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 00:00:16,720 --> 00:00:18,200 Speaker 1: Well, let's take a look at some stocks on the 5 00:00:18,200 --> 00:00:20,560 Speaker 1: move today in Europe. I'm Stephen Carroll and I'm joined 6 00:00:20,600 --> 00:00:24,360 Speaker 1: by Bloomberg reporter Chloe Melachloy. Good morning. We're talking about 7 00:00:24,360 --> 00:00:27,200 Speaker 1: a reversal in some senses on the market today versus 8 00:00:27,200 --> 00:00:29,720 Speaker 1: what we saw yesterday. And I say, to an extent, 9 00:00:30,040 --> 00:00:33,840 Speaker 1: let's start with the energy sector. BP shares rebounding today. 10 00:00:34,080 --> 00:00:36,920 Speaker 3: Yeah. Absolutely, So this is really what we've been chating 11 00:00:36,960 --> 00:00:39,720 Speaker 3: for the last few weeks. We get some sense that 12 00:00:39,880 --> 00:00:42,320 Speaker 3: peace might be coming, and so we're seeing oil prices 13 00:00:42,520 --> 00:00:45,360 Speaker 3: tumbling and oil companies going into the red, and then 14 00:00:45,360 --> 00:00:48,000 Speaker 3: we get that potential piece threatened once again, and then 15 00:00:48,200 --> 00:00:50,360 Speaker 3: oil is then going back up. And this is very 16 00:00:50,479 --> 00:00:54,480 Speaker 3: much what's been happening now. So the ceasefire seems quite fragile. 17 00:00:54,520 --> 00:00:57,160 Speaker 3: Fighting is very much continued in the Middle East, with 18 00:00:57,240 --> 00:01:00,080 Speaker 3: a lot of Israeli strikes on Lebanon in particular, and 19 00:01:00,160 --> 00:01:02,880 Speaker 3: Iran says that those strikes violate the terms of the 20 00:01:02,880 --> 00:01:06,480 Speaker 3: seas Fire the strait of hormones is also still largely closed, 21 00:01:06,560 --> 00:01:09,080 Speaker 3: and that was a key condition from the US side 22 00:01:09,120 --> 00:01:12,000 Speaker 3: for the seas fire. So it's really unclear how long 23 00:01:12,440 --> 00:01:15,800 Speaker 3: this will hold, and optimism as have faded a little bit, 24 00:01:15,840 --> 00:01:18,920 Speaker 3: and that means that after suffering the biggest one day 25 00:01:19,000 --> 00:01:22,400 Speaker 3: drop since April twenty twenty yesterday, oil is very much 26 00:01:22,480 --> 00:01:27,520 Speaker 3: rebounded today and that could continue. We're seeing analysting that 27 00:01:27,560 --> 00:01:29,920 Speaker 3: Brent is set to average more than one hundred dollars 28 00:01:29,920 --> 00:01:32,480 Speaker 3: a barrel through twenty twenty six if the straight of 29 00:01:32,480 --> 00:01:35,959 Speaker 3: hormones is to remain closed for another month, and so 30 00:01:36,560 --> 00:01:38,800 Speaker 3: as a result of that, as a result of oil rebounding, 31 00:01:38,840 --> 00:01:41,760 Speaker 3: we're seeing the likes of VP, equanor any all of 32 00:01:41,760 --> 00:01:44,800 Speaker 3: those names very much going back up again after that 33 00:01:45,040 --> 00:01:46,280 Speaker 3: huge drop yesterday. 34 00:01:46,560 --> 00:01:49,080 Speaker 1: NOBP shares currently up two and a half percent in London. 35 00:01:49,120 --> 00:01:51,800 Speaker 1: Of course, the opposite side to that story is what's 36 00:01:51,800 --> 00:01:55,640 Speaker 1: been happening with airlines. We have seen shares an easy 37 00:01:55,720 --> 00:01:58,320 Speaker 1: Jet fall this morning after the games we saw yesterday. 38 00:01:58,400 --> 00:02:01,279 Speaker 3: Yeah, exactly, So it's very much that same reversal story. 39 00:02:01,320 --> 00:02:05,400 Speaker 3: The optimism around ceasefire had really boosted airlines yesterday because 40 00:02:05,440 --> 00:02:08,360 Speaker 3: of how vulnerable that sector had been to the conflict, 41 00:02:08,360 --> 00:02:11,200 Speaker 3: and today that optimism, as we said, is fading once 42 00:02:11,240 --> 00:02:14,080 Speaker 3: again and the impact of the war on jet fuel 43 00:02:14,120 --> 00:02:16,760 Speaker 3: prices is once again top of mind. And so it 44 00:02:16,800 --> 00:02:18,760 Speaker 3: also means that we might see more of those jet 45 00:02:18,760 --> 00:02:22,200 Speaker 3: fuel shortages that have started to happen and happened in 46 00:02:22,200 --> 00:02:26,080 Speaker 3: Italy for example. Bloomberg Aotangius analysts have also said that 47 00:02:26,360 --> 00:02:29,240 Speaker 3: we're likely to see more cuts to earnings expectations for 48 00:02:29,280 --> 00:02:32,880 Speaker 3: airlines because of those higher energy prices, and that is 49 00:02:32,919 --> 00:02:35,880 Speaker 3: worth noting because we're of course now coming into earning 50 00:02:35,919 --> 00:02:38,919 Speaker 3: season and that's really when we'll get more information from 51 00:02:38,960 --> 00:02:42,399 Speaker 3: airlines about what the impact has been, how how much 52 00:02:42,760 --> 00:02:44,600 Speaker 3: of a hit to the outlook for the entirety of 53 00:02:44,600 --> 00:02:46,519 Speaker 3: twenty twenty six. This is going to take. 54 00:02:46,840 --> 00:02:50,120 Speaker 1: Well, let's turn next to the luxury sector. ALVIMH shares 55 00:02:50,160 --> 00:02:53,320 Speaker 1: this morning down three point one percent. What's going on? 56 00:02:53,760 --> 00:02:57,040 Speaker 3: Yeah, So speaking of earning season that I've mentioned for airlines, 57 00:02:57,080 --> 00:02:59,840 Speaker 3: it's very much starting next week in luxury is going 58 00:02:59,840 --> 00:03:02,240 Speaker 3: to be the first big sector that we'll be hearing from, 59 00:03:02,280 --> 00:03:04,840 Speaker 3: and LVMH is coming is the first one is coming 60 00:03:04,919 --> 00:03:08,600 Speaker 3: on Monday, and it's reporting in quite a tough context. 61 00:03:08,600 --> 00:03:10,720 Speaker 3: It's had the worst start of the year to year 62 00:03:10,760 --> 00:03:13,360 Speaker 3: on record. It's done about twenty five percents since the 63 00:03:13,400 --> 00:03:16,520 Speaker 3: beginning of the year. It's also weaker today, as you mentioned, 64 00:03:16,560 --> 00:03:19,280 Speaker 3: and a list aren't expecting the first quarter to have 65 00:03:19,360 --> 00:03:22,760 Speaker 3: been fantastic. There's very much going to be a continuation 66 00:03:22,840 --> 00:03:25,520 Speaker 3: of some of the challenges it's already seen during the 67 00:03:25,560 --> 00:03:28,880 Speaker 3: fourth quarter. There's a note out today from JP Morgan 68 00:03:28,960 --> 00:03:32,280 Speaker 3: saying that categories like jewelry will be more resilience. That's 69 00:03:32,280 --> 00:03:34,120 Speaker 3: good news for a company like leish More and less 70 00:03:34,120 --> 00:03:36,840 Speaker 3: so for a company like LVMH. And it's going to 71 00:03:36,840 --> 00:03:39,280 Speaker 3: be a bumpier quarter for leather goods and that happens 72 00:03:39,320 --> 00:03:44,040 Speaker 3: to be one of the key businesses for LVMH. There's 73 00:03:44,040 --> 00:03:46,400 Speaker 3: also some weakness still some weakness in the wines and 74 00:03:46,440 --> 00:03:49,560 Speaker 3: spirits division that LVMH is going to have to contend with. 75 00:03:50,040 --> 00:03:51,720 Speaker 3: So all of that is very much in focus and 76 00:03:51,800 --> 00:03:54,800 Speaker 3: will also be getting updates from Caring NMS next week. 77 00:03:54,880 --> 00:03:57,280 Speaker 3: So that's definitely going to be a big week for luxury. 78 00:03:58,080 --> 00:04:02,320 Speaker 2: The stock Mover's report Bloomberg Radio check back with us 79 00:04:02,360 --> 00:04:05,160 Speaker 2: throughout the day for the latest roundup of companies making 80 00:04:05,240 --> 00:04:08,840 Speaker 2: news on Wall Street and for the latest market moving headlines. 81 00:04:09,040 --> 00:04:13,080 Speaker 2: Listen to Bloomberg Radio Live. 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