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Let's take a look at some of the socks on the move today here in Europe. On Caroline Hepgar with Lizzie Burton, and we're joined by Bloomberg with Porta Clo Malay. Good morning, Chloe. You've come with a theme to discuss everything is big, So let's start with two companies who could form the world's biggest miner.
Yeah, Soria Tinto and Glencore are in talks to create the world's biggest mining company. And we're talking about a combined value of more than two hundred billion dollars. This is really, really massive, and this is coming just a little over a year after some initial talks between the two which had failed because of some disagreements over evaluation.
And this new effort to merge is coming at a really interesting time because this is when the mining industry is kind of taken by a sort of deal fever, takeover fever, because companies really cannot get enough of copper and they want more access to it. That is because copper is a metal that's absolutely essential to the energy transition and also the artificial intelligence boom, and it has been hitting new records records lately because there are concerns
around whether or not there will be enough supply. And now this potential deal is being seen by investors as making sense, as being quite doable, but they are some hurdles that are worth thinking about. The big one is really around glen Core's coal business, so that's a big part of what glen Core does. But this is something that riatt Into has actually exited recently because it wanted to refocus on iron ore and the copper. So that's going to be maybe a little bit of a sticking point.
And maybe we have this uncertainty reflecting in those shares this morning with kind of diverging performances between the two where we have reatt into a weak up. Then Glenn call up massively this morning, so definitely want it to watch going forward as well.
Also on the move this morning, the biggest company in Europe Chlory and that's ASML.
Yeah, so SML is higher because of the numbers from TSMC were very reassuring. So the revenue from TSMC came in ahead of estimates, and that really reassured investors that AI spending was going to be sustainable continue in twenty twenty six despite all of the fears around the AI bubble. Of course, those have not completely gone away. There's still concerns around the fact that the construction of AI infrastructure
might be outpacing the actual adoption of AI. The fact that we keep seeing circular deals in that sector isn't super reassuring either, But those numbers from TSMC have been reassuring and that has been positive for chip makers and names across Europe this morning, and in particular ASML, which is a major supplier to TSMC, so it has kind
of direct exposure there. And lately there have been comments from a lot of different big companies within that space that have been maybe enough to convince investors that things are fine for now in that AI sector.
Okay, that's interesting. And so the last of the big themes, the UK's big retailers. They suffered quite a bit over Christmas though in particular Sainsbury's.
Yeah, absolutely so.
We talked about Tesco yesterday with the Christmas cells coming in lower and expected also a lackluster performance from m ands. We saw as well yesterday and today we had Sainsbury's
numbers and they really confirm that trend. So they had weaker than expected cells over Christmas, and of course that it's a really important period for supermarkets and this really seems to confirm that shoppers that have been dealing with really stubborn food inflation, we're a little bit more keen to go and get cheaper festive shops at RD and Liddle rather than spend a little bit more money at
Tesco and Sainsbury's. With you know, we had Ardi and Liddle actually having record Christmas cells, so there's a really sharp contrast between the two. So now the pressure is on for Tesco Sainsbury's mns. You adapt to watchhop as one, which is obviously price matching more loyalty programs, cheaper things, but you know, fill inflation is expected to remain sticky, so.
That'll be a problem as well. The Stock Movers Report from Bloomberg Radio. Check back with us throughout the day for the latest roundup of companies making news on Wall Street and for the latest market moving headlines. Listen to Bloomberg Radio Live. Catch us on YouTube. Bloomberg dot com and on Applecarplay and Android Auto with the Bloomberg Business app.