59 minutes ago
Australia’s private sector deals at soft pace in December: Judo Bank
Private sector activity in Australia According to Judo Bank’s flash estimates, it remained in contraction territory in December, but contracted at a softer pace.
The composite purchasing managers’ index for the country was 47.4, down from a 27-month low of 46.2 in November.
Australia’s manufacturing PMI came in at 47.8, up slightly from 47.7 in the previous month, while the services PMI came in at 47.6, a slower rate of contraction compared to 46.0 in November.
The bank said demand conditions remained under pressure in December, but inflation for input costs eased. Overall employment continued to grow and business confidence improved from November.
– Lim Hui Jee
59 minutes ago
CNBC Pro: Solar stocks have had a tough year. But a fund manager prefers a long-term game
Macroeconomic uncertainty and rising interest rates may have put a dent in the performance of solar stocks this year — but one fund manager is bullish on the sector’s long-term prospects.
“We really like solar because solar installations can be done anywhere – unlike wind farms. But they play into interest rates at the moment; so, if interest rates go down – which they are now – solar companies can do well,” said Steven Glass, managing director and Australia. Headquartered Bella Funds investment analyst told CNBC Pro.
And one role stands out for him as a long play.
CNBC Pro subscribers can read more here.
– Amala Balakrishna
59 minutes ago
CNBC Pro: Goldman Adds This Stock to Its ‘Confidence’ List – Giving a Big Global Tech Name 100% Upside
Goldman Sachs recently added several stocks to its list of top picks.
Called “Punishment List – Directors’ Cut”, these lists cover the Americas, Europe and Asia-Pacific.
Here are four of the new additions.
CNBC Pro subscribers can read more here.
– Weissen Don
9 hours ago
‘Powell breaks out the punchbowl at the holiday party,’ says Deutsche Bank
Federal Reserve Chairman Jerome Powell’s dovish tone raises the possibility of sooner-than-expected rate cuts and improves the chances of a slow descent if inflation continues to ease, Deutsche Bank said.
“While our baseline remains that the first rate cut could come in June 2024, and that the Fed will cut rates by 175 bps next year, today’s meeting signals a risk to this expectation,” U.S. Chief Economist Matthew Lucetti wrote on Wednesday. A note titled “December FOMC: Powell breaks out the punchbowl early at holiday party.”
“We see risks that rate cuts could come as early as March,” Lucetti continued. “Earlier policy easing would improve the prospects for a soft landing in the face of more substantial inflation.”
In fact, the CME FedWatch tool Markets are currently pricing in a roughly 72% probability that the central bank will cut rates by 0.25 percentage points in March. It was up 65% on Wednesday.
– Sarah Min, Michael Bloom
5 hours ago
Big tech companies are underperforming Jupiter
Mega-cap tech names lagged the market, entering negative territory amid broader market gains.
Microsoft and Netflix were down about 2.3% as of Thursday afternoon. Amazon and Alphabet fell 1.1% and 0.9%, respectively. Apple and MetaPlatforms also lost their shares by 0.2% and 0.5% respectively.
Meanwhile, the S&P 500 rose 0.2%, while the Nasdaq composite gained 0.1%.
– Hakyung Kim
5 hours ago
Oil is 3% higher on weaker dollar, demand outlook improves
Oil prices rose 3% on Thursday on a weaker dollar and slightly improved demand growth in 2024.
The West Texas Intermediate contract for January delivery was up $2.11, or 3.04%, at $71.58 a barrel, while the Brent contract for February delivery was up $2.35, or 3.16%, at $76.61 a barrel.
The U.S. dollar also fell to a four-month low on Thursday after the Federal Reserve signaled that rate hikes were over. A weaker dollar makes oil cheaper, which boosts demand.
The International Energy Agency said on Thursday that global oil demand will increase by 1.1 million barrels per day in 2024, up slightly from an earlier forecast of 930,000 barrels per day.
– Spencer Kimball
14 hours ago
10-year Treasury yields fall below 4%
The benchmark rate broke below 4% for the first time in August as traders bet on Fed rate cuts for 2024. The 10-year last traded at 3.95%.
Check out the chart…
US 10-year yield
