ARTICLE AD BOX
Tokyo, Japan skyline with the Tokyo Tower
Chunyip Wong | E+ | Getty Images
Asia-Pacific markets were set to mostly fall Friday, with investors awaiting Japan's general election over the weekend.
Japan also released its October inflation numbers for the capital city of Tokyo on Friday, its last key economic data before the election. The Bank of Japan's monetary policy meeting is due on Oct. 30 and 31.
Tokyo's inflation is widely considered a leading indicator of nationwide trends.
The city's headline inflation rate fell to 1.8% in October from 2.2% the month before, with core inflation — which strips out prices of fresh food — also coming in at 1.8%, down from 2%.
Economists polled by Reuters had forecast the core inflation rate in Tokyo to slow to 1.7% in October.
Based on futures data, the benchmark Nikkei 225 could go either way, with the futures contract in Chicago at 38,215 and its counterpart in Osaka at 38,090 against the index's last close of 38,143.29.
Futures for Hong Kong's Hang Seng index stood at 20,420 pointing to a slightly weaker open compared to the HSI's close of 20,489.62.
In contrast, Australia's S&P/ASX 200 started the day up 0.25%.
Overnight in the U.S., the S&P 500 bounced back on Thursday, powered by shares of Tesla rising almost 22% and snapping a three day losing streak.
The electric vehicle manufacturer surged nearly 22% after posting third-quarter results that beat analysts' expectations, registering its best day since 2013.
The Nasdaq Composite jumped 0.76%, but the Dow Jones Industrial Average lost 0.33%, to record its first four-day losing streak since June.
— CNBC's Lisa Kailai Han and Jesse Pound contributed to this report.
CNBC Pro: Short Amazon and Apple as they head for all-time highs, say Itau BBA analysts
As corporate giants report their quarterly finances in the coming days, one investment bank has suggested that investors bet against two Big Tech stocks.
CNBC Pro subscribers can read more about why the analyst is telling clients to short Apple and Amazon here.
— Ganesh Rao
CNBC Pro: The power sector is 'transforming,' Morgan Stanley says, naming global stocks set to rise 40%
The electricity industry is transforming, according to Morgan Stanley, and multiple power producers, grid operators and utilities are set to benefit.
"Power demand is booming, prices are inflecting, and cost to produce clean power has fallen by a third around the world since 2023, and more so in Asia," the investment bank's analysts outlined in an Oct. 23 note.
"Global power markets have surprised on multiple fronts, and investors are navigating a new normal in the power value chain," they added.
Morgan Stanley's analysts named three overweight-rated global stocks in the electricity sector which they give more than 40% potential upside.
CNBC Pro subscribers can read more here.
— Amala Balakrishner
UBS remains optimistic on equities
The path forward for equities is still higher even with recent weakness, according to UBS.
The S&P 500 fell for a third straight day on Wednesday, after a move higher in Treasury yields put pressure in equities. Nevertheless, UBS' Solita Marcelli remains bullish on equities.
"We have signaled that investors should expect market volatility in the lead-up to the US presidential election, and the S&P 500 was sitting at a record high before the declines in recent days. As 5 November inches closer, market sentiment is likely to stay vulnerable," Marcelli wrote.
"But we maintain a positive outlook on US equities, and expect the S&P 500 to reach 6,600 by the end of next year," Marcelli added.
— Sarah Min
Stocks are bound for a relief rally after election, says Citi's head of global wealth
Citi's head of global wealth Andy Sieg is bullish on U.S. equities, saying he expects stocks can rally after the uncertainty from the election is lifted.
"There's going to be a relief rally that is most likely to happen. We saw it in 2016, we saw it in 2020," Sieg told CNBC's "Money Movers." "And when you think about the possibility for that relief rally, it's uncertainty leaving the market, being replaced by some certainty in terms of the path forward, it's rates coming down. And again, it's getting refocused on the fundamentals in the U.S., which are strong."
"So, we think the market has a ways to run," Sieg added.
— Sarah Min
Jobless claims slip as impacts from storms, strike ease
Employees collect some of their belongings from a beauty salon that was destroyed by the intense tornado that hit Cocoa Beach, Florida, on Oct. 10, 2024.
Giorgio Viera | AFP | Getty Images
Initial filings for unemployment benefits receded last week as impacts faded from the recent hurricanes and the Boeing strike.
Jobless claims for the week ending Oct. 19 totaled a seasonally adjusted 227,000, down 15,000 from the previous week's upwardly revised level but well below the Dow Jones estimate for 245,000, the Labor Department reported Thursday.
However, continuing claims, which run a week behind, rose to just shy of 1.9 million, the highest since Nov. 13, 2021.
Claims did increase in storm-ravaged Florida by 4,275 but fell in North Carolina by 2,888, according to unadjusted data. Michigan, which has been hit by the Boeing impasse, saw a decline of 1,720.
— Jeff Cox
English (US) ·