Before the bell: meeting with the president

New tariffs from the United States? Or not… Meanwhile, AstraZeneca reports promising results.

Last week, the average European stock saw no change. Brussels’ Bel20 rose 0.5%, with standout performers including logistics real estate company Montea (+5.9%) and recycling group Umicore (+4.8%). In the United States, the S&P 500 gained 2.2% for the week, while the Nasdaq tech index advanced 2.6%. On Friday, uncertainty once again surrounded trade relations between the United States and China, but just before the close, Donald Trump announced he still hoped to reach an agreement with President Xi Jinping. According to the White House, a conversation between the two leaders could take place in the coming days. New 50% import tariffs on European steel and aluminum are expected this week — a statement made by the American president just before the weekend. But thanks to the so-called “TACO trade” (Trump Always Chickens Out), many are skeptical about whether things will escalate as dramatically as suggested.

This morning, investors kicked off the trading week in Asia on a negative note. Japan’s Topix lost 1.1%, and Hong Kong’s Hang Seng Index fell 1.9%. There’s no major corporate news in Europe today. In the United States, Campbell’s Soup will report earnings. Later this week, all eyes turn to the European Central Bank, which is expected to cut interest rates by 0.25% on Thursday.

Standing up to cancer

AstraZeneca unveiled promising results this weekend for its breast cancer treatment. In a late-stage trial of Camizestrant, a drug used to treat advanced breast cancer, the company reported that it reduced the risk of tumor growth and patient mortality by 56%. AstraZeneca hopes this drug will support its ambition of becoming a global leader in oncology. The company currently has nine approved cancer medications used in 37 different types and stages of the disease.

Not a goldmine

In February, BP put its Castrol lubricants division up for sale. The British oil giant had hoped to fetch over 8 billion dollar, but early bids have come in lower. The final figure remains unclear. The iconic brand has attracted interest from other oil companies and private equity firms, including China’s state-owned Citic. However, with the rise of electric vehicles, which require far fewer lubricants, BP is unlikely to reach its valuation target. The company is looking to raise 20 billion dollar to boost cash flow and meet demands from activist investor Elliott, which owns a 5% stake in the firm and is pushing for strategic changes. Over the past year, BP’s share price has dropped by more than 25%.

Did you know…

Chinese carmaker BYD is eyeing Japan’s kei car market? These small, boxy cars make up about 40% of the Japanese auto market. BYD reportedly plans to enter the segment with a small electric vehicle tailored for Japan.

This article was translated from Dutch and was originally published on Spaarvarkens.be.