Newsquawk Daily European Equity Opening News - 20th May 2026
ASIA
APAC stocks declined following the weak handover from the US, with sentiment dampened amid headwinds from a higher yield environment and the uncertain geopolitical backdrop. ASX 200 retreated with the declines led by underperformance in the mining and materials sectors, while a lack of data and firmer yields contributed to the uninspired mood. Nikkei 225 fell beneath the 60,000 level with notable pressure in machine tool and electrical equipment manufacturers, while recent comments from Japan's Finance Minister, and current FX levels were seen to stoke intervention risks. Hang Seng and Shanghai Comp conformed to the downbeat sentiment amid bond and inflation woes, with the declines in Hong Kong led by mining, solar and property stocks, while there was a lack of surprises from the PBoC announcement to maintain the benchmark Loan Prime Rates for the 12th consecutive month.
Samsung Electronics (005930 KS) - Samsung Electronics’ largest labour union will begin an 18-day strike on 21st May after wage talks broke down, Yonhap reports. About 48k workers are set to walk out following failed negotiations over performance bonuses tied to the company’s semiconductor business. Yonhap also notes that a full 18-day strike could disrupt global DRAM and NAND supply; industry estimates suggest DRAM supply could fall 3-4% and NAND 2-3%, potentially pushing prices higher. Analysts have also estimated that the strike could lead to potential losses to South Korea’s economy of up to KRW 100tln. (Yonhap)
EUROPEAN CLOSES
CLOSES: Euro Stoxx 50 +0.07% at 5,853, Dax 40 +0.49% at 24,428, FTSE 100 +0.07% at 10,331, CAC 40 -0.07% at 7,982, FTSE MIB -0.65% at 48,355, IBEX 35 -0.48% at 17,670, PSI +0.19% at 9,160, SMI +0.94% at 13,365, AEX +0.31% at 1,019
SECTORS: Healthcare 1.58%, Telecoms 1.42%, Consumer Stpl 1.02%, Utilities 0.55%, Consumer Disc 0.36%, IT 0.13%, Financials 0.04%, Energy 0.03%, Industrials -0.69%, Materials -1.15%
FTSE 100
HSBC (HSBA LN) - Co. issued 2026-28 targets, guiding for ROTE of 17% or better and a 50% EPS dividend, while saying it is on track to reach USD 1.8bln of cost reallocations. Commentary: Expects to complete the USD 1.5bln simplification savings programme by H1'26, 6 months ahead of schedule. CEO: "AI will destroy certain jobs and create new jobs. We will refocus on staff training." (HSBC)
Rio Tinto (RIO LN) - Co. celebrated the shipment of 8bln tonnes of iron ore to global markets from the Pilbara region, with the milestone shipment departed from Cape Lambert port aboard the Juno Horizon on May 19th. (Rio Tinto)
UK Defence - The launch of a major drone centre in the UK has reportedly been pushed back due to ongoing delays to the Government's defence investment blueprint, Politico reports. (Politico)
UK Supermarkets - The UK Treasury is pushing large supermarkets to introduce voluntary price caps on key groceries in return for lifting some regulations, according to FT citing sources. (FT) Note: FT piece was published just before the European close on Tuesday, spurring mild pressure in supermarket names.
OTHER UK COMPANIES
BROKER MOVES
DAX
OTHER GERMAN COMPANIES
Qiagen (QIA GY) - Co. to advance AI-driven drug discovery with graph-based AI and curated bioinformatics knowledge with NVIDIA. (Qiagen)
BROKER MOVES
CAC
Euronext (ENX FP) - Q1 2026 (EUR): Adj. net income 216.1mln (prev. 183.5mln Y/Y), Adj. EBITDA 343.2mln (prev. 294mln Y/Y), Underlying revenue & income 528.5mln (prev. 458.5mln Y/Y). CEO: "These strong results create an excellent backdrop for the delivery of key milestones in our “Innovate for Growth 2027” strategic plan. With a very solid financial position, we are well equipped to embark European capital markets on the next level of innovation and sustainable growth." (Euronext)
Vinci (DG FP) - Reports April airports passenger traffic -1.2% Y/Y. (Vinci)
OTHER FRENCH COMPANIES
Eurazeo (RF FP) - Co. has signed an agreement to acquire a majority stake in Nextron Systems. Elsewhere, the Co. has raised EUR 1bln at the first close of it smaller deals fund, according to Bloomberg. (Eurazeo/Bloomberg)
Ipsen (IPN FP) - Co. said a Phase IV head-to-head, double-blind trial comparing safety and efficacy met its primary and secondary endpoints. (Ipsen)
Vallourec (VK FP) - Co. announces two additional line pipe orders from ExxonMobil Guyana Limited under the long-term agreement signed in 2021. (Vallourec)
BROKER MOVES
PAN EUROPE
Aedifica (AED BB) - Q1 2026 (EUR): Rental Income 113.4mln (prev. 92.9mln Y/Y), EPRA Earnings 74.5mln (prev. 62.6mln Y/Y), EPRA EPS 1.32 (prev. 1.17 Y/Y), EPRA NTA 80.34/share (prev. 78.40/share Y/Y). FY 2026 dividend proposal raised to 4.20/share gross. (Aedifica)
EDPR (EDPR PL) - EDPR sells operations in Brazil to parent company EDP, reinforcing focus on A-rated growth markets; implies an enterprise value of c. EUR 1.5bln. (EDPR)
EU-US Trade - The EU has finalised the text of its US trade deal, as the bloc races to meet US President Trump's July 4th deadline. The deal would see the EU remove levies on US industrial goods in exchange for a 15% tariff ceiling on EU exports. (Bloomberg)
Nestle (NESN SW) / Danone (BN FP) - An investigation by Radio France, RTS and RTBF has revealed that Nestle delayed alerting the authorities in Europe, once it found cereulide in its baby formula. A Nestle spokesperson stated that the report had “inaccurate and misleading information”. (Radio France) The French piece was published on Tuesday, but has been getting some wider attention.
Pirelli (PIRC IM) - Pirelli says shareholders’ agreement between China National Tire & Rubber Corporation, Marco Polo International Italy, Camfin and Marco Tronchetti Provera & C. has expired. (Pirelli)
Stellantis (STLAM IM / STLAP FP) - Co. is reportedly expected to announce a JV with Dongfeng and a deal to build at least one fully electric Voyah brand vehicle at the Stellantis' factory in France, Reuters reports. (Reuters)
UCB (UCB BB) - Co. announced Week 16 data from the BE BOLD trial demonstrating that BIMZELX achieved superior ACR50 joint outcomes compared to risankizumab (SKYRIZI) in adults with active psoriatic arthritis. In the study, 49.1% of patients receiving BIMZELX achieved the ACR50 primary endpoint at Week 16 compared to 38.4% receiving risankizumab, reaching statistical significance. (UCB)
BROKER MOVES
SMI
Logitech (LOGN SW) - Company’s board of directors has approved a proposal for a Fiscal Year 2026 cash dividend, which, if approved by shareholders, would be an increase of CHF 0.10, from CHF 1.36 (prev. CHF 1.26). (Logitech)
OTHER SWISS COMPANIES
Ypsomed (YPSN SW)- FY 2025/26 (CHF): EBIT 246.1mln (exp. 245mln), Revenue 731mln (exp. 720mln), guides initial FY26/27 EBIT between 210-230mln (exp. 214.3mln). (Ypsomed)
BROKER MOVES
SCANDINAVIA
Salmar (SALM NO) - Q1 2026 (NOK): Op. EBIT 1.51bln (exp. 1.52bln). Weak results from Icelandic Salmon and Scottish Sea Farms, driven by high costs in the value chain. (Salmar)
BROKER MOVES
US
CLOSES: SPX -0.67% at 7,354, NDX -0.61% at 28,819, DJI -0.65% at 49,369, RUT -1.01% at 2,747
SECTORS: Materials -2.27%, Communication Services -1.58%, Consumer Discretionary -1.32%, Financials -1.23%, Industrials -1.17%, Technology -0.71%, Consumer Staples +0.40%, Real Estate +0.50%, Utilities +0.99%, Energy +1.05%, Health +1.09%.
Alphabet (GOOGL) - Google unveiled new Gemini AI models and AI agents at its I/O conference, introducing a cheaper Gemini 3.5 Flash model, cut prices for enterprise AI subscriptions, expanded AI features across Search and YouTube, and said Gemini now has 900mln monthly users. The event continues today.
Qualcomm (QCOM) - Qualcomm expects revenue from its hyperscaler custom-silicon engagement to start later this year and become very material in 2027. The company said its scale provides supply flexibility across product categories and supports supplier assurance.
SpaceX - Goldman Sachs (GS) is set to secure the lead-left role on SpaceX’s IPO, with Morgan Stanley (MS) serving as lead banker alongside it, WSJ reports. Bank of America (BAC), Citigroup (C) and JPMorgan (JPM) are also slated to lead the deal, with the prospectus expected as early as Wednesday.