- Asian Stocks Gain as Fed Rate Cut Boosts Sentiment: Markets Wrap
(Bloomberg) — Asian stocks rose along with US equity futures after the Federal Reserve cut interest rates by
half a percentage point and signaled further easing in the months ahead. Japanese equities rallied in early
trading, helped along by fresh weakness in the yen against the dollar. - Dow closes lower, giving up 375-point pop after big Fed rate cut
Stocks closed lower Wednesday in a volatile session as the Federal Reserve lowered interest rates in a halfpercentage-point move. The outsized rate cut was cheered initially by traders, though it did raise concerns
the Fed was trying to get ahead of potential economic weakness. The Dow Jones Industrial Average slid
103.08 points, or 0.25%, to end the day at 41,503.10. It was up as much as 375.79 points just after the Fed
decision. The S&P 500 lost 0.29% and closed at 5,618.26. The Nasdaq Composite dropped 0.31% to
17,573.30. The S&P 500 and the Dow both touched records initially before falling back. - Oil prices fall as U.S. rate cut fails to boost market sentiment
Oil prices fell in Asian trading on Thursday after a larger-than-expected Federal Reserve interest rate cut
sparked concerns about the U.S. economy. Brent crude futures for November fell 34 cents, or 0.46%, to
$73.31 a barrel by 0015 GMT, while WTI crude futures for October declined to $70.49 a barrel, down 42 cents
or 0.59%. The U.S. central bank cut interest rates by half a percentage point on Wednesday, suggesting the
Fed saw a slowing job market. That view appeared to outweigh the boost that interest rate cuts usually bring
to economic activity. - Gold eases after hitting record high following U.S. Fed rate cut
Gold prices eased after hitting an all-time high Wednesday following the U.S. Federal Reserve’s interest rate
cut of a half percentage point. Spot gold fell 0.4% to 2,560.29, after earlier rising to $2,592.39 per ounce. U.S.
gold futures settled 0.2% higher at $2,598.60. - Jumbo Fed Cut Puts Floor Under Downside Job Risks: Economics
(Bloomberg Economics) — OUR TAKE: The FOMC concluded one of its most suspenseful meetings ever by
cutting rates 50 basis points, while cautioning markets that this type of jumbo cut won’t be the norm. The
updated dot plot suggests a gradual path of rate cuts going forward, suggesting the Fed sees the 50-bp move
as a preemptive one that will be enough to stabilize the labor market. - Trump Pledges to Restore SALT Write-Off at Long Island Rally
(Bloomberg) — Donald Trump pledged to lift a cap on the state and local tax deduction valuable to many New
York homeowners that he imposed as president. I will cut taxes for families, small businesses and workers,
including restoring the SALT deduction, saving thousands of dollars for residents of New York, Pennsylvania,
New Jersey and other high cost states, Trump said. - US Says Iranian Hackers Sent Trump Information to Biden Camp
(Bloomberg) — US authorities on Wednesday accused Iranian hackers of emailing stolen information from
Donald Trump’s presidential campaign to President Joe Biden’s campaign team, as well as to journalists. The
operation, which occurred over the summer, appeared to be an effort by Iranian hackers to dupe people
working for the president’s campaign to act on spearphishing. - Israel Sees New Phase in Regional War After Lebanon Blasts
(Bloomberg) — Israeli Defense Minister Yoav Gallant declared what he called a new phase in the war with
regional Islamist groups and said troops would be diverted to the Lebanese border, an indication that longheld fears of a wider conflict may soon be realized. More military resources will be deployed to the north of
the country. - Harris Plans Meeting With Zelenskiy in Washington Next Week
(Bloomberg) — Kamala Harris plans to meet with Ukrainian President Volodomyr Zelenskiy in Washington
next week, according to a person familiar with the matter, as the Democratic nominee tries to broaden her
foreign policy profile. Harris has strongly supported President Joe Biden’s steadfast support of Ukraine in its
defense against Russia’s invasion. - China’s Failing US Lobby Playbook Puts Tech Companies at Risk
(Bloomberg) — US lawmakers are signaling to China that the world’s second-largest economy and its
companies face a tough slog in America for the foreseeable future, regardless of who controls Washington
after the November election. - Bitcoin Climbs With US Equity Futures as Traders Digest Fed Cut
(Bloomberg) — Bitcoin hit a three-week high alongside a jump in US equity futures as investors absorbed an
outsized Federal Reserve interest-rate cut. The digital token rose as much as 3.9% before changing hands at
$61,890 as of 9:15 a.m. Thursday in Singapore. - Oracle-Backed Chip Designer Ampere Is Said to Explore Sale
(Bloomberg) — Ampere Computing LLC, the semiconductor startup backed by Larry Ellison’s Oracle Corp., is
exploring a potential sale, according to people with knowledge of the matter. The chip designer has been
working with a financial adviser in recent months to help field takeover interest, said the people, who asked
not to be identified discussing private information. - What buying Commerzbank would mean for UniCredit and the banking sector
Last week, UniCredit announced it had taken a 9% stake in Commerzbank, confirming that half of this
shareholding was acquired from the government. UniCredit continues to surprise markets with some stellar
quarterly profit beats. It earned 8.6 billion euros last year up 54% year-on-year, also pleasing investors via
share buybacks and dividends. Analysts are hoping that a move by UniCredit will encourage more crossborder consolidation. - Shares of PayPal rose 1.9% after Amazon.com said customers will be able to use the payments
company’s systems to buy certain products
For brands using Buy with Prime, an initiative launched in 2022 that allows merchants to utilize Amazon’s
fulfillment network, PayPal is now available at checkout, Amazon said in a press release. Beginning next year,
Prime members will be able to link their Amazon accounts to their PayPal accounts so those benefits are
available automatically when shopping with Buy with Prime, Amazon said. Mizuho Securities analysts led by
Dan Dolev, who rates PayPal at Outperform with a price target of $90, viewed the news positively. - ResMed shares fell 5.1% after the stock was downgraded to underperform from peer perform by Wolfe
Research analyst Mike Polark, who said the obstructive sleep apnea (OSA) indication for Lilly’s GLP-1
medication tirzepatide poses significant patient funnel disruption/distortion risks
Risks are likely to increase in 2025 following the expected FDA approval for OSA indication during the 4Q,
Polark writes. Wolfe’s new physician survey showed that 50% of doctors expect to reduce CPAP, a machine
used to treat apnea, volume due to introduction of GLP-1 drugs; up from 33% last year. 40% of doctors
expect no change, and 10% expect the introduction of an OSA indication for GLP-1s to boost CPAP volume.
Overall, blended feedback from all 50 docs suggests a 6% headwind to CPAP volume,” Polark writes. PT set to
$180. - United States Steel shares rose 1.5% after a US security panel granted Nippon Steel permission to refile
its plans to purchase United States Steel for $14.1 billion, likely pushing a decision on the politically
contentious takeover past the US elections in November, according to people familiar with the matter
The extension effectively allows them to restart the clock, keeping the proposed transaction alive, even as
President Joe Biden has vowed that US Steel would remain American owned and is said to be preparing to kill
the deal. Despite the delay, the president has given no indication that he is waffling on his opposition to the
proposed purchase. The people familiar spoke on condition of anonymity to discuss details of the review. - Boeing Co.
Boeing Co. shares fell 0.82%. The planemaker is requiring many salaried workers to take unpaid leave to
preserve cash amid contentious contract talks with its largest union. The measures underscored the financial
squeeze on Boeing amid a showdown with its largest union, IAM District 751, which went on strike on 13
September. With work halted in Boeing’s main jetliner factories and losses mounting in its defense division,
Boeing is facing a cash squeeze that has put its investment-grade rating at risk. - Alphabet Inc
Alphabet Inc shares rose 0.31%. Google won a court fight with the European Union over a €1.5 billion ($1.7
billion) fine for thwarting competition for online ads, partly making up for last week’s crushing defeat in a
separate judgement for abusing its monopoly powers. The case stemmed from 2019 when the European
Commission, the EU’s executive arm, said Alphabet owned Google had abused its market dominance in
relation to a product called AdSense for Search.
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