01 Stock Market
As of Aug 28, U.S. stock index futures performed as follows: Dow Jones Industrial Average futures edged up 0.06%, S&P 500 futures dipped 0.03%, and Nasdaq 100 futures fell 0.32%. The modest dispersion signals a cautious tone before the opening bell, with traders weighing upcoming remarks from Federal Reserve Chair Kevin Warsh at the Jackson Hole symposium against a flurry of corporate headlines. Light liquidity has magnified small shifts, keeping index trajectories largely range-bound while investors await clearer macro guidance.
Notable Stock Movers: Real-estate platform BEKE up 11.11% at $19.70 on China’s mortgage-reform tailwind. Chipmakers wobbled, with MRVL down 8.28% at $221.45 and NVDA down 0.56% at $226.70, as AI hardware demand timelines were reassessed. Payments giant PYPL down 15.62% at $51.87 after takeover talks reportedly collapsed. Discount retailer MNSO down 5.18% at $10.25 despite revenue growth, while foundry leader UMC up 9.86% at $20.95 advanced on U.S. expansion plans. The wide performance gap underscores the market’s laser focus on company-specific catalysts.
With Jackson Hole set to clarify the Fed’s stance on inflation risks, and a dense earnings slate highlighting divergent industry trajectories, investors face a session where thematic macro narratives intersect with sharp single-stock moves. Selectivity and headline vigilance remain paramount as traders navigate a landscape shaped by both policy signals and idiosyncratic surprises.
02 Other Markets
• 10-year U.S. Treasury yield rose 0.43% to 4.69%.
• U.S. Dollar Index rose 0.06% to 99.19.
• WTI crude oil futures fell 0.67% to 82.97 USD/barrel; COMEX gold futures fell 0.42% to 4,644.50 USD/ounce.
03 Key News
1. Beijing lengthened maximum residential mortgage terms to 40 years, sparking optimism for property transactions. The joint directive from the People’s Bank of China and the National Financial Regulatory Administration reduces monthly payments and is expected to lift housing demand, immediately boosting real-estate broker KE Holdings’ U.S.-listed shares.
2. Moderna and Merck announced their personalised mRNA melanoma vaccine met late-stage trial goals, opening a new front in cancer treatment. The success, hailed by oncologists as a century-in-the-making breakthrough, positions the partners for a potential multi-billion-dollar market as they prepare regulatory submissions.
3. Miniso reported 22% half-year revenue growth but a RMB 291.5 million quarterly loss, highlighting margin pressure amid global expansion. Despite a 45% jump in operating cash flow and over 8,600 stores, the discount retailer’s narrowing margins tempered investor enthusiasm.
4. Elastic delivered fiscal Q1 results well above expectations, sending its shares up nearly 19% in pre-market trading. Strong demand for AI-driven search and observability tools boosted revenue and earnings, and management reaffirmed its full-year outlook.
5. Gap installed Michael Francis as Old Navy’s new CEO and lifted its annual profit forecast, driving a near 15% share surge. The retailer credited pricing discipline and streamlined inventories for the earnings beat, while investors view the leadership change as pivotal for brand revitalisation.
6. Affirm Holdings beat quarterly estimates and reiterated its path toward a $100 billion gross merchandise volume target, propelling shares up 12% pre-bell. Management pointed to rising merchant adoption and prudent credit metrics as key growth drivers in the competitive buy-now-pay-later arena.
7. Marvell Technology trimmed near-term revenue expectations related to a major cloud customer, sending shares down more than 8% before the open. Although the chip designer raised its longer-term forecasts, investors fixated on potential delays in AI data-centre orders.
8. Advent International and Stripe abandoned a prospective bid for PayPal, reigniting questions over the fintech’s strategic options. Bloomberg reported that the consortium walked away after preliminary talks, contributing to a double-digit pre-market slide in PayPal’s stock.
9. SK Hynix committed over $4 billion to build an Indiana plant producing next-generation HBM4E memory chips from 2029. The facility will bring crucial AI hardware production closer to North American clients, with executives forecasting sustained industry shortages through 2030.
10. Federal Reserve regional presidents at Jackson Hole signalled readiness for further rate hikes to counter “stubborn” inflation. Officials from Kansas City and Cleveland argued that current policy is not yet restrictive, keeping markets alert for a hawkish tilt in Chair Kevin Warsh’s upcoming keynote.
Sources: Reuters, Dow Jones, Tiger Newspress, public market data
Disclaimer: For informational purposes only; not investment advice.