An Hour Ago
CNBC Pro: A China fund from Fidelity is beating the crowd. How it plans to keep doing it
A Fidelity fund that invests billions of dollars into a China-related strategy is on track to outperform its peers this year for a second straight year, according to Morningstar.
“It’s very fashionable or favorable to be underweight on China. But we think there’s way too much negative news priced in and sentiment is too bearish,” said Catherine Yeung, a Hong Kong-based investment director focused on equities at Fidelity International.
She told CNBC that in general, it’s taken different parts of the world about 15 months to fully recover from Covid lockdowns.
“China only reopened in January,” she said.
Fri, Sep 1 2023 8:36 AM EDT
Unemployment ticks up to 3.8% in August, average hourly wages rise less than expected
The unemployment rate jumped to 3.8% in August, while wages rose less than expected, the U.S. Department of Labor said Friday, signs of a slowing economy and easing pricing pressures.
The jobless rate was expected to be 3.5%, according to economists polled by Dow Jones, equal with what it was in the prior month. Average hourly earnings rose 0.24% for the month, or 4.29% year-over-year. That was less than the 4.4% increase expected by economists.
Nonfarm payrolls grew by a seasonally adjusted 187,000 for the month, above the 170,000 expected by economists polled by Dow Jones. However, job numbers first reported for June and July were revised down by a combined 110,000.
— Samantha Subin
Fri, Sep 1 2023 9:18 AM EDT
Traders increasingly bet the Federal Reserve is done hiking rates
Traders are growing more confident the Federal Reserve could be done hiking rates this year after the August’s unemployment rate suggested a cooling labor market.
Markets are pricing in a 93% likelihood Friday morning the Fed will hold rates in September, according to the CME FedWatch Tool. That’s up from an 88% chance on Thursday.
Meanwhile, chances the central bank will not raise rates in November also jumped to 65%. That’s up from 58.9% the previous day.
— Sarah Min
Fri, Sep 1 2023 1:04 PM EDT
Highly anticipated Arm IPO could arrive later this month
The highly anticipated IPO of Softbank-backed Arm could arrive this month, marking a major test for the market sentiment, according to Wall Street firm Roth MKM.
“We believe ARM could launch its IPO roadshow as early as next week with a likely first day of trading before September 20th,” Roth MKM said in a note.
The Cambridge, England-headquartered tech giant touts advanced chip designs that can be found in nearly all the world’s smartphones. Arm benefits from secular tailwinds with AI demand as well as non-smartphone semiconductor penetration, Roth MKM said.
Its debut will be a big signal as to whether the IPO market is ready to rebound after a drought due to higher interest rates.
— Yun Li
Fri, Sep 1 2023 2:08 PM EDT
Explosive rally in VinFast fades swiftly
Vietnamese EV maker VinFast failed to cement meme stock status as its eye-popping rally faded quickly. After a head-scratching six-day winning streak, VinFast has lost 60% this week, cutting its gains since its market debut to about 170%.
The retail participation in VinFast is still much lower than other popular Asian carmakers during their peak popularity, according to Vanda Research.
Read More: Asia stock market today: Live updates