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Japan"s exports surged in October, driven by increased demand for chip equipment from China. However, concerns linger over potential U.S. protectionist trade policies that could impact future shipments.
Australia and India are set to enhance cooperation in renewable energy and defence, as Prime Minister Anthony Albanese announced plans for investment in solar manufacturing and battery processing during a meeting with Indian Prime Minister Narendra Modi. The partnership aims to leverage Australia’s rich mineral deposits for electric vehicle batteries and includes initiatives to train a rooftop solar workforce in India, which is looking to increase household renewable energy use. Both nations, along with the US and Japan, are part of the Quad alliance, focusing on countering China"s influence in the Indo-Pacific region.
Kadokawa"s shares surged 16% following reports of Sony"s interest in acquiring the company, which is known for its influence in publishing, anime, and gaming, including the developer of "Elden Ring," FromSoftware. The stock closed up 23% at its daily limit, reflecting the growing significance of anime and manga in the global market, projected to reach $60 billion by 2030. Industry expert Serkan Toto noted that Sony recognizes the global impact of anime and manga.
Nvidia"s stock rose nearly 5% to $147.01, with a significant 196% increase in 2024, as it prepares to report earnings. Retail giant Target also reports, while Walmart"s stock hit a new high after solid results. Delta Air Lines and United Airlines continue to see substantial gains, with Delta up 61% in 2024. Meanwhile, three utility companies—NiSource, Sempra, and Vistra—reached all-time highs, with Vistra gaining nearly 24% in November alone.
Shares of Seven & i Holdings Co. surged by up to 11% in early Tokyo trading following reports that the Ito family aims to finalize a deal to take the company private by the end of its fiscal year in February. A special-purpose company formed by the family and other stakeholders is planning a takeover bid, seeking to raise over ¥8 trillion ($51.7 billion) from major banks and U.S. financial institutions.
Japan"s exports rose 3.1% in October, rebounding from a 43-month low, surpassing economists" expectations of a 2.2% increase. The most significant growth was seen in exports to the Middle East, which surged by 35.4%. However, the trade deficit widened to 461.2 billion yen, exceeding forecasts.
Tokyo Gas Co. shares surged 15% in early trading, marking the largest increase since 1987, following news that Elliott Investment Management acquired a 5.03% stake in the company. Elliott plans to propose significant changes, including the sale of assets like the Park Hyatt Tokyo hotel, to enhance capital efficiency.
Asia-Pacific markets opened mostly higher, with Japan"s Nikkei 225 and Topix showing slight gains ahead of key trade data. Economists expect Japan"s exports to rise 2.2% year over year, while imports may drop 0.3%. In China, the benchmark lending rates are anticipated to remain unchanged after recent cuts. Geopolitical tensions are influencing market sentiment, particularly following warnings from Russian President Vladimir Putin regarding nuclear thresholds, which coincided with reports of Ukraine striking the Russian border.
The Dow has steadied after recent losses, holding around the October high of 43,330, with potential targets set for the November record high. The S&P 500 is on a three-session upward trend, eyeing the 6000 level, while the Nikkei 225 has rebounded from 38,000, aiming for 40,000 as it maintains its overall uptrend.
IG
PGIM is focusing on expanding its private credit, real assets, and international markets as David Hunt transitions leadership to Jacques Chappuis. The firm aims to enhance its private credit capabilities through acquisitions in Europe and Asia, while also growing its insurance asset management business and maintaining a commitment to active management. Hunt believes Chappuis" experience aligns well with PGIM"s strategic growth plans.

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