Baltic Dry Index. 2003 +45 Brent Crude 63.77
Spot Gold 3998 US 2 Year Yield 3.63 +0.05
US Federal Debt. 38.158 trillion
US GDP 31.556 trillion.
Artificial intelligence is no match for natural stupidity.
Albert Einstein
It is the Bank of England’s turn to set its key interest rate later today, no change is widely expected by the markets.
In Asia and the US stocks casinos, an AI bounce, but is it a selling out opportunity?
At the US Supreme Court, scepticism on the legality of the Trump tariffs.
An interesting day shaping up.
Asia-Pacific markets rise, tracking
Wall Street gains, as AI-linked stocks rebound
Published Wed, Nov 5 2025 6:58 PM EST
Asia-Pacific markets rose Thursday,
tracking Wall Street gains after AMD’s third-quarter
earnings beat lifted artificial intelligence stocks.
Japan’s benchmark Nikkei 225 index was up
1.45%, while the Topix index climbed 1.11%. Japanese artificial
intelligence-related companies rose: Advantest, which supplies testing
equipment to Nvidia, was up 3.73%, chipmaker Renesas Electronics gained over
4%, while chip equipment maker Disco Corp advanced 4.59%.
South Korea’s Kospi index pared
early gains to trade near the flatline, after declining in the previous
session. Shares of Nvidia-supplier SK Hynix were up 3.11%. The small-cap Kosdaq
reversed course, falling 0.52%.
Australia’s ASX/S&P 200 rose
0.28%.
Hong Kong’s Hang Seng Index rose 0.72%,
while the mainland’s CSI 300 was flat in early trading.
Shares of Chinese autonomous vehicle
firms WeRide and Pony.ai fell over 12% and
nearly 8%, respectively, in their market
debut in Hong Kong. Both companies are already listed in the United
States.
Pony.ai raised gross proceeds of
HK$6.7 billion (about $860 million) in its IPO, according to a filing. WeRide raised HK$2.4 billion.
India’s Nifty 50 was up 0.1% in
early trade, while the BSE Sensex index rose 0.29%.
U.S. equity futures were little
changed in early Asian hours after the Supreme Court expressed skepticism over
President Donald Trump’s tariffs, and as AI stocks recovered following a
sell-off on valuation concerns.
Overnight, the Dow Jones Industrial Average gained
225.76 points, or 0.48%, to close at 47,311.00. The S&P 500 rose 0.37% to
finish at 6,796.29, while the Nasdaq Composite advanced 0.65% to settle at
23,499.80.
Asia-Pacific
markets: Pony.ai debut, Hong Kong, WeRide, AI stocks
Stock futures slightly lower after
AI trade recovers from pullback: Live updates
Updated Thu, Nov 6 2025 7:36 PM EST
Stock futures were slightly lower on
Wednesday evening as investors grew less wary of eye-watering AI valuations and
were encouraged by the tone of a Supreme Court hearing on President Donald
Trump’s sweeping tariffs.
S&P 500 futures ticked down
0.2%, while Nasdaq 100 futures fell about 0.3%. Futures tied to the Dow Jones
Industrial Average slipped 62 points, or 0.1%.
Investors increasingly expect the
Supreme Court to rule against the Trump administration’s aggressive trade
policy after high court justices on Wednesday expressed
some skepticism about the trade taxes’ legality at a hearing in
Washington. The potential ruling would trigger a rollback of the president’s
tariffs, likely pushing stocks higher.
AI-linked equities have also begun
rebounding from valuation concerns that swirled earlier this week—another
potential boon for the major indexes.
Advanced Micro Devices closed
more than 2% higher on Wednesday, after the semiconductor company reported
better-than-expected third-quarter results. The performance pulled up some
other AI stocks alongside it, including Broadcom and Micron Technology, which jumped 2%
and 9% on the day, respectively. Oracle also recouped some
recent losses during the session.
The recovery of the AI names helped
the market bounce back on Wednesday following a soft start to the week that has
all three major U.S. indexes in the red week to date.
“We’re still very early in the AI
super-cycle,” Dynasty Financial Partners’ Shirl Penney told CNBC’s “Closing
Bell” on Wednesday. “There’s going to be continued significant capex, not just
with some of the ‘Mag Seven,’ but also you see it with large financial firms
like Schwab, JPMorgan and others.”
Earnings season continues, with
travel stocks Expedia and Airbnb as well as AI data
center play Vistra among
those reporting their latest financial results on Thursday.
Stock
market today: Live updates
High Court Casts Doubt on Basis
for Trump’s Trade War
November 5, 2025 at 10:59 PM GMT
Three of the six members of the US Supreme
Court’s GOP-appointed supermajority expressed skepticism at arguments by Donald Trump’s
lawyers in support of a key weapon in his global trade war. They joined
Democratic-appointed justices in assailing Trump’s use of a law that on its
face doesn’t seem to allow for many of the tariffs he’s imposed.
The supermajority, which includes three
Trump picks, has spent much of the year putting its imprimatur on most of the
president’s efforts to centralize power in the Oval Office. In many of those
White House victories, they deferred (albeit provisionally) to Trump on matters
that have historically and constitutionally been considered the purview of
Congress.
It’s a trend that made today’s turnabout
by Chief Justice John Roberts, a key force behind decisions buttressing the “unitary executive” theory favored by Trump’s
adjutants, all the more striking. The tariffs issued under an
emergency-powers law, Roberts told the lawyers, were an “imposition of taxes on
Americans and that has always been the core power of Congress.”
The Supreme Court’s favorability ratings
are at a three decade low, as a significant number of Americans
contend politics and not the law are guiding its rulings. Though today’s oral
arguments don’t bode well for Trump this time, and could lead to the unwinding
of billions of dollars in levies, the administration and legal experts have
noted that a defeat will not be seismic, inasmuch as Trump can simply use
other, more complicated legal tools to keep the trade war going.
High
Court Casts Doubt on Basis for Trump’s Trade War: Evening Briefing - Bloomberg
In other news.
China accuses Dutch of prolonging chip war that
threatens to halt car factories
4 November 2025
China has told the Netherlands to “stop
interfering” in the seized chipmaker Nexperia, accusing it of prolonging a
dispute that has disrupted the global car industry.
The Dutch government took control of the
semiconductor-maker at the end of September amid US security concerns
about the company’s Chinese parent, Wingtech Technology.
In response, China halted exports of
Nexperia products, restricting access to the vital components used in
everything from airbags to central locking, and prompting carmakers in the EU,
the UK and Japan to issue
warnings that supply shortages could lead to stoppages.
The EU is in the middle of urgent talks
with Beijing to lift export controls on the chips and also on crucial rare
earth minerals, after a summit with officials from both sides in Brussels on
Friday.
On Tuesday, however, China signalled its
decisions were still being coloured by the Nexperia dispute, accusing the Dutch
of failing to cooperate on export exemptions and urging them to work in a
“constructive manner” to ease supply chain issues.
“The Netherlands continues to act
unilaterally without taking concrete steps to resolve the issue, which will
inevitably exacerbate the adverse impact on the global semiconductor supply
chain,” China’s ministry of commerce said. “Neither China nor the global
industry wishes to see this.”
In a statement on Tuesday, the European
Commission said it had made some progress on Friday and that Beijing had
committed to engaging further over other restrictions on rare earths including
the magnets that control car window mechanisms and boot openings.
The commission will debrief EU ambassadors
on Wednesday and has asked member states to report back by Friday on the impact
of the chip ban in their factories. Carmakers in the EU warned last week they
were “days away”
from production stoppages.
The trade tensions with the EU are in
contrast to the truce struck between China and the US last Thursday. The
White House said in its readout after the agreement that China would
“eliminate” all “current and proposed export controls on rare earth elements
and other critical materials” and end the semiconductor “retaliation”.
The Dutch government invoked a cold war
era law when it seized
control of
the chipmaker, ousting its chair, Zhang Xuezheng, in part because of fears that
Wingtech could move intellectual property to another company it owned.
It also came after the US raised concerns
early in the summer about Nexperia’s management. Court documents show the US
Bureau of International Security and Nonproliferation told the Dutch foreign
ministry in June: “The fact that the company’s CEO is still the same Chinese
owner is problematic … It is almost certain that the CEO will have to be
replaced.”
The dispute escalated last week when
Nexperia told customers all
supplies to its Chinese factory had been suspended. Although
Nexperia’s chips are manufactured in Europe, about 70% are packaged in China
before distribution.
Wingtech said the actions of the Dutch
government “appear to be aimed at allowing a new Dutch-owned company to take
Nexperia”. It warned that “any Nexperia-successor company is doomed to fail”,
adding that “80% of Nexperia’s back-end capacity is within mainland China”.
A spokesperson said: “If this matter is
not resolved very soon, there will be no company left for customers to return
to, and hundreds of people in the Netherlands, Germany and the UK will lose
their jobs with many more affected indirectly across Europe. Nexperia’s
European employees are very concerned about this, but the company’s senior
Dutch management appears oblivious to these concerns.”
More
China accuses
Dutch of prolonging chip war that threatens to halt car factories
Global Inflation/Stagflation/Recession
Watch.
Given
our Magic Money Tree central banksters and our spendthrift politicians,
inflation now needs an entire section of its own.
Andrew
Bailey: Bank of England Governor to have ‘deciding vote’ on interest rates
Wednesday
05 November 2025 12:33 pm
Bank
of England Governor Andrew Bailey is set to have the deciding vote on whether
to slash interest rates by 25 basis points, analysts have said.
The
Bank is expected to keep interest rates on hold at four per cent but several analysts have said
the decision is on a knife-edge, with four Monetary Policy Committee (MPC)
members expected to vote each way.
This
even split on the MPC would leave Bailey, who has offered mixed views on the
path of interest rates, to decide whether borrowing costs should be
lowered.
Analysis
by several City firms has indicated that four members expected to vote for a
cut include external members Swati Dhingra and Alan Taylor plus deputy
governors Sarah Breeden and Dave Ramsden.
Taylor
or Dhingra could back a larger 50 basis point cut, which could force Bailey to
call another vote for the second meeting in a row.
The
hawks Catherine Mann, Megan Greene, Clare Lombardelli and Huw Pill are expected
to vote for interest rates to be held amid fears about higher inflation
expectations and wage-setting trends keeping price growth elevated.
The
last set of inflation data showed inflation remaining at 3.8 per cent, which
was 0.2 percentage points below the Bank of England’s forecast yet nearly
double its two per cent target rate.
More
Andrew
Bailey to have ‘deciding vote’ on interest rates
Cut
interest rates by 25 basis points, Shadow MPC says
Wednesday
05 November 2025 8:39 am
Top
economists on City AM’s Shadow Monetary Policy Committee
(MPC) have called for interest rates to be cut to 3.75 per cent in a narrow 5-4
vote.
Economists
from academia, business and City giants have said that the UK’s weakening
demand and easing price pressures suggested the Bank
of England should
look to cut interest rates this Thursday.
The
knife-edge vote reflects the growing sense of anticipation ahead of this week’s
crucial meeting, with markets expecting interest rates to be held at four per
cent.
A
25 basis point cut would take interest rates to their lowest level since
January 2023, which could help to ease the cost of living for Brits with high
mortgages.
It
could also signal that lower borrowing costs are set to come for the
Chancellor, helping to prevent debt interest payments from surging beyond
£110bn in the coming years.
Bank
policymakers are weighing up how difficult the UK’s inflation prospects will be
as wage growth, jobs market and growth forecasts are adjusted.
Interest
rates clash
Economists
on City AM’s Shadow
MPC,
who expressed views independently of their organisations, pointed to fresh data
suggesting inflation was on track to fall from its current rate of 3.8 per
cent, nearly double the Bank’s two per cent target rate.
Peel
Hunt economist Kallum Pickering, who voted for a 25 basis point cut, said
inflation expectations had cooled while further declines in the jobs market
suggested a cut was needed to prevent inflation from falling below the target
rate in the next two years.
But
those calling for interest rates to be held pointed to the uncertainty around
the Chancellor’s decisions at the Budget as being likely to stop Bank officials
from backing a cut.
The
Institute of Directors’ Anna Leach and Capital Economics’ Ruth Gregory said
rate-setters would likely want to hear more news on the government’s plans for
fiscal policy before making a decision to cut interest rates again.
More
Cut interest rates by 25 basis points, Shadow MPC says
Covid-19
Corner
This
section will continue only occasionally when something of interest occurs.
Technology
Update.
With events happening fast in the
development of solar power and graphene, among other things, I’ve added this
section. Updates as they get reported.
Britain’s largest battery storage scheme goes live
Britain powers ahead with its largest clean energy battery system
04/11/2025 3:15 PM
The UK’s largest operational battery
energy storage system (BESS) is now live, marking a major step forward in the
country’s clean energy transition.
Thurrock Storage, a 300MW / 600MWh
project by Statera Energy, is located in Tilbury, Essex and can power 680,000
homes for up to two hours.
Supported by Statkraft, the scheme
strengthens grid resilience and supports the shift to renewables.
Statkraft signed a major PPA with
Statera Energy in 2023, offering advanced asset optimisation and a revenue
floor structure to underpin project financing.
The company now manages over 4GW of
long-term renewable PPAs and 3.5GW of flexible assets across the UK.
“Statera Energy has delivered a
nationally significant project that plays a vital role in advancing Great
Britain’s energy transition,” said Brian Lonn, Statkraft’s Head of UK
Flexibility.
Lewis Elder, Statera’s Director of
Commercial Operations & Policy, added: “We are delighted that Thurrock
Storage has now entered commercial operations… Statkraft’s team has been highly
reliable and supportive throughout commissioning.”
Britain’s largest battery storage scheme goes live - Energy Live News
Chrysler recalls 320,000 SUVs, telling owners to park outside over
fire risk
November 4, 2025
Chrysler is recalling 320,065 Jeep
Wranglers and Grand Cherokees because the plug-in hybrid SUVs' high-voltage
batteries could fail, potentially causing a fire while a vehicle is parked or
in motion, according to federal regulators.
The affected vehicles include the Jeep
Wrangler 4Xe for model years 2000-2025 and the Grand Cherokee 4Xe from
2022-2026.
Owners should park the vehicles outside
and away from structures, and not charge the cars until they are fixed, the
National Highway Traffic Safety Administration (NHTSA) said in a recall notice. The agency
said a fix for the issue is currently under development, but didn't specify
when it might be available to vehicle owners.
In a statement to CBS News, Chrysler
owner Stellantis said that a fix will be available soon.
More
Chrysler recalls 320,000 SUVs, telling owners to park outside over fire
risk
Next, the
world global debt clock. Nations debts to GDP compared.
World Debt Clocks
(usdebtclock.org)
If you can't explain it simply, you don't understand it well
enough.
Albert Einstein
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