WEBVTT - ASML Surges, LVMH Down, Volvo Rises 

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio news.

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<v Speaker 2>The Stock Movers Report, your roundup of companies making moves

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<v Speaker 2>in the stock market, harnessing the power of Bloomberg Data.

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<v Speaker 1>Well, let's take a look at some stocks on the

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<v Speaker 1>move today in Europe. I'm Stephen Carroll with Leslie Burton,

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<v Speaker 1>and we're joined by Bloomberg reporter Chloe Melee. Chloe, good morning.

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<v Speaker 1>Let's start them with ASML, the Surgeon shares after their results.

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<v Speaker 1>What's pushing them so high?

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<v Speaker 3>Yeah, fantastic day for ASML today and for that chip

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<v Speaker 3>sector in Europe in general, and the results from ASML

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<v Speaker 3>drove higher. All of those names like Infinni and b Semi,

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<v Speaker 3>all of them were in the green and quite strongly

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<v Speaker 3>in the green this morning. So the reason for this

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<v Speaker 3>is because ASML reported orders for the fourth quarter that

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<v Speaker 3>were nearly double what Analyz had expected, so a major

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<v Speaker 3>beat there, and then its outlook for twenty twenty six

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<v Speaker 3>was also quite a beat. And it also announced a

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<v Speaker 3>twelve billion euro buyback by the end of twenty twenty

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<v Speaker 3>eight and also about seventeen hundred drop cuts to make

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<v Speaker 3>its operations a bit more streamlined, a bit more agile,

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<v Speaker 3>and all of that has really led the shares much

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<v Speaker 3>higher this morning, and the CEO said that clients were

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<v Speaker 3>turning more and more optimistic about AI demand, which explains

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<v Speaker 3>that record order intake and also boats quite well for

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<v Speaker 3>the coming quarters. So this is kind of yet another

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<v Speaker 3>sign of this AM momentum after we already had an

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<v Speaker 3>upy outlook from TSMC recently, which is a big customer

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<v Speaker 3>for ASML, and ASML is particularly well positioned within that

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<v Speaker 3>kind of chip equipment sector because it's the only producer

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<v Speaker 3>of a certain kind of machine that is needed to

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<v Speaker 3>make a really advanced semiconductors, and so if it does well,

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<v Speaker 3>that means that TSMC is doing well, it means that

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<v Speaker 3>Nvidia is doing well, and it means that AI demand

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<v Speaker 3>is very strong, and so that has really led the

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<v Speaker 3>shares higher across that sector this morning. So there's a

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<v Speaker 3>lot of optimism there, okay, But it's the opposite story

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<v Speaker 3>for LVMH this morning, Chloe a sign of sector weakness.

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<v Speaker 3>Perhaps for luxury, yes, probably so. The sales from LVMH

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<v Speaker 3>came in below expectations, and the CEO said that the

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<v Speaker 3>outlook was quite uncertain at least in the near term,

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<v Speaker 3>even though it might be a little bit better in

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<v Speaker 3>the longer term, and that has dragged down the rest

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<v Speaker 3>of the luxury sector. This morning all in the red,

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<v Speaker 3>so Christian do or ms carrying all of those were

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<v Speaker 3>down this morning. It's an interesting reversal given that at

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<v Speaker 3>the beginning of the ending season there was quite a

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<v Speaker 3>lot of enthusiasm from investors because we had quite good

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<v Speaker 3>results from the first few companies that reported, so Barbary

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<v Speaker 3>and Richmond came out with quite good numbers, quite up

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<v Speaker 3>the outlooks. But LVMH really is the bell weather for

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<v Speaker 3>this industry, so the fact that numbers were weak is

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<v Speaker 3>very really not very encouraging, and it perhaps shows that

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<v Speaker 3>the results from Barberie and Richmore maybe were a little

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<v Speaker 3>bit more company specific rather than indicative of a wider rebound.

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<v Speaker 3>And you know, we know that Rishmore is more exposed

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<v Speaker 3>to jewelry, for example, which is much more resilient, and

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<v Speaker 3>Burbery is also undergoing a turnaround, so that might have

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<v Speaker 3>been why I was doing better better. So it looks

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<v Speaker 3>like the journey back to growth for their luxury sector

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<v Speaker 3>is looking a little bumpy based on those lv IMAGE numbers.

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<v Speaker 1>Okay, and then to Volvo trucks and their latest earning statement.

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<v Speaker 1>What's been the reaction.

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<v Speaker 3>Yeah, so it's been a tough few months for the

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<v Speaker 3>truck industry, but things are looking up according to Volvo.

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<v Speaker 3>So they raised their outlook for the European truck market

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<v Speaker 3>and they also said that they were expecting better retail

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<v Speaker 3>sales in North America this year as well. So this

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<v Speaker 3>shows that perhaps the worst is over for this market

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<v Speaker 3>after quite a prolonged downturn there, which was particularly bad

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<v Speaker 3>in North America. Sales have been declining in the region

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<v Speaker 3>for quite a while, and that was because of a

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<v Speaker 3>range of factors, and you know, we had regulatory uncertainty,

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<v Speaker 3>but then also more importantly, we had tariffs, which meant

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<v Speaker 3>that there were few goods to transport, therefore less demand

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<v Speaker 3>for trucks, and then there were tariffs that were imposed

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<v Speaker 3>on the truck makers themselves. So there was a lot

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<v Speaker 3>of tariff uncertainty that was weighing on that sector. But

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<v Speaker 3>now there are signs of maybe you thinks, stabilizing, of

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<v Speaker 3>orders picking up again. And even though the company said

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<v Speaker 3>that North and South America was still slightly weaker regions,

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<v Speaker 3>you know, so it's a tentative recovery, but it seems

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<v Speaker 3>that things are getting a little better for Volvo and

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<v Speaker 3>that potentially quite well for pears like Diamond.

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<v Speaker 1>Truck as well.

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