (exp. 589mln), NII 1.67bln (exp .1.65bln), guides FY26 Total Income of at least +6-8% Y/Y and NII of at least EUR 6.5bln. (KBC Groep)

BROKER MOVES

SMI

OTHER SWISS COMPANIES

PSP Swiss Property (PSPN SW) - Q1 2026 (CHF): Adj. Net Income 54.2mln (prev. 50mln Y/Y), Adj. EBITDA 74.4mln (prev. 74.6mln Y/Y), affirms FY25 Adj. EBITDA of CHF 310mln. (PSP Swiss Property)

SoftwareOne (SWON SW) - Q1 2026 (CHF): Revenue 387.7mln (exp. 365mln), Adj. EBITDA 79.4mln (exp. 72mln). FY Outlook: Raises its 2026 revenue growth outlook from mid-single digit to mid to high-single digit. AI: Artificial intelligence is emerging as a meaningful driver of demand across our portfolio, reinforcing our role as a global Software & Cloud provider. (SoftwareOne)

Tecan (TECN SW) - Q1 2026 Update: Revenue +3.4% Y/Y, on track with low-single-digit local currency growth in Q1 and FY26 outlook confirmed. (Tecan)

BROKER MOVES

SCANDINAVIA

BROKER MOVES

US

CLOSES: SPX +0.18% at 7,412, NDX +0.29% at 29,321, DJI +0.19% at 49,704, RUT +0.39% at 2,872.

SECTORS: Energy +2.62%, Materials +1.43%, Industrials +1.01%, Technology +0.98%, Utilities +0.97%, Real Estate +0.34%, Financials -0.19%, Health -0.40%, Consumer Discretionary -0.66%, Consumer Staples -0.76%, Communication Services -2.34%.