Fixed Income Market Overview
The U.S. 10-year Treasury yield slightly increased to 3.816% on Monday, following Federal Reserve Chair Jerome Powell’s strong indication of upcoming rate cuts. The 2-year Treasury yield also rose to 3.936%. Despite Powell’s emphasis on data-dependent decisions, traders are confident in a rate cut at the Fed’s September 18 meeting, with a 63.5% chance of a 0.25% cut and a 36.5% chance of a 0.5% cut. Powell noted significant progress on inflation and easing labor market conditions but did not guarantee a rate cut.
Intel Stock Falls After Weak Q2 Results, New Cost Reduction Plan, 15% Headcount Reduction.
Indian food delivery giant Swiggy is aiming to raise $1.2B at a $15B valuation in what may be India’s largest IPO this year.
U.S. crude oil jumps more than 3% on Libya production halt for best day in two weeks.
Telegram’s co-founder / CEO was arrested in France.
Uber dropped 2.30% on a day it was hit with a record $324 million fine by the Dutch data protection regulator for violating EU personal data rules.
Major Indicies
| Symbol | Price | Change | %Change |
|---|---|---|---|
| DJIA | 41,240.52 | 65.44 | 0.15%↑ |
| NASDAQ | 19,516.44 | -204.43 | -1.03%↓ |
| S&P 500 | 5,616.84 | -17.77 | -0.31%↓ |
| FTSE 100 | 8,327.78 | 8,327.78 | 0.00% |
| SX5E | 4,896.69 | -12.51 | -0.25%↓ |
| NIKKEI | 38.110.22 | -254.05 | -0.66%↓ |
| HSI | 17,798.73 | 186.63 | 1.06%↑ |
| VIX | 16.15 | 0.29 | 1.82%↑ |
Bonds
| Name | Yeild | CHG |
|---|---|---|
| US 10-YR | 3.81% | 0.012 |
| US 30-YR | 4.10% | 0.012 |
| US 5-YR | 3.66% | 0.016 |
| JPN 10-YR | 0.89% | -0.001 |
| UK 10-YR | 3.93% | 0.00 |
Futures & Commodities
| Name | Last | Change | %Change |
|---|---|---|---|
| WTI CRUDE | 77.42 | 2.59 | 3.46%↑ |
| NAT GAS | 1.96 | -0.06 | -3.16%↓ |
| GOLD | 2,517.70 | 9.30 | 0.37%↑ |
| SILVER | 30.00 | 0.18 | 0.60%↑ |
| COPPER | 4.22 | 0.01 | 0.44%↑ |
Equity Market Overview
Zee Entertainment Enterprises
ZEE Entertainment announced a settlement of all disputes related to its merger with Culver Max Entertainment Pvt Ltd (formerly Sony Pictures). The parties agreed to withdraw all claims at the Singapore International Arbitration Centre and relinquished rights to file further claims. This settlement includes waiving the $90 million termination fee and associated costs. The merger, originally signed in December 2021, had faced disagreements over financial terms. With the resolution, ZEE’s shares surged over 11%, trading at Rs 151.10 on the NSE. The merger had previously received clearances from key regulatory bodies.
Southwest Airlines
Elliott Investment Management has increased its stake in Southwest Airlines to 9.7%, nearing the 10% threshold needed to call a special shareholder meeting to push for board changes. The activist investor is advocating for leadership and operational overhauls, criticizing Southwest for not adopting strategies used by competitors. Elliott has proposed replacing CEO Bob Jordan and Chairman Gary Kelly, nominating 10 new directors for the board. Southwest has defended its current leadership and plans to discuss potential improvements with Elliott during a scheduled meeting on September 9. The airline remains open to a constructive dialogue but is prepared for a potential fight.
