- Stocks Gain Led by Japan on BOJ Rate Hike Momentum: Markets Wrap
(Bloomberg) — Asian stocks climbed, led by Japanese shares into a week that includes policy decisions from the Bank of Japan and Federal Reserve which will likely set the near-term direction for global markets. The MSCI Asia Pacific Index advanced in early Asian trading, lifted by a rally in Japan amid a slightly weaker yen. The tech-heavy Nikkei 225 index jumped the most in a month. - Putin Warns Russia Won’t Be Stopped After Record Election Win
(Bloomberg) — A defiant Vladimir Putin said Russia won’t be stopped from pursuing its goals after he swept to a record victory in a presidential election whose outcome was pre-determined. “No matter how much anybody wanted to suppress us, our will, our consciousness, nobody in history has ever succeeded, they have not succeeded now and they will never succeed. - Oil Holds Weekly Advance After More Russian Refineries Attacked
(Bloomberg) — Oil steadied after its biggest weekly advance in a month as Ukrainian attacks on Russian refineries heightened geopolitical risks. Global benchmark Brent traded above $85 a barrel after gaining 4% last week, while West Texas Intermediate was near $81. Drone strikes over the weekend hit multiple plants, some of them deep within the country’s territory. - Fed, BOJ to Lead Rate Decisions for Half of the World: Eco Week
(Bloomberg) — Investors may glean more on the Federal Reserve’s resolve to ease and how close Japan is to finally exiting negative interest rates as central banks set policy for almost half the global economy. The coming week features the world’s biggest agglomeration of decisions for 2024 to date, including judgments on the cost of borrowing for six of the 10 most-traded currencies. - Trump Economic Advisers Float Three Names for Fed Chair — WSJ
WASHINGTON — Influential economic advisers to Donald Trump presented the former president with a shortlist of potential candidates to lead the Federal Reserve during a meeting at his Mar-a-Lago club in Florida last week, according to people familiar with the matter. - Singapore Family Offices on Guard as Watchdog Reforms Bite Down
(Bloomberg Intelligence) — Singapore’s family-office growth may slow on 2025’s tougher rules for tax breaks, amplifying headwinds from an anti-corruption push. Yet, DBS stands to gain, with its wealth business ready to help ease the regulatory yoke from the shoulders of the well-heeled. The rules may also boost Singapore’s status as a green-financing and philanthropy hub. - Australia Set to Extend Rate Pause as Economy Enters Slow Lane
(Bloomberg) — Australia’s central bank is widely expected to hold interest rates at a 12-year high on Tuesday as the economy shows signs of slowing further while unemployment trends higher. Economists expect the Reserve Bank will keep its cash rate at 4.35% for a third straight meeting, while maintaining a hawkish bias amid uncertainty over the strength of a disinflationary impulse. - Abbott Laboratories shares are down 4.1% on Friday, with the stock falling in sympathy with Reckitt Benckiser, which sank following a lawsuit award.
Analysts say Abbott’s selloff is overdone. Evercore ISI writes that “reality is different from headline sensationalism” and that the Abbott’s selloff “seems egregious and represents a buying oppty”; Outperform, PT $120. JPMorgan also writes that ABT’s selloff “overshoots ultimate potential exposure”; Overweight. - Intertek drops as much as 3.1%, a third day of declines since closing on Tuesday at highest since May 2022. Shore Capital cuts its rating on the testing and inspection company to sell from hold, saying valuation is rich.
Shore analyst Robin Speakman acknowledges exceptional 2023 results, but notes gain of about 20% for the stock over the past three months. Notes that growth rates are closely linked to GDP exposure and these services are delivered on a B2B basis in a competitive market. - Jabil shares are down 13%, after the manufacturing services company reported its second-quarter results and cut its full-year forecast.
JPMorgan (overweight): While the results were supported by better margins, “the miss of the F3Q guide is more material relative to consensus expectations, such that despite guiding to a much higher margin, the earnings outlook is still below the expectation and is driving the company to again lower FY24 EPS” YEAR FORECAST: Sees core EPS $8.40, saw above $9, estimate $8.99 (Bloomberg Consensus); Sees FY Net Revenue $28.5B, saw $30.6B. THIRD QUARTER FORECAST: Sees core EPS $1.65 to $2.05; Sees net revenue $6.2 billion to $6.8 billion; Sees core operating profit $325 million to $385 million. SECOND QUARTER RESULTS: Core EPS $1.68; Net revenue $6.77 billion; Adjusted core EPS $1.68, estimate $1.66. - Reckitt Benckiser Group Plc plunged 15% to the lowest level since 2014 after a jury awarded an Illinois woman $60 million in damages, saying the company’s Enfamil baby formula led to the death of her premature baby.
The court ruled that Reckitt’s Mead Johnson Nutrition unit failed to warn about the risk of necrotizing enterocolitis, or NEC, in its cow-milk-based Enfamil formula. This disease, which harms bowels, targets mostly premature newborns and has a fatality rate of as much as 40%, according to researchers. Reckitt bought Mead Johnson in 2017 for $17 billion, more than all of the company’s previous deals combine. Last month Reckitt reported lower-than-expected sales, due in part to easing demand for infant formula. - ExxonMobil Corp discovered New Guyana Oil Reserve called “Bluefin”, in the Stabroek block offshore Guyana.
Stabroek is the primary production area of the big discovery Exxon made off Guyana in 2015 and has been said to hold 11 billion barrels, and Exxon’s speedy development plan means production will double to 1.2 million barrels a day by 2027.Exxon has a 45% stake in Guyana’s oil project and is the operator, while partners Hess Corp. and Cnooc Ltd. Have joint stakes.
Menu