Bulletin
Investor Alert

Europe Markets Archives | Email alerts

July 29, 2019, 11:56 a.m. EDT

Europe stocks rise on pound’s collapse, M&A news

Heineken lower after decline in profit

new
Watchlist Relevance
LEARN MORE

Want to see how this story relates to your watchlist?

Just add items to create a watchlist now:

  • X
    STOXX Europe 600 Index (SXXP)
  • X
    FTSE 100 Index (UKX)
  • X
    DAX (DAX)

or Cancel Already have a watchlist? Log In

By Steve Goldstein, MarketWatch


Getty Images
Restaurant food delivery company 'Deliveroo' employee, Billy Shannon (L) picks up food from a restaurant while working in Camden Town, north London in November 17, 2016.

Europe stocks on Monday closed higher, with traders pouring into British equities as the pound collapsed, and merger news also providing a lift.

The Stoxx Europe 600 index /zigman2/quotes/210599654/delayed XX:SXXP -0.49%  rose 0.14% to 391.28.

The U.K. FTSE 100 /zigman2/quotes/210598409/delayed UK:UKX -0.44%  gained 1.81% to 7,686.61, its best one-day performance since Feb. 5. Gains accelerated as the pound weakened on concerns the U.K. could leave the European Union without an agreement. Read: British pound collapses on no-deal Brexit concerns

The German DAX /zigman2/quotes/210597999/delayed DX:DAX -0.62%  increased 0.08% to 12,430.32 and the French CAC 40 /zigman2/quotes/210597958/delayed FR:PX1 -0.54%  inched up 0.01% to 5,610.73.

What’s moving markets

News that Prime Minister Boris Johnson did not plan to meet EU leaders unless they are willing to modify the withdrawal agreement seemed to accelerate sterling’s losses, and conversely, helped U.K. equities rise.

The Dow Jones Industrial Average /zigman2/quotes/210598065/realtime DJIA -0.78%   meanwhile didn’t see much movement, as U.S. markets are largely frozen ahead of Wednesday’s Federal Reserve interest-rate decision.

“The key question facing investors now is whether the Fed can get away with a small number of ‘insurance’ cuts or whether it will be pushed towards a more fundamental loosening of policy,” said Neil Shearing, group chief economist at Capital Economics, which sees 75 basis points of Fed cuts over the next six months.

Focus stocks

Consolidation in the food delivery sector moved stocks as Just Eat /zigman2/quotes/205192708/delayed UK:JE 0.00%   and Takeaway.com /zigman2/quotes/201653805/delayed NL:TKWY +0.72%   announced merger talks, in a deal where the Dutch-listed group would buy the U.K.-listed company in a stock swap valuing Just Eat, using Friday’s closing prices, at 731 pence a share. Activist investor Cat Rock has stakes in both companies and has been reported to be pushing for a deal.

Just Eat jumped 23% to 781 pence while Takeaway.com shares, after early gains, closed lower.

Delivery Hero /zigman2/quotes/202519651/delayed DE:DHER -2.13%  shares rallied over 5% in Frankfurt. Deliveroo, GrubHub’s /zigman2/quotes/210404212/composite GRUB -4.03%  Seamless and Uber /zigman2/quotes/211348248/composite UBER -0.49%   Eats also are competitors in Europe.

The London Stock Exchange Group /zigman2/quotes/206625606/delayed UK:LSE +0.07%  shares jumped 14% as the exchange operator confirmed it’s in talks to buy Refinitiv, owned by Blackstone /zigman2/quotes/203156858/composite BX -1.92%   and Thomson Reuters /zigman2/quotes/203550191/composite TRI -0.73% , in a $27 billion deal to bulk up its offerings of financial data and infrastructure.

Deutsche Boerse /zigman2/quotes/205502669/delayed DE:DB1 +0.03%  shares fell 2.2% in Frankfurt, as the company said it now doesn’t expect its talks to buy certain currency business units from Refinitiv to succeed.

Vodafone Group /zigman2/quotes/202484985/delayed UK:VOD -0.08% /zigman2/quotes/202862751/composite VOD +0.30%   rallied over 4% in London, continuing to gain ground after announcing it may sell its European towers business.

Earnings also were a mover of stocks. Both classes of Heineken shares /zigman2/quotes/205347870/delayed NL:HEIA -0.14%   /zigman2/quotes/209576464/delayed NL:HEIO -0.80%  skidded over 5% as the brewer reported a decline in first-half profit.

Bank of Ireland /zigman2/quotes/204220078/delayed IE:BIRG -0.20% shares dropped 3.5% as the Irish lender said its net interest margin for the year would be lower than it was in the first half, and that margins will trend lower next year. AIB Group /zigman2/quotes/208990455/delayed IE:A5G +3.17%  shares continued to drop after its cautious report on Friday.

/zigman2/quotes/210599654/delayed
XX : STOXX
428.07
-2.12 -0.49%
Volume: 0.00
Feb. 21, 2020 5:50p
loading...
/zigman2/quotes/210598409/delayed
UK : FTSE UK
7,403.92
-32.72 -0.44%
Volume: 838,159
Feb. 21, 2020 4:59p
loading...
/zigman2/quotes/210597999/delayed
DAX
DX : Xetra Indices
13,579.33
-84.67 -0.62%
Volume: 108,765
Feb. 21, 2020 6:30p
loading...
/zigman2/quotes/210597958/delayed
FR : France: Euronext Paris
6,029.72
-32.58 -0.54%
Volume: 97,327
Feb. 21, 2020 6:05p
loading...
/zigman2/quotes/210598065/realtime
US : Dow Jones Global
28,992.41
-227.57 -0.78%
Volume: 313.44M
Feb. 21, 2020 5:16p
loading...
/zigman2/quotes/205192708/delayed
UK : U.K.: London
861.00 p
0.00 0.00%
Volume: 0.00
Feb. 3, 2020 7:30a
P/E Ratio
148.45
Dividend Yield
N/A
Market Cap
£5.86 billion
Rev. per Employee
£161,688
loading...
/zigman2/quotes/201653805/delayed
NL : Netherlands: Euronext Amsterdam
90.50
+0.65 +0.72%
Volume: 528,244
Feb. 21, 2020 5:36p
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
€12.89 billion
Rev. per Employee
€86,944
loading...
/zigman2/quotes/202519651/delayed
DE : Germany: Frankfurt
76.34
-1.66 -2.13%
Volume: 55.00
Feb. 21, 2020 8:59p
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
N/A
Rev. per Employee
N/A
loading...
/zigman2/quotes/210404212/composite
US : U.S.: NYSE
$ 55.94
-2.35 -4.03%
Volume: 2.40M
Feb. 21, 2020 6:30p
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
$5.12 billion
Rev. per Employee
$370,043
loading...
/zigman2/quotes/211348248/composite
US : U.S.: NYSE
$ 40.72
-0.20 -0.49%
Volume: 20.60M
Feb. 21, 2020 6:30p
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
$69.90 billion
Rev. per Employee
N/A
loading...
/zigman2/quotes/206625606/delayed
UK : U.K.: London
8,422.00 p
+6.00 +0.07%
Volume: 436,754
Feb. 21, 2020 4:35p
P/E Ratio
62.03
Dividend Yield
0.75%
Market Cap
£29.41 billion
Rev. per Employee
N/A
loading...
/zigman2/quotes/203156858/composite
US : U.S.: NYSE
$ 61.25
-1.20 -1.92%
Volume: 4.20M
Feb. 21, 2020 6:30p
P/E Ratio
26.68
Dividend Yield
3.18%
Market Cap
$73.16 billion
Rev. per Employee
$2.41M
loading...
/zigman2/quotes/203550191/composite
US : U.S.: NYSE
$ 81.08
-0.60 -0.73%
Volume: 323,569
Feb. 21, 2020 6:30p
P/E Ratio
171.60
Dividend Yield
1.78%
Market Cap
$40.54 billion
Rev. per Employee
$213,217
loading...
/zigman2/quotes/205502669/delayed
DE : Germany: Frankfurt
155.35
+0.05 +0.03%
Volume: 310.00
Feb. 21, 2020 8:58p
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
N/A
Rev. per Employee
€555,390
loading...
/zigman2/quotes/202484985/delayed
UK : U.K.: London
154.88 p
-0.12 -0.08%
Volume: 44.85M
Feb. 21, 2020 4:35p
P/E Ratio
N/A
Dividend Yield
4.86%
Market Cap
£41.46 billion
Rev. per Employee
N/A
loading...
/zigman2/quotes/202862751/composite
US : U.S.: Nasdaq
$ 20.06
+0.06 +0.30%
Volume: 1.93M
Feb. 21, 2020 4:00p
P/E Ratio
N/A
Dividend Yield
4.68%
Market Cap
$537.03 billion
Rev. per Employee
N/A
loading...
/zigman2/quotes/205347870/delayed
NL : Netherlands: Euronext Amsterdam
103.85
-0.15 -0.14%
Volume: 533,861
Feb. 21, 2020 5:35p
P/E Ratio
27.55
Dividend Yield
1.62%
Market Cap
€59.21 billion
Rev. per Employee
N/A
loading...
/zigman2/quotes/209576464/delayed
NL : Netherlands: Euronext Amsterdam
92.80
-0.75 -0.80%
Volume: 65,440
Feb. 21, 2020 5:35p
P/E Ratio
24.62
Dividend Yield
1.81%
Market Cap
€26.19 billion
Rev. per Employee
N/A
loading...
/zigman2/quotes/204220078/delayed
IE : Ireland: Dublin
3.97
-0.0080 -0.20%
Volume: 2.44M
Feb. 21, 2020 4:30p
P/E Ratio
9.18
Dividend Yield
4.03%
Market Cap
€4.27 billion
Rev. per Employee
€480,949
loading...
/zigman2/quotes/208990455/delayed
IE : Ireland: Dublin
2.34
+0.07 +3.17%
Volume: 4.33M
Feb. 21, 2020 4:30p
P/E Ratio
8.30
Dividend Yield
7.26%
Market Cap
€6.36 billion
Rev. per Employee
€324,484
loading...

Steve Goldstein is MarketWatch markets editor for Europe. Follow him on Twitter: @MKTWgoldstein.

This Story has 0 Comments
Be the first to comment
More News In
Markets

Story Conversation

Commenting FAQs »
Link to MarketWatch's Slice.