3 hours ago
WTO chief warns global growth will be hit if conflict between Israel and Hamas widens
Global growth will be affected if the ongoing war between Israel and Hamas spreads to the wider Middle East region, the director general of the World Trade Organization has warned.
“If it spreads beyond the current level to the rest of the Middle East, it will have an impact,” Ngozi Okonjo-Iweala told CNBC’s Martin Soong.
That’s because the Middle East is “the source” of much of the world’s natural gas and oil, the WTO chief said.
An escalating conflict could further weigh on already “pretty dismal” trade growth, she added.
Read more about the story here.
–Sheila Chiang
An hour ago
US to announce IPEF initiatives at APEC meeting, says Katherine Tai
New Indo-Pacific Economic Framework (IPEF) initiatives will be announced in November as the US seeks closer ties with its trading partners in the Indo-Pacific region, US Trade Representative Katherine Tai told CNBC.
Working with U.S. partners to promote sustainability, resilience and inclusivity is critical “at a time of many economic challenges,” Tai said on the sidelines of the G7 trade ministers meeting in Osaka, Japan.
“We also know that we cannot wait five or seven years for major trade negotiations to be concluded,” she added.
The initiative was launched by US President Joe Biden in May last year and is the US’s main economic strategy in Asia.
Further information about the story can be found here.
—Shreyashi Sanyal
7 hours ago
As the BOJ meeting begins, the 10-year Japanese bond yield is nearing an 11-year high
Japanese 10-year government bond yields neared an 11-year high on Monday as the Bank of Japan opened its two-day monetary policy meeting.
The yield on Japan’s 10-year government bond rose 2.29% to 0.893% on Monday, its highest level since briefly hitting 0.895% on Oct. 26. The last time the return was at this level was in April 2012.
In July, the BOJ effectively increased allowable yields on 10-year Japanese government bonds by 50 basis points to 1% each.
Read CNBC’s preview of the Bank of Japan policy meeting here.
—Lim Hui Jie
7 hours ago
Australian retail sales post a surprise rise in September
Australia reported a 0.9% month-on-month increase in seasonally adjusted retail sales in September.
That increase accelerated from August’s 0.2% rise and beat expectations, with economists polled by Portal forecasting a 0.3% rise.
The country’s statistics office said retail sales fell a seasonally adjusted 2% year-on-year.
Australian retail sales are one of the metrics the Reserve Bank of Australia monitors when considering monetary policy and uses as a measure of household spending.
—Lim Hui Jie
9 hours ago
CNBC Pro: There’s a ‘Game of Thrones’ in AI – but these Chinese tech giants offer ‘a lot of value,’ says tech veteran
According to veteran analyst Dan Ives, China’s tech giants may be affected by the regulatory measures, but they still have “a lot of value.”
The managing director and senior equity research analyst at Wedbush Securities is bullish on some stocks. Several analysts share the same view, giving one of the names 68% upside potential.
CNBC Pro subscribers can read more here.
—Amala Balakrishner
Fri, October 27, 2023, 4:22 p.m. EDT
Dow closes lower, S&P 500 enters correction territory
The Dow Jones Industrial Average slipped more than 350 points on Friday, capping a bad week that also saw the S&P 500 enter correction territory.
The 30-stock Dow fell 366.71 points, or 1.1%, to close at 32,417.59. The S&P 500 fell 0.48% to end the session at 4,117.37, while the Nasdaq Composite held on for a 0.38% gain to 12,643.01.
—Brian Evans
Fri, October 27, 2023 8:39 am EDT
The Fed’s preferred inflation indicator is in line with expectations
9 hours ago
CNBC Pro: Missed Nvidia? The fund manager says this under-the-radar networking stock will see an AI boost
Technology companies – particularly those that use artificial intelligence – have gained traction this year, with investors flocking to Nvidia, Baidu and Alibaba.
But for Sanjay Ayer, portfolio manager at US-headquartered WCM Investments, a lesser-known tech player stands out.
The networking company views industry veterans Cisco and Juniper as competitors, and over 40% of its revenue currently comes from Microsoft and Meta.
CNBC Pro subscribers can read more here.
—Amala Balakrishner
Fri, October 27, 2023, 12:02 p.m. EDT
Survey shows inflation expectations rising in October
Inflation expectations fluctuated wildly in the final revision of the University of Michigan’s October consumer sentiment survey released Friday.
Respondents now expect interest rates to reach 4.2% in a year, up a full percentage point from the September forecast. The survey also increased by 0.4 percentage points compared to the previous release two weeks ago.
However, the broader index was slightly more positive at 63.8, up 0.8 percentage points from the last reading, although below the level of 67.9 in September.
–Jeff Cox
Fri, October 27, 2023, 3:35 p.m. EDT
Bitcoin is heading for its best week since June, but could be tested at the FOMC meeting
Bitcoin is on track to post its best week since June after a big rally earlier this week took it out of the tight range it has been in for most of this year.
According to Coin Metrics, the coin is on track to end the week up 14% at the $33,000 level. At around $1,770, Ether is heading for a 10% weekly rise. Coin Metrics measures a week in cryptocurrencies traded 24 hours a day, starting Friday to Friday at 4:00 p.m. ET.
Investors are watching closely to see whether Bitcoin can reach a new lower bound at current levels. The first test will come next week with the meeting of the Federal Open Market Committee, which begins on Tuesday. Callie Cox, an analyst at investment firm eToro, noted that Bitcoin tends to outperform stocks on Fed days, having outperformed the S&P 500 in 10 of the last 13 days.
“Next week could be a real test for crypto,” she said. “The industry news is exciting, but I worry that investors are forgetting that we are in an aggressive high yield environment. The Fed is also likely to reiterate higher interest rates in its comments next week. That might be a hard pill to swallow.”
“I wouldn’t be shocked if Powell entertained the idea of rate cuts,” she added. “Inflation has made great strides, and lately his language has been more balanced than usual. Powell might be tough, but any semblance of flexibility could tempt people back into risky investments like cryptocurrencies.”
– Tanaya Macheel