Daily Summary, March 31

Market Overview

The latest financial tea leaves from OP's morning report (March 31, 2025) reveal a market hangover of epic proportions, with global stocks nursing wounds inflicted by Trump's weekend oil tariff saber-rattling and a general case of economic anxiety.

Wall Street took a particularly brutal beating on Friday, with the S&P 500 suffering its second-worst day of 2025 (down 2.0%) and the tech-heavy Nasdaq tumbling into a 2.7% nosedive. Meanwhile, European markets managed a slightly more dignified retreat, with the Stoxx Europe 600 slipping just 0.8%.

The financial world now collectively holds its breath for Wednesday's anticipated U.S. tariff announcements, wondering if the economic equivalent of Pandora's box is about to be opened. As one trader reportedly quipped, "Nothing says 'stable global trade relations' quite like presidential policy announcements via weekend social media rants."

Global Markets Performance

  • European markets: OMX Helsinki (-3.3% weekly), Stoxx Europe 600 (-1.4% weekly)

  • US markets: S&P 500 (-1.5% weekly), Nasdaq (-2.6% weekly)

  • Asian markets: Japan's Nikkei (-4.0% daily, -5.2% weekly)

Interest Rates and Currencies

  • US interest rates fell significantly (8-11 basis points) as market attention shifted to weakening consumer sentiment

  • EUR/USD exchange rate was up 0.3% for the day

  • European Central Bank rate cut expectations remained stable

Company News

Wärtsilä

  • Wärtsilä announced they will separate their energy storage business into an independent reporting segment starting April 1, 2025

  • The company will have three reporting segments: Marine, Energy, and Energy Storage

  • Marine and Energy segments target 5% annual revenue growth and 14% operating margin

  • Energy Storage business targets low double-digit revenue growth and 3-5% operating margin

Telia

  • Telia successfully divested its TV & Media business to Schibstedt Media for 6.55 billion Swedish krona

  • OP raised Telia's target price to 31 SEK (2.90 EUR) from 30 SEK (2.60 EUR)

  • The company's 2027 cash flow target of 10 billion SEK appears challenging compared to current guidance (7.5 billion SEK)

Nokian Tyres

  • Nokian Tyres' rebuilding is progressing but will take several more years

  • 2024 results were weak with debt growing more than expected

  • Target price adjusted to 7.50 EUR (previously 7.70 EUR)

Revenio

  • Received sales authorization for the iCare MAIA microperimeter in the United States

  • Deliveries expected to begin in Q2/2025

Terveystalo

  • According to YLE, individual doctors at Terveystalo have overcharged corporate healthcare clients

  • The company has terminated the contracts of the doctors involved

  • The extent of potential compensations remains unclear