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Japan business sentiment improves as Reuters Tankan survey sees growth in November
Confidence among major Japanese manufacturers rose in November, according to the Reuters Tankan survey, which measures business sentiment among large Japanese companies.
This is the first time that the index has improved since August, while the sentiment in the services sector has increased for the second consecutive month.
The manufacturers’ sentiment index rose to +6 in November, compared with +4 in October, and the service-sector index stood at +27, up from +24 the previous month.
The survey underlined a poor economic recovery and a challenging outlook for Japan’s manufacturers.
It also reflected a similar improvement seen in the Bank of Japan’s closely watched quarterly Tankan survey.
A positive figure means that optimists outnumber pessimists, and vice versa.
an hour ago
CNBC Pro: Morgan Stanley says these are the stocks that will benefit — and lose — from the wellness trend
From nutrition to beauty, Morgan Stanley says there is a “global shift towards well-being” taking place – not just among consumers but also among governments.
The investment bank said the COVID-19 pandemic was a major factor behind the increased focus on weight and its impact on health, though it also said wellness goes beyond weight loss and includes fitness, nutrition, appearance, sleep and mindfulness. also includes.
CNBC Pro takes a look at the stocks that Morgan Stanley says will be affected — both positively and negatively.
Members can read more here.
– Weizen Tan
10 hours ago
CNBC Pro: ‘The gift that keeps on giving’: Morgan Stanley loves the memory sector and picks its top stocks
Technology topics have reigned supreme this year and one segment in particular stands out for Morgan Stanley: the memory sector.
Calling it “the gift that keeps on giving”, the investment bank notes that the sector’s “valuing power is now one of the best in tech, and is still in the early recovery phase.”
The bank revealed its “top picks” and “favorite plays”.
CNBC Pro subscribers can read more here.
– Amala Balakrishner
14 hours ago
HSBC says soft landing could boost global equities by 15%
According to HSBC, global equities look poised for a significant rally in the new year if central banks start easing monetary policy and the Federal Reserve manages a soft landing.
“We expect global equity markets to rise 15% to the end of 2024,” Alastair Pinder said in a note to clients. “But, against a backdrop of slowing economic growth and falling interest rates, we think the breadth of the market will narrow rapidly, leaving a large portion of the market underwater, while US dominance is likely to continue.”
In recent examples where the Fed has made a soft landing, the S&P 500 has risen an average of 22% amid a pause in hikes and six months after the bank began cutting, he noted.
Given this setup, Pinder favors the technology and consumer discretionary sectors, believing that risks look better after the recent decline in equities.
12 hours ago
Fed’s Goolsby says ‘golden path’ still possible
Chicago Federal Reserve President Austin Goolsbee said Tuesday that a soft landing is still on the table as the central bank seeks to tackle inflation without causing significant damage to the economy.
“Because of some of the strangeness of this moment, the golden path is likely … that we can get inflation down without a recession,” Goolsbee said on CNBC’s “Squawk Box.”
Goolsby said the decline in price pressures could equal the sharpest decline in inflation in the last century.
– Yun Lee
7 hours ago
US crude has fallen below $78 per barrel, reaching its lowest level since July.
US crude oil prices fell nearly 4% to their lowest level since July as weak economic data raised concerns the Israel-Hamas war could escalate into a wider regional conflict.
West Texas Intermediate was down $3.09, or 3.82%, at $77.73 a barrel, while Brent was down $3.19, or 3.75%, at $81.99 a barrel, both at their lowest prices since July.
The decline comes after a larger-than-expected decline in China’s exports in October, a sign of softening global demand.
, spencer kimball
6 hours ago
Wolfe Research says market rally may be momentary
Wolfe Research strategist Rob Ginsburg said the rally could soon stop in early November if the trading action at the beginning of the year is any indication.
“Each rally since the July peak has stalled before reaching a new 1-month high before reaching a new 1-month low…the definition of a downtrend,” Ginsberg said.
Of course, he also said that some momentum indicators “were positive for all indices (last week), and today we see that confirmed at the stock level.”
– Fred Imbert