Reported about 1 month ago
Wall Street is showing signs of recovery after two consecutive days of decline, as investors process recent data on initial jobless claims and the ISM Services PMI. With a crucial jobs report set to be released, concerns about recession loom following a rise in the unemployment rate to 4.3%. Additionally, Verizon announced a $20 billion acquisition of Frontier Communications to strengthen its fiber network, while Nvidia refutes claims of a subpoena related to an antitrust investigation.
Source: YAHOO
Reported about 1 month ago
Verizon has announced a $20 billion acquisition of Frontier Communications to enhance its fiber network. The all-cash deal offers $38.50 per share, a 37.3% premium over Frontier's closing price before the acquisition news. This strategic move will combine Verizon's 7.4 million FiOS connections with Frontier's 2.2 million fiber subscribers across 25 states, allowing Verizon to better compete in the market. The acquisition is projected to close in about 18 months and generate significant annual cost savings.
Source: YAHOO
Reported about 1 month ago
As the Federal Reserve plans its first interest rate cut, experts discuss the dual effects on the tech sector. While lower rates can enhance valuations for growth-oriented tech stocks, the underlying concern of a potential recession raises caution, as tech companies tend to be sensitive to economic shifts. Despite this, continuous investment in AI and technology remains important.
Source: YAHOO
Reported about 1 month ago
As investors anticipate a potential half-point rate cut by the Federal Reserve following recent disappointing job reports, caution prevails. Experts warn that a significant reduction may signal deeper fears of a recession, rather than relief from inflation, potentially leading to further market sell-offs rather than a return to stability. With the labor market showing consistent signs of weakness, the search for a favorable economic balance becomes increasingly complex.
Source: YAHOO
Reported about 1 month ago
The Chinese commerce ministry has urged the United States to immediately eliminate all tariffs on Chinese products, as the Biden administration is set to announce potential increases in levies on various imported goods, including electric vehicles. The US has delayed making a final decision on the proposed tariff hikes multiple times while reviewing extensive public comments. Chinese officials have expressed that imposing these tariffs exacerbates tensions between the two nations.
Source: YAHOO
Reported about 1 month ago
Foxconn, the largest contract electronics manufacturer globally and major iPhone assembler for Apple, announced a 32.81% increase in revenue for August compared to the previous year. The company anticipates continued improvement in performance for the third quarter.
Source: YAHOO
Reported about 1 month ago
Germany's largest trade union, IG Metall, is exploring alternatives to Volkswagen's proposed plant closures, including the possibility of a four-day workweek. IG Metall emphasizes the importance of maintaining job security agreements and seeks innovative solutions as VW has weathered tough times in the past.
Source: YAHOO
Reported about 1 month ago
Investors are increasingly purchasing Malaysian bonds without hedging, driving up the ringgit, which has become the best-performing currency in Asia this year. In August, foreign funds bought a record 8.1 billion ringgit ($1.9 billion) in Malaysian government bonds, as the unhedged investments became more lucrative. This growth can be attributed to positive expectations for Malaysia's economy, lower bond yields, and manageable inflation, although future inflows may slow if U.S. economic data doesn’t align with current dovish Federal Reserve expectations.
Source: YAHOO
Reported about 1 month ago
Malaysia's central bank has maintained its benchmark interest rate at 3%, reflecting confidence in the country's economic growth and stable inflation. Despite global economic pressures, Bank Negara Malaysia expects exports to benefit from a tech upcycle and tourism spending to rise, supporting household expenditure. The central bank's cautious stance is informed by ongoing government measures to manage diesel price impacts and maintain financial stability, while the local currency, the ringgit, shows resilience, rebounding from its earlier lows.
Source: YAHOO
Reported about 1 month ago
OPEC+ is nearing a decision to postpone a planned increase in oil production due to a significant drop in prices, which fell below $73 a barrel. Concerns over fragile demand, evidenced by poor economic indicators from major consumers like China and the US, have led key coalition members to reconsider the scheduled hike of 180,000 barrels a day originally planned for October. This pause might help avert a surplus that could lead to lower prices, while data shows that while global crude markets are tight due to summer demand, they are expected to ease significantly after the peak season.
Source: YAHOO
Reported about 1 month ago
CVC Capital Partners Plc has successfully raised €7.4 billion ($8.2 billion) in the first six months of the year, marking a significant achievement for the European private equity firm since its initial public offering in April. The firm's revenue grew by 27% year-on-year, with its fee-paying assets under management increasing by 45%, reaching €142 billion. Following its IPO, CVC's shares have risen over 30%, outperforming many peers, amid a busy investment strategy that includes recent acquisitions in Sweden and the UK.
Source: YAHOO
Reported about 1 month ago
Japan's Digital Transformation Minister Kono Taro has expressed opposition to any potential US government intervention in the $14.1 billion takeover of United States Steel Corp by Nippon Steel Corp. He emphasized that such actions are inappropriate and that the deal should be decided by the companies involved, highlighting a need for free market principles and warning against political motivations from the US ahead of its presidential elections.
Source: YAHOO
Reported about 1 month ago
The game 'Black Myth: Wukong' has achieved unprecedented success, selling 18 million copies in just two weeks, making it one of the fastest-selling titles in gaming history. Daniel Wu, the main investor through his company Hero Games, took significant risks, backing a project that took six years to develop, and has now seen his initial investment of $8.5 million yield billions in value as the game challenges established franchises like 'Elden Ring'. Despite the immense success, Wu's company is not yet profitable, but he remains optimistic about the future of Chinese-made games and their rich cultural narratives.
Source: YAHOO
Reported about 1 month ago
A creditor has filed for the bankruptcy of Evergrande NEV's unit, the Evergrande Hengchi New Energy Vehicle, due to unpaid debts. This marks the third bankruptcy petition against the struggling electric vehicle manufacturer. The No.3 Intermediate People's Court in Shanghai will hold a hearing on September 18 to determine if the bankruptcy proceedings will move forward, potentially impacting the already troubled finances of the larger Evergrande Group.
Source: YAHOO
Reported about 1 month ago
Goldman Sachs analysts warn that U.S. Vice President Kamala Harris' proposed corporate tax increase from 21% to 28% could cut S&P 500 earnings by approximately 5%. If additional foreign income taxes and an increased alternative minimum tax are implemented, earnings could fall by up to 8%. In contrast, Trump’s proposed reduction to a 15% corporate tax rate could increase earnings by around 4%. The report highlights the significant implications of tax rate changes on corporate profitability.
Source: YAHOO
Reported about 1 month ago
A recent Reuters poll indicates increased bullish bets on many Asian currencies as analysts anticipate U.S. interest rate cuts, leading to a potentially diminished dollar value. Notably, long positions for the South Korean won and Singapore dollar have risen significantly. While bearish sentiment persists for the Indian rupee, currencies like the Thai baht and Chinese yuan are also seeing increased investor confidence. The shifts in currency positions reflect broader economic concerns and changing market dynamics, notably in the wake of declining U.S. job openings.
Source: YAHOO
Reported about 1 month ago
Midea Group Co. is set to begin taking orders next week for its anticipated $4 billion share sale in Hong Kong, marking the largest listing by a Chinese company in two years. The appliance maker, based in Foshan, plans to offer shares at a discount to its Shenzhen stock, aiming to attract significant cornerstone investors. The offering could greatly benefit Hong Kong's IPO market, which has seen limited activity this year.
Source: YAHOO
Reported about 1 month ago
The U.S., Britain, and the EU are preparing to sign a groundbreaking international treaty on AI, which aims to establish legally binding standards for artificial intelligence use, focusing on human rights and democratic values. This convention, drafted over two years by more than 50 countries, will be signed in Vilnius on September 5.
Source: YAHOO
Reported about 1 month ago
The U.S. dollar is weakening as traders expect the Federal Reserve to cut interest rates, marking a significant shift from its previous strength. This decline, intensified by the prospect of reduced U.S. interest rates following a robust economy, has led to increased bearish positions on the dollar. Key economic reports, including the upcoming U.S. jobs data, may determine the dollar's trajectory, while factors like the 2024 presidential election could also influence its future performance.
Source: YAHOO
Reported about 1 month ago
Volvo Cars has revised its margin and revenue expectations, acknowledging difficulties in the electric vehicle market due to rising tariffs and diminishing demand for EVs. The company will leverage Nvidia's software and 'megacasting' technology in future models to enhance efficiency and reduce costs, while realigning its sales goals and operational profit margins.
Source: YAHOO
Reported about 1 month ago
Global property markets, facing the impact of rising interest rates and an economic slowdown, find scant relief from recent rate cuts by central banks. Industry experts warn that the sector, which thrived during low rates, has not yet recovered from significant losses, with rising insolvencies and market instability expected to persist. While some see hope in lowering borrowing costs, many remain skeptical about a quick recovery amidst fears of looming debt maturities and a widening divide in property values.
Source: YAHOO
Reported about 1 month ago
The diesel markets in China and India, which constitute the majority of Asian demand, are experiencing a downturn that could affect crude oil prices. China, the largest oil importer, is witnessing a more than 10% decline in diesel consumption this year, while India's growth has slowed significantly. Profits for refiners in the region have plummeted over 40% since January, impacting the fuel's role as a crucial energy source for various industries. Similar trends are also observed in Europe where diesel futures have hit their lowest since mid-2023.
Source: YAHOO
Reported about 1 month ago
Indonesia anticipates that nickel prices will stabilize within the range of $15,000 to $16,000 per ton due to the introduction of new production facilities that are set to increase supply. Despite the growing demand from the electric vehicle sector, the country is on track to produce an additional 928,000 tons of nickel annually within three years. However, concerns over declining ore quality and potential supply issues are prompting the government to review its mining policies and tax incentives for foreign investments.
Source: YAHOO
Reported about 1 month ago
Iron ore prices have hit their lowest point since 2022, dropping to nearly $90 per ton, as China's steel industry warns against rapidly increasing production following a summer slump. The China Iron & Steel Association cautioned that any recovery in steel demand could be temporary unless producers act carefully, amidst ongoing challenges such as low consumption and high inventories. Analysts indicate that prices may stabilize below $100 per ton, but the current weak steel demand creates a bearish outlook for iron ore.
Source: YAHOO
Reported about 1 month ago
Asian stock markets showed mixed results on Thursday as they reacted to a global sell-off from the previous day, which was led by declines in the technology and energy sectors in the U.S. Japan's Nikkei 225 dropped 1.1%, while South Korea's Kospi fell 0.3%. Despite a strong wage growth report in Japan, concerns lingered over global economic stability and the Federal Reserve's potential interest rate cuts. Other regional markets like Australia's S&P/ASX 200 edged up by 0.4%, while Hong Kong's Hang Seng index decreased by 0.6%.
Source: YAHOO