WEBVTT - BP Up, Lufthansa Down, Fresnillo Drops 

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio news, The Stock Movers Report,

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<v Speaker 1>your roundup of companies making moves in the stock market,

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<v Speaker 1>harnessing the power of Bloomberg Data.

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<v Speaker 2>Now, let's have a look at the socks on the

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<v Speaker 2>mood today here in Europe. I'm Caroline Hepkin. I'm joined

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<v Speaker 2>bub Boomberg reported Tiva out of Bio. Good morning, Tia.

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<v Speaker 2>Let's think about the energy price impact on market and

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<v Speaker 2>in particularly those energy stocks. How is BP faring today?

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<v Speaker 3>Well, one thing is for sure, Caroline, in terms of

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<v Speaker 3>energy markets, we're seeing a bit of a reversal of

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<v Speaker 3>what we saw yesterday. So yesterday oil price is tempering slightly.

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<v Speaker 3>That's all changed after President Trump made a rare primetime

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<v Speaker 3>appearance yesterday and he gave an update on the Iran war.

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<v Speaker 3>What he did do is dash the optimism that we

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<v Speaker 3>saw swirling amongst investors that the war could be perhaps

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<v Speaker 3>on course for a resolution in the next few weeks,

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<v Speaker 3>and also that disruption to crude and gas flows would ease.

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<v Speaker 3>As a result, there are some escalation feares now mounting

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<v Speaker 3>and we're beginning to see that in the market as well.

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<v Speaker 3>So in short stocks are down and oil are surging.

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<v Speaker 3>Brent crude jumping as much as six point seven percent today.

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<v Speaker 3>That's having an impact on names like BP. It's near

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<v Speaker 3>the top of the stock six hundred gainers list today,

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<v Speaker 3>also accompanied by others like Shell and Total Energy. So

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<v Speaker 3>BP up just over four percent. But Caroline, you do

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<v Speaker 3>have to wonder how long this is going to last.

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<v Speaker 3>We've seen some real sort of whips or moves, and

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<v Speaker 3>that inverse relationship between stocks and energy really come to

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<v Speaker 3>the fore in recent weeks during this conflict. It's really

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<v Speaker 3>headline driven too, so there's nothing that's certain for very long.

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<v Speaker 3>So as ever, an area to watch as the Middle

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<v Speaker 3>East unrest continues.

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<v Speaker 2>Yeah, Indeed, another sector that we're thinking about in terms

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<v Speaker 2>of travel and tourism, the airlines, worries around fuel costs

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<v Speaker 2>really beginning to set in, and Lifter is quite interesting.

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<v Speaker 3>Today exactly, so another gear shift for this stock today.

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<v Speaker 3>Yesterday we saw shares climbing for Lift hands that today's

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<v Speaker 3>down as much as five point four percent. And you're right,

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<v Speaker 3>this job is centered around fears about fuel prices. We've

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<v Speaker 3>mentioned how oil is surging this morning. That's also the

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<v Speaker 3>case for jet fuel and diesel. European diesel futures hit

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<v Speaker 3>two hundred dollars a barrel earlier this hour. So analysts

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<v Speaker 3>and Morgan Stanley are taking note of this. They've cut

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<v Speaker 3>price targets for a number of airlines and they have

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<v Speaker 3>downgraded Left hands are specifically to equal weight.

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<v Speaker 1>That's on the.

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<v Speaker 3>Risk that fuel costs could prove materially higher for longer

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<v Speaker 3>due to this conflict. That's what Morgan Stanley is saying.

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<v Speaker 3>There's an interesting point from another analyst too, that this

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<v Speaker 3>disruption is felt more severely in refined products than crude oil.

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<v Speaker 3>So deficits in jet fuel are structurally harder and slower

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<v Speaker 3>to resolve, which does mean, of course, if we even

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<v Speaker 3>see a resolution soon, it will take a while for

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<v Speaker 3>jet fuel supplies to return to normal. And that's why

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<v Speaker 3>you're seeing the likes of Morgan Stanley downgrading Left Hands

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<v Speaker 3>and they're stop falling this morning.

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<v Speaker 2>Yeah, and we also have more moves in metals and mining.

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<v Speaker 3>Yeah, we are seeing losses across the board in precious

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<v Speaker 3>mining and metals. That's as the US is preparing to

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<v Speaker 3>outline this new tiered system for its broader tariffs on

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<v Speaker 3>steel and aluminium products. The headline here is that we

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<v Speaker 3>understand currently they're going to maintain fifty percent tariffs on

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<v Speaker 3>a large number of derivative products and the duty will

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<v Speaker 3>be calculated by the value of the actual imported good.

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<v Speaker 3>So that announcement is expected as early as today. According

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<v Speaker 3>to the latest reports, miners falling, so the likes of

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<v Speaker 3>Fresnio Pan African resources to all down Fresnos down as

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<v Speaker 3>much as six point four percent, could be likely to

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<v Speaker 3>move again when that announcement is confirmed, but definitely one

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<v Speaker 3>to keep an eye on heading into the Eastern weekend.

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<v Speaker 1>This stock mover's report from Bloomberg Radio. Check back with

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