↑ WHAT'S UP — The S&P 500 rose 1.2% for the week and the Nasdaq gained 0.6%, both hitting record highs early in the week. Chipmakers gave AI stocks an early lift: Marvell raised its long-term revenue outlook, and AMD said it will lift chip output next year. Closer to home, the ASX 200 edged up 0.4% and the NZX 50 gained 0.5%.

↓ WHAT’S DOWN — The University of Michigan's consumer sentiment survey fell, and Americans' view of current conditions hit its weakest since 1951. In Australia, Westpac's consumer sentiment index fell almost 5%. US telcos T-Mobile, AT&T and Verizon fell sharply as SpaceX agreed to buy a block of nationwide spectrum, a step towards turning Starlink into a mobile carrier.

! BIGGEST SURPRISES — US 10-year and 30-year Treasury yields both hit their highest levels since 2002, with heavy government borrowing, fiscal worries, and growing AI-related debt. Fed minutes added pressure: all 19 officials backed September's hike, and most saw another needed by year-end. Fed Governor Christopher Waller said more hikes are likely but don't have to come back-to-back.

◎ WHAT TO WATCH — Analysts expect S&P 500 earnings to grow almost 30% for the September quarter, according to FactSet. JPMorgan, Goldman Sachs, Wells Fargo and Citi report on Tuesday US time, followed by Bank of America and Morgan Stanley on Wednesday. On the economic calendar, the RBA releases its September minutes and NAB business confidence on Tuesday, China and the US release September inflation on Wednesday, Australia's September labour force data lands on Thursday, and eurozone September inflation closes out the week on Friday.

◈ BIGGER PICTURE — Investors are paying closer attention to how AI growth gets funded. SpaceX is reportedly looking to raise $40 billion in debt, and the Financial Times reported OpenAI's annualised revenue was closer to $50 billion than the $70 billion widely reported earlier. In Australia, AI infrastructure company Firmus withdrew its planned ASX listing after reportedly failing to attract enough demand amid valuation concerns. Add rising bond yields, a Fed leaning towards more hikes, and Brent crude around US$104 a barrel on Middle East tensions, and the cost of capital is back in focus.

Disclaimer:

Sharesies Market Movements is brought to you by Sharesies Australia Limited (ABN 94 648 811 830; AFSL 529893) in Australia and Sharesies Limited (NZ) in New Zealand.

This video is general market commentary and educational in nature. It is not financial advice and does not take into account your personal objectives, financial situation or needs. Information is current at the time of recording and may be subject to change. We do not provide recommendations and nothing in this video should be taken as a recommendation to buy or sell any financial product.

Investing involves risk. You might lose the money you start with. Past performance is not indicative of future performance.

If you require personal financial advice, you should consider speaking with a qualified financial adviser. Our disclosure documents and terms and conditions, including a Target Market Determination and IDPS Guide for Sharesies Australian customers, are available on our relevant Australian or NZ website.

&uarr; WHAT'S UP &mdash; The S&amp;P 500 rose 1.2% for the week and the Nasdaq gained 0.6%, both hitting record highs early in the week. Chipmakers gave AI stocks an early lift: Marvell raised its long-term revenue outlook, and AMD said it will lift chip output next year. Closer to home, the ASX 200 edged up 0.4% and the NZX 50 gained 0.5%.
&darr; WHAT&rsquo;S DOWN &mdash; The University of Michigan's consumer sentiment survey fell, and Americans' view of current conditions hit its weakest since 1951. In Australia, Westpac's consumer sentiment index fell almost 5%. US telcos T-Mobile, AT&amp;T and Verizon fell sharply as SpaceX agreed to buy a block of nationwide spectrum, a step towards turning Starlink into a mobile carrier.
! BIGGEST SURPRISES &mdash; US 10-year and 30-year Treasury yields both hit their highest levels since 2002, with heavy government borrowing, fiscal worries, and growing AI-related debt. Fed minutes added pressure: all 19 officials backed September's hike, and most saw another needed by year-end. Fed Governor Christopher Waller said more hikes are likely but don't have to come back-to-back.
◎ WHAT TO WATCH &mdash; Analysts expect S&amp;P 500 earnings to grow almost 30% for the September quarter, according to FactSet. JPMorgan, Goldman Sachs, Wells Fargo and Citi report on Tuesday US time, followed by Bank of America and Morgan Stanley on Wednesday. On the economic calendar, the RBA releases its September minutes and NAB business confidence on Tuesday, China and the US release September inflation on Wednesday, Australia's September labour force data lands on Thursday, and eurozone September inflation closes out the week on Friday.
◈ BIGGER PICTURE &mdash; Investors are paying closer attention to how AI growth gets funded. SpaceX is reportedly looking to raise $40 billion in debt, and the Financial Times reported OpenAI's annualised revenue was closer to $50 billion than the $70 billion widely reported earlier. In Australia, AI infrastructure company Firmus withdrew its planned ASX listing after reportedly failing to attract enough demand amid valuation concerns. Add rising bond yields, a Fed leaning towards more hikes, and Brent crude around US$104 a barrel on Middle East tensions, and the cost of capital is back in focus.
Disclaimer:
Sharesies Market Movements is brought to you by Sharesies Australia Limited (ABN 94 648 811 830; AFSL 529893) in Australia and Sharesies Limited (NZ) in New Zealand.
This video is general market commentary and educational in nature. It is not financial advice and does not take into account your personal objectives, financial situation or needs. Information is current at the time of recording and may be subject to change. We do not provide recommendations and nothing in this video should be taken as a recommendation to buy or sell any financial product.
Investing involves risk. You might lose the money you start with. Past performance is not indicative of future performance.
If you require personal financial advice, you should consider speaking with a qualified financial adviser. Our disclosure documents and terms and conditions, including a Target Market Determination and IDPS Guide for Sharesies Australian customers, are available on our relevant&nbsp;<a href="http://sharesies.com.au">Australian</a> or <a href="https://www.sharesies.nz/legal-documents">NZ</a> website.

A conversation with experts, CEOs, and you. We talk to company leaders and industry experts every week. Listen or watch over lunch or whenever for what’s happening in the economy, the markets, and the companies you invest in.

Investing involves risk. This channel is brought to you by Sharesies Limited (NZ) in New Zealand. Information provided is general advice only and current at the time and does not take into account your objectives, financial situation and needs. We do not provide recommendations and you should always read the product disclosure documents available from the product issuer before making a financial decision. Our disclosure documents, can be found on our website.

If you require financial advice, you should seek advice from a qualified financial advisor. The views expressed by individuals are their own and Sharesies does not endorse any of the guests or the views they hold.

A conversation with experts, CEOs, and you. We talk to company leaders and industry experts every week. Listen or watch over lunch or whenever for what&rsquo;s happening in the economy, the markets, and the companies you invest in.
Investing involves risk. This channel is brought to you by Sharesies Limited (NZ) in New Zealand. Information provided is general advice only and current at the time and does not take into account your objectives, financial situation and needs. We do not provide recommendations and you should always read the product disclosure documents available from the product issuer before making a financial decision. Our disclosure documents, can be found on our website.
If you require financial advice, you should seek advice from a qualified financial advisor. The views expressed by individuals are their own and Sharesies does not endorse any of the guests or the views they hold.

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Record highs, rising yields, and the cost of AI | Market Movements

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