Latest Business News
World Shares Mixed, US Futures Edge Higher After AI Fears Drag Wall Street Lower
Asian shares showed mixed performance with Hong Kong's Hang Seng dropping 1.1% post-Lunar New Year, while South Korea's Kospi surged 2.3% to a record, led by defense stocks like Hanwha Aerospace up 6.4%. US futures advanced despite Wall Street pressures from AI competition worries, with Booking Holdings down 6.1% and Walmart swinging to a 1.4% loss after mixed earnings.
Oil prices rose 1.9%, gold up 1%, and Bitcoin climbed 1.9% to $68,135 amid US-Iran tensions.
South Korean Defense Stocks Soar on Global Military Spending Ramp-Up
Kospi hit a new record at 5,808.53, up 2.3%, driven by major defense contractors like Hanwha Aerospace whose shares rose 6.4%. The gains reflect increased military spending worldwide.
Mainland China and Taiwan markets remain closed until next week.
AI Competition Pressures Tech and Travel Stocks on Wall Street
Booking Holdings plunged 6.1% despite beating profit expectations, amid fears of AI-powered competitors disrupting industries; its stock has lost 25% this year. Similar pressures hit other firms vulnerable to AI upends.
Walmart reported strong quarterly results but disappointed on future profit forecast, ending down 1.4%.
Oil Prices Surge to Highest Since August on US-Iran Nuclear Tensions
Benchmark US crude and Brent both rose 1.9%, boosting S&P 500 oil stocks. Prices hit highest levels since early August as US and Iran signal readiness for war if nuclear talks fail.
This contributed to gains in energy sector amid broader market volatility.
US Economic Data Mixed: Unemployment Claims Ease, Trade Deficit Widens
US unemployment benefits applications decreased, suggesting slowing layoffs. Mid-Atlantic manufacturing growth accelerated, but December trade deficit widened more than expected.
Dollar strengthened to 155.59 yen, euro slipped to $1.1763.
Apollo Invests $1 Billion in Hybrid Notes for Aldar
Apollo-managed funds provided $1B subordinated hybrid notes to Aldar, marking their fifth deal and totaling $2.9B; it's the region's largest corporate hybrid private placement. Proceeds support Aldar's growth, landbank replenishment, develop-to-hold expansion, and acquisitions.
Aldar CFO highlighted enhanced balance sheet resilience and stable income from $5B portfolio.
Aldar Strengthens Balance Sheet with Apollo's Flexible Capital
The investment bolsters Aldar's financial flexibility amid transformational growth plans. It's among largest foreign direct investments in Abu Dhabi's private sector.
Apollo's High Grade Capital Solutions continues providing customized long-dated investments to global firms like BP and Sony.
Japan Drops from Top-10 Chinese Tourist Destinations
Japan has fallen out of the top-10 travel spots for Chinese tourists, per CGTN business news. This reflects shifting travel preferences amid economic and geopolitical factors.
Impacts Japan's tourism-driven economy significantly.
AstraZeneca CEO Stresses Investment in Chinese Market for Innovation
AstraZeneca's CEO stated that investing in China is essential for innovation. This underscores the pharmaceutical giant's commitment to the market despite global challenges.
Highlights China's role in business R&D strategies.
Gold and Silver Prices Rise Amid Market Uncertainty
Gold increased 1% and silver 2.7% in early trading. Gains come alongside rising oil and bitcoin, signaling safe-haven demand amid AI fears and geopolitical risks.
Precious metals support broader commodity rally.
Bitcoin Hits $68,135 as Crypto Rebounds
Bitcoin rose 1.9% to $68,135 amid positive crypto sentiment. The uptick aligns with gains in oil and defense stocks, defying Wall Street's AI drag.
Reflects investor shift to alternative assets.