MADRID (MarketWatch) -- European chemicals groups
Air Liquide SA ,
Johnson Matthey PLC and Umicore SA were upgraded to overweight from neutral on Wednesday at J.P. Morgan Cazenove. Analysts said industry pricing structure and long-term demand drivers should continue offering above-average earnings visibility for those companies, helping shares outperform through a downward cycle. But analysts cut earnings foreasts for the sector overall by 6% in 2011 and 16% in 2012, owing to risks for U.S. and Europe economic growth. Arkema SA was cut to neutral from overweight, while Clariant AG and Lanxess AG were cut to underweight from neutral. Downgrades were due to below-average earnings visibility and significant potential risk from a downside earnings scenario.Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.
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