Author: starbpo

For nine days in a row, AMD’s stock has increased under the leadership of CEO Lisa Su. Shares of competitor Advanced Micro Devices are just becoming hotter as pressure mounts on Intel’s stock. AMD’s stock (AMD) has been performing well lately, as evidenced by its smooth transition to a ninth straight day in the green on Friday, during which it has increased by more than 27%. However, one analyst believes that AMD is receiving even more love as investors are being alerted to the fact that its rival’s stock has been rising in recent weeks. “Everything that [Intel] said on…

Despite a general market recovery, the U.S. dollar did not recover from this week’s turmoil. The market’s recovery from this week’s lows has many positive aspects for investors; just avoid focusing on the US dollar. Following President Trump’s shift on Greenland, stocks and Treasurys partially recovered, but the US dollar was unable to keep up and had its worst week in eight months. The value of the US dollar relative to a basket of competitors is measured by the ICE U.S. Dollar Index DXY, which had a 1.9% decline this week, its worst weekly performance since May 23. According to…

On Friday afternoon, the yen appreciated vs the dollar. Although Friday was a mostly calm day for markets, one significant event that caused some concern was the rapid collapse of the US dollar versus the Japanese yen late in the morning in New York. The dollar’s decline versus the euro (EURUSD), British pound (GBPUSD), Swiss franc (USDCHF), and other competitors swiftly spread to other currency pairs. The dollar was down 1.7% at 155.71 yen (USDJPY), its lowest level in about a month, according to FactSet data, and the slide continued throughout the afternoon. The dollar had been trading at its…

Global commodity markets are experiencing a “super squeeze” characterized by supply disruptions and inadequate investments, leading to a potential sustained surge in prices, warns HSBC. Chief Economist Paul Bloxham explains that this situation, driven by supply constraints rather than robust demand growth, could persist due to factors like geopolitical uncertainties, climate change, and insufficient investments in green energy transition. Geopolitical risks, including conflicts like the Israel-Hamas and Ukraine wars, along with climate change impacts, are contributing to the super squeeze by hampering global trade and disrupting supply chains, especially in agriculture. The pursuit of a net-zero carbon future is increasing…

Intel (INTC) shares witnessed a sharp decline of more than 10% in premarket trading on Friday, reacting to the chipmaker’s fourth-quarter results that exceeded estimates but were overshadowed by a disappointing outlook for the first quarter. For Q1 2024, Intel projected adjusted earnings per share at $0.13, significantly below the expected $0.34, and forecasted revenue between $12.2 billion-$13.2 billion, falling short of the anticipated $14.2 billion. Despite reporting Q4 adjusted earnings per share of $0.54 (surpassing the expected $0.44) and revenue of $15.4 billion (beating the expected $15.2 billion), the market response was dominated by concerns about future performance. Intel’s…

Corporate bond investors are seizing opportunities in the new year, securing elevated yields in anticipation of potential interest-rate cuts by major central banks. Yield premiums on notes in the Bloomberg Global Credit Corporate index, covering investment-grade and junk notes, contracted by one basis point on Thursday, marking the lowest since late January 2022. A Bloomberg index revealed that Asia’s investment-grade spreads approached a record low this week. “Spreads are in a range that’s pretty attractive for investors,” noted Campe Goodman, a portfolio manager at Wellington Management Company LLP. This global tightening in spreads follows robust data indicating that US economic…

Global oil prices are experiencing their most substantial weekly surge since October, propelled by persistent geopolitical tensions, diminished US crude stockpiles, and the anticipation of additional economic stimulus in China, a major crude importer. Brent, the global benchmark, hovers near $82 per barrel following a 3% surge in the previous session, breaking out from its recent narrow range. Meanwhile, West Texas Intermediate remains close to $77 per barrel, trading at a two-month high. The surge in crude prices is underpinned by heightened Middle East tensions, including US strikes on Iran-backed Houthi rebels in Yemen to halt attacks on commercial shipping.…

Asian stocks dipped on Friday as optimism about China’s rescue measures waned, and weak results from Intel Corp were scrutinized. Mainland China and Hong Kong shares fell after the largest three-day rally since 2022, with Morgan Stanley lowering targets for major Chinese stock indexes, citing challenges in debt, demographics, and deflation. Vishnu Varathan, chief economist for Asia ex-Japan at Mizuho, highlighted China’s drag risks and potential political uncertainty in Asia. Japan’s Nikkei index dropped about 1.5%, while Korea’s benchmark gained. US equity futures retreated after Intel’s disappointing forecast, while Europe’s markets advanced. In Tokyo, inflation cooled below 2%, prompting considerations…

First wave of investment in generative artificial intelligence has concentrated on the build-out of data centers’ capacity to enable the evolution of the new technology. Looking ahead to the useful use of artificial intelligence, Joe Davis, global chief economist at Vanguard, anticipates the new technology will “emerge in sectors outside of tech – healthcare, finance, manufacturing, etc. – driving increases in growth and productivity across the economy generally.” Davis remarked in a recent Q&A that although tech stocks are “very highly valued” and most of the potential from artificial intelligence has already been factored in to that group, his team’s…

More Americans submitted claims for jobless benefits in the past week, with applications reaching 214,000 for the week ending Jan. 20—an uptick of 25,000 from the previous week, as reported by the Labor Department on Thursday. The four-week average of these claims, a measure offering stability against volatility, saw a decrease of 1,500, settling at 202,250. Despite the heightened interest rates and a wave of job cuts observed in the media and technology sectors, overall layoffs have clung to historically low levels. The week ending Jan. 13 saw 1.83 million Americans collecting jobless benefits, marking an increase of 27,000 from…