TheChek News Flow

Equities in China and Hong Kong were standout gainers on Monday after Beijing’s latest measures to tackle its property crisis. Stocks elsewhere in Asia declined with Japan’s benchmark plummeting. The CSI 300 index was poised for its biggest daily gain in 16 years, and both iron ore and Chinese developer stocks surged after three major cities eased rules on housing purchases. A slump in Japanese stocks contributed to a decline in the MSCI Asia Pacific gauge, after the victory of Shigeru Ishiba in the Japanese ruling party’s leadership race wrong footed investors.  European and US stock futures fluctuated between gains and losses. China’s “government does seem more intent on following through on measures to get the economy firing again, so it does feel slightly more promising than previous attempts,” said Matthew Haupt, a portfolio manager at Wilson Asset Management. “So the rally might have some more legs than previous times and we will be waiting for more announcements to get more conviction around the trajectory of the Chinese economy and stock market.” Investors are heading into the final quarter of the year as the outlook for financial markets improves following China’s stimulus measures and as central banks from Indonesia to Europe and the US begin cutting interest rates to support growth.  Even so, China’s factory activity continued to contract while the services sector slowed in September, data on Monday showed. The country’s lackluster economic performance has also left its mark on Europe, one if its biggest trading partners. All three major German carmakers — Volkswagen AG, Mercedes-Benz Group AG and BMW AG — have warned about their profit this month.  Chinese markets will be closed for the first seven days of October for a public holiday. Hong Kong and Korea exchanges will be shut on Tuesday.  In Austria, traditional political powers are pledging to block the far-right Freedom Party from forming a government following Sunday’s national elections that in its historic victory, marking the latest effort to stem the rising tide of populism in Europe. In Japan, Ishiba’s new administration will pursue continuity in economic, monetary and foreign policy, with the role of finance minister going to Katsunobu Kato, a former government spokesman, according to local media.  The yen pared the previous session’s gains, while hopes for Chinese stimulus lifted both the Australian and New Zealand dollar.  Tensions in the Middle East were at risk of escalating once again, however, after Israel’s killing of Hezbollah’s leader, Hassan Nasrallah, in Beirut. Oil was steady on Monday, with the market waiting to see how Iran will respond. This week, traders will be paying close attention to Eurozone inflation and manufacturing activity data are due before the US jobs report on Friday that will help assess the outlook for Federal Reserve rate cuts into year-end. 

Macro :

- Hedge Funds Rotate Out of Tech Into Materials on China Stimulus

- Lombard Odier Dumped Entire China Allocation, Won’t Buy Rebound

- Equities May Face Setback as They Confront US Payrolls: In Play
- Israel Is Downgraded by Moody’s Again as War Takes Economic Toll

- Goldman, BlackRock Warn Europe’s Stock Rally Faces Tough Hurdles

- EU Technology Derating May Not Last as AI, Rates Provide Support

Keep an eye on :

- AAPL US : Apple No Longer in Talks to Join OpenAI Investment Round -- WSJ

- AML LN : Aston Martin Sees Earnings Below Market Expectations

- ATO FP : Atos: Holders, Creditors Support Draft Safeguard Plan

- AZA SS : Avanza CEO Says He’s Open to International M&A, DI Reports
- BT/A LN : BT’s Digital Lead, Harmeen Mehta, To Leave Telecom Operator

- BA US : NASA Poised to Launch Rescue Mission for Stuck Boeing Astronauts

- CVS US : Glenview Capital Prepares for Activist Push at CVS, WSJ Says

- DSV DC : Deutsche Bahn Union to Vote Against Schenker Sale, FAZ Says

- EQT SS : EQT Has Started Process to Sell AGS Health, Economic Times Says

- FRE GY : Fresenius Gets U.S. FDA Approval for Otulfi

- GRF SM : Grifols to Invest €360m to Build New Spain Facility: Economista

- JUVE IM : Juventus FY Net Loss EU199.2M

- LTG LN : General Atlantic Offers £1/Share For Learning Technologies

- MC FP : LVMH Prepares for Winter With Moncler Deal: Andrea Felsted

- META US : Meta’s Glasses Show Apple Has Lost Its Way in Headsets: Power On

- MBTN SW : Meyer Burger Prelim 1H Sales Misses Estimates

- MSFT US : *Microsoft Is Investing $1 Billion, Sources Say -- WSJ

- NESN SW : Seres Holders Raise Concern Over Reported Nestlé Takeover Offer

- PST IM : Italy Selects UBS, White & Case as Advisers for Poste Stake Sale
- RPD US : Activist Jana Partners Ups Stake in Software Provider Rapid7

- MCRB US : Seres Holders Raise Concern Over Reported Nestlé Takeover Offer

- NVDA US : China Urges Local Companies to Stay Away From Nvidia’s AI Chips

- PAH3 GY : Porsche SE Cuts FY Profit After Tax Forecast, Misses Estimates

- ROG SW : Roche’s Genentech to Buy Regor Breast Cancer Portfolio for $850M

- STLA US : Stellantis Cuts FY Adj. Operating Income Margin Outlook

- TAP PL : Portugal Wants to Keep TAP Airline’s Lisbon Hub, Premier Says

- TKA GY : Thyssenkrupp Steel Might Face Deeper Cutbacks, New CEO Tells WAZ

- VALE3 BZ : *COSAN IS SAID TO MULL VALE STAKE SALE ON LEVERAGE CONCERNS

- VTSC GY : Vitesco Technologies to Leave SDAX

- VIV FP : Vivendi in €2B Financing Pacts to Redeem Debt in Case of Split

- VOW GY : VW Cuts FY Revenue And Deliveries Forecasts

- VOW GY : Electric Vehicle Sales Are Stumbling. Here’s Why: QuickTake

- VPW GY : Volkswagen’s Second Profit Warning Exposes a Carmaker in Decline