CAPIS Capital Institutional Services : EU Close – 1/10/2017

European bourses finished the session mostly higher with Stoxx600 advancing .11% after choppy trading. Basic Resources +3.28% outperformed rest of the sectors which helped boost the miner-heavy FTSE100 +.52%. Crude prices are extending losses from yesterday as the USD came off of early lows and doubts over the implementation of production cuts will continue after Iraq said they'd increase exports despite OPEC deal: WTI 1.02% and Brent -1.29%. Volumes were in about 9.02% ahead of the 20-day average.

Following strong producer price index reading out of China miners are advancing to the top of the Stoxx600 index: Anglo American +7.19%, Rio Tinto +5.12%, BHP Billiton +4.44%, ArcelorMittal +4.58%, Glencore +2.85%, Antofagasta +2.70%.

Areva +3.79% shares are trading higher following the approval from the European Commission for a $4.8b bailout from the French government. The bailout will be in the form of a bridge loan to cover Areva's liquidity along with a few other actions.

Just Eat -6.86% fell to the bottom of the Stoxx600 index after the food delivery service growth fell short of expectations. The company orders grew 36% versus the 38% expected from earlier company reports.

ABB +1.24% has secured a $840m deal for a long distance (1,118 mi) power transmission link in India along with business partner Power Grid Corporation of India Limited.

In a $1.3b deal L'Oreal -.18% has agreed to purchase three skincare brands currently owned by Valeant.

Vivendi -.74% shares traded lower following Credit Suisse -.1% initiating the names at underperform with a €16.60 price target.

The talks Engie -1.00% was holding with Neptune Oil & Gas over the sell of their oil and gas business have stalled over disagreements over price. The disposal of the business that is said to be worth approx. $4b is part of Engie's larger plan to raise $15.9b by 2018.

In macro news Richmond Fed President Jeffrey Lacker announced his retirement effective in October.

Eco Wednesday: US MBA Mortgage Applications, South Korea Unemployment Rate and Import/Export Price Index, Malaysia Industrial Production, Spain Industrial Output, UK Trade Balance, UK Industrial and Manufacturing Production, Greece CPI, and more…