US stock indices were muted on Tuesday amid fresh labor market concerns and continued skepticism on whether AI valuations are warranted by fundamentals. The S&P 500 and the Nasdaq 100 inched lower, while the Dow was close to the flatline. Data from the ADP indicated an average of 11,250 jobs were lost per week through most of October, consolidating the wave of pessimistic labour reports released by other private sources. In the meantime, stocks with exposure to soaring AI capital expenditures remained under pressure from recent concerns of frothiness after SoftBank sold its entire $5.8...
The S&P 500 rose 0.3% and the Dow Jones Industrial Average jumped 630 points to a new record high, while the Nasdaq Composite Index fell 0.3% as investors shifted from technology stocks to blue-chip and cyclical stocks on expectations that a funding deal would pass the House of Representatives this week. Progress in the Senate toward reopening the government lifted sentiment in economy-sensitive sectors, while leading healthcare companies such as Merck (+4.8%), Amgen (+4.6%), and Johnson & Johnson (+2.9%) boosted the Dow. Hopes that the government's reopening would release delayed...
The Nikkei index weakened 0.3% to 50,674.53 on Wednesday, dragged down by declines in technology and semiconductor stocks. SoftBank Group (-5.9%), Kioxia (-2.8%), and Advantest (-2.8%) led the decline, indicating that risk appetite for growth stocks remains fragile. Interestingly, the Topix index rose 0.5% to 3,338.87, signaling a rotation into more defensive or value sectors—such as financials, industrials, and raw materials—amid pressure on major tech names. This means the market is not entirely risk-off, but rather more selective. In the forex market, USD/JPY was at 154.07 (from 154.22...
Asian markets moved mixed on Wednesday. Japan's shares edged lower, while Australia and several other indices gained. The Nikkei 225 fell 0.26%, but the Topix rose 0.35%. In South Korea, the Kospi was flat, and the Kosdaq rose 0.62%. Australia's S&P/ASX 200 Index rose 0.13%. Hang Seng futures pointed to a slightly higher opening at 26,865, compared to the previous close of 26,696.41.The main highlight came from SoftBank Group. The Japanese company revealed it sold its entire stake in Nvidia for US$5.83 billion in October, in line with its "all-in" strategy for OpenAI. SoftBank also...
Asian stock markets, particularly in Hong Kong, surged on hopes that the United States would soon cut interest rates. This news came after data showed the US labor market weakened last month, increasing the chances of the Federal Reserve (the US central bank) lowering interest rates at its next meeting in December. Interest rate cuts are usually good news for the stock market as they can stimulate economic growth and investment. The Hang Seng Index in Hong Kong rose around 1 percent, reaching its highest level in a month. Major stocks such as Shenzhou International Group and China Hongqiao...