Live News Blog

South Korea’s KOSPI Forward P/E Falls to 4, Half Indonesia’s Valuation Amid Tech Sell-Off

• Valuations hit multi-decade low: South Korea’s KOSPI forward 12-month price-to-earnings ratio has fallen to around 4, its lowest level since 2006 among 18 markets that had market capitalisations above $1 trillion at the start of 2026.
• Indonesia trades at double the multiple: The Jakarta Composite Index has a forward P/E ratio of approximately 8, twice South Korea’s level.
• AI concerns drive selling: A sell-off in technology stocks has weighed heavily on South Korean equities as investors question whether massive AI investments will generate sufficient returns.
• Indonesia faces separate risks: MSCI has warned that Indonesia could face a two-phase downgrade of its market classification, raising concerns about the market’s investability.
• Financing costs in focus: ACG Management’s Hui Ling Loh said concerns over AI spending and rising financing costs are offsetting strong corporate earnings and guidance, while investors are also seeking safe-haven assets.

Tanker Carrying 40,000 Tonnes of Russian Diesel Heads to New York

• Shipment bound for US: A Maltese-flagged tanker carrying approximately 40,000 tonnes of Russian diesel fuel is heading to New York, according to data from the London Stock Exchange Group (LSEG).
• Russian export restrictions eased: The shipment follows an agreement reportedly reached between Russian President Vladimir Putin and US President Donald Trump to lift Russia’s unilateral ban on diesel exports.
• Global supply targeted: The agreement aims to allow Russian diesel supplies to reach international markets, including the United States.
• Fuel prices in focus: The move comes as governments seek to ease fuel-price pressures amid geopolitical tensions and disruptions to global energy supplies.

Brent Crude Holds Near Five-Month High as Iran Tensions and Libyan Shutdown Fuel Supply Fears

• Oil prices remain elevated: Brent crude stayed near a five-month high on Friday, putting prices on track for a third consecutive weekly gain, Reuters reported.
• Saudi supply concerns: Houthi attacks on Saudi Arabia intensified concerns over potential disruptions to regional oil supplies.
• Libyan output disrupted: A pipeline valve supplying Zawiya port was shut, reducing production at the Hamada and Tahara oilfields, Libya’s National Oil Corporation chief told Reuters.
• Trump raises Iran uncertainty: President Donald Trump said the US was not negotiating with Iran and added that something would happen “fairly soon,” increasing geopolitical uncertainty.
• Risk premium rises: Concerns over supply disruptions across the Middle East and North Africa are supporting crude prices.

China’s CSI 300 Heads for Worst Week in Three Months After Entering Bear Market

• Weekly losses deepen: China’s CSI 300 fell further on Friday, putting the benchmark on track for its worst weekly performance in three months, CNBC-TV18 reported.
• Bear market confirmed: The index entered bear-market territory on Thursday after closing 20% below its June peak.
• Record losing streak: The decline followed a record 10-week losing streak, according to CNBC.
• State-backed support uncertain: One analyst said China’s state-backed “National Team” had been “rather hesitant to make a move,” raising questions about the scale of potential market support.
• Hong Kong shares also fall: The Hang Seng Index slumped alongside mainland Chinese equities as investor sentiment weakened amid fading hopes for fresh stimulus.

China’s CSI 300 Enters Bear Market, Down 20% From June Peak bigbreakingwire.in

CalPERS Cuts Big Seven Tech Holdings by 26%, Shifts Focus Toward Private Equity

• Tech exposure reduced: California Public Employees’ Retirement System (CalPERS), one of the largest US public pension funds, cut its combined holdings in the Big Seven technology companies by 26% in the first half of 2026, according to calculations based on regulatory filings cited by the Financial Times.
• Seven major companies affected: The group includes Apple, Microsoft, Alphabet, Amazon, Nvidia, Meta Platforms and Tesla.
• Diversification strategy: CalPERS Deputy Chief Investment Officer Anton Olicch said the fund had diversified its exposure across hundreds of businesses to reduce concentration risk.
• Valuations raise concerns: Olicch warned that public equity valuations are high and investment exposure is concentrated in a small number of companies that could underperform.
• Private equity gains appeal: CalPERS sees more attractive pricing in private equity, which could help cushion its portfolio if public markets decline.

Emkay, SBI Research Expect Further RBI Rate Hikes as Inflation Broadens

• Emkay forecasts more tightening: Emkay Global expects cumulative rate hikes of 50 basis points by February 2027.
• SBI sticks to December view: SBI Research maintains its forecast for 50 basis points of additional tightening by December.
• MPC backs October hike: Minutes released on October 21 showed all six Monetary Policy Committee members supported a 25-basis-point hike to 5.50%, although two opposed shifting to a calibrated tightening stance.
• Rate cuts ruled out: RBI Governor Sanjay Malhotra said rate cuts are off the table for now.
• Further hikes data-dependent: Malhotra indicated that any additional increases would depend on the evolving growth and inflation outlook, with inflation pressures broadening.

US Prepares for Protracted Standoff With Iran as Nuclear Talks and Hormuz Shipping Remain Unresolved

• Long-term standoff possible: The United States is preparing for a prolonged confrontation with Iran despite the Trump administration’s efforts to secure concessions through bombing campaigns and economic sanctions, the Financial Times reported.
• Stalemate could last another year: US UN ambassador nominee Michel Waltz acknowledged that Washington and Tehran could still be locked in a stalemate a year from now, without an agreement on Iran’s nuclear programme.
• Hormuz shipping unresolved: A key challenge remains restoring shipping through the Strait of Hormuz to pre-war levels.
• Blockade may continue: Waltz said the president and US Navy could maintain the blockade against Iranian ports for the foreseeable future.
• Economic pressure intensifies: The administration is stepping up economic pressure on Iran, while Waltz said officials hope to return to effective negotiations before the standoff persists.

Global PC Shipments Forecast to Plunge 21% in Q3 2026 as Component Costs Rise

• Shipments decline: Global PC shipments are projected to fall 21% year-on-year to 57 million units in Q3 2026, down 13.8% quarter-on-quarter, according to preliminary Counterpoint Research data.
• Further weakness expected: Shipments are forecast to drop 27% year-on-year in Q4 2026, while full-year shipments in 2027 are projected to remain roughly flat compared with 2026.
• Lenovo leads market: Lenovo is expected to ship 15 million units, down 23% year-on-year, with a 26.3% market share.
• HP and Dell face steep declines: HP shipments are projected to fall 31% to 10.3 million units, giving it an 18.1% share. Dell shipments are expected to decline 25% to 7.6 million units, with a 13.3% share.
• Apple gains market share: Apple shipments are forecast to fall 11% to 5.6 million units, but its market share is expected to rise to 9.8% from 8.7% a year earlier.
• ASUS also declines: ASUS shipments are projected to drop 7% to 5.2 million units.

US LNG Exports to EU Surge 36% in August to 5.5 Million Tonnes

• Exports jump: US liquefied natural gas (LNG) exports to the European Union rose 36% month-on-month in August to approximately 5.5 million tonnes, according to US Energy Information Administration data.
• EU takes half of US shipments: Total US LNG exports reached around 10.8 million tonnes in August, with the EU accounting for 51%.
• Netherlands leads: The Netherlands was the largest EU recipient, importing 1.2 million tonnes, up nearly 5% from July. Italy ranked second at 1 million tonnes.
• France and Germany increase purchases: US LNG shipments to France more than doubled to 800,000 tonnes, while supplies to Germany increased 1.7 times to 700,000 tonnes.
• Energy security drives demand: The prolonged Iran conflict and rising international energy prices have encouraged European countries to diversify energy supplies and increase gas purchases ahead of winter, Reuters reported.

Tibet Earthquake Kills 18, Injures 32; 501 Aftershocks Recorded

• Casualties reported: China’s state broadcaster CCTV reported that 18 people were killed and 32 injured in a magnitude 7.0 earthquake in Tibet, The Straits Times reported.
• Hundreds of homes damaged: The earthquake struck Baqing County in Nagqu, Tibet, at 10:33 PM CST on October 22, collapsing hundreds of homes in a remote, high-altitude area, according to reports citing Chinese official media.
• Rescue operations underway: President Xi Jinping called for an all-out rescue effort. Rescuers are dealing with blocked roads and power outages.
• 501 aftershocks recorded: As of 12:00 PM CST on October 23, a total of 501 aftershocks had been recorded, according to CCTV News.
• Strongest aftershock at 4.3: Of the aftershocks, 474 were magnitude 3.0 or below and 27 were magnitude 3.0 or higher. Five measured between 4.0 and 4.9, with the strongest at magnitude 4.3. No aftershocks of magnitude 5.0 or higher were recorded.

Former RBI Deputy Governor Warns Against Using Rupee as an Automatic Stabiliser

• Patra raises concerns: Former RBI Deputy Governor Michael Debabrata Patra told Reuters on Thursday that using the rupee as an automatic stabiliser could hurt India’s real economy.
• Exchange-rate volatility: Patra said floating exchange rates have been marked by overshooting, “self-fulfilling expectations and bandwagon effects.”
• IMF urges flexibility: His comments came a day after IMF official Krishna Srinivasan urged India to allow the rupee to move more freely and absorb the impact of the oil shock.
• RBI steps up support: The debate comes as the Reserve Bank of India increases support for the rupee amid pressure from higher oil prices.
• Policy dilemma: The discussion highlights the challenge of balancing exchange-rate flexibility with the risks that sharp currency movements could pose to economic activity.

IMF Urges India to Let Rupee Absorb Oil Shock as Forex Reserves Fall $51 Billion bigbreakingwire.in

US Treasuries Regain Safe-Haven Appeal as AI Investment Fears Hit Tech Stocks

• Safe-haven demand returns: US Treasuries are once again providing a hedge against technology stock losses, with the inverse relationship between Treasury performance and AI-related stocks rebounding to levels last seen a year ago.
• AI rally faces scrutiny: Investors are questioning whether massive AI investments will generate the expected returns, intensifying the sell-off in technology shares.
• Growth concerns emerge: Market anxiety is spreading beyond the tech sector, raising concerns about the broader US economic outlook.
• Rate-hike expectations ease: Traders have lowered expectations for further US interest-rate hikes this year as growth risks gain prominence.
• Nomura flags growth risks: Nomura cross-asset strategist Charlie McElligott said bonds were surprisingly beginning to act as a hedge again, as markets reassessed the possibility of a US “growth panic” following a reset in AI-boom expectations.

Tesla Begins Early Optimus Robot Production, Targets 20,000 Units a Week

• Production begins: Tesla has started early production of its Optimus humanoid robot on a high-volume production line at its Fremont, California, factory, the company said on Wednesday.
• 1 million annual capacity: Elon Musk said the line is designed to produce around 1 million robots annually, with Tesla targeting output of roughly 20,000 units per week.
• At least a year to scale: Musk said reaching the weekly production target will take at least a year.
• Technology still unfinished: Musk acknowledged that the robot’s hands, reliability and AI capabilities still need further development.
• Shares slip: Tesla shares fell on Thursday after the company cut its capital expenditure forecast, raising investor questions about its AI and robotics ambitions, Reuters reported.

Gold Heads for Biggest Weekly Drop in Four Months as AI Sell-Off Hits Copper

• Gold under pressure: Gold prices were on track for their biggest weekly decline in more than four months as rising oil prices and strong US economic data strengthened expectations of higher interest rates for longer.
• Fed outlook in focus: US initial jobless claims fell to their lowest level in nearly 57 years last week, pointing to a modest recovery in October employment. Investors are watching the Fed’s October 27–28 meeting and next week’s PCE inflation report.
• Copper extends losses: London copper futures traded above $14,150 per tonne but were down nearly 2% for the week, heading for their third weekly decline in four weeks.
• AI concerns weigh on metals: The technology stock sell-off has weakened risk appetite, putting pressure on copper, which is widely used in data centres and power infrastructure.
• Demand concerns persist: Analysts said weakness in demand from other sectors has made metals prices more sensitive to equity market sentiment. Copper remains up around 14% year-to-date.
• US tariff uncertainty: Expectations of potential US tariffs on refined metals previously encouraged imports and supported copper prices, but traders remain uncertain whether Washington will implement the measures.

AI Spending Fears Push Global Corporate Credit Spreads to 17-Month High

• Credit spreads widen: Global corporate bond yield premiums surged to 129 basis points, their widest level since May 2025, signalling rising investor risk aversion.
• Asian bonds under pressure: Spreads on high-rated Asian corporate dollar bonds reached their highest level since July 2025 on Friday.
• AI borrowing concerns: Investors are increasingly concerned that heavy AI-related spending funded through borrowing may not generate expected profits quickly enough.
• Risk-off sentiment intensifies: A sell-off in AI-related stocks and escalating geopolitical tensions have pushed investors toward safer assets.
• Investors divided on AI bubble risks: Citadel CEO Ken Griffin warned of a potential bubble, while Blackstone President Jon Gray argued there was no need for concern, citing “near-parabolic” growth in market demand.

SK Hynix Halts Solidigm US IPO Plans After Shareholder and Regulatory Pushback

• IPO review halted: SK Hynix has stopped reviewing a proposed US listing of its storage-chip subsidiary Solidigm and suspended its pre-IPO fundraising process, Yonhap reported.
• Market conditions cited: The South Korean chipmaker attributed the decision to capital market conditions.
• Regulatory scrutiny: South Korea’s top financial regulator said a potential Nasdaq listing would be subject to dual-listing rules designed to protect parent-company shareholders, UPI reported.
• Shareholder concerns: The proposed separate listing faced opposition over potential risks to existing SK Hynix shareholders.
• US expansion remains: SK Hynix said Solidigm still needs a new US chip plant and that it would consider alternatives, including direct investment.

SK Hynix Scraps US IPO Plans for Solidigm After Shareholder Opposition bigbreakingwire.in

Moderna Shares Fall Despite Cancer Vaccine Showing 42% Reduction in Recurrence or Death Risk

• Phase 3 results released: Merck and Moderna reported detailed Phase 3 trial results on Thursday for their personalised cancer vaccine combined with Keytruda.
• 42% lower risk: The combination reduced the risk of cancer recurrence or death by 42% compared with Keytruda alone.
• Shares decline: Both companies’ shares fell after the results briefly appeared online ahead of their scheduled Saturday presentation at a cancer conference in Madrid, Bloomberg reported.
• Below earlier results: The benefit was lower than the 49% risk reduction reported in an earlier mid-stage study.
• Oncologists see progress: Oncologists who spoke to STAT described the findings as an important advance in personalised cancer treatment.

Moderna Shares Plunge Nearly 25% After Suspected Early Leak of Cancer Vaccine Data bigbreakingwire.in

Tech Selloff Sparks Risk-Off Trade as Yen Hits One-Month High; Gold Heads for Biggest Weekly Drop in Four Months

• Yen strengthens: The Japanese yen rose 0.4% to 156.08 per dollar in Tokyo trading, reaching a one-month high after gaining 0.9% on Thursday.
• Safe-haven demand rises: Technology stock losses on Wall Street and across Asia pushed investors toward the yen and Japanese and US government bonds.
• Japanese bond yields plunge: Japan’s 10-year government bond yield fell around 10 basis points as bond prices jumped, while US Treasuries largely held their previous gains.
• Yen could rise further: Commonwealth Bank strategist Carol Kong said investors were favouring the yen over the dollar as a safe haven following weaker sentiment around mega-cap technology earnings and AI-driven growth.
• Gold faces steep weekly decline: Gold prices eased on Friday and were on track for their biggest weekly drop in more than four months as higher oil prices and stronger US economic data reinforced expectations of elevated interest rates.
• US data and Fed in focus: Initial jobless claims fell to a near 57-year low last week. Investors are watching the Fed’s October 27–28 meeting and next week’s PCE inflation report.
• Silver also falls: Spot silver dropped 2% intraday to $53.48 per ounce.

DeepSeek Could Shift to Huawei Chips by 2027–28 as China Closes AI Gap With Nvidia

• Huawei–DeepSeek partnership: A SemiAnalysis report published October 21 said Huawei provides chips and software while DeepSeek supplies AI workloads, helping China narrow gaps with Nvidia.
• Ascend chip benchmarks: The report places Huawei’s Ascend 950PR between Nvidia’s A100 and AMD’s MI300X in benchmark performance.
• 2027–28 forecast: SemiAnalysis predicts DeepSeek could run primarily on Huawei’s Ascend chips by 2027 or 2028.
• Nvidia CEO’s warning: Jensen Huang told Yahoo Finance at GTC Berlin that “we should always take China seriously,” pointing to the country’s scale in chips, AI models and research talent.
• Competition intensifies: The developments highlight China’s efforts to build a more self-reliant AI computing ecosystem amid competition with US chipmakers.

Trump Invokes Defense Production Act to Accelerate US Oil Capacity Expansion

• Defense Production Act invoked: President Donald Trump invoked the Defense Production Act on October 22 to designate key domestic oil-sector activities as critical national-defense resources, the White House said.
• Broad oil-sector coverage: The order covers oil exploration and production, pipeline transportation, storage, refining and marine terminals.
• Federal financial support: The government is authorized to use direct procurement, purchase commitments, financing and other financial measures to expand capacity.
• Bottlenecks targeted: The White House cited financing constraints, lengthy project timelines, permitting delays, infrastructure bottlenecks and supply-chain limitations as barriers to expansion.
• Faster implementation: Trump waived certain requirements under Section 303 of the Act to accelerate the expansion of domestic oil capacity.

Nasdaq Falls 2.6% in Biggest Daily Drop Since June as AI Spending Concerns Hit Tech Stocks

• Nasdaq tumbles: The Nasdaq Composite fell 2.6%, marking its biggest single-day decline since June, while the Dow Jones Industrial Average edged up 0.02%.
• Meta plunges 7%: Meta Platforms shares dropped 7% after the company disclosed further major spending commitments and missed profit expectations despite strong revenue growth.
• AI spending concerns intensify: Investors questioned whether soaring AI-related capital expenditure can generate sufficient returns, raising concerns about the sustainability of the sector’s rally.
• Chip stocks slide: The Philadelphia Semiconductor Index plunged 6.7%. Nvidia, SpaceX and CoreWeave shares also declined.
• Cloud infrastructure under pressure: Nvidia’s CEO warned that capital is insufficient to support the growth of “neocloud” providers supplying AI infrastructure to major customers such as Meta and Amazon.
• Treasuries rally: Risk-off sentiment drove investors toward US government bonds, pushing Treasury yields sharply lower.

Trump Pauses Planned Wind Turbine Tariffs, Orders 180-Day Trade Review

• Tariffs suspended: President Donald Trump signed an executive order on Thursday temporarily suspending planned national-security tariffs on wind turbines and their components.
• 180-day review: The US Trade Representative and Commerce Secretary must consult trading partners and submit a report within 180 days.
• Trade negotiations: Officials have been directed to pursue agreements or continue ongoing negotiations to address wind turbine imports.
• Existing duties remain: Some turbines and components will still face existing tariffs on aluminium, copper and steel.
• Further action possible: The administration may consider additional trade measures depending on the progress and outcome of negotiations.

Elon Musk Adds $76 Million to America PAC, Pushing Election Donations Above $442 Million

• Fresh contribution: Elon Musk donated an additional $76 million to America PAC during the first two weeks of October, Politico reported.
• Total exceeds $442 million: His election-cycle political contributions have now surpassed $442 million, according to the report.
• Campaign spending: America PAC has spent tens of millions of dollars on digital advertising, mail campaigns and text messages targeting competitive US House and Senate races.
• Largest individual donor: Politico identified Musk as the biggest individual donor of the current election cycle.
• Giving surpasses 2024: His political contributions this year have exceeded the roughly $290 million he spent earlier in 2024, with Politico reporting that his total is unprecedented for an individual donor in modern US political history.

Trump Signs Executive Order to Lower US Housing Costs and Mortgage Rates

• Mortgage insurance reform: President Donald Trump signed an executive order directing the Federal Housing Finance Agency (FHFA) to design a pilot program allowing eligible borrowers to proactively cancel mortgage insurance premiums once they meet required home-equity thresholds based on current market values.
• Construction costs targeted: The order establishes a Prefabricated Housing Innovation Task Force to promote modern manufacturing technologies aimed at improving building quality and reducing construction costs.
• USDA loan rates: Agriculture Secretary Brook Rollins was directed to lower rates on single-family home loans issued by the US Department of Agriculture.
• VA loan rates: Veterans Affairs Secretary Doug Collins was also instructed to reduce rates on single-family loans issued by the Department of Veterans Affairs.
• Housing affordability push: The measures aim to ease homeownership costs through potential mortgage-insurance savings, cheaper financing and more efficient home construction.

SK Hynix Scraps US IPO Plans for Solidigm After Shareholder Opposition

• IPO abandoned: SK Hynix has dropped plans to list its flash-memory subsidiary Solidigm in the United States, according to a regulatory filing on Friday.
• Shareholder concerns: Strong opposition from shareholders and regulatory scrutiny over potential harm to minority investors contributed to the decision.
• Pre-IPO process halted: SK Hynix also suspended the pre-IPO investment-introduction process that had been running alongside the proposed listing.
• Major banks involved: Solidigm had appointed Goldman Sachs and Morgan Stanley as joint lead underwriters and was targeting a potential US offering next year.
• Duplicate-listing risks: South Korean regulators raised concerns that the listing could duplicate an existing corporate structure and dilute the interests of current shareholders.

Japan’s 10-Year Bond Yield Drops 9 bps to 2.79% as AI Fears Trigger Safe-Haven Demand

• 10-year yield falls: Japan’s 10-year government bond yield dropped 9 basis points to 2.79% on Friday.
• Long-term yields decline: The 20-year JGB yield fell 5.5 basis points as bond prices rose across the yield curve.
• AI fears drive risk-off sentiment: AI-related equity selling boosted demand for safe-haven assets, while gains in US Treasuries added support to Japanese government bonds.
• Inflation takes a back seat: A key Japanese inflation gauge rose above the Bank of Japan’s 2% target for the first time this year, previously supporting expectations of a December rate hike.
• Growth concerns dominate: Market participants shifted their focus toward economic growth risks and AI-driven volatility, with longer-duration bonds attracting demand for diversification and carry.

El Niño Threatens India’s Wheat Yields After Monsoon Ends 13% Below Normal

• Warmer winter forecast: The World Meteorological Organization (WMO), in its October 21 outlook, forecast tropical Pacific temperatures around 3.8°C above normal between November and January.
• Wheat production at risk: WMO’s Sebastian Grey warned that excessive winter heat during critical growth stages could reduce wheat yields.
• Weak monsoon adds pressure: India’s monsoon ended 13% below normal, raising concerns about water availability and soil moisture.
• Reservoir levels a concern: Low water reserves following the weak monsoon could further strain agricultural production.
• RBI flags rabi risks: RBI Governor Sanjay Malhotra warned that a weak monsoon combined with a strong El Niño could affect India’s rabi cropping season, Moneycontrol reported.

Gulf-to-Asia Supertanker Freight Costs Surge to Over $37 per Barrel

• Freight costs soar: The International Energy Agency (IEA) said supertanker freight costs from the Gulf to Asia exceeded $37 per barrel by mid-October.
• More than 5x prewar levels: Shipping costs have climbed to over five times their prewar levels, according to the agency.
• Hormuz congestion: Disruptions in the Strait of Hormuz and rerouted trade have tightened tanker availability and pushed freight rates higher.
• Pipeline attacks add pressure: The IEA also cited drone strikes on Saudi Arabia’s East-West pipeline on September 11 as a factor behind the disruption.
• Costs may remain elevated: Bloomberg reported that Gulf oil flows are approaching prewar levels despite attacks, but the IEA warned that shipping rates could stay high even if security conditions improve.

Musk Advisers Target Mid-2027 Announcement for $3.7 Trillion SpaceX–Tesla Merger

• Target timeline: Elon Musk’s advisers are reportedly aiming to announce a SpaceX–Tesla merger by mid-2027, with a potential closing during President Donald Trump’s term, Bloomberg reported.
• Record-breaking deal: The proposed combination is valued at around $3.7 trillion and could become the largest corporate merger ever.
• AI ambitions: Bloomberg reported that artificial intelligence is a key driver behind the proposed merger.
• Committees formed: On October 20, Musk said both companies had established independent director committees to explore a potential combination.
• No agreement yet: Musk has said the terms have not been agreed, while shares of both companies slipped in trading following the report.

US Says Iran Blockade Has Halted $25 Billion in Oil Exports as Tehran Warns of War Consequences

• 100th day of blockade: US Central Command (CENTCOM) said its “Steel Wall” maritime blockade of Iran had entered its 100th day.
• $25 billion in exports blocked: CENTCOM claimed the operation had prevented at least $25 billion in Iranian crude oil exports and restricted the Islamic Revolutionary Guard Corps’ ability to fund proxy militias and other networks.
• Trade severely restricted: According to CENTCOM, Iran has had no maritime exports or imports apart from humanitarian shipments permitted by US forces.
• Iran issues warning: Iranian Parliament Speaker Mohammad Bagher Ghalibaf warned that a US decision to go to war with Iran would have “bitter consequences,” potentially including military casualties, higher inflation, rising debt and a US stock-market collapse.
• Oil prices surge: Brent crude futures climbed above $113 per barrel, gaining more than 4% intraday amid escalating tensions.

Moderna Shares Plunge Nearly 25% After Suspected Early Leak of Cancer Vaccine Data

• Moderna tumbles: Moderna shares fell nearly 25% intraday on Thursday, while Merck shares declined 3.7% amid reports of a possible premature leak of cancer vaccine trial data.
• Data briefly published: Results from the experimental cancer vaccine jointly developed by the two companies reportedly appeared on medical website Oncology Central before being removed.
• Melanoma treatment: The briefly disclosed data suggested the vaccine, combined with Merck’s Keytruda, could reduce the risk of melanoma recurrence or death.
• Phase 3 milestone: Both companies had previously announced that the Phase 3 trial met its primary objective, but detailed results had not yet been released.
• ESMO presentation planned: The full results were scheduled to be presented at the European Society for Medical Oncology (ESMO) congress on Saturday.

US Treasury Yields Fall as Traders Scale Back Fed Rate-Hike Bets

• Rate-hike expectations ease: Traders are no longer fully pricing in a Federal Reserve interest-rate hike before the end of the year.
• Five-year yield drops: The US five-year Treasury yield fell 15 basis points to 4.8%.
• 30-year yield falls 10 basis points to 5.30%.
• Fed reverse repo operation: The Federal Reserve accepted a total of $351 million from two counterparties in its fixed-rate reverse repurchase operation.
• DoubleLine warns of bond pressure: Jeff Sherman, deputy chief investment officer at DoubleLine Capital, said heavy US government borrowing and weakening demand would continue to pressure long-term Treasury bonds.
• Long-term Treasuries underweight: Sherman said the firm remains significantly underweight long-dated US Treasuries in most portfolios, with some portfolios holding short positions at the longer end of the yield curve.
• Rebound may be temporary: Sherman described Thursday’s Treasury rally, driven partly by AI-related market volatility and safe-haven demand amid French market turmoil, as a rebound that does not change underlying pressures.
• Criticism of yield strategy: Sherman criticised US Treasury Secretary Scott Bessent’s efforts to push Treasury yields lower, arguing that restoring investor confidence is more important than blaming market critics.

Trump Accuses Iran of Fabricating Incidents to Drive Up Oil Prices

• Oil price allegations: US President Donald Trump accused Iran of fabricating reports of attacks, mine-laying and other incidents to push oil prices higher ahead of the US midterm elections.
• Hormuz shipping claim: Trump said oil shipments through the Strait of Hormuz are currently higher than before the conflict began.
• Nuclear warning: Trump reiterated that Iran must never be allowed to acquire nuclear weapons.
• Political criticism: He criticised Democrats and accused them of ignoring what he described as Iran’s attempts to influence oil prices.
• US bond yields fall: The US 10-year Treasury yield dropped below 5% for the first time since September 23, falling 14.97 basis points during the day.

PHP2Shell Vulnerability Raises Global Cybersecurity Concerns, Palo Alto Says Products Affected

• Palo Alto warning: Palo Alto Networks said every version of PAN-OS and Panorama is affected by the PHP2Shell vulnerability, with no fixed releases available yet.
• Two critical flaws: The vulnerabilities, CVE-2026-109618 and CVE-2026-109619, could allow attackers to execute code on vulnerable PHP servers without authentication, according to CNBC.
• PHP patches released: Fixes are available in PHP versions 8.5.12, 8.4.27, 8.3.36 and 8.2.35.
• Government websites disrupted: Several countries have temporarily taken government websites or online services offline as a precaution.
• Urgent security response: US agencies have urged organisations to apply available patches. The PHP Foundation told CNBC it had seen no evidence of working exploits.

US Treasury Yields Fall as Nasdaq Drops 2% and Tech Stocks Slide

• Treasury yields decline: The US five-year Treasury yield fell 14.33 basis points to 4.825%, its lowest level since September 23.
• Three-year yield hits low: The US three-year Treasury yield dropped 13.93 basis points to 4.768%, its lowest level since September 18.
• US stocks extend losses: The Nasdaq-100 fell 2%, while the S&P 500 declined more than 1% as selling pressure intensified.
• Volatility spikes: The VIX volatility index surged more than 15%, signalling increased investor anxiety.
• Tech stocks tumble: AMD, Meta Platforms and Intel fell more than 6%, while ASML, Amazon and TSMC dropped nearly 4%.

US Treasury Secretary Says No Oil Tankers Seen at Iran’s Main Loading Terminals

• Oil shipments disrupted: US Treasury Secretary Scott Bessent said Iran’s main oil-loading terminals, previously filled with tankers, now have no crude oil tankers visible.
• Kharg Island targeted: Bessent described Kharg Island, Iran’s key oil export hub, as a “monument” to what he called the Iranian regime’s failure.
• Economic pressure intensifies: He said the US campaign, dubbed “Operation Economic Isolation,” is cutting off Iran’s oil revenues.
• US allegations: Bessent claimed the restrictions are intended to prevent Tehran from using oil income to finance terrorism, acquire nuclear-related materials and support the Islamic Revolutionary Guard Corps leadership.
• Impact on Iranians: He also argued that the Iranian government’s policies and confrontational stance are imposing significant costs on ordinary citizens.

US Plans $389 Million in R&D Funding for Fusion Energy and Power Semiconductors

• Funding announced: The US Commerce Department plans to provide $389 million in research and development funding to four companies developing power semiconductor devices and critical materials.
• Fusion energy focus: The funding aims to advance commercial fusion energy and related technologies.
• Government equity stakes: As a condition of the awards, the US government will receive minority equity stakes in the companies, without control or voting rights.
• Part of $10 billion fund: The funding comes from a $10 billion fund authorised by Congress in 2022. The government has issued 19 R&D grants from the fund in recent months.
• US manufacturing push: Commerce Secretary Howard Lutnick said the investment would accelerate semiconductor innovation and strengthen domestic energy and power resources.

Marc Faber Says Indian Equities Are in a Bear Market, Urges Investors to Hold Cash

• Bear-market warning: Marc Faber, editor of The Gloom, Boom & Doom Report, told Business Standard that Indian equities are in a bear market and advised investors to reduce stock holdings.
• Market peak in 2024: Faber said Indian markets peaked in September 2024 and investors have “not really made money” since then.
• Further downside forecast: In June, Faber predicted another 20% decline in Indian equities.
• Cash and US Treasuries: He urged investors to build cash positions and identified US 10-year Treasury bonds as his preferred investment.
• Market volatility persists: On October 21, a Sensex rally faded sharply from the day’s high as rising crude oil prices and elevated bond yields weighed on sentiment.

Meta’s Credit-Risk Gauge Hits Record High as AI Spending Fuels Bond Sell-Off

• Credit risk spikes: Meta Platforms’ five-year credit default swap (CDS) spread rose 8.9 basis points to around 119.3 basis points on Thursday, reaching a record intraday high since the contract launched, according to ICE data.
• $825 billion commitments: Meta disclosed approximately $825 billion in future lease and contract commitments, much of it tied to AI computing capacity and infrastructure.
• Spending commitments surge: The figure compares with roughly $700 billion in committed future spending reported in July.
• Bonds underperform: Meta’s bonds fell and underperformed US Treasuries as investors assessed the company’s growing financial commitments.
• Investor concerns grow: The increased spending has raised concerns about the financial risks associated with Meta’s expanding AI infrastructure investments.

Andrew Ng Urges India to Secure AI Access, Prioritise Talent Development

• AI access is key: AI pioneer Andrew Ng told The Economic Times that India should ensure no external party can cut off its access to AI technology, rather than trying to develop every component independently.
• US restrictions cited: Ng pointed to a US Commerce Department order that reportedly required Anthropic to suspend foreign access to its Fable 5 and Mythos 5 models. The order was lifted on June 30.
• Open-weight models: Ng identified open-weight AI models as a cost-effective route for countries seeking greater control over their access to AI technology.
• India’s AI ecosystem: He praised Bengaluru-based startup Sarvam AI for its work in developing domestic AI capabilities.
• Skills over infrastructure alone: Ng said India’s top priority should be training people to build, use and understand AI.

US Initial Jobless Claims Fall to 194,000, Below Expectations

• Initial claims decline: Americans filing for first-time unemployment benefits fell to 194,000 for the week ending October 17, down from 200,000 in the previous week.
• Beats forecasts: Initial claims came in below economists’ expectations of 200,000, signalling continued resilience in the labour market.
• Four-week average eases: The four-week moving average declined to 197,800 from 198,500 in the previous week.
• Continuing claims rise: Continuing unemployment claims increased to 1.728 million for the week ending October 10, above expectations of 1.72 million and the previous reading of 1.71 million.

Meta Reveals $825 Billion in Future Spending Commitments, Driven by AI Infrastructure

• Massive commitments: Meta Platforms disclosed approximately $825 billion in future lease and contract spending commitments, much of it linked to AI computing and related infrastructure.
• $355.7 billion in leases: Off-balance-sheet operating and finance lease assets total $355.7 billion, including data-centre and energy infrastructure leases extending through 2036.
• $454.5 billion in contracts: As of September 30, Meta had $454.5 billion in irrevocable short- and long-term contractual commitments, including agreements with cloud computing providers and data-centre energy suppliers.
• Cloud computing obligations: Meta is committed to purchasing up to $14.7 billion in cloud computing capacity over five years. This amount could decline if providers resell the capacity to other customers.
• AI investment drives spending: The commitments reflect Meta’s growing infrastructure requirements as it expands AI computing capacity, alongside spending related to Reality Labs consumer hardware.
• Meta Platforms’ credit-risk indicator hits a record high amid plans for massive AI spending.

Oil Prices Rise as US-Iran Tensions and Saudi Security Risks Escalate

• Oil prices climb: Crude oil prices rose in Asian trading on Thursday as traders assessed escalating Middle East tensions and the risk of further supply disruptions.
• US embassy drawdown: The US State Department ordered non-emergency embassy staff and their families to leave Riyadh and its consulates on Wednesday amid increased Houthi attacks on Saudi Arabia.
• Iran strike concerns: Reports of possible US strikes on Iran added to market uncertainty and supported oil prices.
• US crude inventories fall: US crude oil stocks declined by more than analysts had expected, according to the Energy Information Administration (EIA).
• Markets under pressure: Asian equities and US stock futures fell as geopolitical risks weighed on investor sentiment.

Global Hunger Index 2026: India Ranks 100th, Pakistan 106th Among 122 Countries

• India’s ranking: India ranked 100th out of 122 countries in the 2026 Global Hunger Index (GHI), while Pakistan ranked 106th.
• Undernourishment: An estimated 9.8% of India’s population is undernourished.
• Child malnutrition: The report puts stunting among children under five at 29.3% and wasting at 19%.
• Child mortality: India’s under-five mortality rate stands at 2.7%, according to the figures provided.
• Regional comparison: South Asia recorded a GHI score of 23.5, compared with the global score of 18.1.
• Countries with low hunger scores: Twenty-four countries recorded hunger scores below 5.0, including China, Chile, Türkiye, the UAE, Uruguay and Uzbekistan.

Nvidia CEO Says Neocloud Demand Is “Off the Charts” Amid Financing Concerns

• Huang backs neoclouds: Nvidia CEO Jensen Huang called neocloud computing providers a “good investment” in comments to Bloomberg and said demand was “off the charts” in an interview with CNBC.
• Capital remains scarce: Speaking at GTC Berlin, Huang highlighted strong demand for computing infrastructure but acknowledged that capital availability remains a challenge.
• Debt concerns mount: Shares and bonds of CoreWeave and other neocloud providers have plunged, raising concerns about their ability to repay debt used to purchase Nvidia chips, according to Axios.
• GPU financing debate: Huang argues that GPUs can remain useful for up to eight years and serve as collateral for loans.
• Lenders take a shorter view: Banks typically underwrite GPU-backed loans over three to four years, according to Impax Asset Management, creating a potential mismatch between asset life and financing terms.

JPMorgan Says Semiconductor Sell-Off May Signal Markets Are Nearing a Bottom

• Selling pressure may be easing: JPMorgan global market strategist Nikolaos Panigirtzoglou and his team believe the semiconductor sell-off suggests that most long positions, including those held by momentum investors, have been liquidated.
• Downside risks may be limited: Although short-term headwinds remain, the unwinding of crowded positions could reduce further downside pressure on markets, according to the team.
• AI financing concerns: JPMorgan also highlighted financing risks facing emerging cloud companies as they invest heavily in computing infrastructure.
• Strong demand offers support: The bank believes robust demand for computing resources could allow cloud companies to pass higher financing costs on to customers.
• AI growth cycle intact: Even if financing becomes more difficult, JPMorgan does not expect the mismatch between capital expenditure and revenue generation to derail the industry’s overall growth cycle.

HDFC Bank Shares Near 52-Week Low Amid Probe Into Alleged Information Leak

• Shares under pressure: HDFC Bank shares fell towards their 52-week low in Thursday’s trade amid reports of an internal investigation into an alleged leak of confidential information.
• Senior executives under scrutiny: Reports say two senior executives allegedly shared confidential strategies with outsiders.
• SEBI compliance concerns: The bank is examining whether unpublished price-sensitive information was disclosed in violation of SEBI regulations, according to The Times of India.
• Q2 results overshadowed: The investigation has drawn attention away from the bank’s second-quarter results, which were broadly in line with expectations.
• Leadership transition ahead: The developments come days before Anup Bagchi is scheduled to take over as CEO on October 27.

HDFC Bank Probe Finds Evidence of Confidential Information Leaks by Two Senior Executives bigbreakingwire.in

Leveraged Bets on Indian Stocks Fall for First Time Since March

• Borrowed positions decline: Leveraged positions in Indian stocks fell to ₹1.56 lakh crore ($16.5 billion) as of October 19, down from a record ₹1.6 lakh crore in September.
• First monthly drop since March: The decline signals that retail traders may be reducing risk after six consecutive months of growth in borrowed positions.
• Daily activity: Fresh exposure stood at ₹3,354 crore, while liquidated positions totalled ₹2,921 crore.
• Weekly decline: Combined leveraged exposure fell by ₹110 crore compared with October 12.
• Monthly increase persists: Despite the recent pullback, combined exposure remained ₹1,736 crore higher than on September 18.

• HDFC Bank — ₹3,137 crore
• Reliance Industries — ₹2,816 crore
• BSE — ₹2,792 crore
• Jio Financial Services — ₹1,888 crore
• BEL — ₹1,336 crore
• ITC — ₹1,192 crore
• Vodafone Idea — ₹1,121 crore
• SBI — ₹1,099 crore
• Suzlon Energy — ₹1,087 crore
• Larsen & Toubro — ₹1,071 crore