18 Oct 2022

Last night, the three major U.S. stock indexes opened higher and closed higher. As of the close, the Dow rose 1.86%, the Nasdaq rose 3.43%, and the S&P rose 2.65%. The yield on the 10-year U.S. Treasury bond fell 0.199% to close at 4.015%, a difference of about -43 basis points compared with the yield on the two-year Treasury bond. The fear index VIX fell 2.03%. Brent crude closed up 0.2%. Spot gold closed up 0.38% at $1,650.76 an ounce. The dollar index remained high, closing at 112.1.

The British fiscal plan has completed a 180-degree reversal. British Chancellor of the Exchequer Hunt announced that the income tax cut plan will be cancelled indefinitely, and the implementation time of the energy support plan will be shortened from two years to April next year. Market expectations for a rate hike by the Bank of England by the end of the year fell from a peak of 280 basis points to less than 175 basis points.

Credit Suisse is preparing to sell some of its domestic Swiss bank business and recently began the process of selling the U.S. business of Credit Suisse Asset Management (CSAM) in an attempt to fill some 4.5 billion Swiss francs, according to people briefed on the negotiations. Meissner, chief executive of its investment banking business, will leave; the investment banking division of Credit Suisse is currently attracting investment/acquisition interest from Saudi Arabia and Abu Dhabi.

Rosneft has applied to the UK Financial Conduct Authority (FCA) and the London Stock Exchange to delist its global depositary receipts and is expected to delist from the London Stock Exchange from November 14. According to the British Financial Times: The United States and Britain agree to strengthen cooperation on sanctions against Russia. Russia will cut oil export tariffs to $42.7/ton from November 1. U.S. natural gas futures briefly fell below $6/MMBtu, falling to a 3-month low.

Apple rose 2.91%, planning to launch a new MacBook Pro with M2 Pro and M2 MAX chips.

Amazon rose 6.45%, with an estimated $5.7 billion in revenue from the Amazon Prime event.

Tesla rose 7.01% and is ramping up hiring, listing more than 6,900 jobs this week; it is rumored that Tesla's German battery factory mass production plan will be delayed until at least 2024.

Meta rose 5.74%. Since its launch last year, Horizon Worlds, a consumer-oriented metaverse platform, has not performed well in terms of user data. The current MAU is less than 200,000.

Bank of America rose 6.06%, Q3 results exceeded expectations, and net interest income increased by 24%.

Bank of New York Mellon rose 5.08%, and Q3 revenue and profit exceeded market expectations.

Goldman Sachs rose 2.24% as CEO David Solomon is about to launch the third major restructuring of his tenure, with plans to combine its investment banking and trading businesses into one unit.

Moderna rose 3.92% as GAVI and the Global Alliance for Vaccines and Immunization (GAVI) have agreed to a new framework that will enable GAVI to purchase up to 100 million doses of the updated variant-specific vaccine in 2023, all at Moderna's lowest prices .

Splunk rose 5.43%. It is said that Starboard Value LP, a well-known activist investment agency, already holds nearly 5% of Splunk's shares and plans to push the company to take measures to boost the stock price in the future.

Sources from: Investing.com; Reuters.com

Louis Yap

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