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Speaker 1: Now, let's take a look at some stocks on the
Speaker 1: move today in Europe. We're joined by Bloomberg's equity supporter
Speaker 1: Joe Eastern. Joe, good morning, and we're starting with the
Speaker 1: French food services giants Sadeksu, dropping the motions twenty eighteen
Speaker 1: after cutting revenue guidance.
Speaker 3: Yeah. Absolutely so. It is the catering sector in focus.
Speaker 3: Today's Sadexo, as you say, sliding that stock currently down
Speaker 3: fifteen percent over in Paris. The company warning of a
Speaker 3: drop off in some contracts across North America. Specifically, they
Speaker 3: say the education and healthcare sectors are where they're seeing weakness. Now,
Speaker 3: it's interesting to me because yesterday we did see an
Speaker 3: analyst over at XAMP Powerabus sighting their own data saying
Speaker 3: that they've seen exactly that, and they downgraded one of
Speaker 3: the other big firms, Compass, and this sector hit for
Speaker 3: a second day now. It has been pretty rough couple
Speaker 3: of days for those stocks. Compasses down another two percent
Speaker 3: after a five percent decline yesterday SSP, which is the
Speaker 3: company that makes the upper crusts that we all love
Speaker 3: to grab when we're at the train station, that one
Speaker 3: is down two percent. That's really a wide reaching impact
Speaker 3: on the catering sector this morning.
Speaker 1: And look, European defense stocks continue to make headlines.
Speaker 2: We have one about to join the Footy one hundred.
Speaker 2: What's going on there?
Speaker 3: Yes, this was really interesting because it's in line with
Speaker 3: the theme of the of the year today. Really of course,
Speaker 3: as you mentioned, their valerie with the defence stocks all
Speaker 3: doing really well. So Babcock, it's the UK at firm.
Speaker 3: It has risen fifty percent this year. It makes warships,
Speaker 3: so it's got a big contract with the UK Navy
Speaker 3: to make five warships, contract worth around one point five
Speaker 3: billion pounds and since the outbreak of the war in
Speaker 3: Ukraine they've been paid by the UK to maintain vehicles
Speaker 3: that Britain has sent to Ukraine to help in the
Speaker 3: fight against Russia. So that stock has done really well
Speaker 3: and it will join the Foots one hundred on Monday
Speaker 3: after Hargreed's Landsdown comes out. Because they've been taken over
Speaker 3: by a group of private equity companies, but really it's
Speaker 3: kind of a really good indicator of how well defense
Speaker 3: in general has done this year. And the foots one hundred,
Speaker 3: therefore getting another defense stock called Babcock.
Speaker 1: And time for one more Joe news on Swiss watch exports,
Speaker 1: driving sector lower as well.
Speaker 3: Ticking the sector lower, I might go if we're going
Speaker 3: to continue the puns there, So look watch stocks down,
Speaker 3: so Rechmont, which is the maker of Cartier watches, Swatched
Speaker 3: down as well. Those stocks both down around four percent
Speaker 3: this morning. Elvimh which owns tag who that one's down
Speaker 3: two percent, and Watch the Switzerland, the big retail down
Speaker 3: three percent. Swiss data showing that Switzerland supported are exported
Speaker 3: excuse me, eight percent fewer watches in February than it
Speaker 3: did a year ago. That is actually Switzerland's third largest
Speaker 3: export watches, really showing how big they are, and that
Speaker 3: apparently the only ones doing well are the cheaper watches,
Speaker 3: the ones that are worth less than about two hundred quid,
Speaker 3: so much more my kind of area than the roll exits.
Speaker 3: Those are the only ones we're seeing growth, So high
Speaker 3: end watches not doing it all well according to this data.
Speaker 3: Continuing a long run trend or at least over the
Speaker 3: past year or so, we've seen with these watch export
Speaker 3: numbers coming down and therefore weakness across that sector this
Speaker 3: morning in European trading.
Speaker 1: Yeah, I mean, it's interesting that because of the three
Speaker 1: price brackets that we've been given by these export numbers.
Speaker 1: So as you say, the ones below two hundred Swiss
Speaker 1: francs showing a positive result, those mid market ones are
Speaker 1: between five hundred and three thousand Swis franks fell by
Speaker 1: fifteen percent, and there was above three thousand francs felled
Speaker 1: by seven point three percent. I feel that there's an economic
Speaker 1: theory re illustrating here through one prices DL income gross. Indeed,
Speaker 1: somebody put that in the Joe Eastern oraculd supporter. Thank
Speaker 1: you very much for joining.
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