1 00:00:02,520 --> 00:00:08,720 Speaker 1: Bloomberg Audio Studios, podcasts, radio News, The. 2 00:00:08,720 --> 00:00:12,560 Speaker 2: Stock Movers Report, your roundup of companies making moves in 3 00:00:12,600 --> 00:00:15,880 Speaker 2: the stock market, harnessing the power of Bloomberg Data. 4 00:00:16,680 --> 00:00:18,720 Speaker 3: Let's take a look at substocks on the move today 5 00:00:18,800 --> 00:00:21,440 Speaker 3: in Europe. I'm Stephen Carroll and we're joined by Bloomberg's 6 00:00:21,440 --> 00:00:24,439 Speaker 3: Breaking News editor Louise me and Louise good morning. Let's 7 00:00:24,480 --> 00:00:28,800 Speaker 3: start in Switzerland with UBS shares up four point three percent. 8 00:00:29,040 --> 00:00:32,239 Speaker 1: Indeed, yeah, a seventeen year high this morning. So this 9 00:00:32,320 --> 00:00:35,400 Speaker 1: is on the back of big news in Switzerland that 10 00:00:35,479 --> 00:00:39,440 Speaker 1: lawmakers are proposing watering down capital demands that the government 11 00:00:39,479 --> 00:00:43,680 Speaker 1: wants to impose on UBS. So there was quite kind 12 00:00:43,720 --> 00:00:45,840 Speaker 1: of a host of recommendations, but the main one being 13 00:00:45,920 --> 00:00:49,279 Speaker 1: that it would potentially allow UBS to use the kind 14 00:00:49,320 --> 00:00:52,519 Speaker 1: of junior debt it's known as at one bonds instead 15 00:00:52,520 --> 00:00:55,760 Speaker 1: of equity to meet these capital demands. So if this 16 00:00:55,840 --> 00:00:58,720 Speaker 1: all went ahead and went through, then that could potentially 17 00:00:58,800 --> 00:01:00,640 Speaker 1: end what's been quite a s and off between the 18 00:01:00,640 --> 00:01:05,560 Speaker 1: government from the government to tighten these rules on UBS 19 00:01:05,560 --> 00:01:08,640 Speaker 1: and has also faced a lot of criticism in the parliament. 20 00:01:08,720 --> 00:01:12,280 Speaker 1: So they were first kind of started to be discussed 21 00:01:12,800 --> 00:01:16,800 Speaker 1: last year and since then that so throughout that whole 22 00:01:16,840 --> 00:01:20,920 Speaker 1: time they've kind of clouded UBS's share price. You know, 23 00:01:21,120 --> 00:01:24,399 Speaker 1: the bankers indicated that if it went ahead, they might 24 00:01:24,440 --> 00:01:28,880 Speaker 1: need to reduce investor payments investor payouts, so it's really 25 00:01:28,920 --> 00:01:32,119 Speaker 1: been quite weighing down on their shares, and these potential 26 00:01:32,160 --> 00:01:35,520 Speaker 1: proposals are being seen as or they're being welcomed by 27 00:01:35,520 --> 00:01:37,440 Speaker 1: the market, as you can see from the share price 28 00:01:37,480 --> 00:01:39,920 Speaker 1: to share prices jumping. One analyst was saying, you know, 29 00:01:40,000 --> 00:01:42,160 Speaker 1: it could point to future voting behavior in the Parliament 30 00:01:42,200 --> 00:01:44,040 Speaker 1: and it has been taken as quite good news. So 31 00:01:44,080 --> 00:01:45,360 Speaker 1: we'll have to keep an eye to see if this 32 00:01:45,480 --> 00:01:48,680 Speaker 1: actually does go through, but yeah, very much being welcomed 33 00:01:49,040 --> 00:01:51,280 Speaker 1: and UBS shares reacting on the back of that. 34 00:01:51,640 --> 00:01:54,160 Speaker 3: Yeah, really interesting one to watch. In Switzerland, we've got 35 00:01:54,160 --> 00:01:57,000 Speaker 3: a Germany next Lo Tanza shares also out performing there, 36 00:01:57,080 --> 00:01:58,240 Speaker 3: up five and a half percent. 37 00:01:58,840 --> 00:02:02,920 Speaker 1: Indeed, so List has raised them to a buy. They 38 00:02:02,920 --> 00:02:06,000 Speaker 1: don't have if you look at all the analyst holdings, 39 00:02:06,120 --> 00:02:08,680 Speaker 1: they only have five buys including this latest one, fifteen 40 00:02:08,760 --> 00:02:13,880 Speaker 1: holds and four cells. So shares are reacting positively that 41 00:02:13,919 --> 00:02:16,560 Speaker 1: they're up this on the back of this news this 42 00:02:16,560 --> 00:02:19,000 Speaker 1: morning there now back at levels lasteing in kind of 43 00:02:19,000 --> 00:02:22,320 Speaker 1: early twenty twenty four. So essentially the analysts is saying that, 44 00:02:22,760 --> 00:02:25,080 Speaker 1: you know, there's been a change in global travels becoming 45 00:02:25,080 --> 00:02:28,680 Speaker 1: a luxury category with premiumization at its core, so they're 46 00:02:28,720 --> 00:02:31,680 Speaker 1: shifting more towards the type of operators that have exposure 47 00:02:31,720 --> 00:02:35,640 Speaker 1: to that premium international long haul and particularly in places 48 00:02:35,639 --> 00:02:38,960 Speaker 1: where demand is high but supply is quite constrained, so 49 00:02:39,000 --> 00:02:42,120 Speaker 1: they see Luftansa as attractive. On the back of that, 50 00:02:42,320 --> 00:02:46,280 Speaker 1: Loftandra has been you know, stepping into or stepping up 51 00:02:46,440 --> 00:02:50,440 Speaker 1: that they're pushed towards premiumization, and they recently said that 52 00:02:50,440 --> 00:02:52,560 Speaker 1: that's starting to kind of make progress and have quite 53 00:02:52,600 --> 00:02:56,240 Speaker 1: a lot of impact. So being upgraded on the back 54 00:02:56,280 --> 00:02:59,160 Speaker 1: of that, they did must say. They did also note 55 00:02:59,240 --> 00:03:01,960 Speaker 1: that there are stills some challenges, full of hander to 56 00:03:02,160 --> 00:03:04,920 Speaker 1: contend with, so there's pressure from unions, there's a lot 57 00:03:04,960 --> 00:03:07,520 Speaker 1: of competition in the middle least and so on. But 58 00:03:07,919 --> 00:03:10,240 Speaker 1: they've raised it to a buy on the back of 59 00:03:10,240 --> 00:03:13,240 Speaker 1: that change in global travel and that's lifting shares this morning. 60 00:03:13,840 --> 00:03:16,200 Speaker 3: Okay, and the question of the day, Louise, do you 61 00:03:16,200 --> 00:03:20,560 Speaker 3: send Christmas cards? I love Christmas cards. Sending them out already, 62 00:03:21,080 --> 00:03:22,639 Speaker 3: just one of these people who just receives them. 63 00:03:22,800 --> 00:03:25,240 Speaker 1: No, no, no, I've been writing away, sending them out. 64 00:03:25,720 --> 00:03:27,519 Speaker 1: You've got to keep the traditions alive. 65 00:03:27,800 --> 00:03:30,119 Speaker 3: True, but are you booking a trend? If we're looking 66 00:03:30,120 --> 00:03:31,880 Speaker 3: at what's coming out a card factory. 67 00:03:31,480 --> 00:03:33,640 Speaker 1: This morning, well it seems as though I am. We 68 00:03:33,680 --> 00:03:37,520 Speaker 1: need to get Christmas cards back in. Everyone's on everyone's agenda. Yeah, 69 00:03:37,560 --> 00:03:40,960 Speaker 1: card factory shares absolutely plummeting. It's quite remarkle if you 70 00:03:40,960 --> 00:03:43,760 Speaker 1: look at their share price graph, down twenty seven percent 71 00:03:43,800 --> 00:03:46,920 Speaker 1: this morning, the lowes since twenty twenty two. That's after 72 00:03:46,920 --> 00:03:49,600 Speaker 1: they cut their guidance this morning. So they're now expecting 73 00:03:50,440 --> 00:03:54,160 Speaker 1: maximum up to sixty million pounds in pretax profit next year. 74 00:03:54,320 --> 00:03:58,080 Speaker 1: They had expected growth from their sixty so last year 75 00:03:58,120 --> 00:04:00,520 Speaker 1: they achieved sixty six million. They had expected growth from that. 76 00:04:00,640 --> 00:04:04,880 Speaker 1: Now expecting maximum sixty million, So quite a cut from them. 77 00:04:05,120 --> 00:04:07,520 Speaker 1: And what they're really citing is the lack of consumer 78 00:04:07,560 --> 00:04:10,000 Speaker 1: confidence in the UK. They say that the UK stores 79 00:04:10,040 --> 00:04:12,480 Speaker 1: are performing worse than expected, and they pointed to other 80 00:04:12,520 --> 00:04:16,159 Speaker 1: businesses Islands North America being fine. So Alice saying this 81 00:04:16,200 --> 00:04:19,800 Speaker 1: is quite short warning that surprises in scale, so it 82 00:04:19,839 --> 00:04:22,240 Speaker 1: seems more people need to be sending Christmas cards. Keep 83 00:04:22,240 --> 00:04:23,320 Speaker 1: the card factory alive. 84 00:04:24,839 --> 00:04:28,880 Speaker 2: The Stock Movers Report from Bloomberg Radio. 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