WEBVTT - UBS Jumps, Standard Chartered Rises, Adidas Up

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

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

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

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<v Speaker 3>Now, let's look at some of the stocks on the

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<v Speaker 3>move today in Europe. I'm Caroline Hepget and we're joined

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<v Speaker 3>by Bloomberg reporter Louise Moon. Good to have you this Friday,

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<v Speaker 3>where we've had interesting breaking news, a big jump in

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<v Speaker 3>UBS shares because of what Swiss lawmakers are discussing.

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<v Speaker 1>Yeah, absolutely, Storring this morning they hit seventeen year high

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<v Speaker 1>on the back of this news. So essentially a group

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<v Speaker 1>of influential lawmakers in influential lawmakers have proposed watering down

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<v Speaker 1>capital requirements that the Swiss government have proposed to impose

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<v Speaker 1>on the bank. So essentially there's a few parts to it,

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<v Speaker 1>but essentially they would allow it would allow Ubs to

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<v Speaker 1>use a type of junior debt which is known as

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<v Speaker 1>eighty one bonds instead of equity to meet the capital requirements.

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<v Speaker 1>And so essentially this is being taken as good news.

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<v Speaker 1>It could if it, you know, goes ahead, it could

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<v Speaker 1>point to a bit of end to a standoff between

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<v Speaker 1>them and the government. Efforts, and there's been you know,

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<v Speaker 1>criticism that towards the government that it's gone too far.

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<v Speaker 1>So part of the these requirements are threatening to impose

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<v Speaker 1>as much thirty six billion dollars in new capital demand.

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<v Speaker 1>So potentially good news for UBS on the back of

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<v Speaker 1>this proposal, as I say, if it all goes through,

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<v Speaker 1>so shares positive on the back of that.

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<v Speaker 3>Yeah, So some kind of solution. Obviously, this is the

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<v Speaker 3>overhang of credit sweets and the worries that lawmakers and

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<v Speaker 3>Switzerland has about the size of their banks and kind

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<v Speaker 3>of exposure globally for those businesses. And yet the tension

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<v Speaker 3>because obviously the bank wants to be a kind of

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<v Speaker 3>global player I want to imagine. So this may be

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<v Speaker 3>trying to resolve and find a way a way forwards.

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<v Speaker 3>Very interesting. What about also in the banking space, Standard

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<v Speaker 3>Chartered also gaining today?

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<v Speaker 1>Why yes, slightly different stories. They're gaining on the back

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<v Speaker 1>of an analyst change. So Goldment have upgraded them to

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<v Speaker 1>a buy. They are expecting improved a profitability, the chance

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<v Speaker 1>that it will raise their guidance on returns and they're

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<v Speaker 1>expecting this to come next year at four year results

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<v Speaker 1>or an upcoming vested day. It kind of adds to

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<v Speaker 1>good news for Standard Chartered. So if you look at

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<v Speaker 1>their last results in October, they raise their outlook there

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<v Speaker 1>they beat estimates, so shares climbed in Hong Kong on

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<v Speaker 1>the back of the news. Obviously it's sure listed and

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<v Speaker 1>then again also in London today and it adds to

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<v Speaker 1>the buys for if you look at the analyst ratings,

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<v Speaker 1>they've got fourteen buys, six holds and three cells. So

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<v Speaker 1>it adds to those ratings and strengthens that outlook for

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<v Speaker 1>Standard Charters. That's Goldman Sacks upgrading to a buy and.

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<v Speaker 3>Then lastly added Das talking about sales and the power

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<v Speaker 3>sportswear business.

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<v Speaker 1>Yeah, so this has been it's been seen as the

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<v Speaker 1>kind of two things. So one is potentially a bit

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<v Speaker 1>of a ripple through from Lululem and overnight they raised

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<v Speaker 1>their outlook, they had new CEOs. There's kind of hopes

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<v Speaker 1>of a bit of innovation. There's a lot of competition

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<v Speaker 1>in the space, but hopes that that after period of

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<v Speaker 1>Fu Lulu Lemons sluggish growth, you know that things could

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<v Speaker 1>start to turn around and there's potential that that has

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<v Speaker 1>you know, kind of rippled through into the European market.

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<v Speaker 1>In terms of sentiment, there's also optimism for Adidas on

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<v Speaker 1>its own. There's an interesting bi note that came out

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<v Speaker 1>Bloomberg Intelligence that were saying they expect sales strength to

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<v Speaker 1>increase and to extend into twenty twenty six. They're executing better,

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<v Speaker 1>there's a lot of demand for their products, both classic

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<v Speaker 1>products and new products. So essentially just a lot of

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<v Speaker 1>added sorry, a lot of optimism surrounding added US today

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<v Speaker 1>and shares a jumping.

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<v Speaker 2>On that the Stock Movers Report from Bloomberg Radio. Check

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