* European shares slightly lower
* Trump returns to the White House
* Asia shares hit 2-week high
Welcome to the home for real-time coverage of European equity markets brought to you by Reuters
stocks reporters. You can share your thoughts with Joice Alves (joice.alves@thomsonreuters.com)
and Julien Ponthus (julien.ponthus@thomsonreuters.com) in London and Danilo Masoni
(danilo.masoni@thomsonreuters.com) and Stefano Rebaudo (stefano.rebaudo@thomsonreuters.com) in
Milan.
OPENING SNAPSHOT: EUROPE OFF TO MUTED START (0730 GMT)
Equities in the old continent are trading around parity with the STOXX 600 regional
benchmark dipping below the two-week high reached during the previous session as optimism about
Trump's health progress and a new U.S. fiscal package fades.
Among top movers are shares in Suez, up 4.3%, after the French waste and water
firm vowed to fight Veolia's $13 billion takeover project.
Logitech is the top faller, down 4.8% from yesterday's record high, on reports Apple will
stop selling rival earphones, speakers ahead of launches.
Moves in sectors are muted too with price changes ranging from -0.6% of healthcare to +0.9%
of telecoms.
Here's your opening snapshot:
(Danilo Masoni)
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ON OUR RADAR: M&A MUSIC, LUFTHANSA'S CASH BURN, UK PUBS (0643 GMT)
European shares are set for a muted open today as the Trump-returns-to-the-White-House
rebound looks to be losing steam with Euro STOXX 50 futures now trading just above parity,
having earlier gained as much as 0.2%.
In corporate news developments, M&A headlines will continue to keep traders' somewhat busy.
France's Veolia succeeded in its bid to buy a 29.9% stake in waste and water
management rival Suez, paving the way for a full takeover offer despite an attempt by
the French government to stall the deal.
Among banks, Deutsche Bank CEO told Bloomberg the bank could consider a merger or
acquisition as early as next year if its profitability and share price recover, though for now
it remains focused on implementing its turnaround plan.
Meantime from the COVID-hit airline industry, comments from Lufthansa are a stark reminder
that the pain is far from being over. Its CEO said the German airline is burning cash at a rate
of 500 million euros per month and is far from breaking even.
Traders also say UK pub stocks could get a lift after as dozens of Conservative MPs are
reportedly set to vote against 10pm curfew on Wednesday night.
Back to M&A, K+S has signed an agreement to sell its North and South American
salt business to Stone Canyon Industries Holdings and affiliates for $3.2 billion, the German
minerals miner said in a statement on Monday.
Milan-listed Newlat Food has made a non-binding offer for Hovis, the 134-year old
British bread maker, which is owned by Premier Foods and The Gores Group.
Kering said it would sell part of its Puma stake.
Premier Oil has reached an all-share merger deal with oil exploration and production
company Chrysaor that will result in a cash payment of $1.23 billion to creditors of the
debt-saddled British firm.
(Danilo Masoni)
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MORNING CALL: EUROPE SEEN UP BUT GAINS LOOK FRAGILE (0537 GMT)
Markets got the headline they were expecting -- Trump leaves hospital to return to White
House -- and although the upbeat mood looks set to spill over to today's trading,
there is no big rally in sight with Euro STOXX 50 trading up just 0.2%.
Meantime U.S. futures are down slightly, suggesting that if losses accelerate there, Europe
too could reverse course. Over in Asia, Trump's return to the White House and brighter prospects
for a fresh stimulus sent stocks to a two-week high.
(Danilo Masoni)
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