42 minutes ago
CNBC Pro: Strategists say it’s a stock-picking market right now — and name their top picks
Stocks have largely recovered this year from their 2022 lows, but veteran investor Nancy Tengler believes “there are still plenty of places” to find quality stocks with rising dividends and reliable earnings growth.
She says investors should be careful about where they invest their money — a view shared by several market professionals.
Pro subscribers can read more here.
– Zavier Ong
Before an hour
Thailand may pause on rate hikes in May: Citi
Thailand could put a brake on rate hikes in May, Citi analysts wrote in a daily note.
She added there was a possibility of a “split vote” among Monetary Policy Committee members on March 29 and “a possible pause in the rate hike in May”.
Official data showed that Thailand’s headline inflation rose 3.79% yoy in February, down from a 4.18% rise, according to analysts polled by Portal.
Citi expects there will still be a 25 basis point rate hike at its next meeting.
– Lee Ying Shan
3 hours ago
Hong Kong stocks fall for the first hour of trading, led by consumer discretionary stocks
See grafic…
Hang Seng Index
Hong Kong’s Hang Seng index fell more than 2% in the first hour of trading, led by consumer discretionary, healthcare, materials and technology stocks.
Real estate stocks also suffered sharp losses, including Longfor Group Holdings, which lost 4.59%, Country Garden, which lost 4.56%.
Chinese smartphone maker Xiaomi lost more than 4% and NetEase lost more than 3%.
– Jihye Lee
2 hours ago
Oil prices rise after OPEC says Russian oil production has found ‘new homes’.
Oil prices traded slightly higher after OPEC’s Secretary General claimed that Russia’s oil production remained strong, with new export partners in the middle.
“Russian production has been resilient and has managed to find new locations,” he said. “It’s not just China and India, I think it’s Turkey, too,” OPEC Secretary General Haitham Al Ghais said during a CERAWEEK conference hosted by S&P Global.
Brent crude futures were last traded up 0.23% to $83.48 a barrel, while US West Texas Intermediate futures were up 0.06% to $77.63 a barrel.
– Lee Ying Shan
3 hours ago
Singapore-based tech giant Sea’s stock is rising after posting its first-ever profit
US-listed shares of Singapore-based tech giant Sea rose 21.78% after reporting its first-ever quarterly profit in its latest earnings report on Tuesday.
“Recent cost-cutting measures such as wage and headcount freezes have given Seas shares some much-needed breathing space,” said Jonathan Woo, senior research analyst at Phillip Securities.
Sea had suffered billions of dollars in losses in recent years.
The Company reported positive net income of $422.8 million from cost improvements in the fourth quarter of 2022, compared to a negative $616.3 million for the same period last year.
“The upside surprise in fourth-quarter 2022 results should provide Sea with continued bullish momentum — especially as the path to profitability is a bit clearer,” Woo said.
See grafic…
Sea Limited stock performance
3 hours ago
China saw weaker imports despite speedy reopening: UBS
China’s economy saw weaker imports despite the rapid reopening, Wang Tao, head of UBS’s China economic research, said in a note.
“Despite a rapid reopening (sequentially) over the past two months, year-on-year domestic demand growth may still have been relatively weak,” she said in a note.
She added that import volumes of copper ore and iron ore have improved since December, likely due to a pick-up in construction activity.
“Our channel checks indicate that the resumption of work in the construction sector was slow in the first two weeks after the CNY holiday but accelerated in the 3rd and 4th weeks,” she said, noting that the growth of the Crude oil imports in addition to imports of IT components and cars also declined products.
China on Tuesday saw February exports fall 6.8% in US dollar terms and imports also fell 10.2%.
– Jihye Lee
4 hours ago
US plans to lift Covid testing requirements for travelers from China: NBC
The US plans to scrap Covid testing requirements for travelers from China, a source familiar with the matter told NBC News.
The requirements, which applied regardless of nationality and vaccination status, began on January 5.
“Since the policy was implemented, we have evidence that cases, hospitalizations and deaths are declining in the US [People Republic of China] and we’ve gathered better information about the surge,” the person told NBC, adding that the US will continue to monitor cases in China and around the world.
The Traveler-based Genomic Surveillance Program will remain in place and continue to monitor flights departing from China and regional transit hubs, NBC reported.
– NBC News, Lee Ying Shan
5 hours before
Japan’s current account surplus declined in January
Japan’s seasonally adjusted current account balance rose to 216.3 billion yen ($1.57 billion) in January, government data showed on Wednesday.
The balance sheet surplus fell sharply from the December balance of 1.18 trillion yen and the November balance of 1.92 trillion yen.
The Japanese yen weakened slightly to 137.46 against the US dollar on Wednesday morning
– Jihye Lee
5 hours before
The Reserve Bank of Australia reiterates they are closer to a rate pause
Reserve Bank of Australia Governor Philip Lowe said in a speech on Wednesday that the central bank is closer to reaching a point where further rate hikes will be suspended.
“With monetary policy now in a restrictive zone, we are closer to the point where it will be appropriate to pause rate hikes to allow more time to assess the state of the economy,” he said, according to a transcript.
“At what point a pause is appropriate will be determined by the data and our view of the outlook,” Lowe said.
Commonwealth Bank of Australia chief economist Belinda Allen said in a note that the speech did not reverse Tuesday’s statement, which bore less hawkish tones.
Allen added that the CBA expects the central bank to hike again before pausing at 3.85% – or keeping rates on hold at the upcoming April monetary policy meeting.
– Jihye Lee
12 hours ago
A key part of the yield curve hasn’t been this inverted since 1981
The gap between the 2-year Treasury yield and the 10-year Treasury rate widened to 100 basis points during Tuesday’s trading. This spread has not settled at such a high level since September 22, 1981.
The 2-year yield jumped to its highest level since 2007 after Federal Reserve Chair Jerome Powell said the central bank may need to increase the pace of rate hikes again.
The inversion of the yield curve is a phenomenon that has pinpointed the coming recessions for half a century.
— Yun-Li
14 hours ago
Key Remarks by Powell for the Market
Regarding the markets, there were two key quotes from Federal Reserve Chair Jerome Powell’s congressional hearing.
“Recent economic data is stronger than expected, suggesting that the final interest rate level is likely to be higher than previously thought,” Powell said in prepared comments.
This means the Fed may hike longer than the market expects. Many wanted the Fed to stop hiking soon.
“If the body of data indicated that faster tightening was warranted, we would be willing to increase the pace of rate hikes,” Powell also said.
The Fed’s latest hike was just a quarter point as it slowed the pace. Powell is suggesting that the Fed may need to re-accelerate, which is a major market fear.
– John Meloy
5 hours before
CNBC Pro: This ETF invests only in women-owned companies — and is expected to rise 20% this year
A US-listed ETF only invests in companies led by women, believing that the “female factor” outperforms.
The ETF was created after its fund manager, who has a background in investment banking and private equity, realized that institutional barriers to female candidates for top positions meant that those who succeed had to reach a higher level, which overall performance led to better results.
The ETF is based on an index that has outperformed its benchmark by over 20% over the past five years.
CNBC Pro subscribers can read more here.
— Ganesh Rao
5 hours before
CNBC Pro: Tesla a ‘screaming buy’ or guard rail for zombie stocks? The bulls and bears explain their case
17 hours ago
Meta stock surges on news of fresh layoffs
Meta is planning another round of layoffs that could affect thousands of workers later this week, according to a Bloomberg News report published Monday night.
The job cuts come after the company laid off 13% of its workforce in November as part of a major cost-cutting plan. CEO Mark Zuckerberg previously told investors that 2023 would be the “year of efficiency” for the company.
Meta shares were up 1.5% in premarket trade on Tuesday following the news.
— Hakyung Kim