1 00:00:02,520 --> 00:00:07,360 Speaker 1: Bloomberg Audio Studios, podcasts, radio news. 2 00:00:08,560 --> 00:00:12,440 Speaker 2: The Stock Movers Report, your roundup of companies making moves 3 00:00:12,480 --> 00:00:17,279 Speaker 2: in the stock market. Harnessing the power of Bloomberg Data, Let's. 4 00:00:17,120 --> 00:00:18,360 Speaker 3: Take a look at some of the stocks on the 5 00:00:18,360 --> 00:00:21,079 Speaker 3: move today. I'm Caroline Hepget and I'm joined by bloombg's 6 00:00:21,079 --> 00:00:25,400 Speaker 3: equities reporter Joe easton Good Morning Joe. Kicking off with 7 00:00:25,440 --> 00:00:30,200 Speaker 3: some news on NATO members moving towards this five percent 8 00:00:30,680 --> 00:00:34,720 Speaker 3: spending target. This at least according to Sexuary General Mark Rutter. 9 00:00:34,800 --> 00:00:38,200 Speaker 3: In terms of early reaction to this news, I'm quite 10 00:00:38,200 --> 00:00:41,239 Speaker 3: surprised in some ways that defense stocks aren't on the 11 00:00:41,320 --> 00:00:43,400 Speaker 3: leader board right now. For Europe. 12 00:00:44,000 --> 00:00:45,879 Speaker 1: Yeah, so they are kind of edging up a little bit. 13 00:00:45,920 --> 00:00:48,720 Speaker 1: We've got to be a systems rising that's up around 14 00:00:48,720 --> 00:00:52,880 Speaker 1: two percent, and also some of the continental European names 15 00:00:52,880 --> 00:00:55,800 Speaker 1: are around two percent, as also Ryan Mattel Leonardo. A 16 00:00:55,800 --> 00:00:58,639 Speaker 1: lot of those did have a boost yesterday though, because 17 00:00:58,960 --> 00:01:01,680 Speaker 1: we did get headlines NATS that will potentially moved towards 18 00:01:01,720 --> 00:01:03,600 Speaker 1: this five percent target. And then also there was the 19 00:01:04,240 --> 00:01:07,920 Speaker 1: heavy bombing over in Ukraine that kind of added to 20 00:01:07,959 --> 00:01:11,680 Speaker 1: the geopolitical tensions and therefore this sector came back into 21 00:01:11,680 --> 00:01:14,360 Speaker 1: focus as well. There's a good note out from JP 22 00:01:14,560 --> 00:01:18,360 Speaker 1: Morgan today writing that they actually do expect the defense 23 00:01:18,360 --> 00:01:21,040 Speaker 1: sector in Europe to continue gaining over the next few 24 00:01:21,080 --> 00:01:24,200 Speaker 1: weeks because we've got the big NATO summit coming up 25 00:01:24,720 --> 00:01:27,680 Speaker 1: towards the well in a few weeks time in fact, 26 00:01:27,680 --> 00:01:29,840 Speaker 1: so therefore they think the stocks should gain and we 27 00:01:29,880 --> 00:01:31,920 Speaker 1: are actually seeing a bit of positivity in the sector 28 00:01:32,240 --> 00:01:34,600 Speaker 1: despite a lot of those stocks obviously more than doubling 29 00:01:34,920 --> 00:01:36,240 Speaker 1: over the past couple of years. 30 00:01:36,360 --> 00:01:38,760 Speaker 3: Yeah, I'll pick out out of the top ten best 31 00:01:38,800 --> 00:01:42,200 Speaker 3: performing US stock six hundred companies, Melos Industries up by 32 00:01:42,240 --> 00:01:47,520 Speaker 3: four point one percent global aerospace business and then Kinetic 33 00:01:48,080 --> 00:01:48,800 Speaker 3: great again. 34 00:01:49,000 --> 00:01:51,240 Speaker 1: So this is kind of UK catching up with what 35 00:01:51,280 --> 00:01:54,040 Speaker 1: we saw yesterday given the UK was closed and therefore, 36 00:01:54,600 --> 00:01:56,560 Speaker 1: but it is a two day gain four defense. So 37 00:01:56,640 --> 00:01:59,160 Speaker 1: the NATO headlines at five percent number five percent of 38 00:01:59,240 --> 00:02:03,120 Speaker 1: GDP really coming in to focus that NATO conference coming 39 00:02:03,200 --> 00:02:05,080 Speaker 1: up towards the end of this month, so everyone looking 40 00:02:05,120 --> 00:02:05,920 Speaker 1: at the sector again. 41 00:02:06,040 --> 00:02:08,960 Speaker 3: Yeah, because those companies are both London based, aren't they? Okay, 42 00:02:09,240 --> 00:02:13,560 Speaker 3: got it. LVMH is facing a target price cut from 43 00:02:13,560 --> 00:02:16,160 Speaker 3: one of its analysts. One of the analysts that covers 44 00:02:16,200 --> 00:02:18,080 Speaker 3: that stock, what's behind that move? 45 00:02:18,520 --> 00:02:22,040 Speaker 1: So HSBC cutting its target on LVMH they come down 46 00:02:22,080 --> 00:02:24,760 Speaker 1: to five to five euros. That is one of the 47 00:02:24,800 --> 00:02:28,400 Speaker 1: lowest on the street. Now, analysts over there writing that 48 00:02:28,560 --> 00:02:32,720 Speaker 1: investors need to curb your enthusiasm one more time. Is 49 00:02:32,760 --> 00:02:35,760 Speaker 1: the quote from them saying that the yeah, maybe a 50 00:02:35,800 --> 00:02:39,320 Speaker 1: bit of a Larry David fan. Maybe that's yes. So 51 00:02:39,720 --> 00:02:43,760 Speaker 1: they're saying that the American Chinese markets remain under pressure 52 00:02:43,800 --> 00:02:48,440 Speaker 1: with no real compensating engine of growth. And also the 53 00:02:48,840 --> 00:02:53,600 Speaker 1: stronger Euro weighing on the earnings. So money that companies 54 00:02:53,639 --> 00:02:55,520 Speaker 1: make over in the US over in China when they 55 00:02:55,520 --> 00:02:59,320 Speaker 1: translate it into euros, they get fewer euros for their dollars, 56 00:02:59,360 --> 00:03:02,720 Speaker 1: so that one is lower. Stay Birbery meanwhile actually outperforming 57 00:03:02,760 --> 00:03:07,000 Speaker 1: because analysts over at Berkley's upgrade in Birbury saying that 58 00:03:07,360 --> 00:03:10,000 Speaker 1: there was a lot of discounting at Birbury in November 59 00:03:10,000 --> 00:03:12,320 Speaker 1: and they actually thought that would kind of dilute the 60 00:03:12,360 --> 00:03:15,200 Speaker 1: image and people would see Burbery is less luxury. But 61 00:03:15,200 --> 00:03:18,080 Speaker 1: they're saying that hasn't taken place and the brand image 62 00:03:18,160 --> 00:03:21,000 Speaker 1: is intact, and they upgrade it no longer recommend selling 63 00:03:21,000 --> 00:03:23,120 Speaker 1: and Burbery gaining around three percent this morning. 64 00:03:23,160 --> 00:03:26,040 Speaker 3: Okay, that on Burbery and LVMH. Although I've got to 65 00:03:26,080 --> 00:03:30,120 Speaker 3: say the crossover between an LVMH customer and Larry David 66 00:03:30,440 --> 00:03:33,239 Speaker 3: the US comedia, I would have thought it's quite. 67 00:03:33,080 --> 00:03:38,120 Speaker 1: A st Not everyone buying the twenty grand Louis Verton bags. 68 00:03:38,480 --> 00:03:40,040 Speaker 1: I don't even know how much they are, but I'm 69 00:03:40,040 --> 00:03:43,600 Speaker 1: sure they are pretty pretty. Yes, that way. 70 00:03:43,760 --> 00:03:47,800 Speaker 3: Prices I think twice too, he said, right. In terms 71 00:03:48,080 --> 00:03:52,000 Speaker 3: of HSBC. The other thing to say is that there 72 00:03:52,240 --> 00:03:55,880 Speaker 3: have been quite major moves here HSBC today. 73 00:03:55,880 --> 00:04:01,760 Speaker 1: We've heard yes, so HSBC announcing restruct So they have 74 00:04:01,880 --> 00:04:04,640 Speaker 1: unfortunately laid off a lot of analysts in recent days, 75 00:04:04,680 --> 00:04:08,680 Speaker 1: around two Dundson analyst part of a restructuring of investment banking, 76 00:04:08,760 --> 00:04:13,440 Speaker 1: including Steven Major, one of the fixed income analyst, kind 77 00:04:13,440 --> 00:04:15,560 Speaker 1: of the high profile people there. This is according to 78 00:04:15,560 --> 00:04:19,760 Speaker 1: Bloomberg Reporting, citing people familiar with the matter from the 79 00:04:19,800 --> 00:04:23,599 Speaker 1: finance team today. Now, the broader picture is that it 80 00:04:23,760 --> 00:04:27,000 Speaker 1: kind of plays into the big revamp under the chief 81 00:04:27,000 --> 00:04:31,320 Speaker 1: executive officer over at HSBC, which is trying to streamline 82 00:04:31,360 --> 00:04:36,320 Speaker 1: their costs and increase efficiency. HSBC shares Apparan zero point 83 00:04:36,360 --> 00:04:36,760 Speaker 1: three percent. 84 00:04:36,800 --> 00:04:42,240 Speaker 2: This morning the Stock Moovers Report from Bloomberg Radio. Check 85 00:04:42,279 --> 00:04:44,600 Speaker 2: back with us throughout the day for the latest roundup 86 00:04:44,640 --> 00:04:47,599 Speaker 2: of companies making news on Wall Street and for the 87 00:04:47,680 --> 00:04:52,080 Speaker 2: latest market moving headlines. 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