Europe before the bell: modest open awaits, STOXX to stay at record

EUROPE BEFORE THE BELL: MODEST OPEN AWAITS, STOXX TO STAY AT RECORD

European futures are hinting at modest rises at the open, and while the STOXX 600 looks set to break eight weeks of straight gains this week, it is likely to remain at a record high.

EuroSTOXX50 STXEc1 futures are up 0.2%, while FTSE futures FFIc1 are off 0.1% and DAX futures FDXc1 are ticking 0.1% higher. Year-to-date, the STOXX is up 8.6%.

Traders are busy this morning, digesting UK retail sales which leapt in January, awaiting euro zone PMIs due shortly, digesting the latest Q4 earnings and bracing for German elections on Sunday.

Investors are favouring German midcap shares over blue chips on recovery bets in the run-up to the election.

Earnings season rumbles on, with companies largely beating fourth-quarter revenue expectations, but the topic of U.S. tariffs has overshadowed a solid Q4.

Standard Chartered STAN.L announced a new $1.5 billion share buyback after reporting its annual profit rose 18%, while French industrial gases supplier Air Liquide AIRP.PA said its 2024 sales slightly beat market expectations.

(Lucy Raitano)