-
AstraZeneca (ZEG TH) +5%
- Daiichi Sankyo Soars After AstraZeneca Coronavirus Vaccine Study
- Airbus (AIR TH) +2.9%
-
Bayer (BAYN TH) +2.9%
- Bayer Gets Roundup Verdict Slashed by 74% But Has Bigger Problem
- HelloFresh (HFG TH) +2.4%
- Carnival Plc (POH1 TH) +2.3%
- Glaxo (GS7 TH) +2.3%
- ArcelorMittal (ARRD TH) +2%
- Ryanair (RY4C TH) +1.9%
- Signify (G14 TH) +1.8%
- Ericsson (ERCB TH) +1.7%
- UBI Banca (BPD TH) -0.4%
- UBI Board to Review Intesa’s Raised Offer Tues.: Sole, Corriere
- Assa Abloy (ALZC TH) -0.4%
- Unibail (1BR1 TH) -0.5%
- Rio Tinto (RIO1 TH) -0.6%
- Rational (RAA TH) -0.7%
DAX:
- Bayer (BAYN TH) +3.1%
- Bayer Gets Roundup Verdict Slashed by 74% But Has Bigger Problem
- Infineon (IFX TH) +1.6%
- VW (VOW3 TH) +1.5%
- Daimler (DAI TH) +1.3%
- HeidelbergCement (HEI TH) +1.3%
- Wirecard (WDI TH) -0.8%
- Merkel’s Office Knew About Wirecard Before China Trip: Spiegel
MDAX:
- HelloFresh (HFG TH) +2.8%
- HelloFresh PT Raised to 61 euros from 47 euros at Deutsche Bank
- Airbus (AIR TH) +2.8%
- ProSieben (PSM TH) +2.3%
- Varta (VAR1 TH) +2.1%
- Fraport (FRA TH) +1.6%
SDAX:
- Deutz (DEZ TH) +3.4%
- Tele Columbus (TC1 TH) +2.6%
- LPKF (LPK TH) +2.6%
- Deutsche PBB (PBB TH) +1.9%
- Aixtron (AIXA TH) +1.7%
- Steinhoff (SNH TH) -1.4%
Asian stocks rose Tuesday after U.S. shares rallied to the highest since February, with progress on European stimulus and coronavirus vaccines also boosting sentiment. The dollar held losses.
Shares were up more than 1% in Australia, South Korea and Hong Kong. Japan and China were little changed. European futures gained after European Union leaders reached a deal on a landmark stimulus package. Treasuries and oil were steady. S&P 500 contracts fluctuated after the benchmark turned positive for the year. Earlier, the Nasdaq 100 jumped to a record on demand for companies like Amazon.com Inc. and Zoom Technologies Inc. that benefit from more people staying at home due to the pandemic.
US After Hours IBM +4.5% on its largest EPS beat in past 4 qtrs; HIBB +24.7% as JulQ comps are expected to exceed +70%; ACAD falls -11.6% on disappointing Phase 3 data
Nikkei +0.76% Hnag Seng +1.86% CSI +0.15% Shanghai +0.12% Shenzen +0.55%
Eur$ 1.1446 CNH 6.9893 CNY 6.9912 JPY 107.35 GBP 1.2685 CHF 0.9390 WTI$ 41 +0.2%
S&P +0.62% NAsdaq +0.90% EuroStoxx +0.86% Dax +1.15% SMI +0.85%
Macro :
- Hedge Funds Hit by Outflows for Ninth Consecutive Quarter
- Citi Sees Gold at Record High; Silver’s Run: N.A. Materials Wrap
- EU Leaders Reach Deal on 750 Billion-Euro Virus Recovery Fund
Keep an eye on :
- AF FP : Air France Pilots’ Union SNPL Agrees Tentative Deal on Transavia
- ALFA SS : Alfa Laval Second Quarter Adjusted Ebita Beats Highest Estimate
- AZN LN : AstraZeneca Vaccine Data Appear Less Competitive, Analysts Say
- BSLN SW : Basilea Delta Share Sale Price Guidance Set at CHF50 Each: Terms
- BSLN SW : Basilea Pharmaceutica Conversion Price for New Bonds CHF62.50
- BAYN GY : Bayer Roundup Verdict Slashed by Appeals Court
- BETSB SS : Betsson Second Quarter Operating Profit 4.9% Above Estimates
- BA US : Boeing CEO Downplays $50 Billion Sales Goal for Services: AvWeek
- CLNX SM : Cellnex Boosts FY Adjusted Ebitda View, 1.7% Above Est.
- CON GY : Continental Sales Beat Estimates, Though Car Supplier Is Wary
- CLXN SW : Crealogix to Cut About 10% of Jobs in Reorganization
- CSGN SW : SoftBank Pulls $700 Million From Credit Suisse Fund
- ENGI FP : Engie Agrees to Buy Tag’s Remaining Stake of 10% From Petrobras
- EVO SS : Billionaire to Sell Up to $658 Million of Evolution Gaming Stock
- GET FP : Getlink: Eurotunnel Le Shuttle Served 30k+ Cars July 17-19
- DANSKE DC : Danske Seen Cutting at Least 1,000 Jobs in ‘Significant’ Move
- FI-N SW : Georg Fischer First Half Sales 4.4% Below Estimates
- GIVN SW : Givaudan First Half Ebitda 3.3% Above Estimates
- ICAD FP : ICADE First Half Group NCCF/Shr EU2.18 Vs. EU2.36 Y/y
- KNIN SW : Kuehne + Nagel First Half Ebit Beats Estimates
- LISN SW : Lindt & Spruengli First Half Sales 3.4% Above Estimates
- LOGN SW : Logitech Boosts Full Year Adjusted Operating Income Forecast
- NAS NO : Norwegian Air to Convert NOK419.3M in Payables to Shares
- NOVN SW : Novartis Narrows FY Net Sales Guidance to Lower End of View
- ORP FP : Icade Buys Healthcare Facilities From Orpea for EU145m
- RAND NA : Randstad Second Quarter Gross Margin Matches Estimates (1)
- RCO FP : Remy Cointreau Raises Profit Outlook as Lockdowns Spur Cocktails
- RESURS SS : Resurs Holding Second Quarter EPS Beats Estimates
- SRT GY : Sartorius First Half Adjusted Ebitda EU293.5 Mln, +24% Y/y
- SAGA LN : Saga Revives Plan to Sell Its Luxury Tour Operator: Sky
- SFSN SW : SFS First Half Ebit Meets Estimates
- SGSN SW : SGS First Half Adjusted Operating Income CHF330 Mln, -33% Y/y
- SSABA SS : SSAB Second Quarter Ebitda Beats Estimates
- SSE LN : Scottish Utility Seeks Global Role in Renewable Energy Boom
- STM GY : Stabilus Prelim 3Q Adj Ebit EU5.7m; Reports Non-Cash Impairments
- STERV FH : Stora Enso Second Quarter Operating Ebit Beats Estimates
- SKFB SS : SKF 2Q Adjusted Operating Profit Beats Highest Est.
- SDRY LN : Activist Investor Gatemore Snaps Up Stake in Struggling Superdry
- TSLA US : China to Exempt Purchase Tax for All Locally-Made Tesla Model 3s
- THULE SS : Thule Second Quarter Ebit Beats Highest Estimate
- UBI IM : UBI Board to Review Intesa’s Raised Offer Tues.: Sole, Corriere
- UBSG SW : SEC Says UBS Financial Services to Pay $10M to Resolve Claims
- UBSG SW : UBS Signals Buyback Returns After Net New Money Beats Estimates
- UNA NA : Microsoft, Nike, Unilever Announce Global Carbon-Neutral Group
- WHA NA : Wereldhave First Half EPS EU0.97
>>> Up
* Babcock Raised to Overweight at Barclays; PT 347 pence
* Fresnillo Raised to Buy at Citi
* Hays Raised to Buy at HSBC; PT 153 pence
* HelloFresh PT Raised to 61 euros from 47 euros at Deutsche Bank
* Knorr-Bremse Raised to Hold at MainFirst; PT 95 euros
* Premier Oil Raised to Buy at Peel Hunt; PT 50 pence
* Topdanmark Raised to Hold at HSBC; PT 278 kroner
>>> Down
* Antofagasta Cut to Neutral at Citi
* Boliden Cut to Sell at Citi
* Carnival Cut to Hold at HSBC; PT $15.30
* Carnival Plc Cut to Hold at HSBC; PT 1,040 pence
* Evolution Gaming Cut to Hold at Pareto Securities
* Forterra Cut to Hold at Jefferies; PT 194 pence
* Nornickel GDRs Cut to Underweight at Morgan Stanley; PT $22
>>> Initiation
* Antofagasta Rated New Neutral at CIBC; PT 1,100 pence
* CM Rated New Hold at Jefferies; PT 18 euros
>>> Call
* Europe Midcap Miners’ Ebitda Ests. Raised, 2Q to Be Trough: Citi
* Premier Oil Raised by Peel Hunt on Debt Outlook, BP Acquisitions
US lab giant warns of new Covid testing crunch in autumn
Quest Diagnostics executive says ‘no way’ capacity will expand enough to cope with flu season
The largest laboratory company in the US has warned it will be impossible to increase coronavirus testing capacity to cope with demand during the autumn flu season, in a sign that crippling delays will continue to hamper the US response to the pandemic.
James Davis, executive vice-president of general diagnostics at Quest Diagnostics, said “other solutions need to be found” to detect positive patients in addition to the nasal swab tests currently in use.
The comments come as testing companies including Quest and its main rival LabCorp are already struggling to keep up with demand. With 5.5m tests being conducted a week due to a spike in cases, both companies are reporting delays of about a week in getting results to people.
Such a long delay renders testing virtually pointless, according to public health experts, because by the time a person receives their result they are likely to have passed the point at which they are most infectious.
Public health experts say the US needs to double its testing capacity to cope with a surge in demand following rising infections in states that reopened too quickly, including California, Texas, Florida and Arizona.
“There is no way that PCR capacity is going to double in the next three months,” Mr Davis said in an interview with the Financial Times, referencing polymerase chain reaction (PCR) technology used in existing nasal swabs.
Demand is likely to surge in the autumn and winter when millions of Americans with common colds and the flu are expected to line up for tests to eliminate the possibility they have the virus.
Dr Jonathan Quick, head of pandemic response at the Rockefeller Foundation, said: “You have 50m to 100m Americans a year getting the sniffles and, given the impact of Covid versus flu, you’re going to want to distinguish between the two. That’s going to be a huge challenge.”
Mr Davis said his company would be able to expand quickly were it not for a shortage of chemical reagents and machines from testing equipment makers such as Roche, ThermoFisher and Hologic, which are struggling to keep up with a surge in global demand.
He added: “We would double our capacity tomorrow . . . but it’s not the labs that are the bottleneck. [It] is our ability to get physical machines and, more importantly, our ability to feed those machines with chemical reagents.”
Long delays in getting results mean that the number of nationwide cases — which hit a record of almost 464,000 last week — is out-of-date, and that US officials must fight the pandemic with old data.
Quest is running its laboratories 24 hours a day but there are “more specimens coming in every day than our capacity can handle”, Mr Davis said.
The surge in demand in states in the south and west has been exacerbated by attempts to expand access to testing in places that have managed to tame the virus, but which see mass surveillance as an essential tool to prevent the virus from resurging. In New York everyone is eligible for testing regardless of whether they have symptoms.
Mr Davis warned that testing might need to be rationed to ensure that those with the most urgent need receive their results more quickly.
“Right now with demand greater than supply, we should focus on the people that are symptomatic, then on the people that are asymptomatic but have been in contact with a known positive,” he said.
“When this pandemic first started in March, and the rest of the country was not yet infected, we were able to export specimens out of the New York-New Jersey area to other labs, so the turnaround was very good. But now we can’t in good conscience send specimens from New York and New Jersey to Florida, Texas, Arizona, Kansas and California, because of the positivity rate. Demand in those regions has increased threefold.”
The surge in demand in states in the south and west has been exacerbated by attempts to expand access to testing in places that have managed to tame the virus, but which see mass surveillance as an essential tool to prevent the virus from resurging. In New York everyone is eligible for testing regardless of whether they have symptoms.
Mr Davis warned that testing might need to be rationed to ensure that those with the most urgent need receive their results more quickly.
“Right now with demand greater than supply, we should focus on the people that are symptomatic, then on the people that are asymptomatic but have been in contact with a known positive,” he said.
“When this pandemic first started in March, and the rest of the country was not yet infected, we were able to export specimens out of the New York-New Jersey area to other labs, so the turnaround was very good. But now we can’t in good conscience send specimens from New York and New Jersey to Florida, Texas, Arizona, Kansas and California, because of the positivity rate. Demand in those regions has increased threefold.”
After Hours Summary: IBM +4.5% on its largest EPS beat in past 4 qtrs; HIBB +24.7% as JulQ comps are expected to exceed +70%; ACAD falls -11.6% on disappointing Phase 3 dataAfter Hours Gainers:
Companies trading higher in after hours in reaction to earnings/guidance: HIBB +24.7% (says JulQ comps expected to exceed +70%; digital comps +200%), IBM +4.5% (largest EPS beat in past 4 qtrs, strong revenue upside as well), CDNS +3.2%, NUVA +2.9% (guides Q2 revs well ahead of consensus ests), STLD +0.3%
Companies trading higher in after hours in reaction to news: NBEV +73.6% (to acquire ARIIX), FHB +9.8% (to join S&P SmallCap 600), DKS +6% (in sympathy with strong comps from HIBB), RTIX +5.6% (closes on sale of OEM business, will change name and ticker), NVAX +4.3% (will present progress of NVX-CoV2373 on Tues morning), SYNA +4% (to acquire DisplayLink for $305 mln), CWH +2.7% (increases dividend), GNW +2.3% (reaches agreement to settle dispute with AXA), LMT +0.8% (awarded $860 mln Navy contract), DXC +0.7% (to sell healthcare software provider for $525 mln)
After Hours Losers:
Companies trading lower in after hours in reaction to earnings/guidance: CCK -3.5%, LLNW -2.2%, ZION -0.5%, ACC -0.3%, ELS -0.1%
Companies trading lower in after hours in reaction to news: ACAD -11.6% (Phase 3 study did not achieve statistical significance on primary endpoint; also announces FDA acceptance of sNDA filing for NUPLAZID), PIRS -10.1% (discloses partial clinical hold on phase 1 studies of PRS-343), CTSO -8.2% (stock offering; also guides Q2 revs slightly above consensus; REFRESH 2-AKI trial may restart this qtr), KNSA -6.8% (commences $100 mln stock offering), QIWI -6% (announces offering by selling stockholders), OPCH -5.1% (stock offering), EBS -3.4% (to join S&P MidCap 400), ULTA -0.5% (provides update, has re-opened stores; will temporarily reduce new store openings and close a limited number of stores this year)