Skip to main content

Featured Post

High Drama and Big Impact: Trump’s Bold Tariff Plans and What to Expect

Expect significant new tariffs on Chinese imports and moderate levies on goods from other nations , as President-elect Donald Trump rolls out his protectionist agenda. However, with his preference for chaotic policymaking and sudden shifts , there’s uncertainty on how soon these import taxes will actually hit. Dubbed “ Tariff Man ,” Trump aims to use tariffs both strategically and tactically . He’s mentioned taxing all Chinese goods up to 60% and potentially setting 10%-20% tariffs on imports globally , but details on these plans remain vague . Key players within Trump’s team are divided: Robert Lighthizer , a staunch tariff advocate, sees permanent duties as crucial to balance US trade , while others, like billionaires John Paulson and Scott Bessent , view tariffs as temporary leverage. Trump’s previous administration had mixed feelings, especially on national security-related trade limits , which he sometimes dismissed, favoring an “open for business” approach. High-profile busin

S&P 500 Dips as Investors Weigh Fed's Rate Path and Housing Data

 

The S&P 500 ended its two-day climb on Wednesday, closing lower after fluctuating throughout the session as investors evaluated the Federal Reserve's potential rate cuts and analyzed recent housing-market data. Meanwhile, the Nasdaq 100 rose modestly, supported by strong performance in tech stocks like Micron Technology Inc and Nvidia Corp.

The 10-year US Treasury yield advanced to 3.79%, while the Bloomberg Dollar Spot Index gained after a 0.5% drop the day before. Micron shares surged more than 10% in post-market trading after the company provided a robust revenue forecast, driven by demand for AI hardware.

Fresh data revealed that US new home sales fell last month, though mortgage rates have dropped for eight consecutive weeks, sparking interest in home purchases. Skylar Olsen, chief economist at Zillow, noted that mortgage rates are unlikely to drop much further.

Market Eyes Fed Moves and Post-Rate-Cut Catalysts

Investors remain cautious following last week’s half-point rate cut by the Fed, seeking further catalysts such as a speech from Fed Chair Jerome Powell and key price data later this week. Some analysts, like Michael Rosen of Angeles Investments, believe the market may be overestimating the Fed's willingness to ease rates further, despite the recent accelerated rate cuts.

Fed Governor Adriana Kugler expressed support for last week's rate cut, suggesting more cuts may be appropriate if inflation continues to cool.

Looking ahead, Solita Marcelli of UBS Group AG emphasized the Fed's success in guiding the US economy to a soft landing as a key factor for broader market outlooks. Gargi Chaudhuri of BlackRock expects US growth to slow but remain positive, warning of potential volatility in the lead-up to the US election.

Global Markets React to Stimulus and Economic Data

Chinese stocks rallied for the sixth consecutive day after the central bank made its largest-ever rate cut on one-year policy loans, following a sweeping stimulus package. However, optimism around China's measures faded in other regions, with Latin American currencies, including the Mexican and Colombian pesos, declining.

In Europe, growing concerns about the economic outlook have led to expectations that the European Central Bank (ECB) may reduce rates next month. HSBC economists predict rate cuts at every ECB meeting from October to April, while Anwiti Bahuguna of Northern Trust highlighted unexpectedly slow economic growth in the region.

Comments

Popular posts from this blog

INTC Share Watch and News

Stock Info Market Monitor Company Profile Intel Corporation designs, manufactures, and sells integrated circuits for computing and communications industries worldwide. It offers microprocessor products used in notebooks, netbooks, desktops, servers, workstations, storage products, embedded applications, communications products, consumer electronics devices, and handhelds. The company also offers system on chip products that integrate its core processing functionalities with other system components, such as graphics, audio, and video, onto a single chip. It also provides chipset products that send data between the microprocessor and input, display, and storage devices, such as keyboard, mouse, monitor, hard drive, and CD or DVD drives; motherboards that has connectors for attaching devices to the bus, and products designed for desktop, server, and workstation platforms; and wired and wireless connectivity products, including network adapters and embedded wireless cards used to translat

3M Raises Profit Forecast After Beating Quarterly Estimates on Electronics Demand

3M Co raised the lower end of its full-year adjusted profit forecast after strong demand for electronics and industrial products helped the company surpass quarterly profit expectations. Shares of 3M were up 4.2% at $140.5 in pre-market trading. An increase in demand for electronics used in vehicles and mobile phones boosted profits for the company, which had previously faced challenges as high inflation led consumers to delay major purchases. The industrial sector is also expected to benefit from the recent US Federal Reserve decision to cut borrowing costs in September, encouraging more consumer spending. 3M has implemented cost-cutting measures, including job reductions and spinning off its healthcare business, to counter the impact of a demand slowdown . Key highlights from the report: Sales in the transportation and electronics segment grew 1.8% year-on-year. Sales in the safety and industrial segment , which produces adhesives for industrial use, increased by 0.5% . 3M&

A Trader’s Guide to Navigating Malaysia's Budget 2025

Malaysia’s consumer and construction stocks are poised to benefit from Budget 2025 , as Prime Minister Datuk Seri Anwar Ibrahim is expected to introduce measures aimed at lowering the cost of living and unveiling infrastructure projects . As both Prime Minister and Finance Minister, Anwar will likely announce targeted cash transfers , civil servant salary hikes , and potential revisions to the minimum wage to boost disposable incomes, supporting retailers like AEON Co and Padini Holdings . In the construction sector, analysts expect the budget to include new projects such as the Mass Rapid Transit Line 3 and Pan Borneo Highway , with companies like Gamuda , Sunway Construction , and IJM Corp set to benefit. There could also be updates on the Johor-Singapore High-Speed Rail and cross-border economic zones, reigniting interest in the sector. The government’s commitment to growing semiconductor industries may lead to support measures for data center developers like YTL Power Int