Hong Kong Exchange CEO to Step Down on March 1
In a surprising announcement, Hong Kong Exchange CEO Nicolas Aguzin revealed that he will be stepping down from his position on March 1. Aguzin, who has been in the role for three years, will hand over the reins to co-COO Bonnie Y Chan. Despite his early departure, Aguzin expressed confidence in Chan and the senior management team, stating that the transition was going “extremely well.”
During Aguzin’s tenure as CEO, the Hong Kong market faced significant challenges, including a regulatory crackdown by Beijing during the pandemic. This crackdown led to a decrease in investor enthusiasm for Hong Kong listings, resulting in a decline in HKEX’s share price by more than 46%. The share price dropped from 450.4 Hong Kong dollars ($57.59) a share to HK$242.
BOJ’s Ueda says ‘high chance’ ultra-easy monetary policy will stay even after negative rates end
Bank of Japan governor Kazuo Ueda has indicated that there is a “high chance” that easy money conditions will persist even after the negative interest rates policy is scrapped. Ueda made this statement while responding to questions from an opposition lawmaker in the lower house budget committee of parliament. His view aligns with that of his deputy Shinichi Uchida, who stated that the BOJ is unlikely to aggressively raise interest rates even after ending its negative interest rate policy.
Australia’s central bank governor says that inflation is ‘still too high’
Michelle Bullock, the governor of Australia’s central bank, has acknowledged that while recent inflation readings are encouraging, inflation in the country is still “too high.” The Reserve Bank of Australia aims for inflation to be at 2.5%, the midpoint of its target range of 2% to 3%. However, Australia’s inflation rate for the fourth quarter was at 4.1%. Bullock emphasized that an inflation rate with a “4” in front of it is not satisfactory and still far from the bank’s target. She added that the RBA has not ruled out a further increase in interest rates but has not made a decision at this stage.
Softbank Group shares jump almost 10% on open
Shares of Softbank Group, a Japanese conglomerate, experienced a significant jump of almost 10% on the stock market. This increase follows a rise of 11.06% recorded the previous day. The surge in Softbank Group’s shares can be attributed to the strong performance of chip designer Arm, in which SoftBank holds a majority stake. Arm’s shares surged by 48% on Thursday, valuing the company at over $116 billion. As a result, SoftBank’s stake in Arm increased by more than $34 billion in just one day.
CNBC Pro: This index will beat the S&P 500, with inflation set to be among 2024’s ‘biggest risks,’ BofA says
Bank of America has identified an index that is expected to outperform the S&P 500 in 2024 due to the potential risks posed by inflation. The index previously outperformed the S&P 500 in 2022 when inflation was a major concern for investors. According to Bank of America, inflation will continue to be one of the “biggest risks” in 2024.
CNBC Pro: Beyond the ‘Magnificent 7’: Morningstar’s top strategist names stocks to own instead
While Big Tech stocks like Alphabet, Amazon, Apple, Meta, Microsoft, Nvidia, and Tesla dominated the market last year, Morningstar’s Chief Markets Strategist David Sekera believes that there are other companies that present more attractive investment opportunities at present. Sekera stated that the valuations of the “Magnificent Seven” stocks are reaching their peak, making them less appealing. He recommended seven other highly-rated stocks for investors to consider.
Bitcoin rises above $45,000, its highest level in almost a month
The price of Bitcoin, the flagship cryptocurrency, experienced a 3% increase, reaching its highest level in nearly a month. This rise in Bitcoin’s price led to a surge in related stocks. Crypto exchange Coinbase saw an 8% jump in its shares, while bitcoin proxy Microstrategy recorded a 15% increase. In the mining sector, CleanSpark, Riot Platforms, Marathon Digital, and Iris Energy all saw significant gains. Traders also noted an increase in bitcoin accumulation by large investors, known as “whales,” over the past two weeks.
Oil rises for fourth day after Israel rejects Hamas ceasefire proposal
Crude oil futures prices continued to rise for the fourth consecutive day following Israel’s rejection of a ceasefire proposal by Hamas. The West Texas Intermediate futures contract increased by $2.14, or 2.90%, trading at $75.98 a barrel. The Brent contract for April also gained $2.16, or 2.73%, reaching $81